Industry Insights: Travel — A Bridge to Kindness

Travel — A Bridge to KindnessBy Paloma Villaverde de RicoRecommend Standard Image TemplateKindness was the overarching theme at the 2024 USTOA Conference and Marketplace, held this past December at the JW Marriott Marco Island in Florida. During the opening general session, USTOA President and CEO Terry Dale noted that travel is a “bridge to kindness.” On that theme, the organization is launching a new pilot program, Breaking Bread, that aims to create a dialogue with destinations that are feeling the effects of overtourism, meeting with all interested parties, such as someone from the mayor’s office and from economic development, as well as those, stresses Dale, who are leading the anti-tourism charge within the community. “There’s something symbolic about saying, Let’s come together—stakeholders and community leaders, activists...—and have a transparent conversation about the reality of the situation,” Dale tells Recommend. “It’s critically necessary to the future of our industry in finding the balance between residents and their home and our industry....”Growth for 2025The USTOA’s 2024 Economic Impact Study, produced by PwC, shows that there’s optimism for travel in 2025. Dale noted that there was a high level of engagement amongst the active members, with 96 percent of them participating in the survey. “…[Active members] understand how important this information is for our work in Washington, DC.” In terms of key statistics, numbers are up, with Dana Santucci, Chairman of USTOA’s Executive Committee and Executive VP of EF Education First, telling the media that “our active members project to close out 2024 with sales reaching more than $24 billion, which represents 8.4 million travelers. That’s an 8 percent increase from total travel packages sold in 2023 and an almost 7 percent increase on the number of travelers last year. “This represents 3.6 million total travel packages sold in 2023, and 3.84 million packages in 2024. The purchases of goods and services—this includes air, rail, cruise, ground, transportation, accommodations, dining and attractions—is projected to reach $16.6 billion for this year. This is a 6.1 percent increase from 2023.” Travel advisors, take note, because 60.3 percent of those packages are sold through travel agencies. “This reinforces that our travel advisors are a vital partner to our businesses,” notes Santucci. “Escorted tours are the largest contributor to our total active member revenues in 2023 and 2024,” continued Santucci. “FIT packages are second, and one interesting thing to note is that customized packages have seen a significant increase from our last PwC survey in 2022, where they were contributing only 3 percent. Right now they’re at 16 percent. We’re seeing consumers seeking customization and personalization, and this is a growing trend within the industry.” Although half of active members anticipate a significant growth in sales volume for 2025, they are concerned about political turmoil affecting growth projections in the next few years. Another area of concern is overcrowding, which the Breaking Bread project aims to address. When it comes to the hottest destinations for travel, Italy was, once again, named the most popular destination for travelers in 2024 and 2025, with Portugal coming in second, followed by Greece in third. “Europe continues to be the strong presence in our portfolio,” noted Madhvi Buch, Vice Chairman of the USTOA Executive Committee and Global Head of Business Solutions of The Travel Corporation, USA, “and it maintains its status as the most popular travel package destination, accounting for half the travel packages sold, both in 2023 and 2024.” She adds, “Portugal offers something new for those who have already experienced some of the iconic parts of Europe; [it] has become a very sought-after destination for everyone who offers Europe.…” New hot destinations this year include Croatia, South Africa, Morocco and Thailand. “And on the flip side, for off-the-beaten-path destinations,” continues Buch, “Vietnam tops the [list], both for 2024 and 2025.” That’s followed by Iceland and Japan, which are tied for second. “Japan is also gaining popularity as both a hot and off-the-beaten-path destination,” says Buch, “so that is quite interesting. And it’s encouraging to see several new countries have graced the list, like South Korea, Albania and Namibia.” For more on what’s moving the needle for USTOA active members, head to recommend.com, where we’ve got more findings from the 2024 Economic Impact Study.

COVERTHE TRAVEL CORPORATIONTable of ContentsEditor's NotesTURKISH AIRLINESIndustry Insights: Travel — A Bridge to KindnessAdvisor Speak: When Passion Leads to Top-Selling Travel AgencyCruise: Luxurious Cruise Adventures Around the GlobeEXPLORA JOURNEYSAMERICAN CRUISE LINES SCAMERICAN CRUISE LINESATLAS OCEAN VOYAGES SCATLAS OCEAN VOYAGESDISNEY CRUISE LINE SCDISNEY CRUISE LINEVIKING SCVIKING CRUISESEXPLORA SCRIVERSIDE LUXURY CRUISES SCVancouver: The Ideal Pre- and Post-Cruise GatewayALASKA RAILROAD SCOnboard Review: Disney Treasure–A New Chapter in Cruise Line MagicOnboard Review: The Galapagos with HX— A Transformative ExperienceWEBINAR HOUSE ADOnboard Review: Sail in Style— MSC World Europa’s Yacht ClubOnboard Review: Adults-Only Fun Aboard Virgin Voyages’ Resilient LadyMexico/Caribbean: Romance Redefined—Luxurious EscapesPalladium’s Luxury Experiences for CouplesSANDALS SPREADSANDALS SCOnsite Review: Hyatt Vivid Grand Island—Cancun’s Sexy New NeighborEurope: Club Med Tignes–The Ultimate Alpine EscapeTTC Tour BrandsEDU HOUSE ADRIVERSIDE LUXURY CRUISES