Travel is more accessible now than ever. Travellers have access to more information, lower airfares, accommodation options to suit every budget; and millennials are taking full advantage. So much so, it is changing the way they define their value and identity. Enter the ‘Experience Economy’.
According to Vice: “by 2020 over 320 million international trips per year are expected to come from youth travellers – a huge increase of 47% compared to 2013.”
For Millennials, travel is seen as a necessary asset to build a rich life. 60% of millennials say that their experiences represent who they are, not the objects they possess. They focus their spending power on experiences, rather than things, creating this experience economy.
Motivation to Travel
When it comes to travel, this mindset is reflected in how and where they spend their time. Millennial’s are motivated to travel so they can:
- Explore and learn about different places
- Feel that sense of adventure that comes from visiting a new place
- Learn about a different culture
- Meet and engage with different people
- Relax and take a break from the obligations of everyday life
What should the industry be doing to cater for this change?
A key thing to remember is that the change we see in millennial travel trends has a strong halo effect into both the older generations and the younger ones1. This sense of fulfillment from experiences, rather than ‘things’ impacts how the industry should build their products.
It means the story is now important. Millennials consume content at an impressive rate and this is a key component of how they choose their next experience. Businesses won’t be able to sell to this generation by listing the “things” it includes. For example:
Tour of India
- 8 nights in four star accommodation across three cities
- All transfers included
- Dinner each night included
vs
Discover India like a local
- Unwind with new friends and discover the local way of life, staying in luxury homestays in Mumbai, Chennai and Delhi.
- Your local guide, who grew up a stone’s throw from the homestay in Mumbai will introduce you to their local haunts, introduce you to their way of life and show you around the city
- Every evening mingle with the locals, learn snippets of new languages and dine together on the local cuisine.
Experience wins every time.
1 The Future of Travel – Vice and Translation.com