How is the holding company project developing with Frequent Flyer Travel Paris?
Jordy Staelen - The merger is moving in the right direction, and we're going to meet our target of finalising our project by mid-December. Our management teams are holding discussions upstream to identify the synergies to be exploited, and there are many of them, both for us and for our customers.
Why this rapprochement?
J. S. - Marc Leidelinger and I have known each other for seven years, we belong to the same network, and we are both directors of Tourcom. The directors of the two companies have therefore known each other for a long time, and discussions were held well in advance. This is a project that has had time to mature. We simply announced it slightly ahead of schedule to avoid fuelling rumours which, by definition, would not have been borne out.
Why did you opt for the holding company format?
J. S. - We opted for the holding company structure because we believe that each of the two companies will bring strengths to the other. We share the same values, but we don't have the same tools, the same employees or the same customers. We wanted to pool our strengths.
Why is this the best time for such a project?
J. S. - We've both reached a size that's interesting but not yet critical, or at least that's becoming so thanks to the merger. We're going to be able to target the larger accounts that come to us, with travel budgets of €10 or €15 million, and who were a bit wary of entrusting their budgets to a medium-sized organisation. With this merger, we are no longer a medium-sized organisation. And we are very much in demand from companies looking for a high quality of service, excellent technological expertise, price optimisation and a 24/7 service in France. We are the only French-owned group, and one that is managed by its founders, to offer all these solutions to the market as a whole.
Will the two entities still exist in the medium term, in five years' time?
J. S. - To be honest, we don't know the answer to that question. In the short term, both brands will continue to exist.
Are the TMCs doomed to join forces to face up to the current context?
J. S. - Consolidation is not an aberrant trend in a sector like ours, which has reached a certain maturity and where margins are low. It makes sense to join forces so that we are stronger, have more leverage with our suppliers and can offer our customers better terms and conditions. Our alliance makes sense insofar as companies bigger than us - there won't be many of them left, maybe four or five in France - haven't made strategic choices focused on quality, developing human skills and service. By joining forces with Frequent Flyer Travel Paris, we have access to all the technologies: we are multi-GDS, we have access to all the SBT (Self Booking Tools) on the market, and we offer unique solutions such as 24/7 in France or the SYSO fare optimisation tool. So we have the same technological solutions as the major players, unique solutions, and above all a service culture that is highly developed within all our teams.
How did your customers react?
J. S. - We informed them all individually, and everyone welcomed the news. We're the two most dynamic companies in the French business travel market today, and we're winning a lot of new business. Our customers will have access to better rates, more technology, more solutions... It's all a plus. So we've had a very positive reception, I'd even say an enthusiastic one, including from our suppliers.
