TUI Travel begins business review

Holiday company TUI Travel has shaken up its senior management team and is to embark on a review of its mainstream holidays operations.

Imagery from the Thomson Holidays campaign

The changes see Johan Lundgren, currently managing director of TUI Travel’s Northern region, become deputy chief executive of TUI Travel with overall responsibility for the mainstream sector.

Lundgren has also been overseeing UK & Ireland and leading the marketing function since the departure of managing director Dermot Blastland last year. Commercial director David Burling now steps up to the UK MD role.

Lundgren is implementing the review in order to help develop “a business model to focus on modern mainstream and the importance of online across the entire Group.”

The group “will be taking a unified approach across its mainstream businesses” and where it makes business sense, processes, core activities and best practice will be aligned. TUI aims to make sure it effectively leverages its scale across the mainstream sector.

Rival Thomas Cook already has a strategy review underway but has not yet unveiled findings.

Peter Long, chief executive TUI Travel says: “As TUI Travel enters the next phase of its development it is important that our mainstream sector has common goals and focus. Johan, working with his other mainstream colleagues, will ensure that the significant opportunities we have as market leaders in mainstream leisure travel are achieved.”

TUI merged with rival First Choice in 2007 and operates the Thomson Holidays and First Choice brands.

In an unusual move, Thomson Holidays is launching a £5m brand building campaign with a 90 second television spot this weekend, instead of waiting until the traditional post-Christmas period.

The ad focuses on the importance of quality time with family and will appear during The X Factor on Saturday (22 October).

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