Classic Vacations Directs Online Traffic to Agents
by Andrew Sheivachman /Classic Vacations has removed the ability for consumers to book vacations directly online at its website, opting instead to refer them to travel agents.
“Our goal here is to help travel advisors drive their business and build up client loyalty,” said David Hu, president of the San Jose, Calif., luxury travel firm. Hu said the firm plans to introduce a number of tools for agents, including private label solutions.
Effective immediately, only travel professionals will be able to check rates and hotel availability or receive a price quote on Classic’s new website. Consumers interested in booking will be directed to a list of travel agents near them who sell Classic Vacations product.
Refinements have also been made to the company’s online booking engine for agents, including enhanced search functionality, in order to improve travel agent productivity, Classic Vacations said.
Agents can gain access to Classic’s online booking engine – and be included on the list of trvel professionals that consumers see on Classic’s website – by filling out a simple online form.
Hu told Travel Market Report that supporting agents is one his company’s highest priorities.
What was the impetus behind removing direct online booking for consumers?
Hu: If we’re going to help agents be more relevant in the online space, we can’t have our brand competing against the travel advisor’s own brand. The best way to support them is to stand behind their brand.
You’re going to start seeing all these tools from us to help them [agents]. We have a whole bunch of new private label solutions for the advisor to use, like our Classic Assist online portal, and more that will be rolling out in the future.
Agents are really the core of our business, and we’re going to be supporting the space in a way that allows them to thrive.
The hard part trying to get traction on this is that travel agents don’t want our branding; they don’t want to think they’ll lose their customers to us after booking.
Is it more profitable for Classic Vacations to use agents?
Hu: There’s always increased servicing costs when going through our call center instead of online. We’ve made ourselves efficient enough over the last three or four years so we can operate profitably with the clientele we have.
We’ve scaled our business to the point where we can adequately handle travel agent business without having a dual challenge of approaching customers directly.
Why move to embrace agents now?
Hu: Truth be told, we have a bipolar history [with travel advisors]. We grew up in the industry supporting agents throughout, then there was the turbulent time when Expedia purchased us [in 2002]. There was the fear that we would divert clients to Expedia, but that never occurred.
Recently we said let’s put that controversy to bed, so this should solidify our stance with agents.