Author Topic: Paano magtayo ng travel agency at maging travel agent? (Read 11414 times)

Amberthe · « **Reply #15 on:** Aug 22, 2009, 10:51 PM »

interesting biz. I think many people wants to travel if given the chance.

Langerhans · « **Reply #16 on:** Aug 23, 2009, 04:11 AM »

Is this for franchise or you are looking for investors?

momsie · « **Reply #17 on:** Aug 23, 2009, 03:41 PM »

Langerhans, it's for franchise if you are looking at a travel business online where you can find what you would normally look for in a store front agency but if you are not interested on the business side you can use the site to search for the best deals on your next travel and book online. Maybe I should invite you to the presentation to explain the benefits of being a member. Just text me when you are available. Thanks.

PMT Forum · « **Reply #17 on:** Aug 23, 2009, 03:41 PM »

* * * * * sponsored links * * * * *

Langerhans · « **Reply #18 on:** Aug 23, 2009, 11:12 PM »

I dont have an idea kc how a travel agency operate and how many years is the ROI or the monthly profit. You mean you should set- up an office but all the transaction and booking is online? Currently, Im overseas. Do you have any business details or presentation that you can send me? My email is langerhans_xp@yahoo.com

momsie · « **Reply #19 on:** Aug 24, 2009, 12:48 AM »

Hi Langerhans,
Have you tried to open my business center? Pls. check it out http://www.sunflowertours.gttrends.net
Everything you want to know is there including a business opportunity
flash presentation. You don't need to set up an office because you can do
it homebased. Noted your email add and will send you more info. Thanks.

Langerhans · « **Reply #20 on:** Aug 24, 2009, 02:07 AM »

I already saw the Powerpoint presentation, so this is a software? How can one subscribe to you or buy tickets from you for their travel if there is no marketing? If payment is thru credit card, how can you get the payment in cash? Is this commission basis? The website is dull and looks old with no updates? Sorry ha, parang di ko po naintindihan how it works. If I am there maybe i will understand more if I attend the actual presentation.

Bizsolutionsph · « **Reply #21 on:** Aug 26, 2009, 01:26 AM »

Quote from: Langerhans on Aug 23, 2009, 11:12 PM

I dont have an idea kc how a travel agency operate and how many years is the ROI or the monthly profit. You mean you should set- up an office but all the transaction and booking is online? Currently, Im overseas. Do you have any business details or presentation that you can send me? My email is langerhans_xp@yahoo.com

The operations perse are very complicated. The ROI, like any standard business is 1-2 years depending on your ability to manage and market your business. If you focus on walk-ins and consumers and friends and family lang, you won't make up for your overhead as the profit margins are VERY low. The best way to make money with a travel agency is to:

a) do bulk sales, which means tying up with a company and being their preferred travel agent
b) focus on tour packages (kaya "travel and tours") which you give to foreigners
c) start solo with a homebased travel agency which will allow you to save on your overhead - specifically rent and labor

Whatever business you start - its success (in terms of getting customers) is all about marketing. Two people can put exactly the same type of business with side by side and the one that will succeed is the one with more business savvy. There is no such thing as "build it and they will come." In other words, just because you put up a business, it doesnt mean that it will earn money. Marketing is key

marcopolo · « **Reply #22 on:** Aug 26, 2009, 02:12 AM »

Quote from: Bizsolutionsph on Aug 26, 2009, 01:26 AM

...the profit margins are VERY low.

Sir, how low? can you give us a ballpark figure? Say round trip ticket MNL-LAX, or Manila-Cebu.

Can you make money by tying up with resorts or hotels?

Langerhans · « **Reply #23 on:** Aug 26, 2009, 02:27 AM »

@bizsolutionph

thanks for the info. Parang wala ako time para mag market unless siguro if I hire somebody to do it. So again it will add up to the overhead expenses.

marcopolo · « **Reply #24 on:** Aug 26, 2009, 04:10 AM »

Dagdag ko lang:

I once bought a round trip ticket Manila-Hongkong-Johannesburg and it was 500USD cheaper than paying through a travel agency. Made me think if I could sell just 10 of these I could make 5K easily, and I know 1 company with >40 Pinoys using the same route coming and going every year. Aha! jackpot 'to, so I inquired with an airline only to be put down because they only entertain IATA members.

Now question is, tama ba presumption ko? Bizsolutions says there's very low profit, I thought all along there's money to be made.

