Working With Travel Suppliers: A Guide To Collaboration And Success

Working with travel suppliers is an essential part of the travel industry, with suppliers being the hotels, restaurants, and activity providers that travellers interact with. Travel agents and tour operators act as middlemen, liaising with suppliers to organise and book travel itineraries for their clients. While travellers can now organise their trips independently, the role of the travel agent remains important for trips that require thoughtful planning and expertise. This includes helping clients create trip plans, negotiating hotel rates, determining travel costs, and advising on activities and required travel documents. To become a successful travel agent, it is important to develop interpersonal skills, research planning and budgeting techniques, and gain knowledge of the travel industry and its suppliers.

Researching and qualifying suppliers

When researching and qualifying suppliers for your travel business, it is important to take a thorough and focused approach. This will help you craft amazing itineraries and build enduring supplier relationships. Here are some key steps and considerations to keep in mind:

Define Your Niche

It is important to focus on one or two types of travel in a specific region, type of travel, or destination. This will help you develop expertise and focus your research process. Having a niche will also help you choose suppliers that align with your business and values.

Set Clear Goals

Having clear goals for your research process will help you stay focused and efficient. Some goals to consider include:

• Presenting clients with trip itineraries that cater to different price points and budgets.
• Anticipating your clients' needs and questions, and being able to provide answers upfront.
• Finding suppliers that exceed your clients' expectations and offer unique experiences.
• Building long-term relationships with suppliers that you want to work with again and again.

Qualities to Look for in Travel Suppliers

When assessing potential suppliers, there are several key qualities to look for:

• Suppliers you can stand behind and believe in. Ideally, you will have experienced these suppliers directly or have a good understanding of what they offer.
• Suppliers with great customer service and responsive reservation systems.
• Suppliers that complement your existing relationships and offer diverse products or services.
• Suppliers that are a good fit for your clients' needs, preferences, and "must-haves".
• Suppliers that offer a favourable commission structure and clear payment terms.
• Suppliers that have a good relationship with your consortium or host agency.
• Suppliers that are active in the travel community and offer marketing support.

Research Specific Suppliers

Once you have identified potential suppliers, it is important to research them thoroughly. Here are some key things to consider:

• Anticipate questions your clients may have about the suppliers' products or services, and be prepared to answer them.
• Focus on the experience your clients will have, not just the logistics.
• Utilize business development managers (BDMs) to gather information and insights about the suppliers' products or destinations.
• Build relationships with suppliers by attending their webinars, staying current on updates, seeking them out at conferences, and engaging with their online communities.

Negotiate and Build Relationships

As you work with suppliers, it is important to negotiate fair contracts and build strong relationships. This may include negotiating hotel rates, developing alternative travel plans, and determining travel costs. Clear and open communication is key to maintaining positive relationships with your suppliers.

Negotiating hotel rates

Timing is Everything

The time of year and day of the week you plan to travel will have a significant impact on your ability to negotiate hotel rates. Hotels are more likely to lower their rates during the low season when they are struggling to fill rooms. In most places, tourist season peaks around Easter, Christmas, New Year's Day, and the summer months, so try to book outside of these times. It's also a good idea to avoid weekends, as hotels tend to be busier and less likely to offer discounts. Mid-week bookings give you a better chance to negotiate a lower rate.

Do Your Research

Before contacting hotels, take the time to research their published rates, as well as the rates offered by their competitors. This information will be useful when negotiating, as it shows you are informed and allows you to make comparisons. Additionally, look into any special rates or discounts the hotel may offer, such as those for AAA members, seniors, or loyalty program members. This information is usually available on the hotel's website or through online travel agencies.

Contact the Hotel Directly

When you're ready to negotiate, call the hotel directly instead of using a national reservations service or third-party booking site. Ask to speak with a manager, as they often have more flexibility in offering discounts. Be polite and respectful throughout the conversation, and mention if you have stayed at the hotel before or if it was recommended by a friend. Let the manager know your preferred travel dates and ask if they have availability.

Ask for a Lower Rate

Once you have the quoted rate from the hotel, don't be afraid to ask for a lower price, especially if you are booking directly. Remember that hotels often pay commissions to third-party agents, so they may be open to offering a better rate directly to guests. If the manager is not willing to lower the rate, you can inquire about other rooms that may be available at a discounted price or ask for a complimentary upgrade.

