USTOA Steps Up Agent Engagement
by Robin Amster /The U.S. Tour Operators Association (USTOA) is taking a more aggressive approach to both its consumer marketing and its relationship with travel agents.
The association has a number of new initiatives, including Travel Together Now, a month-long program planned for September that’s akin to CLIA’s Cruise Vacation Week, said USTOA president and CEO Terry Dale.
The program is aimed at promoting tour operators to consumers, and USTOA will encourage its members to offer special incentives or bonuses to agents to get them involved in the campaign.
More agent programs planned
“We’re looking to do more and more in working closer with agents. We know that when they prosper, we prosper. There will be more to come,” Dale told Travel Market Report.
“I’m such an advocate for agents, and USTOA is as well, although historically it hasn’t been as aggressive as what we’re doing now to engage agents.”
Dale, the former chief executive of CLIA, has been at the helm of USTOA for three and-a-half years. “Part of the attraction of coming to USTOA was to build programs to have a foundation laid for working with agents,” he said.
Travel Market Report spoke with Dale about USTOA’s new consumer and agent programs, the challenges members face and how tour operators’ business is faring this year.
What’s new in USTOA’s relationship with travel agents?
Dale: We launched Travel Together, a collection of experiential videos. These demonstrate that our members give consumers access to people who call destinations their own, [giving travelers] a feeling that ‘I know what this country is really about.’ The videos promote awareness of why consumers should think about [traveling with] a USTOA member.
We want travel agents to use these videos as a tool and a resource. Say an agent is talking with a customer about a trip to Australia. The agent can say, ‘I have a two-minute video I can shoot over to you [on the country].’
We’ll make these available to agents in September as part of what we’re calling Travel Together Now.
What else can you say about Travel Together Now?
Dale: The cruise lines have [CLIA’s] Cruise Vacation Week. We have never had that kind of focused period for sales. So we’ll be doing this in September.
We’re going out to our members to see what kind of offer they want to make to their agent partners – a bonus or some other way to incentivize them – to get agents involved. As part of that September program we’ll offer agents tools like the Travel Together videos.
We now have videos on three countries; seven more will be done by December. Agents will be able to access the videos through the agent space on our website. We’ll also do an aggressive outreach to the agent consortia.
It sounds like USTOA is getting more aggressive on both the agent and the consumer front.
Dale: Yes, absolutely. Part of our mission is to educate consumers on the diversity of our members’ products. We have an obligation to educate them, and we can’t just put the responsibility of helping to educate consumers on agents.
We’re trying to build a brand for USTOA and that includes differences in tour operators and why agents work with USTOA member tour operators.
What are tour operators’ key concerns these days?
Dale: One concern is the Department of Transportation’s new round of proposed consumer protection rules. We’re looking at one regulation that would establish service standards for travel sellers. ‘Travel seller’ applies to tour operators as well as travel agents.
Another proposal would require travel sellers to disclose any commission or fee paid to them. When I go to Macy’s and see a price for a shirt, for instance, does that mean that Macy’s has to show its mark-up on that shirt? These increasing regulations can be burdensome. The regulatory process is always an issue.
How has business been for your members recently?
Dale: Our members are reporting very strong business for the first quarter of the year. That didn’t, however, extend through the second quarter. Still, we’re optimistic about how the year will end.
And this year is unique because members are talking about 2015 sales. Groups are already booking for 2015. The feeling is quite positive. This is obviously good for business. The further out tour operators can get deposits, the better off they are.
What’s behind the early booking trend?
Dale: There’s more optimism and consumer confidence. Consumers are feeling empowered; and they’re willing to sacrifice other things but not that time with their families. That whole mindset is growing in a way that benefits all of us.
USTOA recently named Elizabeth George to the new post of membership and programming director. Why was this post created?
Dale: We need someone to help us in the execution and implementation of new programs and new ideas.
We’ve also never had anyone specifically dedicated to membership. We want to look more strategically at our membership.
For instance, in our annual survey of members for the last two years, Myanmar has topped the list of hot destinations. We need to identify ground operators, hoteliers and other suppliers in Myanmar and bring them on as [allied] members so our active members can build product to that country.
We want to be a more global association in that way, and we couldn’t do that with our current team.