Travel agents’ reliance on technology is reflected in the amount the sector spends on IT each year – consistently more than double the amount spent by tour operators.
However, tour operators appear to be catching up on spending, according to a report by Travel Weekly sister title Travolution, published this week.
Analysis of government figures and business IT-spending surveys suggests the only travel sector to spend more on technology last year than agents (£347 million) was air passenger transport (£352 million).
Overall, investment in travel technology is forecast to rise by 7% this year following a 5% annual increase in 2012.
Last year’s figure equates to a more modest 2% rise when inflation is taken into account, but came after three years of relative decline: travel IT spending was flat year on year in 2011, having fallen by 5% in both 2010 and 2009.
If the forecast for this year proves correct, industry spending on IT will increase to £1.15 billion from £1.07 billion last year. Last year’s Travolution Innovation Report forecast annual growth for 2012 would be 1% higher than it turned out.
UK tour operators increased IT spending by 11% last year and are forecast to spend 12% more this year. The tour operator sector also topped the list of average spend on IT per employee in 2012, at £5,710 per member of staff.
Travel agents spent £5,236 per employee. However, agents spent almost three times as much as tour operators in total. Hotels spent by far the least on IT per employee – just £713.
This is a community-moderated forum.
All post are the individual views of the respective commenter and are not the expressed views of Travel Weekly.
By posting your comments you agree to accept our Terms & Conditions.