You are viewing 1 of your 2 free articles
AAT Kings is aiming for its recently launched range of small-group tours to account for 30% of sales within the next two years.
The Australia and New Zealand coach tour specialist started offering the new travel style for selected trips in the current season, with the full range of products to run next year.
AAT Kings chief executive Ben Hall said he anticipates small-group trips to represent about 15%-20% of sales next year, rising to nearly a third in 2027/28.
He noted the range had “resonated well”, adding: “The market is moving and small groups have become more and more sought after.”
He said research suggests that about 70% of sales across the wider touring market are for larger groups, with about 30% being for small-group tours.
Highlighting AAT Kings’ ambition to reflect the overall pattern, he said: “By 2027/28, the aim is we’ll be able to get to 30% of trips being small groups.”
The company, which also recently started selling flight-inclusive packages, expects to finish the year 5% up on passenger numbers compared with 2024, Hall said, with revenue expected to be 8% up.
Advance bookings for 2026/27 are 35% higher than at the same point last year for 2025/26, he added.
He said the flight-inclusive packages have been performing well, pointing to growing knowledge of the products.
“There are a number of travel agents who are quite keen for us to package our own flights, so by launching that we’ve opened up access to a wider market,” he said.
“It’s working well and it’s fairly seamless. It’s early days, so there’s not been a huge take-up yet, but awareness is coming now and we see that continuing to grow.”
Outlining recent trends, he said there has largely been a return to the traditional booking window but there has also been a notable number of last-minute sales as well as a portion of bookings for 2028.
“What’s been amazing is the number of late bookings,” he said.
“People are deciding last-minute that they need to get a break or there’s a good air deal. It’s staggering [to note] the number of people who are booking a two or three-week holiday just a month in advance of departure – and I think that trend will continue.”
He said he had also been surprised by the early interest in 2028 departures, adding: “It’s phenomenal.”
Travellers are increasingly looking for immersive and authentic experiences on their trips, he said.
Itineraries offering insights into indigenous cultures are among those which have recorded a spike in interest, he added.
The company, which mainly sells through the trade in the UK, has been aware of recent “uncertainty” in the British market, but Hall suggested AAT Kings has continued to gain traction.
“Money is potentially a bit tighter in this market and if people see we cover all of the key costs, it helps them to budget so they’re not going to be hugely out of pocket or surprised,” he said.
He added: “Our focus here is the trade and we’ve got great relationships here. It’s about how we learn and how we adapt to what agents require.”
The operator’s ‘classic’ tours feature up to 48 people on a coach, while the small-group trips have a maximum of 24 and an average of 16.