February saw inconsistent sales figures, challenging assumptions of record-breaking performance.
- Many agents observed an increase in bookings compared to last year, yet the family market struggled.
- The half-term school holiday negatively influenced sales, with broader economic uncertainty adding to the woes.
- There is a notable shift towards late bookings and smaller value sales, impacting agent performance.
- Industry leaders maintain optimism, but cautionary notes on geopolitical and economic factors persist.
February’s sales figures in the travel industry have been marked by inconsistency, contradicting reports that suggest record-breaking sales achievements. Agents across the sector have highlighted that while there is a noticeable uptick in bookings compared to the previous year, these figures do not entirely reflect a strong and sustained recovery. In particular, family sales remain underwhelming, failing to meet expectations as broader economic concerns loom large.
Agents have attributed the downturn in sales during the half-term school holiday period to ongoing political and geopolitical uncertainties, which have dampened consumer confidence. Donna Jobling, a regional manager at Dawson & Sanderson, echoes this sentiment, noting the inconsistency in peak performance. She points out that the family segment has yet to perform as adeptly as it did in 2023, although overall trading conditions are favourable.
Sandra McAllister, managing director of Althams Travel, also weighs in, describing February’s performance as ‘mixed’ following an ‘excellent’ January. The variability in trading has been characterised by fluctuations ‘up for eight days and down for seven days’, reflecting the unpredictable nature of the current market. This pattern mirrors 2022 when the effects of the pandemic began to wane.
Additional insights from Sarah Kenton, Triangle Travel’s general manager, suggest that 2024 is shadowing 2022’s sales patterns, with figures remaining unpredictable. The culmination of the half-term period has pressed agents to vigorously push towards achieving 2023 numbers. The week was notably quieter for Spear Travels, with booking volumes reduced significantly compared to the previous year.
There is a discernible shift towards last-minute and lower-value bookings, further challenging agents to maintain momentum. Natalie Turner, head of retail operations at Spear Travels, mentions that despite a slight annual increase in booking volumes, average values have dropped considerably. Jackie Steadman, director at TravelTime World, concurs, observing a steep decline in bookings over the past six weeks, despite a promising end to 2023.
Conversely, some businesses report steady progress. Chris Bailey, managing director at Bailey’s Travel, expresses optimism, noting a substantial increase in business. Although family bookings remain steady, the older generation appears to be a more reliable customer base. Hays Travel also reports continued strong trading, particularly in the family segment, according to Lisa McAuley, head of strategy.
Despite such optimism, industry stakeholders recognise the potential impact of macroeconomic and geopolitical conditions on future consumer spending. Jet2’s recent trading statement underlines these uncertainties, suggesting that while forward bookings appear promising, various external factors could influence consumer behaviour.
The travel industry continues to grapple with fluctuating sales, with an eye on evolving geopolitical and economic conditions.
