Thomas Cook In Financial Trouble

[Obelix 11]

1 hour ago, iansheff said:

Some of he other companies are certainly trying to make a profit out of TC's failure with prices going very high with them claiming it is due to supply and demand. Looked at Olympic last night, the other week there was a holiday to Rhodes for one person  £800+  (way over priced then) now over £1100  and that is for self catering start of October.  I have stayed in the apartments before and they are nice but the prices Olympic are asking are ridiculous. Just had another look this morning and the holiday for one at over £1100 is now £1293, it says that includes a discount of £170 then you have to pay luggage and transfers. 

People who get their money back are certainly going to pay way over the odds, that's if they can afford to  book a holiday to replace the one they have lost.

 

It is due to supply and demand... The supply of places from TC has fallen and there is still a demand so of course prices are going to go up. Supply is relatively inelastic and thats how the curve works...

[iansheff 86]

39 minutes ago, Obelix said:

It is due to supply and demand... The supply of places from TC has fallen and there is still a demand so of course prices are going to go up. Supply is relatively inelastic and thats how the curve works...

Yes supply and demand will always be there and that of course is how they justify school holiday prices. The woman in the article below found a similar holiday to replace the one they lost, went back online to book 2 hours later and it had gone up £19000 .

 

https://www.mirror.co.uk/news/uk-news/mum-blasts-virgin-holidays-over-20171432#comments-section

[Chez2 10]

I have travelled to the same destination for over fifteen years using Thomas Cook and a competitor. Unfortunately I booked both flights with TC for next year. On Monday at 8:30am I filed a claim with my credit card for a refund from them and booked the flights with another company. I have just looked and the flights are still the same price as they were on Monday morning. 

 

If people aren't tied to one destination I'm sure they can avoid those who are hiking the prices to an unrealistic level. My flights were for next year but I still expected them to have gone up in price as TC had four flights a week from Manchester and one (sometimes) from East Midlands plus Birmingham etc.  The competitor I am going with has one flight per week from Doncaster,  one or two from East Midlands and three from Manchester. 

[geared 303]

Planes don't usually fly around with many spare seats, so there's a very limited number of places available for all the people trying to rebook.

 

There's not much can be done, it's probably better to just get a refund and book another holiday somewhere else at another time.

 

 

[Chez2 10]

37 minutes ago, geared said:

Planes don't usually fly around with many spare seats, so there's a very limited number of places available for all the people trying to rebook.

 

There's not much can be done, it's probably better to just get a refund and book another holiday somewhere else at another time.

 

 

If you are not picky about where you go there are some deals. I've just looked at Tui last minute holiday for October this year. I have often been on flights early or late season with at least ten empty seats on planes that have thirty rows of six seats. 

[Lockdoctor 10]

8 hours ago, iansheff said:

Some of he other companies are certainly trying to make a profit out of TC's failure with prices going very high with them claiming it is due to supply and demand. Looked at Olympic last night, the other week there was a holiday to Rhodes for one person  £800+  (way over priced then) now over £1100  and that is for self catering start of October.  I have stayed in the apartments before and they are nice but the prices Olympic are asking are ridiculous. Just had another look this morning and the holiday for one at over £1100 is now £1293, it says that includes a discount of £170 then you have to pay luggage and transfers. 

People who get their money back are certainly going to pay way over the odds, that's if they can afford to  book a holiday to replace the one they have lost.

 

The aim of any business is to make a profit. Supply and demand  are what it needed to understand for anyone big or small when running a business.

Edited September 25, 2019 by Lockdoctor

[Manlinose 10]

On 24/09/2019 at 13:24, nightrider said:

Possibly, depends whether TC was saveable with the right management to turn it around. If so, then it would make sense to give it breathing space. If not then I agree its just throwing good money after bad.

It isn't the Government's role to take that view, or even consider it. Thomas Cook was not an essential business or in an essential industry.

 

The directors, shareholders and/or creditors could have proposed or supported Administration or a Company Voluntary Arrangement if the underlying business was viable. The fact they chose liquidation is telling.

[sheffbag 227]

Good news today for some of the staff with Hays travel buying the stores and pledging to keep them open.

[tinfoilhat 11]

6 hours ago, sheffbag said:

Good news today for some of the staff with Hays travel buying the stores and pledging to keep them open.

I walked past the Worksop branch yesterday - it’s a triple fronter. The business rates alone would be eye watering. It’s an out of date model that will be defunct in 12 months taking Hays with it.

[alchresearch 214]

12 hours ago, tinfoilhat said:

I walked past the Worksop branch yesterday - it’s a triple fronter. The business rates alone would be eye watering. It’s an out of date model that will be defunct in 12 months taking Hays with it.

I was thinking the same.  Hays are crazy to just buy all the shops without looking at the size and rents of each first.

 

The one in Southport is on the most expensive street, where shops are closing left, right and centre.  The council's rates are just crippling so many businesses, and their solution is to bring in more parking meters and raised parking costs, so people are deserting the town and going to the retail parks or to other resorts where parking is free.

[francypants 441]

If Hays are going to reopen the Thomas Cook shops, there will be two Hays Travel shops in the small shopping area of Chapeltown ( Sheffield ).    Doesn't seem viable to me especially when more and more people are booking  holidays on line .....  but I'm not a business person so who knows ?

[Bargepole23 337]

1 hour ago, alchresearch said:

I was thinking the same.  Hays are crazy to just buy all the shops without looking at the size and rents of each first.

 

The one in Southport is on the most expensive street, where shops are closing left, right and centre.  The council's rates are just crippling so many businesses, and their solution is to bring in more parking meters and raised parking costs, so people are deserting the town and going to the retail parks or to other resorts where parking is free.

Business rates are set by central government, not councils, or so I thought.

 

Without parking meters those spaces would be filled long before shoppers got near them.