Travel Trends

Year-Over-Year Passenger Trips Rose Despite Decline in Sales

The Mastercard Economics Institute (MEI) has identified key trends affecting the sector, including purpose-driven journeys, emerging tourist destinations, the influence of currency fluctuations, the rise of wellness and adventure tourism, the impact of sporting events, shifts in business travel, and the prevalence of fraud in the travel industry.

The World Travel & Tourism Council (WTTC) has revealed that the U.S. could lose up to $12.5 billion in international travel spending in 2025, marking a significant 22.5% decline from its previous peak.

Americans are increasingly confident in their ability to take a summer vacation despite economic uncertainties, resulting in record-breaking vacation spending, according to Allianz Partners USA’s 17th Annual Vacation Confidence Index.

Amidst growing financial concerns and tariff anxieties, American travelers are adjusting their behaviors, including stricter trip budgeting and destination selection based on affordability.

AAA Forecasts 45.1 Million Americans to Travel Over Memorial Day Holiday

Fliggy, an online travel services platform owned by Alibaba Group, reported a significant rise in per capita travel expenditure in its 2025 Labor Day holiday travel trends. The trends showed a notable increase in trip duration and a surge in the demand for customized tour bookings, road trips, and nature hotspot visits. Outbound travel bookings have also risen due to extended holidays and visa-friendly policies.

The latest data from Allianz Partners USA’s Top Summer Travel Destinations Report reveals that Seattle and Cancun are Americans’ most popular travel destinations this summer. Most travelers choose to stay within the U.S., with 71% of bookings for domestic destinations, while 29% are planning international trips.

The Barclays 2025 Travel Rewards and Loyalty Report reveals that nearly 80% of travelers rely on loyalty programs, with Millennials leading the way. The trend of selecting travel destinations from favorite TV shows or movies, known as “set-jetting,” is also gaining traction.

Total demand, measured in revenue passenger kilometers (RPK), was up 3.3% compared to March 2024. Total capacity, measured in available seat kilometers (ASK), was up 5.3% year-on-year. The March load factor was 80.7% (-1.6 ppt compared to March 2024).