Cleartrip reveals a new destinations surge this year

The end of the year is a time of excitement, reflection and exploration as travellers across the globe pack their bags for long-awaited holidays. Insights from Cleartrip have revealed compelling trends in domestic and international travel, highlighting emerging hotspots, changing traveller demographics and fluctuating costs. This analysis also delves into the significant findings shaping year-end travel in 2024.

Mussoorie and Port Blair - The rising stars of domestic travel
Domestic travel remains a cornerstone of year-end plans for many travellers, with iconic and offbeat destinations making their mark. The top domestic destinations this year include Udaipur, Jaipur, Varanasi, Manali, Amritsar, Ooty, Munnar, Mussoorie and Pondicherry. Port Blair, known for its pristine beaches, has emerged as a new favourite for those seeking a tropical escape. Despite a 1.4x rise in airfares, the destination’s exotic charm has solidified its status as a must-visit spot for year-end travel. However, the popularity of these destinations has been accompanied by notable price increases in accommodation and travel. 

Hotel prices have surged in:
Manali: Up by 3.7 times compared to last year.
Amritsar: A 2.6x increase.
Pondicherry and Varanasi: Both experiencing a 2.2x rise.
Mussoorie: Prices have gone up by 2.1x.

Similarly, domestic airfares have witnessed hikes, especially to destinations like Mussoorie (1.3x), Udaipur and Varanasi (1.1x) and Jaipur and Manali (1x). Despite the higher costs, these locations continue to attract significant traveller interest, demonstrating their enduring allure.

International favourites
Destinations in Southeast Asia, including Indonesia, Vietnam, Thailand, Singapore and Malaysia continue to draw travellers in droves. The UAE, particularly Abu Dhabi, remains a preferred Middle Eastern destination. Interestingly, while international airfares have risen this year, they are still on average 16 per cent lower than last year, making overseas travel more accessible.

Key statistics showcase a surge in bookings for several international locations:
Bali: A remarkable 2.6x increase in year-on-year bookings.
Phuket: Up by 2.3x.
Abu Dhabi: A 1.6x rise in bookings.
Vietnam: Bookings have grown by 1.3x.

Meanwhile, the introduction of new direct flights to Langkawi and Penang, along with increased connections to Kuala Lumpur, has fuelled a 2.3x surge in bookings for Kuala Lumpur. Conversely, the Maldives has experienced a surprising 54 per cent decline in bookings compared to last year, potentially signalling a shift in traveller preferences toward newer or more cost-effective destinations. Emerging locations such as Manila (2.5x) in the Philippines and Tbilisi (1.7x) in Georgia are also gaining traction, hinting at a growing appetite for unique international experiences.

Accommodation preferences
Accommodation choices reflect a clear preference for affordability among travellers.

According to Cleartrip data:
51 per cent customers opt for budget hotels (up to 3 stars).
Only 15 per cent prefer luxury accommodations.
This trend underscores the evolving travel ethos where experiential journeys take precedence over opulent stays. The average duration of stay for year-end holidays is approximately one week, suggesting that travellers aim to maximise their experiences within a defined timeframe.

A rise in Gen Z and solo travel
Demographics play a pivotal role in shaping year-end travel trends, with Gen Z travellers (aged 15–34) emerging as a dominant force. This group has shown a 20 per cent increase in total travel costs compared to previous periods, reflecting their growing inclination for meaningful and adventurous getaways.

Another noteworthy trend is the rise of solo travel, which has increased by 30 per cent compared to the summer. Solo travellers, often seeking personal growth and unique experiences, are carving a significant niche in the travel market. In contrast, family travel has declined by 5 per cent, possibly indicating a shift toward more individualised travel plans or smaller group dynamics.

Leisure travel continues to be the primary driver of year-end plans, with a 1.4x increase in domestic bookings and a 1.2x rise in international leisure bookings. However, non-leisure travel (including business and other purposes) has also witnessed a 1.3x growth, reflecting a more balanced demand across travel categories.

Key factors

Several factors have influenced the observed trends this year:
Increased accessibility: Enhanced connectivity through new flight routes, such as those to Langkawi and Penang, has opened up fresh opportunities for travellers.
Rising costs: The inflation in hotel prices and airfares, while significant, has not deterred travellers from exploring their preferred destinations.
Demographic shifts: Younger travellers and solo explorers are reshaping travel priorities, emphasising unique experiences and budget-conscious planning.
Evolving preferences: The decline in Maldives bookings and the rise of Manila and Tbilisi suggest a growing appetite for offbeat international locations.

The road ahead
The 2024 year-end travel trends signal a dynamic shift in how and where people choose to travel. Destinations, both domestic and international, are diversifying, driven by a blend of economic factors, evolving traveller preferences, and enhanced connectivity.

As we move into 2025, stakeholders in the travel and hospitality industry must consider the following strategies:
Catering to budget travellers: With the majority opting for budget accommodations, businesses should focus on delivering high-quality yet affordable experiences.
Promoting emerging destinations: Locations like Manila and Tbilisi offer untapped potential. Strategic marketing can further boost their appeal.
Solo travel offerings: With solo travel on the rise, services and packages tailored to individual travellers could capture this growing market.
Authentic experiences: Travellers increasingly value eco-friendly practices and authentic cultural engagements, making these critical focus areas for growth.

Year-end travel in 2024 is defined by a mix of tradition and novelty, with established favourites like Manali and Udaipur sharing the spotlight with emerging stars like Port Blair and Manila. The data also reveals a traveller base that is increasingly young, independent, and budget-conscious.

As these trends continue to evolve, the travel industry stands poised to embrace new challenges and opportunities, crafting journeys that resonate with the aspirations of tomorrow's explorers.

“As we approach the year-end, we’re seeing a shift in travel trends. While favourites like Udaipur, Jaipur, Varanasi, Manali, Amritsar, Ooty, Munnar, Mussoorie and Pondicherry continue to attract travellers, we're seeing Port Blair making its mark as a fresh favourite in the domestic travel scene. On the international front, Manila and Tbilisi are catching travellers' fancy. Despite changes in airfares and hotel prices, the desire to experience new cultures, cuisines and landscapes remains undeterred. It's particularly interesting to note that while costs are rising, travellers are increasingly seeking value-driven experiences. More than half of our customers are opting for budget-friendly accommodations, indicating a preference for experiences over extravagance. This trend is a testament to the evolving travel landscape where value, adventure, and authenticity are taking centre stage,” shared Anuj Rathi, Chief Business and Growth Officer, Cleartrip.