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Trivago chief cautions over travel sector strikes

The boss of Trivago has issued a caution over the impact of strikes across the travel sector in Europe ahead of the summer peak.

Chief executive Axel Hefer told the PA news agency that if the current wave of strikes become the “new norm” it may start to impact demand for overseas travel.

He said: “When you travel you need predictability and to know what your experience is going to be like.”

Hefer added: “If this is the new norm with strikes coming out of nowhere, I think that will hurt the whole industry.


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“More people will shift from going abroad to going domestic, which is something we saw during the pandemic.”

The comments come as airports and airlines are facing strikes in the UK and across Europe amid disputes over pay during the cost of living crisis.

Heathrow, Glasgow and Edinburgh airports face industrial action while airlines have been forced to cancel flights due to ongoing strikes by French air traffic controllers.

However, Hefer said Trivago had not yet seen any impact of the strike fears in its booking data.

He told PA that travellers were reacting to the cost crisis by shortening the length of their stays abroad and switching destinations.

Instead of choosing previously popular destinations such as Spain, the US and Italy, holidaymakers are now opting for more affordable Greece, Mexico, Morocco and Turkey.

“Travellers are going for a similar experience, but at a slightly cheaper destination. We expect that to continue,” Hefer added.

First quarter results from Germany-based Trivago, which is majority-owned by Expedia, show the benefit of the overseas travel recovery and  the reopening of China after the lifting of Covid restrictions.

Net income recovered from a €10.7 million loss to a €9.9 million profit in the three months to March 31.

Adjusted earnings [ebitda] fell 12% to €18.6 million, as higher spend on advertising offset a 9% rise in revenues to €111 million.

The group said: “Travel demand on our platform continued to be robust in the first quarter of 2023.

“Our segments Developed Europe and Rest of World recovered from Covid-related travel restrictions that had been in place during the same period last year, and we started to ramp up our marketing activities accordingly.”

The improved first quarter revenue reflected “recovery in travel demand in those segments as well as the continued positive impact of increased average booking values mainly driven by higher average daily hotel rates”.

Which? Travel editor Rory Boland said: “The looming threat of strike action will no doubt be of huge concern to those with flights booked this summer, and in the event of disruption, it’s essential that airlines and airports work together to keep travellers updated of any potential changes to their bookings, and fulfil their legal obligations in the event of cancellations or delays.

“Travellers should also ensure they have travel insurance from the date they book their trip and always check the policy carefully, to ensure it covers all the eventualities you would expect – in particular, not all policies will cover travellers in the event of strikes by airline or airport staff, for example.”

More: Iata chief condemns ‘irresponsible’ travel strikes

Heathrow vows to operate ‘as normal’ as security staff walk out ahead of coronation

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