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Last Updated: Friday, 30 July, 2004, 09:45 GMT 10:45 UK
Net fears stunt online travel
Signs in travel agent's window, BBC
Most people still book via a travel agent
Bigger discounts and better security could tempt more people to book holidays online, a survey has found.

More than 50% would swap a travel agent for the net if it was cheaper, said technology consultants LogicaCMG.

For others worries about what happens to personal and financial details was stopping them turning to the net to sort out holiday plans.

The fears mean many people only use the net to research resorts but turn to travel agents when ready to book.

Fraud fears

Although many people are happy to buy books, CDs and DVDs online, many are still reluctant to buy holidays via the net.

Because of fears about internet security, more consumers are using the internet for researching than actually booking their travel online
Dave Martin, LogicaCMG
Research by technology consultancy LogicaCMG has revealed some of the reasons behind this reluctance.

Top of the list was the perceived cost of holidays booked online with 51% of those questioned saying that online discounts are not high enough to tempt them onto travel websites.

About 10% of those contacted for the survey said the process of booking online was still too complicated.

Others, 14%, were not convinced that any personal and financial information they hand over would be kept secure by online travel shops.

"Because of fears about internet security, more consumers are using the internet for researching than actually booking their travel online," says Dave Martin, principal security consultant at LogicaCMG.

The effect of this reluctance, says Mr Martin, is to increase the cost of administering bookings for travel agents.

He said phone bookings typically cost about �30 to service. By contrast net bookings cost about 75p.

He said this explains the off-net surcharges many online travel firms are starting to impose.

Recommendations by friends and family was cited by some respondents, 17%, as one way of overcoming their reluctance to book holidays online.

According to associated research by Association of British Travel Agents (ABTA) the online travel market has a long way to go before it replaces high street travel agents.

Abta estimates that by 2007 online travel will be 17% of the UK's �28bn travel market.

But, it warned, this growth relies on steadily growing numbers of people happy to book holidays online as well as improvements to technology and the creation of better websites by travel firms.


SEE ALSO:
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