Whilst there has been much speculation regarding the future of inclusive tours over the years, it is clear that they are here to stay. Whilst traveller attitudes may change, destinations may go in and out of fashion, and modes of transport may influence traveller behaviour and choice of holiday, the package tour will always be an attractive way of purchasing a holiday to a certain segment of the market - much the same as some consumers prefer to buy build-it-yourself furniture whilst others prefer it to be ready made. Over the last decade there has been little change in the overall proportion of inclusive tours taken. Whilst both the popularity of inclusive tours and independent travel has grown, neither has done so at the expense of the other.

As the inclusive tour market has grown, so too has the strength of the tour-operating sector. The industry has seen considerable consolidation over the last decade and is now stronger than at any time in the past. It is unlikely that the days of failing operators will return. At the top end of the market the operators are robust enough to handle the volatile consumer base, whilst most of the smaller companies have developed niche markets which enables them to understand their customer base much better - niche markets are also generally less susceptible to external forces such as the economy and political changes.

Although the future of the inclusive tour seems assured, there will be many changes in the way it will be packaged and sold in the coming decade. Operators will continue to cut costs where they can, and many of these are likely to be in the method of distribution.

These are turbulent times for the travel industry, and 2002 will go down in records as a poor year. Generally speaking, the inclusive tour market is particularly affected by political and economic factors and therefore there could still be storm clouds ahead for the sector. Whilst the effects of the 11 September 2001 terrorist attacks on holiday bookings are starting to fade, caution still prevails, and the situation in the Middle East is still precarious and will remain so whilst the possibility of a renewed war with Iraq continues to make the headlines.

Mintel last examined Inclusive Tours in January 2000. Holidays in general, or their component elements, are examined in detail in the following Mintel reports:

- Holidays - Coping with a Crisis, Special - UK Report, 2002

- Independent Holidays, Leisure Intelligence - UK Report, September 2002

- Short Breaks Abroad, Leisure Intelligence - UK Report, June 2002

- Holidays on the Internet, Leisure Intelligence - UK Report, March 2002

- British on Holiday at Home, Leisure Intelligence - UK Report, March 2002

- Holiday Bookings, Leisure Intelligence - UK Report, January 2002

- Holidays - Planning, Buying and Financing Holidays from the UK, Special - UK Report, 2001

- Directly Booked Holidays, Leisure Intelligence - UK Report, August 2001

- All-inclusives - Travel and Tourism Intelligence - Strategic Report, July 2001

- Airlines, Leisure Intelligence - UK Report, June 2001

- The International Hotel Industry, Travel and Tourism Intelligence - Global Report, April 2001

- European City Reports, Travel and Tourism Intelligence - European Report, March 2001

- France Outbound, Travel and Tourism Intelligence - European Report, February 2001

- No-frills/Low-cost Airlines, Leisure Intelligence - UK Report, February 2001

- The Third Age: A Time to Travel, Special - UK Report, 2000

- The European Leisure Travel Industry, Travel and Tourism Intelligence - Global Report, October 2000

- The World's Leading Outbound Markets, Travel and Tourism Intelligence - Report, October 2000

- Low-Cost Airlines, Travel and Tourism Intelligence - Global Report, September 2000

- Leisure on the Internet, Leisure Intelligence - UK Report, May 2000

and the forthcoming:

- Third Age Travel, Travel and Tourism Intelligence - European Report, October 2002

- Holiday Money, Leisure Intelligence - UK Report, October 2002

- Pre-family Holidays, Travel and Tourism Intelligence - European Report, October 2002.