2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16
In recent decades, the tourism industry has been developing at an unprecedented pace. That is why there are many people who want to open a travel agency. Surely you have seen and heard advertisements from previously unknown organizations more than once. However, this area is considered highly competitive, and therefore, if you do not think everything through carefully, you can “burn out” very quickly and lose all your investment.
First of all, you need to realize the global nature of one of the most common myths that it is easy to open your own travel company. Many people think that all that is needed for this is to rent an office, put people there, take orders from customers and bathe in the money received. However, at the same time, those who want to open a travel agency do not take into account one fact at all. The fact is that 99% of people are willing to pay more, but use the services of a well-known and reputable company.
Let's find out what it takes to open a travel agency.
License
You won't be able to get started without it at all. And the requirements for obtaining a license are quite serious.- at least 20% of your employees must have higher, additional or at least secondary specialized education in this field. Another option is to have at least 3 years of experience in this business. For travel agency executives, these 2 requirements are combined. The license is issued by the Department of Tourism of the Ministry of Economic Development. Moreover, you should already have an office and all relevant documents prepared. All other costs must be added to the cost of rent (about 60 days, when the tourism department will review your application).
Other certificates
In addition to the license, you will need a certificate confirming that the services provided to your agencies meet current quality standards. And also a hygiene certificate confirming that you have taken courses, where you were told in detail what tropical diseases can await tourists.
Office
If you set out to open a travel agency, carefully consider the interior of the office - the impression of your customers will largely depend on it. There must be several telephones and a dedicated Internet in the room. As many diplomas and certificates as possible should be hung on the walls of the office. They will contribute to the growth of customer confidence in you.
Seasonality
If you want to open a travel agency at the height of the season, it is better to start preparing 2-3 months in advance. The second half of April, June-September and the end of November-December are the most profitable periods in tourism. But "stagnant" can be calledOctober, January, February and to some extent March.
Advertising campaign
You will need to launch a large-scale online marketing campaign, as well as describe your services in the city's print media. Only a few agencies can afford advertising on TV or radio.
Difficulties of a new agency
The first year is very difficult. At least due to the fact that a full-fledged client base has not been formed. Regular customers begin to appear only in the 2-3rd year. On the 3rd, in addition, many entrepreneurs generally abandon the idea of engaging in an agency, as there is a feeling of some kind of stagnation in business. At this stage, more than 40% of agencies are eliminated. However, the rest are finally fixed in their niche.
Costs and profits
If you are thinking about how to open a travel agency in Russia, you should consider such expenses as office rent, advertising campaign, employee salaries and various taxes. Start-ups rarely go beyond 50 trips a month, although larger and more established competitors can serve 200 or 300 customers in high season. The profit comes from an agreement with the tour operator (with which the agency's share and commissions are also agreed in advance). The average ticket price is $400. And the commission percentage is usually around 10%. Having carried out simple calculations, we get a monthly profit in the amount of 2 to 8 thousand USD
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