5 2


Agency start-ups drive expansion


Lee Hayhurst lee.hayhurst@travelweekly.co.uk


Travel agency consortia have reported increased interest from start-ups as official data showed small businesses are driving growth in agency numbers.


Government data analysed for


this year’s Travolution Innovation Report has revealed the number of


agencies is up despite the number of agency workers going down. The increase is being driven by


a rising number of small agency businesses employing just one to nine people, according to Office for National Statistics (ONS) data. David Moon, head of business


development at The Advantage Travel Partnership, said: “We’ve certainly experienced an upward trend of start-up enquiries over the last 12 months. “And over the last two years


we’ve seen an increase in retail agencies, primarily employing two to four people, who have joined our Advantage Managed Services (AMS) scheme. “The retail sector is an


attractive opportunity to young entrepreneurs, both from within


and outside the industry.” Advantage now offers an incubation period for new members to help them through the process of applying to set up and establish a new business. Andy Stark, chief executive of


Global Travel Group, said: “The data shows there are fewer people generating more revenue in a more efficient environment. “Although the number of travel


agents is going backwards, that could be because of technology and jobs being automated. “We continue to bring small


firms into travel. It’s a very positive story and it endorses my view that as the travel market expands and becomes more complex the need for experts grows.” Abta, which collects data


differently to the ONS, said its figures showed there were 3,613 agency head offices, branches and managed branches in the UK plus 1,614 homeworkers. Abta’s ‘Driving Growth: The


Economic Value of Outbound Travel’ analysis, published in January, found 90.7% of agency and tour operator businesses in


the UK employ one to nine people. › Business, back page


3


Travel Counsellors chief executive Steve Byrne


STORIES HOT


Byrne hails new ways of working


Amie Keeley amie.keeley@travelweekly.co.uk


An increasing number of Travel Counsellors agents are employing their own staff or partnering with fellow agents to “liberate talents” and grow their business.


Travel Counsellors claims to Automation is


driving efficiency in agencies, says Global’s Andy Stark


have developed five types of home-based models to meet the differing needs of its agents. These are: the employment model – travel counsellors with their own limited companies and a team of staff; travel counsellors who partner with fellow agents remotely and set up reciprocal commercial terms; groups of travel counsellors who share offices and pool their income; those who manage an account but have a team to fulfil the bookings; and those working solo from home. Chief executive Steve Byrne said the last of these is still the heart of the business, but other ways of working which play to the individual strengths and needs of its travel counsellors had emerged. Byrne said: “Historically, the model is that we have a network of industry people working from


“To scale your business, you have to liberate talents, and you reach a point where you can’t do everything yourself”


home, self-employed, using our platform and commercial deals for corporate, leisure and cruise. “What has happened over time is that travel counsellors are adopting different operating models. To scale your business, you have to liberate talents, and you reach a point where you can’t do everything yourself. “There’s no limit to what you


can do. When I joined, the top seller turned over, say, £1 million, but it’s now £5 million and the reason they can get there is because they have the ability to do more than they were able to do. “Equally, it might not be to scale;


it might be for a better work-life balance or to specialise.” Between January 2018


and January 2019, 190 travel counsellors joined the company and 40 new agents are due to start


this month. › Face to Face, page 12


21 February 2019travelweekly.co.uk5


PICTURE: SHUTTERSTOCK


PICTURE: PAUL HEYES PHOTOGRAPHY

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