In the tour and activity sector, it is common for companies to work together to deliver a more fulfilling experience to travellers.
For example, a surf camp may work with a transfer company to pick up passengers from the airport and send them to the camp site. At the same time, camp organisers can also promote day tours run by external operators to give customers more activities to do when they're not by the sea.
From that example alone, you can see how different businesses tend to work together to provide customers with a variety of experiences throughout their holiday.
For companies to collaborate more closely and effectively, you'll need the right tools to streamline various business processes between you and your business partners.
These are 5 things your management tool needs to be able to do to make working with partners profitable for both parties, without the added administrative load.
1. Stay in charge of your trips
TrekkSoft lets you to stay in control over what is written about your trips, the pictures used to illustrate your tours and even the price your partner sells your trips for.
To update tour descriptions, simply edit them from your Activities page and the updates will automatically load onto all partner websites.
2. Adjust commission rates for each partner
Find a booking management tool that allows you to adjust commission rates for different partners you work with. With TrekkSoft, you can adjust both online and offline commission based on the terms of your agreement with your partners.
Online commission will be applied when a customer books your trip online while offline commission is applied when a customer makes a booking through a phone call or in-person.
For example, if a booking worth €100 is made through a partner's website with an online commission rate of 15%, €15 will be paid to your partner and the remaining €75 will be paid to you.
Marcelo, our Senior Account Manager at TrekkSoft made an interesting observation here - he noticed that people tend to agree on an 8% online commission and a 20% offline commission rate. This is because many of our customers believe that securing an offline booking requires a lot more in-person work.
3. Set a different reselling price for different partners
If, on the other hand, you agree to charge your partners fixed price for your tours and let them resell your trips for any amount they choose, TrekkSoft lets you do that.
Say Jordan and Telecoming sell more trips than your other partners, you can sell your trips to them at a lower cost, allowing them to either make a larger commission on each trip or resell your trips at a lower price.
4. Adjust permission settings for each partner
Ideally, your booking management tool should also allow you to enable different settings for different partners, according to your business relationship with them.
Here, you can see two different permission settings you can enable for partners:
- Overbooking rights - If a partner is particularly good at selling your trips and you are capable of making last minute adjustments to accommodate bookings, you should enable this setting.
- Custom price rights - Give your resellers the opportunity to sell your tour for more or less than the agreed upon price, particularly when they're selling trips offline or through our POS Desk. Enabling this will also allow partners to apply discount codes on bookings, where your partners will still get a fixed commission rate on whatever price they sell your trip for.
5. Get detailed records of your partners' performance
The last thing your booking tool needs to have is a reporting system that shows you how many trips your partners are reselling on your behalf.
Your reports should include the following items:
- Commission amount
- Owed or paid invoices
- Total turnover generated
- Cash payments received from offline bookings
When it comes to dealing with payments between customers, partners and your business, TrekkSoft's Split Payouts system has got you covered.
We've set up our payouts system to automatically split up payments between you and your partners, so that you no longer have to manually transfer money to your partners at the end of each month.
All these transactions and payouts will be reflected in your monthly payout slip, as well as your Partners Accounting reports.
Want to learn more about our Partner Network feature?
Written by Nicole Kow
Having graduated from the UK, Nicole travelled around Europe before joining TrekkSoft's marketing team. She is now based in KL and regularly blogs about her travels at Next Train Out.