UK Holiday Planning and Booking Process Market Report 2025
2025-06-26T08:01:53+00:00
REP4EAF68C1_773C_45AA_AE2E_F4772FDB99A6
2600
184049
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Report
en_GB
Demand for human expertise is steady, with 9% of UK travellers planning to book their main holiday in-store, unchanged from last year. However, as AI becomes more personalised, travel agents…
UK
Holidays and Vacations
simple
UK Holiday Planning and Booking Process Market Report 2025
"Incorporating destination crowdedness and temperature data into holiday planning tools can significantly improve the user experience."
Demand for human expertise in travel remains steady, with 9% of UK travelers planning to book their main holiday in-store, unchanged from last year. However, as AI becomes more personalized, travel agents must work harder to remain competitive.
Most UK travelers, particularly younger people and families, plan to spend less on their main holiday this year. To encourage bookings, businesses should emphasize money-saving features and tools.
AI can play a key role in helping travelers save money by tracking prices and enabling users to set alerts for deals or price drops on specific destinations and dates.
Concerns about crowded destinations are increasing interest in quieter, less tourist-heavy locations, reflecting a shift in traveler preferences.
Climate change is influencing travel planning, with travelers becoming more mindful of temperatures. Integrating crowd and temperature data into holiday planning tools can enhance the user experience and meet these evolving needs.
Key Topics Analysed in the Report
How the domestic and overseas holiday markets are expected to perform over the next five years
Shifts in main holidaying intentions, including plans for UK versus short-haul and long-haul trips and the types of holidays being planned
The growing use of smartphones for holiday bookings and strategies for travel agents to remain relevant
Consumer interest in search filters on a travel company’s website, such as temperature and destination crowd levels
The factors that prompt travellers to begin planning their main holiday
Collapse All
EXECUTIVE SUMMARY
Opportunities for the UK travel market
The planning process should be about discovering new destinations
Ensure a seamless booking experience for social media users
Prioritise family friendliness in listings
Market dynamics and outlook
Market size & forecast: domestic holidays
Market size & forecast: overseas holidays
Market predictions
Value of domestic holidays set for steady growth
Growing demand and rising prices boost value of overseas holiday market
Resilient confidence, but concerns remain
What consumers want and why
End of post-pandemic urge to travel
Travellers increasingly turn to smartphone for bookings
Graph 1: expected booking channel for main holiday, 2024-25
Personalised price alerts will help drive holiday planning
Graph 2: triggers to start planning the main holiday, 2025
Overtourism and extreme weather will drive interest in crowdedness and climate data
Graph 3: interest in filter search options on a travel company’s website, 2025
Environmental impact has a higher impact on holiday choice than brand choice
Graph 4: importance of environmental impact when choosing a company and when searching a company’s website, 2025
Enhancing holiday planning through personalised filters, motivational search and smart technology
Innovation and marketing
Technological innovations significantly enhance the planning and booking process
Travel companies aim to increase bookings for experiences
MARKET DYNAMICS
Market size – domestic holidays
Rising costs impact demand for staycations, but warm spring weather offers hope for recovery
Graph 5: volume of domestic holidays taken by British residents, 2019-25
Record-high holiday prices boost staycation market value
Graph 6: value of domestic holidays taken by British residents, 2019-25
Market size – overseas holidays
Demand for holidays abroad continues to increase, albeit at a slower pace
Graph 7: volume of overseas holidays taken by UK residents, 2019-25
Growing demand and rising prices boost market value
Graph 8: value of overseas holidays taken by UK residents, 2019-25
Market forecast
Forecast – note on US trade disruption
Domestic volume will take time to fully recover
Value of domestic holidays set for steady growth
Overseas holiday volume set to reach new heights, but uncertainty will dampen growth rates in the near term
Growing demand and rising prices boost value of overseas holiday market
Holidays remain a priority, but cost pressures will impact travel behaviour
Market drivers
Consumer confidence has increased…
Graph 9: the financial confidence index, 2016-25
…but many are concerned about future price increases
US appeal declines amid geopolitical unrest
Graph 10: consumer agreement that the election of Donald Trump as US President makes visiting the US less appealing, 2024-25
Climate risks will impact planning and booking process
More travellers want companies to take action on overtourism
Holiday bookings fail to surpass last year’s levels
Graph 11: holiday bookings in the last three months, 2023/24 and 2024/25
Booking intent remains comparable to last year
Graph 12: plans to book a holiday in the next three months, 2023/24 and 2024/25
Regulatory & legislative changes
WHAT CONSUMERS WANT AND WHY
Main holidaying intentions
End of post-pandemic urge to travel
Graph 13: planned destination for the main holiday in the next 12 months, 2021-25
Travellers are more cautious about booking their holidays.
