Annual Report & Accounts 2016

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Our vision today remains true to the principles of Thomas Cook 175 years ago – to be the best loved holiday company, delighting our customers, our people and our Shareholders.
Peter Fankhauser - Chief Executive Officer
Customer at our heart is the cornerstone of our strategy for profitable growth. We know that happy customers are more likely to come back to Thomas Cook for their next holiday and recommend us to their friends.

Peter Fankhauser
Chief Executive Officer

Download CEO’s Review

Quality

We're proud to offer
you holiday at its best

We are passionate travel experts and have been creating great holiday memories since 1841.

We share customer reviews before you book to help you chose the perfect trip for you.

We listen and act on your feedback. Our teams and the partners we work with are always looking to improve to make your next holiday even better.

Service

We're here to
help you at any time

We'll be there whenever you need us. Our teams are available around the world, 24/7.

We are here to make you happy and we promise to put you at the heart of everything we do.

Your holiday means the world to us. We'd love to welcome you again and are committed to sending you home with great memories of your holiday.

Reliability

We've got
everything covered

We care. You can trust us to always be open and honest with you.

We always give you all the information you need to make your time away stress-free.

Your money’s safe when booking with us. We’re ATOL protected for peace of mind.

We've made big strides towards our target to put the customer back at the heart of the business. Our strategy is clear: to deliver sustainable growth by giving our customers great holidays which inspire them to come back to Thomas Cook and recommend us to their family and friends.

Own-brand Hotels
and Resorts

Our own-brand hotels and resorts give us a higher degree of control and management over customers' holiday experience, ensuring we provide a consistency of high quality and service, while generating better returns for the business.

Ocean Beach Club by Sunwing

PETER GRANDELL

DIRECTOR OF OPERATIONS & PRODUCT, HOTELS & RESORTS

Our Ocean Beach Club (OBC) hotel concept is an extension of our family-focused own-brand hotel, Sunwing. We discovered from customer feedback and research that there was an appetite for something more exclusive. So we created OBC as a way to bring luxury for the modern family.

Our Holiday
Offering

Our holiday offering, with our own-brand hotels and resorts at the heart, is focused on a defined portfolio of hotels chosen on the basis of quality and high standards.

24 Hour Satisfaction Promise

SARAH WIEDEMANN

PROJECT MANAGER FOR THE 24 HOUR SATISFACTION PROMISE

The 24 Hour Satisfaction Promise has made a big impact this season. For our customers it’s a commitment from us to solve any potential issues in a specific timeframe, making sure they can get back to having the carefree holiday they deserve. It also really motivates our reps who know we need to be quick and creative to resolve any issues within 24 hours.

Added-value services and
strategic partnerships

As part of our strategy to offer customers a more personalised holiday experience, we are increasing our offer of relevant added-value services.

Sales of value-add holiday extras

CHRISTIAN FUNK

GROUP ANCILLARY DIRECTOR

Over 2016 we have widened the choice of additional services available for tour operator customers travelling on our own airline. By offering a range of optional extras, customers can tailor their journey and take advantage of upgrades available while opting out of services that do not suit their preferences, making sure they're only paying for what is important to them and their family.

Efficiencies and
Streamlined Structure

Underpinning everything we do is a rigorous focus on costs, as we continue to build a more efficient and effective business.

Achieving efficiencies in Continental Europe

STEFANIE BERK

MD CENTRAL EUROPE

As part of our strategy to reduce organisational complexity and remove duplication, we’ve been working on how we combine our businesses in Germany, Belgium and the Netherlands. This is where we have the biggest potential for efficiencies.

Financial KPIs

Underlying EBIT & EBIT Margin

Underlying EBIT & EBIT Margin
Definition

Underlying EBIT provides a measure of the underlying operating performance of the Group and growth in profitability of the operations. EBIT margin measures the underlying EBIT generated as a proportion of sales. We target improving these metrics across all our businesses,

Basic EPS

Basic EPS
Definition

Basic earnings per share (EPS) represents profit for the year attributable to equity Shareholders. This metric provides a measure of Shareholder return that is comparable over time. We are targeting a positive and improving EPS.

Net Debt

Net Debt
Definition

Net debt is a measure of how the Group is managing our balance sheet and capital structure. A strong balance sheet is essential to withstand external market shocks and seize opportunities. Accordingly, reducing net debt and as well as the cost of the debt is a priority for the Group.

Non - Financial KPIs

NPS

NPS
Definition

Net Promoter Score (NPS) is an index that measures the willingness of our customers to recommend our products and services to others. We use this as an indicator across the whole Group of our customers' overall loyalty and satisfaction in relation to our flights, our hotels and the holiday experience overall.

We are targeting NPS increases in all of our source markets and our branded hotels.

Employee Satisfaction Score

Employee Satisfaction Score
Definition

Our employee engagement is measured through an annual Group-wide survey which is anonymous and run by a third party. Satisfaction is measured across a "core-index", consisting of four main areas including engagement, leadership, strategy & objectives and organisational capabilities. This is externally benchmarked across the Travel & Leisure industry. Our target is an increase in the core-index score year on year.