Montrose Travel, the Montrose, Calif.-based host agency providing leisure, corporate and group travel management solutions for home-based travel agents, received the Top 25 award from Ensemble Travel Group.

Ensemble is a member-owned international organization with agencies in the U.S. and Canada.

Its affiliation with Ensemble enables Montrose to offer its agents a variety of vacation packages and “hard-to-get perks,” a statement from the host agency said.

For example, Ensemble’s On Location Specialists provide in-depth knowledge and insider access on a local and regional level, Montrose said.

“As a member of this elite circle of top performers, Montrose Travel is setting the standard not only for other Ensemble members, but also for the entire travel agency community to strive for,” said Jack E. Mannix, president and CEO of Ensemble.

“We are committed to helping Montrose Travel and its home-based agents continue to exceed their clients’ expectations in the vacation travel arena.”

MTravel.com, the Host Agency Division of Montrose Travel, has launched several new services and products for the leisure and corporate clients of its home-based agents. One is FlightStats, which allows clients to track their flights and receive notification of significant delays or cancellations on their itinerary. Corporate accounts have the option of signing up for this service company-wide to notify all travelers of the service or by individual traveler. For agents at home with corporate accounts, MTravel.com now offers two corporate online booking tools. One is Cliqbook, for highly sophisticated, managed travel programs. It offers online booking, reporting and support, reduces travel booking costs and fees, simultaneously books air, car, hotel and rail reservations, automates pre-trip approval and includes inventory from major Global Distribution Systems, exclusive direct connects, and internet-only sources.

Montrose Corp, for more simple and unmanaged travel programs, offers a less complex way to book online. A corporate travel policy is not required. It offers lower transaction fees than working directly with an agent. MTravel is also offering the Travel GPA Report Card, which enables your corporate customers to assess how well their travel program is being managed, measures strengths and weaknesses against company goals, peers within their industry and accounts with similar travel spend. Leveraging real time data and history from hundreds of travel management companies, the analysis takes into account billions of dollars in travel spend history to provide the “Big Picture” and let clients know exactly how they stack up. The Travel GPA Report Card benchmarks customers’ analytics: air, car and hotel spend against millions of transactions and grades it’s success in each area. The easy to read Report Card details a measurable overview of company performance in comparison to its own goals and how it measures up to its peers all with the click of a mouse. MTravel’s CorpConnect Portal provides seamless connectivity, maximum convenience, exceptional quality and huge savings for the large corporate customers of its home-based agents. For more information, call 800-870-5799, email andi@montrosetravel.com, or visit www.MTravel.com.

]]> http://join.mtravel.com/home-based-agent-news/new-products/feed http://join.mtravel.com/home-based-agent-news/profitable-host-agency http://join.mtravel.com/home-based-agent-news/profitable-host-agency#comments Thu, 26 Jun 2008 00:34:18 +0000 admin http://join.mtravel.com/home-based-agent-news/profitable-host-agency June 09, 2008
George Dooley
travelagentcentral.com

If you are looking for a model of a successful travel agency that has met the challenges of achieving profitability and passed the tests of innovation and managerial excellence while delivering high-integrity services to a diverse client base, you should take a hard look at Montrose, CA-based Montrose Travel.

In an interview with Travel Agent, Joe McClure, Montrose’s president, said that 2007 set a new sales record well in excess of $110 million and that the first quarter of 2008 had seen a 26 percent gain in sales and a larger increase in the full-service agency’s profitability.

While cautious about the economy and the balance of 2008, McClure believes that Montrose, a member of Ensemble Travel Group, is in a strong position to survive any downturn and will continue to prosper. This year will also see Montrose launch new initiatives and build on its 52-year record of profitable growth.

With seven operating divisions including powerhouse MTravel.com, Montrose’s host agency division headed by Andi McClure-Mysza, Montrose has shown that it has the management skills to benefit from diversification—and the ability to win in one of the world’s most competitive markets.

Making Montrose Tick

McClure also sees Montrose benefiting from early adoption of new technologies that have given it a competitive edge. This includes more than 400 private-label websites, online booking tools and e-mail promotions integrated with management information systems and controls that every agency needs. He gives significant credit to Revelex, Montrose’s key technology partner.

Key to Montrose’s success (the agency has been managed by the McClure family since 1972) is its ability to serve diverse clients. Its Loyalty/Rewards and Credit Union Division, for example, handles more than 7 million Visa and MasterCard members’ rewards program transactions. Montrose also recently won a very large contract from a major financial institution to manage a similar travel rewards fulfillment program.

