Gen Z Is Changing the Way We Travel
For Gen Z, travel is becoming more than a break from everyday life. It is increasingly viewed as a priority, a source of memorable experiences, and even a way to shape personal identity. Yet while younger travelers are eager to explore the world, their enthusiasm is balanced by tighter budgets and a growing demand for value.
According to Bank of America Institute data, around 93% of Gen Z respondents either had a summer trip planned or intended to take one in 2026. Gen Z travel spending also increased by approximately 8.5% year over year through June, outpacing travel-related spending growth among other generations.
However, higher spending does not necessarily mean more travel. Bank of America data shows that hotel transaction growth has stalled, suggesting that rising prices are contributing significantly to the increase in travel spending.
Gen Z Wants More Than a Destination
Travel is becoming a fast-moving cultural category for Gen Z, driven by social media, creators, and entertainment. Destinations can quickly gain popularity as travelers discover them through digital content and popular television shows.
But the bigger shift is what younger travelers expect from their trips.
Rather than simply visiting a destination and saying, “I went there,” Gen Z increasingly values emotional and transformative experiences. Local food, hands-on activities, adventure, and unique experiences can be more valuable than traditional sightseeing.
This presents an opportunity for hotels, airlines, and travel platforms to market the experiences surrounding their products. Local guides, partnerships with businesses and attractions, bookable activities, and curated itineraries can be just as important as promoting hotel amenities or destinations themselves.
Reviews Matter More Than Brand Legacy
Gen Z is also approaching brand loyalty differently.
While established brands remain important, younger travelers increasingly rely on ratings, reviews, creators, algorithms, and AI-powered recommendations when choosing where to stay or what to book.
For this generation, loyalty is less about a brand's history and more about its ability to consistently demonstrate value.
That means travel companies cannot assume that repeat customers will remain loyal indefinitely. Strong reviews, social proof, competitive offers, and a strong digital presence can all influence the next booking decision.
For travel marketers, managing reviews and ensuring visibility across search engines, social media, creator platforms, review sites, and AI-powered recommendation tools is becoming increasingly important.
Travel Dreams Still Have to Fit the Budget
Gen Z's enthusiasm for travel exists alongside significant financial constraints. Bank of America Institute reports that Gen Z has the lowest median savings-to-spending ratio of any generation, even as discretionary spending remains relatively resilient.
Some young consumers are even taking on additional work to fund their travel and entertainment priorities. Around 27% of Gen Z respondents said they were already taking on, or planned to take on, extra work or a side gig to help pay for travel and live entertainment.
For marketers, the message is clear: Gen Z may prioritize travel, but that does not mean they can spend without limits.
Travel brands can respond by offering shorter trips, off-peak options, less expensive destinations, and flexible experiences that allow travelers to decide where they want to spend more.
Ultimately, Gen Z may be searching for travel experiences that change how they see themselves and the world. But the final booking decision still comes down to a practical question: Is this experience worth the price?
Sources: eMarketer