As per a Bain and Company Report, Indian travellers took approximately 2 billion domestic and international trips in 2018, spending nearly $94 billion on transportation, lodging and consumption during their travels. While business travellers spent $37 billion and leisure travellers spent $57 billion in 2018. As per the insight, International travel alone accounted for 26 million trips and spending of $22 billion.
India’s economy is one of fastest growing in the world and alongwith the economy, the Indian Travel and Tourism Industry has also grown significantly in the past couple of years. The Travel and Tourism industry is the seventh highest contributor to GDP and has increased from 6.7% in 2013 to 9.4%, nearing developed market levels such as the UK’s 10.5%.
The market is expected by grow by 13% CAGR to $136 billion in 2021.
Online channels are influencing traveller’s decisions as much as offline channels. The report indicated that nearly $24 billion in incremental bookings will be made online by 2021, as the share of online travel bookings increases from 25% in 2018 to 35% in 2021 and as Internet penetration increases from 33% in 2018 to 50% in 2021.