USD 340.31 Billion
Global Leisure Travel Market Size, Share, Growth Analysis, By Traveler Type(Solo, Group), By Expenditure Type(Lodging, Transportation) - Industry Forecast 2024-2031
Report ID:
SQMIG25O2016 |
Region:
Global |
Published Date: February, 2024
Pages:
157
|
Tables:
64 |
Figures:
79
Global Leisure Travel Market Insights
Global Leisure Travel Market size was valued at USD 340.31 Billion in 2022 and is poised to grow from USD 417.3 Billion in 2023 to USD 2129.96 Billion by 2031, at a CAGR of 22.6% during the forecast period (2024-2031).
The global market for leisure travel is a rapidly developing industry. It offers a wide range of services and activities for recreational and enjoyable experiences for travelers. Prior to the COVID-19 pandemic, this market was growing steadily. This was because of heightened demand for memorable vacations, which rose increasingly in the middle-class population due to higher incomes.
However, the pandemic interrupted this growth period. The market witnessed a sharp fall in international tourism. The leisure travel market was restricted due to travel constraints and border closures. Now, the market is slowly reviving as domestic tourism comes to help. International tourism has taken a backseat in the remodeled market. Travelers seek local destinations with a focus on nature-based outdoor activities. The strict health protocols placed on the market also dictate its growth. These standards have become more rigid as a result of growing health and safety concerns.
Technological advancements have also gripped the market for leisure travel. The emergence of mobile apps and online platforms have transformed the market. Travel providers are using digital marketing travel strategies to bolster market demand. Environmentally conscious travel solutions are gaining popularity as travelers become more aware of the environmental impact their traveling can have.
The leisure travel market has also seen the entry of niche market segments. These include adventure travel, wellness tourism, and cultural experiences. As travelers look for immersive and authentic experiences, this niche category is becoming more popular. A new trend has taken over the market with the introduction of remote work called "workcations," where individuals enjoy leisure travel while maintaining professional commitments, furthering market growth.
Market snapshot - 2024-2031
Global Market Size
Largest Segment
Solo
Fastest Growth
Group
Growth Rate
22.6% CAGR
Global Leisure Travel Market ($ Bn)
Country Share for North America Region (%)
Global Leisure Travel Market Size By Traveler Type ($ Bn)
Global Leisure Travel Market Size By Traveler Type (%)
To get more reports on the above market click here to Buy The Report
Global Leisure Travel Market Segmental Analysis
By traveler type, the market is segmented into solo, group. The market can be divided into conventional channels and online channels based on sales channels. If market segmentation is done on the basis of age group, we end up with the following categories: Baby Boomers, Generation X, Millennials, Generation Z. Based on Expenditure Type, the market segmentation leads to categories like Lodging, Transportation, Food and Beverages, Events & Entertainment, and Others. Bifurcating the market by region gives us North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Analysis By Traveler Type
Solo travelers who are in search of independence and personal exploration, who above all value spontaneity, flexibility, and wish to go on a self-discovery journey, have generally been the top traveler type segment in the leisure travel market. A growing preference for immersive and authentic travel encounters, a rise in solo female travelers, and digital connectivity that helps solo adventurers share their experiences, have sustained the market growth in the solo travel segment.
Conversely, in recent years, group travel is quickly developing into becoming the fastest growing segment. The desire for shared experiences, wanting to travel with friend groups, and multigenerational family trips have bolstered the growth in this segment. The convenience of organized itineraries, and the safety and companionship found in numbers have driven group travel to expand. Travel companies are now providing unique experiences to cater to diverse interests in customizable group packages to take advantage of the demand for group travel.
Analysis By Expenditure Type
The global leisure travel market's most dominant expenditure type segment is Lodging. This segment’s prominence is a direct result of travelers prioritizing convenient and comfortable living accommodations in their travels, making lodging the perfect budgeted choice. A variety of options like hostels, vacation rentals, hotels, and more are included in this segment. With the increased usage of online booking platforms and rise of the sharing economy, travelers are now provided with a wide range of lodging choices, which further helps the segment maintain its position. The demand for lodging services has seen a boost due to increasing business travel and international tourism.
Conversely, the events & entertainment segment has taken up the title of the fastest-growing category in the leisure travel market. This segment caters to the rising demand of immersive and unique experiences at travel destinations. It includes expenditures on activities such as attending concerts, festivals, sports events, cultural performances, and theme parks. The rapid growth of this segment can be attributed to the growing appetite for experiential travel and the desire for memorable, Instagram-worthy moments. The substantially quick growth of this expenditure type is driven by innovations in event ticketing and promotion and the provision of different entertainment options at tourist destinations.
