TUI Nederland NV

TUI Nederland N.V.
Content
1 TUI AG
2 Structure/ history of TUI in the Netherlands
3 Dutch market, who is who
4 Wintersport in general + trends
5 Wintersport to Scandinavia
6 Market development and expectations
7 Opportunities for Finland/ Lapland
TUI AG
„
Turnover: €18.6 billion
„
Employees: approx. 62,000
„
Europe’s leading international leisure travel company
„
More than 30 million customers from over 25 source
markets
„
Pan-European airline with more than 150 aircraft
„
Approx. 3,500 retail shops in continental Europe, the UK &
Ireland
TUI AG
Northern Europe
„ 8.5m customers
„ UK, Ireland, Canada, Nordic Countries
Western Europe
„ 5.7m customers
„ France, Belgium, The Netherlands
Central Europe
„ 11m customers
„ Germany, Austria, Switzerland, Poland
TUI AG
Airline fleet in summer 2009 with 155 aircraft
„
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England -> ThomsonFly
Holland -> ArkeFly
Belgium -> JetairFly
Nordic -> TuiFly
Germany
France -> CrosairFly
-> TuiFly
TUI AG
Tui Hotels
„
No 1 leisure hotelier in Europe with around 238 hotels and
approximately 150,000 beds in 26 countries
„
Focus on four star category (about 65%)
„
High occupancy rates (about 80%) as there is access to
the customers and direct distribution of TUI Travel
TUI Holland part of …
Western Europe
France
Source Market
WESTERN EUROPE
Belgium
The Netherlands
TUI Nederland: Historical Overview
„
1877
Jac Lissone founds the first travel organization in The Netherlands
(First organized tour to England, Isle of Wight)
„
1922
Foundation of „Touringcarbedrijf KRAS“
„
1934
Foundation of Touroperator „Arke Reizen“
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1974
Foundation of Touroperator „Holland International“
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1995
Preussag AG buys the companies Arke Reizen and Holland
International
„
2005
Take-over Holland Exel activities and renaming into Arkefly
1877 : First organized tour, Isle of Wight
J.P. Lissone
A.J. Lindeman
“Lissone Lindeman Passage & Reisbureau”
in the city centre of The Hague
1922: Foundation of KRAS
1934: Foundation Arke
1974: Foundation Holland International
2005: Set up of ArkeFly
TUI Nederland is the only integrated
tourism player on the Dutch market
Retail
143 Arke and
84 HI travel
agencies
Tour
operators
3 Brands
Airlines
Arkefly
3 Boeing 767300
4 Boeing 737800
Destination
s
Hotels
205 hosts
46 entertainers
4.200 accos
W0708
6.500 accos S08
TUI NL has made clear choices
for the positioning of all main brands
The reference TO
brand
The multi-channel distribution brand
The price aggressive direct seller
The direct seller of last-minute offers
and rest capacity own and 3rd party
The Low-Cost vacation airline and
dynamic packaging seller
Dutch market
DUTCH MARKET
Airlines
Charter /
Low Cost
The Market is diverse and competition
is still increasing
…..
Travel Agencies
Tour Operating
Others
The Dutch travel market has specific
characteristics
„
Very high price sensitivity
„
Trend to shorter trips to neighboring countries by cars
„
For long holiday: cheap long haul destinations or European countries like
Turkey
„
High level of computer ownership & fast internet speed lead to
significant growth of online sales
„
Packaged vacations are still very popular
„
Market is highly fragmented
„
No dominant players due to the role of charter-airlines, selling seats at
almost similar prices
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Open distribution
„
Mix of large independent retailers, TO-connected chains and small
shops
„
Still low penetration of global online players like Expedia or
lastminute.com but high pressure from new successful direct sellers
Wintersport market
WINTERSPORT MARKET
Wintersport market
„
Total Dutch market Æ 940.000 passengers
- 450.000 passengers go via touroperators
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Decreasing market, already for 4 years
„
Targetgroup
„ till 45 year
„ 45 – 64 year
„ Older then 65 year
67% decreasing
27% growing
6% growing
Wintersport market
Total Dutch market Æ 940.000 passengers
„
Austria
France
Germany
Switzerland
Italy
„
Scandinavia
„
„
„
„
passengers
570.000
170.000
80.000
75.000
30.000
17.000 Æ marketshare 2%
Wintersport market
Overview Dutch Wintersport market
„
Touroperators selling Æ Travelshops
„ Vrij Uit – OAD – Hotelplan – De Jong – Thomas Cook
–
Holland International
„
Specialiced in youth, France Æ direct selles
„ Bizz Travel – Sunweb – SnowTime – Jiba – Husk
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Cottages/ chalet Æ direct sellers
„ Interhome – EuroRelais - Interchalet
