Chinese Outbound Tourist Preferences for All-Inclusive Group Package Tours: A Latent Class Choice Model

Nan Chen, Lorenzo Masiero, Cathy H.C. Hsu

Research output: Journal article publicationJournal articleAcademic researchpeer-review

30 Citations (Scopus)


Extensive studies were conducted to understand package tour participants, but little is known about the selection and trade-off for a specific tour versus another. A stated choice experiment was conducted in this study with 270 prospective mainland Chinese outbound tourists, aiming to identify their heterogeneous preferences for package tours that involved eight attributes, each with varying levels. To identify the sources of preference heterogeneity, a latent class choice model was estimated to segment each of the three predetermined budget groups into two subgroups, and profile these subgroups by sociodemographic characteristics and consumption values. Different preference patterns for tour attributes were revealed among the subgroups, whereas majority of the respondents reported common preferences for fewer designated shops and direct flights. The results provide researchers and practitioners with innovative insights into the preferences and trade-offs of mainland Chinese package tour participants, as well as practical guidance for package tour design and pricing.

Original languageEnglish
Pages (from-to)916-931
Number of pages16
JournalJournal of Travel Research
Issue number6
Publication statusPublished - 1 Jul 2019


  • Chinese outbound tourists
  • consumption values
  • group package tours
  • latent class choice model
  • preference heterogeneity
  • stated choice experiment

ASJC Scopus subject areas

  • Geography, Planning and Development
  • Transportation
  • Tourism, Leisure and Hospitality Management


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