According to a survey conducted by Abacus, reducing costs by automating business process has emerged as a leading strategy for surviving tougher times among North Asia travel agents.Abacus surveyed more than 40 leading travel agents from China, Hong Kong, Korea and Taiwan markets at the recent Abacus Regional Conference, North Asia, and found that 30% of the companies surveyed saw automation as a key way to survive the financial crisis.
“Having gone through past crisis of varying magnitude from health scares to economic issues and coming out of them for the better, experience has taught North Asia’s travel agents that a strong business technology infrastructure can boost productivity and ROI,” said Abacus International President and CEO Mr Robert Bailey.
“These travel agents have realised that the value of having solid business process automation such as Abacus PowerConnect will both reduce unnecessary costs essential during these tough times while ensuring that revenue from all sources is thoroughly tapped.”
Increased automation of business processes was the most popular strategy identified, with the largest proportion of the travel agencies interviewed indicating that it is the key long-term measure their companies are embracing and it is also the number one area that they would like global distribution companies to help them tide through the financial crisis.
The second equal most popular strategies for surviving the global economic slowdown are forming joint marketing campaigns with suppliers, and business consolidation with overseas partners. Forming strategic partnerships was also ranked high in the short and long-term measures that these travel agencies would like to undertake.
Of the 42 North Asian travel agents surveyed, 40% indicated the current financial crisis would have low impact on their businesses, 38% indicated a moderate impact and 21% were expecting a high impact of greater than a 30% reduction in revenues.