The last decade saw a seismic shift in peoples’ travel and leisure patterns. For example, in 2001, UK residents made 58.2million trips abroad. By 2008, that figure had increased almost 20% to 69m. However, this number fell back to 58.6m in one year
The way people book travel has also changed – one recent survey found that more than half of internet users book their holidays directly online, while only 7% research and buy their holidays from travel agents on the high street. Meanwhile Global Distribution Systems face an evolving challenge to define their role in this changing market place, with travel companies trying to both encourage direct distribution channels, whilst at the same time leverage the reach that the GDS offer.
Maddox Consulting specialises in companies in the travel and leisure sector understand these paradigm shifts in their market place, develop a strategy that allows them to capitalise on the opportunities that this creates, and helps them then implement that strategy. For example:
- Changes to the market are also leading to increased consolidation across the travel and leisure sector. We have worked with many private equity firms looking to make acquisitions or disposals in the sector, as well as working with blue chip companies considering growth through acquisition;
- Changes to customer booking patterns, and the increased importance of social media and user review sites are changing the way that travel and leisure products are sold. We help travel companies understand this online market place, and ensure that they develop an online marketing and distribution strategy which reflects these changes;
- Companies are finding that, as travel patterns and technology evolve, their organisational design and backbone processes are no longer appropriate, flexible or cost effective. We work with companies to review their business in the context of evolving strategic goals, and assist with restructuring and performance improvement;
- Competitive pressure and increased consumer choice create evermore pressure on price and margin. Companies are therefore looking at new products and strategic partnerships to develop ancillary revenue. We work with companies to review these possibilities, test new concepts with consumers and develop business plans to support new investment;
- Environmental concerns about becoming an evermore relevant factor for consumers as they plan their travel patterns. We help companies understand the commercial impacts of these environmental changes and consumer attitudes, and develop a commercial environmental strategy to reduce their environmental impact and the costs of their day to day business.