Leisure Travel Market Size, Share, and Industry Analysis, By Traveller Type (Solo and Group), By Age Group (Up to 20 Years, Between 20 and 40 Years, and Above 40 Years), By Destination (Domestic and International), and Regional Forecast, 2024 – 2032

Leisure travel refers to trips taken by individuals or groups for entertainment and pleasure. It includes sightseeing, visiting new destinations, and indulging in hobbies. Rising consumer inclination toward outdoor recreational activities and expanding transport infrastructure across countries trigger leisure travel market expansion.

Mobile applications and online platforms that provide easy and quick access to information regarding various travel destinations, tours, and prices contribute to global market growth. Moreover, recent years have witnessed increasing consumer interest, notably among millennials and Gen Z, in exploring attractive destinations, including mountains, historical sites, and rainforests. Growing awareness regarding the mental and physical benefits of leisure travel is also expected to positively influence market growth in the foreseeable future.

Furthermore, the rising number of travel enthusiasts and consumer disposable income boost demand for leisure travel. However, restrictions on travel and social distancing policies imposed across countries, notably in 2020, due to the COVID-19 pandemic, significantly affected market growth. In addition, the interim closure of tourist destinations, such as amusement parks, museums, and historic sites, negatively impacted leisure travel globally.

Segmentation

Key Insights

The report covers the following key insights:

• Parent/Related Market Overview


• Supply Chain Analysis


• Industry SWOT Analysis


• Porter's Five Forces Analysis


• Recent Technological Advancements

Analysis by Traveller Type

Based on the traveller type, the global leisure travel market is segmented into solo and group. The group segment leads the market, driven by a sizable number of individuals preferring to travel along with their family or friends. Group travel is also considered more convenient and safe than solo travel, which further supports segmental growth. However, solo travel has been increasing considerably in recent years due to the freedom it provides to choose the destination or make changes without adjusting.   

Analysis by Age Group

Based on age group, the global market is bifurcated into up to 20 years, between 20 and 40 years, and above 40 Years. The segment between 20 and 40 years is set to dominate the market over the forecast period due to the increasing millennial spending on tourism and leisure activities. Moreover, numerous travel accounts and pages on social media platforms such as Instagram and Facebook influence individuals to explore new locations, which will support segmental growth in the near term.

Analysis by Destination

Based on destination, the global market is divided into domestic and international. The domestic segment held the largest share in 2023. Numerous individuals with budget constraints prefer to travel domestically as it is more economical than international journeys. In addition, it shortens the distance and eliminates the need for an international visa. These factors contribute to domestic segment expansion. Furthermore, rising consumer disposable income and awareness regarding several attractive international destinations will trigger international segment growth.

Regional Analysis

The global market is geographically segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. Asia Pacific is anticipated to lead the global market over the forecast timeframe, backed by increasing tourism in countries such as India, Indonesia, Thailand, Japan, Singapore, and Maldives. For instance, according to Invest India, a New Delhi-based investment promotion and facilitation organization, the country's hospitality and tourism market will generate more than USD 59 billion by 2028. Moreover, tourism is one of India's fastest-growing sectors.

Europe will rise at the highest CAGR, favored by numerous attractive destinations such as historical sites, varied landscapes, and popular landmarks throughout countries including France, Spain, Italy, and the U.K, which triggers leisure travel in the region. Furthermore, government initiatives to increase travel and tourism will support regional expansion in the coming years. For instance, in June 2020, the Spanish government announced plans worth more than USD 4 billion to strengthen tourism throughout the country.

Key Players Covered

The report includes the profiles of key players, such as American Express Travel, Expedia Group, Carlson Wagonlit Travel, JTB Americas, Ltd, Cox & Kings Ltd, Priceline Group Travel + Leisure Co, Thomas Cook Limited, TUI Group, and Travel Leaders Group.

Key Industry Developments

• May 2024: 1000 Mile Travel Group, an Abbotsford, Australia-based travel agency, introduced its new brand, 1000 Mile Travel Escapes. This brand provides leisure travel experiences to its customers and assists them in connecting with travel advisors.


• January 2024: Travel + Leisure Co, a Florida U.S.-based leisure travel company, acquired Accor, a French hospitality company's vacation ownership business, for more than USD 48 million.