# Leisure Travel Market

> Leisure Travel Market Size, Share, Industry Trend & Analysis Research Report Information By Traveler Type (Solo, and Group), By Sales Channel (Conventional Channels, and Online Channels), By Age Group (Baby Boomers, Generation X, Millennials, and Generation Z), By Expenditure Type (Lodging, Transportation, Food & Beverages, Events & Entertainment, and Others), And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) –Market Forecast Till 2035

- **Forecast Period:** 2025 - 2035
- **CAGR:** 22.5%
- **2024:** $ 1,824.03 Billion
- **2025:** $ 2,234.43 Billion
- **2035:** $ 17,003.09 Billion
- **Key Players:** Expedia Group (US), Booking Holdings (US), Tripadvisor (US), TUI Group (DE), Ctrip (CN), Travel Leaders Group (US), Thomas Cook Group (GB), Airbnb (US), Marriott International (US)

**Report ID:** MRFR/CG/10117-HCR · **Pages:** 128 · **Author:** Sakshi Gupta · **Last Updated:** April 20, 2026

**URL:** https://www.marketresearchfuture.com/reports/leisure-travel-market-one-11637

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## Market Summary

## **Global Leisure Travel Market Overview**

Leisure Travel Market Size was valued at USD 1215.5 Billion in 2022. The Leisure Travel Industry is projected to grow from USD 1489 Billion in 2023 to USD 7550.6 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 22.50% during the forecast period (2023 - 2032). Growing government programs, the growth of low-cost carriers, and technological developments are the key market drivers boosting the expansion of the market.

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Source: Secondary Research, Primary Research, _Market Research Future_ Database and Analyst Review

## **Leisure Travel Market Trends**

Global Market CAGR for leisure travel is being driven by the increasing amount of discretionary income. Well-established businesses such as [retail](../../../reports/retail-bags-market-12303), dining, lodging, entertainment, logistics, and other tourism services are all part of the leisure travel economy. Businesses in related industries, whether big and small, are always trying to make a difference in people's lives by fostering community support, economic growth, and interpersonal interaction. When a significant amount of money is invested in tourism, it can stimulate private investment, aggregate demand, infrastructure development, and employment growth.

Additionally, growing discretionary income and regional economic stability boost consumers' capacity to spend on leisure trips. People are more likely to set aside money for leisure activities and trips when they have greater disposable income. Experiences are becoming more and more valued than material belongings. Leisure travel is in high demand because travelers want to have memorable and one-of-a-kind experiences. This includes traveling to new places, immersing oneself in the culture, engaging in adventurous activities, and having customized travel experiences. The market for leisure travel is heavily influenced by the comfort and availability of access to information provided by technology.

Travel decisions are influenced by online booking platforms, travel applications, review sites, and social media, which also facilitate the planning and booking of travel.

Travelers' choices are influenced by shifting lifestyles and interests, such as increased emphasis on wellness, eco-friendly travel, eco-friendly lodging, and genuine local experiences. This creates a demand for particular leisure travel options. The need for travel is fueled by the growing number of older persons and retirees who have more free time and disposable income. This group looks for possibilities for leisure travel that will allow them to unwind, have adventures, see new cultures, and interact with others.

Higher-speed rail, air travel, and better road networks are examples of improved transportation infrastructure that contributes to increased connectivity and more convenient and accessible travel. For leisure tourists, this accessibility opens up new markets and travel possibilities. For instance, the number of outbound travelers has increased exponentially over the past ten years, with over 1.4 billion departures from around the world in 2018. Thus, result in driving the Leisure Travel market revenue.

## **Leisure Travel Market Segment Insights**

### **Leisure Travel Traveler Type Insights**

The Leisure Travel market segmentation, based on Traveler Type includes Solo and Group. The solo segment dominated the market. These days, solo travel is more common since it allows people to experience new things, see different cultures, reflect on their lives, and feel more powerful.

