Among travelers, pricing perceptions are contributing to a pullback in the number and length of trips, among other belt-tightening behaviors. But Americans also are adjusting their budgets to make travel fit. Pricing perceptions are driving several patterns and behaviors this summer:
- Income mix shifts: With more low-income Americans deterred by high prices, high-income Americans are expected to make up a much bigger share of the traveling public this summer—44%, versus 35% in 2023.
- Budgets are bigger: Each income group plans to spend 6% to 13% more than in 2023. Due to the growth in high-income influence, overall summer budgets are up 18%.
- Fewer and shorter trips: The average traveler plans 2.3 trips this summer, bringing frequency back down to 2022 levels after it rose to 3.1 in 2023.
- Deal seeking is up: This trend is likely to influence on both product selection and booking channel. Higher emphasis on deals, even with a wealthier traveler pool, indicates that pricing…