For Gen Zers and millennials, travel is a top priority and with their growing purchasing power, they will soon be shaping the future of travel.
In Asia Pacific excluding China (APEC), most Gen Zers and millennials plan to travel at least twice a year. They view it as an essential part of their work-life balance so most are willing to cut back on their daily expenses to save and spend more on holiday trips.
As an emerging generation of travel-focused, value-driven “savvy explorers,” they seek to maximize their travel fund and gain unique travel experiences. They simplify travel details and arrangements by choosing a comprehensive loyalty travel program. These are some of the key insights from the Marriott Bonvoy survey conducted with 1,000 respondents across ten markets in APEC to gain a better understanding of the shifting attitudes of Gen Zers and millennials and their travel behaviors. Marriott Bonvoy is the award-winning travel program of Marriott International.
The term “savvy explorers” refers to Gen Zers and millennials travelers who continue to prioritize travel while seeking better value to their planned trips through curated accommodations, unique experiences, and new destinations.
“Survey results suggest that Gen Zers and millennials in APEC are purposefully strategizing how they can channel value from their everyday spending toward rewarding travel experiences. They also prefer to be part of only one all-encompassing loyalty travel program that fulfills their needs. To this end, Marriott Bonvoy – which gives members access to over 30 brands in 10,000 destinations – is well positioned to deliver greater value and unlock more experiences for them,” said John Toomey, Marriott International’s chief sales and marketing officer, APEC.
“As a testament to the program’s appeal, we have seen Marriott Bonvoy’s membership base in APEC grow since 2019. What’s more encouraging is that our members are highly active. They earned more points in 2023 compared to 2022, and are putting their points to good use, with more points redemption recorded in the same period,” said Toomey.
"Gen Zers and millennials account for half of the global population and half of the travelers today. And they will soon reach peak economic power. With their fast-growing spending powers outpacing all other generations, they are projected to account for more than half of consumer spending in about 10 years. We would soon shape the future of travel. For our hotels in the region, this presents an enormous opportunity,” added Toomey.
The study also showed that Gen Zers and millennials not only go out to maximize their travel fund but also aspire to discover unique travel experiences along the way, resulting in notable trends specific to these generations of travelers.
Hotels as travel destinations
For Gen Zers and millennials, their trips start as soon as they check in to their hotels. They view hotels as destinations that make up for good holiday experiences that go beyond providing good accommodation. They expect their hotels to provide curated local programming and experiences. They also prefer to stay at hotels with designs and activities reflective of their destination.
According to the study, despite a desire to maximize their travel budgets whenever they can, APEC’s Gen Zers and millennials are willing to invest extra travel funds to splurge on hotel room offerings and location. While amenities remain key considerations, they also value a seamless travel experience, with mobile-first customer service, reliable WiFi, and flexible check-out outpacing traditional benefits like lounge access.
Intra-regional travel
While Gen Zers and millennials like to travel abroad, they remain committed to destinations closer to home. The study also shows that more than half of the respondents are choosing destinations within the region that provide a similar experience. These so-called “destination dupes” are gaining popularity among Gen Zers and millennials because these trips are easily accessible, allow them to stretch their travel expenses, and discover new experiences.
As a reflection of robust intra-regional travel demand in 2023, Marriott International has more bookings in APEC coming from within the region.
Corporate backpacking
Out to get more from their business trips, Gen Zers and millennials are also taking 'bleisure' travel up a notch by taking the opportunity to embark on multi-destination tours. In addition to extending their travel plans, they tend to explore nearby cities and countries as part of their post-work itinerary.
Off-peak travel
With careful planning, Gen Zers and millennials maximize their trip experience by traveling during off-peak seasons. This way they beat the crowds, get more out of their trips, and feel more relaxed and rejuvenated after their holiday travels.