…People want to come to Nigeria because of abundant resources and investment opportunities
Ezekiel Ikotun, the chief executive officer (CEO) of Flinchglow Travels Limited, company that services the travel value chain, shook the audience at a workshop on air travel in Port Harcourt with how Nigeria’s prosperity in the tourism industry has been stifled.
Spoke at the workshop which took place at the Ogeyi Place in the GRA 2 section of the Garden City where he revealed how insecurity had badly affected the growth of the tourism sector. It was a workshop that brought together the airlines and agencies in the sector.
Explaining more to newsmen on the drawbacks, Ikotun said: “The first thing is insecurity which drives people away. Who wants to come to a space where you hear about a lot of kidnapping, hear about bandits, and all of that?
“If insecurity can come to an end, and better business architecture where there’s certainty in the business area is installed, you’ll see investors coming in to invest heavily in our space, and we’ll see how tourism is going to grow exponentially.”
He said people want to come to Nigeria because Nigeria has a lot of natural endowments across the entire region of Nigeria.
“There’s no area that does not have something natural for which people can fly in from anywhere in the world to come and see. But in terms of investment, government support is not there. But if we can have that, have security, everything will be fine.”
On how the event came about and its inspiration, the CEO said it is called ‘Partner Plus Connect’. “We are a travel consolidator. We are agents’ agent. So, we service everybody within the travel space. We buy from airlines in bulk and resell to other travel agencies.
“For the fact that we are driven by volume, we get better discounts because of our position, then we can resell better to other travel agencies.”
In the past, he said, “We discovered that there’s been a lot of uneducated travel agents in the Nigerian space. And part of the product that we offer is to ensure that all our travel agencies are better positioned in terms of awareness, in terms of capacity building.
“If you look at the engagement today, you can see that all airlines are coming to make presentations about their products and services, and then in turn, our partners, our sub-agents can ask questions or be better enlightened on how best they can do their business.
“Most of them don’t even have the opportunity or the privilege to have this kind of gathering, if not for us coming up with it to bring all of these airlines together and other GDSs to be able to serve them better.”
On benefits to travelers and agents, he said it is an ecosystem which is connected. “It means that if the sub-agents are properly educated, that means they will serve the traveler better.
“Now, for the agents also, once they can serve better, they can have better businesses. For those who are in our own ecosystem, that simply means they will know better about the business, and they can serve their customer better.
“Look at this information now about Ethiopian Airlines, it’s coming to them firsthand. They now have the contacts of these airlines so they can reach out to them and go through us for ticket issuance. So, they have firsthand information about how best they can service their customers.
Let all airlines sell tickets in Naira:
On what the FG should be doing to lift agents to make the sector more formidable, the expert pleaded on forex as the greatest challenge they faced. “We are asked to issue tickets in dollars, remit in dollars, but we have limited dollar access. So, if that can be properly handled, our local currency is Naira. If all the airlines can be mandated to sell in Naira, then we can remit in Naira. So, we don’t have any problem when it comes to remittances.”
In terms of awareness, he said the aviation industry worldwide is one of the most viable sectors. “If you look at the GDP of the world, what travel and tour industry is contributing is not a small fraction. So, if a lot of investment can be done in that regard like Kenya does. People travel from America to Kenya simply because of how their tourism industry is being structured.
“So, if you have something similar in our space in Nigeria, that means that industry will even give more to the GDP of Nigeria.”
He said they were excited about the next move. “AI is taking the front door of every conversation. If you look at the investment globally, this year is over $1 trillion, the investment. Meaning any industry that is a bit structured is going to be heavily hit by AI.
“So, the next phase is about building a robust architecture technology that can accommodate some of the things we talked about in terms of automation, in terms of availability of products and services, access to technology, and all of that. So, what’s next for us is to see how we can be a major player when it comes to that particular ecosystem where technology will meet AI, then automation makes work a lot easier for both the travel agency and the travelers.”
Oluremi Olusunde, CEO of Realms Travels and Tours Limited: How to survive as an airline agent
Also speaking to newsmen, Oluremi Olusunde, CEO of Realms Travels and Tours Limited, admitted that the event was smoothly executed, saying it was a time of learning. “It was a time of getting renewed information in the travel industry.”
He said the panelists were just simply brilliant and interesting. And for the airlines that came, all the questions they had about their services, their offers, their perks were answered adequately. It was really a time well spent.
“I have been over a decade in the industry. The industry has its challenges, however, I think that it is a huge place. And if you are able to carve a niche market for yourself, and you’re able to adequately update yourself regularly, you can keep your customers and you will thrive in the industry.”
