Travelers can save an average of nearly 30% by buying a vacation package or tour, according to the United States Tour Operators Association, whose members provide vacations for more than 10.7 million people annually. The nonprofit organization recently polled its members to find out how much money and time travelers save by buying a tour or a pre-arranged package, over making their own arrangements.

Survey Summary
Based on a one-week, high season vacation, survey findings reveal that buying a tour or vacation package saves consumers an average of:

The savings of using a tour operator has increased from an average of 15 – 20% in 1998, when USTOA last surveyed its membership on the subject, to nearly 30% today.

Consumers Save Money and Time
Dollar Savings on Vacation: Depending on the type of vacation package or tour, the dollar savings of buying a package vacation over making the same arrangements on your own averages 29%, and can range from 10% - 70%. According to USTOA President Bob Whitley, a special 5-night package to China, including airfare, for instance, could save you up to 70%, while a cruise tour to Europe or Alaska with airfare would represent a savings of 10 – 25%. Traveling during the off-season can save an additional 15% - 40% according to survey findings.

Europe Travelers Save 25% or More
Even though the dollar has recently risen slightly against the euro, the dollar’s buying power has steadily declined since late 2001. In 2002, for instance, the euro was worth 86¢ versus the current $1.23. “Given these new currency realities, travelers to Europe can realize significant savings by buying packages and tours,” points out Whitley. “The USTOA survey revealed an average savings of 35% or more on a European escorted tour without airfare, and 25% if airfare is included. For independent packages, the average savings is about 20% with or without airfare,” notes Whitley.

Hours Saved: According to the survey, a typical one-week tour or vacation package takes an average 18 hours' worth of time to research, plan and arrange. Because of the complexities of arranging the many elements of an escorted tour, USTOA members estimated the average one-week escorted tour would take 22-23 hours to plan on one’s own, with 13 hours for an independent package without air, and 18 hours with airfare. Depending on the type of vacation and the destination, estimates ranged from 1 to 25 hours for an independent package, and up to 100 hours for a complex escorted tour itinerary with multiple stops, overnight stays, meals, and sightseeing.

“Given the internet, people assume that booking a vacation takes no time,” says Whitley. “The reality is that most consumers price shop several sites. So, if you’re going from one internet site to research a destination, then to several other sites to compare air fares, then look for hotels, and book sightseeing and other arrangements over the internet, you can spend a lot of time. By packaging everything together, a tour operator or wholesaler has already done the work for you, while bundling in the savings,” he adds.

Travelers Benefit From Added Convenience
Transactions: Participating survey respondents were asked to estimate the number of transactions that go into planning a typical one-week tour or package. Transactions include everything from booking airfare and hotel arrangements, arranging sightseeing and entertainment, paying museum entrance fees, arranging for bags to be delivered to rooms, tipping bell staff, making transfer arrangements and restaurant reservations, etc. According to USTOA survey results, an escorted tour involves anywhere from 5 - 100 transactions, with the average being 28. Transactions to arrange a one-week vacation package averaged 11, and ranged from 5 to 21. One USTOA member counted 300 transactions included in a comprehensive two-week escorted tour.

Your Own Work Force: Whitley notes that up to ten people may be involved in all aspects of planning and implementing a vacation package or tour. "It's like having your own work force to do all the leg work for you. Not only does the traveler save time and money by benefiting from the tour operator's bulk buying, but you are also buying convenience and the expertise of professionals in their field who know where to go to find the best arrangements," says Whitley.
Travelers on tours and packages can also benefit from preferential treatment, says USTOA Chairman Brian Stack, president of CIE Tours. “For example, as the largest purchaser of hotel accommodation and special events (Medieval banquets, etc.) in Ireland, passengers traveling with my company get special treatment. Persons booking individually would have difficulty getting space at some of these events.”
Other “unseen” benefits are the services provided by tour guides, and – in the case of student travel companies – chaperones. “Because our prices include supervision for students by qualified chaperones, it is hard to compare directly,” says Richard Footner, Senior Vice President of student travel company, ACIS.
"With a vacation package or a pre-planned tour, the traveler harnesses the benefit of the bulk buying power of tour operators, and the power of saving time, which in today's highly competitive world means money. We call it Package Power,” adds Whitley.

The USTOA survey was based on a representative sampling of 42 companies.

For More Information
USTOA members have met the travel industry’s highest standards, including participating in the USTOA Travelers Assistance Program, which, among other things, requires each member to set aside up to $1 Million security to reimburse travelers in case of bankruptcy or default.

Your travel agent can help you select a reliable tour operator, as well as the tour or vacation package that is best suited to your needs and budget. For more information, visit www.ustoa.com.

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