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Travel Firm Issues Advisory to Survive the RecessionFebruary 23, 2009 By: George Dooley
In a new guide, strategic advisory firm Hudson Crossing offers recommendations for travel companies on steps that will help to weather an economic environment marked by declining demand and limited access to capital. Hudson Crossings “Five Steps Travel Companies Should Take Now” helps companies prepare for the expectedly lengthy recession with suggestions for planning, streamlining and thinking outside the box.
“Unlike recent economic downturns, this recession is rooted in bank failures and limited access to capital for businesses and consumers. At a time when travel enterprises have no access to cash and consumer consumption is dramatically declining, surviving will in and of itself be an accomplishment,” said Michael W. McCormick, managing partner, Hudson Crossing.
Hudson Crossing’s summary of recommendations for travel companies include: Secure 12 Months of Cash: Expect no white knight at the 11th hour and, when possible, capitalize on market conditions. Strengthen Your Brand: Think beyond the dollar.
Streamline Operations: Cost cutting is not the only answer. Review All Supplier Agreements: New value-adds to explore? Test Your Core Value Proposition: Ask the tough questions and look for bridges to new opportunities.
“Tough times call for creative measures,” added McCormick. “When a business is strapped for cash, evaluating activities to determine not only what can be done without, but also what new alternatives should be pursued, is the key to keeping an enterprise afloat.” To further help travel companies develop a new strategy to face the changed marketplace, Hudson Crossing is offering a business strategy audit. The “Reality Check” evaluates a company’s 2009 business plan against the backdrop of the economic environment, examines brand strategy, streamlines operations and identifies ways to improve financial performance. Visit www.hudsoncrossing.com.