Leisure travel dominates year-end bookings while experience-led trips reshape India’s travel playbook

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Industry executives say the shift is visible across domestic and outbound segments, driven by rising discretionary spends, improved connectivity and easier visa regimes.
Leisure travel dominates year-end bookings while experience-led trips reshape India’s travel playbook
 Credits: Getty Images

Across major tour operators and online platforms, a common trend has taken shape of travellers moving beyond checklist tourism towards immersive experiences, longer stays, spiritual journeys and destinations that offer both ease and depth.

Industry executives say the shift is visible across domestic and outbound segments, driven by rising discretionary spends, improved connectivity and easier visa regimes.

Leisure meets spirituality

MakeMyTrip's booking data shows leisure travel continues to dominate the year-end window, accounting for 77.1% of bookings in 2025, even as pilgrimage travel has held its ground at 22.9%. That balance has barely shifted from last year, when leisure stood at 75.3% and pilgrimage at 24.8%, showing spiritual travel has become a permanent pillar rather than a seasonal outlier.

Domestic leisure destinations such as Goa, Jaipur, Udaipur, Manali and Jaisalmer led demand, while hill stations like Munnar, Darjeeling, Ooty, Mussoorie and Mysore continued to draw winter crowds. On the spiritual side, places such as Varanasi, Ayodhya, Puri, Rameshwaram, Madurai, Amritsar, Ujjain, Dwarka, Udupi and Tirupati saw strong traction as travellers used the New Year break for gratitude-led journeys alongside leisure.

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Rajesh Magow, co-founder and group CEO of MakeMyTrip, said this dual-purpose travel behaviour is now entrenched. “Travellers are showing willingness to upgrade accommodation, and are increasingly combining leisure breaks with spiritually enriching journeys. Short-haul international travel also continues to see momentum… reinforcing India’s growing appetite for outbound travel.”

Short-haul international travel surges

Internationally, Thailand emerged as the most-booked destination for the New Year period, overtaking the UAE to take the top spot. Vietnam stood out as the fastest climber, ranked seventh during the same period in 2024, it jumped to fourth place in 2025. Sri Lanka, Malaysia, Indonesia and Singapore continued to feature strongly, while the UK, USA and Hong Kong rounded out the top 10, according to MMT data.

Holiday package data mirrored this trend, with Thailand, the UAE, Vietnam & Cambodia, Singapore and Indonesia leading international package demand. Domestically, Kerala, Himachal Pradesh, Rajasthan, Andaman and Tamil Nadu topped holiday package bookings.

Visa-friendly policies and short-haul connectivity are playing a decisive role here. According to Rajeev Kale, president and country head for holidays, MICE and visa at Thomas Cook (India) Limited, “Visa-friendly policies and improved connectivity further fueled outbound travel to short-haul international destinations.”

Premiumisation & experience-first holidays

Another clear shift is where Indians are choosing to spend. The share of hotel bookings in the ₹2,500–₹5,000 per night range has moderated, while the ₹5,000–₹7,500 segment has gained share, reinforcing a longer-term premiumisation trend. Comfort, better locations and upgraded stays are increasingly non-negotiable.

Kale said 2025 marked a turning point. “There was a decisive shift among Indian travellers towards experiential holidays, immersive journeys and phenomenon-based travel like the Northern Lights and Cherry Blossoms.” He added that average spends rose as travellers opted for multiple holidays through the year and longer stays, moving from traditional three-day breaks to six-to-12-day holidays.

SOTC Travel echoed this evolution. SD Nandakumar, president and country head for holidays and corporate tours, said 2025 saw travellers move decisively towards immersive, curated and personalised experiences, with multiple motivations - leisure, celebrations, nature-based breaks and spiritual tourism - playing out simultaneously. The Mahakumbh, Nandakumar noted, set the tone early in the year for pilgrimage-led travel.

Looking ahead

What this really means is that 2026 is shaping up to be less about destinations alone and more about why people travel. Event-led holidays, driven by concerts, global sporting events and cultural festivals, are emerging as a major trend, particularly among millennials and Gen Z, according to Thomas Cook. 

Demand for fully customisable holidays, unique accommodations and premium, experience-led itineraries is also rising “fuelled by the enthusiasm of Young India’s millennials and GenZ for live concerts, global sporting events and cultural festivals,” Kale said. Demand for fully customisable holidays is also rising, particularly among travellers who want flexibility to design trips around their own pace and interests.

Kale pointed to growing interest in offbeat and emerging destinations, from Oulu in Finland and Murmansk in Russia to Georgia, Kazakhstan and Uzbekistan, alongside steady demand for visa-free favourites like Thailand, Malaysia, Indonesia, Sri Lanka, Nepal, Bhutan and Dubai-Abu Dhabi. Cruises from Antarctica and the Nile to Southeast Asia and the Gulf are another fast-growing segment.

SOTC expects experiential travel to deepen further in 2026, with travellers seeking value, convenience and technology-enabled experiences, while spiritual tourism maintains momentum on the back of better infrastructure and connectivity. 

Nandakumar added that year-end travel remains a strong driver, with Indian travellers embracing both popular and offbeat destinations to ring in the New Year. Destinations like the Philippines, China and South Africa are drawing interest for distinctive festive experiences, from yacht parties and island hopping to wildlife safaris and vineyard celebrations, alongside marquee attractions such as Harbin’s Ice & Snow World and Zhangjiajie’s glass-bridge skywalk.

“The domestic tourism growth story continues during the year-end and New Year holiday period, with sustained demand across leisure and pilgrimage destinations,” added MMT's Magow.

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