Looking beyond the buzz words, travel and tourism are in mid transformation and facing critical tipping points as the industry experiences record highs. With growth powering forward, where does that leave travel businesses and destinations in their climate and equity journey, fundamental for long term business success? Caroline Bremner, our Data Insights Specialists explores.
Growth full steam ahead, but with ramifications
The travel industry is a story of boom and bust, and boom again, with record demand recorded over 2025. According to IATA, 5 billion air passengers travelled around the world and international arrivals recorded growth of 5%, based on UN Tourism data. Consumers love to travel, 84% will go abroad as much or more than last year, reported Skyscanner. For consumers, travel may well be the antidote to the geopolitical headwinds enabling them to focus on self-discovery and follow their passions and interests.
“72% of travellers expressed a desire to take time off to explore a personal passion or hobby”
(Source: Hilton’s 2026 Trends Report)
Changing traveller behaviours unveil important shifts
A review of the top travel trends of 2026 from the global travel brands reveals an interesting mix of buzz terms from ‘glowcations’, farm charm, spiritual journeys, romantasy inspired, set-jetting, skip-generation, supermarket safaris, fan trips, hushpitality to fully blown escapism.
With the backlash to over-tourism making the global headlines again, consumers are travelling with intention, choosing off the beaten path and emerging, new destinations. This is particularly the case for younger generations, Millennials and Gen Z, with 69% selecting new destinations with and 84% expressing an interest in a rural hub rather than a city location (source: Kayak).
As honey pot destinations struggle to manage their excessive growth, under-developed emerging destinations are crying out for demand with visitor dispersal one of the potential levers to create equitable spread of tourism revenues for community benefits.
Part driven by rising price consciousness amongst consumers, travellers are looking beyond peak season, with 31% choosing shoulder seasons, as reported by Skyscanner. Extending the season has long been another lever of destinations to enable equity and divert growth pressures from key hot spots. With 77% of consumers wanting to leave a place better than they found it according to Booking.com, there is an increased awareness of travellers to do the right thing by the environment, biodiversity and communities, indicating a strong alignment with regenerative tourism practices.
Regenerative may not be a consumer buzz term but #slowtravel, #ecotravel, #wanderlust and #hiddengems are among the top trending hashtags on social channels, indicating a shift in mindset to look off the beaten path. Whether they’re aware or not, some consumers are helping to spread the wealth. Dispersal strategies and mitigating overtourism impacts must be integrated into destination management strategies from the outset to ensure that host communities are truly maximising all the benefits of tourism. There is clearly some way to go before all the downside risks are managed to create a perfect balance between communities and visitors.
Understanding climate impacts on travel behaviours
Using luxury travellers as a proxy, two thirds of travellers (76%) are looking beyond peak season, and factoring in extreme weather into their destination planning decisions. Climate is impacting demand as much as supply and life on the ground with increasing risks of climate migration. The UN outlines the cost of inaction if countries fail to meet the 1.5°C pathway with ever more extreme weather events as global warming accelerates.
With destinations and local travel businesses on the frontline of climate change, and consumers already altering their travel choices and behaviours, it is vital that decarbonisation across the supply chain happens in a rapid way. Transport as the biggest emitter requires much attention, to expedite the shift away from high polluting air, to rail, electric vehicles and fuel-efficient aircraft.
Source: Virtuoso
Note: Virtuoso agency respondents
AI transformation in full swing as industry plays catch up
Skyscanner survey research points to the scale of AI influence, with over half of respondents (54%) more confident in using AI for travel planning and, most importantly, booking. For travel businesses and destinations, AI is no longer a leftfield threat – it’s a fact of life and needs to be factored into the travel funnel and the entire traveller journey by all destinations and travel businesses, big and small.
Its influence is wide-ranging, enabling not just greater personalisation but cost savings. Despite concerns about lack of trustworthy information, transparency and security, consumers give AI the benefit of the doubt.
“Almost 60% of [Gen Y and Gen Z] travellers say they would change destinations if AI told them there’s somewhere better, 50% admit they would do it for a better deal”.
Source: Kayak
What does this mean for businesses and destinations?
Travel is powering forward with unprecedented levels of demand, with traveller behaviours shaping up to be more sustainable, slowly but surely.
Social media continues to play an ever-important role in destination and brand choice, but it’s AI that holds the upper hand when it comes to itinerary planning and travel booking. Agentic AI is where the battle lines will be drawn as a new era of disintermediation is unleashed, pushing out the middleman.
It is vital that local businesses – not just global brands – and destinations are primed for transformation, putting their data house and website in order, showcasing the best of their local, authentic and immersive travel experiences.
Yet for every AI aficionado there will be an AI vegan – who rejects AI for ethical and environmental reasons. Ensuring that your business and destination speak to both segments will be key to generating long term financial success. In keeping with the buzz trends for 2026, never has it been more vital to take a leaf out of the book for #slowtravel with heart and soul.
You can connect directly with Caroline Bremner, Data Insights Specialist at: [email protected]
