The move has seen director of sales Shubhra Halliday leave the business after 16 years, along with Prestige’s agency sales management and business development team – just two weeks after the company pledged to "boost investment in agent partners".
Upon his promotion to managing director of Prestige in April, Lee Hamilton immediately sought to grow the trade team, with Charlotte Sargeson joining as BDM north and Denise Bridgeman as BDM south, plus a third BDM post covering Prestige’s central region.
This team, though, has been disbanded in favour of a more centralised approach to trade engagement, Hamilton told TTG on Thursday (8 December), one that will now see the operator recruit for a commercial director and a supporting team "100% focused on improving the agent booking journey", and launch a new agent booking and training portal.
Responding to the news, Haslemere Travel owner Gemma Antrobus said: "Our amazing industry is built on people and relationships. Trust and loyalty is earned through those people and relationships. I’m incredibly disappointed by this short-sighted decision. Please do not replace people with systems – I assure you that is not what agents want."
Personal Travel Agent Sue Glen added: "[A] short-sighted and frankly bizarre move. So soon after the whole Covid period that (in particular) highlighted how pivotal BDMs are to maximising sales and the relationship between agents and operators."
Others remarked on the timing of the decision, it coming in the lead up to Christmas and amid the cost of living crisis, and rallied around Halliday. "My heart goes out to all of the team affected, especially at this time of year," said Lee Harrison, owner of Malvern World Travel. "Agents rely on the unsung heroes on the road."
Hamilton revealed to TTG how Prestige earlier this year surveyed agents on their priorities for tour operator support, the results of which saw in-store visits from BDMs rank ninth out of 10 survey options, behind 24-hour customer/agent support, commission levels, educations and fam trips, online booking capability, training support, printed brochures, marketing support and collaborative events. He confirmed the survey did partly inform Prestige decision, but stressed it was "certainly not the only data we factored in".
"During and since the pandemic, the industry and the wider world has changed the way in which it carries out business significantly," he told TTG. "A large amount of employees from the travel sector have moved to new industries and have sadly not returned. Agencies are still facing recruitment difficulties and there is a large influx of new recruits with little industry knowledge.
"While this is exciting to see, the strain on time and resources is even greater due to the need for increased training. This made the task of our team of BDMs challenging as it was increasingly difficult for agencies to dedicate time to in-store visits, understandably due to the strain on their time."
Prestige, said Hamilton, will continue to support the trade through technology, improved commercial terms, collaboration at events, and through virtual and face-to-face support, backed by a soon-to-be-launched agent booking portal and new online training materials to support both new starters and experienced industry professionals.
He added he expected the changes to grow Prestige’s distribution, which is already 96% trade, to 100%, stressing the company’s budget for supporting the trade would remain unchanged. "This is a big decision for us and one which we have not taken lightly," he continued. "It is still very much a people-driven industry, and we have no intention of lowering our personal touch.
"Our plan will be much more focused and we look forward to building on this year’s successes and doing all possible to provide the trade with the support they need."
’Madness’
Prestige was sold to M&A specialist Embrace Travel Group in July 2021 by founder John Dixon, who began the business in 1989. Last month, the operator revealed record profits, up 149% on 2018, which was then its most profitable year. Prestige said the surge in business "attributed largely to ongoing agent partner commitment".
Posting to TTG’s Facebook page, former Prestige BDM Diogo Castanheira, who worked for the business for eight years, said the operator risked "throwing away" the business’s goodwill with the trade. Bridgeman took to Facebook to thank Castanheira for his support, and to confirm she has moved on to a new role in the airline sector. Sargeson, meanwhile, has rejoined Flexible Autos, whom she left in October 2021.
Travel Shop director Simon Oram added: "The relationship between agent and operator is built and strengthened with that human relationship – in-store, at events and knowing someone is at the end of a phone for when things occasionally go wrong. Madness in my view."