TTNG is set to experience steady growth in 2025, buoyed by positive economic shifts.
A significant rise in late sales during 2024’s latter half suggests favourable trends for the coming year.
The Travel Network Group (TTNG) anticipates a continuation of steady growth into 2025, driven by easing economic pressures. Inflation is expected to decline further, and interest rates are projected to see additional reductions. Vim Vithaldas, TTNG’s chief commercial officer, highlights a “buoyant” second half of 2024 for members, forecasting a similar trajectory for the coming year.
Vithaldas noted a stark contrast in performance between the two halves of 2024. From January to June, passenger numbers increased by 2% year-on-year, while revenue rose by 5%. However, from June onwards, passenger numbers surged by 7% and revenue by 12%.
He attributed this increase to the stronger-than-expected performance of the lates market, which exceeded initial predictions. The good British weather returning and the high cost of staycations contributed significantly to this growth.
The cruise sector demonstrated remarkable performance, contrary to challenges faced by long-haul travel.
Although certain long-haul markets, such as Thailand, experienced pockets of success, the US market posed more significant challenges. Recently, pricing has begun to normalise, which is anticipated to boost travel numbers.
Vithaldas elaborated that members are selling as well for the forthcoming year as in previous times, reflecting an overall expectation of consistent growth.
TTNG’s membership currently stands at 1,150, with all membership types experiencing growth in 2024, notably within Worldchoice Plus and Global Travel Group. Vithaldas emphasised the focus on organic growth, rather than setting specific membership targets.
He pointed out that managed service options have become increasingly attractive, helping members streamline operations by handling logistical tasks like supplier payments.
The emphasis is on enabling members to concentrate on their core competency—selling holidays—by relieving them of back-office stresses.
Vithaldas explained, “We manage the backend tasks, allowing our members to focus on their strengths.” This operational strategy aligns with TTNG’s growth ambitions, prioritising effective and efficient membership service.
The economic outlook suggests a promising path for TTNG, as inflationary pressures are predicted to ease alongside potential interest rate deductions. This potential economic improvement underpins the group’s optimistic forecasts.
Such macroeconomic factors are crucial in shaping TTNG’s expectations for industry growth and resilience in the near future.
TTNG’s strategic focus and positive market conditions indicate a robust outlook for 2025.
As economic improvements take hold, the group remains poised for sustained growth and resilience.
