FCTG flags store closures

FLIGHT Centre has confirmed details of a review of its Australian shops, which aims to “right-size the Flight Centre brand network”.

CEO Graham Turner said up to 30 Flight Centre outlets would close this year, with an additional 30 converted to either Travel Associates or Universal Traveller depending on their location and customer base.

As many as 40 stores will also be shifted to better sites, he added, with the company also planning about 20 additional openings including new high-profile “hyperstores” in the Perth and Melbourne CBDs.

Turner said Flight Centre planned to recruit about 200 more sales consultants “to return the network to optimum staffing levels (about 5,200 people),” after a reduction in recent months.

Along with the shop network, Flight Centre locally also plans to capitalise on “strong growth in newer models and channels,” including online, home-based agents, Flash Sale and specialist Flight Centre businesses.

A major brand improvement program dubbed FC 2.0 is also under way in Australia, with the aim of delivering a new omni-channel membership model, self-service capabilities, sales technology and modern marketing strategies.

Flight Centre also aims to dominate the SME sector through its Corporate Traveller brand as well as develop FCM as a “truly global alternative to the three established global TMCs that have traditionally dominated the sector”.

The moves were announced as part of this morning’s annual results release (TD breaking news), with FY19 seeing FCTG transact a record $23.7 billion TTV but a 10% profit dip to $343.1m - more on page six.