United States Tour Operators Association Projects $24.4 Billion in Revenue for 2024, Serving 8.4 Million Travelers: New Report

Published on December 16, 2024

A report by PriceWaterhouseCoopers LLP (PwC) has disclosed that the United States Tour Operators Association (USTOA) expects its tour operator members to conclude 2024 with revenues amounting to $24.4 billion, accounting for 8.4 million individual travelers.

In 2023, USTOA’s Active Members injected $22.6 billion into the American tour operator market, serving 7.9 million travelers.

“By the close of 2024, USTOA tour operator members are projecting a more than 8% increase in sales from 2023, with a promising outlook for the year ahead,” said Terry Dale, president & CEO of USTOA. “As we approach 2025, the mood is undeniably optimistic with three fourths (73%) of our tour operators anticipating optimistic to significant sales growth of 7% to 10% or more next year.”  

In terms of product types, escorted/guided tours formed the largest part of the USTOA membership’s revenue in 2023, contributing 36% and expected to rise to 37% in 2024. FIT packages were next, comprising 25% in 2023 and anticipated to increase to 27% in 2024. Custom packages showed significant growth, rising from 3% in 2022 to 17% in 2023 and slightly decreasing to 16% in 2024.

Dale reinforced the critical role of travel advisors in the continued success of members’ businesses: Active Members reported that travel agencies are projected to represent 60.3% of total packages sold in 2024. He added, “It is encouraging to see is the strong relationship between our members and advisors has not wavered continuing to remain consistent over time; in fact, it has ticked up slightly in 2024 versus the 59.5% reported for 2023.”   

The findings from PwC were unveiled at the USTOA’s Annual Conference & Marketplace, which took place at the JW Marriott Marco Island Beach Resort in Marco Island, FL, from December 9-13, 2024. This survey was carried out from July 18 to October 11, 2024, and achieved a 96% participation rate. Additional key data includes:

The total number of travel packages forecasted to be sold in 2024 is 3.8 million, a 6.1% increase from the 3.6 million sold in 2023.

Expenditures on travel package components such as transportation, accommodations, dining, and attractions are expected to hit $16.6 billion in 2024, up 6.1% from $15.6 billion in 2023.

Employment figures among Active Members are projected to reach 14,770 in the U.S. by the end of 2024, up from 14,100 in 2023.

Global Challenges

Active Members of USTOA are approaching the upcoming year with a positive outlook, yet they are cognizant of global challenges that may affect the sector. Geopolitical conflicts are the top concern, with 58% of respondents expressing serious apprehension, closely followed by political instability at 56%. Overcrowding was another significant concern, noted by 46% of participants—a noticeable increase from previous surveys.

Trending Destinations

Italy was named the most popular destination for travelers in 2024 and 2025. Europe rounds out the top three “hot” destinations with Portugal ranked second, followed by Greece in third. Dale added, “Europe continues to dominate our popular destination lists. In fact, Europe accounts for half (52%) of the Active Member travel packages sold in both 2023 and 2024.”  

The updated “hot destination list” includes France and Japan, both ranked fourth, followed by Spain, Iceland, Croatia, and South Africa, with Australia, Morocco, and Thailand tied for the subsequent spots.

Additionally, USTOA’s Active Members have pinpointed emerging destinations they believe will gain traction this year and next. Vietnam leads the list, with Iceland and Japan sharing the second spot. Croatia, Morocco, South Korea, and Türkiye are tied for third, with Albania, Bhutan, Italy, Namibia, and South Africa rounding out the list in fourth place.