Ensemble President Michael Johnson delivering the state of the state of travel. (Photo Credit: Lark Gould)
While it has been an unexpected banner year for travel, Ensemble, one of the world’s largest travel consortia, is not sitting back to enjoy the ride.
The travel advisor network, which, until recently operated as a cooperative, completed its second annual Horizons conference under the umbrella of Navigatr, a multi-layered travel company that acquired Ensemble in 2022.
The heady gathering in Las Vegas last week, tagged “Level Up,” focused on the future of travel as a commodity defined by human expertise and experience and ways to leverage technology, data and programming to help members grow their businesses amid ever-evolving challenges. And the audience of more than 800 owners, managers, and advisors as well as preferred partners were ready and eager to take it all in.
“Our goal is to transform Ensemble into something entirely new in the industry, to reimagine what a consortium can do. We want to provoke a different conversation, a different thought process. Sometimes you are so focused on your work you forget about the ‘why.’ One philosopher I deeply admire once said, ‘Life moves pretty fast.’ That's actually profound. It touches on the importance of being present in the moment. It speaks to values like gratitude. It also speaks to the risks associated with speed. The faster we move, the easier it is to lose sight of ‘the why’ we're doing and ‘the what’ we are doing,” said Michael Johnson, President of Ensemble, in his opening remarks.
The next few days were centered on meetings between advisors and participating suppliers and DMCs as well as practicums for “leveling up” efficiencies, such as ADX – a proprietary platform created by TripArc, a technology company also under the Navigatr banner, gaining familiarity with new training and certification programs, and learning about other initiatives to help advisors market and manage travel with more ease and confidence.
Chief among those initiatives is something that the Ensemble brass touted as a game changer: ADX Plus. The platform of ADX was developed by parent company, Navigatr, as a workhorse portal for member advisors, and, by March, Ensemble expects to unveil ADX Plus, a system developed to give advisors wings.
After upgrading to ADX Plus, the system will offer more verticals such as rail, on-demand DMC services, ground transfers, and car rentals. It will have a strong bundling mechanism that lets advisors combine all of their clients' vacation plans into a single package, adding extra margins to each field and delivering the booking at one cost.
“The new key capability in ADX is that you bundle everything in one package,” said Nadiya Makarenko, Senior Vice President, Travel Edge Network, a luxury host agency that is also part of Navigatr and one of the largest members of Ensemble.
“It may sound very simple, but it is quite technical. It’s a game changer in that when you bundle everything in one package and give one price to your clients. It means that you do not have to disclose your margins and you do not have to disclose your service fees -- and this allows agents to be comfortable with charging what they're worth.”
The enhanced portal will be customizable to each advisor, and through AI, the portal will learn and understand what each advisor wants. Advisors will be able to pin things that are critical to their business or the transaction at hand and not be served with the usual deluge of irrelevant postings.
For instance, a specialist in adventure travel can turn off notifications about all-inclusive resorts or cruises. They can pin ancillary information, such as insurance quotes or visa requirements. They will not have to indulge in time-wasting searches, keep track of histories, or worry about uncomfortable conversations over fees.
“Most of advisors depend on commission, and unfortunately commissions are getting less and less. It means agents need to work harder to make the same income. So that's why the ADX Plus program, is actually a game changer. Today, somebody who's making a 10 percent margin can make a 23 percent margin, and when you make those margins you can grow your business,” Makarenko told Travel Pulse.
Ensemble staff heralding a new revolution in travel marketing capabilities and opportunities. (Photo Credit: Lark Gould)
To that end, AI was welcomed, not vilified, by speakers at the conference for its unending potential to help Ensemble members optimize their time and deliverables. Concern that AI could someday replace the human touch that advisors offer is not in the cards, according to Johnson.
“The truth is, I think this represents an incredible opportunity for our industry because it's forcing us to come to terms with our value proposition. It's the time you put into your craft, developing your expertise, getting to know your clients, building relationships with partners, and building your business – these are things technology cannot replicate. It's a combination of art and science. It turns a trip into an experience and is the magic that allows a traveler to collect a memory instead of a souvenir …and that is worth something,” said Johnson. “If you're selling on price or convenience, you're making yourself vulnerable to something that can do it faster and cheaper.”
