Agent Diary: ‘Many customers expect prices to be the same as in 2020’

Suppliers need to temper their pricing as higher holiday costs risk deterring some customers, says Thompson Travel owner Sharon Thompson.

Love is in the air. That famous saying, which is front of mind for many as we’ve just had Valentine’s Day, seems to be a very apt notion at the moment.

And not in terms of relationships, but from the fantastic response to the world beginning to learn to move on and cope with things that cannot be controlled.

There has been a massive shift in customers looking both for budget holidays and for once‑in‑a‑lifetime experiences

For instance, it’s great news for our industry that the love of flying and travelling is back.

Sorry to those in the industry who may not benefit as much from staycations this year as they have in the past two, but you’ve had your turn. It’s time to fly and get back to seeing the world!

There has been a massive shift in customers looking both for budget holidays and for once‑in‑a‑lifetime experiences. Whether they haven’t seen family in two years or missed their honeymoon and a few other holidays, many customers are aiming big.

Price shock

While the demand is strong, and we have been working off a very low base in terms of regrowth, we are finding that customers may have got caught in a bit of a time warp in relation to pricing.

Many expect prices to be the same as in 2020. I can understand this in part, in that the past two years have fallen into the twilight zone. But there has to be some realisation that there will be a two-year increase in pricing as the industry recovers from Covid.

There remains a bit of resistance to handing over large amounts of money in still somewhat uncertain times

Operators should take heed, though, as we don’t want to push customers too far down the road so they take their dream holiday in 2023. We need bums on seats now. There remains a bit of resistance to handing over large amounts of money in still somewhat uncertain times – so we need to get the balance right.

At Thompson Travel, we celebrate 30 years in business this year – and that comes with the divided sense of paying off debts for the foreseeable future, and with bright optimism looking towards the future of travel and going from strength to strength.

A huge thank you goes to those suppliers who previously steered customers away from us in an attempt to gain online business – you know now how we are needed! Independent high street travel agents have supported you, and we will remember those who supported us going forward.

Funding fight

In Northern Ireland, the financial support saga continues. The Northern Ireland Executive has thrown the country into disarray with the resignation of the first minister and subsequent depositioning of the deputy first minister.

The realisation from government that they made us ‘officially opened but effectively closed’, gives politicians a responsibility and duty to act

So while there are huge congratulations to Scottish agents who recently saw their lobbying efforts rewarded with a much-deserved £3.5 million in funding, we are still fighting in Northern Ireland to get what we equally deserve. The realisation from government that they made us ‘officially opened but effectively closed’, gives politicians a responsibility and duty to act.

In the meantime, we will work to rebuild our industry while pushing the powers that be for funding, like we have many times. We aren’t giving up without a fight.

The art of conversation

I love Mark Twain quotes and one seemed very apt in relation to our negotiations with government and their listening skills: “Let us make a special effort to stop communicating with each other, so we can have some conversation.” Business is built on conversation. That is a reality. Talking past each other has been the cause of many a failed negotiation.

Sometimes we can be too busy communicating by email and phone calls that we forget to sit down and have a normal conversation that gets the job done. Those recent real conversations seem to be working – we will keep you posted!