Negotiate Add-Ons and Amenities

If you are unable to get a lower room rate, you can try negotiating for additional amenities or services to be included in the quoted rate. For example, you could ask for complimentary breakfast, spa services, or late check-out. These extra perks can enhance your stay without increasing your budget.

Be Flexible

Sometimes, making small adjustments to your travel plans can lead to significant savings. If the hotel indicates that your desired dates are particularly busy, consider changing your travel dates to a less busy time. You can also try extending your stay, as hotels may be more willing to offer discounts for longer bookings.

By following these tips and being friendly and persistent, you can successfully negotiate hotel rates and enjoy more affordable travels.

Creating trip plans

Understand Client Preferences and Requirements:

Before designing a trip plan, it's essential to have a comprehensive understanding of your client's preferences and requirements. Discuss their budget, schedule, ideal vacation activities, preferred travel method, and any specific needs or interests they may have. For example, if a client mentions a fear of flying, suggest alternative travel options like a cruise. Understanding these factors will help you tailor the trip plan accordingly.

Research and Select Suitable Destinations:

Based on your client's interests and budget, research and select destinations that align with their desires. Consider the availability of activities, accommodations, and transportation options. Look for destinations that offer unique experiences that match your client's interests, whether it's adventure activities, cultural immersion, or relaxation.

Develop a Detailed Itinerary:

Create a day-by-day itinerary that outlines the activities, accommodations, transportation, and meals for each part of the trip. Ensure that the itinerary is well-paced and doesn't overwhelm the client with too many activities in a short period. Consider including some flexibility for spontaneous experiences or changes due to unforeseen circumstances.

Anticipate Client Needs and Questions:

Think ahead about the types of questions your client may have regarding the itinerary. Address potential concerns or uncertainties they might have about the destinations, activities, or travel arrangements. Provide clear information about health and safety protocols, travel documents (like passports or visas), and any other essential details.

Include Value-Added Options:

Surprise your clients with value-added options that enhance their trip experience. These could include upgrades, transfers, local tours, or unique activities that align with their interests. Presenting different price points and impulse buys can make the trip plan more appealing and tailored to their budget.

Collaborate with Suppliers:

Work closely with trusted travel suppliers to create a seamless experience for your clients. Select suppliers who offer high-quality services, have favourable commission structures, and complement each other to provide a diverse range of options. Building strong relationships with suppliers will help you create more personalised trip plans and ensure your clients' satisfaction.

Remember, creating trip plans is an art that combines your expertise with a deep understanding of your client's desires. It's an iterative process, and with each trip, you'll refine your skills and build a portfolio of satisfied travellers.

Building relationships

Communication

• Connect with the right person: When communicating special requests or needs, contact the designated sales manager or the direct contact provided by the supplier. Avoid reaching out to top executives, as they will likely forward your information to the relevant person, creating an unnecessary delay.
• Consolidate information: Instead of sending multiple emails with updates, gather all the necessary details and send them in a single, well-organised email. However, be mindful not to overwhelm the recipient with an excessively long message.
• Be clear and accurate: Ensure your messages are direct and precise, especially when dealing with suppliers from different cultural backgrounds or languages. Always proofread your emails to avoid miscommunication.
• Be responsive: Respond promptly to emails or inquiries from suppliers, just as you would expect the same courtesy from them.

Collaboration

• Do your research: If you are unfamiliar with a destination, take the initiative to learn the basics, such as notable attractions and transfer times. Communicate your level of knowledge to the on-site supplier to avoid unnecessary explanations.
• Share client information: Provide suppliers with as much relevant information about the client as possible. This includes not only the purpose of their travel but also any special requests or circumstances that may impact their experience.
• Accept ownership: If you make a mistake or overlook important details, take responsibility and be honest about it. This fosters trust and allows for a more positive problem-solving dynamic.

Consideration

• Recognise shared goals: When issues arise, take a moment to pause and understand the situation from the supplier's perspective. Communicate objectively and be open to their suggestions for resolving the problem.
• Understand their business needs: Respect the supplier's limitations, especially when dealing with locally owned businesses. If their offerings don't align with your needs or budget, seek alternative options.
• Manage your requests: When asking for special rates or complimentary services, remember that suppliers have budgetary constraints. Don't take it personally if they can't accommodate your request, and be transparent about the nature of your travel if granted a special rate.

