JOHANNESBURG — A new study released by the World Travel Agents Associations Alliance shows that more and more travel advisors worldwide are embracing service fees.

Service fee adoption rates range from 95% in New Zealand, to 55% in the U.S. and about 50% in Canada, while fee adoption remains limited across much of Asia-Pacific.

The WTAAA attributes the uptick in service fee adoption worldwide to a fundamental shift in traveller expectations, driving travel advisors to adopt transparent professional fees for their consultancy services.

“Today’s travellers want complex itineraries, upfront pricing, and 24/7 support, and they want advisors who can dedicate their full expertise to creating the perfect trip. Professional fees enable advisors to be true consultants, not just instruction-takers,” said Otto de Vries, Executive Director, WTAAA.

WTAAA’s just-released white paper confirms that the shift is now mainstream in key global markets,” he added.

The report shows that rather than relying on increasingly volatile supplier commissions, travel advisors are charging upfront for their knowledge, in the same way lawyers or financial planners charge fees. This change allows them to deliver more personalized service, dedicate time to complex itineraries, reinvest in technology tools like AI-driven trip management platforms, and ultimately offer travellers greater value with full transparency, de Vries added.

“This marks a new chapter for our industry,” he said. “We are witnessing a structural transformation where advisors around the world are no longer defined by what they book but by what they know. They’re increasingly being compensated like true professionals, which ultimately delivers more value to travellers through personalized planning, transparency and trust.”

Here’s a look at key findings from the WTAAA’s study …

• New Zealand leads globally with more than 95% of agencies now charging structured professional fees after airline commissions were cut by up to 100%. This has driven profit margins from under 5% (on commission-only bookings) to between 12–20% per transaction, based on trip complexity, says the WTAAA.
• Europe reports a 66% adoption rate, with widespread use of non-refundable consultation deposits. Among fee-charging agencies surveyed across EU markets: 85% report improved revenue predictability; 60% cite higher profitability; and client loyalty has increased significantly among those implementing upfront planning charges.
• In the U.S., 55% of traditional travel agencies now charge professional fees through hybrid models combining consultation charges with residual commissions.
• In Canada, around 50% of advisors consistently apply service or consultation fees despite confidence gaps reported when presenting pricing models directly to clients.
• In South Africa, over 90% of corporate-focused TMCs already operate under transactional service-fee structures; meanwhile leisure consultants are increasingly adopting non-refundable deposits tied to itinerary planning, especially among mid-to-high-income clientele who prioritize risk reduction post-pandemic.

The WTAA noted that fee adoption remains limited across much of Asia-Pacific: only pockets such as South Korea show momentum.

And in Latin America cultural expectations continue favouring embedded pricing models instead of explicit advisory charges. The WTAAA notes that luxury-focused firms show early signs of moving toward tiered consultancy packages.

While initial client resistance emerged in some markets (70% reported pushback), agencies succeeding with fee implementation focused on clear value communication.

“Clients don’t reject fees, they reject poorly communicated ones,” noted a German agency in the study. “When we explain that our €150 deposit covers 10 hours sourcing exclusive villas and negotiating group rates, they see the investment value immediately.”

The WTAAA’s research also identifies emerging fee models, including  consultation deposits, project-based pricing for complex itineraries, subscription memberships for frequent travellers, and corporate retainers.

“This evolution positions travel advisors where they belong, as trusted professionals whose expertise commands fair compensation,” said de Vries. “The future belongs to those who confidently charge what they’re worth, because great advice isn’t free.”

To download the WTAAA’s white paper, ‘Professional Fees in the Travel Agency Industry: Trends, Challenges, and the Future of Modern Retailing’, click here.