Thomas Cook eyes growth potential in Germany

The head of Thomas Cook Group Plc operations in Germany has said that he expects the British-based group to see a boost in sales and profits in the German market, despite the increasing high price of fuel.

“We still see several opportunities for further growth in Germany,” noted Peter Fankhauser, in a recent interview. The company hopes to reap economies of scale and will focus on targeted client groups,” he continued.

In the six month period ending 30 April, Thomas Cook narrowed its overall losses by 15 percent, to 178 million pounds on sales of nearly 3 billion pounds - up 7 percent.

Fankhauser commented, however, that he was concerned the surge in energy prices, which were responsible for increased air fares.

“Consumers already have less money in their pockets, given higher energy and food prices. If prices for holidays also rise strongly, certain demographic groups will not travel any more,” he added.

Fankhauser reported that the company is currently able to offset higher flight costs by negotiating for lower prices with hotels. The euro’s strength has also been helpful in keeping a measure of control on prices for long-distance holidays.

Thomas Cook is a unit of Arcandor, and plans for additional franchise partners in Germany as the brand becomes more popular with travel agents.

“We want to anchor the brand more strongly in cities,” he commented.

www.thomascook.com