News

Agents report shift in demand to after summer 2021

Agents are reporting a significant shift in consumer demand to the end of this year and 2022.

The trade has continued to see sales fall for the peak months of July and August as holidaymakers give up hope of an overseas summer holiday this year.

Agents blamed the recent removal of Portugal from the green list as the final straw for many customers.

Advantage Travel Partnership leisure director Kelly Cookes said: “We had seen things pick up for 2021 when Portugal went on to the green list but this has now gone the other way and only about 50% of bookings are for this year.


More: Special Report: Holiday demand ‘lower for the next 12 months’

Brits postponing summer foreign holidays – Travel Counsellors


“While passenger numbers are evenly split, revenue is much more weighted towards next year with only 25% related to bookings this year. We are seeing lots of customers moving bookings and operators cancelling and consolidating programmes.”

Some holidaymakers were “holding out” for the summer, she said, adding: “Members need to see some business this summer.”
The Travel Network Group said members were receiving enquiries but few conversions for summer. “Customers do not have the confidence to book given the mixed messages from government,” a spokeswoman said.

Many agents said it was not worth promoting overseas holidays for this summer, given the likelihood of having to amend or refund.

Spire Travels owner Paul Knapper said: “We are not actively selling this summer due to ongoing uncertainty.”

Pole Travel owner Jill Waite said consumers were not willing to pay balances because of the uncertainty. She said: “If anyone comes to book for this summer I’d probably say no because it’s not worth it.”

World Travel Lounge director David McDonald said sales “fell off a cliff” after the Portugal change, with 30%-40% of current bookings for September to December. He said growing numbers of clients now wanted refunds for bookings on which commission had been paid in 2019. “Cashflow is a problem,” he said.

The shift in demand coincides with operators reducing summer programmes. Tui cancelled a range of holidays until July 11.

Reporting winter losses of £9.5 million, On the Beach chief executive Simon Cooper said Portugal’s green list removal “killed off” demand and justified its “realistic and pragmatic” decision to stop summer sales.

More: Special Report: Holiday demand ‘lower for the next 12 months’

Brits postponing summer foreign holidays – Travel Counsellors

Share article

View Comments

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.