Tui’s main rival has questioned the operator’s sincerity as it courts third-party agents, comparing the move to “a returning philanderer promising things will be different this time”.
Jet2 chief executive Steve Heapy said the “proof will be in the pudding” when asked for his views on Tui’s decision at the Travel Weekly Future of Travel Conference.
But Andrew Flintham, Tui’s Northern Region managing director, insisted its plans to increase trade engagement are long-term as he urged agents to “give us a go”.
Flintham acknowledged some agents would refuse to work with Tui after it slashed commission to 7% in 2005, but added he is hopeful successful partnerships will be built.
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Tui is currently negotiating new commission rates for the trade.
“All strategies evolve,” he said. “What we’re doing is growing the overall size of our business.
“There will be people who are still angry over the decision in 2005 to change the commission rate, and there will be some people who will never work with us again because of that, but I hope agents give us a go.”
Flintham said Tui has “a lot of great products that others don’t”, adding: “The proof will be in how we perform with [agents] and how they perform with us.”
EasyJet holidays chief executive Garry Wilson also highlighted the importance of agents, saying the trade was “without a doubt” to thank for the operator’s rapid growth.
“I knew the channel would be important, but we’ve been hugely supported, and that’s why we’re giving our partners the proper structure and support they need so we can sustainably grow our business and theirs,” he said.
Heapy concurred, saying Jet2 was “very happy to continue supporting independent agents and tour operators”.
Barrhead Travel president Jacqueline Dobson welcomed Tui’s move, adding: “We have a strong relationship with Tui. I think it’s positive for the industry.”