MIAMI — Travel agents who weathered the pandemic now face new challenges, from geopolitical concerns to staffing shortages to the rise of artificial intelligence.

However, premium and luxury travel continue to grow, according to the Affluent Traveler Collection (ATC), which held its annual 2023 Symposium at the Kimpton EPIC Miami this past weekend, with about 250 luxury travel advisors from the U.S. and Canada in attendance.

Shayla Northcutt, President and Founder, Northcutt Travel, Heather Di Pietro, Owner and CEO, TravelSalesGroup and She’s the World, and Faith Sproule, Owner, Niche Travel Group

ATC is the luxury arm of American Marketing Group (AMG), and its advisors are also members of sister brands TRAVELSAVERS and NEST.

The invitation-only luxury marketing group reported that its luxury room revenue is up 45%, luxury guided revenue is up 24% and luxury cruise revenue is up 22%.

ATC has also added properties in sun markets such as Mexico and the D.R., as well as in exotic locales such as Morocco and Cambodia. And it’s brought on high-end hotels properties from Raffles, One&Only and Waldorf Astoria, for a total of more than 1,100 luxury hotels and resorts.

This is despite the many challenges the travel industry is now facing.

This year, geopolitical issues have become a top concern for advisors, said Nicole Mazza, CMO of ATC, during a press conference on Monday. This concern has overtaken fears of a recession, although that’s still a concern, too – as is extreme weather, supplier-direct competition and the state of the airline industry.

Some advisors are also concerned about the rise of artificial intelligence. “We look at it as a challenge and an opportunity,” said Mazza. “Many are saying it’s going to change our industry – I think it’s going to change our industry for good.”

For example, there’s a surge in demand for advisors, yet the industry faces major staffing challenges. “AI comes into play in how you can get more hours back in your day, so you can handle more of what you do best, which is sales,” said Mazza.

Indeed, ATC is incorporating AI into SocialConnect, its social media platform for advisors; tripXpress, its booking engine technology; and OnlineExpress, which allows a parent agency to develop ‘child’ sites for ICs. “We’re developing AI into our itinerary builder across all preferred suppliers,” said Mazza.

ATC is also partnering with a crypto bank to pilot a new payment option within tripXpress where customers can pay with cryptocurrency—however, this feature is still in the pilot phase (starting with cruise product and then rolling out to hotels) and isn’t available yet in Canada.

However, its training program is finally coming to Canada. About a year and a half ago, ATC launched KORE in the U.S. market. “We’re pleased to announce we’ll be rolling out to the Canadian market within the next 30 days,” said Kathryn Mazza-Burney, Chief Sales Officer of ATC.

“It’s everything from geography to sales and how to sell within the market, as well as real-world content such as technology tools, fraud protection and insurance,” she said. It takes on average 130 hours to complete KORE’s 16 modules; ATC will also be adding two additional modules related to luxury travel, for a total of 18 modules.

KORE targets advisors who are new to the industry – those looking to make travel a career, not a hobby. It’s also targeting more experienced advisors looking to diversify their business. There’s mentorship opportunities, as well as job placement for graduates.

In the U.S., travel advisor positions are expected to grow by 3% from 2022 to 2032, with 8,600 openings each year, according to the US Bureau of Labor Statistics. At the same time, there’s more demand from the general public for the services of an advisor.

However, two-thirds of advisors are over the age of 50, and only 6% of advisors today are under 35, according to The Travel Institute.

TRAVEL ADVISOR SHORTAGE

When it comes to the industry-wide staffing shortage, Faith Sproule, owner of Niche Travel Group in Halifax, said she’s in a unique situation where she’s able to find highly trained advisors. During pandemic lockdowns, many agencies in Atlantic Canada shuttered their doors, so she was able to hire managers from those agencies.

But, “we could be in real trouble in a few years,” she said. “I only have one advisor under the age of 35 – I have 16 total advisors.” She’s planning to use the KORE program when it becomes available in Canada to simplify the vetting process.

But she also said flexibility is key to attracting younger advisors into the industry. “If we want to hire people under the age of 30 then we have to be flexible with our idea of what business looks like, what our hours look like,” said Sproule. “I’m open to someone working in Portugal over the winter as long as the work gets done.”

During the symposium, ATC also announced that it has tripled its OnLocation program, relaunched earlier this year, with 33 partners in 65 destinations, offering immersive experiences in high-demand locales, along with new marketing enhancements and digital campaigns. And it’s on track to exceed its goal of 20% growth in luxury hotels in 2024.

TRAVELSAVERS GROWTH IN CANADA

Meanwhile, as TRAVELSAVERS continues to expand in Canada, the company is gaining momentum with every step forward.

With over $250 million in new sales over the past year, new engagement initiatives, and a growing team, TRAVELSAVERS Canada has experienced exciting success under the leadership of Jane Clementino, SVP and General Manager — and it’s just the beginning.

The company is holding true to its core values: being people-centric, partnering with suppliers in the industry and acting as a catalyst for growth for its affiliates, says Clementino.

“The TRAVELSAVERS model leads with a commitment to service and consultation. In growing our Business Analyst team, we are able to provide the best-in-class experience from a service and technology-driven perspective as demand increases,” she says.

With 80 members added in the last 12 months, the consortium has experienced substantial growth. Newest agency members are: Great Canadian Travel Group – Manitoba; Tisson Travel Group – Alberta; and 510 Travel – Ontario.