TA Accounting completes approximately 100 travel and tourism business accounts each year and the March 2014 results, generally, show a big improvement on sales, income and profits compared to the same period over the past two years.
Here is what you can do to ensure your business is going to benefit from the improving situation:
1. Are you in regular contact with your clients using low cost methods such as database marketing and telephone – think of an excuse to call and touch base?
2. Do you benchmark your business against the best? Each year we benchmark our 100 travel and tourism business clients and last year the average profit in the top ten businesses was 29 per cent of revenue. You can achieve the same!
3. Do you measure everything that you can – enquiries, quotes, bookings and advertising response.
4. Are your staff productive – total staff costs, which includes salary, bonus, educational, staff welfare and uniforms should be under 50 per cent of your income.
5. Are you recharging credit card fees, Amex fees and Flybuys?
6. Have you had a look at your systems to ensure that your staff can be productive? Two screens per desk. On-line systems. Reduce double handling of information.
Economic growth is headed up – unemployment is headed down. Inflation stabilized – the government revenue is going to be greater than its spending – and government debt is trending down.
Now is the time to invest in your business, invest in your staff and systems to capture the opportunities that will arise. Speak to us about benchmarking and business coaching.
Get on board with a team that understands your business.
Take time to “work on your business” and implement strategies to take advantage of these changes and you will be rewarded.