Decoding trends that dictated 2024

In a year where the world rediscovered its wanderlust, 2024 unfolded as a chapter of vibrant journeys, bold choices and transformative travel trends. From the allure of Southeast Asia’s sun-kissed beaches to the snowy charm of unconventional escapes, this was a year that redefined how and why we travel. For Indian travellers, the year was marked by an extraordinary embrace of both domestic gems and global adventures, fuelled by affordability, cultural curiosity and a yearning for immersive experiences. As the industry evolved, so did the traveller — more informed, independent and insistent on making every journey count.

Southeast Asia dominates international travel

With the Indian travel industry on the rise, travellers actively pursued international travel destinations to curb their sense of wanderlust and Southeast Asia solidified its position as a favourite among Indian travellers. This was driven by visa-free policies and improved air connectivity. Denpasar (Bali) experienced a 73 per cent rise in bookings, supported by direct flights from Bengaluru by Indigo. Similarly, destinations like Baku (133 per cent), Tashkent (100 per cent) and Almaty (73 per cent) witnessed unprecedented growth. Notably, Da Nang recorded a 60 per cent increase in footfall, demonstrating the region’s magnetic appeal.

Traditional hotspots like Dubai (90 per cent), Bangkok (60 per cent) and Singapore (30 per cent) retained their charm, while unconventional destinations like Lapland (125 per cent) and Tbilisi (60 per cent) signalled a growing interest in unique cultural experiences.

A notable example of this shift is the rise of Utah as a destination of choice. Rachel Bremer, Director of Global Markets at the Utah Office of Tourism, explained, “In 2024, we outpaced 2019 in both visitor spending and visitation, and we're witnessing growth at even higher rates.” She highlighted that the visitor economy is Utah's largest export, contributing over $12 billion in spending in 2023, with India ranking 12th globally, contributing $16.7 million. “Our priority is to educate visitors on how to be well-prepared and to encourage them to spend more time in Utah,” Bremer added, stressing the state's diverse landscapes and activities, from trekking and skiing to stargazing and scenic byways.

She further explained, “Utah is home to more dark sky parks and locations than anywhere else on Earth, including our five National Parks,” with the recently designated International Certified Dark Sky Place in Castle Dale being a key highlight. Bremer also mentioned the growing interest in "Set Jetting," where visitors explore iconic film locations, noting, “Utah’s landscapes have inspired over 100 years of film, and we are excited to share this with visitors.” Looking ahead, she forecasted over 200 per cent growth in visitor spending and more than 100 per cent growth in visits from India by 2028, saying, “India represents a significant opportunity for Utah, and we are committed to expanding our brand presence there. For Indian visitors, Utah offers the perfect extension to their US trips, allowing them to explore the American West with family and friends.”

On the other hand, data from independent and professional investment information and credit rating agency, ICRA revealed a significant 15.9 per cent year-on-year increase in international passenger traffic for Indian carriers during the first seven months of FY2025. This robust growth surpassed pre-Covid levels by an astounding 45.43 per cent, reflecting increased demand for leisure and business travel alike.

Domestic tourism shines bright

In 2024, travellers preferred beach and island destinations domestically which emerged as the top choices. Agatti Island in Lakshadweep witnessed a 94 per cent jump in bookings, while Diu recorded an impressive 130 per cent rise, both benefitting from direct flights connecting Bengaluru and Goa. Popular destinations like Udaipur, Manali, Ooty and Varanasi experienced a 100 per cent surge in interest, highlighting the appeal of cultural and scenic getaways. Winter tourism thrived too, with Jammu (147 per cent), Srinagar (66 per cent) and Dehradun (87 per cent) captivating travellers seeking picturesque mountain escapes.

Santosh Kumar, Country Manager for India at Booking.com, pointed out, “This year-end holiday season highlights the evolving travel aspirations of Indian travellers. We're witnessing a surge in travel demand, with a fascinating blend of domestic and international exploration. While traditional hotspots like Puducherry and Dubai continue to attract travellers, there's also a growing desire for enriching experiences. The rise in searches for culturally rich destinations like Baku, Tbilisi and Lapland underscore this trend. Booking.com remains committed to empowering Indian travellers with a seamless platform to curate their dream getaways, offering a diverse range of accommodation options, flights attractions and rental cars – all in one place, ensuring a hassle-free and memorable journey."

According to the Ministry of Tourism data, India recorded 2509 million domestic tourist visits in 2023, showcasing the enduring appeal of exploring homegrown treasures. Additionally, initiatives like the “Dekho Apna Desh” campaign emphasised on community-driven experiences, engaging both travellers and local ambassadors to elevate tourism.

