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Package holidays, popularly known as a tour package or simply the word 'tour' in the travel and tourism industry refers either to a package tour escorted or not escorted by the tourist guide.
When we say tour package, it means a pre-arrangement, prepaid trip that combines two or more travel components like airfare, airport transfer, accommodation, and other services. Practically, to define the tour package concept is complex one rather understands.
Holloway defines a tour package as “a total tourism product consisting of transportation from the market area to the destination, accommodation at the destination and recreational activities promoted by the tourists."
According to Gregorg "a tour package is advertised journey including specific features, arranged and promoted with tour literature by a tour operator and paid for in full by the tourists before starting the tour."
Technically, a package tour/tour package is a total tourismproduct as it generally includes transport from the origin place to the destination, accommodation at an en route place or at the destination and other recreational or travel services. These components are purchased by an individual, firm or company called the 'tour operator'. He combines all the travel components in a package and sells them at all-inclusive prices to the clients.
Package tours are excursions or holidays which "package" a variety of services together to make a single “combined” trip. Commonly they combine such things as transport, accommodation and meals. They may also include the provision of a tour guide and/or leader. Tours can be long or short in duration and distance. They may be a one-day or overnight package, or they could be a period of a month or more.
Packaged tours typically include:
A travel agency/tour operator deals with variety of 'tour packages,' catering to the diverse needs of tourists such as adventure, beach, architecture, cultural, business, conference, incentive tours, ayurvedic packages, Buddhist, religious, incentive tour, special interest tours, cruise tour group tour, educational tour, heritage, monuments, wildlife lovers, etc. These are broadly classified into five categories:
Agent commission - travel agents normally receive 10% commission on all tours they confirm. Clearly the financial incentive means travel agencies find it extremely advantageous to sell tour packages and not solely flights and/ or accommodation.
