BUSINESS NEWS
Jet2 lays out plan for personalised marketing activity
Jet2 aims to be “at the forefront” of developments in personalised marketing to customers, according to chief executive Steve Heapy. He noted “the landscape of
marketing is changing rapidly” and said: “We’re at the forefront of that change with our tech partner Adobe.” Heapy argued that “everyone
is trying to get to one-to-one marketing” and said: “We’re building a more personalised marketing platform with Adobe.” This would enable the company
“to run several million marketing messages at one time”, he said.
Steve Heapy
Delta chief exec hails profit and says brand is ‘stronger than ever’
Jet2 reported a pre-tax profit of
£551 million for the 12 months to March, down 7% on the previous year despite a 4% rise in revenue to £7.5 billion and 5% increase in passengers to 20.8 million. The company reported an
increase in capacity for the coming winter of 400,000 seats, and revealed plans to add 4% capacity for next summer following a 7.7% increase this summer on last.
Delta Air Lines reported a pre-tax profit of $2 billion for the three months to June off the back of a 14% rise in second-quarter revenue to a record $17.7 billion. Chief executive
Ed Bastian hailed an “industry-leading performance” and suggested: “It is clear Delta’s brand and industry position are stronger than ever.” He noted the quarterly profit
came “while absorbing the highest quarterly fuel expense in our history”, saying this reflected “broad demand strength” and “growing
brand preference and momentum across our revenue base”. Bastian added: “We expect momentum to carry into the second half with double- digit margins. For the full year, we’re affirming guidance we set at the start of the year to grow earnings by 20%, overcoming a
multi-billion-dollar fuel headwind.” Delta – shareholder in and US
joint venture partner of Virgin Atlantic – reported “modest capacity growth” for July to September but said: “We expect revenue to grow [in the] mid-teens.”
Jet2 to build on Gatwick success Ian Taylor
Jet2 aims to increase its 20% share of the UK package holiday market following its launch from Gatwick in March, with chief executive Steve Heapy noting the airport brings “a whole new customer base”. Speaking as Jet2 reported full-year
results to March last week, Heapy noted “we remain underrepresented” in the southeast and argued: “There is a compelling opportunity to increase our market share across the south of England [where] brand awareness is significantly below what it is in our established markets.” Group chief financial officer Gary
Brown insisted: “We’re confident in our ability to capture market share.” Jet2holidays’ share of the market
is about 20% given it holds an Atol for just over seven million passengers out of total Atol capacity of 35 million. Jet2’s overall capacity this summer
travelweekly.co.uk
is up almost 8% on last year, but six percentage points of the increase are due to the launch from Gatwick and increased flights from Luton and Bournemouth. Capacity at the group’s more established bases is up just 1.8% on summer 2025. Package holiday bookings are
expected “to be about 60%” of the total this year, according to Brown, down from 63% last year. He attributed the decline in share to “a later market because of the war” and noted: “Packages will be a little less than 60% at Gatwick.” However, the Jet2 chiefs
downplayed any suggestion that an increase in flight-only sales was an issue, despite package sales accounting for 80% of group revenue in the 12 months to March. Heapy said: “We’ve penetrated
the package holiday market to a great extent [and] probably neglected our flight-only proposition. Every
Jet2 aims to build on Gatwick launch
customer who gets on board helps fill our aircraft.” Brown added: “People who
take flight-only are often package customers of the future.” Heapy hailed a “strong set of
results”, saying: “The reason for our success is a fully integrated flight and holiday product. We control everything that affects your holiday. Customers don’t want someone who throws together the components of
a holiday and leaves them to it. We look after them at every stage.” He reported bookings this
summer up 7.1% to date against a year-on-year capacity increase of 7.7%, but said: “There is a strong lates market.” Brown said: “Holiday pricing
is holding up really well”, but he described flight-only bookings as “more price sensitive” and “a little down – in the mid-single digits”.
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