Blue Bay revises growth target in ‘tough’ market


Juliet Dennis


Blue Bay Travel has revised its three-year goal and “pivoted” its business to offer more third-party and lower-priced deals in reaction to a change in consumer booking habits in the current market. Chief executive Alistair Rowland


said market conditions had made 2022 “tougher” in some ways than the last two for the OTA and tour operator, which specialises in long-haul holidays. The company was significantly


affected by this year’s “unprecedented” flight disruption, while the weak exchange rate with the US dollar has proved “an unexpected headache”. Describing September trading as


“disappointing”, he said: “Normally September is the ‘second peak’ for the long-haul market. “We cannot manage the things


beyond our control – foreign exchange, an untrusted government, the cost-of-living crisis. All of it is affecting the value of long-haul [holidays]. You have to pivot your business to stay relevant.” Rowland now envisages the


business will reach its targeted £100 million in turnover by the end of 2025 instead of 2024. It expects turnover this year to be about


£60 million – still 70% up on last year. “It’s frustrating but you can’t


change customer behaviour,” he said. Blue Bay has had to adjust prices


and offers, switching to lower-priced holidays and different destinations as its normal “value-added” deals fail to secure the expected level of bookings from its 350,000 subscribers. “Clients are searching the same


amount [for deals] but not biting,” said Rowland. “In the short term, we need to accept clients are not booking beyond 12 months; it’s a very price- sensitive market. Our exclusive packages are more about ‘absolute value’ than overall price. But right now it’s all about the overall price.”


Daniels departs First Class for sales role at new Maldives DMC


First Class Holidays head of national sales Katie Daniels has left the operator to join new destination marketing company Koveli Travel. Daniels starts in the new role of global sales director at the Maldives specialist on October 31. She will be tasked with launching Koveli Travel’s portfolio to the trade in the UK and globally.


6 13 OCTOBER 2022 The business mix has also shifted.


Traditionally, 80% of Blue Bay’s sales are its own contracted deals, but in the second half of this year that has reduced to about 70%. He added: “We’re adding more


third-party stock. It’s right for now but it’s not what Blue Bay is about.” A third of Blue Bay’s sales are


usually for beyond 12 months, but that is down to about 3%. Rowland expects the rest of 2022


to be “bumpy” but hopes by January consumers will be ready to book. “In January, the message will be


about price, locking it in and added value. Until then, trading will be flat; people are just too worried.”


Hays Travel returns to profit


for first time since pandemic Hays Travel reported a return to profit for the first time since the pandemic for the 12 months to April 2022. The agency reported a profit before tax of £14.3 million from its operations spanning retail, online centres, homeworking,


foreign exchange and Independence Group. i Hays Travel IG Conference, page 10


Alistair Rowland


Perfect Getaways seeks 15 salaried homeworkers


Perfect Getaways is aiming to recruit up to 15 homeworkers by 2024 and add five more retail shops by 2025 after surpassing the £12 million turnover mark for the first time this year. Diane Ibson became


the business’s first salaried homeworker in March after joining the agency, based in the northwest of England. Ibson previously worked for Blue Bay Travel. Perfect Getaways director


Dave Palmer said a second homeworker is due to join the growing team in the next month. To expand the company’s


homeworking division, Palmer is looking for “experienced travel people” from across the country. “Ideally we would like between


10 and 15 homeworkers in the next year,” he said. “They are salaried positions,


with the commission paid on top of that, which makes it attractive. “People who have left travel


and want to come back are always quite good for us.” Since June, Palmer has hired 13


staff members across the business, all of whom work in the agency’s eight shops. Perfect Getaways now employs 42 staff. He said he would like to add five more shops across Cheshire and Merseyside. The agency is a member of The Co-operative Travel Consortium.


Twynam to join Scenic Group as UK & Ireland managing director


Former Azamara UK boss Richard Twynam has joined Scenic Group as UK and Ireland managing director. Twynam will take up the position on October 31 and joins from healthcare firm Prenetics, where he was managing director of travel and cruise testing. In his new role, the industry stalwart will oversee both Scenic and Emerald Cruises.


travelweekly.co.uk


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