When Peter Sontag travels, he often hits the road on his Harley-Davidson motorcycle. But customers of his company, USTravel, the [...]
October 1 1993 by Jonathan Burton
When Peter Sontag travels, he often hits the road on his Harley-Davidson motorcycle. But customers of his company, USTravel, the third-largest travel agency in the
Want pizza for an in-flight meal? Need an immediate visa for a last-minute trip to
“I’d like to create the perfect service delivery system,” explains Sontag, 50, who co-founded USTravel in 1986 and serves as chairman and CEO. “I enable you to do business elsewhere in person. The objective is for you to be able to do it flawlessly.” Notes Laura West, the manager of a USTravel office in
Times are tough in the travel industry. Commercial airlines, for example, have lost $10 billion since 1990-more than they made since the beginning of commercial flight. The Gulf War and sporadic terrorism have kept Americans close to home, and the recession has encouraged executives to curtail travel. Moreover, videoconferencing is on the rise: Some analysts estimate it could replace up to 25 percent of corporate travel within the decade.
Fighting such currents, Sontag has made considerable progress. USTravel, a subsidiary of San Diego-based PS Group, has 2,300 agents at more than 900 offices in the
Sontag says he would consider pairing with smaller competitors or even with American Express or Carlson. That’s practical thinking, not just contingency planning: Consolidation in the industry has been brisk, and many
With increased size comes tremendous clout: USTravel now issues 12,000 airplane tickets every day, and Sontag boasts that the airlines do “virtually anything we ask them to.” For a traveler, this can mean a free upgrade or money back on a non-refundable ticket. For Sontag, each ticket is another 10 percent commission from the airline.
Sontag is part new-age executive, part old-fashioned marketer. He believes in
motivating and empowering employees, and he leads by example. Each weekday, no matter where he is, Sontag sends a computer message to his entire work force. Dubbed “Petergrams,” these brief missives generally involve inspiration, praise for an employee, company news, or a personal anecdote. A recent Petergram discussed creativity and innovation: “Ideas are useless unless they are used.” Another praised a USTravel agent who drove a client to the airport to catch a flight.
“It’s important that everybody is on board and understands what we’re trying to accomplish,” the CEO says.
Sontag spent 186 nights on the road last year, but he’s happy to hop off the global treadmill. His perfect vacation spot?
If Sontag realizes a dream of becoming a