Deloitte: Holiday Travel Goes the Distance as Americans Plan More and Longer Trips

Americans are prioritizing travel, investing in upgrades and experiences to celebrate the season

NEW YORK, Nov. 12, 2024 /PRNewswire/ --

Key takeaways

    --  Holiday travel intent continues to be strong: Half (49%) of Americans
        intend to travel between Thanksgiving and mid-January. Travelers expect
        to spend an average of $3,294 for their longest holiday trip, and their
        seasonal travel budget is 4% higher than in 2023.
    --  Travel budgets are up for 28% of American travelers, and the share of
        budget increasers saying that "Travel has become more important to me"
        has doubled since 2023.
    --  Holiday travelers plan to take 2.14 trips, up from 1.88 last year, and
        33% are planning vacations of a week or longer, compared to 25% in 2023.
    --  Younger and higher-income travelers are largely driving travel this
        season. Two-thirds of higher-income Americans plan to travel, and all
        generations, aside from Boomers, plan for higher frequency and spend.
        Millennials plan to spend the most ($3,927).
    --  "Laptop lugging" makes its first jump since 2021, as 49% of employed
        travelers intend to work, at least partially, on their longest leisure
        trip of the 2024 holiday season, up from 34% last year.

Why this matters
Holiday travel has found a steady cruising altitude, and it may ascend even higher this season. For the fourth consecutive year, Deloitte has examined travel intent ahead of the holiday season and its potential impact on the industry. According to this year's report, "2024 Deloitte Holiday Travel Survey," Americans continue to prioritize travel, mapping out a positive opportunity for providers this holiday season and beyond.

Holiday travel spending takes off
The number of Americans planning to head home -- or elsewhere -- for the holidays remains steady. Nearly half (49%) of Americans plan to travel during the 2024 holiday season, compared to 48% in 2023. However, frequency and budgets for these holiday trips are increasing as travel becomes a greater priority across the board.

    --  Americans who plan to travel expect to take 2.14 trips this season
        compared to 1.88 in 2023, the highest since travel resumed
        post-pandemic. Budgets are also up, as 28% (versus 18% in 2023) plan to
        significantly increase their budgets for their longest trip this year.
        Americans expect to spend an average of $3,294 on their longest holiday
        trip.
    --  Among those increasing their spend, 4 in 10 say that travel has become
        more important to them, making it the primary reason for bigger budgets
        this holiday season.
    --  Planned travel is concentrated around two major holidays with 3 in 10
        Americans planning to travel over Thanksgiving, and a quarter planning a
        trip around the December holidays.
    --  Although fewer trips are planned for later in the season, those trips
        tend to be longer. Among those traveling in early- to mid-January, 36%
        plan to take a trip lasting a week or more, compared to just 16% at
        Thanksgiving.
    --  All generations aside from Boomers are planning for higher trip
        frequency and spend, with millennials planning to spend the most
        ($3,927) and take the most trips (2.6).
    --  There is a notable rise in travel intent among higher-income Americans
        (those earning $100,000 and above) -- 66% plan to travel in 2024, up
        from 59% last year. They will make up over half of paid lodging
        travelers (52%) this holiday season.
    --  While 46% of Americans say they are doing better financially, up from
        31% in 2023, the reasons for not traveling this season remain largely
        unchanged: 39% say they cannot afford it (similar to the 38% who said
        the same in 2023) and 31% say travel is too expensive right now (versus
        32% in 2023).

Key quote
"Enthusiasm for holiday travel keeps climbing as travelers look to make the most of the season by visiting friends and family. An increase in trip frequency is pushing budgets up, giving travel providers the opportunity to capitalize on festive experiences. Travelers who invest in their holiday memories could create the groundwork for loyalty that stays long past the new year."

-- Kate Ferrara, vice chair and U.S. transportation, hospitality and services sector leader, Deloitte

Personal preference drives decisions, creating opportunities to build loyalty
Travelers are seeking out personalized, upgraded experiences, creating an opportunity for providers to drive loyalty this holiday season.

    --  Nearly 1 in 5 plan to fly during Thanksgiving or Christmas, and 30% plan
        to stay in paid lodging, including hotels or private rentals.
    --  Those planning to increase budgets are making plans to splurge on longer
        trips (49%), better lodging locations (44%) and upgraded airfare (29%).
    --  Over half (52%) of holiday travelers plan to take a domestic flight at
        least once this holiday season, compared to 24% flying internationally.
        Road trips have also seen a resurgence as 65% of holiday travelers plan
        to take one.
    --  More travelers are using social media apps to plan their holiday trips
        (39% versus 27% in 2023). The number of travelers leveraging short
        social video content and GenAI tools is also up -- 27% versus 16% in
        2023 and 16% versus 8% in 2023, respectively.

Laptop lugging ascends again
As more Americans place a greater value on their travel plans, working while traveling or "laptop lugging," makes a significant jump this holiday season for the first time since 2021.

    --  Half (49%) of travelers intend to work, at least partially, on their
        longest leisure trip of the holiday season, compared to one-third (34%)
        last year.
    --  Laptop lugging is largely driven by younger- and higher-income
        travelers: 58% of Gen Z travelers and 54% of millennials plan to
        partake, while 52% of high-income travelers say the same. However, the
        trend is up across all income levels and age groups.
    --  Remote work continues to enable holiday travelers to take more seasonal
        trips and extend them. Laptop luggers plan to take an average of 2.7
        trips this season compared to just 2 trips for those planning to
        disconnect entirely. Those who plan to work remotely will also extend
        their longest trip by an average of three days.
    --  Laptop luggers are also more inclined to travel internationally, with 3
        in 10 planning to do so compared to 18% of disconnectors. The most
        popular longest-trip destinations for international laptop luggers are
        Europe (41%), Mexico (20%) and Canada (14%), mirroring the general
        population's choices (Europe: 36%, Mexico: 23% and Canada: 14%).

Key quote
"Travelers are finding ways to make their holidays happen, their way. Younger travelers are splurging on upgraded experiences; remote work continues to enable longer, more frequent trips; and everyone is looking for good food and plenty of options. The travel industry has a prime opportunity to tap into these trends to help drive lasting loyalty this holiday season."

-- Eileen Crowley, U.S. transportation, hospitality and services, partner, Deloitte & Touche LLP

Deloitte's "2024 Holiday Travel Survey" is based on a survey of 4,074 Americans fielded between Sept. 17 and Sept. 23. Of these, 2,005 respondents who are planning to travel between Thanksgiving and mid-January qualified as holiday travelers.

About Deloitte
Deloitte provides industry-leading audit, consulting, tax and advisory services to many of the world's most admired brands, including nearly 90% of the Fortune 500® and more than 8,500 U.S.-based private companies. At Deloitte, we strive to live our purpose of making an impact that matters by creating trust and confidence in a more equitable society. We leverage our unique blend of business acumen, command of technology, and strategic technology alliances to advise our clients across industries as they build their future. Deloitte is proud to be part of the largest global professional services network serving our clients in the markets that are most important to them. Bringing more than 175 years of service, our network of member firms spans more than 150 countries and territories. Learn how Deloitte's approximately 460,000 people worldwide connect for impact at www.deloitte.com.

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