Booking.com, in collaboration with Accenture, unveiled the third edition of its flagship 'How India Travels 2025' report on Wednesday. The company said this year, the report highlights a 'fundamental shift' in the domestic travel landscape, where an Indian traveller's choice of accommodation is no longer a 'backdrop' but the 'cornerstone' of the journey.
The very idea of a holiday has shifted for Indian travellers, as per the report, with the accommodation now becoming the destination itself. This is driven by 80% of surveyed Indian travellers who plan to spend most of their time at the property, far above the global average of 51%. Nearly four in five travellers actively seek unconventional and curated experiences, and as per the report, as the value shifts from commodities to curated experiences, hospitality providers are offering on-property experiences to generate growth and loyalty.
Indian travellers are highly receptive to using AI and technology to enhance their travel experiences. Over half of Indian consumers are familiar with using AI for trip planning, 83% see it as a tool to make travel easier, 82% rely on it to avoid overcrowding and 80% value it for suggesting experiences that benefit local communities, as per the report. Meanwhile, the hospitality industry is leveraging AI to optimize operations from dynamic pricing to automated check-ins to create a more seamless journey for travellers.
India's hospitality sector is entering a high-growth phase, fueled by a surge in domestic travel. Average monthly searches for domestic travel grew from 103 million in 2022 to 141 million in 2024. Hotel demand is projected to grow at 10.5% annually until 2027, outpacing the projected supply expansion of 8%, while the branded hotel supply remains modest at only 138 rooms per million people compared to over 1,500 per million in more developed markets.
To prepare for the next 5.2 billion domestic trips expected by 2030, the industry must reimagine accommodations, diversify into emerging cities and leverage digital platforms, according to the report. The government, in turn, must build and further develop travel infrastructure, bring alternative accommodations to the mainstream and anchor growth in sustainability and inclusion. By working together, both sectors can ensure India is ready for the future of travel.
“Over the past decade, domestic tourism has grown - not just in volume - but also in character; signaling a shift from mere sightseeing to experience-seeking. We are actively working to ensure smaller towns are seamlessly linked, creating comprehensive destination infrastructure through Swadesh Darshan and PRASHAD. We are also curating 50 model destinations to serve as exemplars in sustainable infrastructure and community participation, while working with states to simplify regulatory frameworks and catalyse investment across the hospitality sector," said Suman Billa, director general at the ministry of tourism.
"Public-private partnerships are pivotal to the next leap of growth. Digital platforms are critical in discovery, itinerary planning and seamless bookings. Hospitality companies will be central to bridging the significant shortfall in rooms, particularly in underserved destinations. By aligning public investment with private sector innovation, we can unlock immense value and position India as a year-round, experience-rich destination," he added.
Santosh Kumar, regional manager, South Asia at Booking.com said India’s domestic traveller is rewriting the rules of travel.
"For them, the stay isn't just part of the journey anymore - it is the destination itself. They are not just booking a room, they are curating a complete experience. This shift is driven by a new generation of travellers who seek technology - from AI-driven trip planning to frictionless payments, enabling seamless, connected and personalised travel from start to finish," he said. "At the same time, markets beyond the metros are fueling the next wave of growth, presenting a tremendous opportunity for the travel and hospitality ecosystem. As industry stakeholders our challenge and opportunity lies in creating meaningful experiences that balance personalization, technology and trust, allowing us to successfully meet this new demand and pave the way for India’s 5.2 billion trips," he added.
Anshul Gupta, MD and travel lead for Advanced Technology Centers in India at Accenture said the defining characteristic of the new Indian traveller is the demand for hyper-personalisation backed by intelligent technology. "This research clearly shows that AI is moving from a novelty to an indispensable utility, enabling the industry to understand micro-segments like the 'Trip Architects' and 'Unscripted Explorers' at scale. Travel providers now have a unique opportunity to reimagine the entire customer journey, from inspiration to post-stay, by embedding generative AI, building trust, and offering flexibility at every touchpoint," he added.
