# TUI launches Sundeals to take on low-cost travel

Canonical-URL: https://notitur.com/en/digest/tui-sundeals-low-cost-uk
Text-Version: https://notitur.com/en/digest/tui-sundeals-low-cost-uk.txt
Markdown-Version: https://notitur.com/en/digest/tui-sundeals-low-cost-uk.md
Language: en
Published: 2026-08-10T16:31:22.107Z
Modified: 2026-08-10T16:31:22.107Z
Author: Joan Sanz
Topics: Investment & M&A
Summary: TUI has created Sundeals, a low-cost brand for price-sensitive UK travelers. Three-star hotels and a clear move to fight cheap sun-and-beach rivals.

## Article

TUI has stepped into the **low-cost travel niche** with the launch of **Sundeals**, a brand built for price-sensitive British customers. The offer is already out there, based on three-star hotels and cheaper properties within its program. As **Hosteltur** reports, the German group wants to win over travelers who might not have considered TUI for their beach holidays before.

The interesting part is not that a cheap brand exists, but that TUI, a giant of the traditional tour operator model, is the one launching it. My take: they are reacting to the pressure from low-cost OTAs and aggressive deal aggregators. Sundeals does not cannibalize their premium portfolio, it targets a different audience. The challenge is to keep the brand from getting diluted and to make sure the 3-star experience does not wreck the trust TUI has built over the years. I see this as a smart play, but it is a knife fight: either they scale in volume, or the per-booking margin will be razor thin.

And here is the door it opens: if Sundeals works in the UK, the model can travel to other source markets. If it does not, at least we will know how far the low-cost traveler is willing to go while still wanting the safety net of a big brand.

## Sources

- Hosteltur: https://www.hosteltur.com/177979_tui-irrumpe-en-los-viajes-low-cost-con-una-nueva-marca-lanzada-en-reino-unido.html?utm_source=rss&utm_medium=rss&utm_campaign=tui-irrumpe-en-los-viajes-low-cost-con-una-nueva-marca-lanzada-en-reino-unido

## Citation

TUI launches Sundeals to take on low-cost travel. Notitur. 2026-08-10. https://notitur.com/en/digest/tui-sundeals-low-cost-uk