NEWS


Agents’ prospects for summer sales ‘stuck in limbo’


Juliet Dennis


Retailers are clinging on to hope overseas travel will resume in May or June but say sales remain in “limbo land” until the government produces a roadmap out of lockdown. Optimism has been boosted by


the speed of the vaccination rollout and client demand but tempered by uncertainty and negative messaging about overseas travel. The government is due to reveal


its plan for the way out of lockdown in the week starting February 22. Fred Olsen Travel head of


commercial Paul Hardwick said he was “really hopeful” overseas holidays could restart by May or June. He said: “It still feels a long way


off at the moment but with the vaccination rollout progressing really well, and May still 13 weeks away, so much can change. “We have to hope Boris includes a


clear plan on how borders and travel will resume as we move towards the summer, which would in turn create confidence in consumers to book their holidays.” Premier Travel reported strong


forward sales for the key summer months. But director Paul Waters


said gains from forward bookings were being “eroded” each week the industry awaits a start date. “Clients still want to travel this


summer but want to hold off booking until they see what the developments are in the next month,” he said. Polka Dot Travel director Mark


Johnson said: “Last week, we booked quite a few holidays, but for September onwards, and we have people rebooking holidays for October. The problem is there’s no start date. “I have to remain optimistic, otherwise what’s the point? The


‘Clients want to


travel this summer,’ says Paul Waters


vaccination programme is key and demand is there, but it’s so frustrating because you can’t plan.” Miles Morgan Travel owner


Miles Morgan said a “normal British summer” in terms of outbound travel seemed unlikely. He said: “Everything hinges


on a few things: the government’s decision on [travel in] the summer; the decision on furlough, which is massive; and, from the perspective of bricks and mortar shops, the decision on business rates. We are generating sales but we are stuck in limbo land.”


Low deposits ‘can waste our time’ Samantha Mayling


Low deposits are stimulating demand for luxury holidays, but a leading agent fears they risk leaving the trade exposed to cancellations. Sandra Corkin, owner of Oasis


Travel in Northern Ireland, said she was “concerned” about low deposits being offered for high-end holidays. Noting “appetite for bucket-list


trips in 2022, which is really good”, she warned: “Our staff are having to put a lot of hard work in to get a £10,000 booking with a £99 deposit. “People will walk away from a £99


deposit, but not £500. “A lot of agents agree. I don’t want


it to seem like we’re not supporting operators, but we don’t want it to be


travelweekly.co.uk


widespread. Low deposits are OK for cheaper holidays but not bucket list or luxury. We can’t afford people to take up our time.” Paul Cleary, managing director of


Caribtours, said the luxury operator had dropped deposits from £300 to £150 to stimulate bookings due to “a lot of completely understandable customer hesitation” amid uncertainty when trips cost £10,000 on average. He said offering lower deposits,


“not quibbling” about cancellations and amendments and collecting balances “at the last minute” was “all we can do in a pandemic” to drive sales. Cleary said Caribtours would


shift to a 10% deposit rate when it emerges from the crisis. “It is appropriate we move back to higher


The Advantage Travel Partnership, said low deposits were “always a controversial subject”. “Striking the balance between


encouraging customers to commit and ensuring the deposit is enough to lock the customer in is key,” she said. Cookes said cancellations ahead of


Sandra Corkin


deposits, because we sell expensive holidays,” he said. “There needs to be more commitment.” Kelly Cookes, leisure director of


balance-due dates were often due to changes in customers’ circumstances rather than finding better deals elsewhere, and people needed longer to save for more-expensive holidays. She agreed low deposits


“stimulate the market” and reported little evidence of suppliers “going lower than they usually would” due to the pandemic. She said ensuring suppliers offered flexible booking terms was “critical”.


4 FEBRUARY 2021 7


PICTURE: Steve Dunlop


PICTURE: Shutterstock


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