The relentless summer is driving more well-heeled Indians to cooler climes and newer destinations abroad. Thomas Cook India Ltd (TCIL) is seeing growth of 40-50 per cent over last year in travel out of India for the April-September period. Newer destinations are emerging in Scandinavia and Eastern Europe, including countries such as the Czech Republic, Hungary and Poland. The top outbound destinations, besides these two regions, are Manchester, Yorkshire, Israel, Korea and Flanders (Belgium), says Mr Amod Thatte, Associate Vice-President (Leisure Travel-Outbound), TCIL.
Mr Thatte said customer psychology had changed – they want to indulge now, fuelled by greater disposable income and a “feel-good factor” arising from a good economy. He said, though, that it was difficult to estimate the size of the tourism market in India as there were numerous companies in the unorganised sector and barely any report their earnings.
Holidaying Indians are seeking newer experiences as well, said Mr Thatte. There is more demand for vacations that allow one to explore and so there are more people going on ‘self-driving' holidays. New Zealand is the most popular destination but of late, customers have been asking for such holidays in Europe, Malaysia and South Africa too. Customised van tours are on the rise too. There is a big rise in the number of group tours as well as customised holidays,
TCIL will expand its domestic tourism portfolio also, Mr Thatte said. This season, volumes generated from its domestic tours are up by about 60 per cent.
The company, which started its ‘Gold Circle' franchisee drive three years ago to expand rapidly, opened its first Gold Circle outlet in Chennai. To the customer, it will be like any other TCIL outlet that offers foreign exchange, tickets, tours, travel insurance, and visa and passport services. TCIL has four of its own offices in the city.
Franchises are a good way to discover business in smaller cities and towns that have the spending power. They provide local connect, a network of contacts, and reaching out to customers in such places through them is easier, Mr Thatte said. TCIL plans to set up 15 additional Gold Circle outlets in South India by the end of this year. There are 84 outlets now across the country.
TCIL has launched a PG diploma course in international tourism in a tie-up with the Indian Institute of Tourism and Travel Management. In first quarter results declared last month, it announced a net profit of Rs 4.83 crore (Rs 1.94 crore).