Travel and tourism is a booming industry, with the estimated global worth of over $7.6 trillion. Not only is this sector large but also vast in its areas of business, companies falling under its definition including the likes of accommodation, entertainment and transportation. With an ever-growing consumer demand and vast array of different areas to specialise in, there is great potential in this field for those wanting to develop a lucrative business.
Living in an age that is increasingly defined by its online connectivity, it will come as no shock that more and more people are ditching the local travel agencies and searching for their next holiday destination online. With information now quite literally at our fingertips, travel and tourism, like many other industries, have adapted to this shift towards the digital through the creation of online travel companies.
Online travel companies come with many benefits, able to be both set up and also ran from home. In addition to this, online travel companies can be set up on very little funds, with start-ups only having to put in considerable amounts of money when the company has grown and expert, professional advice is required. This means that there is less to lose in the initial stages of setting up a business of this kind, which apart from being a benefit in itself also provides a less-pressured environment in which to start building up your agency.
This piece will be exploring the various different aspects to consider when starting up an online travel company. For more information like this, why not visit TechRound’s list of guides on starting up a business.
How to Start an Online Travel Company
Although starting up an online travel company can in many ways come with an easy start, there are still, as with starting up any business, numerous different aspects to consider ensuring a greater chance of success. Below is a list of the main things to consider when creating a successful online travel company:
- Advanced planning
- Resources for funding
- Host Agencies
- Standing out from the crowd
Careful consideration and preparation for these main areas can help significantly in developing a successful online travel business, helping you to hit the ground running.
When seriously considering creating an online travel company, it is vital that every aspect of this business venture is planned well in advanced and to the last detail. Nothing should be set up in a rush, and although it may be tempting to hurry the start-up process along, taking time to make sure a well thought out strategy is prepared will help to prevent any catastrophes from happening.
The online sector of the travel and tourism industry, although a fantastic environment for a business to flourish in, is also still fiercely competitive. Most competitors will be taking every measure possible to ensure their start-up is prepared for any and all potential eventualities, therefore so should yours be!
The planning for a travel start-up company will be very dependent on the type of business it deals with. For example, companies that are created and based at home will require a host agency (mentioned later in this piece). Planning your company’s route in advance will also help manage spending and workloads, and reduce the risk of resources running out.
Resources for Funding
Following on from the topic of managing resources, another vital task to consider is funding for the business. Although as previously mentioned, when starting up a travel company funds will typically not be too excessive, they will still exist. It is therefore important to know where the funding for your business will come from, what it will be spent on and how to get it.
In the case of online travel companies, funding will typically be spent on such components common for online start-ups as marketing, advertisement and search engine optimisation (SEO). Making sure the website is designed in a professional and attractive way is vital – for online start-ups, presence on various different online platforms is everything.
Getting a Host Agency
When starting up an online travel company, it can be incredibly beneficial to opt for a host agency. This can provide a business with a considerably low cost when starting up and has the potential to gain back high-paying commission. A host agency, in its most simplified definition, almost acts as a middleman between travel agencies and suppliers.
Standing Out from the Crowd
As there is fierce competition when it comes to this online sector of the travel and tourism industry, it is important to develop a plan of action to help make your company stand out from the rest. One great way to stand out from the crowd is to research your competitors extensively, learn what’s typically on offer, and ensure your company provides the services that are rarely offered by the other travel agencies.
Having something unique to your start-up can help to significantly boost its popularity and further flourish into a successful online travel company.
An excellent example of a successful online travel company with competitive offers that make it stand out from the crowd would be Travelink. Based in North London, Travelink is a travel agency that offers a vast array of different travel services, from escorted tours in Israel to finding the perfect cruise for each customer’s personal requirements, the broad range of offerings from travel agencies such as this play a massive part in their success.