While some travel agencies remain hesitant to embrace Customer Relationship Management (CRM) platforms, industry experts believe that harnessing the extensive data collected with these tools can give agents a competitive edge when it comes to understanding the client’s needs and delivering personalised offers and service.
The race
This is increasingly important as NDC provides airlines the opportunity to gain enhanced visibility of customer data and insights.
Riaan van Schoor, Co-Founder of Agentivity, told Travel News that suppliers are increasingly using direct client apps to track habits and preferences. This data will enable them to make anticipatory offers based on personalised data.
Marco Ciocchetti, the CEO of XL Travel, agrees that suppliers, such as airlines, will become more adept at using customer data to tailor offers, despite NDC being in its early stages.
"Travel agents may face heightened competition, with airlines gaining insights to create direct, personalised marketing campaigns that could draw customers away from traditional agents," explains Ciocchetti.
Van Schoor emphasised that agents must combat this by collecting robust customer data through their CRM tools and utilising it to provide exceptional personalised services, demonstrating their value to clients.
Slow uptake
A recent Travel News poll revealed that only a quarter of respondents made use of a CRM tool at all.
While having a CRM system is the first step, it’s critical that all personnel in the agency who use it understand the importance of using it to its fullest capabilities.
"The least valuable information you can store in a CRM might well be the contact details," said van Schoor. "For me, storing buying behaviour: the airlines and suppliers used the most by the client, which hotels are booked the most in which cities, information about the client’s family - these are things that matter."
He explains that this information could allow an agent to proactively suggest a hotel the traveller would prefer for their next trip, or make them aware of how to schedule travel to accommodate family commitments.
"These are all small examples of how data about clients can empower agents to be personal, at scale," said van Schoor.
True value
While airlines and other suppliers are increasingly using customer data to enhance their services, travel agents can leverage their human expertise,(with the assistance of strong CRM systems), and their personalised service to deliver exceptional value that differentiates them from airlines, says Ciocchetti.
He suggested a few ways in which agents can unlock the full potential of their CRM tool:
- Centralised customer data: A CRM consolidates all customer interactions and data in one place, enabling agents to access important information quickly.
- Enhanced customer insights: With advanced analytics, a CRM can help agents understand customer preferences, behaviours, and booking patterns. This allows agents to remember specific details (e.g. favourite airlines, dietary restrictions) to tailor their recommendations and offers, enhancing customer satisfaction.
- Segmentation and targeting: Agents can segment their client base based on various criteria (e.g., travel frequency, budget, interests), allowing for targeted marketing efforts that resonate more effectively with each group.
- Streamlining operations: A good CRM automates routine tasks such as follow-ups, reminders and marketing campaigns, freeing agents to focus on building relationships and providing exceptional service.
- Personalised communication: By analysing past interactions and preferences, agents can tailor communications to match each client’s style and interests, for example, sending tailored travel deals based on previous destinations or preferences.
"Those who do have the tools at hand to truly personalise their engagement with the traveller at scale and in a profitable way are the ones who will evolve to the next level and be in a far stronger position to work with their suppliers and airline partners in the future of travel retailing," said van Schoor.
