Marriott International this year stopped paying commissions to businesses that fit its description of a card mill. It recently took a second company, Global Travel International, off its card mill list (see related story, "GTI comes off Marriotts card mill list"). Fred Miller, Marriott vice president, global sales, discussed this and related issues with Travel Weekly's editor at large, Nadine Godwin.
Q: Do you envision taking any more businesses off the card mill list?
A: It's up to them. We've had lip service from some, but no action. No one has been in touch with us lately. You'd think they would let us know.
Q: Are you still adding names?
A: I wouldn't say we've got our list. We are monitoring what people are saying, and things come to our attention. But our objective is not to add to the list. We want travel agents to be selling travel.
Q: What does researching suspect operations involve?
A: Normally, we make test calls, asking what it takes to become an affiliated agent. We ask,"What's in it for me?" But the calls aren't all we do.
Q: When you announced the no-commission policy for card mills, you called on other suppliers to take their own steps. I have seen nothing.
A: Nor have I. Some segments don't care. Some don't care that should care.
They don't care if they pay commissions to anyone who prints a card, but commissions are not a birthright.We feel good that a couple of accounts -- not just because of Marriott but maybe we brought it to a head -- have changed their models. It is not our job to figure out how not to do business with people.
Q: Are you making any other efforts to encourage others to act?
A: Are we soliciting? No. For my own education, I have asked others in a different segment why they don't act. They gave their reasons, and I did not debate them.
Q: Is it fair to say that all other suppliers benefit when you achieve a "conversion," as in the case of GTI?
A: Yes.
Q: Turning to home-based agents who do business without a host: In the U.S., you have only recognized the travel services intermediary (TSI) program operated by Iatan. More recently, you launched a trial period for commissioning agents holding the TRUE and TravelSellers ID numbers. How is the test working out?
A: Those numbers turned out to be so small we are not pursuing that avenue anymore. It doesn't pay to staff up for it.
Q: How many of the 3,000-plus TSI agents (who have to take Marriott's Hotel Excellence program) qualify for Marriott commissions?
A: Unfortunately, I don't know, but it is a pretty good number. We encourage home-based agents to get the TSI number.
Q: What will be your next project? Now that you have a card mill program on track and a still-firm fence around your home-based agents, what is left that feels unacceptably untidy?
A: I want to figure out a better way to qualify and recognize all professional agents. Some of the very finest agents are home-based, but it is difficult to find and qualify them.
I am puzzled as to why there isn't a single national association for these agents with stringent standards [education, bonding, licensing, insurance] that all suppliers would be willing to accept, and only dedicated, professional agents would honor.
Many serious home-based agents join good consortia. These are groups with standards, that will "fire" non- producers.
So, for example, I have no problem honoring an ID program from consortia with such standards if there is a way for them to keep us updated on their membership and [if] they have a zero tolerance for violation of their standards.
To contact the reporter who wrote this article, send e-mail to Nadine Godwin at [email protected].