PUBLISHER: The Business Research Company | PRODUCT CODE: 1578745
PUBLISHER: The Business Research Company | PRODUCT CODE: 1578745
Leisure travel refers to trips taken for recreation, relaxation, and personal enjoyment, allowing individuals or groups to explore new cultures and experiences. It encompasses activities such as sightseeing, dining, and engaging in recreational pursuits, with the goal of enhancing overall well-being and cultural knowledge.
The main expenditure categories for leisure travel include lodging, transportation, food and beverages, events and entertainment, and other expenses. Lodging involves costs associated with staying in various types of accommodations, such as hotels, resorts, hostels, or vacation rentals. Lodging expenses constitute a significant portion of travelers' budgets and influence the demand for different accommodation options, ranging from budget to luxury. Travelers can be categorized as solo or group, with sales channels including both online platforms and traditional methods. The age groups involved in leisure travel include baby boomers, Generation X, millennials, and Generation Z.
The leisure travel market research report is one of a series of new reports from the business research company that provides leisure travel market statistics, including leisure travel industry global market size, regional shares, competitors with an leisure travel market share, detailed leisure travel market segments, market trends and opportunities, and any further data you may need to thrive in the leisure travel industry. This leisure travel market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The leisure travel market size has grown rapidly in recent years. It will grow from $1,108.52 billion in 2023 to $1,260.91 billion in 2024 at a compound annual growth rate (CAGR) of 13.8% The growth during the historic period can be attributed to rising disposable incomes, a growing middle-class population, increasing globalization, expanding tourism infrastructure, enhanced connectivity and transportation, the rise of low-cost airlines, government initiatives and incentives, the growth of social media and digital marketing, and an increase in eco-friendly travel options.
The leisure travel market size is expected to see rapid growth in the next few years. It will grow to $2,119.96 billion in 2028 at a compound annual growth rate (CAGR) of 13.9%. The projected growth can be attributed to paradigm shifts in consumer spending patterns, an increase in global outbound tourism, improved lifestyle standards, the integration of big data analytics, the adoption of AI and IoT in tourism, rising eco-friendly tourism, the growth of space tourism, wellness tourism trends, social media influence on travel, and the availability of low-cost airlines. Major trends in the forecast period include a surge in solo travel preferences, a focus on unique and exotic destinations, the rise of online booking services, sustainable tourism practices, advances in travel technology and AI, adventure and wellness travel, the use of mobile travel apps, and customized travel experiences.
The growing consumer preference for recreational travel experiences is anticipated to drive the expansion of the leisure travel market. Recreational travel experiences focus on activities and trips designed for leisure, enjoyment, and relaxation. This shift stems from consumers valuing memorable and immersive travel experiences more than material possessions. Additionally, there is an increased demand for connection, involvement, and authenticity in these travel experiences. Leisure travel offers opportunities for outdoor adventures, sports, cultural events, and relaxation across various destinations. For example, in May 2024, the Adventure Travel Trade Association reported a 54% increase in the average number of travelers served by adventure travel operators, rising to 6,553 from 4,243 in 2022, and a 384% increase from 1,355 in 2021. This trend underscores the growing consumer preference for recreational travel experiences and its impact on the leisure travel market.
Companies in the leisure travel sector are increasingly focusing on digital transformation and online booking solutions, such as hotel content distribution platforms, to enhance personalized experiences and streamline operations. These platforms centralize and simplify the management and distribution of hotel information, rates, and availability across multiple booking channels to improve visibility and optimize bookings. For instance, in March 2024, Amadeus IT Group SA introduced Amadeus Leisure Connect, a technology solution that connects hotel providers with travel sellers. This platform integrates private agreements to streamline hotel content distribution, offering real-time rates and inventory. Travel sellers can personalize and upsell services while accessing exclusive prepaid net rates from over 600,000 properties. Amadeus Leisure Connect simplifies bookings and optimizes revenue, enhancing traveler experiences and operational efficiency.
In January 2023, Flight Centre Travel Group (FLT), an Australia-based travel service provider, acquired Scott Dunn for £121 million ($149 million). This acquisition aims to broaden Flight Centre's luxury and leisure travel portfolio, drive revenue growth, and achieve cost efficiencies by integrating Scott Dunn's high-margin, premium brand. Scott Dunn Ltd., a U.K.-based tour operator, specializes in leisure travel services.
Major companies operating in the leisure travel market are TUI Group, Priceline Group, Booking Holdings Inc., Expedia Group Inc., CWT Global BV, Airbnb Inc., American Express Global Business Travel, Flight Centre Travel Group Ltd, TripAdvisor Inc, Orbitz LLC, World Travel Inc., Contiki Holidays Ltd., Abercrombie & Kent Ltd., G Adventures Inc., Trivago N.V., Cox & Kings Ltd., Travelocity.com LP, Direct Travel Inc., Travel Leaders Group LLC, MakeMyTrip Pvt. Ltd., Luxury Escapes Pty Ltd., Intrepid Travel Pty Ltd., GetYourGuide AG, Kayak Software Corporation, JTB Americas Group Inc., TravelBag Ltd., Thomas Cook Group plc, Trafalgar Tours Ltd., Hays Travel Limited
North America was the largest region in the leisure travel market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the leisure travel market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the leisure travel market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The leisure travel market consists of revenues earned by entities by providing services such as travel planning and booking, accommodation, transportation, tour packages, activities and excursions, travel insurance, travel concierge services, special interest travel, visa and documentation assistance. The market value includes the value of related goods sold by the service provider or included within the service offering. The leisure travel market also includes sales of airline tickets, hotel reservations, car rentals, cruise packages, tour packages, travel insurance policies, activity passes, vacation packages, special interest travel packages, travel accessories. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Leisure Travel Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on leisure travel market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for leisure travel ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The leisure travel market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of COVID-19 on supply chains and consumption patterns.