TravelMole Interview: Ronnie Findlay, Own Label Holidays

Tuesday, 29 Oct, 2003 0

Ronnie Findlay says independent agents can increase their income by selling their own packaged holidays instead of relying on the larger operators.

Mr Findlay told TravelMole: “The threat of reducing commissions is very real from tour operators, and agents need to get control of their own margin. Agents are in a far better position to control the price of a holiday because they are in contact with the consumer.”

Mr Findlay’s company, Own Label packages holidays to be sold by agents under their own name, the idea being that agents can earn more from setting their own margins than the commissions earned from selling operators’ packages.

“If you look at the compelling needs of agents at the moment they need to get control of the product and the price – they need to stop being agents and start being retailers.

He added: “The large vertically integrated companies are controlling supply and price and giving preferential treatment to in-house agents so independent agents either don’t have the stock or have it at a different price.”

Mr Findlay says many agents can’t package their own holidays because they “don’t have the skill set to put together their own packages”. He said many are also anxious not to increase their ATOL. Own Label’s holidays are ATOL-bonded.

Own Label sources its holidays from 100,000 hotels, 49 ground handlers and flights from charter airlines, no-frills airlines, schedule airlines, consolidators, and its own in-house consolidator.

Own Label’s uses the CheckT system, designed by technology company, TETC. It features a wall rack of cards illustrating 50 individual holidays with a bar code that can be swiped at a terminal in the agency shop to provide full details of the holiday. Alternatively consumers can take the card away and plug the bar code number into the agents website – so they can research and book the holiday at home.

Own Label has been operating for about six months and next week will launch its product in 25 independent agent outlets. Its custoemrs include Barrhead Travel, Galaxy Travel and West Midlands Cooperative.