Tui drives forward its long-haul expansion

Tui UK & Ireland is hoping to add a new destination for every season, as it plans to “accelerate” the expansion of its long-haul programmes.

The company, which owns the Thomson and First Choice brands, launched its latest long-haul destination Costa Rica last week for this winter, while Cuba is being added for summer 2016 and Sri Lanka will be introduced for winter 2016-17.

Mark Hall, director of product for Tui UK & Ireland, told TTG the company was seeking out new destinations, although he added this would not necessarily mean that they would all be served by Thomson flights.

“We are looking for further opportunities in the Caribbean and more far-flung destinations such as Vietnam,” he added. “Offering new Caribbean islands is the priority.

“The opportunities are out there but it’s about making sure we get the right hotels in the right places – one of the challenges with the Caribbean is can we combine the right hotel with the right rate? We also have to ensure the experience is right for our customers.”

Hall was speaking during the operator’s annual retail conference in Rhodes, which was attended by more than 600 agency staff – mostly store managers – from around the UK and Ireland.

“We want to broaden the appeal of our brand, especially Thomson,” added Hall. “We are very heavy in the mid-premium sector which we want to keep growing, but we want to expand the reach that Thomson has.

“We will keep pushing long-haul as it helps to boost the perception around Thomson and what we have traditionally offered. Costa Rica and Sri Lanka are destinations that three or four years ago Thomson would not have offered.

“The Dreamliners have really helped to drive forward the long-haul sector. That’s going to continue and will accelerate by us putting on a new destination for every season.”

Thomson currently has nine Boeing 787 Dreamliners in service and this will increase to 13 aircraft next year.

Tui also wants to “maximise” existing destinations and brands, as the company aims to grow its UK summer passenger numbers in summer 2016 by more than 10%.

Hall said that the pace of change for Tui had “accelerated” since the merger of Tui Travel and Tui AG to form Tui Group in December 2014.

“The merger has helped us to add to our portfolio and bring things to market more quickly,” he added.