Please enlighten me. Thanks.

Bizsolutionsph · « **Reply #25 on:** Aug 26, 2009, 01:17 PM »

Profit MARGINS are low for ticket sales. If my math is right, 5-10 percent lang. Ei - if you sell tickets worth 10k, you only earn 500-1000 pesos for that. The trick for making money sa travel agency is thru bulk deals. Travelers are smart. You can't just markup the price of tickets especially if they are available online directly to consumers.

IATA is an organization that gets large discounts from airlines. So their profit margins are a little larger than that. But its very expensive and the requirements to become an IATA member are very stringent.

Other "tricks" to get profit is to buy up bulk reservations when there are promos. Airlines don't publisize their promos well and you have to constantly be aware of what they are doing. So for example cebu pacific has a promo na 1 peso ticket plus whatever to local destinations like boracay or palawan. A travel agency will buy those "slots" / "tickets" from them, then sell it later when the promo is over.

Tie ups with resorts are also a way travel agencies earn. You can't mark up the price but you get discounts which in turn become your profit. For example, my colleaugue owns hidden valley. They get tourists all the time from travel and tour companies. They give the travel and tour company a discount say at 20% so instead of paying for example 100 usd per head, the travel agency only pays 80 usd. Then they charge the korean tourists 100 usd as per the real price of hidden valley.

Let me clarify this, the profit MARGINS are low - not the profits perse. Profit margins means you PATONG mo. For travel agencies, maliit lang ang kita mo per sale so you will have to sell it in quantity. If you do it right, you can earn hundreds of thousands if not millions anually.

As a conultant, I always advice my clients to start small scale first to test out the market and if its worth your initial commitment. If you are planning to start one, I advice that home first (minimal monthly expenses). The capital will just be for the ticketing software and government registration papers. Wala ka nang problema sa rent downpayment, sss to employees, office lines, computers and so on and so forth. You will net around at least 1500 per day once you get your niche and repeat customers. In essence, you will be working like a travel agent pero sa yo yung profits instead na sweldo ang kukunin mo. Once you feel that your "small scale" test is successful and would want to continue, then you get an office. By then, establoished na yung tie ups mo with resorts and companies that have business trips

momsie · « **Reply #26 on:** Aug 26, 2009, 04:36 PM »

I'm with GT Trends, it's a homebased online travel agency We are booking travel packages and tours worldwide. The franchise is very affordable. You can use it for business or personal travel because of the discounts you can avail as a member. Check out my travel store http://sunflowertours.gttrends.net or attend a business presentation on saturday at the GTT local office in Ortigas - PSE bldg. Text me to reserve a seat for you 09224369481.

joat · « **Reply #27 on:** Aug 26, 2009, 09:37 PM »

Quote from: Bizsolutionsph on Aug 26, 2009, 01:17 PM

Other "tricks" to get profit is to buy up bulk reservations when there are promos. Airlines don't publisize their promos well and you have to constantly be aware of what they are doing. So for example cebu pacific has a promo na 1 peso ticket plus whatever to local destinations like boracay or palawan. A travel agency will buy those "slots" / "tickets" from them, then sell it later when the promo is over.

Ask ko lang po sir di ba buying promo tickets mayroon ng namelists and how do you do bulk reservation on promo?
Thanks

Bizsolutionsph · « **Reply #28 on:** Aug 27, 2009, 11:40 AM »

Quote from: joat on Aug 26, 2009, 09:37 PM

Ask ko lang po sir di ba buying promo tickets mayroon ng namelists and how do you do bulk reservation on promo?
Thanks

When it comes to specific details of the business processes and operations, like this one, I am not familiar with it.

My specialty when it comes to this is business development and marketing (getting clients). When it comes to processing clients, dealing with IATA suppliers and airlines and resorts, I am not familiar with the standard operating procedures.

I am a bit fimiliar with the business as I have colleugues who owns travel agencies and I got to talk to them about the general business side of it. When it comes to specifics, these are things taught by travel agency specialist / consultants (who charge over 100k just for the consultation - but at least you can get her to council you while you are setting up your business).

Business maker academy and business coach philippines have seminars teaching such specifics. My company has one-on-one / one-on-two consultations. The seminars I think are around 3,000 php to 3,500 php (you will have to check their site for the schedules), while our consultations are 7,000 php.

Or if you know a manager or travel agent you can just ask him such specifics. That would be free, if not, a beer.