The Luxury Travel Boom: What’s Still Worth the Splurge?

Economic instability and ongoing cost-of-living concerns are taking their toll on the hospitality industry. 

How is consumer behavior around travel, particularly luxury travel, shifting? And what are consumers still willing to splurge on? 

Let's get to it.

Note: You can read more about this topic in our brand-new hospitality and travel insights report.  

The luxury travel conversation is growing

We used Brandwatch Consumer Research to understand the conversation around luxury in relation to hospitality and travel over time. 

The conversation has grown steadily over the last two years. In the first half of 2024, there were over 800k mentions about topics relating to luxury travel, vacations, and experiences – up significantly compared to the previous six-month period and compared to the first half of 2023. 

What’s driving the luxury conversation?

Consumers are looking for experiences that create beautiful memories. In luxury vacation discussions, we frequently saw words like “unforgettable,” “stunning,” and “breathtaking.”  

Travelers seeking a high-end experience pay close attention to their luxury vacation settings. Be that hotel room design, extra and luxurious amenities, or spectacular views, travelers don’t hold back with online praise when brands manage to wow them. 

"Relaxation” was a popular theme in luxury travel discussions, clocking in close to 74k mentions in the first six months of 2024. 

In our Consumer Trends in Hospitality report, we noted that many consumers are expressing feeling fatigued and a desire for a break from their routine.  

Retreats were a hot topic in luxury vacation discussions. We spotted 36k mentions of retreats between January 1 and June 30, 2024, up 74% from the same period in 2023. 

In those conversations, many consumers mentioned visiting Africa as well as luxurious island getaways in Bali, Fiji, and the Maldives. “Beach” was mentioned over 88k times in luxury travel conversations in the first half of 2024.  

And while luxury retreats often come at a steep price, consumers are willing to spend on the experiences they deem worth the cost. 

Meanwhile, consumers often talked about upgrading their flight tickets and hotel stays to prioritize comfort and convenience. Some people mentioned the products they buy to feel more luxurious, restful, and comfortable when traveling, including sleep masks, skincare, ear plugs, and travel pillows. 

“Comfort” clocked in close to 75k mentions in the first six months of 2024, up 28% from the same period in 2023. 

“Massage” was also a key trend in these conversations – the ultimate luxurious way to relax.  

Mentions of dining in luxury travel discussions grew 28% in the first six months of 2024 compared to the same period in 2023.  

In luxury dining-related conversations, many consumers discussed their exceptional dining experiences at restaurants, resorts, and hotels – and less expected – airports. 

Consumers are open to exploring and finding luxury in unexpected places, and hospitality brands are following along. Airports are embracing becoming destinations in their own right, from bringing in Michelin-star dining experiences to having their own brewery.

Brands find ways to add luxury where they can

In their quest to delight consumers and make their experience with the brand more luxurious, many brands get creative. 

For example, Saudi Arabia’s airline Riyadh Air has reimagined the airline’s cabin crew uniforms to add the “style, elegance, and grace” of the 50's and 60's, inspired by the movie “Catch Me If You Can.” 

Dublin Airport has recently shared a giveaway, offering consumers a VIP travel experience that includes a chauffeur and private suite, generating over 1.6k reposts on X. 

And this traveler was amazed by the hotel’s personalized touch. A note in the consumer’s hotel room detailed the variety of pillows available to them, including goose down, memory foam, and hypoallergenic, catering to even the most particular customers. 

Why should brands pay attention?

Despite all the financial worries, it looks like consumer demand for luxury experiences is rising. While budgets tighten around other expenses, burned out consumers are willing to spend on memorable and relaxing getaways. 

Hospitality and travel brands that monitor shifts in consumer preferences can gain valuable insights on new expectations and find inspiration for delighting customers. By implementing these insights in their marketing, luxury brands should be able to ride the wave of economic uncertainty by catering to customers that are willing to splurge on the right experiences.

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