Travel Agent Online Business Hit, Tiket.com Sales Drop 75 Percent

JAKARTA - The corona virus pandemic or COVID-19 in Indonesia is increasingly spreading. The tourism industry sector is one of the worst affected by this outbreak. Likewise, online travel agents (OTA) have to lose money because many consumers choose to cancel their trips.

The OTA Tiket.com company admitted that the impact of this virus caused a decrease in sales. As a result, companies need to change their focus and priorities. Tiket.com Managing Director Gaery Undarsa said, during the COVID-19 pandemic in Indonesia, ticket sales experienced a deep decline.

"We have already dropped 75 percent in terms of sales," he said in a video conference with reporters in Jakarta, Monday, April 13.

Gaery admitted that the COVID-19 pandemic would not last forever, but it was not yet a year when the pandemic period in Indonesia ended. As a result of this virus, many sectors have been affected. Because, this virus is beyond predictions and no one can confirm when it will end.

"Travel is one of the industries that has been affected by COVID-19 for the first time. Recently, many customers want to change trips, refund, to cancelation," he said.

The fall in sales made management think of the quickest way to maintain the company's fiscal stability. The company prepares various risk assumptions with different emergency periods. Initial scenarios are structured for three months, six months, and one year.

At the same time, the company activates the survival mode so that as much as possible it does not take steps to terminate employment (PHK). According to Gaery, layoffs are the last option.

"We are grateful, that at Tiket.com until now there has been no lay-off and salary deduction. Our number one asset is people. We can say, if we can cut costs first, it would be better for the other first," he explained.

Gaery revealed, the largest cut was the cost of marketing or sales with a share of up to 90 percent.

Change Focus and Priority

Gaery admitted that being in the midst of this crisis made his party rush to formulate a strategy. If sales initially became the focus of the business by continuing to invite people to travel, now things are changing.

"Change the focus from selling to customer handling," he said.

This change in the company's focus is also driven by the increasing interest of consumers to reschedule or change travel schedules to refund or return tickets. Per day, said Gaery, the increase in customer service has reached 7-10 times.

Due to increased schedule changes, Gaery said that his party had received 100 volunteers. They are in charge of helping Tiket.com's customer care team.

On the other hand, Gaery said, refund and rescheduling ranks highest in Tiket.com's impact scheme during the COVID-19 pandemic. Even so, customers don't need to worry because the Tiket.com team is ready to help with the procedure.

However, Gaery admitted, there were still several problems regarding refunds and rescheduling which still had to wait from suppliers or back office processes. "We have to prove it all, we will process input and inquiry, no one is an exception," he said.

In addition to preparing a survival plan during the pandemic, Tiket.com has a strategy that will be carried out after the COVID-19 pandemic is over. In terms of products, nothing has changed, namely development products with more project technology, and customer care because there is a plan to release Tiket.com 4.0.

Tiket.com's Managing Director, Gaery Undarsa. (Photo: Instagram @gaeryundarsa)

Furthermore, Gaery said, there is also a to-do ticket, where all the necessary activities will be prepared. And when the time is right, it's accessible to customers.

"Another thing, prepare just in case if for example the effect is rather long, how long does it take to travel to the travel industry, there have been several plans for some time," he said.

After the Pandemic

Gaery said, there are three things regarding the risk assessment that will be carried out if the COVID-19 pandemic is over. First, the recovery will focus on the sale of hotels in the city for the benefit of staycations.

After the pandemic is over, said Gaery, people will choose to take a vacation by staying at hotels within a radius that are still not too far from their homes. Because, during the pandemic, people are tired of being at home all the time.

Second, said Gaery, the recovery trend is focused on destinations that can be reached by private transportation, such as in Bandung or Puncak, Bogor.

Then, third, the recovery phase is carried out for domestic destinations such as Yogyakarta and Bali. "For the recovery of international goals, this will be the last stage," he explained.