The very idea of a holiday has shifted for Indian travellers, as per the report, with the accommodation now becoming the destination itself. This is driven by 80% of surveyed Indian travellers who plan to spend most of their time at the property, far above the global average of 51%. Nearly four in five travellers actively seek unconventional and curated experiences, and as per the report, as the value shifts from commodities to curated experiences, hospitality providers are offering on-property experiences to generate growth and loyalty.
Indian travellers are highly receptive to using AI and technology to enhance their travel experiences. Over half of Indian consumers are familiar with using AI for trip planning, 83% see it as a tool to make travel easier, 82% rely on it to avoid overcrowding and 80% value it for suggesting experiences that benefit local communities, as per the report. Meanwhile, the hospitality industry is leveraging AI to optimize operations from dynamic pricing to automated check-ins to create a more seamless journey for travellers.
India's hospitality sector is entering a high-growth phase, fueled by a surge in domestic travel. Average monthly searches for domestic travel grew from 103 million in 2022 to 141 million in 2024. Hotel demand is projected to grow at 10.5% annually until 2027, outpacing the projected supply expansion of 8%, while the branded hotel supply remains modest at only 138 rooms per million people compared to over 1,500 per million in more developed markets.
To prepare for the next 5.2 billion domestic trips expected by 2030, the industry must reimagine accommodations, diversify into emerging cities and leverage digital platforms, according to the report. The government, in turn, must build and further develop travel infrastructure, bring alternative accommodations to the mainstream and anchor growth in sustainability and inclusion. By working together, both sectors can ensure India is ready for the future of travel.
“Over the past decade, domestic tourism has grown - not just in volume - but also in character; signaling a shift from mere sightseeing to experience-seeking. We are actively working to ensure smaller towns are seamlessly linked, creating comprehensive destination infrastructure through Swadesh Darshan and PRASHAD. We are also curating 50 model destinations to serve as exemplars in sustainable infrastructure and community participation, while working with states to simplify regulatory frameworks and catalyse investment across the hospitality sector," said Suman Billa, director general at the ministry of tourism.
"Public-private partnerships are pivotal to the next leap of growth. Digital platforms are critical in discovery, itinerary planning and seamless bookings. Hospitality companies will be central to bridging the significant shortfall in rooms, particularly in underserved destinations. By aligning public investment with private sector innovation, we can unlock immense value and position India as a year-round, experience-rich destination," he added.
Santosh Kumar, regional manager, South Asia at Booking.com said India’s domestic traveller is rewriting the rules of travel.
"For them, the stay isn't just part of the journey anymore - it is the destination itself. They are not just booking a room, they are curating a complete experience. This shift is driven by a new generation of travellers who seek technology - from AI-driven trip planning to frictionless payments, enabling seamless, connected and personalised travel from start to finish," he said. "At the same time, markets beyond the metros are fueling the next wave of growth, presenting a tremendous opportunity for the travel and hospitality ecosystem. As industry stakeholders our challenge and opportunity lies in creating meaningful experiences that balance personalization, technology and trust, allowing us to successfully meet this new demand and pave the way for India’s 5.2 billion trips," he added.
Anshul Gupta, MD and travel lead for Advanced Technology Centers in India at Accenture said the defining characteristic of the new Indian traveller is the demand for hyper-personalisation backed by intelligent technology. "This research clearly shows that AI is moving from a novelty to an indispensable utility, enabling the industry to understand micro-segments like the 'Trip Architects' and 'Unscripted Explorers' at scale. Travel providers now have a unique opportunity to reimagine the entire customer journey, from inspiration to post-stay, by embedding generative AI, building trust, and offering flexibility at every touchpoint," he added.
You may also like
Alka Lamba calls Kejriwal a 'Chameleon' as AAP chief gets type-VII bungalow
Karwa Chauth: Is it normal to get your period on the day of the fast or something to worry about?
Where to buy gold this Diwali 2025 in Dubai: Top offers, free coins, raffles, and shopping hotspots you must know
BREAKING: Harry Kane set to miss England vs Wales as Thomas Tuchel handed fresh injury worry
Doctor hacked in hospital in Kerala by father of deceased patient
