Bon voyage: Rebounding travel rates will keep the industry soaring despite high competitionAbstractTour Operators in the US
The Tour Operators industry has grown over the past five years, benefiting from improved disposable income levels and a strengthening global economy. As unemployment declined and consumer spending grew, both domestic and international trips taken by US residents increased, driving demand for tour packages assembled by industry operators. Additionally, inbound trips made by foreigners also grew strongly, as disposable income levels rose in countries throughout Asia, Latin America and Europe. While the industry has performed well, operators have experienced several challenges. The industry is highly susceptible to political instability, wars and viral outbreaks that can significantly dampen demand for tour packages in specific countries or regions. Over the next five years, both domestic and outbound travel by US residents and inbound trips by foreigners are expected to continue increasing, boosting demand for tour packages. In addition to increasing travel activity, more consumers are anticipated to seek luxurious travel options as income levels continue to rise.
Businesses in this industry are engaged primarily in assembling and arranging tour packages. This industry also includes travel and wholesale tour operators, which means industry operators may include travel and accommodations within the package of their provided tours. However, businesses that primarily provide accommodations are not included in the industry and travel agencies that sell tour packages, but do not provide the actual tours themselves are not included in this industry.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.