France and Italy Lead as Global Luxury Travel Market Heads Past 391 billion Dollar by 2028

Published on October 7, 2025

When Sophie Dubois boarded a private sleeper train from Paris to the French Riviera last summer, she said it felt like buying a story, not a souvenir. Across France, Italy, and other leading luxury travel destinations, travelers like Sophie now prefer curated adventures over shopping bags. According to data from tourism boards and government reports, the global luxury travel market is expected to reach USD 391 billion by 2028, up from less than USD 240 billion in 2023. This surge shows that modern travelers are shifting from material goods to meaningful journeys.

Why Luxury Travel Is Outpacing Luxury Goods

The appeal of luxury travel goes beyond five-star hotels or designer resorts. Travelers want depth, cultural connection, and stories worth sharing. This marks a clear turn toward experiential travel, where memories hold more value than possessions.

Economic uncertainty has also pushed the wealthy to spend differently. Rather than splurge on luxury handbags or watches, they invest in transformative getaways. Many now believe that “a trip well told online is a better asset than a bag on a shelf.”

Social media continues to drive this trend. Unique stays—like a week at a restored Tuscan farmhouse or a hot-air balloon ride over Cappadocia—carry instant social currency. For high-net-worth travelers, it’s no longer about luxury for show; it’s about experiences that define personal identity.

Governments in France, Italy, Maldives, and Japan Take Action

National tourism boards are responding fast. France’s Ministry of Europe and Foreign Affairs promotes sustainable luxury tourism, encouraging wine-route travel, castle stays, and cultural trails that spread visitors beyond Paris. Italy’s Ministry of Tourism highlights slow travel itineraries through regions like Umbria, Puglia, and the Dolomites.

The Maldives has launched programs encouraging eco-friendly resorts, powered by solar energy and local partnerships. Japan’s government supports cultural immersion programs, from samurai workshops in Kyoto to rural homestays. Each country treats luxury tourism growth as part of its economic identity, using travel to tell a national story rather than just fill hotel rooms.

Industry Performance Points to Strong Momentum

The luxury hospitality industry is outperforming expectations. Revenue per available room (RevPAR) in high-end hotels has grown every month in 2025 compared to 2024, showing strong global demand. Private aviation is booming too. Aviation analysts expect about 820 private jets to be delivered in 2025, a 7.3 percent increase from the year before.

Major brands are jumping in. Bulgari and Armani have opened branded hotels, combining fashion and travel. LVMH has expanded its Belmond portfolio and is preparing to launch a 54-suite Orient Express yacht in 2026 in partnership with Accor. These moves show that global luxury tourism now sits at the center of the wider luxury economy.

Travelers Value Authenticity, Wellness, and Sustainability

Today’s high-net-worth travelers want experiences that reflect personal values. Nearly 40 percent of affluent tourists say they are willing to pay 30–50 percent more for sustainable travel features. They want hotels with efficient energy use, carbon offset programs, and local food sourcing.

Experiential travel has become central. Many travelers now choose itineraries that include cooking with local chefs, visiting indigenous artisans, or staying in historic homes. The goal is not just to see but to connect.

Wellness has also become a key part of luxury travel trends. Spa retreats, yoga escapes, and nature-based programs now feature in premium packages. Destinations like Bali, Greece, and Switzerland report rising demand for detox and mindfulness experiences among global elites.

Challenges for Global Destinations

Rapid growth brings new challenges. Tourist hotspots like Venice, the Amalfi Coast, and Santorini already face overcrowding. Local governments have begun setting visitor limits and introducing higher tourism taxes to protect heritage sites.

At the same time, lesser-known destinations are investing to attract luxury hospitality growth. Rural France, central Spain, and the Greek isles are upgrading train networks and digital booking systems to welcome smaller groups of high-spending guests. Governments are also promoting local ownership and sustainable development to balance growth with preservation.

Technology supports this evolution. AI-driven platforms now personalize recommendations for luxury travelers, helping them discover unique, low-impact experiences. These innovations create value for both travelers and host communities.

A Human Shift in Luxury Travel
When Marco Rossi, an entrepreneur from Milan, visited a small Sicilian village last spring, he said he found “the heart of Italy.” His reflection captures what drives this movement. The modern luxury traveler is not chasing price tags but purpose.

France, Italy, Japan, and the Maldives show how global luxury tourism can evolve toward meaning, culture, and care for the planet. The journey ahead is about emotion, not excess. As the luxury travel market moves beyond $391 billion, the world is witnessing a transformation—from collecting things to collecting stories.