**Figure1: Leisure Travel Market, by Traveler Type, 2022&2032 (USD Billion)**

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Source: Secondary Research, Primary Research, _Market Research Future_ Database and Analyst Review

### **Leisure Travel Sales Channel Insights**

The Leisure Travel market segmentation, based on Sales Channel, includes Conventional Channels, and Online Channels. The online channels category generated the most income. The utilization of Al, big data analytics, and IoT in web-based booking operation improvements is anticipated to enhance the growth of the leisure travel market by delivering a smooth and uninterrupted consumer experience.

### **Leisure Travel Age Group Insights**

The Leisure Travel market segmentation, based on Age Group includes Baby Boomers, Generation X, Millennials, and Generation Z. The millennials segment dominated the market. The most important consideration for millennials when selecting travel locations continues to be learning about and gaining understanding of various cultures and traditions.

### **Leisure Travel Expenditure Type Insights**

The Leisure Travel market segmentation, based on Expenditure Type, includes Lodging, Transportation, Food & Beverages, Events & Entertainment, and Others. The transportation category generated the most income. Better connectivity makes it possible for tourists to reach far-off or unusual places, which promotes discovery and expands their options for where to go.

### **Leisure Travel Regional Insights**

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American Leisure Travel market area will dominate this market. The leisure travel market in North America is expanding due to various causes such as rising disposable income and an increasing number of individuals who have a greater interest in traveling.

Further, the major countries studied in the market report are The US, German, France, the UK, Canada, Italy, Spain, India, Australia, South Korea, China, Japan, and Brazil.

**Figure2: LEISURE TRAVEL MARKET SHARE BY REGION 2022 (USD Billion)**

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Source: Secondary Research, Primary Research, _Market Research Future_ Database and Analyst Review

Europe Leisure Travel market has the second-largest portion of the market, because of increased investment and government awareness of the need to improve travel. Further, the German Leisure Travel market had the biggest market share, and the UK Leisure Travel market was the European market with the quickest rate of growth.

The Asia-Pacific Leisure Travel Market is anticipated to expand between 2023 and 2032 at the quickest CAGR. The development of small and medium-sized travel businesses to improve consumers' travel experiences also contributes to the market's expansion. Moreover, China’s Leisure Travel market had the biggest market share, and the Indian Leisure Travel market was the Asia-Pacific region's fastest-growing market.

### **Leisure Travel Key Market Players& Competitive Insights**

Leading market players are putting a lot of money on R&D to broaden their product offerings, which will fuel further growth in the leisure travel market. Additionally, market players are engaging in a range of calculated initiatives to increase their worldwide presence, with important market developments involving the introduction of new products, contracts, M&A transactions, increased investment, and cooperation with other enterprises. To grow and endure in an increasingly cutthroat and dynamic market, Leisure Travel industry must provide reasonably priced goods.

Manufacturing locally is one of the primary business techniques used by manufacturers to cut operational costs in the Leisure Travel industry to help customers and expand the market segment. In recent years, the Leisure Travel industry has provided some of the biggest benefits to medicine. Major players in the Leisure Travel market, including EXPEDIA GROUP, CARLSON WAGONLIT TRAVEL, COX & KINGS LTD., JTB USA, INC., WORLD TRAVEL, INC., TUI GROUP, PRICELINE(BOOKING HOLDINGS INC.), THOMAS COOK INDIA LTD., and others, are engaging in research and development activities in an effort to boost market demand.

Expedia Group, Inc. is a travel technology firm based in the United States. It is the owner and operator of several travel pricing aggregators and travel metasearch engines, such as Hotels.com, Expedia.com, Exbookers, CheapTickets, Hotwire.com, Orbitz, Expedia Cruises, Wotif, and Trivago. The websites of the companies allow users to book tickets on over 500 airlines and over 3 million accommodation options. Its headquarters are in Seattle, Washington, and it employs 16,500 people. In April 2020, The Expedia Group appointed Peter Kern as its CEO.

In 2021, he received $296 million in total salary, making him the highest paid CEO among the S&P 500.

CWT (previously Carlson Wagonlit Travel) arranges business travel, conferences, exhibits, meetings, incentives, and event planning. With its main office located in Minneapolis, Minnesota, the business recorded a total transaction volume of US$23 billion in 2018. It comes in at number five on Travel Weekly's ranking of the highest-earning travel companies. In July 2020, According to the Register, CWT had to pay US$4.5 million to resolve a ransomware outbreak that occurred one week prior.

