Issue link: http://read.uberflip.com/i/1178498
6 | www.travelweekly-asia.com TRAVEL TECHNOLOGY Fourteen years on, the founder of WiT shares her bird's eye view of online travel and how agents can stake their place in the future By Naomi Neoh Into the brave new world with Yeoh Siew Hoon I n the brave new world of online travel, what is the place of travel agents? WiT founder Yeoh Siew Hoon has a few answers. As we sit at the turn of the next decade, many possibilities from space travel to hybrid business models and airline subscription services are just some emerging travel developments that technology is helping propel. In a relatively short span of two decades, the advent of the internet has shifted the competition for travellers online. A journalist by profession, Ms Yeoh started WiT 14 years ago to address online travel from Asia's perspective. She tells Travel Weekly Asia why Asia is blazing the trail for new business models, the shift to online in tours and activities and how agencies should stake their place in this future. When you started WiT in 2005, did you know that online travel was going to take off in such a big way? Of course I did not (laughs). I have a philosophy that if I don't know something, I will create something so that I can learn more about it. At that time, many people believed online travel was just a phase and that it would not change the travel industry that much. But just look at that incredible shift in the last 14 years and how big online travel players have become. How have you seen Asia's place in online travel change? Asia has not only caught up with the West – we are actually blazing the trail for a lot of new models that the West is not seeing. Many online travel companies are seeing how Asia is preparing their company for the future. In some of these markets like India and Indonesia, China and Southeast Asia, we're seeing models that do not exist anywhere else because of the characteristics of our market: very fragmented, many people who went to mobile first rather than desktop. What are examples of new models you're seeing? In the tours and activities sector, we're seeing a lot of hybrid models. Digital players like Klook and KKday are using physical ways to sell, while physical companies are going online to sell. It's interesting to see Klook running offline events, such as its Klook Travel festivals in Malaysia. But the notion of festival is very different from consumer travel fairs like NATAS Travel Fairs in Singapore. It's more of an experience than a convention fair. How is tours and activities the next frontier for online travel? We've seen flights and hotels go online, and tours and activities are next – right now, less than 15% of it is online. If you think about it, it is actually the largest part of the industry in that when we travel, we spend more in a destination than we do on our flight or hotel. And it's a very fragmented part of the pie? Yes, that's why it has been the last to go online. But companies like Klook, GetYourGuide, KKday are solving that problem. Most of the funding raised in the last two years has been in this segment. Attractions will be the first, whether it's the theme parks and zoos. And that's easy, you can sell tickets. The hardest are things like boat tours and helicopter rides. With tours and activities going online, what is your advice to travel agents? We can't stop the tide of change, but we can determine our role within it. Travel agents shouldn't feel threatened or scared, especially if you are able to sell travel that is not easily shopped and comparable online. Tours and activities is such a big market and travel agents shouldn't leave it to the Klooks in the industry, but find their stake in it. One example is Asian Trails, experts in destination management for over 80 years. They have a good e-commerce division and have started getting direct bookings. Right now, their packages can be a bit too long and complex; what they want to sell online must be simplified and instantly available. They also have to balance it by keeping the crown jewels that only trade partners can buy from them. At the end of the day, it's about deciding if you want to stay B2B. We can't afford the mentality that if you open up B2C, you will affect your partners. You've got to understand what customer segment you want and find the right strategy to reach them. WiT Singapore 2019 will be held on October 14-16. "We can't stop the tide of change, but we can determine our role within it. Travel agents shouldn't feel threatened or scared, especially if you are able to sell travel that is not easily shopped and comparable online." – Yeoh Siew Hoon, founder of WiT