Ciara Holmes
Unit 9 – Retail Travel Operations
P2 – Describe the retail operational practices
In this assignment I will be describing the retail operational practices, I will be looking at working practices,
technology, and legislation and trade associations and licensing.
Working Practices
All travel agents are different. Different travel agencies will organise their working practices daily. How they
organise will depend on the following factors; how many staff there are working, how much experience the staff
have, the type of IT systems they use and finally the type of management. Most organisation will have a
manager and an assistant manager, the management style should professional. They should also treat their
employees fairly. They should make rotas for the staff as cleaning duties are required.
Retail agencies will have front and back office procedures. The front office is where retail agencies will greet
their customers. This is where they book holidays for customers, provide customers with information and also
sell other services such as currency exchange. Those working on the front office will also handle cash, cheques
and card. They also maintain records and pass information to back office. Somebody working in front office must
have good admin skills. It also gains them experience in handling cash. In front office they will use what’s called
view data. This is the interactive screen system that travel agents use to access the tour operators reservation
systems. They also use what’s called CRS (computer reservation system. Each tour operator, airline and cruise
line will have a computer reservation systems. This can be accessed from the view data system. Back office will
be where all the cash is kept along with details of a customer. It is important that client’s information is kept safe
and locked away so data protection isn’t breached. All the brochure stock will be kept in the back office. It is
somebodies job to check the brochure stock and to order them offline. This will also be where staff training is
done.
There are procedures and documentation for selling travel services. The documents are kept for 5 years and are
then destroyed. First the customers are asked to fill out an enquiry form, a booking form, and a checklist. The
next step is to create a customer file, then a payment timetable, then to send a confirmation and then finally
they will receive the customer’s tickets.
Merchandising and displays. It is important for a travel agent to look neat and tidy on the outside of their shop.
This is so it looks good to the customer’s eye. Posters are used to advertise different destinations both on the
windows and in the shop. A common merchandising tool known as late deals will attract people into the agency.
These are usually displayed in the windows. It is a retail agent’s job to constantly update the cards. If they don’t
update they can get in trouble.
Agencies will have racking policies and preferred operators. A racking policy is what brochure an agency will put
on their shelves. If an agent fails to put brochures on the shelf then sales could be low. Vertically integrated
companies such as Thomas Cook will put their own brochures on the shelf. Independent agencies can have any
brochures of their choice. Preferred operators are tour operators who work closely with an agency. They might
offer good commission or staff training.
Depending on bookings which an agent made will depend on the commission levels. The amount of commission
received will differ depending on the product and services. Commission will be paid to the agent each month.
Low cost airlines will have 0% commission, however airlines such as Emirates offer as much as 9%. Commission
doesn’t just go towards wages, it will have to go towards things such as rent, heating, telephone bills, postage,
and computer costs.
, Ciara Holmes
Members off staff will be given sales targets monthly that will be from head office. For staff who are more
experience they will be expected to sell lots. Once staff have hit their targets they will be paid extra bonuses. In
order to achieve these targets staff will be expected to do what’s called switch selling.
Technology
Staff will need to be trained in order to be confident at using up to date technology software. They need to be
trained because they will have to use this on a daily basis and it is important for them to get it correct. Tour
operators will give staff full training, sometimes the training can be done online. For smaller independent travel
agents it can be expensive to update hardware and software. A useful new current application is called the
carbon tracking tool. The technology enables the carbon footprint for travel by air, car hire and rail to be
calculated for journeys under two and a half hours.
Technology is constantly improving. If travel agents invest in new technology then they expect and increased
volume of sales in return. For retail agencies the booking system has a little easier. E-tickets have recently been
introduced for airlines and other services. E tickets can be accessed on people’s smart phones. The impacts of
technology is that it is now much quicker to do bookings with new systems. Because communication methods
have improved retail agencies will have greater awareness of products and services and also improved
relationships with principles. Business people expect out of normal office hours to make their travel
arrangements, therefore travel agents are responding to extend their office hours, or they are working towards
allocating staff members to handle these out of hours enquiry. Payment methods are changing, people can
purchase things online which is common, however booking things online could be risky if you don’t have virus
software and people could access personal finance data. The internet is having a major impact on retail agents.
Customers are now using the internet to research themselves. They have a direct link with accommodation, air
lines and car hire companies. People are able to book dynamic packages, a dynamic package offers more
flexibility than a traditional package. Travel agents have to think of ways how they can get people to book with
them rather than the internet. They will invest in new hardware and software or they might do more staff
training. Some lesuire travels agents are creating their own websites to compete with e-agents. Thomas Cook
have an easy to use smart website, however this is having an effect on their retailers and they are reducing the
number of shops. You will find people who are afraid to book on the internet or do not have access to the
internet. Elderly people prefer to have it done for them. Travel agents are booking non-commissionable
products, such as low cost products. They usually charge a flat fee such as £10 per person to overcome this.
However if they are charging a fee they must ensure that the customer service is the best possible which must
include plenty of information.
Legislation
Retail agencies have to follow legislations. A legislation is a law or set of laws which are suggested by
government and made official by parliament.
Retail Agencies follow EU Package Regulations 1992. Any organisation which sells package holidays will have to
make sure they comply with this legislation. These regulations were brought in to set responsibilities to tour
operators and other travel organisers and what consumers can do if they have a problem. They have been put
into place to implement a European Directive, so if your holiday is booked in Europe, you should be covered by
the regulations. UK regulations don’t apply to packages sold in other countries by operators established in the
UK.
