James Ferrara of InteleTravel: Five Things You Need To Be A Highly Effective Leader During Turbulent Times

An Interview With Fotis Georgiadis

Speak Up. Communication is the answer to most problems. I’ve held regular town halls with the staff and with our customers during the pandemic, keeping everyone informed of the progress of the company and the status of our industry. I like to think this was comforting and reassuring and helped to relieve stress and worry, which means more productive workers. Ratchet up all your communications.

As part of our series about the “Five Things You Need To Be A Highly Effective Leader During Turbulent Times”, we had the pleasure of interviewing James Ferrara.

James Ferrara is co-founder and president of InteleTravel, the oldest and largest host travel agency in the world with more than 70,000 independent travel advisors in the U.S., U.K., Mexico, and Caribbean.

As InteleTravel’s president, Ferrara leads a talented team responsible for all areas of travel operations, travel product development, travel partner relationships, and the support, education, and nurturing of travel advisors. He serves on advisory boards for leading travel organizations, including the Cruise Lines International Association, and routinely speaks on technology and trends in travel, the home-based travel agent revolution, and the future of the travel industry.

Thank you so much for your time! I know that you are a very busy person. Our readers would love to “get to know you” a bit better. Can you tell us a bit about your ‘backstory’ and how you got started?

I was fortunate enough to travel around the world as a child thanks to my father, who was a sales executive. Those early cultural experiences struck a chord and marked the beginning of my passion for travel. That travel bug and wanderlust stayed with me through an early investment banking career, until I had the opportunity to acquire a small travel company that was doing something different.

In the years after deregulation changed how travel could be sold (eventually leading to the rise of internet travel sites), we recognized a maverick idea and put management, marketing, and technology behind it to create a paradigm-shifting travel agency, now the largest and oldest “host agency” in the industry.

Can you share a story about the funniest mistake you made when you were first starting? Can you tell us what lessons or ‘take aways’ you learned from that?

I was chatting with a reporter before the formal interview started and made a casual remark about our company. I knew we were going to change things in a big way, so I used military terminology. When the story was published the quote likened us to a nuclear warhead aimed at the travel industry. It didn’t play well. I regretted it immediately and still wince, but also chuckle.

It is in my nature to be a disruptor, to rethink how things have always been done. But it is not in my nature to be disrespectful or violent. I learned you can be strong in deed and idea, without being overconfident or overbearing. I learned the value of humility, a critical trait in an executive or leader.

None of us are able to achieve success without some help along the way. Is there a particular person who you are grateful towards who helped get you to where you are? Can you share a story?

There are many. I see my role as a talent scout and an enabler, in the best sense, helping managers grow and develop their strengths. They always surprise me and outperform my own ideas. One special influence was Brian Tracy, the world renown author and speaker on personal potential, success, and motivation.

Early in my career I had the opportunity to work with Brian, co-authoring training materials, helping to write scripts and promotions, and even going into the studio with him to record. Brian taught me so much — and much of it practical, day to day business advice which speakers in his area are usually not known for — that to this day my team rolls their eyes when I offer yet another Brian Tracy quote. Some of my favorite advice was: “80 percent is good enough” — to get things done; “Editing is easy, writing is hard” — to recognize the painful, time-consuming work of a first draft; “Eat that frog” — to battle procrastination; and “Continuing professional education is an investment in yourself — and those that do it are statistically in the top 10% of their profession.”

Also, Brian was a master of salesmanship and networking, with advice on how to enter a room, shake hands, etc. He had a remarkable ability to go around the room at a big event and speak everyone’s name and say something about their business and abilities from memory. I also have to give credit to my Father, who years before I met Brian gave me one of his most famous training programs, The Psychology of Selling, which was in several dozen cassette tapes. I was 14 but wore those tapes out playing them over and over again.

Extensive research suggests that “purpose driven businesses” are more successful in many areas. When your company started, what was its vision, what was its purpose?

We were clear from the beginning that our purpose was to offer travelers a new and better way to fulfill their travel dreams and buy their cruises, vacations, plane tickets and more. We planned to do it by using an unprecedented nationwide network of home-based, part-time independent travel agents, servicing their family, friends, neighbors and more. Travelers could purchase travel through someone they know and trust, and our independent agents could step inside the exciting travel industry with none of the traditional costs and barriers to earn a second income or more.

