Analytical Study of Outbound Travel in the United Kingdom from 2024 to 2034

The United Kingdom's outbound travel industry is projected to hit a value of US$ 90.46 billion by 2024. This momentum is expected to be sustained as it is rising at a CAGR of 8.60%, leading to an estimated valuation of US$ 206.43 billion by 2034.

A number of factors contribute to this positive outlook. The elevation in household incomes has resulted in increased disposable income. This allows individuals to allocate more funds towards leisure trips such as overseas holidays. In addition, the strong British pound sterling has further boosted the affordability of international traveling for United Kingdom residents through favorable exchange rates with weaker currency countries.

Attributes Details
Industry Size of the United Kingdom in 2024 US$ 90.46 billion
Expected Industry Size of United Kingdom by 2034 US$ 206.43 billion
Forecasted CAGR between 2024 to 2034 8.60%

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Key Highlights in the United Kingdom Outbound Travel Industry

  • Adventure travel experiences are increasingly becoming popular among individuals in this country. Hence a significant increase in demand from their adventurous population. This, therefore, creates an opportunity for hiking companies, cycling agencies, and other outdoor activity firms to target this expanding section of tourists.
  • Increasing focus on well-being has led to a demand for wellness travel experiences across various locations within the country, including spa retreats, yoga getaways, and highly reputed places.
  • Despite outbound travel remaining buoyant, there has also been a rise in the “staycations” trend that promotes domestic tourism in the country.

Key Trends Influencing Demand for Outbound Travel in the United Kingdom

  • Work vacations for the Nomadic Workforce

The increase in remote work culture in the United Kingdom has boosted the workcation trend, where professionals mix both working and traveling. Travel companies can target this section by providing co-working spaces, reliable Wi-Fi connectivity, and extended stay packages in attractive destinations. Therefore, these professionals can combine work and tourism.

  • Luxury Travel Evolution

Luxury travel is moving on from traditional luxury to more authentic experiences throughout the United Kingdom. These include private tours with local guides, access to exclusive cultural events, or bespoke itineraries that uncover hidden gems. To meet this demand, travel companies can provide personalized itineraries that mirror the unique interests and tastes of luxury tourists.

  • Festival Tourism Takes Flight

Music festivals, food fairs, and cultural fetes have become popular tourist highlights. Hence, British travelers are incorporating these events into their sojourns, thus fueling travel needs for festival-oriented packages and logistics around main occasions. They may also collaborate with festival organizers to offer all-inclusive deals, including ticketing, transport, or lodging services.

  • Wellness and Spa Retreats

Individuals in the United Kingdom are looking after their health, visiting places with famous Spas, wellness resorts, and natural healing therapies. Yoga, meditation, spa treatments, and healthy food are included in a travel package. The traveler can unwind and rejuvenate while trying to focus on his or her physical as well as mental well-being.

  • Culinary Experiences

Food tours, cooking classes, and local market visits have gained immense popularity among travelers over the past few years. These include dining experiences like eating at local establishments, learning how to cook from top chefs, and tasting traditional meals and ingredients.

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Sudip Saha

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Comparative View of Adjacent United Kingdom Outbound Travel Industry

The section offers a comparative analysis of the outbound travel industry in the United Kingdom, along with the outbound medical tourism industry and India outbound meetings, incentives to Europe industry. It highlights the forecasted CAGR from 2024 to 2034, as well as key trends and opportunities for each industry.

United Kingdom Outbound Travel Industry:

Attributes United Kingdom Outbound Travel Industry
Forecast CAGR between 2024 to 2034 8.60%
Key Trends Expanding industry reach through personalized travel experiences tailored to the diverse preferences and interests of travelers
Key Opportunities Rising demand for sustainable and eco-friendly travel options among conscious travelers seeking responsible tourism practices.

