The Flight Centre Travel Group may have just announced a surge in profits but it’s already thinking about the next stage of growth through new tech and online sales.
According to the company’s financial report for the first six months of the 2015/16 year, it welcomed an 11.2 percent increase in profits before tax with some $156.9 million.
The group’s net profit after tax jumped by 16.3 percent to $116.7 million and its total transaction value (TTV) grew by 12.8 percent to some $9.18 billion – well ahead of online competitor Webjet, which made $796 million during the same six months.
In fact, pretty much all areas of Flight Centre’s business surged during the first half of the year compared to the same period 2014/15, except America and India.
While the team over at Queensland HQ should be celebrating over champers, instead they’re looking into the future to ensure they stay in the black.
They’ve already come up with six new initiatives, focuses and enhancements to build the business:
1. Retail as an ‘at destination’
Flight Centre will continue to focus on enhancing the store experience by continued investment in ‘next generation shops’.
Adopting the Apple-method, these Flight Centre agencies display enhanced digital signage and are divided into various sectors of travel to make holiday research and bookings more like shopping for a brand new laptop.
The company recently rolled out virtual reality devices in its Singapore stores, perhaps they are coming to its Australian agencies too?
2. And MICE as a must
Also part of the company’s long term strategic focus is building on the meetings, incentives and corporate events sector.
3. Youth is also in sights
Young people are the future and once you have them you can ensure the survival of your business. That’s why Flight Centre says it will continue to chase younger travellers and the student travel sector.
This will be done by focusing on its current youth offerings and building on one of its newest acquisitions – US-based company, StudentUniverse.com.
4. As are those online bookings
Heard of 46-year-old Aunt Betty? If you haven’t you will soon.
She’s been described as the ‘quirkiest brand’ in the entire Flight Centre company and is designed to target new online business.
While the website is up now with a few travel deals, it is expected to be fully operational by 30 June this year. Click here for more information.
5. Then there’s that BYOjet purchase
The travel group added BYOjet to its portfolio in December last year to further tap into the online world.
In 2016, Flight Centre is hoping to expand the business into New Zealand, South Africa and Australia.
6. Tech upgrades are on the way
Flight Centre will make system improvements via the CRM tool in Australia and Microsoft Dynamics’ global roll-out as FLT’s new finance platform.
7. And so is a digital wallet
And finally in the fourth quarter, Flight Centre will launch the Travel Money’s Key To The World digital travel wallet.
Key To The World will gives customers access to itineraries, a prepaid currency card with ten currencies, travel insurance and phone and data SIMS cards, via a single portal.