Reducing costs by automating business process has emerged as a leading strategy for surviving tougher times among North Asia travel agents. Abacus International surveyed more than 40 leading travel agents from China, Hong Kong, Korea and Taiwan markets at the recent Abacus Regional Conference, North Asia, and found that 30% of the companies surveyed saw automation as a key way to survive the financial crisis…
Reducing costs by automating business process has emerged as a leading strategy for surviving tougher times among North Asia travel agents. Abacus International surveyed more than 40 leading travel agents from China, Hong Kong, Korea and Taiwan markets at the recent Abacus Regional Conference, North Asia, and found that 30% of the companies surveyed saw automation as a key way to survive the financial crisis.
“Having gone through past crisis of varying magnitude from health scares to economic issues and coming out of them for the better, experience has taught North Asia’s travel agents that a strong business technology infrastructure can boost productivity and ROI,” says Abacus International President and CEO Mr Robert Bailey.
“These travel agents have realised that the value of having solid business process automation such as Abacus PowerConnect will both reduce unnecessary costs essential during these tough times while ensuring that revenue from all sources is thoroughly tapped.”
Increased automation of business processes was the most popular strategy identified, with the largest proportion of the travel agencies interviewed indicating that it is the key long-term measure their companies are embracing and it is also the number one area that they would like global distribution companies such as Abacus to help them tide through the financial crisis.
The second equal most popular strategies for surviving the global economic slowdown are forming joint marketing campaigns with suppliers, and business consolidation with overseas partners. Forming strategic partnerships was also ranked high in the short and long-term measures that these travel agencies would like to undertake.
“Travel agencies from these relatively mature markets know the real benefits of forming strategic partnerships. They have expressed keen interest in forming alliances with overseas travel agencies and suppliers to strengthen the dynamics of their inbound and outbound business and this is where Abacus’ network in 25 markets can play a central role,” Mr Bailey said.
Of the 42 North Asian travel agents surveyed, 40% indicated the current financial crisis would have low impact on their businesses, 38% indicated a moderate impact and 21% were expecting a high impact of greater than a 30% reduction in revenues
Vicky is the co-founder of TravelDailyNews Media Network where she is the Editor-in Chief. She is also responsible for the daily operation and the financial policy. She holds a Bachelor's degree in Tourism Business Administration from the Technical University of Athens and a Master in Business Administration (MBA) from the University of Wales. She has many years of both academic and industrial experience within the travel industry. She has written/edited numerous articles in various tourism magazines.
