YTB TRAVEL COMPLAINT PROBLEMS

YTB TRAVEL COMPLAINT PROBLEMS

As a result of the pressure from the recent YTB travel lawsuits, ie, YTB travel complaints filed with the Better Business Bureau, YTB, International, inc. is contemplating transitioning to a franchise business. On July 15, 2008, YTB filed paperwork with the SEC that they are contemplating changing the business model from a Referring Travel Agent (RTA)model to a franchise system.

A traditional franchise is a business in which authorization has been given to an entrepreneur to sell and/or distribute an established company's goods or services in a particular area.

According to company documents filed with the SEC, most of earnings of YTB reps were from referring others to become travel agents and of YTB travel agents, the earnings on travel commissions averaged less than $82 per travel agent. In 2006, YTB made 72 percent of its revenue from the sale of online travel stores and monthly fees and 15 percent from travel commissions. Another 11 percent comes from training and other miscellaneous stuff.

Considering all the YTB travel problems, selling out products and services to RTAs and reps makes sense for YTB, international, inc. After all, it would be hard to be a qualified travel agent with YTB and to become certified through its training program. The International Airlines Travel Agent Association, a travel agent accreditation organization, rescinded the membership of YTB. That means YTB can no longer issue IATAN-approved travel agent cards. (IATAN is part of the International Air Transport Association, or IATA.)

Additionally, the YTB travel complaints filed by YTB travel associates, former rta's and reps to the Better Business Bureau, and YTB travel lawsuits pending in California, Illinois, and Florida, contrast the benevolence of a YTB international, inc remedy for a Franchise move, that it states is INCREDIBLY GOOD for YTB and for it's RTA's. Furthermore, YTB also, states matter of factly, that RTAs that own existing businesses will be "favorably treated". What does all this mean? Nothing!!!! It is good for YTB only, because YTB can get out of its obligation to financially compensate the opportunity costs and monetary losses of its associates for its unreachable compensation plan, as part of the accusation of an illegal pyramid scheme. The benefit is for the corporation YTB international, inc streamlining another business model to get out from under for the losses of its associates.

Like any other legal matter, if YTB, international, inc. has broken the law, civil or criminal, should the remedy allow for YTB to dictate its own community service option that unveils another plan from which YTB travel should profit?

The Chicago Tribune, 12/09/07 on its "Travel Insider" section, stated that YTB urges prospective customers to get involved in the "$7 trillion" travel industry as compared with total U.S. GDP in 2006 at about $13 trillion. The relevant point to the YTB travel problem is whether YTB is promoting a business that extends internationally, but markets only regionally within the US, Canada, and the Carribean and therefore, is overinflating the value of the travel industry market as a comparison between the US domestic market and the regionally based market of YTB. The travel industry is worth $7 trillion globally, ie, internationally; therefore, to point out another of many paradoxes in the YTB travel problem is the application of promotion to induce based on the value of the travel industry market globally with the US domestic market without implying a global market or comparing a global market regionally and thereby overinflating the value of the market.

The YTB travel problem is in its failure to identify whether it is international or domestic in terms of markets. YTB international, inc. implies international when it covers only a certain region of the world and misrepresents, or over inflates, the value of the global travel industry The YTB travel lawsuits have merit and those YTB travel complaints by YTB travel associates filed to the BBB further supports some issues that challenge the integrity of YTB International, inc.

A franchise to cure the YTB travel problem is facially beyond the jurisdictional remedial scope concurrent to the issues characteristic in substance with an alleged pyramid scheme; ie, its foundation is in crisis and hardly appropriate to induce potential parties of a class action YTB travel lawsuit to further contemplate consideration of a new contract or agreement.

Traverus Travel offers a better deal, a better compensation plan, better residual income, and an opportunity to learn and earn on income from high commissions booking travel, and from referrals of travel agent sign ups, and online training to become a qualified travel agent. In addition to the discounted wholesale prices on member trips and travel packages, with Traverus Travel, the referral requirements are much more reasonable and easier to attain in order to earn income from referrals. The YTB travel problems is that the rep is forced to go broke as the requirements to refer travel agents are too high and unreasonable. Compare the YTB travel problems with six referrals and the transition of opportunity of only two referrals as travel agents with Traverus Travel.Visit http://traverus-travel-california.blogspot.com/.

Eric D. Hallerud (515)991-3668