In a sneak peek at a study conducted by Phocuswright and Travel Weekly (and sponsored by Ensemble) to be released later this month, attendees were treated to some startling statistics about the travel industry.
Among them, the survey found that more than 1/3 (36 percent) of advisors started selling travel only within the last five years and 10 percent of agents surveyed have been selling travel for less than a year. In fact, In 2021, 46 percent of survey respondents had been in the industry for more than 30 years. But that number dropped to 16 percent in 2023.
- ICs and agencies account for 72 percent of the advisor population
- Less than half (47 percent) of agencies charge clients a service fee
- Nearly three-quarters of agency revenues come from commissions and overrides
Some other numbers to note:
- 72 percent of the advisors surveyed noted their age as 40 or over, and 55 percent have incomes exceeding $100,000
- Advisors are most likely to point to personal relationships, customer service and expertise as the main reasons clients book with them
- The top products booked: Ocean cruises, all-inclusive resorts and air
In his keynote, Johnson commented on another stunning statistic: It takes the average travel advisor at least 11 years to build a salary of $60,000 annually. In fact, the Travel Weekly/Phocuswright survey found that 39 percent of advisors make less than $25,000 per year and 80 percent of advisors in business for two years or less report an income of under $25,000.
Ensemble hopes to change these numbers by offering intense training and development resources for its members. In addition, Travel Edge Network or “TEN,” is also putting forth a concerted effort to recruit new advisors into the fold and help them grow through training, support and mentorship initiatives.
For those new to the business, two training programs are available at a cost, and one of those is an intense, high performance track that will get new agents working and earning within a two-year capsule. The Venture program actively plans to recruit potential travel advisors through social media, vets them for their seriousness and passion for this career, and then offers two training tracks to ramp up, get on board and build their travel business. And for those “rising stars” who show outstanding promise in this career track, scholarships are available.
Ensemble also provides immersive trip opportunities to members through its “Further Your World” fam program launched earlier this year. Offerings also include programs to support advisors with in-house, 24/7 support and ongoing virtual conferences. Plans also include the launch a cruise desk to support cruise sales as selling cruises is a significant part of the Ensemble pie.
“It’s an evolution and it’s layered learning,” says Makarenko. “We have put resources into developing community. We have knowledge trips that are TEN exclusive, to Cabo, to Ireland, to Portugal, and even Rwanda. So what keeps me up at night? Change. The industry is changing and our agencies are working harder and harder to make that living. Being a part of the Navigatr group is really helping us because there's a lot of investment in the technology needed.”
Networking cocktail hour. (Photo Credit: Ensemble)
As people who sell the world, Ensemble advisors are also in the business of giving back to the places they sell and the places their clients visit. To that end, Spark is a new program the emphasizes travel as a force for good. Although a surfeit of charities and non-profit programs are on hand to manage donations from inspired travelers, Ensemble has a one-to-one matching program for a handful of well-considered programs. These include:
- Doctors Without Borders
- Giants of Africa
- Legacy of War
- Make-A-Wish
- Mara West Foundation
- Nekton Mission
- Royal Ontario Museum
- Trails Youth Initiative
- World Central Kitchen
Meanwhile, when it comes to suppliers and members, Ensemble honored the best of the best at this four-day Horizon summit in Paris, Las Vegas. And the winners are...
Partners
- Partner of the Year/Adventure - Lindblad Expeditions
- Partner of the Year/Tourist Board – Jamaica Tourist Board
- Partner(s) of the Year/DMC - Titanium Tours and Egypt & Beyond
- Partner of the Year/Land - Globus Family of Brands
- Partner of the Year/Ocean Cruise – Viking
- Partner of the Year/River Cruise – AmaWaterways
- Unchartered Award for Best Presentation at Ensemble’s virtual
- Uncharted event – G Adventures
- Partner of the Year – Celebrity Cruises
Members
- Innovation Award(s) - Larissa Lognay, Groupe Voyage Montreal and Diana Hechler – DTours Travel
- Rising Stars – Megan Duncan, Travel Gurus and Susan Jasnoch, Custom Cruises and Travel
- Member Excellence Award – Goldrush Travel
- Outstanding Commitment to the Travel Community Award - Fareconnect
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