Dilemma Of Online Travel Agencies: Customer Vs Travel Product Owners

Online travel agencies (OTAs) hold relevance since they are able to provide a number

of solutions to the customers, focusing not just on segregated travel products but also on a mix of these and are capable of offering customized packages to customers. One of the biggest perceived advantages of OTAs is that these are thought to be totally customer-focused and are capable of taking an independent customer-oriented stance in case of any conflict of interest with the travel product owners. But, seldom is it recognized that these agencies walk a tight rope between the customer on one hand and the product-owners on the other. The cheap air tickets and amazing holiday deals that you get with the agencies might not be possible without the smooth business relations between the agency and the airline. At the same time, the issues that you might face with the airlines might well be sorted out by the agency by using its leverage and excellent relations. For this reason, even the seemingly difficult-to-resolve issues have better chances of resolution with the agencies.

At times, the agencies have to negotiate hard with the product owners while there could also be times when they cannot take the side of customers and have to make them understand that the things being asked for are not possible to give. Even as these communicate unpleasant decisions to the customers or to the product owners, these need to ensure that the stakeholders are not unduly annoyed and the relations do not take irreparable damage. Agencies earn commissions for cheap flights, hotels or holidays that they sell and also have to adopt customer-centric approach to maintain their credibility among customers who give them business. So, in case of any dispute or issue, there is a need to adopt a very rationale and practical approach to resolve these either by convincing the customers or the product owners.

It is true that the agencies lean towards their customers and try to resolve issues by favoring them but, at the same time, these have limitations in terms of legal aspects as well as policies of the airlines or hotels which they need to communicate to the customers. So, a crucial balance needs to be maintained. Even while it favors customers, it needs to be pragmatic in approach and do not take an unduly wrong stand which might create problems for itself.

by: Shawn Parker

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