# Travel agent profit margins, commission and referral.



## jbax (20 Jul 2007)

Hi,

I have access to a large group of people who would make up quite a large part of a travel agent's target market.

My question is, would it be possible to earn money by acting as a third party between these people and the travel agent?

For example;

I know 10 people. They want to go on holiday. I tell them I can get them a good holiday, price etc., I give the travel agent their details and their holiday is booked. I then earn commission from my referral?

Is this possible/practical?

€50 per person or 8-10% of the total price is what I'd be looking for per person.

Is this realistic?


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## Bob the slob (20 Jul 2007)

Doesnt sound too practical to me.  Its just another middle man in the equation.


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## ClubMan (20 Jul 2007)

Some people might be prepared to pay for the convenience but why would they not just go direct to the agent or search on the web? I suspect that a more detailed, critical, objective analysis will show that this sort or venture is not really viable.


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## redbiro (20 Jul 2007)

_"€50 per person or 8-10% of the total price is what I'd be looking for per person."_

I'd be dubious about 8-10%, despite what you might think, margins in the travel industry tend to be very tight - probably too tight to support 8-10% unless the end user price is marked up accordingly.


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## bleary (20 Jul 2007)

I read a report recently and was suprised that they referenced about 3% as the Travel agents commission for a package holiday -If I find the link ill whack it up


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## 1308dorina (20 Jul 2007)

Travel agents commisions can go from 0% for flights up to a maximum of 10% on packages......they make more commission on travel insurance but that's about it.......it is not the most profitable business so i don't think this would be a good idea


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