Has The Mainstream Travel Industry Gone Soft On the MLMs And Card Mills?

 

During 2007, IATAN and Royal Caribbean Cruise Lines initiated steps to combat the growing problem of issuing credentials to consumers in order that they may receive travel agent benefits and selling travel and earning commissions, another form of commission rebating and the misuse of their logo.

IATAN terminated accreditation with at least two of the alleged MLMs/card mills due to logo misuse and promised more terminations would be forthcoming. RCL also terminated three alleged MLMs/card mills and has since reinstated Global International, one of the oldest card mills still in business. A great deal of media press was put out with much discussion about the MLMs/card mills including interviewing a few of the MLM/card mill executives. All these executives pretty much said the same thing. Remember, Sergeant Schultz of the old "Hogan's Heroes" TV series? His favorite expression was, "I see nothing, I hear nothing, I know nothing." Apparently, those words are still used today by these MLM executives. I'm now wondering if these same words are being practiced by much of the travel media, suppliers and organizations.

We are well into 2008 and have heard nothing further from IATAN, RCL or, for that matter, any of the mainstream suppliers. Is it because they have been threatened by those scarry words, "anti-trust violations?" Is it apathy which most travel agents also suffer from or is it just a lack of interest? After all, revenues take the number one seat with these folks just as it does with any for profit business. However, it's not just about profits and giving back a little; it is 100% about profits.

I have always believed that one in business must give something back to those who kept them in business in the first place. In this case, the professional travel agent. Travel professionals sell the products that keep us all in business. When the real travel professionals begin to disappear, there goes our bread and butter. When I use the word "disappear" I mean becoming less recognizable by the average consumer as a travel professional. The MLMs/card mills and some other so-called "host agencies" are simply recruiting consumers to sell travel without the proper training and doing it by the thousands. Today, these consumers or hobbyists far outnumber the serious travel professional by at least 2 to 1. Suppliers continue to reward these consumer hobbyists with commissions (a form of commission rebating) and other travel agent benefits. It kind of reminds me of our government today believing a total global environment is the answer to everything. The introduction of untrained and unmotivated travel agents into the world of the trained travel professional is like the outsourcing of our goods and services to countries using cheap labor. You receive an inferior product in return most of the time. In this case, untrained consumer travel agents selling the supplier's products.

Travel agents are the most apathetic group I have ever encountered; with some exceptions. Its the younger professional in his/her 20's, 30's and 40's that should be speaking out as they will be around a lot longer than most of us older duffers. They need to work together to safeguard their future as travel professionals. Normally, the best way is to ban together and join an organization that will speak out for them and not just offer a little product/destination training and a few FAMS. NACTA and STARS have the best opportunity to do real justice for its travel agent members, but they don't. STARS was created to eventually provide that voice for the individual travel professional. The older organizations, namely ASTA and ARTA, have done nothing for us in recent years and are mainly controlled by people who prefer the status quo. The only exception being ARTA's creation of TRIP, a travel agent identification program which stands for higher standards. I believe every independent travel professional should seek out the pros and cons of OSSN, NACTA and STARS. Join one of them and become an active member. (Of course, I am more partial to STARS.)

Yes, mainstream travel is soft on the MLM/card mills and other questionable host agencies. When one can no longer determine a travel professional from a consumer travel agent it will be too late. We need to clean up our act, improve standards in the way we operate our business and work to improve the image and standards of our travel agent professionals. Is it all about revenue or is just doing the right thing an outmoded concept?

NOTE (1): IATAN recently won a decision over YTB concerning the use of the IATA, IATAN name and logo. I hope IATAN will check out the list of "bums" below and terminate all of them if they are in violation. It's obvious CLIA supports these businesses and has done nothing. CLIA receives hundreds of applications each month via the so called MLM Referral Agents and has no interest in killing their "cash cow" and doing the right thing whiles their cruise line members and supplier supporters just turn their head. I hope we have at least one organization with the "chimes" to do the right thing. If the new Travel Retailer Identification Program known as TRIP is accepted by all, they will cause great harm to IATAN and CLIA unless they themselves improve standards. The "cash cow" will be coming to an end for some of these travel agent ID sellers.


 

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