Phocuswright just published Travel Forward: Data, Insights and Trends for 2025, a resource (available to everyone) which provides broadscale insights into the $1.61 trillion global travel market, offering essential data for understanding industry trends and growth.
Featuring highlights by segment, channel, consumer behavior metrics and more, this report equips industry stakeholders with the key data and trends needed to navigate the evolving travel landscape.
Looking ahead, here are 10 key insights from the report that should be on your radar in 2025:
1. Phocuswright projects that the global travel market will continue to grow through 2026, with annual gains ranging between 6-9%. Online bookings will advance more rapidly, with annual gains from 8-12%.
2. Global gross bookings are expected to increase from $1.6 trillion in 2024 to $1.72 trillion in 2025, marking a steady, but slower growth rate as the market matures.
3. Online gross bookings are estimated to reach $1.0 trillion in 2024 and climb to $1.2 trillion by 2026. By that time, nearly 65% of global travel gross bookings will be made online.
4. With increasing capacity and declining airfares, airline revenue growth is projected to slow to 10% in 2024 and drop to single-digit growth in subsequent years.
5. Global online gross bookings for hotels are projected to account for 55% of the market in 2024 and increase to 58% by 2026. As the industry progresses, it’s essential for stakeholders to keep enhancing their online offerings to meet growing demands for digital convenience and efficiency.
6. North America remains the largest contributor to gross bookings among regions, growing from $543.8 billion in 2024 to $568.5 billion in 2025. This growth is consistent but indicates a slowing pace as the region approaches maturity in online travel.
7. In 2025, the U.K. is expected to overtake France in gross bookings, reclaiming a spot among the top five markets for the first time since the COVID-19 pandemic.
8. Travelers feel more confident about booking lodging in the next 12 months but are less sure about their transportation plans. The issue of cost and discretionary spending may have them cautious about spend in the future.
9. Most European travelers expect to engage in leisure travel in the next year, with more planning international trips (either inside or outside of Europe) than domestic trips. British travelers are the most likely to be planning to travel outside of Europe.
10. 50% of travelers expect to utilize GenAI for leisure travel in the next 12 months.
Discover the rest of the critical insights and data to understand trends and growth in 2025 here. Available for everyone.
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