
by Brian Major
Last updated: 11:00 AM ET, Mon October 28, 2019
Who says a travel agent can't open a center-city, brick-and-mortar location in 2019?
Tom Carr, a veteran Kentucky-based travel retailer, started as a traditional agent but by 1998 he had founded one of the first online companies dedicated exclusively to all-inclusive resort vacations.
After a second round of investment in early 2016, Carr led the company to a successful transfer and exited the business. But along the way, something had changed. The sense of fun and adventure he'd experienced in earlier days as an agent selling and traveling across the Caribbean, Mexico and other destinations had virtually vanished. That process ultimately led Carr to open Preferred Vacations in Georgetown, Ky.
The agency's grand opening and ribbon cutting are scheduled for November but the location is already open. We spoke with Tom to inquire about why he'd launch a brick-and-mortar agency - and how he has managed to create success - in 2019.
TravelPulse: What did your travel colleagues say when they learned you were opening a brick-and-mortar agency?
Tom Carr: A couple of people I was talking to said, "Oh my god!" I'd [started] a website in 1998. It was a blast in the beginning because I couldn't possibly answer all of the leads I had. I had to keep hiring people and it kept growing.
But it became very transactional. I was just sitting around while the machine cranked out the bookings. I never talked to any customers.
It became more of a managerial thing and [about] trying to handle HR, the website and developing the website, and building a tech team. It became not about travel, [but] about the technology and being ahead of the game and how do I get more traffic. I had four bosses, who were investors.
TP: How did things ultimately work out?
TC: I sold 57 percent of the company [in 2013] and then sold the rest in 2016. I was on a no-compete but I could sell things like Hawaii. So I kept my [office] door locked and I had the shades kind of pulled down.
I talked to some agents and they seemed to be doing fairly well. These [agents] were home-based or brick-and-mortar. They weren't competing with what I was doing. They were selling! I thought I should explore bringing some people on [as agents].
TP: Did you have help?
TC: Kelly, who is in my office now, had been asking for a year to become a travel agent. So I said, "I'll take you on. You bring in the leads and I'll do the bookings." She was coming in every day, so I thought "I'm just going to leave my door open."
I had a small sign on the door so that the mail and UPS guy could find me. I had people rolling in here out of the blue and they're like, "Hey I want to talk about a Beaches vacation" or "Hey, I want to talk about Key West" or whatever it was.
I figured if I have this many people finding me out of the blue, then what could I do if I had a storefront? So I went down and talked to my landlord and said I needed a space right in the heart of town. He said he had an attorney moving out. I told him I wanted to make changes to the space. I wanted to be a showplace for travel, not just any space.
TP: What happened as you were building the space?
TC: I can't believe how many people stopped in here! The construction people can tell you.
TP: How is the business working out?
TC: There's one agency up the street that's been here for 35 years. She had a monopoly on all the business around here, but we're still growing. We have 70,000 [consumers] around the county.
We've got a Toyota plant that's really made this town blossom. We're right outside of Lexington and we even have people driving over from Lexington here. People want someone to sit down and talk with them, and they see my Google reviews and say "You have great reviews." I'm blending what I knew from online [retailing] to create a following locally.
TP: What has the experience taught you about the industry?
TC: There's been a shift here. The people are so overwhelmed they can't even go online and figure it out. They tell me, "I've been looking at this for a month. I just need someone to help me."
We did a soft opening at a festival on Main Street. People were coming in in droves! One man took me aside and asked why he would ever use a travel agent. I said, "Have you heard about all of the mistakes people have made when they booked their own travel but never told anyone?"
TP: So you're really focused on consulting as well as selling?
TC: You don't do your own surgeries. I don't know enough about the real estate business to really represent myself well. I could sell anything, right? But I need someone who knows the ins and outs of contracts. I need someone to do that for me. I can't do a closing. I'm not a lawyer.
Self-service doesn't work on complicated trips. If you want too book yourself to Las Vegas, go for it. Try booking a multi-stop in Hawaii by yourself, or finding the places you need to be on the islands. That's why I started getting back into it. I'm energized because people come in, they love what I do and they love that we know these destinations, we've been there and we have connections.
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