Summary:

According to the India Holiday Report 2025 by Thomas Cook India and SOTC Travel, Tier II cities are driving significant growth in the travel sector, with residents exploring both domestic and international destinations. This surge is fueled by increased disposable income and improved connectivity. Holiday spending has risen by 20–50% in recent years. While Tier I cities continue to lead in travel volume, Tier II cities are experiencing much faster growth across all travel segments.

Mr. Abraham Alapatt, President and Group Head of Thomas Cook India and SOTC Travel, projected a 4% year-on-year increase in summer travel spending in 2025. Travellers are increasingly seeking enhanced experiences, with vacations becoming a year-round activity due to the growing popularity of both short and extended getaways. Social media and OTT content now influence 60% of travel decisions, surpassing the impact of traditional cinema. Emerging travel segments include mother-daughter duos, cousin-sibling groups, senior female solo travellers, and empty nesters. Cruise holidays are the most preferred (45%), followed by road trips (35%) and scenic train journeys (20%).

Source: IBEF

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