Summary
Smooth sailing: Pent-up demand for travel and cruises will drive demand in the short-term
Abstract
Cruise & Travel Agency Franchises
The Cruise and Travel Agency Franchises industry has performed well over the five years to 2019 compared with the US economy. Many travel agencies have struggled due to rising external competition from travel websites, such as Expedia, Priceline and Skyscanner, which enable consumers to research locations, compare prices and manage reservations without the assistance of an expert. However, many travel agency franchises have grown, primarily due to their specialization in selling cruises and other complex travel packages that often cannot be booked directly online. The industry will continue to endure external threats from travel websites and consumers booking directly through suppliers, and from a range of independent travel agents and other member agencies. However, the popularity of cruises among Americans will benefit the industry.
This industry includes franchised travel agent establishments that sell travel, tour and accommodation services and packages. Online sales are excluded from this industry. Reports in the IBISWorld Business Franchise collection focus solely on franchised outlet operations and exclude nonfranchise data. These reports show the total number of franchise outlets, total franchise revenue, the average profit margin earned by franchisees and the largest franchisers by market share.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.
