Online Travel Bookings Still Leave Users a Little Lost
Nine Years after the inception of the internet as a viable option for online travel bookings through travel websites, many of the world's leading travel agents like Flight Center and Harvey World Travel have begun to publicly comment on the impact the internet is having on their business revenues and growth.
In the recent article "Travel Agents Confront DIY" by Allen and Wisenthal in the Weekend Australian Financial Review, it is made clear that travel agents appear to be having difficulty in light of high fuel surcharges, diminishing commissions and most importantly the prevalance of the travel websites as a very real and viable medium for online travel bookings.
The Wotif.com (Online travel booking website) founder and director Graeme Wood was quoted to have said "people seem happy to research and transact online as it is the lowest cost distribution channel available: the travel agents who will succeed are those who find niche markets".
However, Flight Center managing director Graham Turner describes the internet as a "double edged sword" in that although many individuals are making more simple travel bookings online, there has been a significant increase in visits to shops due to inquiries made initially online.
Overall, he states the number of travel bookings made online via websites such as Webjet is still "pretty minimal". According to Harvey World Travel managing director John Donnelly, this may be due to the fact that some consumers still appear to be a "little lost" when finalising online travel bookings.
It would appear that the travel agents are winning the war at the moment with each of the main players still reporting growth in the 2005-06 year, but with the increased costs discussed above, the internet sites may be able really cause a problem for the travel agents if they can successfully extend their services to those that still feel a "little lost".
Wiliam is an experienced provider of website development solutions to the travel industry.
