The technique of deriving quality-adjusted prices and evaluating product characteristics is outlined and previous studies are cited. Details of a sample of package tours for Mediterranean destinations and its preliminary analysis are discussed. A suitable model for a hedonic regression analysis of package tours is outlined and estimated. The estimates provide implicit or shadow valuations of the component characteristics of the overall package tour. The results are discussed and it is concluded that the technique is a useful method of analysing changes in relative prices of package tour destinations.