AAA’s 2025 Holiday Travel Forecast: 122.4 Million Americans Will Hit the Roads—What It Means for Airlines and Hotels!

Published on December 12, 2025

AAA’s 2025 Holiday Travel Forecast: 122.4 Million Americans Will Hit the Roads—What It Means for Airlines and Hotels! With the 2025 holiday season approaching, AAA is projecting a record-breaking number of travelers—122.4 million Americans—hitting the roads, skies, and rails between December 20 and January 1. This marks a 2.2% increase from the previous year, signaling a strong recovery for the travel industry. This surge in travel is set to impact the airline and hospitality industries, as airlines prepare for high demand, and hotels brace for a flood of bookings. Whether you’re flying to a tropical destination or driving to visit family, the holiday season promises both excitement and challenges for travelers. With record-setting travel volumes, airlines like United Airlines and Delta, along with hotel chains such as Hilton and Marriott, are making adjustments to handle the increase. From soaring airfares to higher hotel rates, understanding how this travel boom will affect your plans is essential to making the most of your holiday journey.

AAA’s 2025 Holiday Travel Forecast: 122.4 Million Americans Will Hit the Roads—What It Means for Airlines and Hotels!

As the holiday season approaches, AAA is projecting an all-time high in U.S. holiday travel for 2025. According to their forecast, 122.4 million Americans are expected to travel 50 miles or more from their homes during the year-end period, from December 20, 2025, to January 1, 2026. This is a 2.2% increase over the previous year and marks a record in travel numbers. With so many travelers on the move, the impact on both the airline and hospitality industries will be profound.

In this article, we will explore what this surge in travel means for travelers, airlines, and hotels. We’ll break down the details of how airlines and hotels are preparing for this massive increase in demand, what travelers can expect, and provide some useful travel tips to help you navigate the busiest travel season of the year.

Record-Breaking Holiday Travel: 122.4 Million Americans on the Move

With 122.4 million Americans expected to hit the roads, skies, and railways this holiday season, this will be the busiest year-end travel period on record. The forecast represents a 2.2% increase compared to 2024 and signals the ongoing rebound of the travel industry post-pandemic. While travel numbers may have dipped during the early pandemic years, they have steadily risen since 2022, reflecting the resilience of the travel sector and the pent-up demand for vacations and family reunions.

A major driver of this surge is the growing appeal of road trips. With lower gas prices this year compared to last, many Americans are choosing to take their cars for long-haul trips. AAA estimates that 109.5 million Americans will travel by car, which constitutes 89% of all travelers. Lower fuel costs, combined with the flexibility that road trips offer, make them a popular choice. For travelers looking to avoid crowded airports or high airfares, driving is a cost-effective alternative.

What This Means for Airlines: A Busy Season Ahead

For the airline industry, this increase in holiday travel means a record demand for flights. AAA’s projections show that over 8.03 million Americans will board domestic flights this holiday season, making it the first time in history that domestic air travel exceeds 8 million passengers during the year-end period.

This increase in demand for flights is expected to push prices higher. According to AAA data, round-trip domestic airfares will be about 7% more expensive this year compared to last. The average cost for a domestic round-trip flight is expected to be nearly $900. Travelers can expect higher airfares, particularly during peak travel days like the days leading up to Christmas. If you’re hoping to save on flight costs, consider flying on Christmas Day or New Year’s Day, when airfares are typically lower.

As a result of this record-breaking travel volume, airlines such as Delta, American Airlines, and United are bracing for one of the busiest travel seasons in years. These major carriers are expected to operate at near-full capacity, with many flights already booked well in advance. Additionally, airports will be busier than ever, with increased security lines and wait times during the busiest travel days of the season.

Airlines Preparing for Record Demand

To handle this unprecedented surge in demand, major airlines have been adjusting their operations to accommodate the additional passengers. United Airlines, for example, has been increasing flight capacity by adding extra flights on its most popular routes, including those to sunny destinations like Orlando and Miami, which are forecasted to be the top domestic destinations this holiday season.

American Airlines has also been working to enhance its in-flight services, with more direct flights and the introduction of premium services to cater to families, business travelers, and international tourists. To manage the pressure on flights, airlines have made significant improvements to check-in processes and boarding procedures, aiming to reduce wait times and improve the passenger experience.

If you’re flying with one of these carriers, here are some flight tips to help ensure a smoother journey:

1. Book Early: Flights are filling up fast. If you haven’t booked your tickets yet, do so now to secure your seat.
2. Check Your Flight Status: Given the surge in air travel, delays and cancellations are a possibility. Keep an eye on your flight’s status.
3. Arrive Early: Airport security will be busier than ever, especially around December 20-23 and December 26-29. Arrive at least 2 hours before your flight departs.
4. Pack Light: To avoid long wait times at check-in and baggage claim, try to travel with just a carry-on.

