High street travel agencies have been hitting the headlines this year, with the demise of the market stalwart, Thomas Cook, making every newspaper front page and impacting thousands of workers and customers up and down the country.

So what does the loss of this 178-year-old brand mean for the wider travel agency sector? In the age of the likes of Airbnb, Skyscanner and Secret Escapes is there really still a viable market for booking holidays and travel on your local high street?

We believe there is, and the acquisition of the Thomas Cook estate by Hays Travel – a deal which Savills advised on – is testament to the commitment of the family-run firm and the belief still to be had in the future of the industry. Despite the rise in online booking platforms, many customers still value the face-to-face personal service that high street agents provide and to be offered advice first hand when booking a trip.

As is now so often the case, consumers will research a product or experience online before making the purchase in person and it isn’t necessarily any different with holidays. Hays Travel, a business which has generated over £1 billion in sales in its lifetime, benefits hugely from its esteemed online business and customers will often find holidays online before going into store to ensure they are getting the best package possible. The excellent service then provided in store leads to repeat custom, with many Hays Travel branches welcoming the same customers back time and again due to the positive experience they have received.

Hays Travel isn't the only one capitalising on the changing of the guard in the travel sector. A number of regional operators are also active in their local prospective markets, and some even further afield. Polka Dot Travel, based in the North West, is actively looking to grow its portfolio of stores, and North East firm Dawson & Sanderson is exploring relocations and engaging with landlords on lease restructures in order to maximise the strength of its existing portfolio. Scottish operator Barrhead also announced this month that it’s actively looking to open 20 new sites in the coming months as it expands outside Scotland and acquires sites in the South of the UK.

While the collapse of Thomas Cook was a sombre moment in the retail and travel sectors, there’s no doubt that there are now obvious opportunities in the market to capitalise on the gap it left behind. Although online holiday bookings are growing at pace, there is still demand for tangible travel agent branches, and regional businesses that can build a strong reputation amongst local customers will have the chance to prosper.

Hays Travel has shown that with a breadth of package offers, exceptional service and the confidence to embrace online sales while still maintaining a worthy store portfolio, there is certainly still a spot on our high streets for a travel agent provider.

Further information

Contact Savills Retail