Travel Giant Tui Sees Shift in Booking Trends, Dollar’s Appreciation Boosts Off-season Travel
The travel conglomerate Tui has reported a decline in demand for US trips and an increase in bookings for long-haul travel in the autumn, with the dollar’s appreciation making such journeys more affordable. Tui’s CEO, Sebastian Ebel, told the Rheinische Post that the company is observing a shift in trends, with Canada and the Caribbean also in vogue.
The euro’s appreciation has led to a surge in bookings for autumn and winter trips to destinations with a favorable exchange rate, including the Gulf States and Southeast Asia, Ebel explained. In contrast, the effects of the dollar’s devaluation on summer bookings have not yet been felt, as the company had already purchased the necessary currencies in advance or locked in the exchange rate.
Tui aims to promote the sale of its packages through its app, although the company will not offer discounts like those found in the retail food sector. According to Ebel, the law requires that a package tour costs the same regardless of the sales channel. The company finds this reasonable.
App users, however, still stand to benefit. “For large brands like the one in 2023 on the Greek island of Rhodes, we can warn customers if they have opted to allow us to know their location” Ebel said. The app and the company’s booking system also remember a customer’s preferences, which can aid in planning their next vacation.