Pack that knapsack and grab your passport for 2024
The ripple effect of waning inflation, rising wages, and a robust job market means that many Americans will have more money to spend on travel in 2024.
And about half of the adult travelers recently surveyed by Hopper, a travel booking app, are planning to travel more next year than they did in 2023. Nearly 8 in 10 (77%) said they expect to spend the same or even more on travel in 2024, Hayley Berg, lead economist at Hopper, told Yahoo Finance.
Travelers are increasingly interested in going abroad, somewhere sun-soaked, or places inspired by a movie or TV show they've binged. Some of us will even use a cultural event like a concert, art show, or sporting event in a far-flung spot to get out the door.
The good news is that we'll likely find lower prices and more deals in 2024.
“Looking to 2024, the post-COVID boom — and travelers’ desire to get out again — has not slowed down,” Catherine Prather, president of the National Tour Association, told Yahoo Finance. “The trend of ‘revenge’ tourism is applicable to travelers of all means.”
Here’s what to expect next year.
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Travel with a beat
If you’re musing about where to go on vacation in 2024, here’s one way to narrow it down: Tour with your favorite musician.
Madrid in May to spend an evening with Taylor Swift, perhaps.
Nearly half of travelers would use a concert as an excuse to visit a new place in 2024, Melanie Fish, Expedia Brands travel expert, told Yahoo Finance.
About a quarter (26%) of Hopper travelers will also be packing their suitcases and grabbing passports for events like concerts and sporting events, according to its survey.
In 2023, the travel and tourism impact of Swift's Eras and Beyonce’s Renaissance tours, for instance, was indisputable.
Last May, for example, was the hottest month for hotel revenue in Philadelphia since the start of the pandemic, largely due to a surge of guests to the city for Taylor Swift’s three nights of concerts, according to the Federal Reserve Bank of Philadelphia. And Moody's found a ramp-up in revenue-per-available-room in every city where Swift performed.
That concert-trotting isn’t going to lose a beat in 2024, Fish said. Nearly 7 in 10 of those surveyed by Expedia say they are more likely to travel to a concert outside their own town. Unexpected places on Expedia’s list of top tour tourism destinations for the coming year are Kuala Lumpur (you can catch Ed Sheeran there in February) and Mexico City (Olivia Rodrigo and Madonna are road-tripping there on their worldwide tours).
From streaming to visiting
For 2023, movies and TV shows were top motivators for travel jaunts, and that trend isn’t catching a breath in 2024, according to Expedia’s data.
“More than half of travelers say they’ve researched or booked a trip to a destination after seeing it on a TV show or movie,” according to Fish. In fact, travelers say TV shows influence their travel decisions more than Instagram, TikTok, and podcasts.
Now that’s saying something.
Think Thailand and “The White Lotus,” for instance. Bookings to Romania have been spurred by “Wednesday,” according to Fish. For a bit of tea inspiration, London and Windsor in the UK are luring vacationers baited by “Bridgerton” and “The Crown.” Visits to Paris have been propelled by the romantic Netflix streamer “Emily in Paris.”
Personally, “The Crown” has me tempted to plan a sojourn to Scotland to roam on rain and wind-swept highlands and stay in centuries-old castles.
Domestic trips will be affordable
Travelers will likely find lower prices and more deals in 2024, Jake Bouvrie, chief economist at KAYAK, told Yahoo Finance.
“We're seeing that domestic prices are dropping across the board for flights, hotels, and rental cars,” he said.
Domestic airfare will drop 16% in 2024 compared to 2023, according to KAYAK data. That means it’ll cost $461 on average to fly in the states. Hotel rates are down 9% compared to last year, and rental car prices have dipped 14%.
The Lone Star state seems to be a magnet for travelers, per KAYAK data, with travel to cities like Dallas, San Antonio, Austin, and Houston all up double digits in searches year on year.
What is unsurprising is that America’s warm weather destinations remain a reliable constant. Orlando, Miami, Fort Lauderdale, Hawaii, and Puerto Rico's beaches are all at the top of our lists, Bouvrie told me.
One sidenote: People want to spread their wings, so to speak, with more space to stretch out or at least a place to set their elbows. Searches for premium economy tickets have jumped 31% for flights in 2024 and business class ticket interest is up 22%, according to KAYAK.
Trust me, lately, I have found myself doing the cost-reward analysis on this one.
Read more: How do travel credit cards work?
International trips to Asia and Africa will take off
Asia is the No. 1 trending region for 2024, Bouvrie said. Some particular cities of interest are driving that — Shanghai, for instance, Taipei City, Taiwan, and in Japan, Tokyo and Osaka.
“This isn't completely unexpected,” Bouvrie said. “Asia was a bit slower than other regions to remove travel restrictions. The surge in pent-up demand is still coming out of the pandemic even two years later.”
Africa has seen the biggest jump in KAYAK’s trending destinations; fare searches are up 60% driven by Ghana, Nigeria, and Egypt, he said.
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Advice for finding the best travel deals
While most folks book international trips four months in advance or less, the sweet spot can often be six to eight months, according to Bouvrie. How sweet? Booking eight months in advance saves an average of between 8% and 20%, depending on the region and the route.
“I know that's way far in advance for many people, but if you can consider … planning well and ahead, then that's how you can maximize your savings,” he told me.
Most air travel shoppers are hip to setting a price tracker when they’re not quite ready to commit to a trip. Do it. When you see a dip, jump on it. “Airline inventory pricing is always fluid,” Bouvrie said. “Right now, we're seeing demand up, but prices down. How long will that persist?”
Each of the major travel apps offers fare tracking, as does Google Flights.
The standard advice to travel in the shoulder season can save you from peak prices and, frankly, too many people crowding the tourist venues.
January will be the cheapest month to book travel until the fall shoulder season in September and October.
Where the deals are
Looking for a bargain? Check out these price declines from KAYAK compared to a year ago:
Galapagos Islands: 22%
Mendoza, Argentina: 20%
Tromsø, Norway: 17%
Punta Arenas, Chile: 16%
Destinations off the beaten path within the US that will be pocketbook pleasing in 2024 are Spokane, Portland, Bangor, and Fairbanks.
“All offer access to national parks and incredible scenery,” Berg said.
Meet your new travel agent
Travel tech is rapidly taking the reins of the planning stage, according to Expedia’s Fish. Generative AI platforms, like ChatGPT, grabbed a lot of headlines in 2023 but not many people used them to plan travel.
“We predict that in 2024 half of travelers will use (AI) to plan their next trip when apps like Expedia incorporate ChatGPT into the experienced,” Fish said. “You can ask questions and the AI recommendations are saved for you to come back to later and book the trip.”
The crux of why we travel
Meaningful travel is buzzy, especially among younger travelers. “One factor that overrides cost concerns is passion travel,” Prather said.
“That can mean taking faith-based journeys, following a favorite team, or exploring far-flung places,” she said. “On so many levels, travel is a way for us to do better and be better: We learn to value other people and cultures, support the local economies of destinations we visit, and understand our role in protecting a fragile planet.”
Well said. Now, get out there. Happy trails!
Kerry Hannon is a Senior Columnist at Yahoo Finance. She is a workplace futurist, a career and retirement strategist, and the author of 14 books, including "In Control at 50+: How to Succeed in The New World of Work" and "Never Too Old To Get Rich." Follow her on X @kerryhannon.
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