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Negotiating for services with principals



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4. Negotiating for services with principals
Once the itinerary is prepared, the principals (Hoteliers, transportation companies etc.) are approached whether 
they can provide the services in bulk at possible dates and on what terms. This is a very important phase as the 
profitability of the tour operator depends to a large extent on it. If he is able to negotiate effectively, he will secure 
quality services at heavily discounted prices and earn more money.
5. Preparation of tour Itineraries:
Tourist itinerary is a composition of a series of operations that are a result of the study of the market. In fact, a 
tourist journey is characterised by an itinerary using various means of transport to link one locality with another. 
Preparation of different types of itineraries is another important function of a travel agency. A travel agency gives 
advice to interested travellers on the type of programmes which they may choose for their holiday or business travel. 
The study and the realisation of the itineraries call for a perfect organisation (technical and administrative) as also 
knowledge of the desires of the public for a holiday and the propensity to receive tourists by the receiving localities.


6. Airline Ticketing
An airline ticket is a document, issued by an airline or a travel agency, to confirm that an individual has purchased a seat on a 
flight on an aircraft. This document is then used to obtain a boarding pass, at the airport. Many small scale travel agencies are 
satisfying with selling airlines tickets. The major revenue structure is commission received from airlines. Selling tickets to clients 
using different modes of transport like air, rail and sea is yet another important function of a travel agency. In the present 
scenario, due to drastic changes in international airlines as well as in the local air schedules and additions of new flights from time 
to time makes the job of the travel agent more challenging. An up-to-date knowledge about various schedules of air companies, 
Steamship companies and railways is very essential for the success of a travel agency. Computerised reservation system (CRS) has 
in the recent years rather revolutionised the reservation system both for air and rail seats and also a room in a hotel. Many large 
travel agencies are using this system. This system comprises a computer network that can be used by the travel agent to reserve an 
air or rail accommodation as also accommodation in a hotel. Through a wide network confirmation of reservations are available in 
a matter of seconds.

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