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Agents of change: How does the rise in digital innovation impact study travel?

In order to remain competitive in the transition to digital, “organisations like us are moving with the landscape”, he says.

Illustration: Bea Ramirez

"What is missing is information to be conveyed to them in a smart and easy way"

STB, one of the largest language travel companies in Brazil, is also pooling its resources into additional digital services.

“We’re shifting everything we do towards technology development,” says José Carlos Hauer Santos, CEO of STB.

“It’s getting more and more difficult for you to work without an additional technological platform”

He observes that many of their clients are browsing their options online using school and agency websites. “There is a number who are using both companies – us and direct – for a combination.”
“It’s getting more and more difficult for you to work without an additional technological platform.”

STB has developed a mobile app for its clients, which is building its brand value in Brazil. Tripbox, which contains a range of tips and advice, means students have one easy portal for access to information about their destination as well as all their travel documents and booking information.

Since Tripbox was rolled out in 2012, it has reached almost 40,000 users and is being updated regularly.

Chopra underlines that it is essential to remain relevant to consumers, given that agencies can be competing with direct bookings.

“Universities are increasingly looking for direct applicants because they are saving commission,” he observes. “And we are unfortunately seen as a commission cost, not as an income generator.”

But he believes that face-to-face counselling is something that cannot be replaced easily by technology.

“We are effectively education advisors. We have in-depth discussions with students, sometimes 20 times over maybe a two or three year period,” he explains.

“The first job that we do is expand your thinking horizon and I do not believe that a course search is going to do that,” he contends.

The act of consulting is the kernel that has prevented more widespread disruption until now. Leaving aside a debate over virtual consultancy, Hauer Santos’s position is that it is important that an agency provides something extra for the students instead of just being a means to an end.

“Unless you are able to provide additional services to the student, they may see an advantage in buying directly from the provider rather than going through an agent,” he says.

Standardise to modernise

As a result of these innovations, there has been a rallying call from stakeholders to work on standardising the jargon and the processing across all markets.

Many have realised that the differing ways that courses are inputted and displayed around the world, and variations such as whether they are listed as lessons per week or hours per week, is arguably slowing the sector down and preventing it from growing.

“As soon as we can all agree on the standardisation, the doors for innovation will open in an amazing velocity”

Pucci claims that standardisation is the first step in opening space for facilitating any new innovation and has used the Association of Language Travel Organisations to press for change among the business owner members.

“As soon as we can all agree on the standardisation, the doors for innovation will open in an amazing velocity,” he forecasts. “We will see it happening straight away. More and more people will be able to work better and faster together.”

Dervish explains that the market not being standardised is more of a problem for agencies or schools who process bigger numbers.

“These innovative projects will actually push the boundaries more, or push the limits of the schools,” he says. “It will push them to agree on a standardisation model.”

Despite the innovation that is currently in the pipelines, Hauer Santos at STB says that he sees no big change yet; there is more to be done.“I think everybody’s still standing still because maybe [transformation] is not something that one organisation can do by themselves,” he says.

This is an abridged version of a feature that originally appeared in Issue 7 of The PIE Review. To read the full article and more from the magazine, please click here.

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