Tourism and Hospitality Market

Global Tourism and Hospitality Market Size (2024 to 2032):

The size of the global tourism and hospitality market was worth USD 8,207 million in 2023. The global market is anticipated to grow at a CAGR of 5.94% from 2024 to 2032 and be worth USD 10,708 million by 2032 from USD 8,453 million in 2024.

Current Scenario of the Global Tourism and Hospitality Market

The tourism and Hospitality Market is the largest industry in the world, contributing 10% of the world’s GDP. Globalization has made tourism a popular leisure activity around the world. tourism has become popular around the world as a leisure activity with easy travelling facilities. The tourism and hospitality market has grown into a multi-billion-dollar industry. The tourism and hospitality sector plays a vital role in the economy of many developing countries like the United Arab Emirates, Nepal, Thailand, Nepal, Maldives, etc.

The growth of the global tourism and hospitality market is due to stable economic growth followed by an increase in per capita income. stable economic growth is expected to drive the global tourism and hospitality market. With improved revenue capacity and the growth of emerging markets, in the tourism and hotel industry, the potential, and scope of the global tourism and hospitality market are expected to increase. Emerging economies now represent a larger market share than developed economies. Government agencies and organizations are promoting tourism to attract various tourists from around the world. These initiatives lead to the growth of the global tourism and hospitality market.

MARKET DRIVERS

The increase in income is driving the growth of the global tourism and hospitality market.

Traveling has become increasingly common all over the world. Hence, spending on leisure travel and business travel has seen a yearly increase. This increase in travel has also allowed the number of hotel guests and in turn the hospitality markets to grow. The growth of the international Tourism market also helps other industries to grow such as the airline industry. Key drivers in this market include falling ticket prices, as ticket prices are falling thanks to several factors, from lower fuel prices, competition from airlines, and a surge in airline companies. low cost. The growth of business travel due to strong economic growth in developing countries is a major driver of the tourism and hospitality market.

MARKET RESTRAINTS

The COVID-19 health crisis has directly affected the tourism and hospitality markets.

Limited domestic and international travel due to fear and restrictions due to Covid-19 has resulted in slower growth in the global tourism and hospitality industry. Domestic tourism is being heavily focused on, but domestic guests are unlikely to fuel the industry as a whole. Individual countries mainly depend on international arrivals. The global tourism and hospitality market is facing an unprecedented crisis and may not recover in the coming years. Large chains could be forced to lay off large numbers of employees, creating an exodus of workers from the global hospitality industry. Terrorism has affected tourists' perceptions of travel and the risks associated with it, negatively affecting the global tourism and hospitality industry. The high-security risks for tourists traveling to underdeveloped and developing countries pose an immense challenge to the global international tourism market.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Tourism and Hospitality Market Analysis By Type

The international tourism market is expected to grow at a high rate due to its popularity mainly due to people around the world having more money in their pocket, as well as the impact of greater globalization.

Global Tourism and Hospitality Market Analysis By Services Provided

The Food & Beverages segment is the largest in the global international tourism market, it is made up of establishments that deliver food, snacks, and drinks for immediate consumption, inside or outside the premises Facilities.  The accommodation segment is expected to be the fastest-growing segment in the global international tourism market. The accommodation sector covers an extremely diverse spectrum of properties and consists of luxury palaces, boutique hotels, bed and breakfasts, campsites, inns, and other establishments.

Global Tourism and Hospitality Market Analysis By Travel Model

Business Travel is the fastest-growing market. Nowadays, there is a rise in ‘Bleisure’ travel which is the mixing of business with recreational interests on business trips. Industrial analysis shows that almost 49% of people have extended business trips to a leisure trip or planned a business travel break to save on holiday expenses.

REGIONAL ANALYSIS

The North American region is anticipated to witness the most significant market growth at an annual rate of 4.2%. Europe is the largest market for the global travel and tourism industry. The Asia-Pacific region is expected to grow at an annual rate of 5%. The Latin American region is expected to grow at a fast pace due to the rise of cruise tourism in the region. The Middle East & African regions are expected to have tremendous growth due to new developments in the region.

KEY PLAYERS IN THE GLOBAL TOURISM AND HOSPITALITY MARKET

Companies playing a prominent role in the global tourism and hospitality market include TUI Group, TCS World Travel, Expedia Group, American Express Global Business Travel, Gray & Co, Booking Holdings, Air BnB, Trip.com Group Ltd., TripAdvisor, Inc., Royal Holdings Co., Ltd., Marriott International, Hilton Worldwide Holdings Inc., Intercontinental Exchange Inc, and Others.

RECENT HAPPENINGS IN THE GLOBAL TOURISM AND HOSPITALITY MARKET

• In 2021, TUI sold the RIU Group its 49% ownership in the RIU Hotels & Resorts brand. The Riu family already owns 51% of these properties and is currently the sole owner of them.
• In 2021, Tripadvisor announced the launch of Tripadvisor Plus, a subscription service priced at 99$ a year this service will provide customers in the U.S. access to savings, discounts, and other perks.
• In 2021, International Himalaya Hospitality & Hotel Pvt Ltd reached a deal with Marriott International to introduce the company's Moxy Hotels brand in Kathmandu. Moxy Kathmandu, with 108 elegant and contemporary rooms, is planned to debut in 2025.

DETAILED SEGMENTATION OF THE GLOBAL TOURISM AND HOSPITALITY MARKET INCLUDED IN THIS REPORT

This research report on the global tourism and hospitality market has been segmented and sub-segmented based on type, services provided, travel model and region.

By Type

• Domestic Tourism
• International Tourism

By Services Provided

• Accommodation
• Food & Beverages
• Recreation & Entertainment
• Transportation
• Travel

By Travel Model

• Business Travel
• Leisure Travel
• Other Activities

By Region

• North America 
• Europe 
• Asia Pacific
• Latin America 
• Middle East & Africa