**Key Companies in the Leisure Travel market include**

**Leisure Travel Industry Developments**

**August 2023:** Skyscanner launched its Hindi language experience for all of its products and services in an effort to further solidify its position in the Indian market.

**August 2023:**MakeMyTrip and the Ministry of Tourism collaborated to release a unique Travellers' Map of India, which features more than 600 locations outside of the country's most popular tourist destinations.

**October 2021**: American Express introduced full-service business checks under its brand for small and medium-sized enterprises.

## **Leisure Travel Market Segmentation**

### **Leisure Travel Traveler Type Outlook**

### **Leisure Travel Sales Channel Outlook**

### **Leisure Travel Age Group Outlook**

### **Leisure Travel Expenditure Type Outlook**

### **Leisure Travel Regional Outlook**

## Market Drivers

### Rising Disposable Income

The increase in disposable income among consumers appears to be a pivotal driver for the leisure travel Market. As individuals and families experience enhanced financial stability, they are more inclined to allocate a portion of their income towards leisure travel. This trend is particularly evident in emerging economies, where a growing middle class is eager to explore new destinations. According to recent data, the average household expenditure on travel has risen by approximately 10% over the past year. This surge in spending capacity suggests that more people are prioritizing travel experiences, thereby fueling demand within the Leisure Travel Market. Furthermore, as disposable income continues to rise, it is likely that consumers will seek more luxurious and unique travel experiences, further propelling market growth.

### Technological Advancements

Technological advancements are reshaping the Leisure Travel Market in profound ways. The proliferation of mobile applications and online booking platforms has streamlined the travel planning process, making it more accessible and user-friendly. Data indicates that over 70% of travelers now prefer to book their trips online, reflecting a significant shift in consumer behavior. Additionally, innovations such as virtual reality and artificial intelligence are enhancing the travel experience, allowing consumers to explore destinations before making a commitment. This technological evolution not only simplifies the booking process but also enriches the overall travel experience, potentially increasing customer satisfaction and loyalty within the Leisure Travel Market. As technology continues to evolve, it is anticipated that new tools and platforms will emerge, further transforming how consumers engage with travel.

### Increased Focus on Health and Wellness

The increased focus on health and wellness is significantly influencing the Leisure Travel Market. As consumers become more health-conscious, there is a growing demand for travel experiences that promote physical and mental well-being. Wellness retreats, yoga vacations, and spa getaways are gaining traction as travelers seek to rejuvenate and recharge. Recent statistics indicate that wellness tourism is projected to grow at a rate of 10% annually, highlighting the potential for this segment within the Leisure Travel Market. This trend suggests that travel providers may need to adapt their offerings to include wellness-oriented experiences, catering to the desires of health-focused consumers. By integrating wellness into travel packages, the industry can attract a broader audience and enhance the overall appeal of leisure travel.

### Sustainability and Eco-Friendly Travel

Sustainability and eco-friendly travel practices are becoming increasingly important within the Leisure Travel Market. As awareness of environmental issues grows, consumers are more inclined to choose travel options that align with their values. This shift is reflected in the rising demand for eco-friendly accommodations, sustainable transportation, and responsible tourism practices. Industry expert's indicates that approximately 60% of travelers are willing to pay more for sustainable travel options, suggesting a significant opportunity for businesses to cater to this conscientious consumer base. As the industry evolves, it is likely that sustainability will play a central role in shaping travel choices, influencing everything from destination selection to the types of experiences offered. This focus on eco-friendly travel not only addresses consumer preferences but also contributes to the preservation of natural resources and cultural heritage.

### Growing Interest in Experiential Travel

The growing interest in experiential travel is emerging as a key driver for the Leisure Travel Market. Consumers are increasingly seeking authentic and immersive experiences that allow them to connect with local cultures and communities. This trend is reflected in the rising popularity of activities such as culinary tours, adventure travel, and cultural exchanges. Market data suggests that experiential travel has seen a growth rate of approximately 15% annually, indicating a shift away from traditional sightseeing towards more meaningful travel experiences. As travelers prioritize personal enrichment and unique encounters, the Leisure Travel Market is likely to adapt by offering tailored packages that cater to these evolving preferences. This focus on experiential travel not only enhances customer satisfaction but also fosters a deeper appreciation for diverse cultures and environments.

