Frontpage Insights: Millennials spend Rs 5 lakh annually on travel, 28-43 year olds spend twice as much as other generations

In the last two or three years, the cost of travel by the people of the country has increased a lot. Also, Millennials i.e. 28 to 43 year olds born between 1980 to 1996 are choosing to spend the most. According to Collinson International's 2024 Travel Benefits and Customer Engagement Report, Millennials in the country spend more than 5 lakh annually on travel. This cost is more than double compared to other firms. According to the report, people of Generation X (born between 1965 and 1980) spend 2.57 lakh rupees ($3,059) annually. Generation Z, i.e. people born between 1997 and 2012, spend 2.2 lakh rupees ($2,622) annually on travel. Whereas, Boomers (born between 1946 to 1964) spend 2.18 lakh ($2600) annually on travel. Indians spend second most on travel: According to a report by Collinson International, Indian spending on travel is the second largest expenditure after everyday expenses such as groceries and retail purchases. They spend more than one-third of their total annual expenditure on travelling. 34% of Millennials' annual spending goes to travel. 90% Choose Airport Lounge Access 90% of travelers surveyed said airport lounge access is their number one priority for any credit card with an annual fee. 89% said they would consider switching to another card if they didn't get lounge access. 93% said they are willing to use their credit card for both everyday purchases and travel expenses if the card offers travel-related rewards or benefits. According to the report, the travel industry's contribution to world GDP this year is expected to grow by 12.1% year-on-year to a record Rs 924 lakh crore. Which will be 10% of world GDP. Pre-Covid levels will be 7.5% higher than the old record in 2019. People are considering travel as an important element of their lifestyle and budget. Brands linked to the financial services sector can benefit from the growth in the number of Indian travelers, coupled with increased travel by millennials, indicating growing opportunities in the market. Brands especially associated with the financial services sector can benefit from it. > Sumit Prakash, Country Director, India and South Asia, Collinson International

Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).