The Association of Independent Tour Operators conference heard from experts in the fields of regulation, technology and marketing. JULIET DENNIS reports from Istanbul
Lindsay Garvey-Jones, Holiday Extras, and Deb Merrifield, Marketing Radar
CAA ponders Atol option for mid-sized firms
The Civil Aviation Authority is considering “a third way” to offer a regulatory solution for companies that will struggle to afford a standard Atol once the Small Business Atol is scrapped. The rethink
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for companies in the so-called “middle ground” follows a high response rate to the CAA’s consultation on abolishing the SBA and introducing new risk-based financial criteria. Of the 139 responses to the
Atol reform consultation, the majority were about the SBA, according to Richard Jackson,
CAA consumer protection group director.
About 1,000 small and medium- sized travel companies licensed for 500 or fewer bookings currently have a SBA.
Responses to
CAA consultation about Atol reform
Jackson said the responses had prompted the CAA to think about companies that fall between
accredited bodies and those which
“cannot easily become standard Atol-holders”
because of the additional cost. He said: “This was a high
response rate and gave us a lot to think about. We did scratch our heads a bit. If there is a problem, it is incumbent on us to find a solution. We are now working through the responses and looking at that middle ground and an appropriate way to regulate it.” He added: “Can we live with
standard Atols and accredited bodies or do we need something for people who cannot easily become standard Atol-holders?” The CAA is now assessing the
Jackson: ‘We are looking at that middle ground’
amount of customer money at risk in this “middle ground” and hopes to come up with a solution in the new year.
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travelweekly.co.uk — 4 December 2014
“There is a lot of support for some sort of a financial test, which the SBA did not have. What we are now trying to assess is the amount of customer money at risk and the number of companies involved,” Jackson said.
The abolition of the SBA has been criticised because it will require many small Atol-holders to increase their share capital from £30,000 to £50,000 and a new licensable turnover minimum of £500,000.
Carrick: Improve your websites
Association of Independent Tour Operators members have been urged to improve their websites with more personal references, user reviews and imaginative use of content, as well as promote their own brands more effectively. Richard Carrick, of Richard
Carrick Consulting, used a team of experts to analyse Aito members’ brands, product, websites, online savviness and customer relationship management. Martin Randall Travel came out top across the performance indicators, with Journey Latin America and Explore runners-up. Carrick told members: “The
level at which you communicate your brand is patchy. There are some clear propositions but they are not as well-communicated [to clients] as they should be.” He suggested members should
Richard Carrick
improve their websites by putting up photos of staff; getting clients signed up to mailing lists as soon as possible; featuring client testimonials; using video to push content; and “nudging” customers to keep them on the website. “There is not enough focus on improving conversion rates and reducing bounce rates,” he added. “Reviews on your site will whack up conversion rates. Very few of your sites have third-party reviews.”
CONFERENCE REPORT
Aito Conference 2014 in Istanbul
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