Sales turn a corner

OPERATORS are cautiously optimistic the market is beginning to improve but admit sales to tsunami-hit regions remain “desperate”.

After a slow start to the year, the trade has reported an increase in business although some remain down on last year. Unofficial reports put the market around 15% down.

The affected areas are still struggling to pick up business, leaving the Caribbean and the US to take the lion’s share of the long-haul market, particularly thanks to the weak dollar.

TUI UK commercial and retail director Derek Jones said Thomson Holidays is improving on the 10% drop in sales experienced at the start of the month, a trend he expects to continue.

“There’s some positive news. Over the weekend we saw the market coming back quite nicely.”

However, Jones admitted sales for the afflicted regions were “desperate” – and said this was something that could take time to change.

Cosmos commercial director Stuart Jackson said this weekend and next weekend would be key. “There has been some apathy in the market so far.”

Agents also reported improved sales, particularly in unaffected destinations.

Midconsort chief executive Charles Eftichiou said: “January is starting to move and we’re up on last year. Although it’s small numbers percentage-wise, it leaves me optimistic for the year.

Suffolk-based Johnson Stevens Travel general manager Peter Cansick said: “We’ve started with a bang, which has surprised me, and the US and Australia are booking well.”

Advantage MD John McEwan admitted bookings for the Indian Ocean had fallen by 35%-40%, pushing overall sales down 6% on this time last year.

Travelcare reported the first 10 days since Christmas were down 20%-30% but sales have now recovered beyond last year’s levels. General manager Amanda Williams said: “Fingers crossed, things are kicking in. It’s taken a little more time than usual but the situation is definitely improving.”