Travellers Choice has announced a record-breaking pre-tax operating profit of $3.2 million for the 2023/24 financial year. More than 85% of this profit will be returned directly to member shareholders, marking the largest financial return in the company’s 48-year history.
The results show a 58% increase in profits over the previous year. This profit distribution will be made through an unfranked dividend of 6% on issued capital, equivalent to 30 cents per share, and trading rebates based on member support for preferred partners.
Members reap record returns
Christian Hunter, Managing Director of Travellers Choice, emphasised that the group’s members benefit from both low membership fees and significant financial returns. For the 2024 financial year, the average Travellers Choice member paid less than $3,000 in membership fees and received close to $30,000 in rebates, providing a 10-fold return on investment (ROI).
In addition to these rebates, Hunter noted that members are also rewarded with various financial benefits such as sales incentives, at-source commissions, and discounted industry membership fees. When these perks are included, the total financial value for the average member rises to nearly $50,000, translating to an impressive 17-fold ROI.
“The bottom line is that Travellers Choice offers independent travel agents unrivalled value,” Hunter says.
Maximising value for members
The financial benefits for Travellers Choice members extend beyond direct profit distributions. The group also provides a wide range of non-financial support services designed to help members grow their businesses and stay competitive in the evolving travel market.
These non-financial services include consumer advertising, marketing support, sales assistance, and IT solutions – all of which help members run their operations more efficiently and effectively. According to Hunter, these additional services enhance the overall value of Travellers Choice membership by offering members the tools and resources they need to succeed in an increasingly competitive industry.
Looking ahead: Continued growth amid global shifts
Despite the record-breaking profit figures, Travellers Choice remains mindful of potential challenges ahead. However, the group is confident that it can maintain positive growth even in the face of economic and global uncertainties.
While factors such as rising cost-of-living pressures and ongoing geopolitical instability could impact international travel demand in the 2024/25 financial year, Travellers Choice’s Board remains optimistic. The resilience demonstrated by the group’s members during recent years, positions the network to continue delivering strong financial results in the coming year.
Hunter says the award-winning group’s members have shown “remarkable dedication and resilience” over the past few years and it is pleasing to see that hard work rewarded in the form of a healthy profit distribution.
Annual General Meeting and conference to unite members
Looking ahead, Travellers Choice members will have the opportunity to gather in Sydney this November for the company’s Annual General Meeting (AGM), which will be held in conjunction with the highly anticipated 2024 Conference. Themed ‘Travelution’, the event promises to provide members with valuable insights into the future of the travel industry and the tools they need to navigate the next stage of growth.
The 2024 Conference will include a range of activities aimed at fostering collaboration and sharing industry knowledge. These will include networking sessions, panel discussions, and a Preferred Supplier Exhibition, where members can connect with key industry partners and suppliers.
One of the main highlights of the conference will be the keynote speech by James ‘Cas’ Castrission, a dual Guinness World Record-holder and renowned Australian adventurer. Castrission’s talk will focus on encouraging members to adopt an “explorer mindset” as they continue to adapt to changes in the travel industry.
More than 250 Travellers Choice members and preferred partners are expected to attend (along with Karryon!) the event, which will culminate in the Travellers Choice National Awards Gala Dinner. This gala will recognise the network’s top-performing agents and provide an opportunity for members to celebrate their successes (and maybe catch a little ditty from Hunter himself).
For more information on Travellers Choice, visit www.travelagentschoice.com.au.