“Montrose has been able to handle the mainstream corporate travel management responsibilities and to expand into leisure travel sales, as well as specialized areas compatible with our core competencies. Expertise and technology often give us a competitive edge, as does a strong management team with an exceptional ability to execute new strategies designed to cement our future,” says McClure.

Among Montrose’s successful individual divisions are units focused on servicing credit-card rewards programs, credit unions, entertainment accounts, groups and incentives, honeymoons and corporate travel management, all run by seasoned and skilled managers.

MTravel.com, another Montrose Division, is among the agency’s crown jewels. And like Montrose, it has enjoyed profitable growth under McClure-Mysza’s leadership. With 350-plus agents, MTravel.com has a reputation for innovation, quality and integrity of operation. Mysza also serves as the president of the Professional Association of Travel Hosts (PATH). “Early on we saw the importance of independent and home-based agents and the role of host agencies, and have done a good job at benefiting from the opportunity,” Mysza said.

Solid Footing

The brother-and-sister team of McClure and Mysza stresses the need for any agency to have solid financials and a strong, experienced management team and staff. Good leadership means that the agency has core competencies that allow it to perceive and exploit marketing opportunities quickly. They emphasize no debt and a positive cash flow as basics. Both executives have MBAs from the University of Southern California.

McClure also recognizes that technology gives agency managers needed controls over productivity and performance down to the individual agent level. When mixed with strong motivation and solid skills, the result is a staff of more than 150 with agents that are profitable, productive and committed to their careers.

What does the future hold? Montrose Travel has gained recognition as one of the top agencies in the U.S., but like all agencies, it is going to continue to face competitive challenges, McClure says. This includes an often-uphill battle to recruit, train and motivate quality people.

Yet McClure is optimistic that the travel agency industry is tough and resilient and that Montrose (and MTravel.com) will continue to provide a model for performance. With a reported 156 percent increase in profitability for the first four months of 2008, few will doubt his professional judgment.

“The Internet has encouraged MLM/card mill organizations and offers. Many are knowingly fraudulent. Consumers must be wary. They simply don’t know how to separate legitimate offers from hosting agencies and the online scams,” he argues. While the Federal Trade Commission (FTC) can help, it’s up to the travel industry to regulate itself.

The scams also impact legitimate host agencies. The host agency seeking qualified independent agents faces the challenge of how to weed out the hobbyist and perk-driven from those who want to build a career or a business. The appeals of a YTB with 135,000 referring agents are substantial-at least to the outsiders.

The Value of Hosts

Although card mills and MLMs are “hot button” issues, what is now driving the legitimate host agencies in a highly competitive industry is sound economics and developing viable hosting programs.

True, “hosting” has been around a long time, but what is happening now is expansion of hosting networks to increase sales, deliver client services and expand markets. Productive and professional “hosting” is widely viewed as a key to future growth.

But host agencies face real challenges, including recruitment and training of agents, developing compensation plans, applying technology to enhance communications and productivity, maintaining service standards and performance. While there are no accurate figures, collectively, host agencies have made a multimillion-dollar investment in new technologies and marketing to ensure members’ success.

Another major host agency is MTravel, the home-based division of Montrose Travel. Andi McClure-Mysza, who is president of MTravel and newly elected chair of PATH, is an articulate champion of host agencies and independent agents. Like other major host agencies, MTravel sets an aggressive pace in innovative marketing and technology programs that assure MTravel and its members of responsible growth.

But host agencies face real challenges, including recruitment and training of agents, developing compensation plans, applying technology to enhance communications and productivity, maintaining service standards and performance. While there are no accurate figures, collectively, host agencies have made a multimillion-dollar investment in new technologies and marketing to ensure members’ success.

Turning a small family-run business into a national powerhouse that is currently ranked as a Top 50 Travel Management Company in the U.S., Joe McClure inspires both colleagues and clients with his dedication to service. He brings that same passion for excellence to his civic endeavors, which include active support of three area hospitals – Glendale Memorial, Glendale Adventist, and Verdugo Hills – as well as the Make-A-Wish and Assistance League Foundations nationwide. Joe has been honored for his advocacy of California Chambers of Commerce in Glendale, Montrose, La Crescenta, and La Canada. He sponsors and coaches a host of youth activities, among them the American Youth Soccer Organization, the Boys & Girls Club Burbank, and Crescenta Valley Little League.

