Since the health crisis, last-minute purchases have become the majority practice for reservations. FTI takes the opportunity to push its early booking offers
For several months the French have been facing galloping inflation forcing them to make daily sacrifices. However, according to the latest lastminute.com study, the results of the summer season remain excellent: the hotel offer alone posted an average basket of €466 in July, which represents an increase of +50% compared to 2019. Indeed, these increased by 20% in Ile-de-France and by 22.5% on the Côte d’Azur.
But winter bookings are worryingly stagnating. It seems that geopolitical uncertainties such as the rise in constrained spending are weighing on purchasing intentions. This is one of the conclusions of the global study by the 1st international network of PR consultants, Travel Lifestyle Network: among the main factors influencing the choice of their place of stay, the quality-price ratio comes first for 26% of respondents. worldwide and is particularly significant for 42% of French people. A strong figure, echoing a crisis in global purchasing power, due in particular to a growing inflation rate in many countries.
The tourism industry will therefore have to deal with the ever-increasing concerns of consumers with regard to the price of travel and pay them particular attention.. Finding the “right price” is expected to have a significant impact on travel-related purchases for future bookings.
In this context, FTI is surfing on the attractiveness of the prices of its Early Booking
Interview Raphaël Auvray director of production FTI FRANCE
Weekly round: Against a background of inflation, the traveler this winter will become particularly sensitive to the notion of purchasing power. FTI presents the attractiveness of its early booking prices as a competitive advantage. Why you more than another TO?
Raphael Auvray: In the field of advance sales, we take advantage of our parent company’s contracts, modeled on the travel consumption habits of the Germans who traditionally book much earlier than the French. As a result, we display an incomparable depth of offer in this segment. Both on medium-haul and long-haul we manage to present prices up to -40%. Our competitive advantage is proven.
Weekly Tour: On all destinations?
Raphael Auvray: We are ”hyper” generalist and/or multi-specialist. So we can meet the challenge of being competitive in all markets. Agencies know us above all for medium-haul. But even on the long haul, we manage to pull out attractive prices allowing us each season to take a lot of market share.
Tour Hebdo: Do you feel the pressure on prices?
Raphael Auvray: Clearly. Winter remains sluggish. Customers hesitate. But precisely, thanks to our early booking policy, we are ahead of the market.
Tour Hebdo: Do you have any examples to give us?
Raphael Auvray : With early booking you can count on reductions of around 15 to 25% on winter sun destinations less than 6 hours away by plane. For example, on the Canary Islands, we are presenting a whole series of hotels at -20% and on many others.
Weekly Tour: Like?
Raphael Auvray: Morocco, Tunisia, Turkey also with Antalya, the Canary Islands of course. I do not forget Egypt with which we have a large production in the Red Sea. If we add up the reductions, combined with our exclusive charters: direct flight from Paris, Lille and Nantes, you have a particularly attractive package result.
Tour Hebdo: What is the timing with the early booking?
Raphael Auvray: It’s decreasing over time, as you can imagine. But to put it simply, you have to book before October 30 to benefit from the most attractive offers. With the pressure of the last minute, on the other hand, the hotels look favorably on the arrival of reservations taken in advance.
Tour Hebdo: That is to say?
Raphael Auvray: The last minute is accompanied by uncertainties throughout the tourism chain. Hotels need to get organized and plan their season. Reservations taken well in advance give them security both financially and to be able to anticipate their needs. For example, in Dubai we have offers of up to -40% precisely to compensate for the management difficulties caused by the recent phenomenon of the last minutes.
Tour Hebdo: How do you arbitrate between these two extremes?
Raphael Auvray: It’s not always easy, but we are advantaged by our plethoric offer. The rep dom sells very well in all combinations and on early booking. For example, we have contracted with the Majestic or Blue Diamond chain with prices at -45%. If we obtained these incredible prices, it is precisely because this group wanted to secure an alternative clientele to the American one, too inclined to stay in the last minute and short stay.
Tour Hebdo: Conclusion, early booking and FTI, it matches well
Raphael Auvray: We arrived in France with this competitive advantage. Little by little we penetrated the market with these attractive offers. Moreover, the agencies are well aware of this and are waiting for our newsletters to relaunch their clients. We still have to optimize the long haul for which we are also perfectly legitimate. It is up to us to communicate more about the excellence of our prices for routes such as the Maldives, Zanzibar, Thailand, Mauritius or the Caribbean and continue to perpetuate our national network.