The need to regularise the sub-agent segment is an issue that has been repeatedly dissected and discussed over the past few years. The sheer number of sub-agents (almost four times higher than IATA-approved agents) and the volume of work that they carry out, have been the deciding factors in the debate. Yet, prior to imposing an official forum for sub-agents, it remains crucial to understand the predicament they find themselves in.

IATA-approved travel agents depend on sub-agents in an admittedly ‘can’t-do-without-them’ manner. Yet, the situation of sub-agents continues to be riddled with problems. Several non-IATA agents state that inside influence with airlines is necessary while booking tickets. A tour co-ordinator with Bright Star Travel and Tours Pvt Ltd from Chennai, says that the non-IATA agents find themselves in a quandary of limited seats and inadequate influence with airlines. “Despite having takers, there is little ticketing done, essentially because of lack of availability of seats. Unless we know some of the top people in the airlines, it is very difficult to get hold of seats. Having good relations with the airline is crucial,” he says. Sam Mathews, proprietor of Exodus Tours and Travels Pvt Ltd affirms the same view. Says Mathews, “I have family or friends working in some of the airlines, which makes it easier to book tickets with them. I don’t deal with the other airlines.”

Often, airline authorities are impatient with the smaller sub-agents and dismissive of their queries. According to Mathews, when sub-agents call airlines about confirmation of tickets, fares or time schedules, their questions are shrugged off, with airline personnel directing them to the Computer Reservation System (CRS). “When we say we’re a small agency and don’t have access to CRS, then they immediately tell us to come through the IATA accredited agency. The big airlines don’t entertain us. And when smaller airlines do encourage sub-agent booking, it is always on a cash upfront basis. We very rarely get to pay for tickets via cheque,” complains Mathew.

Jayanthi from Bon Voyage Tours, Chennai, a sub-agent that books approximately 50 to 70 air tickets a week, says that having established a name for itself, her travel agency, runs into very few problems with either airlines or travel agents. Yet, their situation is not wholly hassle-free. Although, Bon Voyage has access to the CRS, several major airlines refuse to allow them to book tickets using this system. Says Jayanthi, “Although, we have high credibility in the industry, some airlines, like British Airways, still do not allow us to go through the CRS system. This is a major issue. I don’t understand what their problem could be. If the sub-agent defers payment, the airline can easily catch them using the debit note information.”

Her views are echoed by B J Balaji, proprietor of Shireem Travels. “Most of the airlines have stopped us booking online. For the last three months or so, Indian Airlines also has denied permission for booking tickets online. I don’t understand this as the bulk of Indian Airlines’ revenue comes from the sub-agent bookin.” His contention is that airlines should unreservedly support the sub-agents as, in due time, they will become IATA-affiliated and can prop up the airline with their bookings. Citing Lufthansa’s good relations with sub-agents, Balaji states that a sense of unity among all travel agents, irrespective of IATA affiliation, should be the corner-stone of the segment.

Another grouse with airlines is that sub-agents are often denied perks given to IATA-affiliated agents. Says Jayanthi, “We don’t get free air tickets and discounts that are given to the IATA-approved agents. They don’t even consider us for this, although we handle the bulk of the ticketing.” The dependence of the smaller sub-agent on the IATA-approved travel agencies is unmistakable. Established names in the travel agent segment seem to be only too aware of this power game. Mathews avers that many travel agencies don’t bother responding to sub-agents’ phone calls and queries. “They know we have nowhere else to go and that we need the business generated by this alliance,” says Mathews.

Often the agency is too wrapped up in its own ticketing needs and sub-agents are often simply ignored. Many sub-agents contend that while they do manage to book tickets independently, the rates extended to them are not as competitive as those offered to bigger names. “Sometimes, IATA agents get better deals on tickets,” says Mathews. But he concedes that often pricing depends on the volume of tickets booked. IATA-recognised travel agents, however, have the capacity and client base to book more tickets and hence are privy to heftier discounts.

While much has been said and continues to be said about the woes of this community, it is time the airlines took stock and realised that if this mammoth segment of sub-agents is vital to the travel industry at a macro level, should we be metting out step motherly treatment to them? It is necessary that representatives from the airlines, IATA and non-IATA agents’ associations sat down and streamlined the modus operandi, in the universal interest of the entire travel trade.