The tourism market will witness strong rebound and long-term growth from 2025 onwards with major propellants including increasing disposable income, increasing digital connectivity, increasing emergent middle-class of developing economies, and increasing global demand for travel experience post-pandemic.
The tourism sector has witnessed a very high rate of change and the changing character of this industry is laying greater stress on sustainable, experience, and well-being-based travels.
The tourism industry worldwide in 2025 will be approximately USD 11,700,000 million. It would be approximately USD 19,820,409 million in 2035 with a compound annual growth rate of 5.4%.
| Metric | Value |
|---|---|
| Market Size in 2025 | USD 11,700,000 million |
| Projected Market Size in 2035 | USD 19,820,409 million |
| CAGR (2025 to 2035) | 5.4% |
The tourism market is capitalizing on increased demand for ecotourism, adventure tourism, digital nomadism, and cross-cultural tourism. Bookings, contactless, and user recommendation-based are all enhancing the consumer experience and stimulating increased international and domestic travel.
Governments and the private sector have no choice but to invest massive amounts of capital in infrastructure, digital marketing for tourism, and destination management to drive economic development through tourism.
Explore FMI!
Book a free demo
North America is a sustainable tourist market, and the United States and Canada welcome tourists with immense landscape diversity, ultra-prestigious cities, and tourist attractions. Outbound tourism is also strong, and American and Canadian tourists are increasingly acquiring a taste for sustainable and experiential international travel. Theme parks and cruises are among the strongest drivers here.
Europe is also a significant source and cross-border tourist destination, rich in culture and history, EU visa-free tourist visitation, extensive rail and airline networks, Southern Europe, Spain, Italy, and Greece provide peak-season tourist traffic, Northern and Eastern Europe get tourists because of natural scenery and off-road locations. Slow travel currents and sustainable tourism practices are given topmost priority here.
Asia-Pacific is the fastest-growing tourist region, driven by rising middle classes, urbanization, and intra-regional air connectivity. China, India, Japan, Thailand, and Indonesia are the major outbound and inbound tourism source markets. Digital uptake, mobile-first trip planning, and short-haul regional breaks are characteristic trends in tourism, particularly among Gen Z and millennial tourists.
Challenges: Climate Change, Over-Tourism, and Geopolitical Risks
While the industry is expanding, it is also challenged by headwinds in the guise of climate change-related disruptions (e.g., wildfires, floods), over-visitation in destinations which overwhelms infrastructure and leads to residents' resistance, and cross-border tourism tensions driven by geopolitics. The industry also encounters fluctuating fuel prices and changing visa policies.
Opportunities: Sustainable Tourism, Remote Work Travel, and Tech Integration
Eurekahove specializes in sustainable tourism, which, combined with nature and community-based benefits, forms central opportunities for local sustainable and regenerative tourism behaviours. Bleisure tourism (leisure + business) and digital nomad visas offer new opportunities for stay duration and economic contribution. Artificial intelligence travel itineraries, AR/VR virtual traveling, and blockchain booking and loyalty programs will redefine the tourist experience over the next ten years.
Between 2020 and 2024, the tourism industry experienced a record turnaround of the effects of COVID-19 with more focus on health measures, contactless check-in, and domestic travel. The tourists became cleanliness, sustainability, and flexibility-conscious when booking.
Between 2025 and 2035, the tourism scene will continue to evolve on decarbonisation, hyper-personalized travel, and AI-based travel ecosystems trends. Green aviation technology will become the standard, smart destination management networks, and multi-sensory promotion of travel. Micro-tourism, off-grid tourist resorts, and carbon offsetting holidays will become more the standard as the industry reimagines how it travels responsibly and with purpose.
