Global citizens may be dealing with political uncertainties, financial constraints and safety concerns, but even the sum of these factors hasn’t dampened their desire to travel. Growing 1.5 times faster than the global economy, tourism is projected to generate 11% of the world’s GDP by 2034, according to a World Economic Forum report.
Travel has a transcendent ability to make the world seem infinite and intimate at the same time – highlighting the complexities of the traveler experience. While it’s easy to assume that regionality creates large divides between traveler motivations and behaviors, there may be more similarities than differences.
In our latest Portrait of American and Canadian International Travelers™, the survey found that U.S. international travelers plan to spend over $13,000 on trips over the next 12 months – a significant increase over 2024. And they’re not the only international travelers looking to allocate more of their finances to travel; the UK, Germany and the GCC all show the same upward trend in spending, with some nuances.
“German travelers actually show the same tendencies as U.S. travelers,” says Tobias Bandara, SVP of Sales & Marketing at MMGY Lieb. “They’re spending more on distinctive experiences and longer stays.”
The GCC market shows particularly powerful growth, with spending on overseas trips expected to more than double in the next decade, according to Sanya Zaidi, VP of Business Development for MMGY Think Strawberries. “GCC travelers are among the world’s biggest spenders on a per-trip basis,” Zaidi says. “And this seems to be growing.”
With more money being infused into the global travel market than ever before, travel brands everywhere are looking to capture traveler interest and create loyalty. In order to do that, they need to know what travelers are looking for and where they’re spending their money.
This is where generational splits appear to have a substantial impact. U.S. and Canadian Gen Zers plan to take the most trips out of all generations but spend the least, according to the report.
“This Gen Z trend will impact offerings in several ways,” says Beth Freedman, MMGY’s EVP and Managing Director for the UK. “I think it will drive more focus on modular and a la carte type offerings versus all-inclusive packages, allowing travelers to pick and choose the parts they want. Second, I think we’ll see the development of micro-itineraries, which allow for authentic and immersive experiences within shorter visit spans. And as with the larger retail market, I think we’ll see more promotion of payment flexibility to attract this traveler’s spend.”
For the German market, Bandara observes how income differences affect outbound travelers. “Affluent travelers invest in premium, longer curated trips while low-to-middle-income travelers choose value and shoulder/low-season travel. I suggest segmenting marketing by purchasing power – via the right distribution channels, of course.”
Overgeneralizing and oversegmenting audiences could obscure the subtle interplay where generational and financial behaviors overlap. “Segment by mindset, not just age,” Zaidi cautions. “Some Boomers like to travel like Millennials and some Gen Zers crave depth; hence, offering layered solutions is the key.”
As global travelers plan their vacations, their sources of inspiration and trip execution continue to grow more diverse. Two-thirds of U.S. travelers rely on more sources of planning advice than ever before, as reported by Portrait of American and Canadian International Travelers™. This growth in sources presents travel brands with a tremendous opportunity.
“We can feature in and impact all the places where travelers are searching for advice,” says Freedman. “Having a singular, strong, strategic foundation that informs how we talk about our destinations, attractions, properties and experiences in each channel is critical. It allows us to create an orchestrated surround-sound experience throughout the customer journey. We then combine this with SEO – and now LLM optimization – so that we’re doing our best to limit noise and create clarity of message.”
Some global concerns do carry over as travelers select their next destination. Safety of destinations – in relation to unrest or violence – remains the top influencing factor for both U.S. and Canadian international travelers, according to our study, and is, in fact, a shared global concern.
“GCC travelers rely on perceived safety as a baseline for selecting any holiday destination,” says Zaidi. “Many trips are multigenerational or family-based, making safety a decisive factor in destination choice.”
“From a German perspective, safety has become far more central in destination messaging than in the past,” says Bandara. “Destinations now highlight stability, infrastructure and reliability more explicitly.”
While safety is paramount to destination decision-making, this messaging must be done intentionally. “Just saying a destination is safe doesn’t mean a potential traveler will believe it,” says Freedman. “This is where the confluence of channels and content types is critical. Safety needs third-party credibility – endorsement by tour operators, influencers sharing live from their visits, etc.”
As with traveler behaviors, some advice transcends regional differences.
“Story-led, values-driven experiences outperform pure icon promotion,” says Bandara. “Promote the story – why this place matters, who benefits – just as strongly as the sights.”
“DMOs must evolve from destination promoters to experience architects – shaping journeys that resonate with shifting traveler values, generational preferences and digital behaviors,” says Zaidi. “Destinations that listen deeply, design smartly and activate locally will thrive in the new era of changing travel landscapes.”
