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Pascal de Izaguirre: "TUI France is now in working order!”

Projected return to profitability by 2015


While the rumbling discontent of distributors was growing towards the commercial mishandling of TUI France, Pascal de Izaguirre was talking to the press, on September 10 2014. As an opportunity to show performance results and soothe spirits.



Pascal de Izaguirre is the President of the TUI France group - Photo DR
Pascal de Izaguirre is the President of the TUI France group - Photo DR
According to Pascal de Izaguirre, the message written on Facebook by Matt, Marmara’s fiery webmaster that provoked the anger of Adriana Minchella, was an “error”, quickly corrected.

In fact, the post was very rapidly deleted and has only, according to the TUI France president, been viewed by 3,000 internet users.

“More than ever, we have the will to keep collaborating with third-party network systems,” he explains.

“Which is why we deleted that message in the hour and we allowed retailers to align themselves with our online prices.

They now have a choice, but in this case, it’s certain that their commission will be reduced.”


TUI France reminds that this type of bonus, that would reach up to 10% in the past, is now voluntarily limited to 5%.

“Moreover, adds Pascal de Izaguirre, we never hid our will to develop sales via the Internet.

Today, the volume of Marmara sales represents approximately 27% and we want to raise it, in the next two year, to 40%.

There is still work to be done for distributors.”


And to show our good will, we confirm that “the contracts with the Macif were withdrawn and we have almost nothing left with the pure players!”

"Errare humanum est… diabolicum persevere", exclaims the President, to put an end to this “mistake!”

As for the TUI France situation, “we are now in working order, expresses the President.

And, we are transparent about our real figures, which isn’t true for everybody”, he adds smiling.

Jokester!

Great performance this season…

Globally, the summer season is positive, states the pleased TUI France, thanks to rigorous stocks management, the creation of new destinations and especially the important focus on “quality”, steered by Christophe Fuss, Director of the Marmara Clubs.

The work, initiated over six months ago, is meeting the projections and notably, out of the eight new Marmara Clubs opened this season, 7 of them have a 4 star rating on Tripadvisor.

As for results, even if TUI doesn’t release the numbers, the assessment is still very satisfactory: 93% in airplane fill rates and the success rate of the sales program is at 99%.

Of course, TUI France, stills places as the number one tour operator for Paris departures and especially in the province, yet the TO highlights that the season was highly affected by an increase of last minute sales: +34% in July and +38% in August.

Generally, however, the decrease of package tour sales by 11% was largely compensated by a reduced capacity of 14%.

It is true that the TO, after drastically "cleaning-up" hotel contracts left over from the previous team, can now focus on a completely modified production.

A production that mostly looks to short and medium-hauls, with a new segmentation of its products according to different standards of 3M, 4M, and 5M.

However, Pascal de Izaguirre insists on the fact that, while trying to improve its standards, Marmara stays true to its dedication of offering clients the market’s best prices.

In terms for destinations, the new ones were the most popular.

A return to profitability in 2015!

Spain, that remains the first destination of the travel company records a 20% increase in sales, followed by Greece, Corsica, and Italy.

Finally, in what concerns the “specialist” dimension of the TO, this year is deemed rather satisfactory with a Winter season with a good projected outcome.

Enough to please shareholders, while waiting for the total fusion of the group between the British and German branches. But that will take place in the next few months.

As for distribution, Pascal de Izaguirre doesn’t hide his satisfaction.

With the third-party networks, “everything is fine”, and the results are rather incredible, with a constant increase in all the networks and for all of the TO’s productions.

Another topic, that provoked quite a stir within TUI, was the internal distribution.

“Everything has been fixed”, explains Izaguirre. “We now have 79 integrated agency and are collaborating with 166 franchised agencies.

This shows that the franchise agreement that we had introduced wasn’t that bad after all, since 1 out 2 agencies has signed it.


“We are now in working order, concludes Pascal de Izaguirre. Our Winter brochure has lots of new offers and all of the core products have been improved. We are in great shape to reach profitable growth once more.”

And to aim for the eternal return on profitability in 2015.

Written by Dominique Gobert translated by Joséphine Foucher the 13/09/2014
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Tags : TUI France

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