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What is the average revenue of a travel agency?

After the pandemic brought travel and tourism to a screeching halt, it comes as no surprise that advisors experienced a precipitous drop in revenue in 2020: Home-based independent agencies saw their average revenue fall from $899,000 in 2018 to just $346,000 last year, erasing several years of marked progress.



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The pay isn't necessarily exorbitant—the median income is $38,700 a year, as reported by the U.S. Bureau of Labor and Statistics, but according to Pindar, it can actually be much higher. “Agents make anywhere from $50K to $100K on the low end and up to $250K to $500K annually,” says Pindar.

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  • Low average salaries. One of the biggest drawbacks of the field is the pay travel agents receive. ...
  • It can be a demanding job. Travel agents with clients traveling worldwide often have to be on call pretty much 24/7 due to the vast time differences. ...
  • Online booking/job security.


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We earn commissions from travel vendors. Travel agents earn commissions from travel vendors that we book for our clients. This is the entire portion of our revenue. We make a small percentage from some airlines, but most of our revenue comes from commission paid to us by tour operators, cruises and hotels.

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How much does a travel agent cost? The cost of using a travel agent is generally marginal, and often, they won't charge you at all. Much of their money comes from commissions the hotels and wholesalers pay them. Before you decide to book with a travel agent, inquire whether or not they charge fees.

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By defining your Unique Selling Proposition, optimising your website, creating high-quality content, leveraging social media, and networking with industry professionals, you can successfully attract clients and establish yourself as a trusted travel agent.

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The most important way that a travel agent earns money is by receiving a commission on travel sold. This can include a commission from booking flights, accommodation, tours, car rentals, entertainment tickets, insurance, and so much more.

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To book airline flights, for example, you'll need an ATOL (Air Travel Organiser's Licence), and for non-flight-based holidays, ABTA (Association of British Travel Agents) bonding is advisable. The size of the ATOL licence can vary depending on the amount you'll need to reimburse consumers (see below).

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The average salary for Independent Travel Agent is £27,456 per year in the United Kingdom. The average additional cash compensation for a Independent Travel Agent in the United Kingdom is £3,612, with a range from £1,530 - £8,525.

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As of 2023, there are over 400,000 people employed in the Travel Agencies industry in the US. The industry is forecast to grow by 7.1% throughout 2023, clearly demonstrating that demand for travel agents remains strong.

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Approach it as a side hustle with the potential for growth. Being a travel agent can be a great way to make extra cash, especially if you already have other businesses or entrepreneurial ventures. If you're a serial entrepreneur, juggling multiple ventures might come naturally to you.

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The main difference between travel consultants and agents is that travel consultants plan trips, while travel agents book them. Travel agents may be better skilled at locating the best prices for flights and hotels.

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In order to book from IATA, the travel agent must get registered with IATA as an IATA travel agent. However, it is also possible to buy and sell tickets without getting affiliated with IATA. All travel agents who do so are known as non-IATA/independent travel agents.

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Cruises. While most mass-market cruise lines (Carnival, Royal Caribbean, NCL, etc) pay a 10% commission, the question is 10% of what?

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