In an unexpected twist, luxury travel is booming and growing at an unprecedented rate.
A study by Research Dive found that luxury travel is expected to grow from $461,741.6 million in 2020 to $1369.1 billion in the 2021-2028 timeframe. The study pointed to the popularity of travel on social media being largely responsible for the huge boost. The study also found that travelers from Asia-Pacific are spending the most on luxury travel and that adventure and safari trips are the most popular luxury tour type.
Also fueling the luxury travel boom is all the revenge travel in the post-pandemic world. Luxury Travel Magazine found that people are more focused on creating the dream travel experience than on price and the amount people are willing to spend went up by 34%.
Airlines are also aware of the uptick in travelers seeking out lavish experiences. Airlines like Emirate have doled out nearly $2 billion to renovate their airplane cabins and add new and enticing food offerings like unlimited caviar.
Finnair is also following suit with a new line of premium economy cabins. Air France also upgraded their long-haul business seating and even included sliding dividers. Even Delta has seen demand for higher-priced booking options, which were typically only selected by wealthy corporate travelers, have become increasingly popular with people traveling for leisure.
Whether or not luxury travel will stick around after the lure of revenge travel has faded, it’s unclear. For now, however, it seems that people are more willing to spend more money to satiate their wanderlust.