Tui Sees a Surge in Bookings

Airlines operating in the world

Tui Airlines is resuming its operations in most of the countries of Europe. Tui is an Anglo-German airline. The airline has decided not to resume its operations in the UK. However, it will resume its suspended flights from Britain later in summer. 

The Hanover-based group, which also runs hotels and cruise lines, said it is also resuming flights from Germany, Switzerland, Belgium, and the Netherlands. The pandemic crisis caused the airline to ground its operations in these countries. 

From next month the airline plans to add more flights to other destinations in Southern and Eastern Europe. It plans to operate with more flights once it has about half of its hotels reopened. 

The company also plans to run Blue Cruises. However, these are three to four days long in the North and Baltic seas. Its Hapag-Lloyd Cruises subsidiary is starting operations later in the summer. 

More Bookings 

The company is experiencing an increase in the number of bookings for vacations. It is getting more bookings in German and Belgian markets. 

But, vacations in the UK and other markets will be starting later in summer. The Tui group is expecting more bookings for later summer. But, still, it will be operating with only 30% of its capacity until the end of the year. 

It has sold around a quarter of its 2020 summer holidays so far, while prices have increased by 14%. 

As the UK has imposed a 14-day quarantine policy for international arrivals, Tui has extended the suspension of holidays for the UK. 

All trips to the UK are postponed till July 10 whereas the company previously suspended till June 30. But the company extended the date. 

The company said it has seen a surge in its UK bookings for winter 2020/21. The bookings are increasing by 6% and selling prices are increasing by 5% on average. In addition, the bookings for summer 2021 will be more. 

Survival in the Pandemic

The travel industry has been severely affected during this time of the Coronavirus outbreak. Tourism companies are also suffering from the past few months, with most countries imposing strict international travel restrictions. 

Many travelers were canceling or rescheduling their flights and holiday bookings. Many airlines were laying off staff. Meanwhile, Flybe and Latin America Company Avianca have gone bankrupt. 

However, to survive in the pandemic, Tui has received a 1.6 billion pounds bridging loan from the German government. The company announced to cut 8,000 jobs to further cut costs. According to the company, there is no doubt that the travel industry and Tui have faced a crisis like this ever before. 

The company has made a deal with the Boeing Company to delay the delivery of new aircraft for at least two years. This is another move by the travel firm to save some cash. 

However, the Boeing Company had to ground the 737 Max planes. But Boeing will provide some compensation to them for the financial damage that they will be incurring for grounding the aircraft.

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