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Travel Market size is set to grow by USD 5.50 trillion from 2024-2028, growing popularity of experiential travel boost the market- Technavio

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NEW YORK, Nov. 25, 2024 /PRNewswire/ –The global travel market size is estimated to grow by USD 5.50 trillion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of  18.52%  during the forecast period. Growing popularity of experiential travel is driving market growth, with a trend towards increasing international tourist footfall. However, threat from growing terrorism  poses a challenge. Key market players include Accor S.A., American Express Global Business Travel GBT, Balkan Holidays Ltd., BCD Travel Services BV, Booking Holdings Inc., Carlson Inc., Corporate Travel Management Ltd., Expedia Group Inc., Fareportal Inc., Flight Centre Travel Group Ltd., G Adventures, JPMorgan Chase and Co., JTB Corp., MakeMyTrip Ltd., Marriott International Inc., Omega World Travel Inc., PT Global Digital Niaga, Traveloka, The Scott Travel Group Ltd., Travel Leaders Group Holdings LLC, World Travel Holdings, and World Travel Inc., Airbnb, Inc., Hilton Worldwide, InterContinental Hotels Group (IHG), Hyatt Hotels Corporation, Carnival Corporation, Royal Caribbean Group.

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Travel Market Scope

Report Coverage

Details

Base year

2023

Historic period

2018 – 2022

Forecast period

2024-2028

Growth momentum & CAGR

Accelerate at a CAGR of 18.52%

Market growth 2024-2028

USD 5506.7 billion

Market structure

Fragmented

YoY growth 2022-2023 (%)

15.17

Regional analysis

APAC, Europe, North America, South America, and Middle East and Africa,

Performing market contribution

APAC at 39%

Key countries

US, France, China, UK, and Japan, Spain, Italy, Germany, Thailand, Australia

Key companies profiled

Accor S.A., American Express Global Business Travel GBT, Balkan Holidays Ltd., BCD Travel Services BV, Booking Holdings Inc., Carlson Inc., Corporate Travel Management Ltd., Expedia Group Inc., Fareportal Inc., Flight Centre Travel Group Ltd., G Adventures, JPMorgan Chase and Co., JTB Corp., MakeMyTrip Ltd., Marriott International Inc., Omega World Travel Inc., PT Global Digital Niaga, Traveloka, The Scott Travel Group Ltd., Travel Leaders Group Holdings LLC, World Travel Holdings, and World Travel Inc., Airbnb, Inc., Hilton Worldwide, InterContinental Hotels Group (IHG), Hyatt Hotels Corporation, Carnival Corporation, Royal Caribbean Group

Market Driver

Inbound tourism has experienced significant growth worldwide, leading to an increase in the number of tourists and demand for travel activities. Business travel, both international and domestic, is a significant contributor to this trend. The presence of numerous multinational corporations drives corporate visits, boosting the travel industry. Online travel platforms cater to the rising demand for travel activities from an increasing number of international tourists, primarily from North America, Europe, and the Pacific region. Government initiatives, such as improved connectivity through new airports, further fuel tourism growth. Overall, these factors are expected to expand the global travel market during the forecast period. 

The travel industry is experiencing significant shifts driven by trends such as the growing middle class population, heightened security and health concerns, and the increasing role of foreign tour operators and online platforms. Digital transformation is at the forefront, with tourists relying on online resources for trip planning, booking flight tickets and hotels, and even renting cars. Economic stability and leisure activities continue to be key motivators for vacations and holiday packages. The pandemic has created an acquisition opportunity for online travel agents, with promotional activities and new year holidays driving bookings. Mobile apps and holiday packages for international cities cater to elite travelers seeking new experiences in unexplored destinations. The luxury travel market remains strong, with a focus on security and personalized services. Overall, the online travel market is thriving, offering tourists convenience, affordability, and access to a world of new opportunities. 

