be very useful in planning next year's advertising campaign, Director of Tourism Mr. Gary Phillips said yesterday.

He said this year's World Travel Congress of the American Society of Travel Agents came as Tourism Ministry officials "are putting in place next year's marketing strategies''.

Mr. Phillips said the congress uncovered several important tourism trends, including a move towards shorter, package-deal vacations which include the whole family.

He said the congress, held in Cairo, Egypt and attended by more than 5,000 travel industry officials, will also help Tourism officials decide how much weight to attach to the geographical areas it targets and what the most effective ways of advertising tourist destinations are.

Mr. Phillips led the Bermuda delegation to Cairo in place of Tourism Minister the Hon. C.V. (Jim) Woolridge, who remained in Bermuda to fight Thursday's United Bermuda Party primary in Smith's South.

Shadow Tourism Minister Mr. David Allen, who has not yet returned to the Island, also attended.

Mr. Phillips said he was pleased to learn during the congress that Bermuda is still viewed very favourably.

"We have a reputation for being able to deliver,'' he said. "We don't oversell. Our advertising is very succinct and tells exactly what our attributes are. They were also impressed with our ability to present a very managed environment -- both natural and what has been created.'' Mr. Allen, in a statement from Cairo yesterday, said several "dramatic'' trends in world tourism -- likely to impact on Bermuda -- surfaced during the congress.

One of the trends, Mr. Allen said, is that Bermuda's slice of "the world tourism pie'' is shrinking because of increased competition from Third World countries in Africa and Asia and new nations in Eastern Europe that did not even exist a year ago.

"It is clear that Bermuda now needs to be more innovative and keenly competitive in enhancing its tourism product and its promotional efforts than ever before,'' he said.

Mr. Allen said although the "overwhelming thrust of comments'' made to him by travel agents he spoke to indicated Bermuda was still highly regarded among the US travel trade -- especially the "high quality'' of its hotels and services and friendliness of its residents -- "almost every'' agent expressed concern with the cost of a Bermuda vacation.

"Some thought it was not comparing favourably with prices of the growing number of all-inclusive resorts in the Caribbean area, as well cruise ship vacations,'' he said.

Mr. Allen called for better marketing of the Island's cheaper hotel properties.

However, Mr. Woolridge said Bermuda's smaller properties have always been recognised. He added the large hotels and cottage colonies account for 68 percent of the revenue from tourism.

Mr. Phillips said everyone is currently concerned with prices. He said the "big challenge'' is not so much to keep costs down, but "present a product where the value is in sync with the cost''.

Mr. Allen said other dramatic trends highlighted at the congress included globalisation of airlines and the falling of national barriers in the European Economic Community, adding that the deregulation of European airlines was also highlighted.

He said if a $400 million deal between Germany's Lufthansa and America's Continental Airlines goes through, Newark would become a "key connection point'' between not only Bermuda and the US but Bermuda and Europe since both carriers use the airport as a gateway.

"This (connection) bodes well for the future, as far as Bermuda is concerned,'' he said. "However, there continues to be a need for a direct, non-stop service to Bermuda from Continental Europe, preferably Germany, if we wish to develop the European tourism market for Bermuda to its full potential.'' Mr. Woolridge said Mr. Allen need not have gone to Egypt to learn that the amalgamation of world carriers could impact on Bermuda in producing better air links with continental Europe.

"It's something we have been aware of and discussing for a long time,'' he said.

Mr. Phillips said the Island is still communicating with airlines to get a direct link with Europe. But he said the world's air carriers are concentrating on mergers. "We have stayed in touch with airline officials so when the opportunity presents itself we will be there,'' he said.