“On how this event was organized, I am beyond impressed with this meeting. I’m someone who doesn’t like to stay out, to take a lot of time out of work, but for this meeting, I think for every minute I’ve spent here, it’s been worthwhile. It’s been a nice experience.”
How to use AI in this industry:
He went on: “Yes, we came to this training on AI, and I want to say AI is everybody’s friend as long as you know how to use it. AI does not replace human intelligence. It is artificial intelligence for a reason. It is faster but you always need human intelligence because you need that balance to be able to curate things according to how humans will need it curated.
AI just gives you data. Human intelligence filters the data and adapts it to every individual.
So I don’t think AI challenges my position in the industry. I just think it’s a tool that I can use to make myself better.”
Ethiopia Airlines happy to return to PH:
The airline was at the seminar in Port Harcourt and revealed their plans to resume flights to the Garden City.
Speaking, Firiehiwot Mekonnen, Area Manager – Nigeria, Ethiopian Airlines, gave her take home from the seminar, first saying the event was very good. She profusely commended Finchglow Travels for bringing all travel partners together.
“It’s really an amazing event, and they keep on doing it every year. So, we really want to appreciate and thank you, Finchglow Travels, for that.”
She also said she was glad that they were able to meet and discuss with all the travel partners, travel agencies around this area. “They have already expressed their support for Ethiopian Airlines. They have expressed their appreciation for Ethiopian Airlines to commence flights to Port Harcourt.
“As Ethiopian Airlines, we are also really happy and excited to start our fifth frequency or fifth destination in Nigeria, which is Port Harcourt. We expect that this operation, which we are starting with four frequencies per week, is going to grow to daily frequency with the support of Finchglow Travels and all the travel partners that we have met today.
“We have also taken all their comments and feedbacks, and we are committed to working on that.”
She described their experience in Nigeria one of resilience. “You know, Ethiopian Airlines started operating to Nigeria right after one month of Nigeria’s independence. So, this year we have celebrated our 65 years of anniversary in Nigeria.
“And in Ethiopian Airlines, since we have started, we have been continuing, we have never stopped through thick and thin, no matter what. There are times where so many airlines were challenged and suspended their flights, but Ethiopian Airlines never did that.
“So, throughout all these years, we kept on adding and making sure that we bring the best to the Nigerian public. We bring the best of the airlines. We fly with A350,000 to Lagos, Abuja, and then we are going to bring that as well to you.”
She said Nigerians love Ethiopian Airlines. “So, the experience that we have had in operating in Nigeria is very good. It’s a Nigerian airline, that’s what we can say and that’s how our passengers claim as well. So, the experience is very good, very vibrant people, very warm people, and then we keep on growing and we keep on giving back to Nigeria.”
Explaining further, she said she just arrived from Lagos. She said her colleague, Agitu Tesfaye, will be working in Port Harcourt. She said she considered it good news to the agents.
“So, Mr. Agitu is going to be the Traffic and Sales Manager of Ethiopian Airlines here in Port Harcourt; someone who is going to be closely working with you.
“We will just give you a brief overview of Ethiopian Airlines. This airline has been flying to Port Harcourt, and this presentation is like a discussion, an interaction.
“Ethiopian Airlines has been flying to Port Harcourt back in 2019. Now, we are resuming our flights in December 2026. So, I just want to give you a brief introduction about Ethiopian Airlines, and then I want us to discuss.
“I want you to ask, request, and comment as well on our services. Ethiopian Airlines is an 80-year-young airline. So, this is just to give a note about Ethiopian Airlines. Ethiopian Airlines was founded in 1945. This year, we have already celebrated our 80th year anniversary. It is fully owned by the government.”
Chigozie Nnah: Key lecture on ticket pricing mechanism:
Nnah is the Account Manager, Lufthansa Airlines, Port Harcourt, and he spoke on what he called continuous pricing mechanism in the industry.
He said: “We are used to our Reservation Booking Designators (RBDs), K-class, Lima class, and the rest of them. Now, what this continuous pricing normally does is that when it looks at a booking situation in any period and sees that there are seats not sold and the other ones the seat before that or the RBD before that is sold.
“So, what the system does is instead of if K-class is N90,000 and then Lima is N100,000, instead of charging you N100,000, what it does is it tries to do what we call a little of differentiation and gets a price in between and offer it to anyone who is booking.
So, it’s only applicable or available within a specified period of time. The moment you book it and you do not pay, you want to wait until the next day, it may not be available.”
Now, he said, the New Distribution Capability (NDC) is a win-win game, so to speak. “We have attractive NDC smart offers, transparent, value-added, full customization and personalization deals. What do we mean by personalization? Individualization to suit each and every customer if you so wish.