Courteousness

• Engage with suppliers: Make an effort to attend sales calls and events organised by suppliers. This demonstrates your interest and commitment to building a relationship.
• Provide feedback: Share constructive criticism when serious issues arise, as this can help suppliers improve their services and address potential problems. However, refrain from offering feedback on minor, one-off occurrences.
• Show appreciation: Express your gratitude to supplier hosts through email or handwritten thank-you notes. This simple gesture can go a long way in fostering a positive relationship.

Additional Tips:

• Apply the Golden Rule: Treat suppliers the way you would like your clients to treat you. Respect their time, be considerate, and maintain open communication.
• Attend industry events: Travel trade shows, conferences, and networking events offer excellent opportunities to connect with suppliers and create memorable, personal interactions.
• Utilise social media: Engage with suppliers through platforms like LinkedIn, Twitter, and industry forums. This helps build relationships and keeps you updated on the latest industry news.
• Stay committed: Building strong relationships takes time and effort. Focus on cultivating long-term partnerships rather than short-term transactions.
• Be professional and responsive: Respond promptly to inquiries, maintain clear communication, and always follow through on your commitments. This builds trust and enhances your reputation.
• Understand their perspective: Empathise with the challenges and goals of your suppliers to negotiate effectively. Demonstrate your willingness to find mutually beneficial solutions.
• Negotiate with a win-win approach: Aim for deals that benefit both your clients and the supplier. Focus on added value and unique experiences, in addition to price.
• Leverage client feedback: Share positive testimonials and reviews to showcase the exceptional services provided by your suppliers. This will strengthen your partnerships and encourage continued collaboration.
• Stay updated: The travel industry is constantly evolving, so stay informed about new destinations, trends, and technologies. This ensures you can align your clients' needs with the offerings of your suppliers.

Understanding the industry

The travel industry is a complex and dynamic field with various stakeholders working together to create memorable experiences for travellers. Understanding the industry is crucial for anyone looking to work with travel suppliers. Here's an overview:

History of the Travel Industry

The travel industry has evolved significantly over time. Before the mid-20th century, travel was a privilege reserved for the extremely wealthy, involving extensive time and money. The concept of a 'travel industry' didn't exist, and hotels, restaurants, and coach lines operated independently. However, the development of commercial airlines after World War II democratised travel, making it more accessible and affordable. This led to the emergence of travel agents and tour operators who catered to the growing number of people wanting to explore the world.

Key Players in the Travel Industry

The travel industry ecosystem comprises several key players, each contributing to the overall traveller experience:

• Tourism Boards and Government Organisations: These entities regulate the industry and promote their destinations to potential travellers.
• Suppliers/Vendors: Suppliers include hotels, restaurants, and activity providers that travellers interact with directly.
• Tour Operators: They design customised itineraries, liaising with suppliers to organise and book travel experiences.
• Travel Agents: Travel agents work with tour operators to book packages and tours for their clients, often having a broader reach than tour operators.
• Destination Management Companies (DMCs): DMCs specialise in providing tours, logistics, and planning services for specific destinations, often reselling their services to tour operators.
• Ground Handlers: They handle day-to-day operations like airport transfers and sightseeing tours.
• Associations and Memberships: These organisations support, promote, and create opportunities for other industry players, focusing on sustainability, luxury travel, or niche markets like LGBTQ-friendly travel.

The Impact of Technology

Technology has transformed the travel industry, making it more accessible and efficient. Smartphones and apps have empowered travellers to plan, book, and manage their trips independently. For travel agents and tour operators, itinerary software has streamlined processes, from creating itineraries to managing customer relationships. However, this technology has also led to fragmentation in the industry, with travellers opting for self-planning or online booking platforms.

The Future of Travel

The pandemic caused a pause in travel, leading to a re-evaluation of sustainable and responsible tourism. Both countries and travellers are now more focused on encouraging and experiencing sustainable travel practices and destinations. This shift has resulted in a significant rise in tourism in 2022, indicating a potential plateau in the following years.

Frequently asked questions