In this year's survey, 19% of agents who reported an increase in gross sales in 2017 reported that they had increased their emphasis on products with higher margins. It's a tactic that appears to be working. Senior editor Jamie Biesiada talked to Betsy Geiser, vice president of Uniglobe Travel Center, about why.
Q: Do you agree that successful agents sell more products with higher margins?
Betsy Geiser
A: Absolutely. I think that the demand is different these days. I think people are looking for more experiential vacations, and those are definitely not cookie-cutter vacations. The Caribbean is a great vacation for families, but I think the more experienced traveler is looking for something more, and I think the agents are getting really good at selling that.
Q: We've seen a big influx of independent contractors in recent years. Is that crowd maturing and getting better at selling higher-margin products?
A: I think they're definitely maturing. But some of the [agents] who we see coming in have a different idea of what a travel adviser is you know, they don't want the cookie-cutter packages anymore. They really are doing true FITs, and they're earning higher commissions. They're going to work hard to make whatever their clients want happen.
Q: Earlier this year, several hosts reported that agents were upselling more and selling more luxury. Has that held true?
A: Yes, we're continuing to see it. On the luxury side, we're adding more luxury suppliers. Agents and I will say it over and over again they're not selling out of their pocketbooks anymore. They're listening to their clients. And maybe it's the newer agents, because they weren't taught the old stuff. They don't have bad habits to break. Start with a full package, and if they say, 'I just can't afford that,' then start pulling things away. But don't start with bare bones and then add; start with everything. Add the excursions. Add the insurance. Add it all and say, "Here's what your vacation is," and if they say, 'That's a little out of my budget," then they can pull things out. It totally makes a difference.
Q: I would imagine as a consumer, if someone handed me something that complete, I'd be less likely to nitpick.
A: Exactly. And maybe agents are just better sellers these days. I know when we bring people into our program, we make sure they understand that this really is a sales position. If they can't sell, then this is not going to be the career for them. It's very relationship-oriented, it's very sales-oriented.
Another thing I tell people is, "If you're not likeable, if you're not somebody who can go out and talk to people and have a good conversation with them and listen to what they say, this is not the career for you." Not everybody was cut out to be a brain surgeon; not everybody was cut out to be a travel adviser.
Q: Will this trend continue?
A: I think [agents] are going to get better and better at it. I definitely see it being an upward trend barring any economic disaster.