Global Leisure Travel Market By Traveler Type, 2023 (%)
To get detailed analysis on other segments, Request For Free Sample Report
Global Leisure Travel Market Regional Insights
As a result of its wide range of tourist attractions, population’s high disposable income, and well-developed infrastructure, North America, particularly the United States and Canada,has held the leading position in the leisure travel market. Boasting an influential travel industry, this region appeals to a significant number of international tourists, thus retaining its dominance. The North American market is home to famous tourist destinations like Las Vegas, Orlando, and New York City, and also offers stunning natural landscapes, contributing to this region’s growth.
However, Asia-Pacific is the fastest-growing region in the global leisure travel market. Southeast Asian nations like China and India are one of the tourist hubs of the region. A growing interest in exploring international destinations, improved transportation networks, and rising middle-class incomes have fueled this region’s growth. It is an appealing travel destination for both international and domestic travelers due to its rich cultural heritage, unique experiences, and picture-perfect landscapes.
Global Leisure Travel Market By Region, 2024-2031
- Largest
- Fastest
To know more about the market opportunities by region and country, click here to
Buy The Complete Report
Global Leisure Travel Market Dynamics
Drivers
Rising Disposable Income:
- A larger part of the global population has the financial resources to invest in leisure travel as disposable incomes are on the rise worldwide. The growing middle-class population, particularly significant in emerging economies, have shown an interest in exploring new places and having more travel experience. The growth of the leisure travel industry is only rising as the higher disposable incomes give families and individuals the opportunity to set aside a greater part of their budget to travel.
Technological Advancements:
- Technological innovations have remodeled the face of the leisure travel market. Travelers can now easily research, plan, and book trips thanks to these advancements. They include the emergence of online platforms and mobile travel apps, resulting from the increasing internet usage. These improvements have driven traveling options to become more affordable and efficient. Transportation technology has made leaps, introducing fuel-efficient aircrafts and high-speed trains. This has helped market growth.
Restraints
Global Economic Uncertainty:
- A number of economic shifts and conditions can impact the leisure travel market negatively. Recessions, global uncertainties, and economic fluctuations are among them. As a result of economic downtimes, leisure travel can see a decline in bookings and travel budgets. This is because in times like these consumers usually rescind luxury expenses, like travel. A perfect example of this global crisis can be seen in the COVID-19 pandemic’s aftermath. Leisure travel faced heavy restrictions as a result of heightened health and safety precautions and economic worries.
Environmental Concerns and Sustainability:
- The growing concerns about the environment have also influenced the market. The global population is made aware of the carbon footprint led by international transportation and here the market sees a potential threat. The negative impact of air travel on climate change and other environmental worries has already made changes in the market. Travelers seek more eco-conscious travel options, like trains or carbon offset programs. Environmental regulations also drive the market to control emissions, leading to high costs in R&D. This new environmental consciousness also minimizes destination options, hampering the growth of the leisure travel market.
Request Free Customization of this report to help us to meet your business objectives.
Global Leisure Travel Market Competitive Landscape
The global leisure travel market encompasses a diverse array of key players such as online travel agencies (OTAs), hotels, cruise lines, airlines, and tour operators, and all engaged in fierce competition, defining the market’s competitive landscape. Major airlines like United, Delta, and American Airlines lobby for market share, through competitive pricing, upgraded in-flight services, and loyalty programs for repeat customers. Global hotel chains like Accor, Marriott, and Hilton, are in an intense competition with home-sharing platforms like Airbnb and boutique hotels. These new platforms have transformed the traditional hotel industry, as they offer personalized experiences and diverse accommodation choices. Online travel agencies like Booking.com, Expedia, and TripAdvisor are essential in providing travelers with a variety of options and are usually engaged in price wars to get a larger chunk of the consumer base. Cruise businesses like Carnival Corporation and Royal Caribbean have grown their number of fleets and introduced innovative onboard treats and activities to attract vacationers. Large and small tour operators are providing specialized travel experiences, ranging from cultural tours to adventure trips. They have adjusted according to evolving consumer preferences by integrating experiential and sustainable elements into their service offerings. The competitive landscape of the market is also affected by the growth of mobile apps and digital platforms, which help travelers research and book trips on their own. As the leisure travel industry continues to evolve and adapt, the key factors for success in the global leisure travel market are adaptability, innovation, and digitalization.
