Luxury Tourism Market size to surpass $150 Bn by 2032

Luxury Tourism Market size is poised to cross USD 150 billion by 2032, according to a new research report by Global Market Insights Inc.
 

As per the report, an emerging trend of going on cruising vacations in the Asia Pacific and Europe is a key driver behind the market growth. European nations such as England, Spain, Ireland, Italy, and France are witnessing a resurgence in river cruises of late, with many travellers treating them as a luxurious and comfortable way to move around tourist destinations. Many river cruise service providers are capitalizing on the rising traffic by offering attractive travel packages and services, further aiding the domestic and coastal tourism sector.
 

In fact, the number of cruise passengers passing through EU ports rebounded to 2.7 million in 2021 from pandemic-fueled low of 1.2 million in 2020. Many cruise companies are also providing more economical travel packages to expand their customer base to great effect. All in all, a growing preference for affordable cruises over land travel due to amenities such as comfortable accommodation, entertainment, dining, and transportation is primarily shaping industry scenario.
 

Attractive discounts on luxury group travel packages to foster tour segment growth

Based on tour, the luxury tourism market share from group tour segment is expected to grow at over 15% CAGR from 2023 to 2032. Attractive discount offers on group travel and new tour packages by companies are set to outline the market revenue. Recently, in October 2022, Thomas Cook (India) Ltd. (TCIL), an Indian travel agency, unveiled an array of special festive season offers targeting millennials, families, and friend groups for international and domestic destinations. The company also launched special packages in February 2022 targeting group travelers to expand its footprint in the APAC and overseas markets.
 

Surging destination wedding trend to foster generation X industry growth

Based on generation, the generation X segment will exceed USD 7 billion in 2022, driven by the emerging trend of destination weddings. This generation spends lavishly on destination weddings and celebratory travel, investing a major chunk of their free time with friends and families. The high spending power of the segment supports such travel decisions, creating strong impetus for the market demand. As per the World Economic Forum, USA’s generation X had an average yearly expenditure of USD 83,357 in 2021, which is the largest amount spent by any U.S. generation.
 

Browse key industry insights spread across 350 pages with 289 market data tables and 36 figures & charts from the report, “Luxury Tourism Market Size, By Type (Customized & Private Vacations, Celebration Journeys, Adventure & Sport Travel, Safari, Cruises Yachting & Small Ship, Others), By Tour (Solo, Group), By Generation (Millennial, Generation X, Baby boomers, Others), By Standard (Luxury, Ultra-luxury) COVID-19 Impact Analysis, Regional Outlook, Application Development Potential, Price Trend, Competitive Market Share & Forecast, 2023 – 2032” in detail along with the table of contents:
https://www.gminsights.com/industry-analysis/luxury-tourism-market
 

Growing popularity of small ships to stimulate ultra-luxury standard market growth

Based on the standard, the ultra-luxury segment is projected to witness over 20% CAGR during the forecast timeline, attributed to growing proliferation of small ships, cruises, and yachts attracting more capital from affluent customers. The post-pandemic wealth explosion swelled the number of ‘ultra high net worth’ (UHNW) individuals to an all-time high in 2022. The economic boom seen immediately after the pandemic has given the ultra-rich that much more capital to spend on bigger and more expensive trips.
 

Industry player efforts to expand the tourist pool to drive the Europe market value

The Europe luxury tourism market share is anticipated to record a CAGR of around 25% till 2032, on account of the active efforts from companies to attract large number of tourists to the region. Recently, in December 2022, UK-based tour operator, Jet2holidays, unveiled its brand-new ‘Treasures of Turkey’ guided tour package to cater to an increasing customer demand for discovery-based vacations. Citing another instance, in June 2021, four airline associations launched the “Destination Summer” campaign which intends to resume restriction-free traveling for Europeans, under the European Union and national policymakers' regulations.
 

New experiences to outline the competitive landscape for luxury tourism industry

The list of major luxury tourism market contenders includes names such as Greaves Travels, Jet2Holidays, Lindblad Expeditions, National Geographic Expeditions, LLC, Inspiring Travel Company, and Micato Safaris Inc., among others. Many of these players are focusing on delivering new experiences to expand their customer base. For instance, in June 2022, Silversea Cruises, a Monaco-based luxury cruise line launched eight enhanced restaurants for its new ship, Silver Nova to provide a luxury dining experience to its customers.
 

The restaurants will serve diverse cuisines throughout the day and offer a capacious and open-seated dining experience. It will help the company expand its customer base with diverse offerings while paving the way for sustainable and luxurious cruise travel.