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Patrick Thorne

15 Jul 13

UK Ski Travel Industry Returns To Growth

Patrick Thorne

15 Jul 13

New figures published today by the UK’s largest tour operator, Crystal, show that last season saw a small overall increase in ski holidays taken by Brits, after four successive seasons of decline following the economic crash.

The overall ski market increased by 1% last winter. The overall number of skiers increased by 5,000 year on year, increasing the number travelling abroad to 899,700 in 2012/13, the first increase of numbers since the peak in 2007/8.

The authors of the 2013 Crystal Ski Industry Report believe that the 2012/13 season finally turned the corner due to fantastic snow across European resorts, a ‘good calendar’ for Christmas and New Year departures, and an early Easter holiday in March.

“As anticipated, last year the decline in the ski market has now bottomed out and we are starting to see signs of recovery and growth. However, we cannot rest on our laurels and need to continue to deliver exceptional value, innovation and great service if we are to see the market return to pre-recession levels,” said Simon Cross, managing director Crystal Ski.

Tour operators and the independent travel sector experienced a 1% rise with packages including lift passes, equipment and catering proving popular with consumers seeking good value and financial certainty.

Amongst the small signs of good news, including the fact that the student market increased slightly due to high value packages, there was more bad news for the schools sector.  With a variety of different school trips now competing with the traditional ski trip, and pressure still being exerted on families’ disposable income the schools market has again declined year on year says the Report. The combined school and student market reduced by a further 2% to 115,700.

Market share has moved only fractionally between the different travel sectors and the different ski nations.

The top seven ski operators’ market share remained stable at 84% of the total tour operator market. Crystal Ski strengthened its leadership last season with a 1% rise in market share to 34% helped by its value-for-money Ski Plus packages as well as inclusive and early booking offers. Thomson Ski saw an increase of about 3000 skiers. TUI Ski which runs Crystal, Thomson and several other brands has  the largest market share at just over 41%, the same as last year.

Hotelplan, the second largest operator, increased its share to 26% (up 1%) of the total tour operator market with Inghams rebuilding their portfolio And other brands Esprit and Ski Total also increasing their share marginally. Thomas Cook owned Neilson remains in third place with just under 12% and an 15.8% decline in sold holidays during the year.

The independent travel sector also experienced a marginal increase in volume of 1%, predominantly as a result of more flight options to the Alps, notably Geneva as well as Jet2 and Easyjet into Grenoble airport according to the Report.

France continues to be the most popular country with British skiers, taking 34.8% in the 2012/13 season, an increase in market share from 34.6% due to improved self catering accommodation and ‘added value’ offers.

Austria’s edge 0.1% closer to regaining that ‘most popular destination country’ slot it once held as its market share rose to 28.2% from 27.9% due to growth in newly linked ski areas and well priced packages especially in smaller resorts.

Italy’s share slightly decreased from 15.4% to 15.2% as Neilson reduced capacity into Turin. Andorran resorts capitalised on market demand for value with its share rising marginally to 6.6%.

Confidence returns to Swiss ski holidays as the Swiss National Bank continues to cap its exchange rate and the ongoing marketing investments pay off. Increase from 4.9% to 5.5%.

The USA continues to see a decline especially in Colorado, whereas Canada grows market share through exceptional marketing campaigns and differentiated offers. In total, North America’s 4% share has dropped from 4.5%. Bulgaria also saw a fall to 2.4% due to Inghams withdrawing.

Scandinavia’s growth to 1.3% is fed through additional flights to Finland and the increase of skiers who also like to peruse other snow related activities than skiing.

“With initiatives from Snowsport England, the indoor ski centres in the UK, our own first time ski or board promotions and the efforts of resorts in Europe and beyond, there is a real focus on attracting new or lapsed skiers to the market,” concluded Simon Cross, “This focus, combined with the additional exposure that the Winter Olympics in Sochi will bring to the sport, should ensure that the growth that we experienced last season is the start of the recovery.”