While many travel advisors are proficient at navigating traditional fare structures, they often falter when it comes to rewards-based travel resulting in a “loss of income”, according to an industry expert.
Speaking to LATTE at a recent Qatar Airways media event, Point Hacks Managing Editor Daniel Sciberras highlighted a lack of awareness around frequent flyer programs among travel advisors. “Agents should know frequent flyer programs just as much as they know the cash fares,” he advised.”But a lot of them don’t know what to do with them. If the client says, ‘I want to use my points,’ a lot of them probably don’t know how to help. That’s been my experience.”
While some specialised agencies excel in this niche, they are the exception rather than the rule. “A lot of travel agents are just really good in the cash space,” Sciberras said.
He suggested this general reluctance to engage with point-based travel is because it doesn’t translate into direct commission. But with traditional airline commissions “quite low”, the benefits of building a holiday around reward flights should not be ignored, in his view.
It’s an area Points Hack has dabbled in, but without the full range of product that a travel advisor can offer, it ultimately hasn’t proved to be financially rewarding. “We’ve tried, and we’ve got that as a service,” he said. “But it’s very complex. What’s the upside?”
Meanwhile, Sciberras explained that, for customers wanting the best deals on rewards seats, flexibility is critical. “If you’re wanting to go Sydney to LA at Christmas during summer school holidays, northern summer holidays – well, you’re going to be paying through the roof,” he said. Whereas less popular times of year yield much lower points fares.
Lead time is also crucial in securing the best points fares with the market having undergone a major shift, he added. “Whereas before, you used to have to be really organised when you’re trying to book with points, I say now actually it’s more about the unsold inventory, later in the day.
“It used to be, the earlier you go, the better. Now, I think better technology has meant that they can predict what things are going to be like a bit more accurately and what they feel more comfortable with holding.”