The Internet has changed consumer behavior dramatically across industries. From medicines, garments, music systems to expensive fishing equipment, it’s all gone online. Retail networks are being reworked as this all consuming monster changes the game.
In Goa, a State where a large percentage of the population is active online, it has meant the gradual reorganisation of certain economic models. The white goods industry is experiencing pain in the State with products like televsion sets, mixers and grinders having moved online. The average Goan travels abroad quite regularly every year or if not a trip to a tourist spot in the country is a guarantee. Are they using online platforms or is it the friendly neighbourhood travel agent who is helping them with the nitigrities involved in planning a holiday.
Ernest Dias, VP at SITA was of the opinion that the evolving technology has had an effect on the trade. He said “a lot of people from the State are going out on holidays but the local population in the State like their experience to be customised. They don’t go to the website to book tickets. Yes, there is a substantial number of people going online to get better deals. This behavior is common amongst the younger travellers.”
According to him there was a continuous growth in the number of travellers every year. In his estimate it was approximately a 10 to 15% increase in the number of people travelling abroad. Many he said were going out on organised tours but a growing number of young travellers were using technology. He admitted to not being aware of the percentage of young people using technology but anecdotal evidence gave one the impression that it was increasing.
Goans he said would first visit the Far East, followed by the perennial favorite, Dubai. Europe was usually the next favorite destination with families using the services of a tour operator. There were, he said a lot of services which had to be provided like queries on the visa, ticket,
accommodation, pick up etc which could not be handled by a faceless website. People, he said needed a face to handle their queries. He however could not predict the trend in the future.
Someone who was not short of an opinion was Bruno Gomindes of Travco Holidays Pvt Ltd. He admitted the Internet had affected business. Bruno said “Yes, it is obvious that when a person decides to travel there are situations which have to be handled. Tickets, transfers and the places one had to visit. This is provided by the travel advisor and not a website. When a person is spending Rs 2 or 3 lakh on a trip he or she will need advice. However, despite all this, I am sure the future does not look good.”
In Goa, he said it was regular for people to depend on organisations like his. He said “People want to be hand held and most business people don’t have the time to get involved in boooking tickets and we help them. They throw the ball in our court.”
In the years to come he said, the percentage of people coming to travel agents would reduce. Technology he said would become very simple because it was what the airlines wanted. This he said would make it easy for a lay person to operate on these platforms especialy those from a generation not born into computers. The action he said would all happen online.
That may be the case but certain services will still be provided by specialised organisations. Nilesh Krishnan works for a sports company based in Bengaluru that organises tickets and accommodation for high worth individuals who were interested in attending important soccer matches at short notice or other sporting events.
He said “We personalise the package. A first class ticket with the food they like, transfer to the hotel and the stadium. The match tickets are very good and they cost a bit. Our clients have the money and need the privacy which we guarantee.”
The online curse he said would not affect them. Personalised packages could never be prepared by companies online. The high flying executive who would like to stay in the chateau in the south of France and drink wine of a certain vintage would never be provided service by an online platform.
On the subject of discounts provided to online plaforms as compared to travel agencies, the truth is still not out there. Palemon Lobo who used to operate in Mumbai but who is now operating in Goa said the airlines had stopped giving discounts to agents in Mumbai. However, he believed many agents in Mumbai were getting discounts from the online platforms on bookings made with them. He was not aware if this was happening in Goa given that he was not as active in the Goa market. He believed the future would remain with those who created personalised services for their clients. Online platforms he believed were good for those who were sure about their travel plans because cancellation usually meant a rather messy hassle.
A large percentage of business, the common belief was would migrate online but there would be a growing market interested in specialised services like special packages. Perhaps in this the first strike has been made against the virtual world.
