Survey Shows Top Picks for Packaged Travel

Water-oriented vacations such as cruise tours, river touring and visiting inland waterways, and niche travel are the top picks for packaged travel in 2007, according to an informal member survey conducted by the United States Tour Operators Association (USTOA). Attesting to the popularity of river and waterway cruises, 33 percent of USTOA survey respondents reported a 40 percent increase in their river touring programs for 2006, compared with 2005, and 40 percent saw increases of 10 to 15 percent. As to how people will experience their travels, 27 percent of survey respondents said soft-adventure will be the way to go, followed closely by escorted touring (24 percent), and independent packages (20 percent).
When asked what type of special interest travel is hottest, culinary and wine tasting placed first, while outdoor experiences such as African safaris and luxury camping in the Australian Outback topped the soft adventure list.

"People today are looking for more than just sightseeing. They want to indulge their passions, whether it is food, wine, or the outdoors," said Bob Whitley, USTOA president. "They want adventure and they want to learn. However, they want comfort with their adventure. They want to go on safari or walking, but at the end of the day, they want to return to comfortable surroundings."

The survey results predicted that the escorted tour with a modern twist -- free time and flexibility -- will experience the highest growth, followed respectively by special interest and small group travel. Independent packages came in as the third most popular in both short and long-term growth projections. "A few years ago, we would have seen independent packages in first place," Whitley said. "However, as tours have become more creative and specialized, we are seeing growing interest in this area and a possible maturing of the independent package market."

The shift in touring preferences is largely driven by the baby boomer population, Whitley observed. "Their demands are shifting," he said. "Baby boomers want group travel that matches their specific needs and interests. They love the idea of soft adventure, and they want to travel in smaller groups. They also want more free time, flexibility and some independence."

Not surprisingly, baby boomers represent the single largest market for tours and packages. When asked for the average age of their travelers, 54 percent of USTOA respondents cited 50-65, while nearly 30 percent said 35-50. Surprisingly, less than 10 percent said their average traveler was over 65. This correlates with findings of a consumer survey conducted for USTOA in spring 2006, Whitley said. "That survey found that 70 percent of those aged 55-64 were more likely to buy a tour or vacation package based on savings, compared to 38 percent of the 65-plus age group," he said. "In fact, 40 percent of those over 65 said they were not at all likely to take a tour or package regardless of savings. This pretty much dispels the misconception that people who take tours and packages are mainly senior citizens."

Among other survey results: Couples account for the majority of packaged vacation travelers, according to 65 percent of operators polled, with families second (cited by nearly 30 percent). Some 67 percent of USTOA members said that travelers booked their vacations three to six months in advance, while 16 percent said travelers book more than six months ahead. For more information, visit www.ustoa.com