The buzz of Peaks season is here – that time of year time when travellers across the UK start booking their summer holidays, dreaming of sandy beaches or cultural city breaks.
Holidaymakers across the UK will be spending the next couple of months snapping up summer getaways, and with the Civil Aviation Authority (CAA) launching its latest campaign, customers are paying even closer attention to how they book their holidays.
The CAA’s campaign encourages travellers to check for ATOL protection before booking, reminding them of the importance of financial security when choosing a travel company.
With ads running across Facebook, Instagram, YouTube, and Spotify, it’s clear that trust and compliance are at the forefront of consumer decisions this year.
So, how can travel firms make the most of Peaks while ensuring they’re prepared to meet increased scrutiny?
Get your cash flow in order
Peaks season is a time of high demand, but it can also lead to cash flow bottlenecks if you are not prepared.
For example, increased bookings might bring in more revenue, but are you ready to handle the operational costs that come with them?
Take a moment to review your cash flow projections. Are your reserves sufficient to cover expenses like advertising, supplier payments, or potential refunds?
If not, it might be worth considering a short-term funding solution to bridge the gap.
Invest in targeted marketing – but watch your budget
The CAA’s new campaign reminds us how competitive the travel industry can be during Peaks. Consumers are looking for trustworthy travel firms, so your marketing efforts should focus on what sets you apart – whether that is ATOL protection, unique destinations, or unbeatable service.
However, marketing during Peaks can get expensive.
To avoid overspending, set clear budgets and track the performance of your campaigns. Are your ads on Facebook, Instagram, or YouTube actually driving conversions?
If not, it might be time to reallocate your spend.
Stay ATOL-compliant
With the CAA’s campaign putting ATOL in the spotlight, consumers are more aware than ever about financial protection when booking holidays.
For travel firms, this means compliance is absolutely crucial.
Ensure your ATOL licence is up to date and that you are meeting all reporting requirements.
Need help? That’s where we come in – we can assist with the financial side of your ATOL compliance, from reconciling accounts to preparing your financial reports.
Be proactive about refunds and disputes
High booking volumes often come with their share of hiccups – cancellations, disputes, or even supplier issues.
Having a clear, proactive refund policy in place will not only protect your reputation but also keep your finances in check.
This is also a good time to review your liability coverage and ensure your reserves can handle unexpected costs.
We can help you stress-test your finances to identify any weak spots.
Plan for long-term growth, not just short-term gains
While Peaks is an incredible opportunity to boost revenue, don’t lose sight of your long-term strategy.
Use this time to evaluate your business’s financial health.
Are there ways to streamline your processes, reduce costs, or invest in technology that could benefit you year-round?
We have helped travel firms implement systems that improve financial tracking and forecasting, giving them a clearer picture of their profitability throughout the year.
Peaks season can be a whirlwind, but with the right financial strategies, it is also a time for growth and opportunity.
As accountants, we are here to help you not only survive Peaks but thrive during it.
If you would like to chat about how we can support your travel business, from cash flow management to ATOL compliance, contact us today.