Ensemble Travel Group sets the Gold Standard in member benefits: unique consumer vacation products, outstanding marketing programs, innovative technology tools, relevant business services, and premier networking opportunities. As an owner-member, you shape the future of a dynamic organization and join an elite group – the distinguished travel specialists of Ensemble Travel Group.

Back in the 1970s when I worked for Aloha Airlines, I was the Sales Manager for the Southwest for a period of time based in Los Angeles. Montrose Travel was a key account then and I got to know them as they were a huge Hawaii producer. In the 1980s when Joanie and I owned and operated a regional wholesale Hawaii tour company (Windansea Vacations) Montrose was one of our largest accounts. Montrose Travel has a rich history of outstanding performance and I am glad to see them working with independent travel agents and would highly recommend them.

I caught up with Andi Mysza and asked her a few questions regarding Montrose Travel’s independent travel agent programs.

Andi, How Long has Montrose Travel Been In Business?
Our company was established in 1956.

What is the Annual Volume for Montrose Travel?
It is about $110 million dollars.

How Long has Montrose Travel Been Hosting Independent Agents?
We’ve been hosting independent contractors since the early 1970’s.

How Many Independent Agents are You Currently Hosting?
Approximately 300.

Is There a Fee to Join Montrose Travel?
Yes. We offer 3 programs (no monthly fees):

• Inexperienced Agents - $299/yr 1 to join (annual renewal $259)
• Experienced Agents - $399/yr 1 to join (annual renewal $359)
• Established Agents - $499/yr 1 to join (annual renewal $459). Minimum $10,000 in commissions (must show proof of volume via 1099 or check stubs)

What is the Commission Split for Your Programs?

1. Inexperienced Agents - 50%
2. Experienced Agents - 70%
3. Established Agents - 80%

Do You Offer Any Overrides?
We figure our commission split based on the total upfront commission generated (including overrides). Back end overrides are not shared.

Do You Offer any Preferred Suppliers?
http://join.mtravel.com/about-us/preferred-suppliers
Key cruise suppliers include, Princess, Carnival, RCCL, NCL, Silversea, Oceania, Holland America, Disney, Celebrity, Crystal Key land suppliers include - Classic Custom Vacations, Pleasant Holidays, Gogo, Globus

We also have numerous air contracts for Apollo users, access to thousands of corporate hotel rates worldwide and relationships with the key car rental companies. We can service the leisure, corporate and group agent with our product mix. This is a key differentiator for us.

Does Montrose Travel Offer any Automation?
Montrose Travel has worked with and supported Independent Contractors since it’s inception. We understand the needs of Independent Contractors and Home Based Agents and continuously develop market-leading products to increase your chances of success. By providing the right tools, products, technology and discounted net rate content our agents need to capture a larger share of the vacation market and better service their customers, nobody offers you more comprehensive technology and support than MTravel.com.

Without a doubt, our private labeled consumer websites with online booking capabilities are the most superior in the host agency market. Let our team of programmers and designers worry about keeping the content fresh and professional looking. (If you’ve ever attempted to keep a website up to date with the volumes of supplier deals available every hour, you know this is an impossible task that would take you away from your primary goal of maximizing profit). Our booking engines allow you and your customers to book cruise, air, car, hotel, and dynamic packages. This is available at no additional cost.

The MTravel.com Agent Connex Support Site contains hundreds of pages of content designed to provide you with everything from procedures to training, marketing to group ideas and support, commission tracking to blast email tools and FAQ’s. It also includes some fabulous travel industry tech tools such as destination guides, objective hotel reviews, and more. It’s so comprehensive that you’ll spend hours discovering its potential for you.

In addition:

1. Apollo - optional $15/mo
2. Cornerstone - QC software (included)
3. iBank Reports for corporate agent accounts (add’l cost)
4. CRM (included)
5. Email marketing tools (included)
6. Star Service Online (included)
7. Weissmann Travel Reports (included)

Do You Offer any Sales Leads?
No. We used to offer group leads. However, we found that many of the email leads that are generated online are price shopping consumers and have been time wasters for our agents.

The most loyal customers are people who are already acquainted with the agent. Assuming a superior customer service experience, ultimately, an agent’s business will be 80% repeat and referral business. It behooves an agent to focus on this potential to grow their own client base.

Do You Accept New Agents at Montrose Travel?
Absolutely.

Is There a Minimum Amount of Revenue an Agent Must Acheive?
Not for the Experienced/Inexperienced Agent levels. No volume requirement. Established Agent level - minimum $10,000/year in total commissions

What Qualities Does Montrose Travel Look For in an Independent Agent?
We are primarily looking for people who are motivated to build their own travel business under their own company name.

