Sebastian Ebel, CEO of TUI, stated that the prolonged period of high inflation is coming to an end during a media presentation alongside CFO Mathias Kiep, where the Groups excellent financial results were highlighted.
Ebel noted that confirmation of this trend will allow the company to grow revenues alongside passenger volumes, strengthening demand.
He also presented an ambitious 250 million cost-saving program, split 60:40 between general expense reductions and operational excellence. Importantly, these measures will not lead to staff cuts, as TUI invests in automation and AI. Areas like IT are expected to shrink after the completion of digital transformation. Cost savings will be implemented gradually over a three-year period, until 2028.
After investing in TUIs transition to a market-driven model evidenced by an 11% increase in dynamic packages over the past year Ebel stated that it is now time for TUI to capitalize on these investments and achieve higher profit margins.
He expressed optimism that travel demand will increase in 2026, particularly for unique, brand-focused leisure products, even in competitive destinations. Brands like Robinson, Riu, and TUI Blue are highlighted as key advantages.
Ebel also noted that the historic collaboration with Ryanair on dynamic packages has met its goals and will continue to grow. He added that TUI seeks to add more airline partners to its dynamic ecosystem.
Shift to AI: We will be where our customers are
Ebel announced that artificial intelligence will become central to the TUI experience, reducing dependence on Google, and providing:
- Personalized suggestions, content, and inspirational videos
- Translation and trip planning
- Voice communication and agent functions
- Integration with social media platforms
He predicted the market will split between loyal brand bookers and customers coming to TUI via multiple digital channels, with TUIs new AI concierge at the core.
Investments in hotels and airline fleet
CFO Mathias Kiep confirmed that TUI is investing in both the hotel sector and its airline fleet, with 20 new Boeing aircraft scheduled for delivery in 2026.
This strategy positions TUI to leverage post-inflation conditions, grow revenues, and strengthen its digital and AI-driven customer experience while expanding its physical assets.
