New Findings by 5WPR Show Consumers Prioritizing Travel and Experiences in Annual Budgets

Thursday, March 28, 2024

The latest consumer culture report from -5WPR, one of the largest independently owned PR firms in the U.S., unveils compelling data showcasing a growing consumer inclination towards indulging in travel and experiences this year. The report suggests that consumers are willing to allocate a significant portion of their disposable income to support this splurge behavior.

In 2024, travel and experiences emerge as the third most sought-after category for splurging, with 45% of consumers expressing interest, marking a notable 7% increase compared to the previous year.

Among different age demographics, consumers under 44 years old exhibit the strongest propensity for splurging in this category. Specifically, 58% of those aged 35 to 44 lead the pack, closely followed by 54% of 25 to 34-year-olds. Even the youngest consumers, aged 16 to 24, show a significant inclination towards splurging, with 49% indicating a preference for indulging in travel and experiences.

“Travel and experiences are big-ticket items, so it’s not surprising for consumers to be looking to save when and where they can,” said 5WPR Co-CEO, Dara A. Busch. “This year’s noticeable increase in their interest to splurge, especially from younger generations who are just coming into their spending power and distributing their income across multiple industries, speaks to the value they’re seeing in travel and experiences. And, for companies in the space, this perception of value comes directly from brand messaging.” 

In 2023, consumers identified travel and experiences as the third most significant category for spending their disposable income, accounting for 30% of their expenditures. However, when asked to forecast their spending for 2024, they elevated this category to the top spot, with 41% believing they will allocate most of their income towards it.

Notably, consumers under the age of 34 stand out as the demographic most inclined to allocate a significant portion of their income to travel and experiences this year.

“It’s the brand’s job to turn wanderlust into a booked trip or experience. Despite predictions, plans change, and consumers often don’t end up allocating as much of their income as anticipated, particularly given the challenge of selling something seemingly intangible,” added Busch, “To remain a priority to consumers and their wallets, targeted communication that emphasizes the industry’s value is essential to mainlining its priority status in consumer spending.” 

Censuswide, an independent market research consultancy, conducted the research using a nationally representative sample of 2,005 US consumers between November 28th and 30th, 2023. As a member of the British Polling Council and adherent to the Market Research Society, Censuswide upholds the highest standards of ethical conduct, ensuring all survey participants are double opted-in in accordance with the MRS code of conduct and ESOMAR standards.

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