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The everyday, explainedBy Huw Allen

Center Parcs. Premium has a ceiling.

Center Parcs has become so expensive that some families are driving to France instead. The premium made sense against Butlins. It makes less sense against the beach.

THE GIST ON CENTER PARCS: "Center Parcs vs Europe"

Thumbnail for The Gist on Center Parcs, titled "Center Parcs vs Europe".

Watch "Center Parcs vs Europe": The Gist on Center Parcs.

What is Center Parcs competing with now?

Center Parcs is a chain of high-end UK holiday villages: self-catering lodges, indoor water parks and activities, designed to sit above Butlins and Haven, similar to a US camp.

For years families paid more because it felt like good value, less stress and easier. The premium made sense when the comparison was other UK parks.

What changed?

Prices have kept rising, and families have moved from 'is this better than Butlins?' to 'how does this cost more than going to France?'

It's a brilliant example of a premium brand escaping its category. Center Parcs was pricing against domestic convenience and quality. Now it's pricing against beaches, sunshine and European food.

Why do families go sideways?

The premium can't stretch far enough to stop people widening their frame of reference. So instead of trading down, they trade sideways. Europe suddenly makes more sense: more space, better weather, longer stays, often at lower cost.

Premium only works when it doesn't expand beyond its category, and it is fragile when prices rise faster than household incomes.

Center Parcs or a trip abroad?

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Quick answers

Why are families choosing France over Center Parcs?

Prices have risen until the comparison is with European holidays, which offer more space, better weather and longer stays, often for less.

What is Center Parcs?

A chain of high-end UK holiday villages with self-catering lodges, indoor water parks and activities, positioned above Butlins and Haven.

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