Travelers Are Spending Big This Holiday Season-With Higher Expectations Than Ever

SAN FRANCISCO,Oct. 15, 2024/PRNewswire/ --Sojern, the leading digital marketing platform built for travel, today shares its latest travel data ahead of the holiday season and beyond. Travelers are eager to hit the road or skies, but economic concerns and inflation are widening thewealth gap. Compared to 2023, more consumers are opting for road trips over air travel, if they're traveling at all. Sojern data shows upscale and luxury hotel prices have risen by 1.7% and 1.4%, while economy lodging remains steady, reflecting growing demand for higher-end accommodations.

"Unlike the pandemic where travelers chose less crowded destinations, those who are traveling are going back to more popular and expensive cities–and they're willing to pay a premium,"saidNoreen Henry, Chief Revenue Officer at Sojern."We saw this withTaylor Swift'sEras Tour where booking interest traffic to European cities spiked65%and hotel room prices were up154%. This holiday season, we're seeing the same trends. From events to festive outings, travelers want  immersive adventures, and the travel brands that deliver personalized, magical experiences will win."

United States Travel Spikes for Thanksgiving and Christmas

With an estimated4.7million people flying over the Thanksgiving holiday, Sojern data shows that domestic flight bookings are up 4% in 2024 compared to the same time period in 2023, withOrlandotaking the top spot as the Thanksgiving flight destination of choice.

Meanwhile, domestic travel during Christmas is down 15%, while travel toEuropeis up 2% andAsiaup 9%. Top destinations domestically areHonolulu,New York, which is expecting approximately7.5 millionvisitors, andOrlandowhile the top destinations internationally areMexico, theUnited Kingdom,CanadaandDominican Republic. WhileMexicohas long been a popular destination for Americans, flight bookings fromthe United Statesare down 8% this year. Instead, they're choosing theDominican Republic, where flight bookings are up 14%.

European Cities Delight International Travelers While Europeans Flock toAsia

Europe'sfestive flair and array of Christmas markets have long attracted travelers from around the world–and this year is no exception. However, while travelers from around the world are packing their bags and jetting off to major European cities, Europeans have other plans. Currently, domestic flight bookings are down 26% and bookings withinEuropeare down 5%. Interestingly, flight bookings toAsia(14%),Latin America(3%), and non-conflict countries within theMiddle EastandAfrica(3%) are all up, indicating that Europeans either prefer to drive for their holiday experiences or embark on long-distance adventures.

London, with its charming pubs, festive holiday displays, and as the host ofWorld Travel Market, stands asEurope'stop destination this season, capturing 79.1% of flight bookings and 89.7% of hotel reservations.

With bustling Christmas Markets,GermanyandAustriahave long been popular destinations. International travel toGermanyis up 7% while travel toViennais scooping up 80% ofAustria'sholiday flight bookings.

Paris, with all its glitz and glamor, is still riding high off the2024 Summer Olympicsas one of the most in-demand destinations inEurope. Overall, domestic travel withinFranceis down 41%, but international travel is only down 1%, with Americans looking to imbibe on French delicacies and stroll the markets. Much like other European destinations, domestic travel withinItalyandSpainis down, but international travel is up 13% and 11%, respectively, with visitors choosing major cities, such asRome,Milan, Florence,Venice,Madrid, andBarcelona.

Travel toAbu Dhabiand Saudi Arabia Spikes Ahead of Major Events and Peak Travel Season

Formula One (F1) events attract significant crowds. For instance, the 2022 Singapore Grand Prix boosted travel to the country by63%. The UAE is gearing up for the Abu Dhabi Grand Prix (Dec 6-8), with flight bookings from the past 30 days showing a 9% overall increase for December. Regional bookings are up 13%, and international travel is up 4% compared to 2023. Meanwhile,Saudi Arabiais experiencing rising demand as it enters peak travel season, with international flight bookings up 15% and regional travel surging by 38%.

Travelers Skirt Traditional Ski Destinations in Favor ofJapan

Holiday skiing has always attracted travelers, but this year their preferences are changing. Traditional destinations, like the German and Swiss Alps, are still in high demand, with hotel bookings up 20% and 42%, respectively. However, American and Canadian ski destination hotel bookings are down between 9% and 18% and European ski tourism is seeing similar patterns.Japanis emerging as a top ski destination, with hotel bookings up 417% compared to last year.

Chinese New Year Bookings are Down, with Three Months To Go

Chinese New Year in 2025 runs fromJanuary 28th to February 3rdand is driving travel acrossAsia Pacific.Singaporeis typically a huge draw, but current hotel bookings are down 11.55% overall compared to the same period in 2024, with domestic bookings down 26%.SingaporeisChina'stop destination for the holiday, capturing 14.8% of non-intra-regionalAsia Pacifictravel. While some Chinese travelers are flying for the holiday, flight bookings are down 18.82%. Hotel bookings are up 10.41% compared to 2023, indicating a higher demand for domestic travel, but likely by rail or car.

The Travel Landscape in 2025 and Beyond

Today's travelers are more experience-driven than ever, investing heavily in attending concerts, events, and major sports like the FIFA World Cup. In 2022,Qatarhosted the FIFA World Cup, spiking international lodging searches by541%worldwide. Next up,Canada,Mexico, andthe United Stateswill host the 2026 FIFA World Cup, drawing travelers from around the world to cheer for their teams.

As travelers increasingly seek out experiences, they are willing to spend more, driving up both costs and expectations. In response, the travel industry is embracing innovative solutions, such as Generative AI, to better understand guests and deliver personalized experiences at scale. This year marks just the beginning, as the adoption of these cutting-edge tools is set to grow well into 2025 and beyond.

*Sojern data pulled as ofOct. 1, 2024

About Sojern

Sojern is a leading travel marketing platform designed to boost growth and profitability for the travel industry. The Sojern Travel Marketing Platform is a set of easy-to-use software and services that delivers unrivaled traveler insight, intelligent audiences, multichannel activation and optimization, and a connected guest experience—all in one place. More than 10,000 travel marketers rely on our platform annually to find, attract, convert and engage travelers. Founded in 2007, Sojern is headquartered inSan Francisco, Californiawith teams in the Americas,Europe,Middle EastandAfrica, andAsia Pacific.

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SOURCE Sojern