Speaking at the Clia Forum at the De Vere Beaumont Estate in Windsor on Wednesday (17 December), Dame Irene urged cruise lines to have a better understanding about the individual roles different sales channels play in driving booking levels.
She revealed Hays’ cruise sales across the entire company have jumped from 17% coming out of the Covid pandemic to 29% today. “I think cruise lines should be more understanding of the roles the different distribution channels play," said Dame Irene. "Sometimes it’s quite hard if the commission levels vary across the distribution channel.
“Why the heck does it matter if a retail agent or someone from Hays Travel Independence Group or a homeworker is selling the cruise holiday? For some reason half the cruise industry [seem to think it] does. I think there’s a good opportunity there. Our homeworking division is exploding. It's growing.”
Dame Irene confirmed the UK’s largest travel agency brand currently has 724 homeworkers in its ranks. Asked if she wanted cruise lines to offer Hays agents “a level-playing field”, Dame Irene said: “I wouldn’t do that. We work in partnership with cruise lines. I assume there’s a reason why cruise lines don’t do that?”
'It's not one size fits all'
Later, during a panel discussion featuring leading cruise figures from each sector, panellists were asked if they offered the same commission level to every type of agent.
Celebrity Cruises’ UK and EMEA managing director, Claire Stirrup, said: “What I will say is it’s a partnership. Dame Irene said that. We listen to our trade partners. We have a framework that we work within.”
Paul Melinis, APT Luxury River Cruises and Tours, UK and Europe, managing director, said: “We have mixed commission levels across the board but we pay good commission levels. It’s about partnerships.
"We will work with some partners in a different area in a different way. Some will be interested in doing more, and some will want to do the same. It’s not one size fits all.”
Paul Beale, vice-president sales, UK and Ireland, Oceania Cruises and Regent Seven Seas Cruises, said: “We pay a margin of commission on everything in the trip. Every shore excursion, every Wi-Fi option, every sailing. That commission level is quite high given we’re a luxury brand.”
P&O Cruises associate vice-president, sales and distribution, Ruth Venn, said: “Carnival's UK brands invested in an economic impact survey this year and we pay out more than £100m in commission to agents.”
But Nathaniel Sherborne, HX Expeditions’ senior vice-president and managing director, EMEA, ANZ and global sales enablement, confirmed the specialist line does pay all agents the same level of commission.
He added: “We believe customers choose the sales channel that they want to interact with and that’s the most important thing.”