Technology was also key in the original recipe, allowing us to work at-scale and reduce the friction of operations for our agents, so it’s in the name InteleTravel (think telecommunications, internet, etc.). We also knew travel agents/travel enthusiasts would be more productive with effective distance education, opportunities to travel and learn, and opportunities for personal development and improvement. We saw more than a business. InteleTravel was intended to be a lifestyle.

Thank you for all that. Let’s now turn to the main focus of our discussion. Can you share with our readers a story from your own experience about how you lead your team during uncertain or difficult times?

We were keen to expand into another country and made the approach to regulators and industry organizations on our own. We had been very successful in the U.S. for decades, so I believed we could manage an expansion on our own, with our U.S. attorneys and U.S. staff. I was warned that the regulatory environment and the traditional network in the new market were tough. I was overconfident and we underestimated the challenge, returning to the States empty handed and defeated after a year of effort and expense.

But I would not give up. I was told I was being foolish and spendthrift, but I took a new approach. We identified local seasoned managers and professional consultants to take up our cause. We trusted their in-market knowledge, reputations, and relationships to recast our applications and business plans. I rallied the US team in support again, despite the wounds of the first year. Others told us we would never succeed. But our team worked tirelessly, got turned away at many points, but I listened to the feedback, adjusted our model, and went back at it until after another full year we succeeded.

Then after that first win, milestone and after milestone passed until we became the largest homeworking agency in the U.K. in only two years. The work was the team’s, the persistence and the belief were mine. I held up the beacon and they raced to it.

Did you ever consider giving up? Where did you get the motivation to continue through your challenges? What sustains your drive?

Giving up is not a natural reaction for me. It’s not how I respond to challenges, even major ones. Instead, I dig in. It’s personal for me. I believe in my own intellect and abilities and those of my team.

Beyond that, what sustains me is the tens of thousands of agents and their families who rely on InteleTravel — and me — for their livelihoods. We can never let them down. Meeting agents at events brings that home for me, as I hear firsthand stories of how our business helped them, gave someone with special needs a way to work from home, delivered a commission that paid a critical bill and so on. Again, it’s very personal (complete with joy and tears sometimes).

What would you say is the most critical role of a leader during challenging times?

A leader keeps the beacon burning, always makes the vision clear and out front for the team, so there is a destination to aim for. I also see myself as a facilitator. I constantly ask my team what is blocking their progress, what connections can I help make, what resources or just grease can I provide.

A leader leads but also gets out of the way for his or her executives and managers to shine.

When the future seems so uncertain, what is the best way to boost morale? What can a leader do to inspire, motivate and engage their team?

Communication is the key to managing through change.

I believe in being visible, approachable, and out in front of change with frequent meetings, town halls with employees, even Facebook Live these days. Giving team members a chance to be heard in that process is also critical. Feeling like someone is listening and feeling respected with transparency on company activities and results helps reduce stress and boosts morale.

Don’t forget to be human. We engage our employees with a Sunshine Committee planning fun social events and including their families.

Finally, lead from the front. Roll up your sleeves and get dirty doing the work you ask others to do.

What is the best way to communicate difficult news to one’s team and customers?

Be straightforward, honest, realistic, but also optimistic. I can’t help my optimism; it’s how I am wired. There is no situation so dire that there is not a plan to fix it, a light at the end of the tunnel, or a way to ask your team or your customers to pitch in and help.

How can a leader make plans when the future is so unpredictable?

Plans are a roadmap to get you started on the journey to a goal. But like all roadmaps there are alternate ways to go, some of them more interesting or with more beautiful views. Plan but don’t be rigid. Stay flexible and nimble. Adversity is a two-sided coin. The other side is opportunity.

Truly successful people see the opportunity in every challenge and seize it. Between the punches, look for the openings. Be responsive to your market, not your plan. You don’t make the market, you meet it.

Is there a “number one principle” that can help guide a company through the ups and downs of turbulent times?

Stay true to your vision, particularly to your market position. Don’t stray from what makes your company different to try to please more customer profiles.

Instead, in times of stress, sharpen your message and position. Stay the course. Have the management sense to plan and prepare for the downturns, so you have the resources available to carry you through this advice.

Can you share 3 or 4 of the most common mistakes you have seen other businesses make during difficult times? What should one keep in mind to avoid that?

