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Old 22nd Sep 2006, 07:59
  #249 (permalink)  
wawkrk
 
Join Date: Jan 2004
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Package holidays

It surprises me that Thomson have not fought back at LBA against Jet2.
Jet2 have proved in spectacular style that the market is there and that it was not being fully exploited in the past. Increasing numbers of passengers still do want to travel to all the popular resorts. Many are probably still using the same Hotels and accommodation that was in the traditional package holiday.
Is the Thomson style business model dead?
I think it is. In the past, holidaymakers had to travel on the so-called change-over day at their chosen resort. Now, they can travel any day, for an odd number of days not just 7 or 14 days.
As in a previous comment I made, Thomson had maybe 1 or 2 flights per week to Malaga (none next summer)from LBA, Jet2 now have 14 757 flights per week! This is about the same size as the whole Thomson programme used to be from LBA in the good old days.
Thomson have been relying on timid people being afraid to organise their own holiday but maybe at LBA, there are fewer of these people than at some other airports.
All these changes must also be also having an effect on the resort hotels but I think a positive effect.
Probably with a tour operator, the hotel received a hugely discounted package payment and had to wait 6 months or more to collect. The private traveller pays slightly more, cuts out the middleman, and the hotel receives immediate payment.
If Thomson accept this trend, then I cannot see where their future lies with the present business strategy. Are the Thomsonfly low cost flights too little too late and at the wrong airports?
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