Online booking pinches Vizag travel agents

Though Visakhapatnam is seeing a rise in air passengers, this isn't good news for the travel agencies selling air tickets. Their business is facing tough competition from the Internet.

There are about 35 air travel agencies in Vizag, of which about 5 are approved by the IATA (International Air Traffic Association).

"A couple of years ago, when there were very few air services from Vizag, we used to sell about 250 domestic tickets a day, but now in spite of increase in air services this has been reduced to 170-180 a day as passengers prefer online booking," G Veera Mohan, director, Frontline Travels Private Limited, says.

In 2005-06, about 2.41 lakh people used to travel by air from Visakhapatnam. This number stood at 4 lakh in 2006-07, and in the current year, it is expected to touch 7 lakh, D Varada Reddy, president, Air Travelers Association of India, says.

Earlier, just 4-5 services a day operated from Vizag, but post expansion of the airport, 11 flight services operate from the port town.

Mohan says corporate customers now come to travel agents only if they need international tickets.

"Most of the travel agents ask for cash payment and this is one of the reasons why travelers prefer online booking. Not only can they pay through credit cards but also get 30 days' time," he adds.