Functions of Travel Agency


Sometimes, we ignore some agencies due to our nurtured ignorance of the uses of these agencies. We build a myth about online websites that actually offer help to the general public because we think that they are for “other people,” but do you know that that ad on a travel agent guide is real? Do you know that they really function?

How acquainted are you with the services travel agencies offer? There are many services they offer and we’ll be running through them in this article so that you’ll be able to maximize their services better.

A travel agency can be a private retailer or public service that provides travel and tourism-related services to the general public on behalf of accommodation or travel suppliers to offer different kinds of travel packages for each destination.

Sometimes , they are called travel advisors, as their main function is to act as agents and sell travel products on behalf of a supplier with whom they are affiliated.

A travel agency is a well-known public service provided for people who travel from one part of the world to another. Travel agencies prevent one from getting stranded at whichever place one travels to and also help to ease the stress of relocating or arriving at a new place.

There are many other functions of travel agencies and we shall look at a couple of them below;

Functions of Travel Agency
1. Booking and Reservations

One of the basic functions of a travel agency is that they make reservations for various travel-related services, which include flights, hotels, rentals, tours and activities, on behalf of their clients, who must have reached out to them.

Most times, when they are reached out to, they make reservations for their clients before their arrival to ensure adequate convenience.

In light of this, a travel agent should have access to a wide range of suppliers, both domestic and international, in order to provide their clients with the best options available. They should also be familiar with different booking systems and tools to ensure that they can efficiently manage and book reservations for their clients.

 2. Travel Planning and Consultation

Travel agencies provide consultation and advice to their clients regarding their travel plans. This includes helping clients choose a suitable destination that they’d find easier, getting suitable accommodation options, planning an itinerary and selecting appropriate activities and tours that they might want to engage in.

Travel agents normally have up-to-date information on the latest travel trends, travel regulations and visa requirements to provide their clients with accurate information.

3. Customer Service

Customer service is a critical function of any travel agency. Travel agencies are always responsive to client inquiries and requests, whether they are made by phone, email or in person.

The agency should have a 24/7 customer service hotline to assist clients with any emergency situations that may arise during their trip and deal with any queries or complaints that their clients may have. Through calls or emails, they provide active, relevant information for their clients

4. Marketing and Sales

Travel agencies also engage in marketing and sales activities as they attract new customers and retain existing ones. They market travel-related products for the suppliers they are affiliated with. They also sell holidays and insurance for suppliers or company brands.

They should develop marketing campaigns and promotions that showcase their unique selling points, such as exclusive deals, personalized service, or specialized expertise. The agency sometimes, have a sales team that actively reaches out to potential clients and follows up with leads.

5. Product Development

A travel agency continually develops new travel products and packages to offer to their clients. Among these products and packages are specialized tours, adventure trips, luxury vacations and more.

The agency should research and analyze market trends in order to keep clients updated with the trends of wherever they’re traveling and should also be acquainted with their customer preferences to create products that meet the evolving needs and desires of their clients.

6. Financial Management

Travel agencies manage their finances effectively in other to ensure long-term sustainability.

These activities that require finance include tracking expenses, managing cash flow, and creating budgets. The agency should also have a system in place for collecting and reconciling payments from clients, as well as paying suppliers and employees.

7. Technology and Innovation

Technology and innovation are key drivers of success in the travel industry. Travel agencies should invest in and utilize the latest technologies to streamline their operations.

They incorporate technological innovations into their work in order to enhance the experience of their clients and stay ahead of competitors. This could include online booking platforms, mobile apps, virtual reality tours and more.

8. Supplier Relationship Management

Travel agencies build strong relationships with their clients in order to be able to serve them better, providing them with high quality products and services. Which includes establishing favorable rates and terms with the suppliers, creating regular communication channels, negotiating favorable rates with the suppliers and resolving any issues that may arise in the course of their engagement with any supplier.

9. Risk Management

Travel agencies should have a risk management plan in place to minimize the impact of unexpected events such as natural disasters, political unrest or health crises.

The agency should regularly monitor travel advisories and alerts, communicate with clients regarding potential risks and have contingency plans in place for emergencies.

 10. Legal Compliance

Travel agencies adhere to all relevant laws and regulations related to the travel industry. Some of these relevant laws include obtaining necessary licenses (could be car licenses, as sometimes they drive their clients in person) and permits, complying with consumer protection laws, and ensuring the safety and security of their clients. The agency should also have official insurance coverage to protect themselves and their clients from any unforeseen circumstances.

11. Outdoor Recreation

Travel agencies make available different types of games or outdoor activities which would help their clients relax while away on vacation or work.

They are to also make reservations for sports in recreational centers with tight fixtures. They make these reservations because they have contacts in the new place where the client has arrived.

12. Medical Services

They book medical services and order medical items ahead of time with a hospital if the client has requested to have a medical checkup on arrival. Public Transport Timetable

They find out suitable and available public transportation that can be used by their clients if they are not capable of paying for a private ride.

13. Food Menu Presentation

The travel agency, sometimes depending on the type of client, is responsible for the feeding arrangements of their clients from the time of their arrival to the time of their departure.

They present different types of food menus and advise their clients on which to go for, depending on the continental importance of the dishes.

14.  Car Rental

They make available cars that can be rented and used by their clients throughout their stay in the city or country.

Travel agencies take on the stress of informing the management of the car rental company that they’ll need a car for their client before their arrival to prevent hitches of any sort.

15. Arrangement Logistics For Luggages

The travel agency takes on the burden of arranging and making the luggage of the travelers compatible and able to work with.

Most times, travelers who have contacted the services of a travel agent do not need to worry about their luggage because they always find a way to take it to the airplane that their clients will be using.

16. Sales Agents For Airlines

Travel agencies also serve as sales agents for airlines. They can help promote an airline company which they must have made an agreement with. They do this by telling their clients about the airline and why they should choose it.

17. Incorporating Currency Exchange into Travel Packages

Travel agencies sometimes, play a limited role in facilitating currency exchange for their clients, although their primary focus is typically on travel arrangements rather than financial services. Here are a few ways in which travel agencies can assist with currency exchange.

18. Providing Information on currencies

Travel agencies can educate clients about the currency exchange process, including the local currency, prevailing exchange rates and potential fees or charges involved. They offer general guidance and recommend reputable sources for currency exchange.

19. Recommending Exchange Options

Travel agencies also suggest different options for currency exchange, such as banks, currency exchange bureaus, or online platforms. They can provide information on the pros and cons of each option and help clients make an informed decision based on their preferences.

20. Assisting with Prepaid Travel Cards

Some travel agencies offer prepaid travel cards, which allow users to load money onto a card in their home currency and use it for transactions abroad. It relieves one of the stress of changing one’s currency immediately upon arrival.

These cards can be a convenient and secure way for their clients to manage their finances while  abroad.

21. Partnering with Currency Exchange Providers

Travel agencies may have partnerships or affiliations with currency exchange providers or banks. They can facilitate the exchange process by connecting their clients with their trusted partners, which may offer competitive exchange rates and additional services.

From the above discussion, we can say that a travel agency plays a vital role in the travel industry by providing a wide range of services to help clients plan, book, and execute their trips.


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