Wintersport market
Party size
„
Party
2
15%
3
4
5
6% 21% 11%
6
7
>7 people
9% 7% 28%
Conclusion
• Average party size is 4,5
• For 45% of the bookings the party is >6 persons
• The bigger groups are especially for young people
• In the age group 45 – 60, 30% is going with only 2 people
Wintersport market
WINTERSPORT ACTIVITIES
•
alpine skiën 70% downtrend
•
snowboarden
•
walking
•
cross country
8% downtrend
10% growing
7% growing
Wintersport market
WINTERSPORT
IN
SCANDINAVIA
Wintersport market 07/08
Scandinavia
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Norway
Denmark
Sweden
Iceland/ Greenland
Finland
Total
3.500
3.600
3.800
1.600
4.500
17.000
Wintersport market
Scandinavia
„
Market is limited and not really growing
„
For Finland bookings mostly via direct sellers (Voigt – BBI)
„
Only touroperator selling via retail Buro Scandinavia and
Holland International
„
Vrij Uit and De Jong sell Finland via Travelshops but this is
the product from Voigt!
Wintersport market
Finland development
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Total for W07/08 4.500 passengers
„
W08/09 downtrend to ca. 4.200 passengers
„
70% of these passengers are not sold via retail, but via
direct sellers
Wintersport market
Finland
„
Flight capacity
„
Finnair daily flight Helsinki + connections
„
Transavia, charter via Voigt 1* weekly Kuusamo + 1*
weekly Rovaniemi + 1* in the week Brussel
„
ArkeFly every Sunday to Kittilä
Risk for this winter Overcapacity
Market
Development 2009/2010
+
Expectations S10
Market 2009/2010
Dutch Market Summer
„
Summer 2009, market
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Flight
Long Haul
City
Car Holidays
Cruises
-/- 10%
-/- 15%
-/- 25%
-/- 6%
-/- 2%
+ 30%
Market 2009/2010
Dutch Market Winter
„
Winter bookings are down with ca. 24% (in Europe)
„ Wintersport is already a declining market
„ Wintersport is a second holiday
„ Wintersport expensive holiday
„ Wintersport young targetgroup
„
Cottages popular product in Winter
„
Strong Last Minute trend
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Wintersport at the end will be down +/- 15%
Market 2009/2010
Summer 2010
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Limited or no market growth
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Less flight holidays
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More car holidays
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More Last Minutes
Market 2009/2010
How does TUI NL cope with this new situation?
„
Don’t be afraid - be creative
„ TUI started this Winter 3 new destinations
„ Summer more own flight capacity, the 4th airplane
„
Change productmix
„ Mix from 4* and 5* to more 3* accommodations
„ More All Inclusive
„ In Amsterdam 5* hotels became 4* hotels
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Higher marketing budget
Market 2009/2010
How does TUI NL cope with this new situation?
„
Change the structure of the company
„ Structure changed, more focussed L.M.
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Reduce costs where possible (TUI did not reduce staff)
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Reduce pages, invest additionally in internet
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TUI NL introduced “green” products
Finland
What can Finland do?
„
Decide what you want to be/ how you are known!
„ Norway wants to be a ski destination
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Invest in the 3 most important markets (growth potential +
size)
„ Together with touroperators
„ General image campaign
„
General campaign, I always tell tourist boards
“I’m not a market maker, I’m a follower!”
Finland
PRODUCT DEVELOPMENT I
„
All Inclusive products
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Ambiance hotels
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Eco products
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Family products
„ New this Winter families with small children!
„ Children excursions
Finland
PRODUCT DEVELOPMENT II
„
Golden Label/ Relax & Comfort hotels
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Wellness facilities
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Elderly targetgroup
„ What do they need, what do they want
„ Month of January (romantic?)
„
Look at the competition, example Sweden
„ This year direct flight 14.02 – 14.03
FINLAND
With the introduction of our new flight we
started a big marketing campaign
together with you as partner
focussed on consumer and retail
FINLAND
EXAMPLES OF OUR FINLAND CAMPAIGN
TUI AG
TUI AG
FINLAND
THANK YOU FOR YOUR TIME