India Outbound Meetings, Incentives to Europe Industry:

Attributes India Outbound Meetings, Incentives to Europe Industry
Forecast CAGR between 2024 to 2034 5%
Key Trends Accessing high-quality and cost-effective healthcare services in international destinations, coupled with personalized patient care and wellness packages
Key Opportunities Growing popularity of advanced medical treatments, including cosmetic surgery, dental procedures, and elective surgeries, among international patients seeking affordable healthcare options abroad

Outbound Medical Tourism Industry:

Attributes Outbound Medical Tourism Industry
Forecast CAGR between 2024 to 2034 11.6%
Key Trends Offering customized corporate travel packages that combine business meetings with leisure activities, cultural experiences, and team-building events
Key Opportunities Increasing preference for experiential travel and unique destination experiences, driving demand for tailor-made incentive trips and corporate retreats to European countries

Category wise insights

The section offers an analysis of the dominant segments influencing the demand outlook for outbound travel in the United Kingdom. Notably, the day trips and local gateways segment takes the lead with a 44.70% share in 2024. Following this, the online booking channel is estimated to secure a share of 29.60% in 2024.

Day Trips & Local Getaways Predicted to Dominate the Industry

Dominant Segment by Type Day Trips & Local Gateways
Share held by the Segment in 2024 44.70%

Day trips and local getaways are likely to take 44.70% of the industry in 2024.

  • Short getaways cater to busy lives so that there is no need to give up precious time for traveling purposes.
  • Day trips and local adventures present a low-cost alternative compared with extended vacations.
  • Travelers are moving away from seeing typical tourist attractions towards feeling part of them, which is often obtained on neighboring routes.
  • The remote work trend allows professionals to explore nearby destinations while maintaining work commitments.

Online Booking Platforms to Secure a Share of 29.60% in 2024

Dominant Segment by Booking Channel Online Booking
Share held by the Segment in 2024 29.60%

Online booking platforms are likely to have 29.60% of the industry in 2024.

  • The online booking channel enables travelers to study, make comparisons, and place orders for travel arrangements through one single platform, hence reducing time wastage.
  • These online platforms give travelers access to a wide pool of options from different travel providers, thereby encouraging competition and, perhaps, lower prices.
  • This gives people the ability to know about available review ratings, as well as real-time information that would assist them while making choices on holiday destinations or when deciding where to stay during their trips.
  • Many such platforms offer perks like discounts and exclusive offers along with mobile app-based facilities that customers can use when they are on the move.

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Competitive Analysis of Outbound Travel in the United Kingdom

The outbound travel industry in the United Kingdom is a vibrant one, with many established players and new entrants competing against each other. Traditional travel agencies still have a strong presence, especially when it comes to complex itineraries or luxurious holidays.

They use their knowledge and relationships with customers to offer bespoke services and expert advice. Nevertheless, they are expected to embrace the online world and provide competitive rates as well.

Online travel agents (OTAs), such as Expedia and Booking.com, have emerged as key forces grabbing an increasing percentage of the industry. Their user-friendly portals, combined with a wide range of choices, including flights, hotels, and attractions, make them appealing to budget-conscious travelers who prefer convenience.

Specialized travel companies catering to specific interests like adventure travel, eco-tourism, or cultural immersion trips are gaining traction. These companies cater to a growing segment of travelers seeking unique and authentic experiences. Additionally, travel bloggers and social media influencers are emerging as powerful voices, influencing travel trends and potentially disrupting traditional marketing strategies.

Recent Developments Observed in the United Kingdom Outbound Travel Business

  • In 2020, Trailfinders won several awards for its customer service, quality, and value, such as the Which? Travel Brand of the Year, the British Travel Awards, and the Travel Weekly Globe Awards. It also launched a new loyalty scheme, Trailfinders Rewards, to offer benefits and discounts to its customers.
  • Saga Plc introduced new health and safety measures, such as mandatory vaccinations, testing, and insurance, for its travel customers. It had also launched a new river cruise ship, Spirit of the Rhine, in March 2021.
  • Lotus Group expanded its business by acquiring the online travel agency Travelbag from dnata, a subsidiary of Emirates Group. It also launched a new brand, Lotus Journeys, to offer luxury and experiential holidays to destinations such as Japan, India, and Vietnam.

