It’s safe to say that all forms of travel largely normalized to prepandemic levels this year. According to the Washington-based U.S. Travel Association, domestic leisure travel normalized to prepandemic levels in 2023 and is expected to remain at prepandemic levels in 2024 and beyond.
The association reports that it also expects international inbound travel to strengthen this year, exceeding previous expectations thanks to strong growth out of Canada as well as stronger recovery expectations from overseas markets such as Brazil and China.
More broadly, Montreal-based Airports Council International (ACI) reports that global passenger traffic largely recovered this year with about 8.6 billion passengers, which is 94.2% of the 2019 level. This year, ACI expects global passenger traffic to increase to 9.4 billion passengers, which is 102.5% of the 2019 level.
“ACI World projects that global air travel will nearly return to prepandemic levels by the end of 2023, with all regions expected to reach this milestone by 2024,” says Luis Felipe de Oliveira, ACI world director general. “Upside factors include the reopening of the Chinese market and surge in domestic travel, supply chain disruptions gradually subsiding and inflation slowing down. While downside risks remain present, we continue to witness the dedicated efforts and commitment of ACI airport members and partners, and we are filled with optimism about the industry’s future.”
While travel is expected to be up, it is also predicted to be more expensive this year. According to a report from Squaremouth, a large travel insurance marketplace, travelers have noticed an increase in travel prices for the past three years. The company says it found that 82% of travelers foresee their travel spending increasing or staying the same in 2024.
Booking.com’s 2024 travel outlook reports that travelers will likely get creative to navigate pricier trips. The company reports that 47% of travelers said they would take their children out of school for off-peak travel in 2024, and 39% of pet owners plan to bring pets along with them to cut pet-sitting costs.
Rise of bleisure travel
The U.S. Travel Association reports that business travel also made progress this year, steadily normalizing to prepandemic levels.According to the association, lodging data confirms the accelerated recovery of business and group travel. Weekday hotel occupancy rates have increased as of the fall, particularly in the top 25 largest U.S. hotel markets. San Francisco posted the highest weekday occupancy the last week of September 2023 at nearly 90%. The U.S. Travel Association also noted that small and medium-sized companies are leading the way with the uptick in transient business travel.
Along with the increase in business travel, “bleisure” is also on the rise. Bleisure is when travelers combine a work trip with an extended vacation before, during or after the work event. The U.S. Travel Association says nearly half of global employees (46%) intend to plan a bliesure trip this year and more than one-third of Gen Z and Millennial business travelers plan to extend a business trip to enjoy leisure time before or after their work obligations.
According to a 2024 travel report from Hilton, pandemic-related business trends likely helped boost interest in bleisure travel. The report explains that when, where and how people work changed because of the pandemic, resulting in the rise of blended, “bleisure” travel.
“The past few years have reinforced that there is no true replacement for in-person meetings and events,” says Chris Silcock, chief commercial officer at Hilton. “Today many are embracing the unique value of business travel and want to maximize the time that they have on the road, in the meeting or at the conference to build and strengthen relationships.”
Additionally, Hilton reports that the destination of many large conferences and events shifted away from large, urban city centers into secondary markets last year. In the Americas, some growing secondary conference markets include Albuquerque, New Mexico; Fort Myers, Florida; and Milwaukee.
Demanding an experience
People still want to prioritize leisure in this new year. According to Hilton’s 2024 outlook, 64% of global travelers aim to reduce other areas of personal spending to prioritize leisure travel. The company says this is especially true among Millennial and Gen Z travelers. So what are people looking for with their travels in 2024? According to Squaremouth’s outlook, adventure tourism is on the rise with more than 40% of travelers looking for adventure when traveling. Think safaris, hiking, snorkeling and skiing as popular activities among these travelers.And travelers aren’t just getting adventurous in the activities they plan on trips — they are also getting adventurous in the booking and planning of their trips. According to the 2024 travel outlook from Booking.com, 52% of travelers plan to book trips without knowing the end destination. Additionally, Booking.com reports that 34% of travelers are willing to travel with strangers. Overall, the company says 69% of travelers are opting for looser itineraries this year rather than strictly scheduled trips.
Water-centric getaways are still important to travelers, though. Booking.com reports that 75% of travelers find instant relaxation by the water’s edge. The company notes that some travelers are also very curious about health retreats (20%) and some are interested in psychedelic retreats (14%).
Both Hilton and Booking.com report that travelers are eager to engage in local culture and many want to travel to less touristy destinations.
A final note on that topic – many destination dupes will be on the rise this year. According to Expedia’s 2024 travel outlook, travelers want affordable alternatives to popular mainstream destinations.
“In online slang, dupes are cheaper versions of luxury brands,” says Melanie Fish, chief trend tracker for Expedia Brands. “In the Expedia Trends in Travel report, dupes are destinations that are a little unexpected, sometimes more affordable, but every bit as delightful as the tried-and-true places travelers love.”
Forbes has also offered a list of several domestic “destination dupes” travelers might want to consider in 2024, including Milwaukee instead of Chicago; Block Island, Rhode Island, instead of Cape Cod, Massachusetts; Lafayette, Louisiana, instead of New Orleans; or New York’s Finger Lakes instead of Napa Valley Vineyards.
