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Shanks leads first foray into e-commerce

FIRST Choice’s new managing director of UKdistribution Peter Shanks is spearheading an e-commerce revolution as the operator looks to build its electronic distribution channels.


Shanks will develop First Choice’s Internet, digital TV and telephone booking capabilities along with the traditional high-street shops.


The former Going Places managing director will also head Holiday Hypermarkets which First Choice now owns outright.


It follows the £45m acquisition of the stakes owned by West Midlands and United Norwest Co-ops, as exclusively revealed in Travel Weekly (December 13).


“We need to have a balance of retail and electronic distribution,” said Shanks. “It is unchartered territory and we need to explore every opportunity.”


Shanks said a new bookable Web site linked to its Travel Choice retail network – Travelchoice.com – will be launched in January, while its other operator sites will follow during the year.


It will enable bookings to be accepted via TV, the Internet and will also be linked to the operator’s call centre in Scotland.


Group chief executive Peter Long said: “E-commerce presents us with an ideal opportunity – ignore it at your peril.


“We are in the fortunate position where, as an established tour operator, we do not have to build the brand as start-up Internet companies have to do. I can see it representing 25% of the business in two or three years’ time.”


Long said they will also develop Travel Choice Express shops which are currently in 40 ASDA superstores. The aim is to reach 100 in 18 months. First Choice, which now has the equivalent of more than 600 shops, will also add to the existing 21-strong network of Holiday Hypermarkets. Five more are already in the pipeline with further additions to follow next year.


Long said:”The Hypermarket concept has been well received by the public and competitors, who were all at first sceptical, but are now changing their view.”


He said the retail operations, which made a £7.4m loss in the year to October 31, will begin to make a profit by 2002.


Meanwhile, chairman Ian Clubb has confirmed he will stand down as full-time chairman at the end of January and continue the role on a non-executive basis.


Long will also hold talks with current deputy managing director of UK distribution Peter Brown, who held operational responsibility for the division prior to Shanks’ appointment.

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