Phocuswright, leading travel research firm, reports that the global travel market will grow 6-10% per year through 2026. The industry has now surpassed pre-pandemic levels, with a total spend in 2023 of $1.5tn.
‘Online travel’ was a recurring trend of the Phocuswright’s Global Travel Market Report 2024. The sector is projected to grow at 10% between 2023 and 2026. By 2026, online bookings are expected to make up 65% of all travel bookings – up from 61% in 2023.
Key takeaways: Global travel market jumps 24%: The industry has now exceeded 2019’s gross bookings of $1.5tn Online bookings soaring: Online travel is leading the charge, with a projected compound annual growth rate (CAGR) of 9.8% from 2023-2026 North America on top: The region has solidified its position as the world’s largest travel market Europe and Asia Pacific lead in online penetration: Europe surpassed North America in 2023, with APAC expected to follow suit in 2024. Suppliers versus OTAs: Suppliers dominate online bookings overall, but OTAs lead in the hotel segment Shift in top markets: The U.S., China, Japan, Germany, and France currently hold the top spots, but the U.K. is poised to enter the top five by 2025
Phocuswright global travel market growth report 2024These findings will be discussed in-depth at The Phocuswright Conference from 19-21 November in Phoenix, Arizona. The theme is ‘The New Age(nts)’ – a discussion about the future of travel distribution and tech.
Phocuswright’s Global Travel Market Report 2024 provides market sizing and projections from 2019-2026, based on surveys, interviews, and analysis of industry data.
Eugene Ko, director of marketing and communications at Phocuswright, commented: “The accelerated shift to online bookings and the varying pace of digital adoption across regions highlight both the opportunities and challenges ahead. It will be crucial for industry players to understand these nuances to remain competitive in this rapidly changing landscape.”
