And Speaking Of... ROR Over ROI: Why Relationships Drive Success in Luxury Travel ~via Vanessa McGovern
I discovered this post, created by Vanessa McGovern, thanks to an old friend and colleague Peter Davison mentioning and tagging me in his comment
Love this post connecting ROR with Luxury Travel. and the spreading of the RETURN ON RELATIONSHIP gospel.
RETURN ON RELATIONSHIP adds more to ROI than meets the eye. /Ted
Last week, I had the opportunity to catch up with Nancy Mendelson from hertelier. During our conversation, she shared an acronym that immediately resonated with me: ROR, or Return on Relationships.
In a world driven by transactions and instant gratification, it was both refreshing and inspiring to speak with an industry colleague deeply rooted in this mindset.
After our conversation, I couldn't stop thinking about it. That one phrase, "Return on Relationships," perfectly encapsulates how I've approached growing Gifted Travel Network and making decisions throughout my professional journey.
I've often struggled to articulate why I make certain decisions, especially when there isn't an immediate, measurable return on my time or monetary investment. But when Nancy shared ROR, it struck a chord so deep that I knew I had to write about it.
Here's what I know to be true from my journey in building a host agency in the luxury travel space:
While revenue growth, profitability, and client acquisition are traditional markers of success, the reality is none of these exist without strong relationships.
I've seen firsthand how travel advisors, supplier partners, and industry colleagues who prioritize Return on Relationships (ROR) over traditional Return on Investment (ROI) don't just survive; they thrive.
With endless choices available to travelers, and just as many options for how travel advisors are supported in their businesses, success comes down to who you know, how well you nurture those connections, and the trust you build.
I feel this deeply in my soul. Do you agree?
Beyond my instincts on why ROR beats ROI as a long-term strategy, here are a few practical ways luxury-focused travel advisors can prioritize relationships for sustainable success:
1. ROR Creates Client Loyalty That ROI Alone Can't
In luxury travel, loyalty isn't built on price—it's built on trust.
Clients don't return because you offered the lowest rate; they return because you anticipated their needs, provided seamless experiences, and treated them as more than a transaction.
When advisors and trusted preferred partners invest in long-term client relationships rather than short-term sales tactics, they generate:
Repeat business
Higher client lifetime value
Priceless word-of-mouth referrals
ROI is transactional. ROR is transformational.
2. Strong Industry Relationships Lead to Unparalleled Experiences
A five-star hotel is a five-star hotel, but what makes a client's experience truly exceptional?
It's the behind-the-scenes relationships you've built with GMs, sales directors, and DMCs that unlock doors no online booking engine ever could.
When advisors invest in strong partnerships with their host agency, consortium, and supplier partners, they gain:
Exclusive perks and VIP treatment for clients
Insider access to upgrades, experiences, and last-minute availability
A shift from being a 'distribution channel' to a trusted collaborator
ROI measures revenue. ROR measures influence and access.
3. Trusted Partners Solve Problems Faster
Luxury travel isn't just about selling dream vacations - it's about handling the unexpected with grace.
Flight cancellations, weather disruptions, last-minute itinerary changes - these things happen. But when you've built strong relationships, you don't wait in a queue; you call the right person.
A strong ROR strategy ensures:
Clients feel protected because they know you have the connections to fix problems.
Suppliers prioritize your requests because they value your partnership.
You stand out in a crowded market because your service is consistently next-level.
I could share countless examples of times when GTN advisors needed urgent assistance for a client. Times when a direct text or phone call to a senior leader at a cruise line or hotel, often outside working hours, moved their solutions forward faster.
This is why the relationship a travel advisor nurtures with their host agency is so important. I solve problems and escalate issues quickly for our advisors, but I couldn't do that without strong relationships in the industry.
ROI counts transactions. ROR turns problems into loyalty-building moments.
4. Relationships Drive Business Referrals and Growth
Your biggest marketing asset isn't a Facebook ad - it's the network of people who believe in you.
Advisors who build strong relationships with their clients don't just get bookings, they get referrals.
Supplier partners who invest in agency relationships don't just get "heads in beds," they get advocates who genuinely want to sell their product.
ROI is about lead generation. ROR is about generating advocates who do the selling for you.
The Future of Luxury Travel is ROR-Driven
In an industry built on service, exclusivity, and personalization, success isn't just about what you sell—it's about who you connect with and how you nurture those relationships.
The most successful travel professionals I've had the pleasure of working with - advisors, hoteliers, DMCs, cruise partners, and more -are the ones who:
Invest in relationships before they need them.
Put long-term trust ahead of short-term revenue.
Create real connections that can't be automated.
Because at the end of the day, an ROI without an ROR strategy is unsustainable.
