Viator, a TripAdvisor-owned giant in the online tours and activities marketplace, has made a significant move to court travel agents with its dedicated travel agent program. This initiative aims to broaden Viator’s reach and capitalize on the expertise of travel professionals in the booming experiences sector. But is this program truly beneficial for travel agents, or does it fall short in key areas like commission?
Viator’s foray into direct collaboration with travel agents marks a strategic shift. Previously, their agent interactions were limited, notably through the Airlines Reporting Corp. Marketplace before its closure in 2017. Now, with a bespoke Travel Agent Platform, Viator is directly engaging with agents, hoping to tap into their established client networks and industry knowledge. According to TripAdvisor spokeswoman Laurel Greatrix, this approach has already yielded positive results, contributing to a doubling of bookings from travel agents year-over-year. While specific booking numbers remain undisclosed, the program, less than a year old, is clearly making waves within TripAdvisor’s broader business strategy. This is particularly relevant as TripAdvisor’s non-hotel revenue, which includes attractions, restaurant reservations, and vacation rentals, demonstrates robust growth, outpacing the more traditional hotel booking segment.
Viator’s Dedicated Travel Agent Platform: How It Works
The Viator Travel Agent Platform is designed as a separate portal from the consumer-facing Viator website, offering agents a suite of tools and resources tailored to their needs.
Commission Structure and Payment Options
A key feature of the program is the commission structure, set at 8 percent per booking. Agents can manage transactions and receive payments directly through the platform in multiple currencies, streamlining the financial aspects of bookings.
Platform Features and Agent Resources
Beyond commission, the platform provides valuable resources for agents. A dedicated resource center offers training materials and destination guides, aiming to equip agents with the knowledge to effectively sell Viator’s extensive inventory of tours and activities.
Customized Booking Links for Clients
Agents can curate personalized collections of experiences for their clients and share these recommendations through custom links. This allows travelers to book directly through these links, ensuring the agent automatically earns commission on any completed bookings. This streamlined process simplifies booking for both agents and their clients.
Travel Agent Reactions: A Mixed Bag
Early responses from travel agents utilizing the Viator platform reveal a spectrum of opinions, highlighting both the program’s strengths and weaknesses.
Positive Feedback: Extensive Inventory and User-Friendliness
Michelle Bates, general manager of Davisville Travel, acknowledges the slightly lower commission rate compared to some competitors. However, she emphasizes Viator’s unparalleled breadth of offerings, stating, “it is a little bit smaller commission, but they do have tons and tons of options — more than any of these other companies do.” She also praises the platform’s usability, noting Viator is now “more in the forefront of our minds” when seeking tours and activities for clients. Viator currently boasts over 120,000 bookable options, a significant advantage in providing diverse choices to travelers. Bates further highlights the quality of Viator’s product, mentioning a mix of “regular tours you think of like the Eiffel Tower, but also there’s some off-the-beaten path things as well, some unique experiences,” appealing to a wide range of client preferences.
Negative Feedback: Commission Concerns
Conversely, Ed Postal of Luxe Travel Management expresses reservations due to the commission rate. He argues that at 8 percent, “it’s not worth our time there,” especially for experienced agents who often secure higher commissions, sometimes up to 18 percent, through wholesalers and other channels. Postal points out that Viator’s offerings lean towards the “mass market,” while his agency focuses on crafting more customized and high-end travel experiences, often with added amenities for clients that are not readily available through platforms like Viator.
Viator in the Competitive Landscape of Tour and Activity Bookings
Viator’s travel agent program emerges in a dynamic and increasingly competitive sector of the travel industry.
The Rise of Experience-Based Travel
The experiences market is experiencing rapid growth, fueled by travelers seeking authentic and unique activities beyond traditional sightseeing. Airbnb’s significant investment in Experiences, announced in February with plans to expand to 1,000 destinations, underscores this trend. Major players like Expedia, GetYourGuide, and Klook are also vying for market share in bringing tours and activities online, while Booking.com is actively expanding its offerings in this space.
Viator vs. Competitors
While Airbnb does not currently offer a commission program for travel agents, companies like GetYourGuide have been active in this area for years. GetYourGuide, for instance, has operated a travel agent program for five years, registering 17,000 travel agents, including a substantial number in the U.S. Viator’s program is therefore entering a landscape where travel agent partnerships are becoming increasingly recognized as valuable, though not necessarily decisive, competitive advantages.
The Future of Viator’s Travel Agent Program
TripAdvisor acknowledges that the Viator Travel Agent Program is still in its early stages and open to evolution.
Room for Improvement and Adaptation
Greatrix indicates that Viator is actively “evaluating the market to fine-tune our offering, and we’ll act quickly should find a need for changes.” This suggests a willingness to adapt and potentially address concerns like commission rates as the program matures and gathers more feedback from travel agents.
Potential Impact on Travel Agents
Ultimately, the Viator travel agent program presents both opportunities and considerations for travel professionals. Its vast inventory and user-friendly platform are undeniable assets. However, the 8 percent commission may be a sticking point for some agents, particularly those accustomed to higher rates or specializing in luxury travel. Whether Viator can successfully balance these factors and become a truly indispensable tool for travel agents remains to be seen as the program develops and responds to industry feedback.
Dennis Schaal photo
Paul Biasco
September 14th, 2018 at 2:00 AM EDT
