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The depreciating rupee may have made foreign holidays costlier, but travel firms and tour operators have found a new way to give a boost to outbound travel. They are now offering packages at a lower foreign exchange rate to sweeten the deal for travellers.
For instance, Kuoni India is currently running a limited period offer in which travellers can get a special offer of a fixed rate of exchange of Rs 58 to a dollar if the holiday is booked within the next seven days.
“This is a ‘book early and save’ offer. It currently covers South-East Asian destinations such as Hong Kong, Singapore and Malaysia,” Vishal Suri, Chief Executive Officer, Kuoni India, said. The travel firm is also offering discounts on Europe tours.
The idea is to drive the theme of affordability around travel so that people do not cancel their holiday plans, Suri added.
Bigger slump likely
According to the findings by industry body Assocham, Indian tourist outflow has registered a significant decline of 15-20 per cent in the last two months due to the depreciation of the rupee.
Travel operators say they are anticipating a bigger slump in outbound travel in the second half of the year. Industry players such as Thomas Cook (India) and MakeMyTrip said the declining rupee has seen travellers prefer short-haul destinations.
To offset the impact of rupee depreciation on outbound travel, some travel firms have launched special products with schemes/offers.
According to Madhavan Menon, Managing Director, Thomas Cook (India), “Anticipating price sensitivity, we had launched a range of products to cover every price segment — from super budget, budget and value to premium.
“This strategy has worked in our favour. Our ‘Early Bird’ discounts and ‘Holiday pe Holiday Free’ offers created a buzz. Such product-cum-marketing initiatives will continue to form part of our strategy going forward.” The travel firm said that its bulk-buying strategy with overseas suppliers (hotels) enables it to give special pricing to customers for the upcoming holiday season.
“Our strategy of special promos, add-ons such as complimentary meals and upgrades serve to offset the pinch of a depreciating rupee,” Menon added.
>nivedita.ganguly@thehindu.co.in
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