Unit 9 – Retail Travel Operations
P2 – Describe the retail operational practices
In this assignment I will be describing the retail operational practices, I will be looking at working practices,
technology, and legislation and trade associations and licensing.
Working Practices
All travel agents are different. Different travel agencies will organise their working practices daily. How they
organise will depend on the following factors; how many staff there are working, how much experience the staff
have, the type of IT systems they use and finally the type of management. Most organisation will have a
manager and an assistant manager, the management style should professional. They should also treat their
employees fairly. They should make rotas for the staff as cleaning duties are required.
Retail agencies will have front and back office procedures. The front office is where retail agencies will greet
their customers. This is where they book holidays for customers, provide customers with information and also
sell other services such as currency exchange. Those working on the front office will also handle cash, cheques
and card. They also maintain records and pass information to back office. Somebody working in front office must
have good admin skills. It also gains them experience in handling cash. In front office they will use what’s called
view data. This is the interactive screen system that travel agents use to access the tour operators reservation
systems. They also use what’s called CRS (computer reservation system. Each tour operator, airline and cruise
line will have a computer reservation systems. This can be accessed from the view data system. Back office will
be where all the cash is kept along with details of a customer. It is important that client’s information is kept safe
and locked away so data protection isn’t breached. All the brochure stock will be kept in the back office. It is
somebodies job to check the brochure stock and to order them offline. This will also be where staff training is
done.
There are procedures and documentation for selling travel services. The documents are kept for 5 years and are
then destroyed. First the customers are asked to fill out an enquiry form, a booking form, and a checklist. The
next step is to create a customer file, then a payment timetable, then to send a confirmation and then finally
they will receive the customer’s tickets.
Merchandising and displays. It is important for a travel agent to look neat and tidy on the outside of their shop.
This is so it looks good to the customer’s eye. Posters are used to advertise different destinations both on the
windows and in the shop. A common merchandising tool known as late deals will attract people into the agency.
These are usually displayed in the windows. It is a retail agent’s job to constantly update the cards. If they don’t
update they can get in trouble.
Agencies will have racking policies and preferred operators. A racking policy is what brochure an agency will put
on their shelves. If an agent fails to put brochures on the shelf then sales could be low. Vertically integrated
companies such as Thomas Cook will put their own brochures on the shelf. Independent agencies can have any
brochures of their choice. Preferred operators are tour operators who work closely with an agency. They might
offer good commission or staff training.
Depending on bookings which an agent made will depend on the commission levels. The amount of commission
received will differ depending on the product and services. Commission will be paid to the agent each month.
Low cost airlines will have 0% commission, however airlines such as Emirates offer as much as 9%. Commission
doesn’t just go towards wages, it will have to go towards things such as rent, heating, telephone bills, postage,
and computer costs.
, Ciara Holmes
Members off staff will be given sales targets monthly that will be from head office. For staff who are more
experience they will be expected to sell lots. Once staff have hit their targets they will be paid extra bonuses. In
order to achieve these targets staff will be expected to do what’s called switch selling.
Technology
Staff will need to be trained in order to be confident at using up to date technology software. They need to be
trained because they will have to use this on a daily basis and it is important for them to get it correct. Tour
operators will give staff full training, sometimes the training can be done online. For smaller independent travel
agents it can be expensive to update hardware and software. A useful new current application is called the
carbon tracking tool. The technology enables the carbon footprint for travel by air, car hire and rail to be
calculated for journeys under two and a half hours.
Technology is constantly improving. If travel agents invest in new technology then they expect and increased
volume of sales in return. For retail agencies the booking system has a little easier. E-tickets have recently been
introduced for airlines and other services. E tickets can be accessed on people’s smart phones. The impacts of
technology is that it is now much quicker to do bookings with new systems. Because communication methods
have improved retail agencies will have greater awareness of products and services and also improved
relationships with principles. Business people expect out of normal office hours to make their travel
arrangements, therefore travel agents are responding to extend their office hours, or they are working towards
allocating staff members to handle these out of hours enquiry. Payment methods are changing, people can
purchase things online which is common, however booking things online could be risky if you don’t have virus
software and people could access personal finance data. The internet is having a major impact on retail agents.
Customers are now using the internet to research themselves. They have a direct link with accommodation, air
lines and car hire companies. People are able to book dynamic packages, a dynamic package offers more
flexibility than a traditional package. Travel agents have to think of ways how they can get people to book with
them rather than the internet. They will invest in new hardware and software or they might do more staff
training. Some lesuire travels agents are creating their own websites to compete with e-agents. Thomas Cook
have an easy to use smart website, however this is having an effect on their retailers and they are reducing the
number of shops. You will find people who are afraid to book on the internet or do not have access to the
internet. Elderly people prefer to have it done for them. Travel agents are booking non-commissionable
products, such as low cost products. They usually charge a flat fee such as £10 per person to overcome this.
However if they are charging a fee they must ensure that the customer service is the best possible which must
include plenty of information.
Legislation
Retail agencies have to follow legislations. A legislation is a law or set of laws which are suggested by
government and made official by parliament.
Retail Agencies follow EU Package Regulations 1992. Any organisation which sells package holidays will have to
make sure they comply with this legislation. These regulations were brought in to set responsibilities to tour
operators and other travel organisers and what consumers can do if they have a problem. They have been put
into place to implement a European Directive, so if your holiday is booked in Europe, you should be covered by
the regulations. UK regulations don’t apply to packages sold in other countries by operators established in the
UK.
