The commission is good, the itineraries are varied – and customers are loyal to agents, so isn’t time you gave more thought to selling coaching? Neal Baldwin reports
A lot of agents look down on coaching holidays, especially UK-based trips, viewing them as pretty drab and uninspiring.
But that’s a big mistake. Those in the know are quietly doing very well from a variety of days out, short breaks and seven-night holidays offered by the UK’s 150 coach tour operators.
Repeat customers
“Coach tours can be a great earner,” explained Travel Weekly columnist Maureen Hill, a consultant at Travel Angels in Gillingham, Dorset.
“Our clients love them, and the great thing is they generally take three or four a year, so it is solid repeat business for us.
“We’ve marketed them to clubs in the past and had big groups going away together. And the trips aren’t cheap, so it means good commission.”
Maureen’s experience is typical, according to the latest research on the coach tour market by Mintel. In 2006, almost six million people took a UK coaching holiday – the vast majority were aged over 55.
These empty-nesters are prime agent targets the baby-boomer market is now reaching retirement age, meaning the grey pound is becoming an increasingly important source of bookings.
Harness the grey pound
Indeed, the largest increase in population from now until 2020 in the UK will be the 55-64 year-old age range, and while their tastes are diverse, the one thing that tends to unite the market is its loyalty to travel agents.Shearings senior UK product manager Caroline Brown said: “Typical clients like to go in and chat with an agent about their requirements. Coaching is a great way for agents to establish a relationship with customers because the operators take such good care of people.
“We also get exclusive deals, such as private tours of stately homes that are not available to the public. The hassle-free nature of coach breaks reflects well on agents and they often benefit from additional holiday purchases.”
The knock-on effect can be significant, since the young-at-heart 55-plus market is well known for taking more holidays than average because of their higher disposable income and fewer work commitments.
But coach operators are not resting on their laurels. In a bid to widen their appeal, specialist themed tours are becoming increasingly popular to attract younger travellers.
Educational tours
Landmark days in the calendar, such as Mother’s Day, Valentine’s Day and days out at Ascot races, are now regular features alongside the ever-popular shopping and theatre breaks. 
In addition, Shearings, for example, has added educational holidays, with course in digital photography, painting, gourmet cooking and archery available.
Innovations such as collection from home and heavy investment in vehicle fleets have done a lot to promote the sector’s premium appeal.
Grand UK Holidays sales director Harold Burke added: “One of the most successful things we’ve done in the past two years is provide exclusive trips for individual agencies. They have been priced very keenly to compete with the last-minute offers you sometimes see in newspapers. It has built up a very good rapport in the community for agents. We have also dropped single supplements and offer free insurance, which are unexpected extras.”
Going green
The UK is also a hit when it comes to green concerns, doing away with the guilt of flying, while coaching is a great way of cutting down on carbon emissions.
“The older generation are more aware of their carbon footprint than people give them credit for,” said Bakers Dolphin Coach Travel managing director Tim Newcombe. “And it means not having to deal with the stress of airport delays.
“Perhaps the best thing about coaching is that it is not a discount-driven market. Seven days in the UK can be up to £450, so it is not cheap and cheerful. There’s very good commission to be earned – better than a cheap deal to the Mediterranean any day.”
Selling tips
- The typical coach passenger is over 55 years old. They don’t have a mortgage or children at home and have decent disposable income. They take several short breaks and holidays each year and will return to good agents
- Almost all coach operators pay 10% commission. And as the tours are unique, customers will not suddenly find their holiday being offered at a discount elsewhere
- Coach holidays represent a great opportunity for agents to develop new business. Operators have a loyal customer base, who often book several tours each year
- Most operators offer a free ‘door-to-door’ pick up and drop-off service
- Modern coaches cost as much as £250,000 and are fitted out with just 40 seats – offering increased comfort. Many have air-conditioning, DVD players, toilet facilities and offer refreshments
- Coach touring is seven times safer than going by car and customers have the reassurance of a professional driver and guide. Plus, there is no need for them to worry about sorting tickets or catching a train or flight
- There’s a surge in those born in the 1940s taking holidays as they reach retirement
- Coach tours offer great value for money and many operators do not charge a single supplement. Themed tours such as theatre breaks, ballroom dancing and nostalgia breaks are becoming increasingly popular
- Most coach customers still like to book their holidays in person rather than on the web
