The outbound family travel market will grow at a Compound Annual Growth Rate (CAGR) of +4.6% from 300 million trips in 2017 to 376 million in 2022, according to new research from GlobalData, a leading data and analytics company. The company’s latest report, ‘Key Trends in Family Travel’ highlights that family travel accounts for 30.8% of outbound tourism and will retain its hold through the forecast period, largely driven by the booming Chinese market.
- Family travel accounts for almost one in three outbound tourism trips and remains a key target market for the industry;
- The outbound family travel market will grow at a CAGR of +4.6% from 300 million trips in 2017 to 376 million in 2022, according to a study from data and analytics company, GlobalData;
- Its ‘Key Trends in Family Travel’ research suggests the family travel segment will retain its hold through the forecast period, largely driven by the booming Chinese market.
- There are vast geographical variations – family travel accounts for over 70% of outbound trips in Saudi Arabia, more than ten times the rate seen in Argentina.
With hectic schedules, it is becoming increasingly difficult for families to spend quality time together and bond and with educational and work needs the time for families to spend away from the stresses and strains of life are limited. With growing disposable income and a maturing consumer market, families are seemingly looking more for experiences rather than tangible possessions and therefore family travel has immense potential for the travel sector.
In its new ‘Key Trends in Family Travel’ research, GlobalData provides in-depth analysis of the key family travel markets globally and the trends that are shaping the future of this niche. Its consumer survey highlights that parents are likely to favour sun and beach (54%) holidays in the coming year, followed by visiting friends or family (34%) and city breaks (28%).
But it is a breakdown of the family travel unit by country and region that offers some real insights into travel habits. For example, in Saudi Arabia family travel comprised 73% of their total outbound trips, followed by China (53%) and New Zealand (48%).
Meanwhile, at the other end of the scale, Argentinian family travel accounted for only 6% of total outbound trips in 2017. Argentinians value family, but prefer to travel abroad either solo or in couples to limit household spending due to the depreciation of the Argentine peso against the major currencies such as the US dollar, Brazilian real, and the euro.
“As disposable income grows and emerging markets open their borders, we will see trends like multi-generational travel drive trips forward, particularly from hugely valuable source markets like China, and this represents a massive opportunity for the industry if it is able to tap into the specific needs of this complex cohort,” says Sara Grady, head of travel and tourism for GlobalData.
The report highlights that the family travel market is characterised by increasingly sophisticated and disparate traveller demands and suggests that the industry now needs to better cater to the wants and needs of many different age groups, and consumers who are more than ever, used to having tailored products and services available to them. From the provision of more transformational activities to the seamless availability of technology, all elements must be considered with greater focus, it says.
“Family travel is moving beyond the traditional sun and beach getaway to offer families some much needed time to reconnect with each other and create lasting memories, increasingly in unique destinations, or on niche holidays, from cultural trips to activity-filled adventures. It has never been so essential to offer travellers something beyond the norm to stand out from the crowd and that caters to their specific demands, irrespective of where they are from,” adds Ms Grady.