“And then the technology, the trade and technology partner, we have better servicing functionalities, value-based commercial models, and it comes with increased efficiency.
“The most difficult thing for a man to do is change which is difficult, change is the only thing that is constant.”
He said when he hears people say they cannot change from the traditional way of booking to the new and the smart way such as the NDC that is a smart way of booking; “It clearly tells you that in the new way of doing business, it offers you more efficiency than the old way of doing your business, especially as time and tides change.
“Again, we have its installer of innovative NDC smart offers. We have different offers available for our partners and the state-of-the-art shopping experience. Gradually the airline industry will come to a point like what you have on Amazon and the rest, where you have a shopping cart. You can pick this and put to that cart, put this and all in that one cart, and then at the end you have just a basket of all the things that you need. So, this is how it’s going to run, and that’s what is seen. It’s the state-of-the-art shopping experience, and it comes with value-based willingness to pay.
“I need to talk about ancillary. This is one topic or one subject I think we have not actually fully utilized; ancillary.”
With additional services on the local government, he went on, travelers can make their journey even more individual and comfortable.
“There’s ancillary, you have the extra leg room, there, you can make advance seat reservation. Recently, I had some people say, ‘I do not have the money to pay for premium, and I need comfort. You can simply book advance seats, make an advance seat reservation. That way, your customer becomes comfortable even though at that period is not able to pay for the higher class.
“So, this is part of what we should offer as professionals, at least, give them the complete package, ensure that these ancillaries are effectively and properly utilized. We have the sleeper rolls and then the fixed price upgrade.
“Many of you may not know about the fixed price upgrade. We have fixed price upgrade and bid upgrade, and even the excess bag rate.
“For the fixed price upgrade, there’s a fixed price to upgrade for instance from one class to the other. For the bid price, if you make a booking even though you did it in your office, you can go online and then you can ask for an upgrade. That upgrade is not fixed. You’re allowed to make quotes or bid. You’re allowed to make an offer. And at the end of the day, when it’s close to the flights especially, the person that has the highest offer is given that offer to upgrade.”
He explained with examples: “So, sometimes, if somebody has bid at $100, another person bid $105, another one $112; at the end of the day they pick the one that had the highest bid. If there are other avenues to make some other upgrading, take them just like that. So, this is how it works.
“The one I want us to dwell on is the one of the extra bag. Recently, we have seen cases of people who have been saying that the extra bag amount is quite on the high side.
“Just this Tuesday, a passenger was traveling and he told me wanted an extra bag, and asked how much for it. I said $305, he shouted. I said, but you know you can go to Lufthansa website and ask for an extra bag at a cheaper rate. He did and at the end, he got it at $132.
That’s shocking. Look at the difference.
“So, for partners here, you can give your customer better services, you can also save them money, you can as well make more money for yourself.
“I want you to make some money when you click. Why should I go to the airport and pay $305 whereas I can do it online? You can do it online and give to my clients, and also get some fringe from it.
“We have the latest services we just mentioned.
Now, allegries. It is our latest in the market in terms of seats. It’s only in Lagos. We have the allegries that come with our flights, dreamliner that comes into Lagos. The allegries is simply a new configuration of seats that gives you additional maximum comfort.”
It’s found in all the cabins in the business class. “The suites are the one in front. If you have someone who always flies first class, and he is so used to first class, and there is unfortunately on this route there is no first class.
When you book the person in business class, please, pay for that business suite.
If you go online it’s cheaper. It’s more or less like first class, the services are top-notch.
You can find same in premium and as well in economy class.
“As experts (agents) you should be registered with Lufthansa experts. It is a where we communicate our products, services, and other information that ordinarily you cannot get anywhere else. Lufthansa gives you credit.
“Some ask for group discount. Any class you book, your staff, the family, you are entitled to 20% discount. Contact the airline, or read down the ticket. We have Lufthansa group meetings, we call it miles meetings, incentive and all that. And then we have the partner plus benefit.
“The green fares are part of the fair family on the Lufthansa fair basis. Green fair simply means the fair that helps to promote a greener environment, safer environment, reduce carbon dioxide emission.”
He said when anybody books green fair, what the airline does is a little bit higher, but the benefit that weighs what you pay is that whereas you pay surcharge to ask for refund or rebook, this one is free. “Again, the additional benefit for green fair is that a customer enjoys 20% more on their miles and more.”
Conclusion:
The agencies asked many questions and explained some of the challenges they faced in the value chain. Promises were made, and some answers were given right away.
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