Subscribe
Login
Tour Operators

TUI’s Asset-Heavy Business Model Is Helping It Deal With a Tough Environment

Patrick Whyte

Photo Credit: TUI Group CEO Fritz Joussen. The tour operator still expects to hit its profit growth target for 2015/2016. TUI AG

Skift Take

Having managed to shift capacity westwards from the trouble spots in the Middle East and North Africa, TUI Group now looks in a good position to capitalise on the continued desire of Europeans to travel.

While plenty of travel companies are suffering in the wake of geo-political shocks across Europe, TUI Group insists it is pretty much business as usual. Yes, revenue fell during its fiscal third quarter, which ended June 30, and has been revised down slightly for the year but it is still on course to hit its profit target growth of 10 percent. So with Brexit in the UK and terrorism impacting holiday destinations for European travelers, how is TUI managing to stay ahead? For CEO Fritz Joussen it all comes down to its so-called vertically integrated

Get unlimited access with Skift Pro.

Subscribe now for complete access to Skift.com's trusted coverage of the travel industry.

Apple Pay, Google Pay, Paypal, VISA, Mastercard, Discover, American Express

Already a subscriber? Login