Leisure Travel Industry Projected to Skyrocket to $15T by 2040: BCG Analysis
The global leisure travel market is on the brink of a significant boom, with projections indicating a potential tripling in spending from $5 trillion in 2024 to an astounding $15 trillion by 2040. This prediction comes from a comprehensive report by the Boston Consulting Group (BCG). The study unveils that the driving force behind this unprecedented growth will be domestic and regional travel, with emerging markets such as China, India, Saudi Arabia, and Vietnam at the forefront.
The report underscores the demographic shifts that are redefining the industry. The most influential demographic now comprises of Millennials and Gen-Z travelers, who are planning more trips and spending significantly more than their older counterparts. The trend of solo travel has transitioned from being a niche to a mainstream choice, with a range of 18-39% of travelers embarking on solo journeys. Additionally, the concept of “bleisure” travel, a blend of business and leisure, is gaining immense popularity, especially in emerging markets where over 70% of travelers intend to mix work with vacation.
Travelers are increasingly motivated by cultural exploration, health and wellness retreats, and food tourism. They are seeking experiences that “reflect who they are.” These insights indicate that the industry must brace itself for a rapidly evolving customer base with unique expectations around digital integration, personalization, and authentic experiences.
Source: APN News