Travelers are more inclined to pay for experiences if companies prioritize affordability, flexibility and personalization, according to new research from TravelBoom Hotel Marketing, a provider of digital solutions for the hospitality industry,
Its 2025 Leisure Travel Study offers actionable insights for how these industries can better reach and engage with leisure travelers today. Earlier this month, the U.S Travel Association published a report that predicted that spending on domestic leisure travel will increase by 3.9%, surpassing $1 trillion in 2025.
“Leisure travel is one of life’s most fulfilling experiences and economy notwithstanding, consumers have told us that they really want to pursue and cherish these types of adventures,” said Pete DiMaio, COO, TravelBoom Hotel Marketing. “As an industry, we need to make sure we’re doing our part to give consumers what they want and that was the impetus for why we originally commissioned this research.”
Key findings and actionable takeaways:
- Prioritize value and flexibility. Rising travel costs have led to increased demand for budget-friendly options, with discounts, bundled packages and flexible booking policies being among the top requests. Nearly a third (28%) of respondents said they were actively seeking more affordable accommodations., while 72% cited generous cancellation policies as critical to reducing booking uncertainty.
- Utilize personalization for higher conversions. 56% of respondents said they preferred more personalized travel options.
- Embrace local culture and wellness. 43% showed interest in wellness retreats and prioritized activities like spa treatments (83%), meditation (57%) and fitness classes (42%). Respondents also placed a high value on engaging with local businesses and cultural experiences – 46.2% actively seek them out during trips.
- Tech is an important travel perk. 74% cited the availability of high-speed internet as one of their top leisure travel work-friendly perks.
- Maximize social media and influencer impact. Social media, particularly YouTube (24%) and Facebook (18%), play a major role in informing and driving leisure travel decisions. Online reviews are another impactful channel, with 70.6% of respondents unwilling to book without first consulting reviews.
- Balance sustainability and costs. 67% of respondents value eco-friendly practices, while 28% said they are willing to pay more for them. This finding underscores the potential opportunity to position green initiatives as cost-friendly, adding further value to the guest experience.
- Use loyalty programs to drive direct bookings. More than 60% of travelers prefer hotels with instant loyalty rewards and this strategy may help to accelerate direct bookings.
TravelBoom Hotel Marketing polled 500 respondents nationwide who have had at least one leisure trip in the last 12 months. The survey was conducted in December 2024.