Lecture 2: The Travel Agency

Question 1

sometimes said to be the oldest travel agent in the world; British Company

Answer 1

Cox & Kings

Question 2

developed the package tour, established a chain of agencies in the last quarter of the nineteenth century

Answer 2

Thomas Cook

Question 3

Thomas Cook is associated with whom?

Answer 3

Midland Counties Railway

Question 4

The modern travel agent first appeared in the?

Answer 4

second half of the 19th

century.

Question 5

He frequently arranged individual scenic tours in Norway for visiting British notables

Answer 5

Thomas Bennett

Question 6

Thomas Bennett is the first specialist inwhat?

Answer 6

individual inclusive

travel

Question 7

he set up a business as a‘trip organizer’and provided individual tourists with itineraries, carriages, provisions, accommodations , travel kit and horses.

Answer 7

Thomas Bennett

Question 8

An entrepreneur from Omaha, started an “Automobile for Hire”

Answer 8

Joe Saunders

Question 9

business that is recognized as being the first
recorded car rental
company. And by whom?

Answer 9

Automobile for Hire by Joe Saunders

Question 10

Travel agencies became more commonplace with the _____ starting in the 1920s.

Answer 10

development of commercial aviation

Question 11

Originally,
the agencies largely
catered to whom?

Answer 11

middle-
class customers

Question 12

the post-war

boom in what?

Answer 12

mass-market package holidays

Question 13

Explain Travel Agency

Answer 13

Acts as an intermediary of the different suppliers in the tourism industry

Question 14

Is a commercial enterprise where a traveler can secure information and expertise, get impartial counseling, and make arrangements to travel by air, sea or land, to any point in the world.

Answer 14

Travel Agency

Question 15

Fundamental Role of TA

Answer 15

Information
Distribution
Reservation
Services

Question 16

“A commercial enterprise where a traveler may secure information, receive travel advice, and make arrangements to travel by air, sea or land, to any point in the world for a professional fee.”

Answer 16

Travel Management Company

Question 17

Channels of Distribution

Answer 17

Unilateral Distribution System
Bilevel Distribution System
Multilevel Distribution System

Question 18

Unilateral Distribution System

Answer 18

Supplier -> Consumer

Question 19

Bilevel Distribution System

Answer 19

Supplier -> Retailer -> Consumer

Question 20

Multilevel Distribution System

Answer 20

Supplier -> Wholesaler -> Retailer -> Consumer

Question 21

Functions/Value of TA/TMC

Answer 21

More skilled at finding the Best Travel Solution
Can find the Best Deal
Saves Time and Trouble
Is Accountable
Knows Suppliers Better
Knows Destinations Better
Is Largely Impartial

Question 22

a negotiated professional or handling fee

Answer 22

Cost-plus

Question 23

a percentage of the total price paid to an agency.

Answer 23

Fixed commissions on regular fares (rate-minus)

Question 24

How much is the commission?

Answer 24

5%

Question 25

a fee added to the net price (considers expenses or profit margin)

Answer 25

Reasonable Mark-up on Net Fares (Net-plus)

Question 26

a collected amount for certain ancillary service

Answer 26

Service Fees

Question 27

Give the Sales and Revenues of TMC

Answer 27

- Cost-plus - Fixed commissions on regular fares - Commissions - Reasonable Mark-up on Net Fares - Service Fees - Production Incentives and Rebates

Question 28

What are the Types of Travel Agency

Answer 28

According to operation (IATA and Non-IATA) According to the type of market (Multi-destination or Niche [Specialized Agency]) According to size

Question 29

Transactions captured by the travel counselors or counter staff.

Answer 29

Counter Sales

Question 30

- Transactions captured by the account executives or sales agents or representatives outside the office premises.

Answer 30

Field Sales

Question 31

What are the different Departments?

Answer 31

Administration Department Operations Marketing and Sales Department

Question 32

Creating awareness about the company, its products and services.

Answer 32

Marketing

Question 33

legal aspects of the org; insurance needs of the company; purchase and maintenance of furniture

Answer 33

General Administration Section

Question 34

hiring policies and compensation schemes; education and training; evaluation of staff performance

Answer 34

Personnel Section

Question 35

handles all the records of the company, custody of accountable forms and ticket stocks

Answer 35

Accounting Section

Question 36

handles records and acts as custodian of all the money collected and disbursed; assists the general manager in the cash flow mgt of the org

Answer 36

Finance Section

Question 37

responsible for the services required in the day to day operations of the company like sanitation, maintenance, securiy, communication

Answer 37

General Services Section

Question 38

any paid form of non-personal presentation of ideas, goods, or services by an identified corporate sponsor

Answer 38

Advertising

Question 39

non-personal stimulation of demand for a product or service by planting commercially significant news about it

Answer 39

Publicity

Question 40

tool to enhance communication

Answer 40

Public relations

Question 41

any printed material emanating from the TMC | Promotions

Answer 41

Publication

Question 42

Types of Promotions

Answer 42

``` Sales promotion Personal selling Fam tours Trade shows or events Road show tours ```

Question 43

short term incentive to encourage purchase or sales of a product or service

Answer 43

Sales promotion

Question 44

oral presentation to prospective buyers of product

Answer 44

Personal selling

Question 45

invitational trips to expose the product

Answer 45

Fam tours

Question 46

participation in industry fairs where opportunities to display the product both to the tourism industry and the general market

Answer 46

Trade shows or events

Question 47

mobile fairs

Answer 47

Road show tours

Question 48

Is a certificate issued by the DOT that the holder has complied with the DOT’s minimum standards in the operation of the establishment concerned.

Answer 48

DOT Accreditation

Question 49

DOT Accreditation is how much and valid for how long?

Answer 49

₱1100 per year for the main office and ₱550 for each branch valid for one year