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 Market Challenges

  • Terrorist activities have grown globally since 2016, with the primary goal being to instill fear and alter people’s behavior. An example is the bombing on January 1, 2023, at a Kabul checkpoint near the commercial airport, resulting in injuries and fatalities. This incident directly affects industries like hotels and travel, as border clearances experience delays and stricter inspections. Furthermore, heightened security around oil and gas pipelines and electricity transmission lines leads to increased costs. Travel insurance and reinsurance also become more expensive. Consequently, the rise in terrorist activities may impede the expansion of the global travel market during the forecast period.
  • The travel market faces various challenges in both the tourism sector and beyond. Micro trips are popular, but providing personalized services, reliable transport, and professional interaction remains crucial for customer satisfaction. Political stability is essential for business growth, especially for customized tours and private tours. Technological advancements, such as the adoption of IoT, impact airlines, cruise liners, hotels, and resorts. Natural disasters and stringent immigration policies pose risks. Business, sports, and cultural events drive domestic and overseas travel. Governmental support and infrastructural development are vital for addressing challenges like public transportation and accommodation facilities. Rapid globalization and the interconnected world increase competition, requiring technical integration and online booking platforms. Social media networks and influencer marketing influence travel decisions. Country revenue depends on addressing challenges like political instability, natural disasters, and stringent immigration policies.

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Segment Overview 

This travel market report extensively covers market segmentation by  

  1. Sector 
  • 1.1 Transportation
  • 1.2 Hotel
  • 1.3 Travel activities
  • Type 
  • Geography 
    • 3.1 APAC
    • 3.2 Europe
    • 3.3 North America
    • 3.4 South America
    • 3.5 Middle East and Africa
  • Booking Type
  • Mode of Travel
  • 1.1 Transportation-  The Travel Market is a thriving industry that connects service providers with customers seeking unique travel experiences. It offers various opportunities for businesses to expand their reach and increase sales. By utilizing effective marketing strategies and providing exceptional customer service, companies can attract and retain customers. The Travel Market also encourages innovation and collaboration, allowing businesses to offer competitive prices and diverse offerings. Overall, it is a dynamic and profitable sector that continues to grow and evolve.

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    Research Analysis

    The online travel market has experienced significant shifts in the wake of the pandemic, with a growth in domestic tourism and an increase in bookings for New Year holidays. Mobile apps have become essential tools for travelers, allowing them to easily compare holiday packages, book flights, hotels, car rentals, and more. The adoption of IoT technology in the tourism sector offers new experiences and personalized services, creating opportunities for innovation. However, political instability, natural disasters, and stringent immigration policies pose challenges. The acquisition of smaller players in the online travel market presents opportunities for growth, particularly in the luxury travel market catering to elite travelers. Unexplored destinations and micro trips are also gaining popularity as travelers seek new experiences. Business and sports travel are expected to rebound as restrictions ease. Despite these trends, the tourism sector continues to face uncertainty and must adapt to changing consumer preferences and external factors.

    Market Research Overview

    The online travel market has seen a significant growth during the pandemic as people look for acquisition opportunities in the tourism sector. Domestic tourism has become a popular choice for travelers, leading to an increase in bookings for new year holidays. Mobile apps and online travel agents offer convenience for holiday packages, car rentals, and international city explorations. The luxury travel market caters to elite travelers seeking new experiences in unexplored destinations. Micro trips and personalized services are also in demand, as is reliable transport and professional interaction. Political stability, customized tours, and private tours are essential for some travelers, while others prioritize baby boomers, Gen X, and millennials’ preferences. Technological advancements, such as the adoption of IoT, have transformed the industry, with online booking platforms, travel websites, and rapid globalization playing key roles. However, challenges such as political instability, natural disasters, and stringent immigration policies persist. Business, sports, and leisure activities continue to drive travel, with economic stability and infrastructure development crucial for the tourist industry’s digital transformation. Online resources, flight tickets, hotels, and trip planning remain essential, with health and security concerns also influencing travel decisions. Foreign tour operators and online platforms cater to various tourist destinations, while influencer marketing, travel blogs, and user-generated content shape travel trends. Country revenue depends on public transportation, accommodation facilities, and the middle class population’s growing demand for travel.

