Holiday makers cut costs rather than cancel trips in 2026 – Skift Research State of Travel 2026 report

Skift Research’s State of Travel 2026 report values the global travel industry at $11 trillion.
The report projects 5pc baseline revenue growth for 2026.
52pc of surveyed travellers choose to alter plans rather than cancel when facing higher costs.
37pc look for cheaper flights, 30pc choose budget-friendlier destinations, and 30pc shorten trip durations.
The Travel Stack framework examines Consumers, Commerce, Operations, and Experiences.

Rising travel costs have been leading consumers to adjust spending rather than abandon holidays, according to Skift Research’s State of Travel 2026 report, and price pressures are influencing behaviour across major markets as travellers seek ways to reduce expenses while still taking trips. Skift Research’s The State of Travel 2026 report values the global travel industry at $11 trillion and introduces a Travel Stack framework examining four universal layers: Consumers, Commerce, Operations, and Experiences. The report projects an overall 5pc baseline revenue growth for 2026, driven by strong consumer resilience despite rising prices.

Travel remains the top discretionary spending priority for consumers globally if money is left over after essential bills. Facing higher costs, 52pc of surveyed travellers choose to alter plans rather than cancel. To offset price pressures, 37pc look for cheaper flights, 30pc choose budget-friendlier destinations, and 30pc shorten trip durations. The report replaces traditional siloed sector analysis with four universal lenses: who travels (Consumers), how they book (Commerce), what is offered (Operations), and why they go (Experiences).

The Travel Stack framework provides a comprehensive view of the global travel industry’s structure and dynamics. The report’s findings indicate that consumer demand remains resilient despite economic pressures, with travellers demonstrating flexibility in their approach to holiday planning. Cost-cutting measures have become increasingly common as travellers seek to maintain their travel habits while managing household budgets.

Skift Research shared: “Travel remains the top discretionary spending priority for consumers globally if money is left over after essential bills.”