Industry Leaders Address Marriott’s Claim of Travel Agent Decline

The travel industry is speaking out against Marriott’s claim that the travel agent channel has declined. As Travel Market Report covered last week, frontline agents believe Marriott is reaping the fallout from its own policies, which have disrespected travel agents in favor of direct bookings from consumers.

Marriott International’s President and CEO Arne Sorenson recently said: “We have seen significant growth in all digital channels … What has declined a bit would be travel agents, in part because people are moving online and doing things themselves.”

But, according to consortia executives, travel agents are valued more than ever.

“All our research indicates that consumers are becoming increasingly frustrated with online channels and utilizing travel professionals more often,” said Nicole Mazza, chief marketing officer for TRAVELSAVERS, NEST, and the Affluent Traveler Collection. “TRAVELSAVERS affiliates are seeing growth in hotel sales with many of our preferred hotel partners, as well as our tour operator partners.”

The decline Marriott is seeing, however, “is most likely due to agencies being frustrated with their recent policy changes, not a change in consumer behavior,” she continued.

Michael Heflin, senior vice president, hotels, for Travel Leaders Group, sees a similar trend: “Our partners on the ground across the luxury, leisure and corporate travel segment certainly realize the valuable role travel agents continue to play in delivering service, experience, and expertise to their clients that they just can’t get through digital distribution channels.

“That may feel different when viewed through a corporate macro lens focused on managing distribution costs, but our guest experience happens at the micro level where our advisors continue to deliver value every day.”

Signature Travel Network and its 7,000-plus members, “provide critical sales, marketing, promotional and technological support,” said Richard Lebowitz, senior vice president of Signature Travel Network’s Hotels and Resorts Program. “Many consumers are overwhelmed by the various digital channels and turn to our travel advisors for trusted advice.

“Our members drive premium ADR, incremental revenue and introduce highly valuable customers to our hotel partners. Our 2017 revenue via the GDS was its highest ever,” Lebowitz continued, who noted that the group will work with hotel partners “that recognize the value of travel advisors, and value the benefits of a partnership with Signature.”

Travel Leaders Group’s Heflin told Travel Market Report: “It’s important to differentiate between travel as a commodity and travel as an experience. While online distribution of nearly every good and service has increased, travel continues to be a diverse and unique experiential purchase for most consumers. Travel agents win the day when it comes to curating personalized trips, especially in the luxury market. To that end, we’ve seen an increase in demand for true travel expertise and experienced guidance across all our travel verticals.”