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Impact of COVID-19 on Global Travel Intermediaries - Hot Topic Brief - Issue 7

Impact of COVID-19 on Global Travel Intermediaries - Hot Topic Brief - Issue 7

Summary

COVID-19, commonly referred to as the Coronavirus, is dominating headlines the world over. The travel & tourism sector is suffering significant disruption and intermediaries are very much affected.

Key Highlights

- TUI Group continues the repositioning of the company in the wake of the pandemic. TUI announced a comprehensive restructuring plan for the French regional entity TUI France. In future, TUI France will focus on the high-margin business with a few core brands. Offers that are high-volume but do not generate sufficient margins are removed from the portfolio. As a result, TUI France's business volume will decline.
- The project foresees a reduction of 583 jobs if all retail shops are closed. This is approximately 60% of the current TUI France staff base. The changes are now being discussed with the relevant committees and employee representatives in France. The future plan should then enable TUI France to break even from 2021 onwards.
- TUI Group aims to reduce its overhead cost base by 30% globally. The restructuring of TUI France is a step towards making TUI more competitive and emerging from the crisis stronger.

Scope

- This report provides insight into the current state of play, offers a look at potential future scenarios and assesses the actions that intermediaries can take to mitigate the impact of COVID-19.

Reasons to Buy

- Gain an overview of the current global COVID-19 situation
- Understand the impact that COVID-19 is having on the industry
- Explore future industry scenarios
- Assess possible mitigating actions
- Compare key industry players' actions
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Impact of COVID-19 on Global Travel Intermediaries - Hot Topic Brief - Issue 7
Published By :GlobalData
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