LAS VEGAS, Oct. 7, 2024 — The 2024 Incentive Travel Index (ITI), an essential annual report tracking the state of the incentive travel industry, has been released, offering insights into future growth, destination trends, and the evolving strategic importance of incentive travel programs. Now in its seventh year, the ITI is a collaborative effort between the Incentive Research Foundation (IRF) and the Society for Incentive Travel Excellence (SITE), conducted in partnership with Oxford Economics.
According to the newly released report, the incentive travel industry is expected to experience growth through 2026, with incentive travel buyers projecting increased activity and per-person spending beyond 2024 levels. However, the industry is also grappling with rising costs, recruitment challenges, and growing safety concerns, highlighting the complexity of balancing expansion with operational realities.
Industry Outlook and Emerging Challenges
The 2024 ITI highlights a positive outlook for incentive travel, but it also emphasizes concerns that could impact future growth. While the demand for incentive travel continues to rise, industry professionals are increasingly worried about rising expenses. Another significant issue identified is the challenge of attracting talent to the industry, coupled with growing safety considerations, which have become more critical in recent years.
Despite these challenges, the strategic importance of incentive travel is increasing in response to broader workplace trends. As organizations look for ways to retain top talent and enhance their competitive edge in recruitment, incentive travel programs have gained new relevance.
“The strategic importance of incentive travel is being bolstered by key workplace trends,” said Stephanie Harris, President of IRF. “Retaining talented employees and gaining competitive advantages in hiring are becoming increasingly critical, especially as the workforce evolves with new generations of leaders and a more dispersed employee base.”
Shifting Preferences in Destination and Program Design
The report also reveals significant shifts in destination preferences and program inclusions. With over 70% of respondents expressing a desire for new and unique destinations, there is growing interest in unexplored locales. Shorter-distance destinations and resort options—particularly all-inclusive properties—have gained popularity as companies seek to provide high-value experiences without the added logistical complexities of long-haul travel.
“Incentive travel buyers are increasingly looking for something new,” said Annette Gregg, CEO of SITE. “Resorts, especially all-inclusive and regular, have seen a rise in demand, and destinations that are closer to participant origins are becoming more attractive to organizations looking to optimize both experience and cost.”
Technological Innovations and Sustainability
In addition to the core trends of destination and budget planning, this year’s ITI sheds light on the role of emerging technologies, artificial intelligence (AI), and sustainability. With the rapid advancement of AI and digital tools, incentive travel planners are exploring new ways to enhance participant engagement and streamline logistics. At the same time, climate concerns and sustainability have become key considerations for organizations, influencing both destination choices and program design.
Key Insights Presented at IMEX America
The 2024 ITI was officially unveiled at IMEX America, one of the largest global trade shows for the meetings and events industry. A packed room of business events professionals attended the launch, which was co-moderated by IRF’s Stephanie Harris and SITE’s Pádraic Gilligan. Industry experts, including Maggie Worthington from Hilton, Jennifer Attersall from Destination Canada, and Justin Myers from Bishop McCann, provided valuable commentary on the findings.
The report’s findings provide crucial guidance for incentive travel planners as they navigate a dynamic industry landscape. While challenges such as cost increases and talent shortages loom, the continued growth in demand for incentive travel underscores its strategic importance in retaining talent and fostering organizational success. As companies look to the future, the 2024 ITI serves as a vital resource, offering a comprehensive view of the trends and challenges that will shape the next phase of incentive travel.
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