Global Tourism Market Size, Forecast and Trend Highlights Over 2025-2037
Tourism Market size was valued at USD 686.32 billion in 2024 and is likely to reach USD 1431.88 billion by the end of 2037, expanding at around 5.82% CAGR during the forecast period i.e., between 2025-2037. In 2025, the industry size of tourism is evaluated at USD 726.26 billion.
The growth of the tourism market is rising on the back of increasing efforts from the global governments. For instance, according to the World Travel & Tourism Council, in 2024, travel and tourism contributed to global GDP totaling USD 10.9 trillion. Governments are advertising through campaigns, conducting international tourism fairs, and promoting universal accessibility to tourism. Also, according to the United Nations, World Tourism Day is commemorated each year on 27th September. The purpose of the celebration is to foster awareness among the international community of travelling. These factors are bolstering the market growth during the forecasted period.
Additionally, the tourism market growth can be attributed to the rising disposable income of people across the globe. The personal savings of people are increasing, which is allowing people to spend on leisure activities. For instance, according to the Bureau of Economic Analysis in February 2024, personal savings in the U.S. reached USD 1.02 trillion. The higher income and savings of the population are the prominent factors influencing travel across the world.
Tourism Sector: Growth Drivers and Challenges
Growth Drivers
- Surge in transportation facilities: With the increasing globalization, there has been a surge in various modes of transportation, such as ocean freight transport, air freight transport, road transport, etc. Transportation is a crucial pillar of tourism development,
- For instance, according to the International Civil Aviation Organization, by mid-2030, no fewer than 200,000 flights per day are projected to land and take off worldwide. Hence, the development of travel networks has made it possible to reach faraway places easily and swiftly.
- Social media propagation: The advent of social media has played an imperative role in global travel trends. For instance, according to the United Nations, the estimated number of people who were using the internet in 2021 was 4.9 billion. The Internet and social media have introduced online booking sites, mobile applications, etc. Travelers can search destinations, plan, and book their trips online easily. Due to these reasons, the internet is acting as an extensive travel information source, making it very easy for travelers.
- Rising number of students studying abroad: People are becoming inclined towards studying abroad due to the quality of education, better career opportunities, personal development, etc. For instance, according to the Oxford City Council in 2021, the census showed that 35% population was born outside the United Kingdom. Also, data published by the U.S. government in 2023, Massachusetts had about 1.26 million immigrants. The emphasis on studying abroad has opened new opportunities in the domain of tourism market globally.
Challenges
- Presence of fake travel agencies: There has been concern about the mushrooming of fake travel agencies that are scamming people. Travel agency scams occur when fraudsters advertise cheap airfare on a fake website or with the help of fake social media ads. Fake agencies work by giving deceptive travel deals to the consumer.
- Outbreak of pandemic and epidemics: The outbreak of infectious diseases has become common across the world. Cholera, MERS, influenza, dengue, rift valley fever, chikungunya, etc., are some of the recurrent outbreaks occurring across the world, prompting travelers to limit travel.
Tourism Market: Key Insights
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
5.82% |
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Base Year Market Size (2024) |
USD 686.32 billion |
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Forecast Year Market Size (2037) |
USD 1431.88 billion |
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Regional Scope |
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Tourism Segmentation
Type (Domestic, International Tourism)
Domestic travel in tourism market is projected to witness significant growth during the assessed period. The growth can be attributed to the rising preference of people to travel to their own country first. It is considered that when travelling to their home country, a person has the flexibility to use their transport. Also, there is less travel expense while travelling domestically, which is affordable to a huge population. People also think that travelling within the country, one can contribute to local businesses and communities. For instance, data published by the European Union in 2023, EU residents spend almost 93% of their tour trips within the territory of the EU region. These factors are augmenting the domestic segment market growth during the forecasted period.
Purpose (Adventure, Business, Medical, Conference, Seminar, Religious, Education, Tourism)
The medical tourism in tourism market is generating significant revenue due to significant healthcare expansion worldwide. For instance, according to the U.S. Department of Health and Human Services, destinations for medical tourism for the residents of the U.S. include Argentina, Brazil, Colombia, Canada, Costa Rica, Cuba, India, Malaysia, Peru, Thailand, and Peru. Also, the categories of procedures pursued by the U.S. medical tourists include cancer treatment, fertility treatment, dental care, transplantation, surgeries, etc. Also, in Europe, one of the most compelling reasons for the surge in medical tourism is the availability of affordable healthcare services. The EU region also comprises top-notch healthcare facilities with highly qualified medical practitioners.
Our in-depth analysis of the tourism market includes the following segments:
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Type |
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Purpose |
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Customize this ReportTourism Industry - Regional Scope
North America Region Forecast
The North America tourism market is projected to account for a remarkable revenue share between 2025 and 2037. According to a report published by the UN Tourism in October 2024, the top 10 searched destinations were the U.S., Canada, and Mexico. Other than this, the Travel and Tourism Development Index by the World Economic Forum in 2023, the U.S. garnered rank 1 for the top places for travel and tourism. Foreigners visit the U.S. to witness natural wonders, historic landmarks, and entertainment venues. According to the U.S. Travel Association, travel accounted for USD 1.3 trillion in direct spending in 2024, producing an economic footprint of USD 2.4 trillion.
Europe Market Forecast
The tourism market in Europe is gaining significant traction due to the presence of rich cultural experiences. As Europe is a treasure trove of historical sites, landmarks, museums, etc., travel enthusiasts are willing to visit Europe. According to data released by the European Union in January 2024, the projected number of nights spent at the prominent tourist spots in the region reached 2.99 billion. Additionally, according to the World Travel & Tourism Council in May 2024, the EU’s travel and tourism sector reached USD 1.65 trillion. Also, Europe dominates the top 10 economies for travel and tourism, ranked by Travel and Tourism Development Index by the World Economic Forum. The top 10 European Nations were Spain, France, Germany, the United Kingdom, Italy, Switzerland, Portugal, Austria, the Netherlands, and Finland.
Companies Dominating the Tourism Landscape
- Airbnb, Inc.
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- G Adventures, Inc
- TUI AG
- Balkan Holidays Limited
- Accor Group
- DuVine Cycling + Adventure Co.
- Gray & Co.
- American Express Company
- Omega World Travel, Inc.
- World Travel Holdings
The competitive landscape of the tourism market is rapidly evolving as established key players and new entrants are investing in introducing safe travel practices. Key players in the market are focused on developing new technologies and services that cater to the stringent regulatory norms and consumer demand. These key players are adopting several strategies, such as mergers and acquisitions, joint ventures, partnerships, and novel product launches, to enhance their product base and strengthen their market position. Here are some key players operating in the global market:
In the News
- In January 2025, EaseMyTrip signed a memorandum of understanding with the Penang Convention & Exhibition Bureau to enhance the presence of Penang in the Indian market. The partnership is set to transform how Indian travelers experience Penang by leveraging the expertise and digital reach of EaseMyTrip.
- In June 2024, Apollo and The Travel Corporation (TTC) announced that they had entered into a definitive agreement. The Travel Corporation has a collection of leading brands, and Apollo is aiming to leverage their experience in travel, technology, and hospitality sectors.
Author Credits: Parul Atri
- Report ID: 109
- Published Date: May 02, 2025
- Report Format: PDF, PPT