## Future Outlook

The Leisure Travel Market is projected to grow at a 22.5% CAGR from 2025 to 2035, driven by technological advancements, increased disposable income, and evolving consumer preferences.

**New opportunities:**

- Integration of AI-driven personalized travel planning tools. Expansion of eco-friendly travel packages targeting sustainability-conscious consumers. Development of immersive virtual reality experiences for pre-travel engagement.

By 2035, the Leisure Travel Market is expected to be robust, reflecting dynamic growth and innovation.

## Segment Insights

### By Traveler Type: Solo (Largest) vs. Group (Fastest-Growing)

In the Leisure Travel Market, the Solo traveler segment commands a significant portion of market share as individuals increasingly seek personalized experiences that cater to their unique preferences. This trend underscores a shift toward itineraries that prioritize flexibility and self-discovery. On the other hand, the Group traveler segment is rapidly gaining momentum, appealing to those looking for shared experiences and social interaction, resulting in a vibrant growth trajectory within the market. Growth trends indicate that while Solo travel has traditionally been favored for its independence, [group travel](https://www.marketresearchfuture.com/reports/group-travel-market-33138) is becoming a preferred choice for travelers of all ages, particularly as social connectivity has become more prominent. Factors driving this shift include the rise of social media, which promotes shared experiences, and changing consumer behaviors, where people seek to travel with friends and family. Moreover, travel companies are introducing group packages that cater to diverse interests, enhancing their popularity across different demographics.

Solo (Dominant) vs. Group (Emerging)

The Solo traveler segment is characterized by individuals seeking unique and customized experiences, leading to increased adoption of personalized travel services and itineraries. This group often prioritizes flexibility and adventure over traditional tourism models, resulting in a distinctive market positioning that caters to a wide range of interests. In contrast, the Group traveler segment is emerging as a powerful force in the leisure travel market, particularly favored for the shared experiences it offers. [group travel](https://www.marketresearchfuture.com/reports/group-travel-market-33138) often provides logistical advantages, like coordinated activities and cost-sharing, appealing to larger demographics. Factors such as corporate retreats, family vacations, and themed group tours contribute to its growing popularity. Both segments bring different dynamics to the market, influencing vendors and service providers to adapt their offerings.

### By Sales Channel: Online Channels (Largest) vs. Conventional Channels (Fastest-Growing)

The Leisure Travel Market showcases a significant preference for online channels, which currently hold the largest share of transactions. More travelers are opting for digital platforms to book and plan their trips, benefitting from the convenience and extensive options available online. In contrast, conventional channels, while trailing in overall market share, have been gaining traction as they adapt to changing consumer preferences by enhancing their service offerings and personalizing customer experiences.

Sales Channels: Online (Dominant) vs. Conventional (Emerging)

Online channels have transformed the Leisure Travel Market, providing an extensive range of products and services that cater to tech-savvy consumers. This dominance is bolstered by the increasing reliance on mobile applications and social media for travel planning and booking. Meanwhile, conventional channels have emerged as a vital segment, driven by a growing desire for personalized travel experiences and real-time assistance. These traditional outlets are evolving by integrating technology while retaining a personal touch, positioning themselves to capture a segment of travelers seeking reassurance and expert guidance in their travel decisions.

### By Age Group: Millennials (Largest) vs. Generation Z (Fastest-Growing)

In the Leisure Travel Market, Millennials hold the largest market share among age groups, reflecting their significant spending power and leisure travel preferences. This demographic values experiences, often prioritizing travel over material possessions. Generation X follows closely, demonstrating a solid commitment to travel while balancing family and work demands. In contrast, Baby Boomers, although engaged, may spend more conservatively due to retirement and lifestyle changes, which influences their travel choices.

