29 Sep CHANGING THE WAY THE INDUSTRY WORKS
Is the travel industry like a horse and cart clip-clopping towards the 21st century?
That might be a bit unfair, but it’s not exactly racing along when it comes to recognising the benefits of outsourcing.
It’s a massive missed opportunity.
Outsourcing could make your operation leaner, smarter, and more profitable. These days, that profitable word is easier said than achieved. More competition means tighter margins, and that competition is not just coming from companies operating in the same sphere as you. It’s also coming from the people you used to rely on to make that profit: your customers!
In the internet age, every man, woman and their dog are travel agents, which we know is very annoying to the professionals, They go online to get deals direct from airlines and accommodation providers. Yet it’s the internet which also gives the travel industry a chance to stay viable, thanks to outsourcing and the gig economy.
In one of the biggest local surveys on outsourcing and the gig economy, The Australian Industry Group found that 32 percent of Australians undertook freelance work. Of these:
- 44% worked in web development;
- 14% in design & creative;
- 13% in customer & administration;
- 10% in sales & marketing;
- 8% in writing.
The talent is out there!
In fact, Australian hiring managers forecast a 70/30 split between permanent and temporary employees by 2023. Connecting with these highly-skilled freelancers through digital channels, and on a “use them when you need them” basis, works well everywhere else. Why wouldn’t it work just as well for the travel industry? Being able to outsource things like back office and administrative tasks, recruitment, special event planning, story-telling, or any other short-term, project-based activity makes sense. As Matthew Gribble, Regional Managing Director of specialist recruitment agency Michael Page says:
“Twenty years ago, professionals were generic,” he says. “These days, we’re demanding more specialist and niche skills. But companies can’t employ people with all the niche skills required, as they’d just have too many people.”
By asking freelancers to handle specialised or one-off projects, and more mundane back office and administration roles, travel companies can focus on what they’re good at: providing the customer-service they’re renowned for. Delivering superior service and knowledge is where travel companies can exploit a point of difference to their competitive advantage: anyone can book an airfare across the Tasman for example, but it still takes real expertise to design a multi-faceted travel experience. At the same time, overheads are reduced, staffing levels are kept within budget, and more specialised skills are brought into an organisation.
At Resource Hub, we help to deliver those outcomes for businesses in a wide range of sectors. We’re well aware of the benefits of outsourcing. As our Head Honcho, Maxine Wiggs, puts it:
“We understand the demands for resources and expertise in businesses ebb and flow. That’s why we’ve established a hub of whip-smart freelancers delivering talent-on-demand to all kinds of industries.”
Out of those “all kinds of industries”, the travel industry has much to gain from outsourcing.
Not just as a way to acquire skills and expertise when required, but to also improve efficiencies and streamline operations, which all channel down to the bottom line.
In an increasingly competitive field, where outsourcing and the gig economy could change everything for the better, we think it’s time the rest of travel industry that isn’t using us got on board.