On average an agency sells over 66% in land
segments and approximately 31% in cruise.
This is an important benchmark for advisors to
consider against their own business, both in the
past and in the future (see Chart 6). We may see
a pivot based on which segments and destina-
tions can best accommodate traveler needs for
a safe, clean and socially distant experience. It
is also pertinent to emphasize the critical rele-
vance of travel insurance, particularly in light
of COVID-19. Now more than ever travelers will
value their safety and will be willing to pay more
for protection against flight cancellations and
safe passage back to their home base.
While cruise continues to be popular – espe-
cially ocean cruising – in terms of retailing and
share of annual agency gross sales, early indi-
cations are that river and expedition cruises
may emerge even stronger once travelers are
back to their traveling ways. The opening up
of domestic markets may be a boom to river
cruises, while expedition cruises with their
pristine, remote locales may appeal in a post-
COVID-19 environment.
AGENCY GROSS ANNUAL SALES BY PRODUCT TYPE (%)
31%
22%
19%
16%
16%
12%
7%
4%
13%
Cruise
All inclusive resort
Air
Land/Tour Operator
Land/FIT
Hotel
Pre- and Post-Packages
Car Rental and Ground Transfers
Other
ADVISOR DIFFERENTIATION
CHART 6
|
13