For experienced agents, we love those who are seasoned with established clientele. These people can definitely take advantage of all we have to offer.

For inexperienced agents, we want to know that someone is actively working to build their business, is hungry to learn and not solely looking to take advantage of travel benefits.

What Special Qualities Does Montrose Travel Offer?
I believe our key differentiators are:

1. Established 1956
2. Hosting since 1973
3. Family owned and managed (hands on)
4. Top 5 host agency - Large size (150 employees) and buying power ($110MM volume), with the small town touch - we get to know our agents as individuals (personal business coaching)
5. Financial stability - no debt on our balance sheet
6. Leisure, corporate and group products
7. One of the top consumer websites with online booking technology available from a host
8. Top producer nationwide with most of our core preferred suppliers

Who Should Agents Contact For More Information?
Andi Mysza
800-870-5799
andi@montrosetravel.com

Any Thing Else You Would Like to Share?
Yes, Andi Mysza is also the current President of PATH (Professional Association of Travel Hosts).

“We developed this new program to attract experienced agents who can definitely benefit by having access to our superior hosting program,” said Andi McClure-Mysza, president of the IC Division of Montrose Travel. She said that MTravel does not have mandatory monthly fees and offers a comprehensive array of products, including leisure, corporate and group, and business tools for its home-based agents.

MTravel.com’s hosting programs are meant for business-minded travel professionals (independent and agencies) as well as inexperienced people with the desire to learn and grow a business.

Established in 1956, Montrose Travel was purchased by the McClure family in 1972. Montrose Travel is a Top 5 Host Agency and Top 50 travel company nationwide at $110 million. Growth has been solely out of the reinvestment of profit and positive cash flow. For more information, visit www.MTravel.com.

Agents can learn more by calling (800) 870-5799.

The new directors of PATH (Professional Association of Travel Hosts) plan to step up efforts to promote the association as the resource for agents and suppliers to use to determine which Host agencies are sales-focused rather than recruitment schemes.

New PATH president Andi Mysza, Montrose Travel, said that the concept of the Host Agency has grown significantly in the past several years into a variety of choices - including multilevel marketers - "all with very different goals" that have confused what a Host agency is.

With its strict operating standards, PATH has "vetted" its Host agency members and suppliers, she noted.

"For agents looking for a legitimate Host agency that focuses on travel sales rather than recruiting, PATH’s Web site, www.path4Hosts.com, provides a list of Hosts that have met our requirements," said Mysza.

In addition to Mysza, PATH’s new board of directors includes: First Vice President and Public Relations/Communication - Anita Pagliasso, Ticket To Travel; Second Vice President and co-chair Supplier Membership/Education committees - Pam Miller, CTC, Magellan360; Secretary and co-chair Host Membership Committee- Betsy Geiser, Uniglobe Travel; Treasurer and co-chair Host Membership Committee - Tony Gagliano, Travel Planners International; Director and co-chair Event Committee - Kim Sherrett, Travel Counsellors; Director and co-chair Supplier Membership Committee - Jackie Friedman, Nexion.

PATH, which terms itself a "non-profit, all-encompassing, non-partisan corporation," was started 18 months ago with a threefold purpose: to establish a Code of Ethics and performance standards for Host agencies; to bring educational and training opportunities to its members and their affiliated travel agents; and to further communications between the Host agency members, PATH affiliates and travel suppliers.

"We are looking forward to capitalizing on the positive momentum we have going into 2008 with our new board of directors. Our team of Host agency leaders will direct PATH to become the premiere organization originally envisioned," said Mysza.

Currently, PATH has 23 Host agency members representing about 8,700 Independent Contractors and 17 supplier members.

In addition to Host agencies, suppliers have also been similarly screened, she said.

"Most of the Host agency market evolved within the last five years. There are a lot of new issues coming out that are unique to us - operational needs with some suppliers that haven’t been addressed, particularly involving receiving commissions," said Mysza.

As a result, facilitating communication is another area that PATH considers essential.

"PATH has the cream of the crop of suppliers. They will have access to all of the Host agencies that are members and can build a relationship out of each one," said Magellan360’s Pam Miller, noting however that PATH’s selectivity means that supplier members don’t have "a carte blanche."

Mysza added that a Supplier Resource Center is being developed by Primary Hub for PATH.

"It will be a place that suppliers can go to input their deals/communications to agents that each Host can then elect to display or not display on their agent intranets," she said.

