Travel agencies raise concerns about duration of Iran war

Travel agencies have raised concerns about the duration of the war as they report the situation in the Middle East is hitting new bookings.

Althams Travel managing director Sandra McAllister said new bookings were down 15% for March, and admitted to concerns about the war’s duration.

“The impact wasn’t immediate, however as the month has progressed and the conflict has had non-stop media coverage, this has resulted in a slowdown in new bookings,” she said.

She added: “It is concerning the longer this continues mainly due to the effect it has on cost-of-living, causing hesitation in customer commitment. However, we have been through much worse times in travel and this situation will pass.”

More: Trade’s focus shifts to fuel and fares as war enters second month

She said most customers with bookings affected by the conflict were opting to amend their trips, with only a small percentage cancelling and choosing a refund.

Advantage Travel Partnership described trading last week as “mixed” with Cyprus and Turkey still suffering from a downturn in popularity as a result of the conflict.

Commercial director John Sullivan said: “Demand was generally softer, with some exceptions in short haul. Cruise had a good week and was up versus the previous week and the same week last year.”

He said destinations in the Western Mediterranean continued to be a popular short-haul option while favoured long-haul destinations included the Caribbean, South Africa, New Zealand and South America, with the US also continuing to “generate interest”.

“More broadly, customers who are actively enquiring are often being flexible on destination if the overall value stacks up. Customers who are going into shops generally just want to get away, and the main European destinations seem like the safer option for many, both from a security perspective and cost,” he said.

But he admitted the consortium was “clearly concerned” about the continuation of the war and subsequent impact on the industry.

The Travel Network Group said volumes had softened week on week but said beach holidays had sold “particularly well”, all inclusive sales were 30% up and family bookings increased 20% compared with the same week a year ago.

Commercial director Katharina Peck said: “We are seeing some customers request amendments or cancellations, but this is largely driven by insurance concerns - specifically where certain insurers are not covering transit routes or full holiday protection. 

“Importantly, the intention to travel remains strong; customers are simply taking longer to make decisions.”

She said Turkey had enjoyed a “real turnaround” in group members’ sales, trading up 13% year on year last week, while Cyprus continued to suffer.