1. Curtailing services to save money. The wrong sort of expense cutting can actually drive your customers away or rob you of contributing experiences and factors that lead to sales. Cut overhead, renegotiate leases, dispose of surplus space and equipment, renegotiate service contracts, or ask for forgiveness periods, suspension of minimums, etc. Do not cut services or experiences that your clients value. Some will see the signal that your business or product is declining and take their business elsewhere.
2. Not shedding expenses as soon as the signs appear. You have to be ruthless with expenses but try not to cut customer facing line items. It’s an art. Get it right and you can preserve a financial runway long enough to see you through difficult periods.
3. Wavering from what makes your company unique, or from your clear position in the minds of consumers. The result is consumer confusion and lower sales.
4. Not planning for a rainy day. Make sure you build your contingency fund or war chest in good times so you can weather the bad times.
5. Show loyalty to your employees. They should be the last cut you make. Be humane. Try everything else first. Lose sleep over furloughing anyone. If you must, provide programs and support to help them through. They will repay the loyalty by working harder and better for you. Replacing skilled workers often comes at a much higher cost than finding a solution to keep them employed.

Generating new business, increasing your profits, or at least maintaining your financial stability can be challenging during good times, even more so during turbulent times. Can you share some of the strategies you use to keep forging ahead and not lose growth traction during a difficult economy?

Be expert at the pivot. If you know your customer and your market, you can pivot to meet their changed needs in a changed economy.

For example, when travel restrictions hit the U.K. and closed off most popular destinations for U.K. residents, our managers pivoted our inventory away from sun and fun holidays to Spain and Greece or long-haul visits to European capitals, to domestic product for traveling around the U.K. We negotiated for product and then trained our agents on holiday parks, domestic resorts in the U.K., and cruises around the British Isles. This gave our agents something to sell while other agencies felt they had to close up shop.

Or consider our events team, who were used to producing large scale in person events in Las Vegas or chartering cruise ships. We quickly investigated cutting-edge virtual event platforms and other options to move events online, including entertainment, virtual cocktail receptions with cocktail kits mailed in advance to attendees, and gifts sent by post rather than left on the bed in the hotel room.

Seek out the new products, new markets, and new strategies in the new economy. And if you can, have the foresight to go into down times with great momentum. Your curve will probably slow, but it won’t turn upside down.

Here is the primary question of our discussion. Based on your experience and success, what are the five most important things a business leader should do to lead effectively during uncertain and turbulent times? Please share a story or an example for each.

1. Speak Up. Communication is the answer to most problems. I’ve held regular town halls with the staff and with our customers during the pandemic, keeping everyone informed of the progress of the company and the status of our industry. I like to think this was comforting and reassuring and helped to relieve stress and worry, which means more productive workers. Ratchet up all your communications.
2. Show Up. Be visible as a leader. Lead from the front. I appeared on television, in the news publications and in countless virtual events these past 18 months, and then live in-person at events as soon as it was safe to do so. I felt I had to show leadership and confidence in travel.
3. Count your blessings. It’s important to stay humble and recognize the silver linings. They are always there. Feel thankful and share that message. One of my most popular Facebook posts during the pandemic was a list of the things I was thankful for. People need hope in times of trouble. Be the light if you can.
4. Dig into the numbers. Down times are the times you have to be on your best game when it comes to analyzing the metrics of your business. Know the financial dynamics of your company and fine-tune them. Invest in expert help in this area, even when things are down. It could save you.
5. Nurture your talent. You are not an island. If you are, you’re sunk. Look to the team you assembled and encourage their talents, give them new responsibility and freedom, make room for them to grow. I have found that people will surprise you every time.

Can you please give us your favorite “Life Lesson Quote”? Can you share how that was relevant to you in your life?

There are so many, but to choose one … “Some days you eat your lunch. Some days you are the lunch.” Attribution unknown but sounds like something Yogi Berra would say.

Running a business can be like fighting a thousand battles a day. Sometimes it can be hard to keep perspective and stay optimistic. To me, this amusing but zen-like quote means that failure is inevitable, bad days are inevitable, feeling defeated is inevitable — but so is success if you keep trying. Get up, brush yourself off, dig in to find a new solution. Tomorrow you get to eat the lunch instead of being the lunch. Never, ever, ever give up.

How can our readers further follow your work?

Visit www.InteleTravel.com, subscribe to our YouTube Channel InteleTravelTV, or follow me personally on Facebook.com/jrferrara, Instagram @JRFerrara, or LinkedIn James Ferrara.

Thank you so much for sharing these important insights. We wish you continued success and good health!

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James Ferrara of InteleTravel: Five Things You Need To Be A Highly Effective Leader During… was originally published in Authority Magazine on Medium, where people are continuing the conversation by highlighting and responding to this story.