ASTA Refutes Obama Slam of Travel Agents
By Mimi Kmet
August 18, 2011 3:30 PM
ASTA came out in strong support of the travel agency industry today in response to a statement President Barack Obama made regarding how the Internet has replaced many jobs, including travel agents, while speaking at a town hall meeting in Atkinson, Ill.
In his talk, Obama said, “one of the challenges in terms of rebuilding our economy is businesses have gotten so efficient that -- when was the last time somebody went to a bank teller instead of using the ATM, or used a travel agent instead of just going online? A lot of jobs that used to be out there requiring people now have become automated.”
“While the President’s intention surely was not to disparage the travel agency industry, his statement makes clear the need for greater education and understanding of the important role travel agents play in today’s travel marketplace,” said ASTA CEO Tony Gonchar. “ASTA has communicated with the president to ensure he understands the contribution travel agent make to the economy.”
In its letter, ASTA informed the president that today, the U.S. travel agency industry “is comprised of nearly 10,000 U.S.-based travel agency firms operating in 15,000 locations. We have an annual payroll of $6.3 billion. Most importantly, our businesses produce full-time employment for more than 120,000 U.S. taxpayers.”
Further, the U.S. travel agency industry processes more than $146 billion in annual travel sales, accounting for more than 50 percent of all travel sold, according to ASTA. This includes the processing of more than 50 percent of all airline tickets, more than 79 percent of tours and more than 78 percent of all cruises. It also helps more than 144 million travelers get where they want to go each year.
“The travel industry remains a business very much built on personal relationships,” Gonchar said. “Americans have the desire to travel, and they continue to turn to experienced travel agents to make these dream vacations a reality. Travel agents work as personal advisors to provide their clients with the best travel experience before, during and after their trip. Thanks to their in-depth knowledge, experience and industry connections, travel agents are able not only to save their clients money, but their most valuable possession -- their time.”
America’s largest corporations also benefit from the experience of travel management companies (TMCs), according to ASTA. TMCs’ trained staffs use online technologies in combination with management and security-driven strategies to ensure that a company’s budget guidelines are met and that the location of its traveling employees is known in the event of emergency. This high level of oversight, coupled with personal attention to detail, is the reason so many U.S. corporations trust their employees’ travel to the services of a reputable TMC, ASTA said.
A study by Forrester Research found that, in the first quarter of 2010, 28 percent of U.S leisure travelers who booked their trips online said they would be interested in using a good, traditional travel agent. Moreover, an ASTA study released earlier this year found that 51 percent of ASTA leisure-based travel agencies saw increased revenue in 2010 compared to 2009. For more information, call 703-739-2782.
8/18/11
slam? seriously? what he said was neither a "slam" nor disparaging. He - like so much of the public - is definitely misinformed about travel agents. But when I hear the terms "slammed" or "disparaging" it leads me to believe someone was verbally attacked ... I thank ASTA for correcting the President's misperception, but do feel they over-inflated the issue to make themselves look like their actually doing something to support / promote travel agents.
8/19/11
I totally agree the word Slammed or Disparaging was a little to much. I think our president just needs more information like the public. I train people to become agents and I love what I do. Asta get it right. Thank you for responding and correcting yourself in regards to President Barack Obama statement.
8/19/11
I agree that our industry needs to continue it efforts to promote itself to the public. But that is true with any industry. But I also think that our president needs to do better research before he opens up and makes a blanket statement about an entire workforce. He could just as well have stated when was the last time you bought a cd at a music store or bought a book at your local bookstore. I can think of very few industries that are not challenged by the internet business model and it is irresponsible to single out just two.
8/19/11
I disagree that President Obama was "Slamming" travel agents If the Quote above is what He Said. The President is just "Speaking from his point of limited understanding" or generalizing. It is true that our industry must continue to "automate". I have a saying which is true in all industries. "If you use a HUMAN to do what someone else can do with a MACHINE, you will get beat in the Marketplace". Use a Human (like digging manually with a shovel) when another uses a Machine (Backhoe equipment) you can not compete. IF the man with the Machine has enough Business to make payments to the bank, you will not beat him with a ditch full of men with shovels. If you were an "Order Taker" or "Transaction Maker" and did not transition you are either no longer in our industry or you are "unproductive". I assume that ASTA is stating correct dollar volumes, but it probably a combination of MEN and MACHINES generating the volume. Computers Sort, Tabulate, and Assimulate information efficiently and then allow HUMANS to Reason or make Judgment calls. Without the aid of automation we can not serve well. When we use automation the Human can then add the "Caring touch" (that no machine can add). I call it putting the "Cherry on top of the whipped cream" on an icecream sundae. So the President's statement is correct in the fact that as Automation is enhanced and becomes more productive you best not keep a human doing that task unless they work for free. They must transition to tasks in our industry or any other that are not efficiently being processed by machines. Such as "Consulting", Counseling, making Judgment Calls, Packaging of services (as even dynamic packaging is still in infancy in automation) I like the President don't want to have to go to brick and motar banks, or even use cash (use a debit card) unless forced by the surroundings I am in. Go Automation which makes our complex lives simpler.
