India is fast emerging as a premier destination for global travellers. According to Booking.com’s 2024 report, ‘How India Travels 2024 – The Inbound Edit’, conducted in collaboration with Accenture, India’s inbound tourism is on an impressive growth trajectory. With foreign tourist arrivals steadily increasing and the nation’s travel industry bouncing back strongly, India’s transformation into a global travel hub is not only boosting the economy but also reshaping how travellers experience the country.
India’s Tourism Renaissance: A Catalyst for Economic Growth
In 2023, India welcomed over 9 million foreign tourists, marking a significant rebound in inbound tourism after the global travel slump. This sharp uptick has positioned India as a leading player in South Asia’s tourism landscape. The report attributes this surge to several factors: India’s rich cultural heritage, diverse landscapes, and robust air transport infrastructure. The country ranked high in price competitiveness, further reinforcing its appeal to budget-conscious travellers.
The economic benefits of this tourism boom are already being felt. In the first half of 2024, Foreign Exchange Earnings (FEEs) from tourism soared to USD 15.3 billion, reflecting a 17.6% increase from the previous year. With the potential to generate 58 million jobs by 2033, tourism is becoming an essential driver of India’s GDP, projected to contribute USD 512 billion by 2028.
Key Inbound Travel Insights: What Drives International Visitors?
Booking.com’s report provides in-depth insights into the motivations, preferences, and expectations of international travellers visiting India. With a detailed survey and data analysis, it offers a comprehensive understanding of the inbound traveller’s mindset.
Geographic Preferences: India as a Standalone Destination
More than half (52%) of the inbound travellers surveyed consider India as a standalone destination, highlighting the country’s growing reputation as a place that offers a complete, immersive travel experience. Meanwhile, 22% of visitors combine their Indian sojourn with trips to other Asian countries, underscoring India’s strategic importance in regional travel plans.
Shifting Source Markets: A New Global Trend
A notable shift in source markets is changing the inbound travel landscape. The US, UK, Germany, and the UAE have emerged as leading source markets for inbound tourism, displacing traditional players like China, Canada, and Bangladesh. The report also indicates new market entrants, such as Hong Kong, Australia, Italy, and the Netherlands, showing significant interest in India, further broadening India’s global appeal.
Rising Popularity of Offbeat Destinations
While metropolitan hubs like Delhi, Mumbai, Bengaluru, Jaipur, and Chennai remain crowd favourites, the appeal of off-the-beaten-path destinations is growing. Places like Hampi and Leh are witnessing a surge in popularity, reflecting travellers’ desire for more diverse experiences. Other less conventional destinations, such as Patnitop, Pahalgam, Madikeri, Vijayawada, and Khajuraho, are also seeing double-digit year-on-year growth, further highlighting the appeal of India’s vast tourism potential.
The Repeat Traveller: India Leaves a Lasting Impression
One of the most encouraging findings of the report is that 44% of inbound travellers have visited India before and are eager to return. These repeat visitors are drawn by India’s diversity and their previous positive experiences. At the same time, 40% of travellers are visiting India for the first time, with a substantial portion planning to explore multiple destinations. 41% of travellers intend to visit 2-4 destinations, while 35% plan to cover 5-10 locations during their stay, indicating a desire for a rich and varied travel experience.
The Digital Traveller: A Shift Toward Personalisation
The rise of the digital traveller is reshaping India’s tourism industry. Since 2019, international travellers have increasingly sought personalised travel experiences, with digital platforms playing a crucial role in travel planning. According to the report, 52% of travellers prefer to book complete packages that cover all aspects of their trip, while 40% prefer to book components like flights and accommodations separately. This shift toward digitalisation is not only enhancing the traveller experience but also offering new opportunities for service providers to improve personalisation and flexibility.
Challenges in Inbound Tourism: Opportunities for Growth
Despite India’s growing appeal, there are still challenges in the inbound tourism space. The report identifies several pain points for international visitors, including the lack of bundled packages that combine flights, accommodation, and activities (51%), limited customisation options (49%), and information overload (43%) when planning a trip. These hurdles present significant opportunities for the industry to refine its offerings and enhance traveller satisfaction.
Addressing these challenges will require a concerted effort from industry stakeholders. By expanding direct international flights, simplifying visa processes, and promoting India’s wide variety of travel experiences, the tourism sector can continue to build on its recent successes. Additionally, the focus should shift to improving digital resources and tailoring itineraries to individual traveller needs, ensuring that India remains a top choice for both new and returning visitors.
Government and Industry Support: Building the Future of Tourism in India
India’s Ministry of Tourism is playing a crucial role in shaping the future of inbound tourism. As part of its Vision 2047 for Tourism, the government is working to boost India’s status as a global travel hub. This includes upgrading travel infrastructure, leveraging big data for better tourist behaviour analytics, and promoting new types of tourism like wellness and adventure travel.
Commenting on this, Mugdha Sinha, Director General (Tourism), Government of India, Ministry of Tourism said, “Vision 2047 for Tourism aims to elevate India’s inbound tourism by tenfold, positioning us as a premier global destination. With technology and big data as transformative drivers, we are not just upgrading infrastructure, but also leveraging tourist behaviour analytics to tailor our offerings. From wellness and adventure tourism to responsible travel, we’re committed to delivering a seamless, enriching experience. Our focus on safety, hygiene, and connectivity ensures that every visitor experiences the best of India, driving both employment and GDP growth in the creative economy.”
Industry Perspectives: Booking.com and Accenture
“India’s inbound tourism sector is experiencing unprecedented growth, fuelled by its rich cultural heritage, diverse landscapes, and warm hospitality,” said Santosh Kumar, Country Head, Indian subcontinent & Indonesia at Booking.com. “Our latest report ‘How India Travels 2024 – The Inbound Edit’ highlights the growing appeal of India as a global destination, with a surge in foreign tourist arrivals and a strong preference for unique experiences.
This is also reflected in India’s 39th rank on the World Economic Forum’s 2024 Travel & Tourism Development Index, up from 54th in 2021. As travellers seek authentic connections and immersive journeys, India’s ability to offer a diverse range of experiences, from bustling cities to serene landscapes, is proving to be a major draw. We at Booking.com remain committed to supporting India’s tourism industry by providing partners with the necessary tools and resources while enabling travellers to plan seamless and unforgettable journeys.”
“India’s tourism industry is currently defined by transformation-led growth, driven by rich, authentic experiences and increasing purchasing power of consumers. Today, it offers diverse options for both budget and luxury travellers, supported by strategic government initiatives and ongoing efforts to modernise the travel infrastructure.
To enhance India’s appeal further, it is crucial to leverage technology especially data, analytics, AI, and generative AI to streamline operations and improve the entire traveller experience—from inspiration to planning and booking through post-trip advocacy. This will help strengthen India’s position on the global tourism map while ensuring visitors leave with unforgettable memories and a desire to return.” said Anshul Gupta, Managing Director and Travel lead for Advanced Technology Centers in India, Accenture.
Conclusion: A Promising Future for India’s Inbound Tourism
As India continues to evolve as a global travel hub, the future looks bright. With the right investments in infrastructure, digital resources, and tailored travel experiences, India is poised to reach new heights in the global tourism sector. By embracing technology and focusing on the needs of the modern traveller, India can create a thriving, sustainable tourism industry that benefits both the economy and the millions of travellers who seek to explore its rich cultural heritage and diverse landscapes.
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