TTNG reports ‘lates shifting later’ amid consumer caution

The market in 2025 has proved to be “solid” so far this year, according to The Travel Network Group – but lates are getting later as many customers remain cautious about spending.

Vim Vithaldas, TTNG’s chief commercial officer, told delegates at the consortium’s conference that 2024 was a record year for the group and for the industry as a whole. Describing 2025 as “solid” so far, he said passenger numbers were up 3% year on year, with the average booking value up 10%.

He noted how there were two peak booking periods last year, with family sales “coming through in the lates market”.

 

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“We are seeing that again – plus payday peaks [with] more and more marketing around payday, and cruise months and touring months.”

 

He said customers in the family market in particular were “trying to find value for money”, while sales for older customers and the luxury market were “performing well”.

Vithaldas also flagged cancellation rates “creeping up” to about 4% in the past two weeks as final balances become due. 

“People are thinking twice,” he told delegates, adding that the economic backdrop appears to be “doom and gloom” according to news headlines, so “people are not necessarily feeling rich”.

Agency owners are also contending with higher national insurance costs, wages and business rates.

However, Vithaldas noted that  unemployment is low, inflation is steady, interest rates are falling and real-term wages are up 2.1% “so we should all be feeling slightly wealthier”.

He said UK consumers are “protecting” their money for travel but are proving “tougher to convert”. 

Gary Lewis, group chief executive, said there were “always concerns” about discounting. He said he had seen some online this year, adding: “We are seeing the same struggles as last year for the family market.”

The group has welcomed 178 new members since the last conference in December 2023, although others have moved on. Lewis said: “We are seeing gradual growth over the years.”

The group’s own retail shops now total 26, driven largely by members selling their businesses on retirement.

The consortium also unveiled an AI tool called TTNG Digital Assistant for agents to use to help “wow” clients.