A snap-shot survey of AITO Specialist Travel Agents has revealed that 86% of respondents say that they will sell away from Thomas Cook products if the merger does go ahead.
It also showed that 77% of members do not support the merger of Thomas Cook, The Co-operative Travel and Midlands Co-operative.
Oliver Broad, Chairman of AITO Specialist Travel Agents, says: “Our members already sell away from the big boys when appropriate for individual customer needs, but this merger will only reinforce this further and the survey results show that AITO Agent members will do what they can to avoid supporting such a large player in the market place. We have recently seen members de-racking Complete Cruise Solution products after they cut commission and I expect the same will happen with Thomas Cook products next.”
Peter Buckell, Managing Director of Global Lounge Travel in Norwich and a member of the AITO Agents’ Panel, says: “Thomas Cook already controls wholesalers, an airline and an extensive online and retail inventory. This limits consumer choice dramatically. It is also anti-competitive, as they will undercut any independent operator or agent. It seems that they intend to eliminate as much competition as possible and that their aim is to be the ‘Tesco of travel’ within three years.”
However, members expressed a mixed reaction when asked whether AITO Agents should raise issues with the Competition Commission on their behalf. Individual feedback from AITO Agent members did highlight some potential positives resulting from the merger, including the hope that it would reinforce the true independence and quality of specialist knowledge delivered by an AITO Agent.
Oliver Broad adds: “We have a really diverse membership, hence the mixed reaction from them. Some independents welcome the merger as their independent status will become more relevant to consumers. We are, however, assisting members who wish to address the issues with the Competition Commission on an individual basis.”
The Competition Commission is set to rule on whether the merger will reduce retail competition in the UK, considering whether the deal will reduce competition in both local/regional areas and nationally, leading to in-house agents favouring the sale of Thomas Cook holidays and limiting the access of rival agents to Thomas Cook products.
Comments on the issues identified have to be submitted in writing to the Commission by Friday, 13 May, and it is due to rule on the merger by 16 August. If it decides the merger may result in a substantial lessening of competition, it will propose one or more remedies.
With plenty of experts in the travel industry, who should you trust to give an honest insight into the current market? AITO Specialist Travel Agents (www.aitoagents.com) represent 130 of the leading independent travel agencies in the UK – all fully independent, and all in the front line of the travel industry.
For more information on the 130 AITO Specialist Travel Agents, their specialities and their locations, visit www.aitoagents.com or call 020 8744 9271.
Ends – 9 May
Press: For more information on AITO Specialist Travel Agents, please call Stephanie Reed or Ian Bradley on 020 8891 4440 or email s.reed@travelpr.co.uk