Egypt, a land steeped in history and culture, has long been a destination of desire for avid travellers. The allure of this ancient nation can be traced back to the late 19th century when pioneers like Thomas Cook began orchestrating tours for affluent gentlemen and ladies to its magnificent archaeological sites. By 1996, 2-3 million people visited Egypt from across the globe representing 0.4% of world tourism and nearly 200,000 came from the UK. However, the 1997 Luxor terrorist attack cast a long shadow, leading to a sharp decline in tourism to the region.
When Chris Mottershead assumed the role of Managing Director of TUI UK in 2001, he faced a daunting task. Egypt, a once-thriving tourist destination, had seen its appeal wane, with minuscule numbers of visitors. Yet, TUI, with its ambitious growth objectives, was in dire need of fresh destinations that could offer year-round holiday opportunities.
Recognising the untapped potential of Egypt’s sun-soaked landscapes, Mottershead, in collaboration with strategic hoteliers, took a calculated risk. He reintroduced year round flights to Sharm El Sheik, an emerging tourism hub in Egypt.
The rationale was clear: with limited attractions outside the hotel premises, there was a need to offer the All-Inclusive holiday packages that had become a top-selling product for tour operators across Europe. However, to entice tourists and restore their confidence in Egypt as a travel destination, offering these packages at rock-bottom prices was imperative.
The underlying factors supporting this strategy were compelling: the ability to operate these hotels throughout the year, combined with low operating costs delivered from minimal land costs (given that most hotels were erected amidst vast deserts), and low staffing expenses. This allowed All Inclusive hotel prices as low as £16 per night to be sourced which where more than 50% lower than those in other Tui beach destinations.
After quickly re-establishing Sharm El Sheik as a sought-after destination, it was soon that the coastal city of Hurghada joined the list, catering to the swelling demand for affordable, year-round sunny holidays.
Chris Mottershead’s visionary approach became a trendsetter. Soon, other UK-based tour operators followed suit, propelling Egypt back into the limelight as a prime holiday destination. Within a remarkably short timeframe, Egypt’s visitor count skyrocketed, with the nation welcoming half a million UK tourists annually.
This rebirth of Egyptian tourism underscores the potent combination of strategic foresight and calculated risk-taking. Mottershead’s endeavours rejuvenated the Egyptian tourism sector and fortified TUI’s position as an industry trailblazer.