There is a little mystery surrounding this question, partly due to the fact that things have changed for travel agents over the past 20 years or so. In the s, most travel agents received their income from commissions. When airlines stopped offering travel agents commissions on airfare, it was a huge blow to the industry. Online travel agencies made it possible for travelers to book their own airfare and the Internet age allowed people to feel empowered to do their own trip planning. Many predicted the end of the travel agent. But then something happened that no one could have predicted.
Airline Operating Expenses
Great question if you are looking into becoming a travel agent! In this article, I will break it down for you — both how travel agents get paid, as well as how MUCH they get paid, so you have a reasonable idea of what you are in for, financially. When a travel agent makes a booking on behalf of his or her client, most suppliers will pay a commission to the agency. Supplier types that as a general practice pay commission include hotels and hotel chains, cruise lines, tour operators, car rental companies, travel insurance providers, airport transfer companies, shore excursion companies, tour guides and some European rail lines. The big supplier type missing from this list is airlines. Commission is almost always paid on a percentage basis. The percentage amount depends upon the supplier and sometimes the individual negotiation between the travel agency and supplier. Commissions are usually paid to the travel agency, not the individual agent. But when the airlines eliminated commissions on all international and domestic air, thousands of travel agencies took a huge hit to their bottom lines, so severe that many went out of business. The introduction of online booking engines was a double-blow to travel agency owners. However, there was a silver lining.
Daily Tasks
Savvy and wise travel agency owners saw the opportunity in distinguishing themselves from online booking engines by establishing their expertise. Nor do they answer the phone when something has gone wrong while traveling. As the the wiser travel agency owners promoted their expertise and service, they also started charging for it. For one, because they had to find a way to supplement the reduction in revenue. But also because consumers are accustomed to paying for expertise. Not all travel agents charge service fees, but it is becoming more and more common. Service fees can range drastically. Charging a service fee is more of an art than a science and some agents will charge per hour or per person.
A Shift in Business Models
In the nearly 20 years since Delta Air Lines capped commissions, triggering the end of across-the-board commissions for travel agencies, conventional wisdom has held that there is no money to be made selling air. As is so often the case, however, conventional wisdom is wrong. Agents who know the tricks of the trade when it comes to dealing with airlines can make a good deal of money on airfares. Agencies, he said, have several ways to make money selling air: through service fees, GDS segment income, back-end overrides on domestic and international flights and front-end commissions, usually on international but occasionally on domestic flights.
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Usually the people asking are either those who are interested in becoming a travel agent or it’s coming from those who find out I work in the travel industry and they can’t believe travel agencies are even still around! Um, they are, and they’re the new darlings of the time-starved, information-overloaded travelers of today! I’ll go more in-depth in just a second, but here’s the basic step-by-step of how most travel agents make money:. Now, if you’re looking for how travel agents make money that are employees of an agency, that falls more into the territory of travel agent salaries. You’re at the right site, just the wrong article. To give you an answer on how travel agents make money, it’s important to know a little history. I promise to keep it short—it’s actually pretty fascinating how the industry has changed over the years. In the good ‘ol days, a large portion of travel agency income came from airline commissions. Since tickets were expensive, in demand, and could only be ticketed by agents or the airlines, they were the bread and butter of any agency. What about commissions from tours, hotels, cruise lines?
Public Relations. This will make the booking process more efficient. Arts and Design. Co-authored by Allyson Edwards Updated: November 20, Gross Salary 31, Information Technology. This will help you find the best deal if your trip is flexible. Co-authors: Flight prices also fluctuate all the time, making the booking process even more complicated. Most domestic flights only require your first and last name on the ticket to match your first and last name on your identification.
A Short History
Ticket Agents work on airport counters or other designated sales points that airlines might. In general terms, Ticket Agents greet and help customers and passengers with their flight reservations.
They provide information regarding dates, schedules, availability, and prices of flights. Ticket Agents are expected to sell flights and other products the airline may offer, as well as assist passengers with inquiries or other requests, such as flight changes or cancellations. In airport counters, Ticket Agents also help passengers check-in for flights, check their luggage, and assist them with any special request they may have, such as helping passengers with limited mobility or escorting unaccompanied minors.
Airport based Ticket Agents have to be aware of national and international flight security measures and regulations, as well as the policies of the airline regarding luggage weight and carry-on contents. Their job takes a special focus on security issues, whereas Ticket Agents working in other locations outside the airport focus mostly on sales and customer service related matters. Ticket Agents may also be located at boarding gates in airports and their duties may include processing and helping passengers board the plane.
A crucial part of this is comparing a list of checked-in passengers with the ones that have boarded the plane to make sure no one gets left. Moreover, they announce boarding times and any news related to the flight. This is the same as the Median wage of the country. These results are based on 10 salaries extracted from job descriptions.
Ticket Agents serve as the motor that provides airlines with their major source of income. Ticket Agents must have customer service and sales related skills to allow them to efficiently perform their daily tasks. The minimum age to work as a Ticket Agent is 18 years old, although this may vary among different airlines or companies [1]. A high-school diploma is the minimum requirement to become a Ticket Agent, even though most airlines prefer candidates with university or college level education, mostly with a degree in Business or Travel and Tourism [2].
Training is mandatory for most Ticket Agents as their job includes using complicated ticket and reservation issuing software. Being in contact with customers and passengers, Ticket Agents must be properly groomed and well-dressed at all times. Many airlines and companies require their employees to always greet their passengers with a smile and good disposition.
Being able and willing to help people is essential to a Ticket Agent. Being proficient in a second or third language is also a great asset for Ticket Agents. Therefore, Ticket Agents are required to be able to work on different shifts that may include weekends, evenings, national holidays, and overtime. The policies regarding shifts and overtime vary greatly from one airline to the. Ticket Agents must be able to work in stressful situations and places with elevated noise levels.
These may cause delays and cancellations of flights and it is the job of Ticket Agents to respond and provide passengers with a solution in a polite and courteous manner. The ability to remain calm in stressful situations is key when dealing with difficult passengers. Cruise ship lines and other transportation companies such as trains or buses have similar positions in their staff.
Their main duties are essentially the same as airline Ticket Agents. However, each method of transportation is governed by their own security and safety regulations and procedures. Post a job offer. Search jobs. Salary calculator. What does a. View all jobs. Administrative Assistant. Arts and Design. Bank Teller. Construction and Maintenance.
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Description Ticket Agents work on airport counters or other designated sales points that airlines might. Greeting passengers and customers that approach their counter: Answering questions regarding dates, prices, and availability of flights; helping passengers and customers with inquiries regarding changes or cancellations; and promoting special offers.
Informing passengers of any changes or delays regarding flights. Daily Tasks Greeting passengers and customers that approach the counter. Providing information regarding dates, prices, and availability of flights. Issuing flight tickets and reservations. Helping passengers with modifications or cancellations of their existing reservations. Helping passengers check-in for flights. Helping passengers with special needs.
Checking luggage. Announcing flight delays or changes. Pay difference by location. Gross Salary 31, CPP — 1, EI — Federal Tax — 2, Provincial Tax — 1, Total Tax — 5, In Ontario, Canadaif you make 31,
easyinvestreview.blogspot.com #2 How Are Commissions Paid To Home Based Travel Agents?
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Original Poster. I’ve tried to search for a similar thread but couldn’t find one—my apologies if one already exists. I’d appreciate a link if that’s the case. I notice that a lot of FT’ers are travel agents. My question is: is it worth it for me to become a travel agent just to save money on travel, or earn a portion of my ticket costs back in the form of commissions?
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