    Table of Contents:

    1 Executive Summary
    2 Market Landscape
    3 Market Sizing
    4 Historic Market Size
    5 Five Forces Analysis
    6 Market Segmentation

    • Sector
      • Transportation
      • Hotel
      • Travel Activities
    • Type
    • Booking Type
    • Mode of Travel
    • Geography
      • APAC
      • Europe
      • North America
      • South America
      • Middle East And Africa


    7 Customer Landscape
    8 Geographic Landscape
    9 Drivers, Challenges, and Trends
    10 Company Landscape
    11 Company Analysis
    12 Appendix

    About Technavio

    Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

    With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

    Contacts

    Technavio Research
    Jesse Maida
    Media & Marketing Executive
    US: +1 844 364 1100
    UK: +44 203 893 3200
    Email: [email protected]
    Website: www.technavio.com/

    SOURCE Technavio



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    Travel Market Insights

    U.S. Visa Sticker Shock: New $250 ‘Integrity Fee’

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    Many travelers applying for U.S. tourist visas should be prepared to pay at least an additional $250 for a new “Integrity Fee.”

    It’s part of the recent budget law and hasn’t been implemented yet, but the Department of Homeland Security is authorized to start charging this fiscal year. Starting in Fiscal Year 2026, which starts October 1, the Visa Integrity Fee will be adjusted annually for inflation.

    It applies to travelers applying for non-immigrant visas, but people from the more than 40 Visa Waiver Program countries are not subject to the Visa Integrity Fee.

    Travelers are eligible for reimbursement sometime after the visa expires as long as they don’t overstay the visa expiration date by more than five days or engage in unauthorized work.

    “There is no timeline for implementation of the fee or direction as to how the fee will be collected and refunded,” according to the U.S. Travel Association.

    One issue: It may discourage travelers from visiting the U.S. because they would have to shell out $250 and wonder if they would ever get the reimbursement.

    “This fee, which will be at least $250 and comes on top of existing visa fees, adds an unnecessary financial barrier for international visitors,” said Erik Hansen, US Travel’s senior vice president, government relation affairs. “Among the top deterrents to visiting the U.S. are cost and visa wait times.  And the new visa integrity fee increases the upfront costs of visiting the U.S. 144%, while doing nothing to lower interview wait times. Even if it is technically reimbursable, the added complexity and cost will discourage visitors.”

    $24 I-94 Fee

    That’s not all of the costly news for some international arrivals in the new law: The application fee for the I-94 arrival and departure record will rise to $24 from $6.

    This fee will likely apply to travelers entering the U.S. by land, and to travelers from Visa Waiver Program countries.

    This fee will also increase each year with inflation. Those exempt from filling out the form include American citizens, resident aliens, most Canadians, and aliens with immigration visas.

    $40 ESTA Fee

    The Electronic System for Travel Authorization (ESTA) fee is rising to $40 from the current $21. This will be paid by travelers who enter the U.S. from Visa Waiver Program countries at least through 2034.

    These are the Visa Waiver Program countries, according to the U.S. Department of State:

    U.S. Department of State

    Visa Wait Times and Cost

    A family of four from Brazil, which is not a visa waiver program country, would pay $1,876 in visa fees under the new pay structure to travel to the U.S., an increase of more than $1,100, according to the trade association.

    “At a time when the U.S. should be focused on attracting more international visitors, especially ahead of global events like the World Cup and Summer Olympics, burdening them with higher fees and reducing funding for Brand USA is counterproductive,” Hansen said. “We need smarter policies that enhance our global competitiveness, not ones that make the U.S. a less welcoming destination.”

    Revenue Generators

    Backers of the fees, however, see them as revenue generators.

    For example, 20% of the I-94 fees are earmarked for the Land Border Inspection Fee account, 20% go to Customs & Border Protection, and 60% ends up in the Treasury Department general fund.

    Regarding the ESTA fee, $10 goes to the Department of Homeland Security for cost recovery, $13 is funneled to the Treasury Department for Deficit Reduction, and $17 of the fee goes to the Travel Promotion Fund, which funds Brand USA.



