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‘We’ll grow it alone’, warns Barrhead boss

Barrhead Travel has warned it will further escalate its in-house tour operation if suppliers’ commercial terms become “unrealistic”.

The Scottish agency is planning to step up its tour operation this year, doubling the number of passengers it takes away to 20,000.

Barrhead’s long-haul luxury division has completed its first full year of tour operating and chairman Bill Munro said product has been “flying off the shelves”.

Munro said: “Having dipped a toe in the water, if the vertically integrated tour operators’ commercial terms became unrealistic it would be easy enough to escalate our 
bed-buying and flying programme.”

He added Barrhead was happy to start working with other independent agencies. “Some have said they cannot compete with us on product and price so we would be happy to supply. We have already had discussions with two or three people.”

Referring to Tui Travel’s plans to give independents the choice of net rates or reduced commission in 2014, Munro warned that the operator risked alienating many agents.

His comments followed Barrhead’s acquisition of The Holiday Specialists, a Falkirk-based cruise agency for about £3 million.

The company employs 60 people and has an annual turnover of 
£33 million in online cruise sales.

Barrhead Travel is also launching a mobile website and app, giving clients the ability to browse more easily, check holiday details or settle accounts.

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