ALG Vacations is committing “tens of millions” of dollars toward technology upgrades aimed at decreasing the administrative burden on travel advisors. This financial move is intended to give agents more time to focus on building client relationships. The investment comes as the packaged travel operator attempts to bolster its workforce against the rising influence of AI.
Ray Snisky, the group president of ALGV, noted that this represents the most significant single technology expenditure in the company’s history. He made this declaration at the Ascend 2026 conference held in Cancun recently.
Investing in Technology
Snisky explained that, alongside its parent company Hyatt, ALGV commissioned McKinsey to conduct a study this year. The objective was to develop a conceptual “moat” to protect the business from the rapid expansion of AI. A key recommendation from McKinsey was that ALGV increase spending on travel agent distribution.
Jacki Marks, the global head of trade brands at ALGV, interpreted the report as emphasizing the need to safeguard the distribution channel. She asserted that the company must ensure advisors have the appropriate tools to succeed, as their business relies on them.
Challenges and Opportunities
This technological push is occurring during a difficult period for the organization. Snisky noted that operations in Mexico and Jamaica were disrupted, and the company faced stability issues it had never encountered before. Specifically, there were reliability problems with VAX VacationAccess that intermittently affected ALGV bookings around Labor Day.
Snisky stated that the company is addressing these disruptions aggressively. He acknowledged that certain planning and development efforts, including roadmap reviews, should have been initiated years ago, but they are being prioritized now.
Advisor Efficiencies
The Ascend 2026 conference in Cancun united 1,000 advisors, destinations, and suppliers. The event featured a “Friends” theme from the 1990s, symbolizing ALGV’s commitment to being a reliable partner for advisors.
The conference agenda included executive discussions on helpful tools and four breakout sessions over two days. These sessions focused on using AI to streamline workflows and save time. Marks noted that advisors account for 80% of ALGV’s bookings and spend four-fifths of their time on administrative duties.
The company is working to build stronger AI tools into the backend of its operations and used the conference to crowdsource new advancements advisors want.
Additionally, ALGV introduced a new Advisor Portal. This platform enables advisors to review year-over-year performance, spot trends from the past few weeks, and customize reports regarding the brands, transfers, and travel protection they sell.
Veronica Bird, a Fora X travel advisor in Omaha, Neb., praised the new tracking capabilities. “I’m someone who loves statistics, and being able to see those numbers really motivates me,” Bird said.
New Initiatives
ALGV has reported a 20% increase in 2027 group bookings. To assist agents in selling groups despite high costs, the company is introducing a Group Quote Promise that provides a $500 bonus commission when ALGV matches a lower rate. If the tour company cannot match it, ALGV will offer a $750 bonus on the advisor’s next contracted group.
The company also launched a new Best Price Guarantee that offers rate matching for the life of the group at participating hotels, including when lower members-only rates become available.
The new flights were launched gradually. Four routes to Cancun were added from Detroit, New Orleans, Richmond, Va., and Tulsa, Okla. Two routes to Punta Cana opened from Raleigh-Durham, N.C., and Columbus, Ohio. Frontier Airlines handles the flights from Detroit, Sun Country Airlines manages the routes from Tulsa, and Breeze Airways operates the remaining flights.