This article is based on a research report written by Sarah P. Levett and published by Bloomberg Businessweek.
To read the entire article, go to: www.businessweek.com/articles/why-is-travel-agency-revenue-dropping-by-half-and-what-you-can-do-about-it.
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Read MoreThe report, “The Future of Travel Agents,” looks at how agencies are being replaced by kiosks, online agents and digital channels.
The report notes that while agents have remained key for many travelers, “their business model is being eroded as kiosks compete with them for a growing share of consumers’ time.”
Kiosks and kiosks have made significant progress in recent years.
According to the report, sales of travel agencies increased by an average of 15% between 2011 and 2018, with agents accounting for more than 90% of total sales, with travel agencies contributing roughly $7.5 billion in revenue in 2018.
The report also noted that digital agents have emerged as an increasingly viable and profitable business model for travel agencies.
While online agents have had their share of setbacks, they have proven that they can compete in a world that is changing.
The survey found that while online agents had an average revenue of $1.8 million in 2018, digital agents earned an average $2.4 million, while kiosks were worth an average less than $2 million.
While travel agencies are not the only companies being disrupted, they are by far the most visible.
In fact, the survey found more than half of respondents identified travel agencies as their biggest competition.
While the market for travel agency kiosks is growing at a faster pace than the market in general, the report found that digital kiosks are still underutilized and have a much lower market share than travel agents.
The bottom line: It’s not just travel agencies who are undervalued.
There are also a growing number of businesses that have been bought up and outsourced.
The online marketplace for travel agent kiosks has increased in recent months and now represents about 20% of the market, the study found.
It’s hard to say if kiosks will ever go away completely, but it appears to be a viable option for some businesses.
The biggest challenge facing travel agents is how to manage the growing amount of people who want to travel, according to the study.
The lack of a formal customer support system means many agents are under pressure to provide their services in a timely manner.
While there are some options to manage these concerns, the most common response is to turn to automated systems.
The authors point out that this is not the best solution, especially as kiosk kiosks start to take off.
The authors argue that travel agents should continue to look for other revenue streams that are better suited to their needs, like selling tickets online or providing other forms of digital services, and to leverage existing technology.
The research report is available at: http://www.businesswire.com/?attachmentId=9141853&id=f3e8d8b1b4f8b9d49f4c8f3ecf7f2d2c3b.