Indians’ appetite for travel increased in 2024. The country is also witnessing a shift in travel preferences, with more people opting for offbeat destinations and eco-tourism, as well as an increase in solo and female travelers.
According to the MasterCard Economics Institute’s latest report launched in May 2024, international travel increased by 21% compared to 2019, with a significant 4% increase in the first quarter of 2024.
In particular, the number of visitors to the United States increased by 59% compared to 2019, while the number of Indian visitors to Japan increased by 53% compared to 2019.
The highest though – at 248% – were Southeast Asian countries. According to the report, Vietnam has also become a major attraction for Indian tourists.
“As we approach the year-end holiday season, we are witnessing a fascinating shift in travel preferences. Destinations such as Thailand, Vietnam, London, and Bali have emerged as top choices for international travel this winter witnessing 80-100% YoY growth in bookings,” Aloke Bajpai, Group CEO, told your story.
“Interestingly, for the first time, the Maldives did not feature in the top 10 most searched destinations for year-end travel, reflecting a growing preference for more diverse and immersive holidays than traditional hotspots,” he added.
The Gurugram-based OTA listed platform saw strong growth in flights at +43% YoY GTV (gross transaction value) and buses at +46% YoY GTV in Q2 FY24 vs Q2 FY25.
“Our monthly transaction users (MTUs) grew by nearly 43% YoY, reaching 3.43 million during the quarter. Flights and buses together now contribute 60% of our company’s margins,” adds Bajpai.
The travel-tech company made a stellar debut on the exchanges on June 18, 2024, with its IPO price rising by 78.2% per equity share. The IPO, which raised Rs 740 crore, was oversubscribed 98.34 times due to strong demand from institutional, HNI and retail investors.
Local travel
Bajpai said many travelers from Tier II and III cities will opt for international destinations.
“For example, airports like Varanasi, Vijayawada, Rajkot, and Jharsuguda have generated over 50% growth in passenger volumes for us. Additionally, our international flight GTV has grown by an impressive 47%, outpacing domestic flight growth,” he noted. did
At the recent BOTT Knowledge Conclave: Tourism@2025 in New Delhi, Union Tourism Minister Gajendra Singh Shekhawat discussed India’s significant tourism growth.
Major states like Uttar Pradesh, Maharashtra, Tamil Nadu, Karnataka, and Rajasthan have emerged as top destinations benefiting from cultural festivals, wildlife tourism, religious pilgrimages, and rural tourism.
Initiatives such as the ‘Dekho Ude Desh’ campaign and state-level tourism promotion efforts have played a significant role in this remarkable growth, further enhancing India’s attractiveness as a domestic travel destination.
According to the Ministry of Tourism, the number of domestic tourists has increased significantly by 95.64 percent. India’s ranking in the Global Travel and Tourism Development Index (TTDI) improved from 65 to 39.
A biennial report published by the World Economic Forum, the TTDI measures the factors and policies that enable a country’s travel and tourism sector to grow sustainably and resiliently.
He also mentioned that more than Rs 6,800 crore has been invested in destination development, of which Rs 3,295.76 crore has been sanctioned to promote lesser-known tourist spots in the states.
“On the domestic front, destinations such as Jammu, Srinagar, and Dehradun have seen a huge increase in bookings, highlighting the growing interest of mountain getaways this year. This contrasts with last year’s trend, where year-end travel plans were dominated by beach getaways. The lure of picturesque winter landscapes And the attraction of snowfall seems to draw more travelers to the mountains during this season,” says. Bajpai.
According to According to travel data between 16-31 December, Andaman, Kerala, Goa, Himachal and Kashmir saw double-digit growth in bookings of holiday packages for the upcoming year-end holiday season.
Seeking spirituality
Spiritual destinations in India are becoming popular. According to digital travel platform Agoda, cities like Bangalore, Hyderabad and Chennai are leading domestic destinations for spiritual travel in the last quarter of the year.
For inbound travelers, Kochi and Varanasi are the most popular spiritual destinations.
Both destinations attract international spiritual travelers because of their deep-rooted cultural, historical, and religious significance. Travelers from the United States, Singapore, Japan and Australia are also contributing to the increase in inbound interest drawn to India’s unique fusion of spirituality and culture during the festive period.
Krishna Rathi, Senior Country Director, India Subcontinent and MEA at Agoda, commented on the growing trend, “The growing interest in spiritual destinations across India reflects travelers’ evolving preferences for more enriching and culturally immersive experiences.”
Technician on the go
In 2024, technology is also playing a key role as travel companies use mobile apps, smart bookings and real-time travel updates to make travel easier.
“ixigo was the first OTA in India to launch a generative AI-based travel planning tool called PLAN in 2023 that helps travelers plan their trips, get real-time information and recommendations based on itinerary and input criteria,” says Bajpai.
Online Travel Aggregator, It uses AI/ML-based algorithms and other tools like WhatsApp Booking Bot.
“Technology has become central to travel planning and execution, with 84% of Indian travelers now using AI tools for their travel planning. This technological integration extends to sustainable travel practices with increased emphasis on carbon offset programs and eco-friendly accommodations, reflecting the industry’s adaptation to environmentally conscious consumer preferences,” added Nishant Pitti, CEO and Co-Founder, EaseMyTrip.