With an average spend per resident amounting to $3,580, the U.S. source market is projected to be the most valuable globally in terms of average overseas tourism expenditure in 2022, according to GlobalData’s latest forecast.
The data and analytics company notes that the willingness of the U.S. market to dedicate significant amounts of its disposable income to international trips could help to drive the recovery of many destinations across the globe.
GlobalData’s latest thematic report, “Premiumization in Travel & Tourism (2022),” reveals that within the top 10 outbound destinations for the U.S. market in 2021, six would be classed as long-haul destinations, due to the average flight time being more than six hours.
The heightened demand for long-haul destinations is driven by the substantial levels of disposable income that many U.S. travelers have. In fact, the U.S. has more millionaires than any other nation. In 2022, the number of U.S. citizens worth $1 million to $1.5 million is projected to be 237.4% more than China which has the second highest.
“The average length of stay for an international trip from the U.S. market was 18 days in 2021, showcasing that Americans will stay in a destination for a lengthy period of time,” said Ralph Hollister, travel and tourism analyst, GlobalData. “This point adds to the attractiveness of U.S. travelers for destinations across the globe.”
According to GlobalData, global outbound tourist expenditure is forecast to increase at a Compound Annual Growth Rate (CAGR) of 22% between 2021 and 2024, with expenditure finally exceeding pre-pandemic levels by 2024. A driving force behind this recovery will be U.S. travelers as their dollars will be sent to a range of different continents contributing to economic recovery on an international scale.
Europe is particularly popular with Americans. The culture and food in the likes of France and Italy are major pull factors. However, a high-quality sun and beach product is essential for many. According to GlobalData, 42% of U.S. respondents stated that they typically undertake sun and beach holidays, which was the most popular type of trip taken. These common preferences hint as to what aspects of a tourism product Destination Management Organizations (DMOs) should be marketing to this lucrative market.
Hollister added, “The U.S. market’s high average overseas expenditure, willingness to travel long-haul, tendency to stay for long periods of time, demand for a range of different experiences and a solid number of high-net-worth individuals means it will drive international tourism recovery.”
