Consumers will “vote with their feet” if the travel trade does not sort out the confusion of financial protection.
Speaking at World Travel Market, legal adviser to the Association of ATOL Companies Alan Bowen said consumers would start booking all their holidays direct online if the travel industry is not able to offer financial security.
“If the travel industry does not have a unique selling point, then consumers will bypass us altogether. Customers don’t care about protection until they have a problem – they just want a cheap holiday.”
He urged the industry to take action and establish a clear and fair system.
“If we don’t put our house in order, we may not have a house to put in order. We’re waiting for the disaster that we don’t realise is around the corner,” he said.