Top Player’s Company Profile
- Accor S.A. (France)
- Ctrip.com International Ltd. (China)
- InterContinental Hotels Group (IHG) (UK)
- Expedia Group, Inc. (USA)The Priceline Group, Inc. (USA)
- Hilton Worldwide Holdings Inc. (USA)
- American Express Global Business Travel (USA)
- Booking Holdings Inc. (USA)
- TripAdvisor, Inc. (USA)
- Airbnb, Inc. (USA)
- Royal Caribbean Group (USA)
- Norwegian Cruise Line Holdings Ltd. (USA)
- Qantas Airways Limited (Australia)
- Delta Air Lines, Inc. (USA)
- Lufthansa Group (Germany)
- Air Canada (Canada)
- Turkish Airlines (Turkey)
- Emirates Group (United Arab Emirates)
- Singapore Airlines Limited (Singapore)
- China Southern Airlines Co., Ltd. (China)
- Carnival Corporation & plc (USA)
- LATAM Airlines Group S.A. (Chile)
- Japan Airlines Co., Ltd. (Japan)
- ANA Holdings Inc. (Japan)
Recent Developments
- The UNWTO (United Nations World Tourism Organization) promotes sustainable, responsible, and universally available activities in tourism. This agency published a report in July 2023. It stated that global tourist arrivals had seen an increase by 8% in 2022. This is a noteworthy win compared to 2021’s 70% fall due to the COVID-19 pandemic
- Airbnb is an online market aimed to establish communication between people who want to rent out their homes and people looking for homely places to stay in specific locales. The marketplace announced in June 2023 that it was investing $1 billion in sustainable travel initiatives, spread over the decade.
- Booking.com is one of the largest online travel agencies. Based in Amsterdam, the agency made an announcement in September 2023. It stated that they were launching a new feature on their platform. This feature will allow travelers to book carbon-neutral experiences.
- ITB Berlin is a travel industry trade show and is the largest tourism trade fair in the world. It announced in August 2023 that it plans to make a change in their program in 2024. All events will be carried out in hybrid format, with both virtual and in-person events taking place simultaneously.
Global Leisure Travel Key Market Trends
- Shift Towards Experiential Travel: There is a key market trend that is influencing a drastic change in the leisure travel market. This is the shift to trying experiential travel. Travelers now want uniquely authentic experiences. They prefer this over checking off popular tourist locations spread across the world. This trend has birthed new types of travel activities. These include cultural immersion and adventure travel, along with culinary tourism and ecotourism. Travelers want to understand and immerse themselves in the visiting destinations. This has led to activities like interacting with local cultures and people, coupled with trying the local cuisine. Travel companies have included more experiential-focused packages in their product portfolio to attract consumers obsessed with experiential travel. These packages are chock full of the aforementioned activities to cater to this demand.
- Digital Transformation and Online Booking: The digitization of the leisure travel market has changed this industry. Consumers seek the convenience of booking and trips online. Online platforms like travel agency websites and smartphone travel apps have risen in popularity. This is because travelers can research destinations and purchase accommodations, flights, while comparing prices and managing itineraries all in one place. Online platforms like OTAs, Airbnb, and Booking.com have also further developed this growing trend. Travelers are seeking more smooth and customized digital experiences when making arrangements for their trips. As technology evolves, this trend will only grow further.
Global Leisure Travel Market SkyQuest Analysis
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Component types team that Collects, Collates, Correlates, and Analyzes the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
Based on SkyQuest’s analysis, the global market for leisure travel experienced a huge transformation after the COVID-19 pandemic. The global health crisis had resulted in a sharp decline in travel activities. Regardless, the market is reviving as people recover and return to old travel pleasures.
In 2021, domestic tourism was dominant in the market. This is because safety is preferred over exotic locales. Travelers wanted to explore local destinations, with a stress on outdoor activities and nature-based experiences. The popularity of private and more socially distanced options boosted the demand for different accommodations in local areas. This included glamping and vacation rentals.
The emergence of online platforms and mobile apps have transformed the market landscape. The developing technology in the travel industry offers personalized travel experiences, along with contactless bookings and check-ins. Eco-friendly travel practices are becoming more popular. This led to travelers choosing destinations and accommodations that focus on improving environmental health. This environmentally driven trend has also influenced the popularity of immersive travel which included authentic cultural experiences.
After the COVID-19 pandemic, international travel was burdened by several restrictions. This included health concerns and border restraints. However the leisure travel market adapted and is now reviving. Its commitment to adjust and show resilience led to great innovation in the market. The world is returning to normalcy. Thus, the leisure travel market can expect to return to a state of stability as well. The market can move forward with a renewed focus on safety, sustainability, and personalization.
| Report Metric | Details |
|---|---|
| Market size value in 2023 | USD 340.31 Billion |
| Market size value in 2031 | USD 2129.96 Billion |
| Growth Rate | 22.6% |
| Forecast period | 2024-2031 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
|
| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
To get a free trial access to our platform which is a one stop solution for all your data requirements for quicker decision making. This platform allows you to compare markets, competitors who are prominent in the market, and mega trends that are influencing the dynamics in the market. Also, get access to detailed SkyQuest exclusive matrix.
Buy The Complete Report to read the analyzed strategies adopted by the top vendors either to retain or gain market share
Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Global Leisure Travel Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Global Leisure Travel Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Global Leisure Travel Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Global Leisure Travel Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Global Leisure Travel Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Global Leisure Travel Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
Global Leisure Travel Market Report Snapshots
Want to customize this report?
Our industry expert will work with you to provide you with customized data in a short amount of time.
REQUEST FREE CUSTOMIZATION
USA (+1) 351-333-4748
