Best Host Agency For Travel Agents – But we can get a little compensation for referrals. You can read all of our (and dare I say funniest)
For many travel agencies starting their own business, it is difficult to say whether the right choice is a franchise, group or host agency. Why use a hosting agency? What are the advantages of using a hosting agency? As someone who specializes in this niche, I can tell you the benefits of using a hosting agency so you can make the right decision!
Best Host Agency For Travel Agents
Before we begin, you need to be aware of what a guest house is. You should also be aware that there are many business models for hosting agencies. Some lodges offer limited services beyond the use of their accreditation number (more on agency accreditation options). Other guesthouses provide everything except a sink. As different travel agencies have different needs, it is important to note that there are many ways to “host”. Learn more about how to find the best hosting agency for you.
Top Host Agencies 2021 New Video
If you already know you want to go with a host agency (or if you even suspect you’ll go down this route), download our checklist of questions to ask a host agency here. (Psst! If you don’t see it, try refreshing your browser.)
Where can you direct all these big questions? Connecting with host agencies couldn’t be easier! You can go directly to their profile and write to them through the host agency’s Q&A feature. The beauty of this is that tons of agents will learn from your question as well!
Got a burning question for your host? 1.) Click on their profile 2.) Click on “Question and Answer” 3.) Ask!
So, we understand that you need to find a hosting agency that suits the needs of a particular organization, right? The benefits below are based on the basic services offered by most guesthouses. Before signing up, be sure to confirm that your prospective host offers this service.
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We’ll dive into some of the biggest reasons why we think using a host makes sense (explained infographic above)
The host agency should act as a part-time bookkeeper for your travel agency. Back office accounting is a huge advantage of using a hosting agency. So keep in mind that part of your commission cut is paying the bookkeeper.
2. Commission If there is a decent host, the combined purchasing power should give you the highest commission of any major supplier.
The amount of the travel agency’s commission is based on the income of its salesperson. A big advantage of using a host agency is that all agents at that host’s home are treated as one travel agency. If it’s a decent host, the combined purchasing power should give you the highest commission of any major supplier. Find your host agency in the list of host agencies and open their profiles to get an idea of their earnings.
Host Travel Agencies And The Opportunities They Offer
Business Development Managers (BDMs) who work with travel agencies have large territories. One of the advantages of using a host agency is that the hosts already have established relationships with these BDMs. This means that more hosts is most likely a bigger account for BDM. So, if you have a problem with a booking, your host’s sales volume and long-term partnership will – if necessary – allow you to escalate the situation through the host agency’s channels.
One of the many advantages of using a hosting agency is that top hosting agencies offer a whole range of techniques. Ask if they have a customer relationship management (CRM) tool such as TravelJoy, Clientbase or ClientEase. Examples of programs that are commonly offered – often at a better price than you could get yourself – are direct mail programs, consumer website programs, business booking engines, etc.
When looking at hosting technology, think about what holes you’re trying to fill. For example, if you already have a sweet website up and running, you might not be hosting a great web platform. Focus on the tools you know you need!
Host agencies are the main recruiters of (much needed) new blood in the travel industry. Because of this, many host organizations will not only offer continuing education, but also a training or mentoring program. It is also common to see the host agency offer online training tailored to new agents.
How Do I Start A Host Travel Agency In 2022?
Although it is possible to learn to be a travel agent without any training, a good training program can speed up your steep learning curve and help you make money faster. This is one of the main benefits of using a hosting agency – it’s a great transition into the industry.
For experienced agents, hosts will also often put together their own continuing education FAMs and may work with sellers to provide ongoing continuing education for their agents.
Being a home-based travel agent has its perks, but one common complaint is social isolation. A host agency that nurtures a community can ease isolation by helping you meet other travel agents. These agents are a great source of knowledge to help you build your business and support you in your growth.
If working community is important to you, it’s crucial that your host shares that value. Here are some questions you can ask hosts to get a feel for the structure of their community:
Travel Agents Affiliate With Host Agencies
Another advantage of using a host agency is that host agencies are usually less expensive than a franchise or group. This is a great way for those new to business or smaller organizations. Some hosts offer 100% commission plans, but commissions are usually split. Even with the trade-off, the advantages of higher commissions and the benefits listed above make it worthwhile for many domestic travel agents.
For example, think of the $250 a year you would save by using your travel agent’s travel number seller. that you have to get yours.
Just as the services offered vary between hosts, so do the initial costs and fees. Here are some questions to ask to find a host that fits your price range
Caution: If a host pays 100% commission and barely charges commission, be skeptical. Hosting agencies are businesses and have to make money somewhere beyond the last withdrawal. Giving everything away for free is not a sustainable business model – buyer beware.
Host Agency Directory, The Travel Institute
We’ve broken down what you can expect in terms of startup costs and revenue when you first open a storefront!
Airline targeting is not as simple as it seems, and most new travel agencies cannot afford the expense or risk of using a global distribution system (GDS) to book air-only travel. (Read more about GDS here!). Some (not all) host agencies offer ticketing support through their sales outlets and group companies.
99% of leisure travel advisors do not need a GDS. However, if you know you want access to a GDS or ticket counter, you must first ensure that your host agency provides these tools. In addition, here are some other questions you can ask:
Navigating the Seller of Travel Act (SOT) is not exactly a walk in the park. There are legalities, paperwork, and costs involved in obtaining an SOT license if your store is located in (or you sell to residents of) CA, HI, WA, and FL.
Travel Agency · Github Topics · Github
If you are traveling with a host organization that is already registered with SOT under these countries, it can renew your license. Goal! This cuts down on red tape and leaves more room in your brain for other matters, such as building a client base or planning a group trip.
If you don’t need SOT, you can skip this! But if you live in CA, HI, WA or FL, feel free to ask some questions
Some lodges will extend E&O coverage to their ICs. This is coverage to protect agents from costly lawsuits if a client (the travel agent) holds you responsible for something that goes terribly wrong with the trip or reservation.
Wondering which hosts offer E&O coverage? You can use our handy dandy filter on the host list to find out which hosting agencies offer this type of support!
The Top Host Agencies For 2022 (video)
Want to know if E&O is right for you and your business model? Read about it here.
Using a guest house brings many advantages. This is a great way to start your own travel agency and have the independence to run your travel agency the way you want, as well as built-in support. With low risk, low start-up costs and a community of agents and staff to help you along the way, joining a host agency is a good fit for many travel agencies.
It provides daily emails for a week that will walk you through the steps you need to take before signing up with a host!
Editor’s Note: This article was originally published in January 2021! We have updated and re-released it on the above publication date!
Travel Tips To Find The Best Travel Agent
Steph grew up in the travel industry. As the former CEO of Host Agency, she worked with thousands of agents before leaving to found HAR in 2012. She is insatiably curious, loves fennec and orion puppies and…
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