Key Players Offering Outbound Travel Services in United Kingdom include

  • Expedia
  • Booking.com
  • Thomas Cook Group Plc
  • Trailfinders Group Limited
  • Saga Plc
  • Hogg Robinson Group Plc
  • Hays Travel Limited
  • The Globespan Group Plc
  • Lotus Group Ltd.

5 Strategies for United Kingdom’s Outbound Travel Companies to Thrive

  • Embrace Digital Shift

Online portals are becoming increasingly popular among customers making travel bookings. Businesses need websites that are easy to navigate and mobile apps that offer seamless booking experiences at competitive rates. Moreover, AI-powered chatbots for customer support and personalized recommendations can improve the digital experience even more.

  • Tailor Experiences, Cater to Niches

The introduction of new niche travel segments creates opportunities for companies. Firms can specialize in adventure tours, eco-tourism outings, and cultural immersion trips or target certain demographics, such as families, singles, or digital nomads. Creating unique local experiences with curated itineraries and partnerships with niche providers is likely to cultivate customer loyalty.

  • Become a Content Hub, Build Trust

Before booking, travelers often look for inspiration and information. This can be achieved by producing engaging online content - blogs, social media posts, travel guides - about destinations, local attractions, and cultural differences. Moreover, making practices involved in sustainable tourism more visible may draw more conscious tourists into the fold.

  • Offer Flexibility and Value

Flexible travel options reign dominance. Offering customizable itineraries, last-minute deals, and cancellation policies that cater to changing plans can attract a wider audience. Consider incorporating travel insurance and activity bookings within your packages for additional value and convenience.

  • Prioritize Customer Experience

Building strong customer relationships is key to success. Personalized service goes beyond just booking. Offer pre-departure support, in-destination assistance, and post-trip follow-ups to ensure a seamless travel experience. Leveraging technology like chatbots and live chat support can enhance responsiveness and address customer concerns efficiently. By focusing on building trust and exceeding expectations, companies can cultivate loyal customers who will return for future trips.

Key Coverage in the United Kingdom Outbound Travel Industry Report

  • United Kingdom Tourism Source Industry Key Destinations
  • Outbound Tourism by United Kingdom Residents
  • Outbound Travel Sector in the United Kingdom
  • Overseas Tourism Market in the United Kingdom
  • Travel & Tourism Sector in the United Kingdom

Key Segments

By Type:

  • Day Trips & Local Gateways
  • Museums
  • Pilgrimages
  • Religious and Heritage Tours
  • Others

By Traveler Type:

  • Independent Traveller
  • Tour Group
  • Package Traveller

By Booking Channel:

  • Online Booking
  • Offline Booking

By Age Group:

  • 0 to 20 Years
  • 21 to 40 Years
  • 41 to 60 Years
  • 60 Above

Frequently Asked Questions

What is the Industry Size for Outbound Travel in the United Kingdom?

The outbound travel industry in the United Kingdom is poised to reach US$ 90.46 billion in 2024.

What is the Future Outlook of Outbound Travel Adoption in the United Kingdom?

The industry is anticipated to surpass a valuation of US$ 206.43 billion by 2034.

What is the Anticipated Growth Rate of Outbound Travel in the United Kingdom?

The demand for outbound travel in the United Kingdom is likely to rise at a CAGR of 8.60% from 2024 to 2034.

Which Outbound Travel Type is Most Popular in the United Kingdom?

Day trips & local gateways are the leading outbound travel type in the industry.

Which Booking Channel Secures the Prime Share of the Industry in 2024?

The online booking channel is anticipated to lead the industry in 2024.