What This Means for the Hospitality Industry: Hotels Bracing for Record Bookings

As millions of Americans make their way across the country this holiday season, the hospitality industry is also gearing up for a record-breaking year. Hilton, Marriott, and Hyatt, among the largest hotel chains, are preparing for an influx of travelers. Warm weather destinations like Orlando, Hawaii, and Southern California are expected to see the most bookings, as people seek tropical vacations and family getaways. Similarly, cities like New York and Las Vegas are anticipating a large number of travelers for holiday events, shopping, and shows.

With travel demand at an all-time high, hotel prices are expected to rise. On average, travelers will find hotel rates 5-10% higher than last year. However, booking in advance can help you secure a better rate. Be sure to check for exclusive AAA member discounts at many top-rated hotels to get the best value for your holiday stay.

Preparing for Full Hotels: Tips for Holiday Travelers

To make the most of your holiday stay and avoid last-minute hassle, here are some travel tips for booking hotels:

1. Book in Advance: Hotels will be filling up quickly, so make your reservations as soon as possible, especially if you’re traveling during peak periods.
2. Look for Deals: Many hotels offer special packages or discounts, especially for AAA members, including free breakfast or parking.
3. Consider Alternative Accommodations: If traditional hotels are fully booked, look into options like Airbnb or vacation rentals, which are gaining popularity due to their flexibility and home-like atmosphere.
4. Check for Resort Fees: Many hotels, especially in high-demand areas, charge additional resort fees. Make sure to factor these into your total booking cost.

Top Destinations for 2025 Holiday Travelers

AAA has revealed the top domestic and international destinations for the holiday season, and it’s no surprise that Florida and California top the list. Cities like Orlando, Miami, Anaheim, and Honolulu are all expected to be hotspots, thanks to their warm weather, family-friendly attractions, and vibrant holiday events. These destinations are a favorite for travelers seeking both relaxation and adventure during the holiday period.

For international travel, destinations like Cancun, Punta Cana, and Cozumel are among the most popular choices for U.S. travelers looking to escape to the sun. Europe also remains a prime destination, with cities like Rome and Paris attracting holiday visitors seeking cultural experiences, shopping, and holiday markets.

If you’re planning to visit any of these destinations, consider the following tips:

1. Book Activities in Advance: Popular attractions and tours fill up quickly, so it’s important to book in advance, especially for holiday-themed events.
2. Check Passport Expiry: If you’re traveling internationally, make sure your passport is up to date. Many countries require your passport to be valid for at least six months beyond your planned travel dates.
3. Travel Insurance: With the potential for flight delays, cancellations, or unexpected disruptions, consider purchasing travel insurance to cover unforeseen expenses.

Travel Trends and Tips for the 2025 Holiday Season

As the travel landscape evolves, so do the trends that shape how people spend their holidays. One of the biggest trends this year is the shift towards experiential travel. More people are opting for unique, local experiences over traditional sightseeing. From culinary tours to cultural immersions, these kinds of experiences allow travelers to connect with destinations on a deeper level.

Another trend gaining popularity is multigenerational travel, with families booking extended vacations to spend quality time together. Hotels and airlines are increasingly accommodating these larger family groups by offering family suites, group discounts, and flexible flight schedules.

For the 2025 holiday season, travelers can expect personalized experiences that cater to specific interests. Whether it’s wellness retreats, adventure tourism, or luxury getaways, the travel industry is ready to offer something for everyone.

A Record-Breaking Holiday Travel Season

With 122.4 million Americans projected to travel this holiday season, the 2025 year-end travel period is set to break records. Both airlines and hotels are preparing for the surge in demand, ensuring travelers will have access to the best services, destinations, and experiences. While higher airfares and hotel prices are expected, booking early and staying informed about flight statuses and hotel availability will help ensure that your holiday travels go smoothly.

AAA’s 2025 Holiday Travel Forecast: 122.4 Million Americans Will Hit the Roads—What It Means for Airlines and Hotels! Prepare for the busiest holiday travel season ever! With millions on the move, find out how airlines and hotels are bracing for the massive surge and what it means for your trip!

Whether you’re hitting the road, flying to a sunny destination, or exploring new cities, the holiday season promises to be an exciting time for travelers. Make sure you plan ahead, follow these tips, and get ready to experience an unforgettable holiday season.