Behind steady travel rates, a quiet shift is underway: Consumers are spending more cautiously and rethinking what matters most. Shifting priorities signal the start of a new spending reality.
According to Phocuswright’s latest travel research report U.S. Consumer Travel Report 2025, average annual spend has declined, while the number of trips remains unchanged. In the new data, travelers indicated they would consider road trips in lieu of air travel should airfare become too expensive, or not travel at all to spend on other goods and services.
The report also reveals that there are slightly more younger travelers entering the market and older, more seasoned travelers are beginning to exit. These younger travelers are more cost-conscious, leveraging online travel agencies (OTAs) more for their price comparison capabilities.
While major trip components continue to be booked at similar rates, the way travelers research, plan and choose is shifting beneath the surface. Travelers report spending significant time researching trips, but general search usage is declining, likely reflecting the rise of artificial intelligence-powered search tools. Search behaviors, booking channels and even lodging preferences point to a more deliberate and price-conscious traveler.
Indirect booking channels such as OTAs and intermediaries gained share, suggesting travelers are seeking value and comparison options. Subtle shifts in lodging and destination choices also hint at growing economic caution, with choices driven by price and value.
Travel remains resilient, but the forces shaping it are shifting fast. Consumers are weighing trade-offs, embracing smarter tools and demanding value like never before.
Phocuswright’s U.S. Consumer Travel Report 2025
Based on a comprehensive survey of U.S. leisure travelers, this report provides a range of data and analysis on the American consumer travel market, as well as a look at what these trends look like over time.