Internet became such an important tool in tourism industry, not only because it allows, too achieve products and services through its electronic channel but also because it represents a huge information environment. The travel industry is an intensive user of information technology (IT) for reservation, accounting and inventory management functions. global distribution systems (GDS) such as Galileo, Sabre and Amadeus which are used for reservations, information search, client management and reporting. IT has helped in reducing costs and improving service to customers. Travel and tourism is an industry sector that is highly dependent on up-to-date, accurate information. There are potential problems associated with travel agents having multiple software systems that are not inter-connected. The Internet has tremendous potential for creating business opportunities for travel agents in India. Particularly the Internet, have created enormous opportunities for traditional travel agencies to target their tourism offerings to a wider market. In response to the increasing demand for tourism information by the travelers, many travel agencies have established websites to promote their services and products. These websites plays an important role in mediating between customers and companies as a channel for information acquisition and business transactions. In the beginning, travel agency websites were simply used as an ‘online brochure’, in other words, providing static in-formation for the online consumers to view. Today some travel agency websites are starting to find other uses of their websites, such as providing interactive functions and personalizing and customizing its contents based on the characteristics of their target markets. Travel agencies have come to realize that their websites serve as a 24/7 extended office to their customers and represent the quality of their products and services as well as their reputation. Facing growing competition from major travel web sites and travel supplier consumer-direct marketing, traditional agencies are under intense pressure to expand profit margins and lower operating costs. Travellers are more demanding than ever, and travel suppliers are distributing their products through an increasing number of booking channels. As a result, travel agents are tapping into multiple web sites and other sources, and working across multiple platforms to find more options for travelers. The extent to which consumers are prepared to book holidays online or direct with tour operators is critical to the debate about the future of the travel agent, so this issue was considered by means of a ‘pop up’ questionnaire. The evidence presented here suggests that the way forward for travel agents is actually through a combination of Internet technology and specialization to provide customers with added value. By ‘unpacking’ the traditional package holiday product using the latest technology, travel agents are able to ‘mix and match’ a variety of suppliers from transportation to accommodation and combine these components into one selling price. Tourism represents a unique segment from the business environment because the services achieved cannot be tested before the purchase. Travelers have to believe the indirect or virtual experience. This is why the way you present the travel destinations is one of the most important success factors. Potential travelers can choose between contacting a travel agent and going online when planning a trip. Travel agents are having quite a success in creating professional catalogues and brochures, where consumers can find important and well selected information combined very well with nice photos, useful tips and tricks, guiding maps and so on.