Originally Posted by
Republican
I have a few questions with regards to Jet2's continued expansion. We've seen then rise from a relatively small and niche operator to the UK's second largest tour operator and it's all been done organically which is very impressive.
Can Jet2 grow in the same manner over the next 10 years as they have done in the past 10 years? Or do we think Jet2 has reached maturity?
If we are predicting further growth, where do we see this?
Any realistic suggestions of new bases such as Gatwick? Or will they focus primarily on growing existing bases? Will we see new destinations within Europe? There can't now be many beach destinations in Europe left unserved by Jet2. Do we see them adding new destinations that until now Jet2 has tended to stay clear off, the likes of Egypt, Morocco, Cape Verde, etc?
Unlikely IMO but could we see Jet2 launch their product from other source markets such maybe Ireland, Germany or Scandinavia?
As an travel agency owner, their success has been as a result of two key factors - excellent customer service (particularly during the pandemic when they were by far the best operator for refunds etc) and also, unlike TUI, they have fostered excellent relationships with the travel trade. In turn, this means we support them. Circa 50% of my companies overall business is with Jet2 Holidays - not necessarily on purpose, but they are just our go to as we know generally customers will repeat after travelling with them.
easyJet Holidays are probably the biggest threat overall to their current growth trajectory - whilst not offering the same level of service, they do price exceptionally well most of the time and are spending £££ on above the line advertising at the minute.
As I have previously posted, I do not believe they will launch Cape Verde anytime soon - the accommodation market on the islands is dominated by TUI. Egypt they did have on sale pre-Sharm terror attacks so it is a possibility but also a very price sensitive market and I am sure they will see better ways to utilise the aircraft.
There is still a lot of room for them to expand their current programmes from some of the smaller bases (BFS/NCL/EMA/BHX/GLA) without having to go far away from their core existing destinations
Personally I can see additional bases opening with the delivery of the new aircraft - BOH seems to be an obvious choice based on the local demographic and strong travel trade in the area, but wouldn't be surprised to see the like of NWI/EXT/ABZ/INV at some point in the future too