TUI Travel has cut 40% of the chalets it offers out of its three core ski brands.
Speaking at the launch of the Crystal Ski Industry Report 2009, Crystal managing director Mathew Prior said the reduction in the number of chalets, which can be more expensive than traditional hotel or self-catering, are in the Crystal, First Choice and Thomson ski programmes.
He expects the chalet reduction to be temporary in light of the economic climate. “The 40% capacity cut is not industry wide; we’ve been more aggressive than anyone else as it is a small part of our programme (amounting to less than 15%).
“Chalets have a lot of fixed costs. You can renegotiate the lease cost of the chalet, but you still have to pay for staff and food and wine.
“You don’t have the option of selling chalets any cheaper than last year, there were a lot of empty chalet beds, particularly in March. Last year people were selling chalet beds for £199, and that was unsustainable.”
Prior also announced the launch of a new cut-price programme, Crystal Ski Plus, which focuses on the basic product including flights, transfers, lift passes, ski hire and accommodation, ranging from self-catering to full board. The programme, for 2009/10, will offer lead-in prices of £479 per person, and will initially feature six properties in La Plagne and Les Arcs.
The changes come following a 13.3% fall in British ski holiday sales for the 2008/09 season, with just over one million customers, despite excellent snow and strong early sales. The tour operator sector and the independent travel sector experienced a 15% fall in sales, although the schools market remains stable.
France remained the most popular destination despite a 0.5% decline in customer numbers – with a 37% share of the market – while Austria and Italy saw a 1.8% and 1.1% increase in their respective market shares.