ATLANTA—Millennials are more likely than older Americans to take a vacation this summer than last summer, according to a new survey from Travelport that is based on household finances. The 2018 Travelport U.S. Vacation Survey of approximately 1,500 U.S. residents reveals Millennials (ages 18-34) are more likely to increase their vacation spending this year than any other age group, with one out of three Millennials willing to spend $5,000 or more on their vacations.
Overall, 38 percent of Americans are more likely to take a vacation this summer compared to last summer. Millennials’ optimism about taking vacations, however, is not fully shared by Americans aged 35 and up—56 percent of Millennials plan to travel more this summer compared to summer 2017 in contrast with 35 percent of Gen X respondents (ages 35-54) and 22 percent of Baby Boomers (ages 55 and up).
Millennials are as bullish about taking vacations in the year ahead as they are on their 2018 summer vacations. They plan to vacation more in the next 12 months compared to the 12 months prior, with 55 percent of Millennials planning to increase their vacations, in contrast to the more cautious future vacation planning of Gen Xers (31 percent) and Baby Boomers (20 percent).
Nearly half of respondents have traveled for business/leisure within the last year, with Millennials having traveled the most in the last 12 months (51 percent) compared to Gen Xers and Baby Boomers (each at 48 percent).
“Travelport’s survey is good news for the U.S. travel industry, as Americans are cautiously optimistic about taking vacations this summer and next year,” Erika Moore, Travelport’s vice president and general manager for the United States, says. “The key is offering consumers, regardless of their budgets, the best air, hotel, and other vacation deals, which requires travel providers and travel sellers to deliver a personalized, seamless, and stress-free experience at each step of the vacation journey.”
Gender Differences in Spending
While the biggest group (42 percent) of all survey respondents plan to spend between $1,001 to $5,000 more while on vacation in the next 12 months compared to the past 12 months, males are significantly more likely to splurge than females, with 37 percent of males planning to spend more than $5,000 in the next 12 months, compared to only 15 percent of female respondents.
Education and Income Means More Vacations
Americans with postgraduate degrees and with household incomes above $200,000 are the most likely demographic to take a vacation this summer than last summer. And the same individuals also are most likely to spend more than $5,000 on vacations in the next 12 months compared to the previous 12 months (44 percent and 68 percent, respectively).
Booking Trends
For hotel bookings, Millennials are the most likely to use traditional offline travel agencies (23 percent), compared to Gen Xers and Baby Boomers (7 percent and 6 percent, respectively). Millennials are also more likely to use a travel agency to book travel if a mobile app with customized notifications is available. While 44 percent of Millennials are willing to make the switch, only 23 percent of Gen X respondents and an even smaller proportion (5 percent) of Baby Boomers agree.
