Global travel experiences market set to reach $342bn by 2029, says new report

Arival and Phocuswright have released The Outlook for Travel Experiences 2019–2029, described as the most comprehensive global market-sizing study for tours, activities, and attractions since before the pandemic. The research reveals that the experiences sector has fully rebounded, growing faster than any other travel segment, reaching US$271 billion in 2025 and projected to rise to $342 billion by 2029.

The report combines operator data, global traveller research, economic indicators, and a supply-side model, providing an authoritative view of the sector’s scale. It comes amid renewed investor interest, with major online travel agents preparing initial public offerings and global platforms expanding aggressively into experiences.

“For years, experiences were called travel’s ‘last untapped opportunity’, but this report marks a turning point,” said Douglas Quinby, CEO of Arival. “The sector has not only recovered – it is now the fastest-growing segment of travel, reshaping how people choose where to go and what to do. Travellers are prioritising experiences like never before, and that shift is powering a global market that’s expanding at remarkable speed.”

Pete Comeau, Managing Director of Phocuswright, added: “Experiences have moved to the centre of the travel decision-making process … The sector’s rapid digital acceleration, combined with emerging AI-driven discovery and booking tools, signals a major opportunity for platforms, operators, and investors.”

The report also highlights challenges, including fragmentation, uneven tech adoption, and dominance of offline sales. Yet as digital tools and artificial intelligence (AI) advance, the online experiences market is poised for dramatic growth.

Global tourism hits 1.52 billion arrivals in 2025, with Africa leading growth, according to the latest World Tourism Barometer from the UN World Tourism Organization.