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    Travel Market Insights

    Grand Canyon Fire Destroys Historic Lodge

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    Parts of the Grand Canyon National Park have been closed for the rest of the 2025 season as wildfires burn across the region, covering parts of one of the U.S.’s most visited natural landmarks in smoke.

    The North Rim’s Dragon Bravo Fire exploded in size by 500 acres on the evening of July 12 as gusty winds, dry air and above-normal heat hit the area. 

    The fires destroyed the historic Grand Canyon Lodge and numerous surrounding cabins, according to the National Park Service

    Firefighters say there is currently zero containment.

    “We are devastated by the loss of the Grand Canyon Lodge and historic buildings on the North Rim. All guests and staff are safe,” the lodge said in a statement, adding that it will be in touch with visitors who have future bookings.

    Aerial footage released by the National Parks Service on Friday showed the remains of the famous lodge.

    Grand Canyon Closures for the Rest of the Season

    The cause of the fire was linked to lightning strikes, according to local reports

    Early damage assessments suggest that between 50 to 80 structures have been lost, including park administrative buildings and visitor facilities. No injuries or fatalities have been reported.

    Fire fighting efforts continue around the threatened area.

    But with fire activity still high and infrastructure at risk, officials say the North Rim will remain closed to all visitors for the rest of the year.

    The South Rim, which receives the majority of visitor traffic, remains open.

    Skift’s in-depth reporting on climate issues is made possible through the financial support of Intrepid Travel. This backing allows Skift to bring you high-quality journalism on one of the most important topics facing our planet today. Intrepid is not involved in any decisions made by Skift’s editorial team.



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    Luxury Travel Market Comprehensive Research Study, Business

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    Luxury Travel Market

    The global Luxury Travel Market is projected to be valued at approximately USD 1.38 trillion in 2024, and it is anticipated to reach around USD 3.06 trillion by 2033, growing at a CAGR of 9.2% during the forecast period from 2025 to 2033.

    Luxury Travel Market Overview

    The Luxury Travel Market is witnessing robust growth, driven by rising disposable incomes, increased spending on personalized experiences, and the growing demand for exclusive and high-end travel services. This market caters to affluent travelers seeking unique, customized, and experiential journeys that include private aviation, luxury cruises, five-star accommodations, and curated cultural or adventure experiences. Technological advancements and digital platforms are enhancing the ease of booking and tailoring luxury travel experiences. Additionally, sustainability and eco-luxury tourism are gaining traction as high-end travelers become more environmentally conscious. The market is also benefiting from the expansion of wellness tourism and immersive destination experiences. With strong demand from regions like Europe, North America, and emerging Asian economies, the luxury travel sector is set for significant expansion in the coming years.

    Request a sample copy of this report at: https://www.omrglobal.com/request-sample/luxury-travel-market

    Advantages of requesting a Sample Copy of the Report:

    1) To understand how our report can bring a difference to your business strategy

    2) To understand the analysis and growth rate in your region

    3) Graphical introduction of global as well as the regional analysis

    4) Know the top key players in the market with their revenue analysis

    5) SWOT analysis, PEST analysis, and Porter’s five force analysis

    The report further explores the key business players along with their in-depth profiling

    TUI Group, Abercrombie & Kent USA, LLC, Scott Dunn Ltd., Thomas Cook Group, Cox & Kings Ltd., Butterfield & Robinson Inc., Micato Safaris, Exodus Travels, Travcoa, and Zicasso / Backroads / Tauck.

    Luxury Travel Market Segments:

    By Type of Tour:

    • Customized & Private Vacations

    • Adventure & Safari

    • Cruise/Ship Expedition

    • Culinary Travel & Shopping

    • Celebration & Special Events

    • Wellness & Spiritual Travel

    By Age Group:

    • Millennials (21-30 years)

    • Generation X (31-40 years)

    • Baby Boomers (41-60 years)

    • Seniors (61 and above)

    By Traveler Type:

    • Solo

    • Couple

    • Family Group

    • Friends Group

    By Booking Channel:

    • Online Travel Agencies (OTAs)

    • Direct Booking

    • Travel Agents & Tour Operators

    Report Drivers & Trends Analysis:

    The report also discusses the factors driving and restraining market growth, as well as their specific impact on demand over the forecast period. Also highlighted in this report are growth factors, developments, trends, challenges, limitations, and growth opportunities. This section highlights emerging Luxury Travel Market trends and changing dynamics. Furthermore, the study provides a forward-looking perspective on various factors that are expected to boost the market’s overall growth.

