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It is forecast that this sector could grow by 78 per cent within five years and reach a value of just over £21 billion as the public gain confidence about booking separately for flights and accommodation.
The outlook appears bleak for the high street travel agent, however, because these designer breaks are being organised through the internet so that travellers can take advantage of cheap “no frills” airlines and find accommodation on the web. A consumer research report from Mintel suggests that this year about 24 million holidays were booked independently, the equivalent of 55 per cent of the market.
This represents a growth of 60 per cent in the number of people planning their own holidays since 1998. This year only one in four adults bought a package holiday compared with two in four who devised their own. The figures confirm the trend that has persuaded tour operators such as Thomson, the German-owned company, to create a “holiday bed bank” on its website to help people to choose and book their own stays at hotels or apartments. Some 800 jobs are also to be lost at the firm as it expands its online sales operation.
The Association of British Travel Agents also admits that the change of booking habits is having an impact on the industry. A spokeman said: “These predictions for independent travel are impressive and underline the reason why our members are adapting quickly to offer very flexible booking arrangements for those customers who want to remain relatively independent.
“We do not think, however, that this is the death of the package holiday. More people are travelling on package deals today than ever because more people generally are taking holidays abroad. What has happened is that the market share has gone down, but we expect it to remain a significant sector.”
The research found that women are more likely to plan their own holidays than men: 31 per cent of men were likely to use a travel agent to arrange a holiday, compared with 24 per cent of women.
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