Butlins benefits from the domestic holiday boom

We reported recently on the blog that Pontins were doing rather well as a result of the credit crunch. Now it looks like rival holiday park operator Butlins is doing well too…

News from Butlins is contained in this news article from the Guardian.

Some key points:

- A 15% rise in the number of bookings (i.e. a volume measure). It might be that revenues won’t grow so fast if the volume increase has been affected by promotional price offers, or customers trading down

- Butlins focus on a proposition of stress-free, cost-effective self-catering holidays (not a model I recognise entirely!)

- Butlins is a good example of a private limited company (Bourne Leisure); previously part-owned by venture capitalists but now 100% in the ownership of the directors

I quite like this quote from the Butlins MD, suggesting when UK customers are prefering to take a holiday at Butlins rather than fly away:

“Why would a family subject themselves to what is typically an awful experience at our airports with long queues, delays and excess luggage charges, when they can simply fill up the car with everything they need for a family break and arrive feeling relaxed and ready for a fun holiday. Holidaying in the UK can offer an irresistible combination of convenience, value for money and flexibility.”