Market Shifts: A Comparative Analysis 2020 to 2024 vs. 2025 to 2035
| Market Shift | 2020 to 2024 Trends |
|---|---|
| Regulatory Landscape | Implementation of post-COVID health safety standards, digital visas, and entry tracking systems. |
| Consumer Trends | Surge in domestic travel, wellness retreats, and revenge tourism post-pandemic. |
| Industry Adoption | Rapid digitization of booking platforms, contactless check-ins, and virtual travel previews. |
| Supply Chain and Sourcing | Reliance on traditional airline-tour operator-hotel chains; localized sourcing for hygiene products. |
| Market Competition | Dominated by Booking Holdings, Expedia, Airbnb, and major national carriers. |
| Market Growth Drivers | Reopening of borders, vaccination-led confidence, and pent-up demand for international experiences. |
| Sustainability and Environmental Impact | Emphasis on low-emission travel and eco-lodging certifications. |
| Integration of Smart Technologies | Use of mobile apps for boarding, real-time itinerary changes, and QR-code ticketing. |
| Advancements in Equipment Design | Modest upgrades in cabin airflow, HEPA filtration in airplanes, and no-touch room controls. |
| Market Shift | 2025 to 2035 Projections |
|---|---|
| Regulatory Landscape | Mandatory sustainable tourism certifications, carbon offset mandates, and biometric borderless travel protocols. |
| Consumer Trends | Shift toward regenerative tourism, slow travel, space-based excursions, and AI-personalized travel experiences. |
| Industry Adoption | Widespread use of metaverse tourism previews, AI-driven itinerary planning, and circular-economy-aligned hospitality models. |
| Supply Chain and Sourcing | Rise of decentralized travel cooperatives, green-certified transport alliances, and net-positive sourcing in hospitality. |
| Market Competition | Disrupted by decentralized blockchain-based travel networks, VR-native tour providers, and hyper-localized niche operators. |
| Market Growth Drivers | Driven by climate-positive travel initiatives, hybrid remote work-tourism models, and growth of senior nomads. |
| Sustainability and Environmental Impact | Shift to carbon-negative resorts, AI-monitored eco-impact dashboards, and circular economy tourism ecosystems. |
| Integration of Smart Technologies | Expansion into digital twin travel planning, AI concierges, blockchain loyalty wallets, and AR-integrated exploration. |
| Advancements in Equipment Design | Introduction of net-zero emission aircrafts, AI-controlled travel pods, and solar-powered mobile lodging units. |
The USA tourist economy is shifting from a post-pandemic recovery economy to a data-personalized, sustainability-driven ecosystem. Road trip attractions, national parks, and lesser-visited state locations experienced peak visitation after 2020, which has turned into increasing interest in climate-resilient eco-tourism and digital nomad centers in destinations such as Colorado and Montana.
Seaside destinations like California and Florida are implementing AI-fortified destination management systems to create equilibrium between crowds and natural habitats.
| Country | CAGR (2025 to 2035) |
|---|---|
| USA | 5.9% |
France, a long-time traditional tourism powerhouse, is turning towards regenerative tourism. Regional heritage preservation programs are being funded by the government, encompassing experiential local culture in wine village wine-making, lavender picking, and Roman aqueduct walks.
Paris is piloting intelligent travel corridors for zero-emission transportation between tourist attractions. The French south, traditionally clogged in high seasons, is turning to AI-based crowd dispersal initiatives and off-season package deals.
| Country | CAGR (2025 to 2035) |
|---|---|
| France | 5.6% |
Japan is at the forefront of tech-enabled tourism, combining tradition with cutting-edge experiences. Smart hotels with AI-powered room service, robot guides at ancient temples, and augmented-reality-enriched nature walks are now the norm.
Outside Tokyo and Kyoto, lesser-visited prefectures such as Tottori and Ehime are becoming increasingly popular through experiential cultural tourism and farm-stay stays. Japan's inbound approach focuses on resilience, with green tourism corridors and carbon-tracked visitor flow systems.
| Country | CAGR (2025 to 2035) |
|---|---|
| Japan | 5.2% |
The UAE has successfully repositioned itself from a luxury stopover hub to a year-round destination with climate-controlled experiences. Indoor desert biodiversity parks, smart climate domes, and AI-driven visitor personalization platforms are reshaping urban tourism.
Dubai’s floating resorts and Abu Dhabi’s eco-cultural safaris in Liwa are attracting sustainability-conscious travelers. Digital nomad zones with remote work privileges are on the rise, especially with blockchain-enabled work-visa processing.
| Country | CAGR (2025 to 2035) |
|---|---|
| UAE | 5.7% |
Costa Rica is becoming an example of biodiversity-focused and regenerative tourism. Renewable energy-powered eco-lodges and reforestation-bundled travel plans are becoming trendy among global visitors looking for a cause-based holiday experience.
Surfing villages are introducing digital detox retreats, and rainforests are being utilized for immersive, AR-enabled wildlife learning tours. The national plan of the country ties tourism earnings to direct restoration of ecology parameters.
| Country | CAGR (2025 to 2035) |
|---|---|
| Costa Rica | 5.5% |
| By Travel Type | Market Share (2025) |
|---|---|
| Leisure Tour | 68% |
Recreational holidays will rule the market in 2025, with 68% of the entire market share. This is driven by the growing trend of experiential holidays wander through your mind images of wine-drenched holidays in Tuscany, geothermal hot springs in Iceland, or yoga holidays in Bali, for example.
