Travel agency JTB eyes large-scale closure of domestic outlets

TOKYO —

JTB Corp, Japan’s largest travel agency, plans to close its domestic outlets on a large scale in the face of the economic slump and an increasing shift in demand for sales through the Internet rather than over the counter, company officials said Thursday. The company, which marked the first group net loss in four years in the last fiscal year ended March, may close up to 200, or about 20% of its existing about 940, including those run by its group companies, the officials said.

Details such as which outlets to be closed will later be determined but money-losing outlets near train stations will likely be candidates for closure, they said.

The company plans to maintain employment of workers at closed outlets mainly through transfers, but it could solicit voluntary retirement as many outlets will be closed.

Major travel agencies in Japan are suffering from poor business performances and undergoing restructuring because travel demand is dampened by the economic slowdown and H1N1 influenza.

In October, rival Kinki Nippon Tourist Co solicited voluntary retirement and 192 employees applied, the company said.

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12 Comments

bisoy at 07:40 AM JST - 27th November

Not only the economic slump. It's also cheaper to buy tickets/tour on the Internet.
itshay at 10:37 AM JST - 27th November

Companies that blame economic slowdown and H1N1 should be closed down. Those who don't have a 5 to 10 year plan, should not be in business.
Altria at 10:44 AM JST - 27th November

Good riddance, it's one of the old, overpriced dinosaurs like JAL.
hanadecaka at 11:33 AM JST - 27th November

Lack of unexpereinced people are emplyoed in JTB. Those who are just salary orianted and mono type not stereo.They do not want to provide job who are expereinced foreigners.Every developed nations regardless of nationality those have proper visa they can get job but Japan does discrimination to foreigners.How they can sale clients who does not know nothings about the when clients ask with them about such country.
larguero at 12:49 PM JST - 27th November

JTB is, in general, very efficient. But I guess every year more people just buy their tours from their homes. They should adapt to survive...
Yelnats at 04:32 PM JST - 27th November

I have used them before and found them very nice. I just do not need to tour around Japan anymore. I think that those that do not speak or read Japanese are going ot have to go to larger cities to try to book things. On line will drive them crazy as Japanese home pages are so over ...worded. And they send you in larger circles than US airline home pages. Or YouTube...ever try to contact you tube? Teach me how if you know how.
zaichik at 06:21 PM JST - 27th November

After I'd been in Japan a couple of years and got a bit savvy (and the web presence of Japanese companies had improved), I used to book my travel arrangements online - Yahoo was usually the best option for searching for good accommodation deals. Japan's pretty good like that, in fact - it's not nearly so easy to find good hotel and restaurant deals on the web here in NZ.
Sarge at 06:34 PM JST - 27th November

"the economic slump"

This is 100% fault of gaikoku.
DeepAir65 at 06:37 PM JST - 27th November

not only is it cheaper to buy tickets on the net you don't have to spend hours in an overheated JTB office...
ilcub76 at 11:01 PM JST - 27th November

JTB is, in general, very efficient.

This is the best one I've heard today!! They always pull out the 3-ring binders and look up the prices of tickets. I know more about SE Asian discount flight passes than they do. They even have no idea about the Fukuoka-Pusan r/t jetfoil and 1-week Korean rail pass plan. If they had some people who knew what they were doing, they might not need to cut so many outlets.
biglittleman at 07:35 AM JST - 28th November

I agree with ilcub76's post

What is funny is some Japanese business person will step in and make some decisions after this. Decisions that anyone with common sense would make like internet access and they will be heralded as a messiah or savior.

Any 4 year university business student could appear like a god here. The language/little xenophobia is the last barrier stopping foreign companies from swooping in.
bisoy at 10:37 PM JST - 30th November

Used to buy at HIS but one day I was offended by a grumpy (stressed out) agent that I tried searching myself on the Internet. I felt insecure at first considering the fact that their are many Internet frauds but it turned out fine. Now I don't waste time going to agencies anymore and I could find what I really want and no stressed out agent will ruin my day.