Evolving accommodation preferences

With the competition in the hospitality sector flourishing throughout the year, the travellers had an array of choices ranging from luxury to economy segments. Budget accommodations remained popular among 46 per cent of travellers, but there was a notable shift towards mid-range and premium stays, particularly among young professionals and families. Flexible itineraries dominated, with 86 per cent of domestic bookings and 76 per cent of international bookings being one-way trips, reflecting the growing desire for personalised travel experiences.

As Srikumar Krishnamurthy, Senior Vice President & Co-Group Head – Corporate Ratings, ICRA Limited, noted, “The Indian hospitality sector sustained its favourable demand momentum in 2024, building on the recovery seen in 2022 and 2023. Demand growth continued to outpace supply. Factors like rising domestic leisure travel, demand from meetings, incentives, conferences and exhibitions (MICE) including weddings, business travel (despite a temporary lull during the election period), spiritual tourism, etc, supported the demand in 2024. Nevertheless, foreign tourist arrivals are yet to recover to pre-Covid levels and the improvement would depend on the global macroeconomic environment."

Rajesh Magow, Co-founder & Group CEO at MakeMyTrip, shared, “The New Year and Christmas season provide the perfect opportunity for travellers to unwind, and they are eager to make the most of it for their domestic or international travel as the case maybe. The trend toward premiumisation is becoming increasingly pronounced, as travellers are willing to spend more for a memorable holiday. Bookings for travel in pairs and family continue to be dominant during the holiday season while the share of solo travellers is also on the rise, particularly among international travellers.”

The aviation sector complemented this trend, with domestic passenger traffic in November 2024 reaching 144.9 lakh, a 13.8 per cent year-on-year growth, and exceeding pre-Covid levels by 11.9 per cent. This surge underscored the integration of affordable yet elevated travel experiences.

Bus travel reflected a significant shift toward spiritual tourism, with six travellers opting for religious destinations for everyone choosing leisure. Tirupati, Shirdi, and Ujjain emerged as top choices, driven by a rising interest in meaningful journeys. AbhiBus also noted an increase in travellers heading to Tier II and Tier III cities, which accounted for 39 per cent of total bus bookings. This trend highlights the platform’s expanding reach and the growing appeal of smaller towns for unique experiences. 

Rohit Sharma, Chief Operating Officer, AbhiBus, stated, “The year-end holiday season is driving a significant surge in bus travel, with a strong preference for spiritual hotspots over leisure destinations, as six travellers are choosing a spiritual journey for everyone opting for leisure. We've observed a remarkable 50 per cent YoY increase in bookings from female solo travellers, as more women embrace bus journeys for their year-end travel plans. Interestingly, 39 per cent of travellers are heading to tier II, and III cities, showcasing AbhiBus' expanding reach to connect people with destinations beyond the metros.”

Inclusivity and affordability in travel

Affordable travel emerged as a key trend, particularly among Gen Z and senior citizens. Flexible payment options saw a 1.4 times increase in adoption, allowing a broader demographic to explore travel opportunities. ICRA highlighted that while airline capacity remained constrained due to supply chain challenges, pricing power improved, with revenue per available seat kilometre exceeding Pre-Covid levels. This balance ensured sustained interest in travel despite external pressures.

Spiritual journeys and their resurgence

Religious tourism dominated 2024, with destinations like Varanasi (669 per cent increase), Tirupati (67 per cent), and Shirdi (22 per cent) witnessing significant surges. Women’s solo travel, particularly via bus routes, rose by 51 per cent, highlighting increasing independence and confidence among female travellers. The Ministry of Tourism’s initiatives, such as the “Paryatan Mitra” programme, empowered locals as ambassadors, enhancing tourist experiences while promoting employment and community engagement.

Expert Insights on travel evolution

Reflecting on the year, Anuj Rathi, Chief Business and Growth Officer, Cleartrip, noted, “Relaxed visa policies and affordable travel options have reshaped preferences, with Southeast Asia leading and inclusivity driving growth.” He attributed this rise to “relaxed visa and travel policies” and an increasing preference for flexible travel options sharing, “The year has been great for the travel industry. With relaxed visa and travel policies, Southeast Asian destinations have emerged as travellers’ top choices. This year also marked a rise in the adoption of affordable travel options, particularly among GenZ and Senior Citizens, and an increase in flexible travel payment methods. These trends reflect the evolving dynamics of the travel industry and the changing preferences of today’s travellers.”

As the curtain falls on 2024, the travel industry stands poised for a dynamic 2025. With a focus on sustainability, immersive experiences, and multi-generational travel, the coming year promises to build on the successes of 2024 while addressing emerging challenges. Whether inspired by cultural immersion or affordability, Indian travellers are redefining the global travel narrative, making this an exhilarating time for the industry.