The travel industry, like the world it facilitates, is constantly in motion, adapting to change with each passing day. In a candid conversation with ETTravelWorld, Madhavan Menon, Executive Chairman of Thomas Cook India, shared his thoughts on the ever-evolving landscape, shedding light on the company’s strategies, challenges, and aspirations for the future.
Menon clarified that in taking over the Executive Chairman role, he has not assumed a new position but is refocusing his efforts on group-level strategy and harmony. This will include a greater external presence as the company’s representative. The conversation also reflected on TCI’s swift response during the Covid-19 pandemic. Significant cost-cutting, including a 50 per cent reduction, helped the business weather the crisis. Workforce productivity was also boosted through technology upgrades completed remotely.
Embracing change at the speed of light
Menon acknowledged the swift pace of change that defines the travel and tourism industry. He emphasised the necessity for constant adaptation, asserting, “The pace of change is both exhilarating and intimidating. It’s incredible how rapidly things are evolving. One thing that’s certain is that if you don’t adapt daily, you’re in for a challenge.” Despite the dynamic shifts, he recognised that the core essence of the industry remains constant.
Looking ahead, Menon aims to maintain 20-30 per cent lower costs versus pre-Covid levels. Customer-centricity will also be a priority as preferences evolve. Younger travellers and experiences like cruises are opening new opportunities.
Thomas Cook India’s strong financial rebound demonstrates the success of its transformation. Menon believes online booking growth and quality customer service will be important drivers in the coming years. Maintaining flexibility and adapting to change remain core priorities for the travel group under its new leadership structure.
The generational shift: challenges & opportunities
As the younger generation infiltrates the travel business, Menon highlighted the contrast it brings. He noted that while the younger cohort embraces technology and new modes of operation, the older generation struggles to align. This shift in dynamics poses both challenges and opportunities for the industry, ultimately pushing it towards modernisation.
With his transition to Executive Chairman, Menon emphasised that his role would evolve to become more visible. He explained that he aims to bring the company’s strategy, technology, processes, and governance into harmony, leading the company towards a brighter future. This includes enhancing external representation as the brand’s face.
Menon attributed the creation of an omni-channel approach to the post-COVID environment. “The pandemic accelerated the adoption of technology and shifted customer behaviour. This led us to develop an omni-channel approach that combines online and offline experiences. It allowed us to improve cost savings, productivity, and customer experiences. These aspects will be key drivers for the company’s strategy moving forward,” he stated.
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Key takeaways and future outlook:
Sustaining Cost Efficiency: Menon said maintaining the 20-30 per cent cost savings achieved during the pandemic is a top priority for the company. This will be crucial in sustaining margins while navigating a recovering industry.
Customer-centric focus: As preferences evolve, the company is committed to improving customer interaction and service quality. Online booking growth and enhanced customer experiences are pivotal drivers in this endeavour.
Challenges of talent attraction: Menon accepted that attracting new talent to the industry post-Covid is a challenge, and it will take some time for the travel industry to ‘attract’ people to the industry. He added that Thomas Cook India is proactively engaging with fresh graduates and aiming to nurture them for the industry. “One approach will be renewing efforts to hire fresh graduates and develop talent over the long term,” he said.
Menon’s insights reflect the dynamic nature of the travel industry and Thomas Cook’s resilient approach to change. As the company embraces technological advancements, enhances customer experiences, and maintains cost efficiency, its journey in the ever-evolving world of travel continues with a renewed vigour.
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