The Simon-Kucher 2026 Travel Trends Study finds nearly half of travelers plan to increase holiday spending
[Location, Date] - The Simon-Kucher 2026 Travel Trends Study, now in its sixth year, reveals a travel industry undergoing rapid digital transformation and generational change. Younger travelers are shaping how trips are inspired, planned, and booked as they’re turning to AI tools, social media, and online platforms for ideas and organization. Asia and the Middle East stand out for their higher adoption of digital tools and international travel, while Europe remains more value-focused and traditional in its planning habits. At the same time, travel budgets continue to climb worldwide, reflecting both confidence and new priorities among consumers. Together, these shifts signal a travel market that is becoming more connected, personalized, and purpose-driven.
“Travel has become more intentional. People are spending more, but they’re also seeking more meaning,” said Rosalind Hunter, Partner at Simon-Kucher. “Our insights show that travelers, especially Gen Z and Millennials, are embracing technology to personalize their journeys, drawing inspiration from social media, and investing in health and wellness experiences. They are making more conscious choices about where and how they travel, signaling a more thoughtful, digital-first, and experience-led era for the industry.”
Key findings:
- Younger travelers lead global growth: Nearly 60 percent of Gen Z and 57 percent of Millennials took two or more holidays in 2025, the highest of any generation, and are most likely to travel internationally.
- AI becomes the new travel planner: Over 60 percent of Gen Z and Millennials use AI tools for travel inspiration and itinerary planning. Across markets, 81 percent of Chinese, 76 percent of Saudi Arabian, and 71 percent of Indian travelers have already used AI-powered travel features.
- Social media inspires new destinations: More than half of younger travelers say they are influenced by social media when choosing destinations. India (70 percent) and the UAE (65 percent) show the highest influence, while over 50 percent of Europeans say they are not influenced by social media.
- Budgets continue to rise: Holiday spending remains the fastest-growing household expense, up four percentage points since 2024. Nearly half of all respondents expect to spend more in 2026, with growth led by Asia and the Middle East.
- Late booking and deal-driven behavior surge: About two-thirds of travelers in Asia and the Middle East book within four weeks of departure, compared to longer lead times in Europe. Younger travelers are driving this last-minute trend.
- Wellness and sustainability remain aspirational: Four in 10 travelers are considering a wellness-related holiday for 2026, and a half say they have chosen a sustainable trip at least once, especially high-income and younger segments. However, while there is a desire for sustainable travel, most are not willing to pay a premium for it.
“The next wave of growth will come from travelers who want smarter, healthier, and more sustainable experiences. To win, travel providers must meet customers where inspiration and planning happens, on AI platforms and social media feeds, while tailoring offers to the motivations of younger travelers,” added Vijesh Patel, Director at Simon-Kucher. “AI is enabling hyper-personalization, wellness is shifting from luxury to lifestyle, and sustainability is now an expectation. For the industry, success will mean curating journeys that reflect these values.”
Complete study findings are available upon request.
About the Study: The Simon-Kucher 2026 Travel Trends Study surveyed more than 10,000 qualified travelers across 10 global markets (China, France, Germany, India, Netherlands, Saudi Arabia, Spain, UAE, UK, USA) in mid-2025. Respondents included both leisure and business travelers who had taken at least one holiday in the previous 24 months.
About Simon-Kucher
Simon-Kucher is a global consultancy with more than 2,000 employees in 31 countries. Our sole focus is on unlocking better growth that drives measurable revenue and profit for our clients. We achieve this by optimizing every lever of their commercial strategy - product, price, innovation, marketing, and sales - based on deep insights into what customers want and value. With 40 years of experience in monetization topics of all kinds, we are regarded as the world’s leading pricing and growth specialist.