TUI predicts clear skies as millions of Brits book summer holidays
A UK travel company has predicted that it will be flying high this summer with capacity expected to hit 80 per cent of pre-pandemic levels.
TUI, which operates airlines, hotels and cruises, has already seen 2.8 million customers book holidays for summer 2021, with capacity expected to be at 80 per cent of 2019.
In the first quarter of the year, the group’s revenue fell by 88 per cent to €478m, down from €3,850.8m in the first quarter of 2020.
The group attributed the decrease to a result of extended travel restrictions across key European markets, with only 116 of its 229 hotels open at the end of the quarter.
However, with summer bookings increasing, the company said that its business model is a long-term “success factor”.
TUI commented: “[Our] integrated business model continues to be considered a success factor for the long term and remains a core element of our strategy.
“It enables us to flexibly adapt our programme as we gain more visibility, maximise asset utilisation and yield in our airlines, hotels and cruise ships and ensure our customers have a safe and enjoyable holiday.
“Our focus on the end-to-end delivery of safe holidays already resulted in the successful partial recommencement of operations during summer 2020.
“Destinations have recognised this strength of TUI’s, as the governments of Greece and the Balearics selected TUI to implement pilot programmes in Summer 2020 aimed at restarting tourism in their regions.
“Our strong customer base and scale gives us an advantage in terms of brand awareness and distribution, securing attractive terms from suppliers, and in gaining greater insight into customer behaviour.”
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