Travel Reference
In-Depth Information
are having to adjust their working methods to counter
the threat to their business posed by direct bookings
via the internet. This results in extra staff training and
the need to invest in the latest hardware and software.
when booking holidays and fl ights via the internet,
although security of personal and fi nancial data is always
a concern both for the customer and the travel agent.
Leisure travel agencies are developing sophisticated
websites of their own to compete with the well-
known e-agents such as lastminute.com, Expedia
and ebookers. The retail travel sections of the 'big
two' integrated travel companies - Thomas Cook and
Thomson/TUI - have a signifi cant web presence and
are reducing their numbers of travel agency branches
and diverting investment into web-based technologies
as they plan for the future. Many independent agencies
are following a similar business model.
Activity 9.6
Write a 500-word article for a travel agency magazine
that analyses how the use of technology has
impacted on the retail travel environment and retail
operational practices. Your article should focus on the
impact that technology has had on the present day
retail travel environment and how it has changed the
way in which retail travel agents operate. You should
provide real examples to illustrate your analysis.
Impacts of technology on retail travel
practices
This activity is designed to provide evidence for D2
Legislation in retail travel
Advances in technology are having profound impacts
on retail travel in respect of sales, types of products and
services sold, and administration systems. Agencies
that are unwilling or unable to adapt to internet-
based technologies are seeing their sales of traditional
package holidays fall. Use of the internet also leads to
much more late booking than has historically been the
case, with customers being able to research holidays
24/7. Those agencies that are embracing the internet
as a way of maintaining and developing sales are
having to invest in new administration systems to adapt
to different ways of selling and recording sales.
The following section of this unit investigates some of
the most important laws and regulations that apply to
retail travel agencies.
EU Package Travel Regulations
The main aim of the EU Package Travel, Package
Holidays and Package Tour Regulations 1992 is to give
people buying package holidays more protection and
access to compensation when things go wrong, while at
the same time harmonising the rules covering packages
operated throughout European Union countries. In the
normal course of events, travel agents are not bound
by the requirements of the Regulations, since they are
not the 'organiser' of the package, but the 'retailer'.
The Regulations defi ne these terms as follows:
As well as having impacts on travel agency sales,
products and administration systems, advances
in technology also affect operations, for example
distribution methods, booking processes, payment
methods and security. It is now commonplace to issue
e-tickets for airlines and other travel services.
Integrated travel companies are able to invest heavily
in new web-based technology to maintain their sales
volumes, but often at the expense of high street
branches. The booking process for holidays and travel
products has become much simpler with the advent of
the internet, as customers and agents become more
familiar with computer-based systems and e-mail
confi rmation. Payment methods for travel products are
also changing in line with purchases of other products.
Making payments online is becoming commonplace
•
Organiser - the person who, other than occasionally,
organises packages and sells or offers them for sale,
whether directly or through a retailer;
•
Retailer - the person who sells or offers for sale the
package put together by the organiser.
In the UK travel and tourism sector the organiser will
normally be a tour operator and the retailer a travel
agent. There may, however, be occasions when a travel
