Demand for travel among Americans is projected to remain high in 2025, with artificial intelligence set to be a major trend in the industry.
Americans are planning more trips per year on average compared with 2023, per a report by Deloitte, increasing to 2.14 holidays per year. The number of travellers saying they would stay longer than seven nights rose by 8%, with 10% growth in those aiming to significantly increase their travel budget .
“Enthusiasm for experiences post-pandemic has fueled three years of growth across much of the travel industry. Metrics like air passenger volumes and hotel revenue per available room have largely reached or surpassed 2019 levels,” the report said.
“But the industry is also able to turn more attention to challenges and opportunities in innovation. Two years of experimentation with generative artificial intelligence (Generative AI), both by providers and travellers, has begun to reveal the most promising near-term opportunities for the technology.”
Greater lifestyle and financial flexibility has partly driven strong travel demand, Deloitte said. The number of travellers expecting to work remotely on their longest trip of the season increased from one third to one half, while 37% of those surveyed at the end of 2024 said their financial situation had improved over the previous year.
Travellers are increasingly likely to use generative AI to research and book holiday plans. The share of travellers saying they had used AI to plan their trips doubled from 8% in 2023 to 16% in 2024.
Of those who planned trips with AI, 43% booked accommodations recommended by AI tools. Around 65% of these respondents researched holiday activities with AI, though just 26% booked or visited the attractions an AI tool suggested.
While the use of AI among travellers is rapidly growing, Deloitte projects that travel companies may be slower to adopt the technology. “Many travel suppliers are laden with technical debt, and sometimes providers hesitate to invest in new technology too quickly. While AI is expected to increasingly have an impact on the travel experience, the pace of change will likely be uneven and may appear slow to some observers.”
Another 2025 travel trend Deloitte identified was “mega micro merchandising”, as airlines and hoteliers expand their offerings to include activity bookings and travel packages.
However, inbound travel to the United States has grown more slowly than outbound travel, and is only projected to reach 2019 levels by the end of 2025. The newly inaugurated Donald Trump administration could also impact travel, Deloitte wrote, as Americans may have less disposable income and inbound travel may flag due to tariffs.
