Travelex Africa Reflections: A Turnaround Story:
By Lerato Mollo
In the last quarter of 2014 /early 2015 the business was making a loss with a negative EBITA. The staff morale was low, cash flow was tight and some of our airport locations were under threat.
With all the challenges at hand a turnaround strategy was implemented to return the company to profitability. A clear medium and short term strategy was communicated to all employees and stakeholders. It comprised of 3 clear key elements; Cost saving initiatives, Implementation of marketing initiatives and Revenue enhancement initiatives.
Cost saving initiatives, the support centre was restructured, all the supplier contracts were re-negotiated and there was overall improved control on spending.
Implementation of marketing initiatives, improvement of internal marketing. This meant retraining staff on the Travelex customer focus programme called C.A.R.E. which compels the consultants to Connect with the customer, Ask the right questions to be able to offer the right products, Recommend products to get buy in from the customer. Exchange with the customer while keeping the connection intact. There was also a reintroduction of a customer loyalty programme and new marketing and promotional plans were implemented.
Revenue enhancement initiatives, a more focused and deliberate plan to grow corporate clients. The FOREX online ordering platform was also relaunched.
Highlights to Date
• Achieved 139% of expected savings to date
• Managed to ensure that Travelex OR Tambo Airport operations will continue until a new tender is issued
• New performance management system is in place and has been communicated to the entire company via roadshows with the CEO and HR visiting all the regions.
• EBITA up by 428% year to date
2016 is on the horizon, so is Travelex it is certainly on the way up!