Luxury travel providers are striving to offer the most extravagant experiences money can buy, using descriptors such as "ultra-premium," "rare," "authentic," and "exotic" to entice travelers with offerings such as private villas, private islands, and private jets, as well as special chef-inspired menus and exclusive members-only options. The luxury travel industry has rebounded to pre-pandemic levels and is currently thriving, with a global market value of US$1.2 trillion in 2021 and a projected Compound Annual Growth Rate (CAGR) of 7.6% until 2030, according to market research surveys¹. Changing consumer preferences, influenced by social media, have heightened demand for destinations that are deemed "Instagram-worthy," increasing awareness and interest in more remote and unique locations.
This three-part article series explores the most significant trends that are currently shaping the luxury travel industry. We’ll examine how sustainability and hyperpersonalization strategies may disrupt the industry, and present new opportunities for growth.
1. Grand View Research, "Luxury Travel Market Size, Share & Trends Analysis Report And Segment Forecasts, 2022-2030," accessed March 12, 2023.
2. Virtuoso® Travel Week 2022, “The Future of Luxury Travel” October 20, 2022.
3. Luxury Travel Advisor, "Affluent Sentiment Study" survey of 288 luxury travel advisors, April 2022