Indium Tin Oxide (ITO: In2O3 + 17% SnO2) thin films grown on alumina substrate at 648 K temperatures using direct evaporation method with two gold pads deposited on the top for electrical contacts were exposed to ethanol vapours (200-2500 ppm). The operating temperature of the sensor was optimized. The sensitivity variation of films having different thickness was studied. The sensitivity of the films deposited on Si substrates was studied. The response of the film with MgO catalytic layer on sensitivity and selectivity was observed. A novel approach of depositing thin stimulating layer of various metals/oxides below the ITO film was tried and tested. (c) 2005 Elsevier B.V. All rights reserved.