Table of Content

1. Executive Summary

    1.1. UK Market Outlook

    1.2. Demand-side Trends

    1.3. Supply-side Trends

    1.4. Technology Roadmap Analysis

    1.5. Analysis and Recommendations

2. Market Overview

    2.1. Market Coverage / Taxonomy

    2.2. Market Definition / Scope / Limitations

3. Market Background

    3.1. Market Dynamics

        3.1.1. Drivers

        3.1.2. Restraints

        3.1.3. Opportunity

        3.1.4. Trends

    3.2. Scenario Forecast

        3.2.1. Demand in Optimistic Scenario

        3.2.2. Demand in Likely Scenario

        3.2.3. Demand in Conservative Scenario

    3.3. Opportunity Map Analysis

    3.4. Investment Feasibility Matrix

    3.5. PESTLE and Porter’s Analysis

    3.6. Regulatory Landscape

        3.6.1. By Key Regions

        3.6.2. By Key Countries

    3.7. Regional Parent Market Outlook

4. Market Analysis 2019 to 2023 and Forecast, 2024 to 2034

    4.1. Historical Market Size Value (US$ Million) Analysis, 2019 to 2023

    4.2. Current and Future Market Size Value (US$ Million) Projections, 2024 to 2034

        4.2.1. Y-o-Y Growth Trend Analysis

        4.2.2. Absolute $ Opportunity Analysis

5. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Type

    5.1. Introduction / Key Findings

    5.2. Historical Market Size Value (US$ Million) Analysis By Type, 2019 to 2023

    5.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Type, 2024 to 2034

        5.3.1. Day Trips & Local Gateways

        5.3.2. Museums

        5.3.3. Pilgrimages

        5.3.4. Religious and Heritage Tours

        5.3.5. Others

    5.4. Y-o-Y Growth Trend Analysis By Type, 2019 to 2023

    5.5. Absolute $ Opportunity Analysis By Type, 2024 to 2034

6. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Traveler Type

    6.1. Introduction / Key Findings

    6.2. Historical Market Size Value (US$ Million) Analysis By Traveler Type, 2019 to 2023

    6.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Traveler Type, 2024 to 2034

        6.3.1. Independent Traveler

        6.3.2. Tour Group

        6.3.3. Package Traveller

    6.4. Y-o-Y Growth Trend Analysis By Traveler Type, 2019 to 2023

    6.5. Absolute $ Opportunity Analysis By Traveler Type, 2024 to 2034

7. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Booking Channel

    7.1. Introduction / Key Findings

    7.2. Historical Market Size Value (US$ Million) Analysis By Booking Channel, 2019 to 2023

    7.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Booking Channel, 2024 to 2034

        7.3.1. Online Booking

        7.3.2. Offline Booking

    7.4. Y-o-Y Growth Trend Analysis By Booking Channel, 2019 to 2023

    7.5. Absolute $ Opportunity Analysis By Booking Channel, 2024 to 2034

8. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Age Group

    8.1. Introduction / Key Findings

    8.2. Historical Market Size Value (US$ Million) Analysis By Age Group, 2019 to 2023

    8.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Age Group, 2024 to 2034

        8.3.1. 0 to 20 Years

        8.3.2. 21 to 40 Years

        8.3.3. 41 to 60 Years

        8.3.4. 60 Above

    8.4. Y-o-Y Growth Trend Analysis By Age Group, 2019 to 2023

    8.5. Absolute $ Opportunity Analysis By Age Group, 2024 to 2034

9. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region

    9.1. Introduction

    9.2. Historical Market Size Value (US$ Million) Analysis By Region, 2019 to 2023

    9.3. Current Market Size Value (US$ Million) Analysis and Forecast By Region, 2024 to 2034

        9.3.1. England

        9.3.2. Scotland

        9.3.3. Wales

        9.3.4. Northern Ireland

    9.4. Market Attractiveness Analysis By Region

10. England Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    10.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023

    10.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034

        10.2.1. By Type

        10.2.2. By Traveler Type

        10.2.3. By Booking Channel

        10.2.4. By Age Group

    10.3. Market Attractiveness Analysis

        10.3.1. By Type

        10.3.2. By Traveler Type

        10.3.3. By Booking Channel

        10.3.4. By Age Group

    10.4. Key Takeaways

11. Scotland Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    11.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023