    Competitive Landscape Analysis:

    In any market research analysis, the main field is competition. This section of the report provides a competitive scenario and portfolio of the Luxury Travel Market’s key players. Major and emerging market players are closely examined in terms of market share, gross margin, product portfolio, production, revenue, sales growth, and other significant factors. Furthermore, this information will assist players in studying critical strategies employed by market leaders in order to plan counterstrategies to gain a competitive advantage in the market.

    Regional Outlook:

    The following section of the report offers valuable insights into different regions and the key players operating within each of them. To assess the growth of a specific region or country, economic, social, environmental, technological, and political factors have been carefully considered. The section also provides readers with revenue and sales data for each region and country, gathered through comprehensive research. This information is intended to assist readers in determining the potential value of an investment in a particular region.

    » North America (U.S., Canada, Mexico)

    » Europe (Germany, U.K., France, Italy, Russia, Spain, Rest of Europe)

    » Asia-Pacific (China, India, Japan, Singapore, Australia, New Zealand, Rest of APAC)

    » South America (Brazil, Argentina, Rest of SA)

    » Middle East & Africa (Turkey, Saudi Arabia, Iran, UAE, Africa, Rest of MEA)

    If you have any special requirements, Request customization: https://www.omrglobal.com/report-customization/luxury-travel-market

    Key Benefits for Stakeholders:

    ⏩ The study represents a quantitative analysis of the present Luxury Travel Market trends, estimations, and dynamics of the market size from 2025 to 2032 to determine the most promising opportunities.

    ⏩ Porter’s five forces study emphasizes the importance of buyers and suppliers in assisting stakeholders to make profitable business decisions and expand their supplier-buyer network.

    ⏩ In-depth analysis, as well as the market size and segmentation, help you identify current Luxury Travel Market opportunities.

    ⏩ The largest countries in each region are mapped according to their revenue contribution to the market.

    ⏩ The Luxury Travel Market research report gives a thorough analysis of the current status of the Luxury Travel Market’s major players.

    Key questions answered in the report:

    ➧ What will the market development pace of the Luxury Travel Market?

    ➧ What are the key factors driving the Luxury Travel Market?

    ➧ Who are the key manufacturers in the market space?

    ➧ What are the market openings, market hazards,s and market outline of the Luxury Travel Market?

    ➧ What are the sales, revenue, and price analysis of the top manufacturers of the Luxury Travel Market?

    ➧ Who are the distributors, traders, and dealers of Luxury Travel Market?

    ➧ What are the market opportunities and threats faced by the vendors in the Luxury Travel Market?

    ➧ What are deals, income, and value examination by types and utilizations of the Luxury Travel Market?

    ➧ What are deals, income, and value examination by areas of enterprises in the Luxury Travel Market?

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    Reasons To Buy The Luxury Travel Market Report:

    ➼ In-depth analysis of the market on the global and regional levels.

    ➼ Major changes in market dynamics and competitive landscape.

    ➼ Segmentation on the basis of type, application, geography, and others.

    ➼ Historical and future market research in terms of size, share growth, volume, and sales.

    ➼ Major changes and assessment in market dynamics and developments.

    ➼ Emerging key segments and regions

    ➼ Key business strategies by major market players and their key methods

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    About Orion Market Research

    Orion Market Research (OMR) is a market research and consulting company known for its crisp and concise reports. The company is equipped with an experienced team of analysts and consultants. OMR offers quality syndicated research reports, customized research reports, consulting and other research-based services. The company also offers Digital Marketing services through its subsidiary OMR Digital and Software development and Consulting Services through another subsidiary Encanto Technologies.

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