Travel Counsellors is shifting its focus towards becoming a “premium leisure tour operator” as it targets customers seeking more-complex, multi-centre bookings.
Chief executive Steve Byrne outlined the ambition as the company unveiled a new “interactive itineraries” tool which will “transform traditional, static travel documents” for its 2,200 homeworkers.
The launch of the technology follows that of AI-powered virtual assistant TC Co-pilot, which “transforms how agents work with their clients”, and TC Journeys, which allows agents to create bespoke itineraries.
“Our strategy is to focus on the premium leisure customer – we are increasingly becoming a premium leisure tour operator,” said Byrne.
“Customers who want simpler, more price-driven holiday types are less inclined to book with us compared with some of our competitors.”
More: Travel Counsellors attracts almost 100 new agents in last quarter
Byrne said Travel Counsellors was increasingly attracting customers willing to “pay a bigger premium for something a bit more complex”.
“That’s what we want to focus on, and that’s what we are doing,” he said.
Agents more accustomed to selling “bucket-and-spade” holidays have access to the tools and support required to boost their confidence in selling more-complex itineraries, added Byrne.
Travel Counsellors reported a record peaks period, achieving £242 million in sales across January and February.
Sales for the financial year to date are up 12% year on year, with premium leisure accounting for 15%-18% of that growth.
But while sales have been strong overall, Byrne reported “a bit of a slowdown” in the lead-up to Easter.
“There was still good growth but not quite at the same level as peaks,” he said, as he noted a slowdown in US bookings.
“Since Trump’s inauguration, demand for the US has reduced. It’s still up year on year but less than it was,” he added.
“The more experiential parts of the US – road trips and some cities – are still doing OK, but Florida, California and the theme parks have been a bit softer.
“I think families are taking a step back and thinking about what to do, given what’s going.”
He said Travel Counsellors was still on track to reach its goal of achieving £2 billion in annual turnover in the next five to seven years.
“We’ve topped £1.1 billion and we’re heading towards £1.2 billion in the next 12 months, so I still think that is a realistic goal,” he added.
Byrne said about 55% of bookings are made through the agency’s in-house booking system, Phenix, representing year-on-year growth of 14%.