Millennials (Dominant) vs. Generation Z (Emerging)

Millennials are considered the dominant segment in leisure travel, often embracing technology and seeking value in their travel experiences. They are characterized by their preference for authentic experiences, cultural immersion, and sustainable travel options. Generation Z, on the other hand, is emerging as a powerful force in the market, particularly drawn to unique and adventurous travel experiences. This generation, raised in the digital age, prioritizes social media influence and immersive, Instagram-worthy travel experiences, driving trends towards more personalized and experiential travel offerings.

### By Expenditure Type: Lodging (Largest) vs. Transportation (Fastest-Growing)

In the Leisure Travel Market, expenditure is primarily distributed across several key categories: Lodging remains the dominant segment, capturing the largest share due to the essential nature of accommodation in travel experiences. Following closely are Transportation and Food & Beverages, which also play crucial roles in shaping traveler’s budgets. Events & Entertainment and Others are smaller yet significant contributors to overall expenditure, offering essential services that enhance the experience for travelers seeking leisure activities.

Lodging (Dominant) vs. Transportation (Emerging)

Lodging serves as the bedrock of the Leisure Travel Market, with a solid foundation in hotels, resorts, and vacation rentals, catering to diverse consumer preferences from luxury to budget options. On the other hand, Transportation is emerging rapidly with the increase in demand for various travel modes including airlines, car rentals, and ridesharing services. As consumers prioritize convenience, the Transportation sector is adapting by offering innovative solutions and enhancing customer experiences. Both segments are critical, but their dynamics differ greatly with lodging providing necessary rests, while transportation focuses on mobility and access.

## Regional Market Share Analysis

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American Leisure Travel Market area will dominate this market. The leisure travel market in North America is expanding due to various causes such as rising disposable income and an increasing number of individuals who have a greater interest in traveling.

Further, the major countries studied in the market report are The US, German, France, the UK, Canada, Italy, Spain, India, Australia, South Korea, China, Japan, and Brazil.

**Figure2: LEISURE TRAVEL MARKET SHARE BY REGION 2022 (USD Billion)**

Europe Leisure Travel Market has the second-largest portion of the market, because of increased investment and government awareness of the need to improve travel. Further, the German Leisure Travel Market had the biggest market share, and the UK Leisure Travel Market was the European market with the quickest rate of growth.

The Asia-Pacific Leisure Travel Market is anticipated to expand between 2023 and 2032 at the quickest CAGR. The development of small and medium-sized travel businesses to improve consumers' travel experiences also contributes to the market's expansion. Moreover, China’s Leisure Travel Market had the biggest market share, and the Indian Leisure Travel Market was the Asia-Pacific region's fastest-growing market.

## Competitive Benchmarking

Leading market players are putting a lot of money on R&D to broaden their product offerings, which will fuel further growth in the leisure travel market. Additionally, market players are engaging in a range of calculated initiatives to increase their worldwide presence, with important market developments involving the introduction of new products, contracts, M&A transactions, increased investment, and cooperation with other enterprises. To grow and endure in an increasingly cutthroat and dynamic market, Leisure Travel industry must provide reasonably priced goods.
Manufacturing locally is one of the primary business techniques used by manufacturers to cut operational costs in the Leisure Travel industry to help customers and expand the market segment. In recent years, the Leisure Travel industry has provided some of the biggest benefits to medicine. Major players in the Leisure Travel Market, including EXPEDIA GROUP, CARLSON WAGONLIT TRAVEL, COX & KINGS LTD., JTB USA, INC., [WORLD TRAVEL, INC.](https://www.worldtravelinc.com/meet-the-leisure-team), TUI GROUP, PRICELINE(BOOKING HOLDINGS INC.), THOMAS COOK INDIA LTD., and others, are engaging in research and development activities in an effort to boost market demand.
Expedia Group, Inc. is a[travel technology](https://www.marketresearchfuture.com/reports/travel-technology-market-33880) firm based in the United States. It is the owner and operator of several travel pricing aggregators and travel metasearch engines, such as Hotels.com, Expedia.com, Exbookers, CheapTickets, Hotwire.com, Orbitz, Expedia Cruises, Wotif, and Trivago. The websites of the companies allow users to book tickets on over 500 airlines and over 3 million accommodation options. Its headquarters are in Seattle, Washington, and it employs 16,500 people.
In April The Expedia Group appointed Peter Kern as its CEO.
In 2021, he received $296 million in total salary, making him the highest paid CEO among the S&P 500.
CWT (previously Carlson Wagonlit Travel) arranges business travel, conferences, exhibits, meetings, incentives, and event planning. With its main office located in Minneapolis, Minnesota, the business recorded a total transaction volume of US$23 billion in 2018. It comes in at number five on Travel Weekly's ranking of the highest-earning travel companies.
In July According to the Register, CWT had to pay US$4.5 million to resolve a ransomware outbreak that occurred one week prior.

