Travel demand continues to surge, and booking travel through online travel agencies (OTAs) is rapidly becoming the preferred method for consumers. A new report from Phocuswright reveals that overall travel bookings will reach new heights in 2025, though growth will be more gradual compared to previous years.
According to the report, global travel bookings are expected to increase from $1.6 trillion in 2024 to $1.72 trillion in 2025. While this marks growth, it is a slower rate as the market matures. Additionally, online bookings are poised to make significant gains, projected to rise to $1.2 trillion by 2026, up from $1 trillion in 2024. By that time, nearly 65% of global travel bookings will be made online, the report forecasts.
“The steady increase in bookings across all areas signals a growing consumer preference for online travel services,” the report states. “This ongoing shift to digital platforms is driving travel providers to enhance their online booking experiences in order to stay competitive.”
In terms of regional contributions, North America leads the way, with $342 billion in online travel bookings in 2024. The Asia-Pacific (APAC) region follows closely with $285 billion in online bookings, while Europe rounds out the top three with $254 billion.
