Establishing a travel agency
14 August 2020 |
1:39 am
Statistics have consistently shown that Nigerians are the most internationally travelled people in sub-Saharan Africa. The class of international travellers are made up of different categories of people.
Business Overview
Statistics have consistently shown that Nigerians are the most internationally travelled people in sub-Saharan Africa. The class of international travellers are made up of different categories of people. These include the business travellers, religious devotees on pilgrimage, international emigrants, adventure seekers, people on guided tours, tourists, etc.
Research also indicates that the international travelling rate is a function of population growth and urbanisation rates. Consequently, it can be adequately deduced that Nigeria’s population of international travellers will continue to increase year in year out. This posits opportunities for prospective entrepreneurs who might be interested in venturing into travel businesses.
The travel agency market as a whole is extremely competitive, especially for businesses that operate as general travel agencies. This in recent time, coupled with technology, namely the Internet and Computerized Reservation Systems (CRS), has changed the way travel agencies operate. However, substantial opportunities still abound for any entrepreneur who wants to establish a travel agency despite the COVID-19 challenges.
Set-up Process
The main requirement for starting a travel agency will be to check local regulations in terms of certification that may be required to operate the business. Additional considerations also include:
Operating a general travel agency, or specializing in a particular type of travel.
Target markets: the well-heeled traveler or the budget traveler.
Advertising, promotions, and marketing: Specifically, it is important to have the minimal professional certification in the travel agency management/airline ticketing and some practical exposure.
Estimated Start-Up Cost: – N5,500,000 – N 8,500,000.00
Potential Profit: – N10, 500,000.00 per annum, depending on promoter’s sales drive
Typical Fees/ Prices: Based on Commission from the airlines
Advertising Options: Networking, Distribution of Flyers, one-on-one marketing, referrals
Qualifications: Familiarity with international travel procedure, travel agency management, IATA Certification
Facilities/Equipment Needed:- Internet ready desktop computer/Laptop, desktop printer, scanner, electricity power generator, your agency’s dedicated website
Staff Required: In the short-term, the total staff requirement are three (3)
This profile, or any similar one, can be developed into a bankable proposal for any interested investor. For further clarification, do contact our offices, or: info@michaelstevens-consulting.com
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