## Recent News & Developments

**August 2023:** Skyscanner launched its Hindi language experience for all of its products and services in an effort to further solidify its position in the Indian market.

**August 2023:**MakeMyTrip and the Ministry of Tourism collaborated to release a unique Travellers' Map of India, which features more than 600 locations outside of the country's most popular tourist destinations.

**October 2021**: American Express introduced full-service business checks under its brand for small and medium-sized enterprises.

## Report Scope

| MARKET SIZE 2024 | 1824.03 (USD Billion) |
| --- | --- |
| MARKET SIZE 2025 | 2234.43 (USD Billion) |
| MARKET SIZE 2035 | 17003.09 (USD Billion) |
| COMPOUND ANNUAL GROWTH RATE (CAGR) | 22.5% (2025 - 2035) |
| REPORT COVERAGE | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| BASE YEAR | 2024 |
| Market Forecast Period | 2025 - 2035 |
| Historical Data | 2019 - 2024 |
| Market Forecast Units | USD Billion |
| Key Companies Profiled | Expedia Group (US), Booking Holdings (US), Tripadvisor (US), TUI Group (DE), Ctrip (CN), Travel Leaders Group (US), Thomas Cook Group (GB), Airbnb (US), Marriott International (US) |
| Segments Covered | Traveler Type, Sales Channel, Age Group, Boomers, Generation X, Millennials, and Generation Z, Expenditure Type, Region |
| Key Market Opportunities | Integration of sustainable practices and technology enhances consumer engagement in the Leisure Travel Market. |
| Key Market Dynamics | Shifting consumer preferences towards sustainable travel options are reshaping the competitive landscape of the leisure travel market. |
| Countries Covered | North America, Europe, APAC, South America, MEA |

## Frequently Asked Questions

**Q: What is the current valuation of the Leisure Travel Market in 2024?**
A: The Leisure Travel Market was valued at 1824.03 USD Billion in 2024.

**Q: What is the projected market valuation for the Leisure Travel Market by 2035?**
A: The market is projected to reach 17003.09 USD Billion by 2035.

**Q: What is the expected CAGR for the Leisure Travel Market during the forecast period 2025 - 2035?**
A: The expected CAGR for the Leisure Travel Market during 2025 - 2035 is 22.5%.

**Q: Which traveler type segment has the highest valuation in 2024?**
A: In 2024, the Group traveler type segment had a valuation of 1459.22 USD Billion.

**Q: How do online channels compare to conventional channels in terms of sales in 2024?**
A: In 2024, conventional channels generated 1094.03 USD Billion, while online channels accounted for 730.0 USD Billion.

**Q: What is the expenditure type with the highest valuation in the Leisure Travel Market?**
A: Transportation emerged as the highest expenditure type, valued at 546.72 USD Billion in 2024.

**Q: Which age group is projected to have the highest spending in the Leisure Travel Market?**
A: Generation Z is projected to have the highest spending, with a valuation of 548.69 USD Billion in 2024.

**Q: Who are the key players in the Leisure Travel Market?**
A: Key players include Expedia Group, Booking Holdings, Tripadvisor, TUI Group, and Airbnb.

**Q: What is the valuation of the Baby Boomers segment in 2024?**
A: The Baby Boomers segment was valued at 364.81 USD Billion in 2024.

**Q: What trends are expected to shape the Leisure Travel Market in the coming years?**
A: Trends suggest a shift towards online booking and increased spending among younger generations, particularly Millennials and Generation Z.


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