    11.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034

        11.2.1. By Type

        11.2.2. By Traveler Type

        11.2.3. By Booking Channel

        11.2.4. By Age Group

    11.3. Market Attractiveness Analysis

        11.3.1. By Type

        11.3.2. By Traveler Type

        11.3.3. By Booking Channel

        11.3.4. By Age Group

    11.4. Key Takeaways

12. Wales Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    12.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023

    12.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034

        12.2.1. By Type

        12.2.2. By Traveler Type

        12.2.3. By Booking Channel

        12.2.4. By Age Group

    12.3. Market Attractiveness Analysis

        12.3.1. By Type

        12.3.2. By Traveler Type

        12.3.3. By Booking Channel

        12.3.4. By Age Group

    12.4. Key Takeaways

13. Northern Ireland Market Analysis 2019 to 2023 and Forecast 2024 to 2034

    13.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023

    13.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034

        13.2.1. By Type

        13.2.2. By Traveler Type

        13.2.3. By Booking Channel

        13.2.4. By Age Group

    13.3. Market Attractiveness Analysis

        13.3.1. By Type

        13.3.2. By Traveler Type

        13.3.3. By Booking Channel

        13.3.4. By Age Group

    13.4. Key Takeaways

14. Market Structure Analysis

    14.1. Competition Dashboard

    14.2. Competition Benchmarking

    14.3. Market Share Analysis of Top Players

        14.3.1. By Regional

        14.3.2. By Type

        14.3.3. By Traveler Type

        14.3.4. By Booking Channel

        14.3.5. By Age Group

15. Competition Analysis

    15.1. Competition Deep Dive

        15.1.1. Thomas Cook Group Plc

            15.1.1.1. Overview

            15.1.1.2. Product Portfolio

            15.1.1.3. Profitability by Market Segments

            15.1.1.4. Sales Footprint

            15.1.1.5. Strategy Overview

                15.1.1.5.1. Marketing Strategy

        15.1.2. Trailfinders Group Limited

            15.1.2.1. Overview

            15.1.2.2. Product Portfolio

            15.1.2.3. Profitability by Market Segments

            15.1.2.4. Sales Footprint

            15.1.2.5. Strategy Overview

                15.1.2.5.1. Marketing Strategy

        15.1.3. Saga Plc

            15.1.3.1. Overview

            15.1.3.2. Product Portfolio

            15.1.3.3. Profitability by Market Segments

            15.1.3.4. Sales Footprint

            15.1.3.5. Strategy Overview

                15.1.3.5.1. Marketing Strategy

        15.1.4. Hogg Robinson Group Plc

            15.1.4.1. Overview

            15.1.4.2. Product Portfolio

            15.1.4.3. Profitability by Market Segments

            15.1.4.4. Sales Footprint

            15.1.4.5. Strategy Overview

                15.1.4.5.1. Marketing Strategy

        15.1.5. Hays Travel Limited

            15.1.5.1. Overview

            15.1.5.2. Product Portfolio

            15.1.5.3. Profitability by Market Segments

            15.1.5.4. Sales Footprint

            15.1.5.5. Strategy Overview

                15.1.5.5.1. Marketing Strategy

        15.1.6. The Globespan Group Plc

            15.1.6.1. Overview

            15.1.6.2. Product Portfolio

            15.1.6.3. Profitability by Market Segments

            15.1.6.4. Sales Footprint

            15.1.6.5. Strategy Overview

                15.1.6.5.1. Marketing Strategy

        15.1.7. Lotus Group Ltd.

            15.1.7.1. Overview

            15.1.7.2. Product Portfolio

            15.1.7.3. Profitability by Market Segments

            15.1.7.4. Sales Footprint

            15.1.7.5. Strategy Overview

                15.1.7.5.1. Marketing Strategy

16. Assumptions & Acronyms Used

17. Research Methodology

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Outbound Travel Industry Analysis in the United Kingdom