Graph 14: share of travellers who have already booked their main holiday, 2023-25
City breaks overtake rural holidays as most popular domestic holiday type
Graph 15: expected holiday type for main holiday in the UK, 2021-25
Demand for overseas beach holidays and city breaks reaches new heights
Graph 16: expected holiday type for main holiday abroad, 2021-25
Growing desire for more-diverse travel experiences
Graph 17: number of holiday types used to describe main holiday, 2023 vs 2025
Holiday booking channels
The vast majority of travellers book online
Travellers increasingly turn to smartphone for bookings
Graph 18: expected booking channel for main holiday, 2024-25
Mobile booking can be more user-friendly for older travellers
Graph 19: expected booking channel for main holiday, by age, 2025
Human expertise remains relevant despite technological innovations
Opportunities for travel agents to stay relevant
Triggers to start planning a holiday
Time of year and family & friends play a huge role in kickstarting holiday plans
Keeping travellers informed of personalised deals and offers
Younger travellers have a broader range of triggers
Graph 20: triggers to start planning the main holiday, by age, 2025
Those inspired by social media expect a different search experience
Making content in early stages of the planning process bookable
Maintaining engagement post-trip will help increase repeat bookings
Purchase drivers when choosing a travel company
Investing in a simple booking process and good customer service is essential to attract customers
Graph 21: important factors when choosing which travel company to book the main holiday with, 2025
Technology plays a key role in improving the booking experience
Travel brands that do not invest in their app risk losing out on bookings
Younger travellers need support in managing expenses
Graph 22: important factors when choosing which travel company to book the main holiday with, by age, 2025
Environmental impact has a higher impact on holiday choice than brand choice
Graph 23: importance of environmental impact when choosing a company and when searching a company’s website, 2025
Sustainability information should include social impact
Webpage with integrated information on environmental and social impacts, created by Spark
Search filter preferences
Overtourism and extreme weather will drive interest in crowdedness and climate data
Overtourism will increase the need for information about crowdedness
Temperature will play an increasingly important role in the decision-making process
Widespread interest in filtering by special offers or discounts
Graph 24: interest in filter search options on a travel company’s website, 2025
Ensuring the right amenities for children is a higher priority than simply finding a good price
Graph 25: interest in filter options on a travel company’s website among parents of under-18s, 2025
Travel motivation and activities are central to the holiday planning and booking process of younger travellers
Providing filter-free search options can significantly improve the planning experience
Attitudes towards planning and booking holidays
Travellers remain price sensitive
Graph 26: consumers who plan to spend less on their main holiday in the next 12 months compared to the previous 12 months, 2024-25
Desire to discover new destinations is strong
Personalising AI chatbots can improve consumer appreciation
Graph 27: interest in AI chatbots, 2025
Smart search can engage older travellers in the holiday planning process
Graph 28: interest in AI chatbots and smart search, 2025
More travellers are looking for Black Friday travel deals, but effectiveness is not yet visible in booking data
Customisation options make package holidays more attractive
Graph 29: attitudes towards package holidays, 2025
INNOVATION AND MARKETING TRENDS
Launch activity and innovation
AI-powered personal assistants are born
AI innovations impact the planning and booking process
Brands continue to strengthen their position in the experiences market
Travel agents stay relevant through innovation and growth
The different ways brands are helping to reduce the pressure of busy destinations
Advertising and marketing activity
Advertising expenditure by travel and transport providers declined in 2024
Graph 30: travel and transport providers’ total advertising expenditure across the channels tracked by Nielsen Ad Intel, 2022-24
TUI and Jet2.com were the biggest ad spenders in 2024
Graph 31: top 10 total advertising expenditure by travel and transport providers across the channels tracked by Nielsen Ad Intel, 2024
TUI launched the ‘Packed differently’ campaign to highlight benefits of its package holidays
loveholidays promotes ease of booking
Hays Travel promotes the variety of products available in Hays’ branches
Norwegian Cruise Line launches new brand positioning ‘MORE’
APPENDIX
Market forecast data and methodology
Market size – domestic holidays
Market size – overseas holidays
Market forecast and prediction intervals – volume of domestic holidays
Market forecast and prediction intervals – value of domestic holidays
Market forecast and prediction intervals – volume of overseas holidays
Market forecast and prediction intervals – value of overseas holidays
Forecast methodology
Report scope and definitions
Market definition
Abbreviations and terms
Consumer research methodology
Nielsen Ad Intel coverage
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