8/19/11
Whoever is responsible for this headline owes the president an apology.
8/19/11
I add to voices about - the Industry is not being "slammed", though I think a headline like this from Travel Pulse ensures that people read the article. Glad to see that ASTA did communicate our industry's contribution to the economy and society at large. The point I would like to make is organizations like ASTA/The Travel Institute and other larger bodies are the ones who should be educating not just the President (some one in his staff probably put that in there) but also the general public including the Media. Trade Magazines like TP also should be making the effort to merge this information with the main stream media. The quotes one hears in the media is usually a few different travelers but very rarely do I see a quote being referenced from any of the various travel journalists who are offering and doing a great job of communicating with the trade. Similarly neither are the various suppliers really informing the public at large that they do still work with TA's. So I think the many layers that are currently oiling our industry should be actively involved in educating the masses.
Finally, next time TP want's to put a headline out it might be worth considering on the accuracy of the statement as well as the final impact of words. Do take your job seriously versus just thinking of the "click ratio".
8/19/11
The problem with this President is that he is misinformed and ignorant about everything. The Presidency is not a place to learn "on the job".
8/19/11
Hey Chris, off topic. Not the place for a slam. Try a constructive comment instead.
8/19/11
Hey Chris, off topic. Not the place for a slam. Try a constructive comment instead.
8/19/11
It is true that the ability to do many things through the internet has resulted in a loss of jobs in many industries, so the presidents comments are correct and not disparaging. There are many people who are quite capable of researching travel packages on the internet and simply booking online, so it is incumbent on the industry to educate the public on the "value" added by a travel professional. I think that in cases people believe they are saving money by booking on line as they can avoid the agent's commission. I explain to them that if they find a "deal" on line that in almost every instance I can match that deal or can explain to them why it is "too good to be true". And that when they book through a travel professional they are working with someone who can, from first hand experience, give them insight on the destination, ship, etc. Also, I explain to them that if something happens during the trip, if they booked on line they are on there own. If they book through me I am there to help them work through the problem or can take control of the situation and get it resolved for them.
8/19/11
How about ASTA take action to help inform the public about the advantages of using a travel agent rather than attacking the President. Though I believe the president could've used a better choice of words, he thinks just like majority of America these days. Come on ASTA, where's the consumer awareness.
8/19/11
The president's comments are indicative of the ignorance of both the general public and many in the travel industry who don't understand the value of travel agents. Instead of bitching about what was said and what the headline read it might make sense to look at this industry, including associations, and try to figure out why after so many decades people still don't understand the value that agents bring...to the consumer and the industry.
8/19/11
is the president saying that he gets online and books his own?
8/20/11
I disagree...the President did "slam" the travel agency profession by basically saying it was no longer relevant....read exactly what he said. No, he didn't criticize travel agents.....he did something worse....he said they were irrelevant in today's society. So that actually might be worse than a "slam" (And I'm an Obama supporter). Let's use the president's "ignorance" on this as a teaching moment for the rest of the public
8/21/11
The term travel agent is archaic and not at all relevant in today's society. My company is a travel services provider for wont of a better category. Come up with something brilliant and I'll gladly revise my company description.
Travel companies are able to advise, sell, consult, wholesale, retail, partner with others and act as brokers.
The President used a sound bite. Should someone actually give him a one paragraph brief that explains the difference between the old fashioned phrase, travel agent, and the more contemporary phrase travel planner or travel consultant, he will get it in an instant.
I'm not sure how long it will take the public to get it, but media plays a huge role and the trade press could be instrumental in this teaching moment.
8/22/11
This article shows a political bias by its use of the phrase "Obama slam". The President did not "slam" travel agents, he just pointed out what many of us are finding that people perceive that they are getting lower prices by booking on line, by purchasing almost anything on line. This is something that many of us in the traditional travel sector have been trying to fight. Yes, there are an increasing number of people that are finding that they have a much better experience with a human travel agent. Also, many are not comparing prices and finding that the online agencies are slowly adding and increasing service fees which some of us in the traditional agencies do not carry. While the President's words may not have been accurate, he was stating a trend in business in general. From now on, I hope this ONLINE periodical will not impose its political views and just stick with the facts.
By the way, why is this on the internet and not in a print magazine or newspaper? How many people are YOU putting out of work and how many dollars are YOU keeping out of hte US economy? Hmmmmmm.......... Kind of makes you think, doesn't it?