Miller, who is heading PATH’s supplier membership/education committee, "is organizing Webinars for each supplier member and our Hosts collectively. This offers the suppliers a very efficient means of training access to 8,700 agents," said Mysza.

PATH’s Host agency members also benefit by networking with one another. "We are friendly competitors. It’s been great for all of us," said Mysza.

Miller agreed.

"We each have unique issues. We are all competitors, but we don’t feel threatened at all. We learn from one another - and that’s invaluable.

"We all offer a different type of Hosting. For instance, Magellan360 doesn’t take on brand new members because we’re not set up to train and recruit. So we can recommend these leads to go to the PATH site and look for an agency that fulfills their needs.

"It’s been a nice, friendly working relationship. We all bring very valuable items to the table."

For more information, visit www.path4hosts.com.

Montrose Travel, a $110-million travel management company and one of the Top 50 travel agencies in America, offers exclusive Home Based and Independent Contractor programs via its Host agency division, MTravel.com. According to Andi McClure-Mysza, president, IC Division, “Montrose Travel has been working quite successfully with Independent Contractors of all types in a Host agency capacity since 1973. Independents can choose the program that best fits their needs.”

One of Montrose’s many success success stories is LCF Custom Travel & Tours, La Canada Flintridge, CA. An an Independent Contractor affiliate of MTravel.com, the agency, owned by Patricia Blanche, focuses exclusively on the upscale leisure travel market and has a 90% repeat business rate, four staffers and sales north of $2 million. “We serve a growing, but demanding market niche that demands expertise from the agent,” she said. Her affiliation with Montrose Travel - now in its ninth year - delivers buying power, considerable marketing clout, as well as access to the resources of the consortium, Ensemble Travel. Blanche’s agency also uses MTravel.com to sell air and for back office account and support technology. “With its reputation for honesty, quality and profitability, my decision to join MTravel.com was an easy one. With so many travel companies failing to meet the demands of the new travel marketplace, I wanted to be a part of growing, dynamic company that is looking to the future,” said Blanche.

As an expert on selling upscale travel, Blanche has some advice for other agents who want to serve this high-end market. “Agents must develop in-depth personal expertise and a strong commitment to unsurpassed client service,” said Blanche, adding that there is no substitute for knowledge about destinations, regions, accommodations and services, including personal visits.

Upscale clients pay more and, in return, expect expert advice from their agents who are often charged with developing complex itineraries, she noted.

Extensive travel experience is basic to serving this market. Blanche said that there is no high-tech substitute for good judgment - not only when selecting a cruise line or resort, but also judgment about the client and his needs. “Agents have to listen carefully. They must read and learn and travel and develop a strong sense of customer service. Good agents with valued clients are on-call 24/7,” said Blanche.

Blanche travels constantly and has visited some 70 countries, giving her a genuine insight into destinations, hotels, attractions and services. She continually revisits destinations to update her knowledge. “Our clients rely on us to design and customize trips that meet their expectations. They want, expect and get five-star services.”

Travel agents who want to serve a luxury clientele can’t fake it, she said. Agents must know their business and their suppliers. At the same time, Blanche said that luxury suppliers must live up to expectations and deliver on their promises to travelers and agents. “Brands targeting upscale clients must live up to their promise. Mutual trust and confidence between agent, client and supplier - is basic,” she said.

Blanche is convinced of the value of professional travel agents, but is concerned about the ability of the industry to attract, retain and reward skilled travel agents who can serve upscale clients. “The costs of being in business for yourself as an Independent agent can be high, including such basics as health insurance. How do we reward high performers?” she asked.

Managing client relationships with technology may help in high volume agencies, but the agent who serves upscale clientele must invest time and special effort. This can include making dining reservations in top restaurants or getting tickets to special events. Blanche noted that it’s a high touch, personal business.

Interpersonal relationships are not easily quantified, yet are critical to serving upscale clients. Agents will often be dealing with very knowledgeable clients with special interests. Often they are connoisseurs and experienced travelers. This, Blanche believes, takes special skills, maturity of judgment and genuine expertise.

Another successful area for LCF Custom Travel & Tours is arranging educational trips for student groups, with emphasis on cultural exchanges. One trip with 100 students to the former USSR and Scandinavia drew praise from former President George H.W. Bush.

A former English teacher, Blanche opened her agency in 1980. “We have clearly benefited from our association with MTravel.com and its co-op, Ensemble Travel. They offer marketing and technology resources that complement our core competencies and client base.”