REWE Package Tours Growing Contrary to Industry Trend

Cologne, 21.07.09

Sales and product offensive is bearing fruit in the year of economic crisis

In this year of economic crisis REWE's package tour division has detached itself from the development of the travel and tourism industry. During the first eight months of the travel and tourism business year 2008/09 (31 October) turnover has risen by three per cent compared with the previous year. Also the business results are slightly above the year before. This information was provided by the head of senior management of REWE Tourisik GmbH, Dr. Rembert Euling, on the occasion of a press conference held in Cologne on 21 July 2009. As in the past, the subsidiary of REWE Zentralfinanz AG does not publish detailed business figures.   With the result achieved, REWE's package tour division has outperformed the overall German tour operator market by ten per cent. According to the Deutsche ReiseVerband (German tour operator association - DRV), the industry's average business results are seven per cent below the figures of the previous year.   "The gains in the exceptional year of 2009 confirm the course we have taken. Our growth is target-oriented and we achieve it together with our hotel and sales partners", Dr. Euling said and added that the current development could be attributed to three success factors: "We have the strongest sales structure. We force up strategic partnerships with very renowned hotel chains. And we complement the traditional catalogue business with a new approach: Hotels, flights and transfers are offered according to the needs of the customers and sold on a daily price basis", said Dr. Euling. This provides the 10,000 travel agencies - stationary travel agencies and online portals alike - a new flexibility that is directly reflected in the sales figures.   For the business year 2009/10, REWE's package tour division expects the harsh competition among tour operators to go on. Dr. Rembert Euling: "A strong sales performance, quality and promptness remain to be the key success factors. We will continue on our growth course."   For the winter season 2009/10 REWE's package tour division has announced huge price cuts to be offered to the customers. The tour prices for ITS, JAHN REISEN and TJAEREBORG will be lowered on average by five per cent. "These benefits can be offered to our customers since kerosene surcharges are no longer levied and as we achieved more favourable purchasing conditions due to our growth", said Dr. Rembert Euling.  

REWE Touristik Relies on Flexibility

Daily updated offers to be expanded - Travelling in winter five per cent cheaper

REWE Touristik starts out for the winter season 2009/10 with a considerably larger travel programme. The Cologne-based tour operator will publish a total of 14 catalogues of the tour brands ITS, JAHN REISEN and TJEAREBORG. Customers can look forward to more hotel destinations than ever for long-haul tours, to a self-run ship cruising and to considerably lower prices. Corporate strategy will continue to focus on increased flexibility in purchasing and sales, said Dr. Rembert Euling, head of the senior management of REWE Touristik GmbH, on the occasion of the presentation of the winter season programme in Cologne.   REWE Touristik, the travel and tourism division of REWE Group, has announced to respond in future to the travel needs of customers by employing two different business concepts. "We are becoming a 'hybrid' tour operator", said Dr. Euling. The traditional travel catalogue and appealing early booking discounts will also in future offer perfect opportunities for all customers who have the time to plan their holidays well in advance. The first excellent results achieved with the flexible tour operator TJAEREBORG INDI will be followed by more success stories.   "Many people, however, be it due to occupational or to family reasons, can only decide at short notice when and where to go on holidays, Dr. Euling stressed. "We will considerable increase the number of hotels and flights for this ever growing group of clients, who combine them with transfer and tour guide services when booking their holidays." The guests can benefit from two advantages: The customers can freely chose the holiday's length and they can benefit from flight and hotel prices offered on a daily updated price basis.   The holidays of guests of ITS, JAHN REISEN and TJAEREBORG in the winter season 2009/10 will on average be five per cent cheaper than in the previous year. They will benefit from the lower oil prices and thus from the fact that kerosene surcharges are no longer levied. Another benefit is due to the considerably increased purchasing advantages REWE Touristik was able to achieve. Dr. Euling: "Our market position has also an influence on our purchasing conditions." The strongest price cuts will be offered for holidays in Thailand, where REWE Touristik has reduced its prices by 14 per cent.   For the first time, the Cologne-based tour operator has a sea cruising on offer. In cooperation with NCL Freestyle Cruising, ITS will offer in the summer season 2010 a 7-day-cruising tour from/to Palma de Mallorca. "This very favourably priced offer is also within the means of families and can be combined with a beach holiday on Mallorca", according to the tour operator.   REWE Touristik has also considerably expanded its automotive tour and long-haul tour programme. In the winter season 2009/10, JAHN REISEN will for the first time publish two catalogues for long-haul tours including 137 additional hotels on offer and considerable price cuts compared with the previous year.   Within the framework of its product offensive, REWE Touristik has announced to expand its strategic partnerships with selected hotel chains. "We build on quality and reliability", said Dr. Euling. Among the strategic partners in the Western Mediterranean Sea region are Iberostar, Protour Hotels, Valentin, Hipotels, Sunrise, Lopesan and H10. In the Eastern Mediterranean the partners are Atlantica Hotels + Resorts in Cyprus and Greece, Azur Hotels in Egypt, Tropicana Hotels in Egypt as well as El Mouradi Hotels in Tunisia and the region of Port Ghalib.

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