A Third of UK Travel Agencies Doomed to Pull Up Stakes a Decade from Now

The rise of the Internet will result in a third of UK travel agencies closing in the next decade, and the writing is on the wall for commissions.

The double whammy warning came from former TUI UK boss Chris Mottershead, now chief executive of Travelzest. His comments follow the announcement that his former company is cutting commission to 7 percent from January 1.

He told delegates that unless agents embrace the internet and make “radical sea changes”, numbers will drop from just over 6,000 now to 4,200.

“You will never compete with the marketing budgets of Expedia and lastminute.com. You don´t have to become a specialist but be something that makes you special,” Mr. Mottershead was quoted as saying.

Mr. Mottershead added that the rise in different sales channels meant the writing was also on the wall for commissions.