DESTINATIONS DYNAMIC PACKAGING
ACCOMMODATION
Accommodation suppliers have
their own issues, as demonstrated
by the number of bed banks that
have given up principal status.
But it’s not all doom and gloom.
In a recent article in TW’s sister
publication, Travolution, Dolphin
Dynamics founder and president,
Roberto Da Re said he foresaw the
growth of destination management
organisations and property
management system suppliers
as a possible benefi t to agents.
Da Re said: “Brokers may come up
against new competition from DMOs
and suppliers of PMSs because, as
they develop their technology, they
create new distribution channels and
can enable hotels to connect directly
with consumers or travel agents –
and bypass the brokers.
“The implication for agents is that
they will be able to source accommodation
more directly, not via a broker
or an intermediary, which may
reduce the cost to consumers and
enable agents to strike commercial
deals directly with hotels and
improve their margins,” he said.
Traveltek managing director
Kenny Picken agreed there will be a
bed bank shakedown. “Some of the
bed banks will have to disappear
through inability to compete or by
acquisition, but there is no doubt
technology and opportunity also
threaten their existence. The
opportunity the DMCs are seizing
just creates a new player, as they will
need distribution and therefore
become part of the supplier chain.
However, technology also makes it
easier for hotels to off er inventory
direct. Bed banks are here to stay, but
we will see some dramatic changes
in 2009,” he predicted.
When agents are looking for ways
to stay afl oat and consumers are
looking for value, the internet can
still off er the best deals while making
the agent a decent margin.
Picken said: “Our HolidayMaker
dynamic packaging system can still
52 | Travel Weekly | November 21 2008
Roberto Da Re of
Dolphin Dynamics
fi nd the best deals at the best prices
and, in hard times, consumers want
value more than ever before, but
dynamic packaging alone will not
resolve the economic issues.
“Agents need to think positively
and be proactive; be creative in every
aspect of what they off er clients and
make themselves diff erent. Off er
quality service, good value and easy
access to your product.
“There are opportunities to
usurp your competitors while
they fall in to the complacency
of blaming a poor economic
climate.”
Hotels4u.com sales and
marketing director John Harding
agreed dynamic packaging is just
one component in a travel
agent’s armoury. “Dynamic
packaging is part of an array
of products that all agents
need in order to off er today’s
holidaymakers the fl exibility
and choice they need. Multi-
Many bed banks
have dropped
principal status
channel and multi-product distribution
is therefore the only way for
agents to expand their proposition
in the present climate and dynamic
packaging is a major part of that.”
The key is to remember dynamic
packaging is a tool to enable the
agent to be more responsive to
consumer demand and to supply
to specifi c demands.
“Those who are more resilient to
the economic uncertainty (retired or
older travellers) need to be better
catered for and their needs more
closely aligned with available
off erings,” said Bird.
Da Re points to the growth of
mobile services, from booking
services to the delivery of a variety
of travel-related content, which he
said remain “largely untapped”.
“Mobile services will enable travel
agents to off er added value to
consumers and diff erentiate their
service, supported by powerful,
fl exible, technology,” he said.
www.travelweekly.co.uk
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