India Outbound Tourism Market

India Outbound Tourism Market Outlook-2022-2032

[150 Pages Report] India outbound tourism market is projected to reach US$ 15,163.4 Mn in 2022 and expand ta 11.4% CAGR between 2022 and 2032. The growth in the market is primarily attributed to the increasing desire of Indians, especially millennials, to visit international destinations before they turn 60. Further, growing opportunities for businesses and education in the U.S., Germany, the U.K., Japan, and Italy will propel the demand in the market.

Further, regions such as Europe and Latin America are improving their tourism to improve their businesses, which will aid the growth in India outbound tourism market over the forecast period (2022-2032). On the back of this, the sales in the market are projected to surpass US$ 44,799.9 Mn by the end of 2032.

According to the India Tourism Statistics 2022, outbound tourism in India rose to 7.29 Mn people in 2020, at a CAGR of 4.67% from 1.94 Mn registered in 1990. The country witnessed a negative growth of 72.9% due to the outbreak of COVID-19.

However, with the resumption of travel and tourism industry across the globe, governments across the globe are taking initiatives to boost the industry. This is expected to positively affect the growth in the India outbound tourism market.

As per the study, a significant number of people opt to visit the U.S, Canada, Saudi Arabia, Thailand, Australia, and Germany for education, business, and travel purposes. Hence, key players are eyeing these aforementioned markets to capitalize on the expansion of tourism industry over the forecast period.

The U.S. and Canada are expected to be the most desirable location for the education purposes. However, flight tickets to Germany, Thailand, Indonesia, and East Asian countries are inexpensive and is the most lucrative destinations for travelling and business.

Further, a considerable share of people also prefer Japan and Germany due to the numerous opportunities for jobs and education. Availability of remunerative job opportunities and pleasant condition in the countries is another factor propelling the growth in India outbound tourism market.

Apart from this, luxury tourism is one of the leading factor driving the demand in India outbound tourism market. Nearly 60% of Indians travel to Thailand and the U.S. for luxury high-end vacations due to the location, weather, and beautiful beaches.

Consequently, numerous tour companies are offering a wide range of offers and attractive services to provide personalized travel offers to tourist. They also provid luxury yachts, remote island, and spa services to woo the consumers. These factors are projected to propel the growth in India outbound tourism market.

2017-2021 India Outbound Tourism Market Outlook Compared To 2022-2032 Forecast

India is well-positioned to become one of the world's most lucrative outbound tourist markets thanks to its expanding economy, young population, and expanding middle class. 20% of Indian travelers who depart from their country go to Europe. 10% of travelers go to Australia and New Zealand, with the remainder going to South East Asia.

To facilitate business operations and promote the interests of Indian firms involved in outbound travel, the government may take into account measures like enhancing direct connections to well-known and emerging locations, allowing foreign cruise ships to operate in Indian waters, as well as making concerted and coordinated efforts on numerous fronts to boost the outbound tourism market.

By 2024, outbound travel from India will exceed, and the government may implement specific regulatory reforms to support this expanding sector.

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Comparative Analysis Of Adjacent Outbound Tourism Market

India Outbound Tourism Market:

Germany Outbound Tourism Market:

Hong Kong Outbound Tourism Market:

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Top Trends Spurring The Demand In India Outbound Tourism Market

Growing Trend of YOLO to Push Sales in India Outbound Tourism Market

With a 25% annual increase in traveler volume, India is one of the world's outbound marketplaces with the highest growth. Compared to densely populated nations such as China, India's population is youthful. The digital India initiative of the Modi administration has also had an impact on international travel.

Travel is now more attainable for India's developing middle class because of the country's strong GDP growth, thriving economy, and greater spending incomes. Further, with growing penetration of social media such as Instagram, YouTube, and others, consumers are becoming more passionate about travelling international on the back of rising YOLO (you only live once) trend.

Category-Wise Insights

Which Booking Channel is Preferred by India Outbound Tourism Market?

Growing Penetration of Online Booking Channels to Boost India Outbound Tourim Market

The results show that the online travel sector holds a sizable market share when it comes to booking channels. Internet use has surged dramatically worldwide over the last past-half decade. Customers may quickly learn more about several industries.

