A few days ago, customers of Kuoni travel agency Zurich-Sihlcity received an email stating that the office was moving. This was reported by “Tagblatt”. But it wasn’t actually a movement. Specifically: Staff transferred to other Kuoni travel agents. The travel agency at the Sihlcity shopping center will be closed.
Kuoni spokesperson Markus Flick explains that Kuoni has decided to close four branches in shopping malls in 2020, in addition to the Coop supermarkets in Sihlcity, Gallusmarkt St.Gallen, Seedamm-Center Pfäffikon SZ and Onex GE. For administrative reasons, the closure in Sihlcity was not implemented until the end of 2022.
The decisive factor in the closures was that the opening hours of the shopping malls could not be determined by the person himself. Minimum working hours apply, so staff must also be present during off-peak hours when they are undersold.
The distribution network is constantly checked
Initially, however, “position optimization in the form of alternative presence concepts with smaller sales areas” was planned. It seems that this could not be implemented as requested.
Currently, Kuoni has 71 travel agents in its sales network. A few years ago there were still 90. But Flick points out that there are occasional new openings. The latest in Herisau AR or Bulle FR.
Fewer and fewer travel agents
The number of travel agencies is also shrinking among competitors. Despite the closure of five branches last year in Zurich-Altstetten, Nussbaumen AG, Bümpliz BE, Spiez BE and Rapperswil SG, Hotelplan Suisse still has 82 branches. In 2016 Hotelplan Suisse still had 122 travel agencies.
According to spokesperson Bianca Gähweiler, the number of branches now needs to be held steady at “around 80”. No further shutdowns are planned at this time. The branch portfolio is constantly reviewed. In other words, it may be possible to open new branches at Hotelplan. Or that other branches should be closed due to poor performance.
The situation is similar at TUI Suisse. Switzerland’s third largest tour operator had 62 travel agencies before the pandemic, now 50. At the end of March 2023, the TUI travel agency, located on Rue du Rhône in Geneva and again housed inside a shopping mall, will be closed. According to spokesperson Sonja Ptassek, no further shutdowns are planned. The same applies here: the branch network is constantly reviewed and optimized.
How many travel agents do you need?
The death of travel agents cannot be ignored overnight. According to figures from the Swiss Travel Association, there were still 3,706 travel agencies in Switzerland in 2000. By the end of 2022, that number had fallen below 1,400. A drop of almost two-thirds.
No one can say whether the end of the road has been reached or not. One-way trips are increasingly being booked through online channels. In addition, the shortage of qualified personnel in travel agencies is also a problem.
However, the three major tour operators agree that travel agencies will still be needed in the future. On the one hand, personal advice is valued, especially for complex journeys, while on the other, a travel agent offers security and active assistance in troubled situations through the client’s money protection.
Especially during the pandemic period, this situation has led to more bookings at travel agencies.