Holiday Factory to target mass market in UAE

DUBAI - The newly launched Holiday Factory has planned to target mass market in the UAE through its economical and affordable tour packages.

The company, which claims first-of-its-kind package tour operator in the country, said it will follow the well-known style of complete tour package operator that is very successful in European countries since 1970.

Holiday Factory said it offers a real package which always includes return flights, hotel, return airport transfers and the services of a tour representative. The starting price of its introductory offer to Istanbul will cost as little as Dh1,290. The company also offers competitive and affordable package deals on holidays to 23 destinations in Asia, Europe, Indian Ocean and the Middle East.

The system of affordable package holidays revolutionised the travel industry and has been available to the European and other markets for over 40 years.

Most travel agencies offer packages that are expensive compared to that in the other markets making if possible only for a few to afford the same. This is where Holiday Factory wants to bridge this gap that currently exists in the market without compromising on quality.

“We want to encourage middle class to plan dream holidays as our packages are designed to serve this segment otherwise almost all the tour operators are offering luxury holidays,” Holiday Factory Chief Executive Officer Hakan Bakar told Khaleej Times in an interview.

Owned by a German holding company Brainnox Investment & Management Group, Holiday Factory introduces the concept of mass tourism in the UAE and the company also sees potential in other parts of the Gulf for the middle class segment.

“It’s just a beginning and we want to open more factories in other parts of the Gulf region, but Dubai will remain our headquarters,” Bakar said. He claimed that tourists from the UAE are spending around 50 per cent more compared to European tourists on same flight and same star hotel accommodation.

Excerpts from the interview:

What is your target market and how different is your product from others?

We will target mass market and focus on more volume with less profit, but without compromising on quality of the product. The existing tour operators have products, but those products are high class and only cater to luxury tourists. They used to do this because they belong to airlines, which are high quality. So the package, flight, and hotel with these airlines make sense to make it five-star. Our product is for middle class and we want them to plan their dream holidays in world famous tourists destinations. We are offering 25 countries and our launch offer is for Istanbul where the company is offering complete package including hotel, flight and return transfer at a price starting from Dh1,290 and it will not go over Dh2,000 even in the high season. Like Istanbul, we have same kind of offers for Beirut, Cairo, Berlin, Rome, and Far Eastern countries.

What is the secret behind these lower packages?

Actually the most important thing is that we are not depending on the data banks. You will not find every hotel in our brochures as all the hotels available are very carefully chosen. We met the decision makers to negotiate the prices. We have on the contract all together 237 hotels. Last year I was more in the air between November 1 and March 25 this year to see all the hotels and meet decision makers for negotiating the hotel rates.

We are also working with 20 airlines including UAE airlines for special rates and for some destinations we have more than one airline.