Post-pandemic, travel shifted from wish-list style breaks to slow and experiential, and visitors are focusing on well-being, culture, and connection. Millennials and Gen Z, in particular, are postponing single and group leisure and self-discovery vacations. Digital detox vacations and boutique eco-resorts are increasingly popular, further solidifying leisure travel's market dominance.
| By Booking Type | Market Share (2025) |
|---|---|
| Online Booking | 74% |
Online bookings should account for a dominant 74% of the tourism market by 2025, fueled by mobile-first consumers and AI-driven personalization. Websites like Expedia, Airbnb, and hotel booking websites outright have never been easier to organize a vacation without setting foot in an agency. The traveller is using apps not only to reserve flights and lodgings but to organize activities, meals, and even insurance on demand and on the go.
For example, a couple of tourists planning an off-the-cuff European getaway can now compare dozens of boutique hotels, purchase tickets to a wine festival, and arrange local transport on a single platform. Where digital convenience meets carefully curated experience, online reservation continues to make traditional channels irrelevant.
Tourism demand is redefining the market with experiential travel, digital-first booking, and sustainability-oriented services. Travelers increasingly prioritize immersive, off-the-beaten-path experiences over mass-market tours.
In response, companies are abandoning volume-driven tours for curated, small-group travel powered by AI-driven recommendation engines, local partnerships, and carbon-offset packages. Post-COVID recovery has also driven investment in contactless check-in, dynamic pricing, and hybrid travel blends of business and leisure ("bleisure").
Market Share Analysis by Company
| Company Name | Estimated Market Share (%) |
|---|---|
| Booking Holdings Inc. | 18-22% |
| Expedia Group, Inc. | 16-20% |
| Airbnb, Inc. | 12-15% |
| Trip.com Group Ltd. | 10-13% |
| TUI Group | 7-10% |
| Other Companies (combined) | 20-25% |
| Company Name | Key Offerings/Activities |
|---|---|
| Booking Holdings | In 2024, expanded its AI-based trip planner to include real-time rebooking for disruptions. In 2025, launched “Stay Local” promotions in secondary European cities. |
| Expedia Group | In 2024, rolled out Smart Itinerary bundling across flights, stays, and experiences. In 2025, integrated virtual concierge tools for Latin America and Southeast Asia. |
| Airbnb | In 2024, introduced “Airbnb Icons,” a series of celebrity-hosted experiences. In 2025, added eco-certification filters for sustainable stays in over 40 countries. |
| Trip.com Group | In 2024, scaled its AI chatbot “TripGenie” for multilingual itinerary planning. In 2025, expanded rail + hotel packages in emerging Asian travel corridors. |
| TUI Group | In 2024, launched immersive themed cruises combining cultural events with onboard programming. In 2025, piloted AR-enhanced city tours across Mediterranean ports. |
Key Company Insights
Booking Holdings (18-22%)
Booking leverages its massive accommodation inventory with projected AI that tailors trips based on user behavior. Its growth in local markets moderates over-tourism while tapping into the demand from remote workers and digital nomads.
Expedia Group (16-20%)
Expedia stands out with its integrated itinerary management. By adding virtual concierge services to its app, it simplifies travel for first-time and foreign-language travelers in fast-growing markets.
Airbnb (12-15%)
Airbnb keeps on redefining hospitality by coupling travel with entertainment and sustainability. Its eco-friendly options and star-studded Icons collection attract younger, purpose-driven tourists.
Trip.com Group (10-13%)
Trip.com survives on regional and intra-Asia travel needs. Its multilingual AI assistant and multi-mode packages allow it to capture outbound Chinese travelers as well as Southeast Asian digital natives.
TUI Group (7-10%)
TUI is focused on hybrid holidays that combine entertainment, culture, and discovery. Its augmented reality-based city tours and niche cruise products redefine it as a premium storytelling tour company.
Other Key Players (20-25% Combined)
The overall market size for tourism market was USD 11,700,000 million in 2025.
The tourism market is expected to reach USD 19,820,409 million in 2035.
The surge in middle-class income, rise of digital booking platforms, and increasing preference for experiential travel fuel the tourism market during the forecast period.
The top 5 countries which drive the development of tourism market are USA, France, China, Spain, and Italy.
On the basis of type, international leisure travel to command significant share over the forecast period.
Mountain and Snow Tourism Market Analysis – Trends, Growth & Forecast 2025 to 2035
Incentive Tourism Industry Analysis By Incentive Type, By Business Size, By End User, By Region – Forecast for 2025 to 2035
Cruise Tourism Industry Analysis By Cruise Type, By Experience Type, By End User (Solo Travelers, Families, Retirees, Business Travelers), By Region – Forecast for 2025 to 2035
Short-Term Vacation Rental Market Trends – Growth & Forecast 2025 to 2035
Air Traffic Industry Analysis in the Kingdom of Saudi Arabia 2025 to 2035
Sri Lanka Hiking and Trekking Tourism Market – Growth & Forecast 2025 to 2035
Tourism Market
Thank you!
You will receive an email from our Business Development Manager. Please be sure to check your SPAM/JUNK folder too.
