Luxury Travel Market Size to Grow $703 Billion by 2027
The Global Luxury Travel Market share is set to increase by USD 703.14 billion from 2022 to 2027. Moreover, the market's growth momentum will accelerate at a CAGR of 11.5% as per the latest market forecast report by Technavio. The market will also record a 10.35% Y-O-Y growth rate during the forecast period.
Technavio categorizes the global luxury travel market as a part of the global hotels, resorts, and cruise lines market within the global hotels, restaurants, and leisure market.
The parent market, the global hotels, resorts, and cruise lines market, covers companies engaged in operating hotels, resorts, and cruise ships, including travel agencies, tour operators, and related services.
Technavio calculates the global hotels, restaurants, and leisure industry market size based on combined revenue generated by companies of casinos and gaming; leisure facilities; hotels, resorts, and cruise lines; and restaurants.
The disruption threats are strategic in nature, and operational risks for suppliers have been mapped based on their negative business impact and probability of occurrence.
Technavio's market research report entails detailed information on regional opportunities in store for vendors, which will assist in generating sales revenues. The Global Luxury Travel Market as per geography is categorized into North America, Europe, APAC, South America, and the Middle East and Africa. The report provides an accurate prediction of the contribution of all regions to the growth of the Global Luxury Travel Market size and actionable market understandings.
Europe is the fastest-growing region in the global luxury travel market compared to other regions. 29% of the market's growth will originate from this region. The growth of this segment is attributed to factors such as the growing disposable income, the presence of numerous exotic destinations, the increasing spending capacity of Baby Boomers, the availability of easy transport facilities, the increasing demand for personalized vacations, the rapid increase in the number of food and beverage festivals, and the presence of major vendors.
The luxury travel market share growth by the domestic segment will be significant during the forecast period. The growth of the domestic segment is attributed to factors such as the lack of currency exchange issues, favorable government regulations, and familiarity with culture and language. Moreover, domestic luxury travel is cost-effective when compared to international travel.