The UK online travel market size reached USD 37.82 Billion in 2023. Looking forward, IMARC Group expects the market to reach USD 94.42 Billion by 2032, exhibiting a growth rate (CAGR) of 9.30% during 2024-2032. The market is driven by the rising utilization of smartphones, which is enabling convenient trip planning and bookings, along with the growing trend of experiential travel, where tourists are seeking immersive and authentic local experiences.
Report Attribute
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Key Statistics
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Base Year
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2023
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Forecast Years
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2024-2032
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Historical Years
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2018-2023
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Market Size in 2023 | USD 37.82 Billion |
Market Forecast in 2032 | USD 94.42 Billion |
Market Growth Rate 2024-2032 | 9.30% |
Increasing Reliance on Smartphones
According to the data released by the Office of Communication (Ofcom), the average time spent daily online by the people in the UK reached 3 hours and 41 minutes in 2023. On average, an adult spent about 56 days each year online while young adults, aged 18-24, were active on their devices for 4 hours and 36 minutes daily. This increasing online engagement is positively influencing the market in the country, as people are using smartphones for planning, booking, and managing their trips. The emergence of digital platforms is making it easier for individuals to access personalized experiences and convenience. As mobile usage is rising, travelers are utilizing subscription-based travel services for their flexibility and convenience. Users are conveniently tracking their travel arrangements on-the-fly using specialized mobile applications, which offer a variety of services like hotel accommodations and discounted flights. Moreover, travelers are leveraging mobile apps and online services to effortlessly search for destinations, compare prices, and book accommodations. This transition is facilitating easier booking and streamlining the travel experience with timely updates and alerts.
In addition, the increasing adoption of digital solutions by tourists is encouraging travel companies to innovate their strategies for catering the demand of personalized services. As a result, companies are implementing advanced technologies, such as data analytics and artificial intelligence (AI), to customize offerings as per the user preferences and behavior. Moreover, the rising popularity of mobile payment options like digital wallets and contactless transactions is enabling fast and secure transactions, providing users with an additional level of convenience. This proactive approach is assisting businesses in effectively interacting with tourists, increasing reservations, and fostering loyalty, thereby propelling the market growth in the UK.
Rising Trend of Experiential Travel
As per the data published by the Office of National Statistics, the number of visits to the UK reached 38.0 million in 2023, with 15.9 million of those being holiday visits, accounting for 42% of the total. The growing interest in seeking unique and immersive experiences is driving the demand for experiential travel offerings. Travelers are prioritizing experiences that involve engaging in local cultures, traditions, and environments, rather than sightseeing at famous landmarks. Culinary excursions, adventure activities, and cultural workshops are becoming popular, as they are providing authentic encounters and memorable experiences. Rising preferences for culinary tours, adventure activities, and cultural workshops is catalyzing the demand for online travel services.
Travel companies are tailoring their offerings for catering to travelers who want to engage with destinations in a more personalized way by creating customized itineraries that highlight immersive experiences. They are partnering with artisans, chefs, and guides from the area to provide genuine experiences that appeal to the preferences of contemporary tourists. The rising demand for these services is benefitting local economies and promoting sustainable tourism methods. Furthermore, travelers are utilizing social media platforms to share their unique experiences online, encouraging others to pursue similar trips. As a result, many travel companies are leveraging user-generated content to attract people and promote their services, thereby strengthening the market growth in the country.
IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2024-2032. Our report has categorized the market based on service type, platform, mode of booking, and age group.
Service Type Insights:
The report has provided a detailed breakup and analysis of the market based on the service type. This includes transportation, travel accommodation and vacation packages.
Platform Insights:
A detailed breakup and analysis of the market based on the platform have also been provided in the report. This includes mobile and desktop.
Mode of Booking Insights:
The report has provided a detailed breakup and analysis of the market based on the mode of booking. This includes online travel agencies (OTAs) and direct travel suppliers.
Age Group Insights:
A detailed breakup and analysis of the market based on the age group have also been provided in the report. This includes 22-31, 32-43, 44-56, and above 56 years.
Regional Insights:
The report has also provided a comprehensive analysis of all the major regional markets, which include London, South East, North West, East of England, South West, Scotland, West Midlands, Yorkshire and The Humber, East Midlands, and Others.
The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.
Report Features | Details |
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Base Year of the Analysis | 2023 |
Historical Period | 2018-2023 |
Forecast Period | 2024-2032 |
Units | USD Billion |
Scope of the Report | Exploration of Historical Trends and Market Outlook, Industry Catalysts and Challenges, Segment-Wise Historical and Future Market Assessment:
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Service Types Covered | Transportation, Travel Accommodation, Vacation Packages |
Platforms Covered | Mobile, Desktop |
Mode of Bookings Covered | Online Travel Agencies (OTAs), Direct Travel Suppliers |
Age Groups Covered | 22-31 Years, 32-43 Years, 44-56 Years, Above 56 Years |
Regions Covered | London, South East, North West, East of England, South West, Scotland, West Midlands, Yorkshire and The Humber, East Midlands, Others |
Customization Scope | 10% Free Customization |
Post-Sale Analyst Support | 10-12 Weeks |
Delivery Format | PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request) |