WORRIED operators are ready to slash prices if sales
do not pick up over the World Cup period.
The traditionally slack time between mid-June and
mid-July is reported to be particularly bad as football fans opt to stay at
home to watch England on television during the competition, which runs from May
31 to June 30.
Some operators have been accused of not cutting enough
capacity to traditional summer-sun destinations, exacerbating the situation.
Industry figures suggest clients have been attracted
to cheap end-of-May deals allowing them to take advantage of the long weekend
and get back home in time for the big kick-off.
Avro commercial director John Fitz-Gerald said: “There
is always a trough from mid-June to mid-July and this year is no different. A
number of big operators have over-committed in June, as they always do.
“Thomson took capacity out of Florida but has added it
in Tenerife. Capacity in Europe has gone up this year instead of down,” he
said. “Palma will be a bloodbath this summer.”
But Fitz-Gerald predicts a boom if England is knocked
out of the World Cup early. Sales leapt by 30% in the week after England’s exit
from France ’98. Cosmos commercial director Stuart Jackson agreed the trade
will be nervous while England remains in the competition.
One agent, who asked not to be named, said: “Sales are
slow and people are buying last minute for May and June. In terms of capacity
during June I’ve heard some people are doing well. Discussions I’ve had suggest
First Choice is selling okay but Airtours is struggling.”
Another industry insider blasted the big operators for
not cutting enough capacity.
“Thomson and Airtours are committed to their flying
programmes over 26 weeks and this leaves them exposed. They have not profiled
the capacity cuts like other operators,” he said.
Thomson flight-only prices for the end of May lead in
at £89 return to Minorca, although big discounts for June are not expected for
another couple of weeks.
TUI UK commercial director Derek Jones defended the
operator. “We are not seeing any signs England being in the World Cup is
slowing sales for the later half of the month. We did not add any capacity to
specifically target the Golden Jubilee holiday.”
JMC sales director Ian Derbyshire said June had sold
well after Christmas but had performed poorly since Easter.
“There are tactical deals around for June, as always.
We’re waiting to see what happens in the lates market,” he said.
The extended bank holiday at the beginning of June is
offering operators and agents hope, although consumers are booking late.
Cheapflights.com manager holidays and short breaks Liz
Faherty said: “Sales for the bank holiday weekend have gone through the roof
and we do have deals on our website.”
First Choice and Airtours
were unavailable to comment as Travel Weekly went to press.