TTC Insights Travelcast

Transcript

1. Good afternoon October 2025
2. Today’s presenters Martin Alcock Director, TTC martin@thettc.co.uk Simon Brodie Director, TTC simon@thettc.co.uk Andy Headington CEO, Adido andy.headington@ adi.do Michael Alcock CFO, TTC michael@thettc.co.uk
3. Regulatory update Economic backdrop
4. Consumer fundamentals Source: UK Office of National Statistics: October 2025 Average wages increased by 4.7% Inflation rate (CPI) Remained at 3.8% Interest rate remained at 4.0% Unemployment rate increased to 4.8%
5. Source: GfK Consumer Confidence tracker, September 2025 Consumer confidence
6. Source: Barclaycard UK Spending Report, published October 2025 Spend growth Transaction growth Hotels, resorts & accommodation -2.2% -6.0% Travel 0.8% -5.6% Travel agents 4.2% 18.1% Airlines -4.3% -8.6% Public transport -2.6% -11.3% Other travel 3.7% 4.3% Non-essential spend increased by 0.2% -2.6% Essential spend decreased by
7. Regulatory update Latest trading
8. Soundbites from the sector On their forward order books - “Nearly half of 2026 [is] already on the books… alongside [an] unprecedented start to 2027 with record booking volumes during 3Q.” Carnival; Q3 Results – September 2025 Saga 2025-2026 Interim Results Statement – September 2025 “The trading of the Group for the period is ahead of expectations, with a strong performance in Travel… we have strong forward bookings for the second half of the year in both Ocean and River Cruises, and in Holidays we anticipate a further improvement in profitability driven by higher passenger numbers.”
9. TUI Pre-close Trading Update – September 2025 Soundbites from the sector On current trading for ‘Markets + Airline’ - “The UK shows positive momentum [for summer] with bookings up +1% whilst in Germany, bookings are at -5% reflecting our strategic focus on protecting margins. UK bookings are broadly in line with Winter 2024/25.” On the Beach Pre-Close Trading Update – September 2025 “It remains clear that customers are still prioritising their holidays with our Winter 25 bookings up 12% and we are confident that Summer 26 will continue to build, notwithstanding the later booking patterns.” Club Med H1 2025 Results – September 2025 “Club Med achieved a new record revenue in the first half of 2025, driven by strong activity throughout the period in a Company Business Volume of €1,175 million, up 4% year-on-year at constant exchange rates with positive growth in all regions.”
10. Search trends What are people searching for on Google in the last few years
11. 0 5000000 10000000 15000000 20000000 25000000 30000000 35000000 18-30 Holidays Adventure Holidays Country Specific Holidays Cruise holidays Luxury Holidays Package Holidays Skiing Holidays Specialist interest tour operator UK Holidays Walking holidays Travel Agents
12. 0 2000 4000 6000 8000 10000 12000 14000 16000 -18 -16 -14 -12 -10 -8 -6 -4 -2 0 2 4 6 8 10 12 Cruise holidays cruise holidays 2023 cruise holidays 2024 cruise holidays 2025 cruise holidays 2026 0 2000 4000 6000 8000 10000 12000 14000 16000 -18 -16 -14 -12 -10 -8 -6 -4 -2 0 2 4 6 8 10 12 River Cruise river cruises 2023 river cruises 2024 river cruises 2025 river cruises 2026
13. 0 500000 1000000 1500000 2000000 2500000 Africa Asia Australasia Europe Generic North America Polar South America Villas Continent analysis
14. 0 200000 400000 600000 800000 1000000 1200000 1400000 france germany greece italy portugal spain turkey usa The top EU destinations
15. 0 50000 100000 150000 200000 250000 300000 350000 400000 albania canada japan norway south korea Some ‘movers’
16. 0 500000 1000000 1500000 2000000 2500000 0 100000 200000 300000 400000 500000 600000 700000 800000 Cheap Last minute UK All inclusive Lates, inclusive & UK
17. https://www.adido-digital.co.uk/blog/what-are-the-most-popular-holiday-destinations-in-england/
18. Looking forward: ATOL data insights
19. Looking forward: ATOL data insights The number of ATOL holders is flat, but capacity has risen easyJet holidays and Trip.com are the big movers Seasonality shift - a change in customer booking behaviour? Consolidation continues: top 20 tighten their grip
20. Our next Thursday 20 November Will be on
21. Out and about 4-6 November World Travel Market 10 November ABTA M&A Conference 3 December TTG / PwC / TTC Agenda 2025 27-30 November AITO Overseas Conference Use code M&A25 for 20% discount 19 November Mapping Travel’s Journey in 2026 18 November ABTA Travel Regulations Conference
22. TTC Insights Travelcast October 2025
23. Where is AI & search now?
24. Quick poll – How many of your searches each week have moved to LLMs? Please answer the poll in the bottom right of your screen.
25. https://www.linkedin.com/feed/update/urn:li:activity:7374331192982077443/
26. https://www.semrush.com/blog/google-usage-after-chatgpt-adoption/
28. https://chatgpt-vs-google.com/
29. https://searchengineland.com/google-more-visitors-ai-systems-report-462905
30. https://www.theinformation.com/articles/openai-projections-imply-losses-tripling-to-14-billion-in-2026
31. https://seekingalpha.com/article/4829118-amd-the-circular-ai-investment-bubble-explained
32. We are living in an age of declining website traffic.
33. Google has been keeping clicks on site for a long time now - but the trend has been getting worse over time https://sparktoro.com/blog/2024-zero-click-search-study-for-every-1000-us-google-searches-only-374-clicks-go-to-the-open-web-in-the-eu-its-360/
34. ~50% drop in 12 months AI Overviews are summaries that appear at the top of search results, aiming to answer questions directly. They keep people on Google longer, give less direct credit to original authors and reduce organic clicks to websites. https://sparktoro.com/blog/2024-zero-click-search-study-for-every-1000-us-google-searches-only-374-clicks-go-to-the-open-web-in-the-eu-its-360/
35. AI Mode is the latest version of Google available which acts an LLM (like ChatGPT) allowing conversational questions and answers, again without taking users to your website. Studies have shown a potential 80% drop in organic website clicks when used. If this becomes default, the whole measurement of success will change forever. ~80% drop
36. Many social channels don’t allow users to click out to your website in the main. Their aim is to control the experience and keep you on their platform. If you are allowed to click out, it’s usually from specific locations or can reduce organic reach of posts. https://sparktoro.com/blog/zero-click-content-the-counterintuitive-way-to-succeed-in-a-platform-native-world/
37. All platforms want to control the user and their journey. In 2026 your website traffic WILL drop. There is no way of getting this back. You need to adapt your measurement and reporting approach going forward. Brand mentions, visibility on social and traditional rank tracking all need to form part of your measurement metrics.
38. We’d love your feedback
39. Today’s presenters Martin Alcock Director, TTC martin@thettc.co.uk Simon Brodie Director, TTC simon@thettc.co.uk Andy Headington CEO, Adido andy.headington@ adi.do Michael Alcock CFO, TTC michael@thettc.co.uk
40. Thanks for joining!