‘Industry lobbying groups can co-exist’ Juliet Dennis
An outbound industry think-tank will continue to push forward with plans to lobby government despite a similar vow by the renamed Future Travel Coalition. Advantage Travel Partnership
said its think-tank aimed to unite the “whole industry” as a single voice to lobby government, taking a holistic approach and using funding from stakeholders. Partners in the Future Travel
Coalition, which includes Advantage, have vowed to continue working together despite the fact there are no longer any UK travel restrictions. The 16-strong group, set up in 2020 as the Save Future Travel Coalition, includes Abta and a raft of tour operator and travel agent
associations and covers inbound as well as outbound tourism. It does not include aviation-specific associations or airlines. Advantage chief executive Julia
Lo Bue-Said insisted the groups were different in their make-up and approach and could exist side by side. She said: “They do not duplicate
each other. We are taking a holistic approach in terms of the industry, making sure we have all parts of the sector involved. We are trying to take it to a different level. We are trying to get funding for public affairs and grow our muscle power and make sure the entire industry is represented.” She added that Advantage would
carry on as a member of the Future Travel Coalition, saying: “It has been great and really helpful and continues to be important.
Royal says raised commission rates can’t last for ever
Lucy Huxley Barcelona
Royal Caribbean says it is paying between 5% and 8% more commission to agent partners this year than in 2019, but such “generous” commercial terms won’t last indefinitely. Speaking on board the trade
showcase of Wonder of the Seas in Barcelona, vice-president EMEA Ben Bouldin said the line had “boosted commission” in terms of both base commission and targeted earnings.
6 12 MAY 2022 Royal’s commercial model is a
mix of base commission, guaranteed payments, frontline staff incentive schemes and co-op marketing funding, he explained. “Our support has got bigger [and]
has been very strong,” he said. “We are spending an extra 5% to
8% on average on commission over 2019 to capture the same guest, albeit on probably a lower ticket price. “But we’re mindful that we have
to make sure our product is attractive to sell both as a great vacation and so that it’s profitable and worthwhile for
“There are lots of organisations
lobbying. It’s about raising the bar. There’s no competition. It’s about enhancing the representation of the industry.” Participants in the Future Travel
Coalition said its name change reflected the fact the industry was now in a recovery phase from the pandemic and its focus was a longer-term commitment to keep working together to promote the interests of the travel industry. The group, which meets every month, will continue to work
Ben Bouldin
together on shared lobbying goals and challenges, both relating to the pandemic and other policy priorities, to ensure a coordinated industry voice and message to government. Recent joint activity has included
an industry survey to monitor booking trends and challenges in the UK travel industry, with evidence to be shared with officials and ministers. Abta public affairs director Luke
Petherbridge said: “The coalition has been an invaluable forum throughout the pandemic to enable the industry to share insights and coordinate our lobbying messaging and asks. “Continuing our work together
into the future will ensure we continue to exchange intelligence, coordinate messaging and add our combined weight to our arguments and lobbying requests.”
our trade partners to want to sell.” He added: “We won’t be
successful if we don’t keep the right dynamic between agents and our brand. We recognise we’re in a very different place, we’ve got to rebuild.” But he said: “I don’t want to be at
that level [of commission] for ever. The industry as a whole is being very generous right now to make sure we help business recover quickly.” Asked if cruise lines would pull
back from current commercial terms once the market has recovered further, Bouldin said: “I think they will
because the industry will want to get back to its same level of profitability. “When we’ve got more demand
than we have space, it’s within our gift to start being more selective on the levels of commercial we pay out. “Ultimately, we’re managing a
model to fill our ships.” Speaking to agent partners
during the showcase, outgoing senior vice-president of international sales Sean Treacy said: “We are very much a growth business and we
want you to grow with us.” iWonder of the Seas, page 12
travelweekly.co.uk
PICTURE: Charles Sturge
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