High-street travel companies with tried and trusted brands claim they will give their dot com rivals a run for their money when they go on-line.
Thomas Cook Interactive managing director Alexa Clark said that while start-ups such as lastminute.com, Expedia and e-Bookers have got a head start in the e-commerce arena, high-street names such as Thomas Cook will not have to spend time building brand credibility.
“There will be a big fallout among on-line companies when the bricks and mortar operators get their act together. Thomas Cook is a 150-year-old brand synonymous with travel. It’s trusted and people know we are going to be around tomorrow.
“Traditional brands can use the Internet to enhance their existing brand values, to expand their customer database and to diversify into new areas on the back of their existing reputation,” she added.
Thomas Cook Interactive will relaunch its Web site with an on-line booking facility within the next month. Airtours UKLeisure Group has already revealed its multimedia strategy and Thomson Travel Group will follow suit with an announcement shortly (see story back page). Thomson group development director John Wells said traditional retailers had a major advantage over the so-called ‘e-tailers’ in that they already had deals with most of the major suppliers. People also knew where to go if something goes wrong. However, Clark warned that on-line and off-line service and customer support must be seamless.
“Companies must deliver the service that people expect from the brand wherever they purchase the product. Discounts in shops must be available on-line,” he said.
Research carried out by Internet market research company Netpoll showed that 55%of on-line customers demonstrated some kind of brand allegiance.
Netpoll chief executive Mick Bloxham said: “On-line customers are no more fickle than off-line customers. They are the same people wanting an environment that is easy and familiar.”
He added the best way of engendering loyalty was through ease of use and a comprehensive selection of product. “People don’t want to move around lots of sites. They want it all in one place and they want to get a good deal.”
nÊ22% of all Internet users surf the net for information on travel. The only category that attracts more interest on the Internet is pornography.
nÊ9% of UKhouseholds have access to the Internet which compares to 25%in the USand 13% in Japan.
nÊThe number of worldwide Internet users is predicted to increase from 130m in 1999 to an estimated 350m in 2003.
nÊ25% of all Londoners have Web access at home. This compares to just 12% of people living in Wales and the West Country.
n Between 1997 and 2002 the world population is expected to grow by 6.6%. The on-line global population is expected to rise by 370%.