ASTA Agency Sales & Revenue Trends - First Half 2011
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ASTA Agency Sales & Revenue Trends - First Half 2011 Agency's First Half 2011 Performance versus First Half 2010 Performance ASTA surveyed ASTA agency members this summer asking about their revenue and transaction volume, sales per travel segment, and their expected profits. The survey response suggests that most agencies expect 2011 to be stronger than 2010. Market weakness is still apparent in the percentage of agencies seeing decreased sales in certain segments. The majority of ASTA members said their first half performance was the same or better than the first half of 2010. Only about a quarter saw a decrease in revenue, transactions and clients. This is a much better result than in 2010 when a third of agencies saw a decrease in performance and 2009 when four-fifths saw a decrease. Total Decrease Same Total Increase Revenue 27% 20% 53% Transactions 28% 24% 48% 0% 20% 40% 60% Agency's First Half 2011 Performance versus First Half 2010 Performance - Corporate Agencies Only © ASTA 2011 A larger percentage of corporate agencies are still seeing a decrease in performance. Very few are reporting their performance remaining the same. Corporate agencies are either seeing increased revenue and transactions or decreased revenue and transactions. Number of Clients 26% 32% 43% Revenue Transactions Number of Clients Total Decrease Same Total Increase Revenue 39% 9% 52% Transactions 41% 9% 50% Number of Clients 23% 32% 45% 0% 20% 40% 60% Revenue Transactions Number of Clients
Transcript of ASTA Agency Sales & Revenue Trends - First Half 2011
ASTA Agency Sales & Revenue Trends - First Half 2011
Agency's First Half 2011 Performance versus First Half 2010 Performance
ASTA surveyed ASTA agency members this summer asking about their revenue and transaction volume, sales per travel segment, and their expected profits. The survey response suggests that most agencies expect 2011 to be stronger than 2010. Market weakness is still apparent in the percentage of agencies seeing decreased sales in certain segments.
The majority of ASTA members said their first half performance was the same or better than the first half of 2010. Only about a quarter saw a decrease in revenue, transactions and clients. This is a much better result than in 2010 when a third of agencies saw a decrease in performance and 2009 when four-fifths saw a decrease.
Total Decrease Same Total IncreaseRevenue 27% 20% 53%Transactions 28% 24% 48%
0%
20%
40%
60%
Agency's First Half 2011 Performance versus First Half 2010 Performance - Corporate Agencies Only
© ASTA 2011
A larger percentage of corporate agencies are still seeing a decrease in performance. Very few are reporting their performance remaining the same. Corporate agencies are either seeing increased revenue and transactions or decreased revenue and transactions.
Number of Clients 26% 32% 43%
Revenue Transactions Number of Clients
Total Decrease Same Total IncreaseRevenue 39% 9% 52%Transactions 41% 9% 50%Number of Clients 23% 32% 45%
0%
20%
40%
60%
Revenue Transactions Number of Clients
Agency's First Half 2011 Performance versus First Half 2010 Sales Performance By Travel Segment
Corporate agencies have seen a stronger recovery for air and car rental sales as expected.
Except for air, car rental, and rail, more agencies are seeing increased sales by segment than decreased sales.
Air Cruise Hotel Tour/ Group Car Rental Rail Insurance FIT
Total Decrease 36% 26% 24% 26% 24% 23% 19% 18%Same 28% 27% 30% 42% 52% 59% 32% 43%Total Increase 35% 47% 46% 32% 24% 18% 49% 39%
0%10%20%30%40%50%60%70%
Total Decrease Same Total Increase
© ASTA 2011
Agency's First Half 2011 Performance versus First Half 2010 Sales Performance By Travel Segment - Corporate Agencies Only
Air Cruise Hotel Tour/ Group Car Rental Rail Insurance FIT
Total Decrease 30% 17% 29% 30% 23% 20% 24% 18%Same 17% 30% 29% 26% 36% 55% 43% 59%Total Increase 52% 52% 43% 43% 41% 25% 33% 24%
0%
10%
20%30%
40%
50%
60%
70%
Total Decrease Same Total Increase
Looking only at decreased sales, Air, Tour/Package/Group, and Car Rental show the most weakness.
Agency's First Half 2011 Performance versus First Half 2010 Performance By Travel Segment - Decreased Sales Only
36%26%26%
24%24%23%
19%18%
0% 10% 20% 30% 40% 50% 60%
Air
Tour/Package/Group
Car Rental
FIT
Hotel
Cruise
Rail
Insurance
Total Decreased
© ASTA 2011
Agency's First Half 2011 Performance versus First Half 2010 Performance By Travel Segment - Increased Sales Only
Looking only at increased sales, Insurance, Cruise and Hotel had the strongest growth in the first half of 2011.
49%47%
46%39%
35%32%
24%18%
0% 10% 20% 30% 40% 50% 60%
InsuranceCruiseHotel
FITAir
Tour/GroupCar Rental
Rail
Total Increase
Agencies are optimistic that 2011 will finish with a strong profit compared to 2010 and 2009.
Average Annual Profit Per Agency(profits measured as a percentage of total revenue)
8%
8%
7%
6%
8%
9%
0% 2% 4% 6% 8% 10%
2007
2008
2009
2010r
2011p
2012f
Average Profit %
Corporate Agencies are less optimistic for 2011 and 2012.
Average Annual Profit Per Agency - Corporate Agencies Only(profits measured as a percentage of total revenue)
© ASTA 2011
Average Profit %
6%
6%
7%
0% 1% 2% 3% 4% 5% 6% 7% 8%
2010r
2011p
2012f
Average Profit %
Annual Profit Per Agency(profits measured as a percentage of total revenue)
Note: r=revised, p = projected, f = forecast
There are less agencies expecting zero profit in 2011 and 2012 with most agencies expecting profits in the 5% to 10% range.
2008 2009 2010r 2011p 2012f0% 23% 30% 26% 10% 6%5% 26% 26% 34% 37% 35%10% 31% 30% 26% 28% 24%15% 12% 8% 8% 17% 17%20% 3% 3% 4% 3% 8%25% + 5% 3% 2% 4% 7%
0%10%20%30%40%
0% 5% 10% 15% 20% 25% +
Most corporate agencies are expecting a profit of 5% in 2011 and in 2012.
Annual Profit Per Agency for Corporate Agencies Only(profits measured as a percentage of total revenue)
Note: r=revised, p = projected, f = forecast
© ASTA 2011
2010r 2011p 2012f0% 29% 7% 7%5% 57% 71% 64%10% 8% 21% 15%15% 7% 7% 13%20% 0% 0% 0%25% + 0% 0% 0%
0%20%40%60%80%
0% 5% 10% 15% 20% 25% +
Survey data was collected through the 2011 ASTA Research Family. The ASTA Research Family is a panel comprised of a representative sample of ASTA member travel agency owners and managers. The Research Family reflects ASTA members in key agency demographics including sales volume, leisure/business mix, number of part-time and full-time employees and geographic location. The survey data was collected online via www.surveygizmo.com in June/July 2011. The reply level indicates a minimum of 95% confidence with an error rate +/-5% representing the total ASTA agency membership. This is considered to be a good sample with reliable results.
© ASTA 2011
For more information about this survey or ASTA Research, contact Melissa Teates, ASTA Director of Research, at [email protected]. Or go to the Research Page at www.asta.org.
