Eliminating The Rodent's Food Supply

This article is not really about the four legged rodent and getting rid of him. It's a prelude to discussing the naughty in our little segment of the travel industry. All of us at one time or another have suffered damage to our yards due to the invasion of such critters as rodents, armadillos or other varmints. They make a mess of our property in their quest for food such as chinch bugs, grubs and other insects. Generally the only way to get rid of these pests is to remove their food source. In the case of insects it is extermination, when applied to humans it is pressure.  

The rodents or critters we refer to in this article are MLM's/card mills. The food supply in the case of these MLM/card mill operations is CLIA. At one time the card mills used their own agency photo ID cards many times appearing similar to the IATAN card in order to try and fool suppliers who accepted these cards into thinking the holder of one of these cards was a real travel agent. As more and more hotels, car rentals, etc. began to see through this charade the card mills were forced to seek other means for touting cheap travel to consumers. They also needed something that would give them more credibility at the same time. The answer was CLIA.

Two or three years ago anyone could obtain a CLIA photo ID card using any CLIA agency member. A couple of years ago someone at CLIA decided to stiffen up their requirements to obtain their photo ID card. Adding a CLIA three hour course requiring a passing grade was their answer. Apparently this new requirement fell woefully short as that was about the time the card mills really picked up on CLIA's easy requirements and ran with it. Today, both CLIA, who is taking in substantial revenues and the card mills who market their card are bringing in affiliates or referral agents by the thousands, most often because of what the card may do for them.

There is no doubt that CLIA is aware of the hurt it is putting on the serious travel professional by allowing anyone who is willing to take a short course and pay a fee to obtain the photo ID card. CLIA itself even works with these MLM/card mills by offering their course to thousands of consumers at one sitting to take the course and apply for the card. I would also think that the many hotels, car rentals, etc. who accept the CLIA photo ID card would be appalled knowing that they are really providing travel agents incentives to consumers.

There is an argument out there in supplier land that some of these so-called MLM/card mills are producing real revenue for some suppliers. Too many suppliers apparently believe that by allowing the card mill consumers to book travel they will generate high sales volume. What they don't provide responses to is why, in the case of YTB they allow 100,000 consumers to apply for travel agent benefits when only 5% of them are doing the real selling of travel and producing the sales volume. The old saying that 20% of the agents are producing 80% of the sales doesn't apply to the card mills. The MLMs/card mills have 5% of the agents doing 95% of the sales. This alone speaks badly of their business model.

The supplier will also argue that we can't separate the 95% from the 5% because we don't know who they are. The answer is, "you don't have to know who they are." It's a matter of increasing the suppliers' standards of who is eligible for increased incentives as to who is invited on FAMs, Seminars at Seas, Ship Inaugurals, and using travel agent reduced fares would be a good start. I also mean a real policy; not one of just words that hopefully will appease people like me. Offering commissions to the 95% of the card mill affiliates who are just consumers is a form of commission rebating and flies in the face of those suppliers who have come out against commission rebating.

It is my opinion that CLIA and the suppliers who support them hold the real key to putting a dent into pseudo and referral agents receiving the perks that rightfully belong to the serious travel agent. CLIA must look past its greed at this continuing revenue source and to do what is right for the travel agents who sell most of their cruise line member's products. Actually, their revenue source may continue simply by increasing the requirements to obtain a card as well as increasing the cost of the card.

I would hope when CLIA does name a new Advisory Board this year, which by the way, is made up of mostly travel agents, they will allow them to voice their opinions and really be an Advisory Board in more than name only. I understand the Advisory Board never meets other than the CLIA360 conference and its just to have cocktails and some BS from the executives.

I hope that everyone agreeing with my views on this issue will send a copy of this article to Terry Dale, President and CEO of CLIA with their own remarks. I also hope suppliers, particularly hotels would put the heat on CLIA or remove themselves as a supporter.

I am a huge supporter of CLIA with all of their training and education they provide to travel agents. They have great personnel and the best trainers. It's their photo ID program that is the real "dog" here.

I have combined the following section with this article this month. It is my dedicated section to the MLMs/card mills, as well as to the other bad apples that prey upon our travel industry specifically the legitimate home based travel agent, the travel suppliers and the consumers. We will continue our efforts, hopefully with your help, continuing to make progress with removing this growing virus as well as maintaining an updated list of these scoundrels.

 

ALL THE ARTICLES I WRITE AND ESPECIALLY THE MLMs/CARD MILLS THAT I LIST ABOVE ARE FROM MY OWN PERSONAL RESEARCH AND THE OPINIONS EXPRESSED ARE MY OWN AND IN NO WAY REFLECT THE OPINIONS OF ANY OTHER INDIVIDUAL, COMPANY OR ORGANIZATION TO WHICH I MAY OR MAY NOT BE CONNECTED.