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Bookings back – at a price: Comment by J.Skidmore
Travel agents and tour operators throughout the country are reporting a surge in bookings post Iraq.
Of course, that surge is only taking most companies back to near where they would have been without the crisis.
And the bookings are coming at a price – a very low one.
Holidaymakers are becoming so conditioned to cheap deals they now think that forking out a couple of hundred pounds for a week in Greece is a bit pricey.
It´s not just the mass market companies that are having to discount. Upmarket firms like Sunvil and Tapestry are also offering good deals to stimulate the market.
And the biggest discounts are in the luxury cruise market. Some five star liners are now cutting prices by up to 75% – something that would have been unthinkable a few years ago.
Margins in this industry are going to remain paper thin for a long while yet.
Read previous comments by Jeremy:
09-May-2003 War of words is healthy: Comment by Jeremy Skidmore
02-May-2003 Management must share the pain: Comment by Jeremy Skidmore
25-April-2003 Home workers no longer the poor relations
25-April-2003 Appointment of Tobias is welcome
17-April-2003 Domestic operators must help the trade
11-April-2003 Timeshare offers retailers a crumb of comfort
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