India's inbound tourism is witnessing a strong recovery, positioning the country as a key player in the global travel industry, according to a new report by Booking.com, in partnership with Accenture. The report, "How India Travels 2024 – The Inbound Edit," highlights the increasing number of foreign tourists and the significant impact this has on the Indian economy.
With over nine million foreign tourists visiting India in 2023, the country's rich cultural heritage and varied landscapes have made it a top destination in South Asia. Tourism contributed USD 15.3 billion in Foreign Exchange Earnings (FEEs) in the first half of 2024, up 17.6 per cent from 2023. By 2028, tourism is expected to contribute $ 512 billion to India's GDP, also creating around 58 million jobs by 2033. As per the reports, travellers are now seeking more personalised and flexible experiences with online platforms playing a crucial role. A majority (52 per cent) of travellers prefer to book complete travel packages, while 40 per cent opt to book individual components separately.
Key trends shaping the inbound travel market show a shift in source countries, with the United States, United Kingdom, Germany, and the United Arab Emirates emerging as the top markets, while traditional countries like China and Canada have moved down the list. Tourists are now exploring lesser-known destinations like Hampi and Leh, which have seen a rise in popularity alongside major cities like Delhi and Mumbai.
"India's inbound tourism sector is experiencing unprecedented growth, fuelled by its rich cultural heritage, diverse landscapes, and warm hospitality," said Santosh Kumar, Country Head, Indian subcontinent & Indonesia at Booking.com. “Our latest report 'How India Travels 2024 - The Inbound Edit' highlights the growing appeal of India as a global destination, with a surge in foreign tourist arrivals and a strong preference for unique experiences. This is also reflected in India’s 39th rank on the World Economic Forum’s 2024 Travel & Tourism Development Index, up from 54th in 2021. As travellers seek authentic connections and immersive journeys, India's ability to offer a diverse range of experiences, from bustling cities to serene landscapes, is proving to be a major draw. We at Booking.com remain committed to supporting India's tourism industry by providing partners with the necessary tools and resources while enabling travellers to plan seamless and unforgettable journeys.”
The report also reveals that repeat visits to India are increasing, with nearly half of tourists eager to return for more diverse travel experiences. However, challenges remain, including limited customisation options for travellers, a need for seamless travel packages, and better digital resources.
“India’s tourism industry is currently defined by transformation-led growth, driven by rich, authentic experiences and increasing purchasing power of consumers. Today, it offers diverse options for both budget and luxury travellers, supported by strategic government initiatives and ongoing efforts to modernise the travel infrastructure. To enhance India’s appeal further, it is crucial to leverage technology especially data, analytics, AI, and generative AI to streamline operations and improve the entire traveller experience—from inspiration to planning and booking through post-trip advocacy. This will help strengthen India’s position on the global tourism map while ensuring visitors leave with unforgettable memories and a desire to return.” said Anshul Gupta, Managing Director and Travel lead for Advanced Technology Centers in India, Accenture.
