Low cost tourism sees growth despite doom, gloom

Media release attached above – and below

Media release – December 8, 2008

Low cost tourist operators sees growth despite doom and gloom

Low cost tourist operators may be in for a strong summer season despite a global economic re cession, Jucy car and camper rentals chief executive Tim Alpe said today.

Tourism Holdings (THL) recently announced they were 13 percent down on their forward bookings but Jucy said they were excited about growth in demand for the coming summer season.

``We are currently 30 percent up on budget going into December this year compared with December 2007. As the market is currently 10 percent down we are simply taking market share off our competitors,’’ Alpe said.

``We have seen a huge interest in our product as a result of customers looking for good quality cheaper vehicles as a result of the current economic downturn. These are people who may have traditionally gone with a top tier operator.

``We are also benefitting from a strong focus on web business which means that we are not as reliant on traditional distribution channels. We are also seeing the benefits of having a strong Kiwi-owned brand which is in turn generating more business from New Zealanders.’’

The NZ market has not traditionally been a market Jucy has concentrated on over summer, however this has changed and Alpe said Jucy was well positioned to capitalise on this business.

The decrease in Kiwis travelling off shore will have a positive impact on Jucy’s business over the next 12-18 months. They are also seeing growth in their business car rental. They are launching a new product call Lucy Club which is designed to encourage repeat hirers, especially businesses looking at ways to reduce their travel costs.

ENDS

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