The service provider thinks there is a lot of potential for marketing and promotion on the internet because booking is so simple and convenient for the customer. The internet was recognized as a significant source of information by 40.5% of respondents from the internet and 21.4% from travel portals when it came to sorting out travel possibilities.

Which Tour Type will Remain Highly Sought-After in India Outbound Tourism Market?

Packaged Travelers to Generate Maximum Revenue in India Outbound Tourism Market

While package or group holidays are still trendy in India, independent travellers are more prevalent there. More than half of Indian visitors participate in group excursions, such as semi-independent tours, small-group outings with friends, and custom tours.

Families, senior folks, visitors from smaller cities, and tourists like taking traditional package excursions. Customized travel options, including exclusive tour groups with no outsiders, are also popular.

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Competitive Landscape

As per Future Market Insights (FMI), India's top international travel destination is the U.S. Indian tourists spend more than one-third of their overall international spending in the U.S. The U.S. is a well-liked vacation, business, and other travel destination.

Three Incredible Tourism Operators Thomas Cook, Cox and Kings, and Mercury Travels Offering Amazing Deals on India Outbound Tourism

With the help of India's outbound tourism, companies are likely to expand their customer base with attractive packages, customized tour trips, and services. This also allows them to diversify risks while exposing themselves to an untapped market.

By doing so, they can attract new customers who have never used their services. Offering services in a new country will allow them to gain more experience and knowledge about how different cultures operate and what they expect from a service provider.

Thomas Cook (India) Ltd. is a Mumbai-based Indian travel firm that offers services such as foreign exchange, international and domestic holidays, visas, passports, travel insurance, and MICE.

Thomas Cook India Limited, India's most prominent integrated travel services provider, and its Group Company, SOTC Travel Ltd., announced the launch of a series of unique GoAir offers: Companion Holidays, Full Holidays for Half the Price Free, up to 20% discount flights; free cancellation* is also offered.

It has been a long time since they have come up with any new offering in their tour packages. The focus has been on improving their existing products to give their customers an enhanced travel experience in India.

The company has recently launched an all-inclusive luxury package called The Grand Voyage, which targets people looking for a luxurious vacation experience with all amenities. This offer is available across various cities in India, starting from Mumbai to Delhi.

Another company that will dominate India's outbound tourism is Cox & Kings Ltd., a travel firm based in India. It is one of the oldest travel organizations, founded in 1758. The company is located in Mumbai. Cox and Kings have expanded their product offerings to include new experiences geared towards adventure seekers and an increased focus on offering services such as tours and shopping to appeal to a younger demographic.

One of their most notable new products is The Great Indian Rajasthan tour, which offers guests a chance to explore some of India's most famous landmarks. As a part of their Taste of India program, they also offer cooking classes for tourists who want to learn how to make authentic dishes from home.

Moreover, Mercury travels provides a comprehensive variety of vacation and travel services. From planning the most memorable vacations at the world's most magnificent hotels, booking tickets on the most popular airlines at the most affordable airfares, and organizing the most enriching business meetings, conferences, incentive programs, and events.

In 2019, numerous new travel packages were added by mercury travels, such as startacruise and other Indian cruises. Moreover, Mercury is also offering holiday packages for international destinations like Europe and America. It started with air tickets to international destinations too. They have a tie-up with Air France, which offers flights from Paris to New York at a meager cost.

Scope Of India Outbound Tourism Market Report

India Outbound Tourism Market By Category

By Purpose Type:

• Business
• Holiday/Leisure
• VFR & Others

By Booking Channel:

• Phone Booking
• Online Booking
• In Person Booking

By Tourist Type:

• Domestic
• International

By Tourism Type

• Cultural & Heritage Tourism
• Medical Tourism
• Eco/Sustainable Tourism
• Sports Tourism
• Wellness Tourism & Others

By Tour Type:

• Independent Traveller
• Package Traveller
• Tour Group

By Consumer Orientation:

• Men
• Women

By Age Group:

• 15-25 Years
• 26-35 Years
• 36-45 Years
• 46-55 Years
• 66-75 Years