Package market in downturn 'because of holiday homes'

(01 July 2008)

The traditional package holiday is seeing a downturn because of the growth of people investing holiday homes, says a new report.

The survey commissioned by Foreign Currency Direct studied the intentions of Britons investing in property abroad and found those with holiday homes overseas are taking more business away from the traditional package holiday.

It revealed that overseas homeowners visit their property on average five times per year, 1% of people visit between one and 10 times per year, 8% visit once per month and 20% allow friends and family to use their property free of charge. A further 17% rent out their property for a fee.

The report suggests that the growing number of holiday homes owned by Brits abroad is stealing the march from package holidays, already hit in recent years by low cost air travel and internet bookings. The report suggesting that holidaymakers are looking for a 'home from home' holiday for their annual break.

Foreign Currency Direct chief executive Peter S Ellis, said: "We're increasingly money-rich, time-poor, so there has been significant growth in demand for short breaks rather than 7/14 holidays - which is perfectly suited for those with or using holiday homes - as opposed to package holidays."

Research was undertaken online by YouGov amongst a representative sample of 2,000 people in April 2008.

by Michelle Perrett

Source: Travel Weekly