CLIA restructures membership program for travel agents

By Tom Stieghorst

CLIA logoCLIA has overhauled its travel agent membership program, which for most agents will mean lower costs and additional benefits. Changes take effect Oct. 1.

Dues for individual CLIA memberships will drop from $119 a year to either $99 or $49. Fees at the agency level will remain unchanged at $339 annually for companies that employ less than 25 agents.

In a change that reflects the size disparity among agencies, new gold and diamond level memberships have been created to provide larger agencies and agency consortia and co-ops with more benefits at a higher cost.

Agents who work for CLIA member agencies who also enroll as individual CLIA agents will become eligible for a raft of bonuses and incentives from 25 cruise lines that source passengers from North America.

The benefits include bonus commission on a first booking with a cruise line, preferred rates when sailing, priority access for training, invitations to inaugural sailings and seminars at sea.

The landmark revision evolved over 18 months during a series of more than 85 meetings with agents, agency groups, cruise lines and outside consultants, CLIA President Christine Duffy said.

“Fundamentally the change is moving from what for 40 years has been an agency membership model, to [become] agency and individual agent membership. That’s the big shift,” she said.

The new model will let CLIA build a database of individual agents, rather than just agencies. Currently, CLIA has nearly 13,000 member agencies and another 2,000 individual members.

“We know that they represent 50,000-plus agents, but who those agents are has been invisible,” Duffy said. “Now, each individual agent becomes somebody real, with an ID number where we know who they are, [someone] that we can engage with.”

ChristineDuffyAgents who are members of groups or agencies with gold or diamond designations will be able to buy individual annual memberships for $49.

The new system may not work as well for an individual or small partner agency that must still pay $339 for an agency membership that includes only one $49 individual membership. At the silver level of agencies with one to 24 agents, each subsequent membership is $99.

Duffy said CLIA is “waiving” the $80 application fee that has historically been charged for agency membership.

Agents will not be able to join CLIA without being affiliated with a CLIA member agency, Duffy said.

She said she does not anticipate that agency groups will require CLIA membership, as Signature recently made membership in ASTA a requirement for members.

The full package of benefits from cruise lines is a “hard” value of $3,600, Duffy said.

The specific benefits will vary from line to line and be administered by member companies, Duffy said. Details will be posted on the CLIA website and can be viewed after membership is obtained, she added, but she gave a few examples.

Many will offer a $50 bonus for the first booking; some will offer $75. Cunard Line will offer four $50 bonuses per agent. The bonuses alone could more than pay for an individual membership, Duffy said.

Of the North America CLIA member lines, only Disney Cruise Line is not participating by offering agent benefits.

Duffy also said that only agents with $5,000 or more in annual commissions will be eligible for CLIA membership, but that the policy will be enforced at the agency level. So, if an agency has a novice agent it wants to nominate for CLIA membership, it can do so.

The number of CLIA agency members has been declining since the mid-1990s, driven in part by consolidating distribution, Duffy said. CLIA hopes its new incentives can reverse that trend.

The need for a new membership structure was driven by technological change, the increased number of home agents and the rise of multiple large travel agent host companies and consortia, Duffy said.

In addition, cruise lines offer more product training than ever, especially through online courses and webinars. Cruise and agency leaders felt a need to streamline and coordinate those efforts, Duffy said.

“Our line is 100% behind this new program,” said Vicki Freed, vice president of sales at Royal Caribbean International, “and I hope every agent who is serious about their business and their future takes advantage of this opportunity.”

John Lovell, president of Travel Leaders Leisure Group and Vacation.com, said he’s encouraging the 35,000 agents affiliated with those groups to support the new membership structure.

Big Interview: Clia president Chistine Duffy

Big Interview: Clia president Chistine Duffy

By Hollie-Rae Merrick

Big Interview: Clia president Chistine DuffyThe leader of cruising’s global trade body outlines the challenges facing the sector ahead of her speech at Clia UK’s Columbus Day. Hollie-Rae Merrick reports

As someone who started her career as a travel agent in Philadelphia, Christine Duffy understands what agents need to do their jobs.

She appreciates the level of information and training agents need to make a sale and is aware of the demands they face.

And although Clia already provides support for thousands of agents around the world, one of Duffy’s main aims is to reach an even greater audience of members.

It’s been a tough couple of years for the cruise industry. But Duffy said the Costa Concordia tragedy highlighted the importance of arming agents with information necessary to handle enquiries.

“Since the tragedy of Costa Concordia many questions were raised by consumers and the trade about what the industry does to ensure the safety and security of passengers,” she said.

“It is something that was definitely brought home following Concordia and other issues that we have had this year.

“Communicating is something that we have always done, but we need to do it more. We can’t just do it when there is a crisis or an issue. Agents are on the frontline and we want to make sure they have the details they need so they can be responsive to customers.”

Many would assume that since becoming a global association earlier this year, Clia has become completely united on methods of working and the messages to be highlighted to agents.

But Duffy said this wasn’t the case, and that each association across Clia’s global network had particular issues.

“We are careful to make sure all the things that are important and unique in each area don’t change,” she said.

“We understand that each has its own issues, challenges and ways of working.

“The UK is a very strong and mature market, but there is always potential for further growth around the world.”

Duffy’s appearance at Clia UK & Ireland’s Columbus Day on September 19 will be warmly welcomed by the trade, many of whom are keen to hear her thoughts on the global cruise industry and the challenges ahead.

Duffy said issues including price, value and the perception of cruising were top of the list.

“The value of cruise is currently one of its biggest attributes – we have been able to offer great value for money,” she said.

“There is a great opportunity as we generate greater demand to see that price develop. The price is lower than what we would like.

“We need to work on that by promoting the value and the price of cruising. And to really help 
the industry, we need to ensure the trade has what it needs.”

Duffy also believes the industry as a whole needs to ensure cruise lines inform agents about their environmental investment and the impact they have in destinations.

She said those details weren’t relayed to agents frequently enough, and increasing this communication could result in growth in the new-to-cruise market.

She added: “We always represent the industry in the policy-making arena, with ongoing education on the important issues such as the cruise industry as a global corporate citizen, the impact on ports, and the environmental investment our industry is making to improve our ships.

“Many of these things have not been communicated frequently enough to the trade and agents.”

Clia has more than 14,000 members, but as the industry grows, Clia follows suit. It plans to expand further into Europe, with

Clia Italy and Clia Spain set to open within the year. Duffy’s long-term strategy is to expand in the east and she is looking to see what support agents would need in the emerging Asian cruise market.