The travel industry, like many others, has been significantly impacted by technology. The internet has created a new distribution channel which has revolutionized the industry, and in recent years has experienced rapid growth. The ability to distribute and market virtually any travel-related product or service by the click of a key has become a powerful marketing tool. A noticeable shift from the traditional distribution channel which was almost centred on the travel agent has caused agency owners to re-engineer and adopt new business models. No longer do we dominate that all-important link between the travel suppliers and the consumer, but are now forced to compete effectively with the other distribution channels.

The travel agency today must be positioned as any quality product/service in which the traveller finds value, and for which he or she is willing to pay. Our focus can no longer be narrowed to reservations and ticket fulfilment; instead we have to find creative ways of impacting every segment of the travel chain – from stimulation through to post-trip and creating new revenue sources and opportunities.

Are travel agents a dying breed? Can travel agency distribution effectively compete with other distribution models? What does the future hold for the travel agent? Although there has been much speculation in terms of the impact of the internet and the threat of travel agents becoming extinct, this paper will seek to highlight the strategies and business models which travel agents will need to adopt in an effort to remain viable.