Tag Archives: Travel agents

Summer lates boost keeps Tui Travel on course

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Summer lates boost keeps Tui Travel on course

Sep 22, 2011 07:50AM GMT

Summer lates boost keeps Tui Travel on course

A strong performance in this summer’s lates market has helped Tui Travel keep on course to meet its full year expectations.

Improved margins for late sales in the UK and Germany have helped boost Europe’s largest travel group. Winter 2011/12 trading to date is described as “satisfactory” overall with differentiated holidays performing well, particularly in the UK and Nordic regions.

Winter capacity has been cut by 7% from the UK to Egypt and Tunisia following political upheaval in North Africa. This has helped push the average selling price up by 6%, also reflecting higher fuel and accommodation costs.

Differentiated holiday sales are up by 7% year on year while the percentage of online sales has grown by three percentage points to 37%. The group has sold 10% of it summer 2012 programme from the UK, described as being broadly in line with last year.

Bookings are currently 11% down, partly reflecting a 4% drop in capacity, while average selling prices are up by 10%.

“Margin performance is a key driver for the group. We anticipate that in the UK, cost inflation will be just over 5% for summer 2012 and our prices are designed to recover these input costs in this competitive market,” the company said in a trading update today.

Chief executive Peter Long said: “We are pleased with our performance in the lates market for summer 2011, and most of our programmes are now almost fully sold.

“We remain confident that the full year results will be in line with our expectations. Trading for winter 2011/12 is satisfactory overall, but we are anticipating a slow recovery in trading to Egypt and Tunisia, and have managed our capacity accordingly.”

He added: “Our focus remains on differentiated product, maintaining margins, prudent capacity management, and delivering our turnaround and cost savings programme. The flexibility of our business model means that we are well placed to achieve this.”

AAC warns of Atol reform’s ‘hidden dangers’

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AAC warns of Atol reform’s ‘hidden dangers’

Sep 02, 2011 08:00AM GMT

The Association of Atol Companies has issuing a stern warning over “hidden dangers” within planned government changes to the Atol financial protection scheme.

The AAC claims that hundreds of thousands of customers could lose protection when the rules change on January 1, 2012.

It highlighted concerns in the proposed changes two weeks before the deadline for consultation on the reforms by the Department for Transport.

Of greatest concern to the AAC is a plan to withdraw protection for refunds to those yet to travel if the only purchase made is a flight.

The trade body’s legal advisor Alan Bowen said: “Hundreds of thousands who might be visiting friends or relatives or travelling to their own accommodation abroad, stand to lose valuable protection, because despite the fact that they are only booking a flight, they will still be charged the usual £2.50 Atol Contribution fee.

“These proposals risk the whole Atol scheme losing credibility when some Atol sales will still offer refunds and repatriation and others won’t.

“At present it seems most travel agents and customers have failed to recognise the danger ahead and we urge all those affected to contact their local MP and respond to the consultation.”

For over 30 years customers booking a flight, whether chartered or scheduled, from an Atol holding company could be certain to receive a refund if the company ceased trading before the travel began.

AAC chairman David Mortimer said: “Within the last 14 days 50,000 people who booked with Holidays 4U have seen how important that right is, and their story was replicated in 2008 withthe collapse of XL and last year with the failure of Goldtrail when over 140,000 passengers claimed refunds.

”The ramifications of these proposed changes could badly affect the viability of agents, which underlines the importance of everyone participating in the consultation process.”

The AAC is advising and assisting members who need guidance in wording their response to the consultation, which closes on September 15.

CLIA: Cruisers happy with travel agents

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CLIA: Cruisers happy with travel agents

We Travel 2U office
By Donna Tunney
The cruise vacation experience gets high marks from consumers, CLIA’s 2011 Cruise Market Profile Study found, and so do travel agents, who continue to book the lion’s share of cruises.The study, released Aug. 9, found that 68% of cruise vacationers book through an agent vs. 45% of non-cruise vacationers, and 93% of cruisers express satisfaction with their agent.

Nearly 60% of cruisers said they were “very” or “extremely” satisfied with their agents.

CLIA said the percentage of consumers who booked through an agency was likely higher than the number cited, because some people might not realize that they made their online bookings through an agency website.

And 66% of consumers say professional designations encourage them to use an agent.

The study, conducted by TNS Global Market Research, surveyed about 1,300 past cruisers and non-cruisers to determine vacation preferences and attitudes, plans for future vacationing, spending patterns, agent usage and other topics, drawing comparisons among numerous types of vacations.

Market projections based on the current population and the study results suggest that in a U.S. population of 304 million, 73 million Americans have cruised before and 36.1 million are “likely” to take a cruise vacation in the next three years, CLIA said.

The core target market consists of adults age 25 and older with a household income of at least $40,000.

Consistent with previous years’ studies, the 2011 report found that 94% of consumers rate cruising as a satisfying vacation experience, and 45% rate a cruise as “extremely satisfying.”

Key influencers in selecting a cruise vacation include: the destination, 35%; the cost, 23%; the overall experience, 19%; the ship, 12%; and onboard facilities, 11%.

“Based on analysis of responses to the Cruise Market Profile Study, the cruise industry can be optimistic about its continued growth and success,” said Christine Duffy, CLIA’s president and CEO.

In other notable findings of the survey:

• 50% of noncruise vacationers expressed an interest in taking their first cruise within the next three years.

• The chance to visit multiple destinations on a cruise was cited by 56% of respondents as much better or somewhat better than other vacation categories.

• The Caribbean leads the Top 10 list of where consumers plan to take their next cruise vacation, followed by Alaska, the Bahamas, Hawaii, Bermuda, Mediterranean/Greek Isles, Europe, Panama Canal, Canada/New England and Mexico.

• Nearly one in four of the total U.S. population has cruised at some point in their lives, up from 20% in 2008.

• The median age of the 2011 cruise vacationer is 48, and the median household income is $97,000.