Hot Seat

Chug(h)ing ahead

Life is a learning experience believes Praveen Chugh, managing director, Travel Services International, who despite the laurels admits to Jyoti Koul that he is still in search of a goal and the journey is far from over

Setting up a travel company is tough and establishing one in the wake of a series of events with a huge negative impact on the tourism industry is even tougher. Praveen Chugh, managing director, Travel Services International (TSI), set up the company in 1999 when India was under world scrutiny for conducting nuclear tests and reeling under travel advisories following the Kargil war and the hijacking of IC-814. In a short span of seven years Chugh has managed to turn TSI into one of the largest travel companies in India with its current turnover pegged at Rs 300 crores per annum. Standing like a pillar behind the phenomenal growth of the company Chugh ascribes the success to his mission to forge ahead with new innovative concepts.

Travel for Chugh evolved from a favourite hobby during childhood to a passion, which ultimately became a profession. "Even as a child I was extremely fond of travelling and experienced a thrill while exploring new places. As I grew up travelling became one of my favourite hobbies and eventually a passion," recalls Chugh and perhaps it was this passion that led Chugh to a career in the hospitality industry in his hometown Dehra Dun. He spent two years in the hospitality industry before shifting to a travel company in 1976 and after that there has been no looking back.

Today after 30 years in the industry, Chugh is not ready to sit back on his laurels and is constantly striving to search for ways and means to contribute towards the development of the industry. His latest effort is penning a book. The book contains guidelines for the agent community in the wake of commission cuts by airlines. "It will be a book of recommendations for agencies to adopt them as guidelines. In the first week of June I am going to present a copy to my managing committee and after having the approval we will publish it within 45 days. The objective is to release it before July 8 when TAFI will have its AGM," states Chugh.

Apart from establishing a career in travel industry and his own company Chugh has also been actively involved in various travel organisations and committees. He has been the founder chairman of northern India chapter of Travel Agents Federation of India (TAFI) and served in this capacity for three years. Currently he is holding the portfolio of the vice president of TAFI in addition to being the president of SKAL International Delhi. As an office bearer Chugh has been instrumental in taking up major issues of the industry and been successful in solving quite a few.

Commenting on the zero commission policy, Chugh says "Realising the fact that airlines are drastically reducing commissions, agents have to adopt a 'minimum commission plus service fee' module. It is high time that customers are made to pay for the services provided by an agent. In future, travel agents will have to shift from their traditional modules to modern techniques. If they don't it is better to get out of the business." Another threat to industry according to Chugh is shortage of manpower as people are increasingly attracted to big international companies, which pay them fat pay packages. "With shrinking margins we can't match the salaries offered to them by these big companies. This is a major threat and a big vacuum has been created. We need to attract people towards travel and tourism industry," adds Chugh.

Reticent about his personal life all Chugh divulges is, "I have two daughters. The elder one has already joined me in business and I am waiting for the younger one to do the same. My wife is a home maker and I am a Libran, period." After a bit of coaxing Chugh reveals that he is a fitness buff. "I have a fixed schedule. Four days a week I go to the gym in the morning, workout in the office during the day and socialise in evenings," states Chugh. He is also a wildlife enthusiast and enjoys safaris in Kenya. Destinations in south India are his preferred holiday options domestically. Apart from being a fitness buff Chugh is also fond of music and has recently taken up formal training in classical vocal with classes twice a week. The reason, "Whenever I went out with friends on trips I would feel left out as most of them were musically inclined and good singers. I decided that I would train myself to be a good singer," confesses Chugh.

However, taking up music classes is by no means a sign of Chugh preparing to hang up his boots. He has ambitious plans for his company. TSI is now expanding focus from its core business of ticketing and turning to consolidation of hotels and is also coming up with a Web portal, a solution provider that will first cater to the trade followed by the end consumer segment. "We are aiming to provide solutions like customers getting alarms for passport and visa expiry, facility to download visa forms from the website, which will be launched soon. The site will be linked directly with most embassies. One can also check for hotel or airline ticket availability online apart from online transfers anywhere in the world. We have more than 46,000 properties worldwide to sell online. To top it all, there will be special fares for our valued agents who are our customers," informs Chugh. TSI has invested over Rs 2 crore in this venture and Chugh is planning to invest another Rs 8-10 crore for various marketing tie-ups and on uploading/feeding the information. There are plans to set up a call centre as well. "The company will offer assistance and technical support to the agents round the clock. We are aiming to provide state-of-the-art technology to enhance member service for higher customer satisfaction and to increase profitability," he avers. At the end of the day Chugh is a firm believer in `hard work pays.'