Celebrating a significant milestone, Hays Travel has witnessed substantial growth in profits and turnover on its fifth anniversary of acquiring Thomas Cook’s retail estate.
The Sunderland-based company’s strategic investments and focus on customer service excellence have driven remarkable achievements across the board.
Financial Growth and Achievements
Independent holiday group Hays Travel has seen its profits soar by an impressive 43% as it marks the fifth anniversary of acquiring Thomas Cook’s retail estate. The Sunderland-based company reported a 17% increase in total transaction value, reaching £2.5 billion, while turnover rose by 8% to £457 million. Additionally, group pre-tax profits increased to over £73 million, with operating profit climbing to £60.4 million, surpassing expectations.
The positive results were attributed to growing consumer confidence in travel, despite previous disruptions from global events and supplier changes. Last year, customers showed a greater inclination to travel frequently and explore distant destinations. The group flourished across all sectors, including a notable 31% rise in the homeworking division’s turnover and foreign exchange turnover advancing to £24.8 million.
Strategic Investments and Workforce Expansion
Hays Travel strategically invested £14.8 million into its retail refurbishment programme and new Unified Business Platform technology, alongside other corporate objectives. The company expanded its retail estate with the acquisition of three Holiday With Us branches in Lincolnshire and 19 Miles Morgan Travel shops across the south west and South Wales. This expansion added a substantial 67 shops to its network.
Alongside shop acquisitions, employee numbers increased significantly from 3,197 to 3,535. Earlier acquisitions included Explorer Franchise in 2021, Just Go’s 45 North West branches, and Travel House’s 16 shops in South Wales in 2023. These strategic moves have enabled Hays Travel to bolster its presence and cater to an expanding customer base.
Customer Service Excellence and New Clientele
The firm’s exceptional growth is underpinned by its steadfast commitment to customer service excellence. Over 700 apprentices and graduates received outstanding training and development opportunities, fostering a loyal and skilled workforce.
Nearly 37% of customers in the acquired Thomas Cook shops were new to Hays Travel. This influx is attributed to the company’s dedication to service, the ongoing demand for holidays, and the expertise provided by booking through an agent.
Hays Travel’s efforts in ensuring that customers received refunds during the pandemic earned it a solid reputation. Despite the financial impact of falling from a £4.9 million profit to a £34.2 million loss, the firm remained resilient and continued to care for its clientele through challenging times.
The Bold Acquisition of Thomas Cook
Hays Travel commemorates five years since its decisive acquisition of Thomas Cook’s retail portfolio, a move that increased its shop count from 190 to 745 nationwide. This acquisition was hailed as bold and propelled the company into becoming a household name.
This strategic acquisition not only preserved jobs for up to 2,500 former Thomas Cook employees but also allowed Hays to significantly expand its retail presence throughout the UK.
The acquisition, described as “bold, brave, or bonkers,” was followed by the pandemic just 14 weeks later. Yet, the resilience of Hays Travel saw the company strive through adversity, maintaining customer relations while waiting for travel restrictions to be lifted.
Statements from Leadership and Future Outlook
Dame Irene Hays, owner and chair of Hays Travel, expressed her pride in the company’s adherence to its core values during transformative times. “We were all devastated by the Thomas Cook news, there were so many excellent people at Thomas Cook, and John and I knew we wanted to help,” she reflected.
Dame Irene acknowledged the pandemic’s unforeseen challenges but reiterated her commitment to the decision made. The dedication of Hays Travel employees and the new workforce absorbed from Thomas Cook has been pivotal to their success.
Looking ahead, Dame Irene emphasises a focus on people, customers, and communities, ensuring that Hays Travel remains a leader in the travel industry, adapting and growing in line with strategic priorities.
Continuing Commitment to Vision and Community Engagement
Hays Travel has continuously strived to align with its vision and values, focusing on its people, customers, and community involvement. The company’s success is attributed to its strategic priorities which emphasise developing its workforce and expanding its customer base.
As a significant player in the retail travel market, Hays Travel’s role in customer care and community support remains pivotal. The sustained effort in training and retaining skilled personnel underscores its commitment to quality service.
The ongoing initiatives not only support its strategic objectives but also strengthen community bonds, echoing its dedication to having a long-lasting positive impact.
Hays Travel’s journey over the past five years exemplifies its commitment to growth, excellence, and strategic foresight.
By prioritising people, customers, and communities, Hays Travel has positioned itself as a resilient leader in the travel industry.
