July 31, 2010

ASTA Reports More Agencies with $10 Million Plus Sales


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The 2010 ASTA Agency Profile survey revealed that the numbers of small agencies, earning less than $1 million, and the numbers of large agencies, earning more than $10 million, continue to grow.

Since 2002, the number of agencies with sales less than $1 million has grown by 87%, while the number of agencies with sales of more than $10 million is up 116%.

Further, comparing 2003 with 2010, the percentage of ASTA home-based agents has grown by a stunning 312%.

"We do believe that consolidation is causing the increase in larger agencies, while at the same time smaller agencies are moving to a home-based model or a streamlined model with less employees," Melissa Teates, director of research, ASTA.

Looking at the range of products travel agents sell, sales of hotels (23%), cruises (18%) and tours (6%) all saw strong increases in percentage share in 2010 when compared to 2002. During the same time period, the percentage share of car rental and air sales dropped.

For the first time, reporting agencies expect international sales to be a larger percentage of their overall sales.

“International travel, when compared to domestic, is growing for travel consultants, and they continue to be the main point of sale for most non-air travel,” said Chris Russo, ASTA president and chair.

Travel agencies continue to use ARC, with 70% holding an Airlines Reporting Corp. identification number. Only 4% are signed on as ARC Verified Travel Consultants.


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