Thomas Cook has come up with a truly valiant wheeze to make a virtue of its recent solvency wobble. A new promotional campaign from the debt-laden tour operator seeks to put a positive gloss on the borrowing crisis, which last week briefly cast doubt over whether the 170-year-old company would survive long enough to take some 5 million or so UK holidaymakers on summer breaks next year.
"We've been delivering great value for 170 years – 2012 will be no different," reads a new poster in all its high street shop windows. "Guaranteed: £170 off any of our summer 2012 holidays." That's 170 years … £170 off – Geddit?
It is not unusual for Thomas Cook, as with its rivals, to tempt customers into early bookings with bold promotional claims this time of year. But there is no doubt – in theme at least – that this latest promotional campaign is a little unorthodox. (Don't get too excited, however: the small print says the offer applies only if there is a minimum spend of £1,200 per booking)
Goodness knows Thomas Cook had to come up with something. Bookings were said to be down 30% in the UK last week, and insurance group Northern & Western had briefly withdrawn cover on Thomas Cook products. Elsewhere, rival group Tui was taking out whole page ads in newspapers gleefully declaring: "Another holiday company may be experiencing turbulence, but we're in really great shape."
It is perhaps a blessing that Thomas Cook does not trade under its corporate name outside of the UK, so bookings in other countries have not been shaken as badly. David Cameron may have described it last week as "an important and iconic British brand", but in truth the UK only generates about 10% of profits for the firm.
What a mess. Shareholders are unhappy, lenders are unhappy and staff are unhappy. Let's hope incoming chairman Frank Meysman, who takes over from the curiously absent Michael Beckett on Thursday, can quickly appoint a new chief executive to rebuild support among all stakeholders.
0 comments:
Post a Comment