Not all affluent travelers are luxury travelers, according to a new paper based on findings from MMGY Global’s 2017 – 2018 Portrait of American Travelers, an annual research study of over 2,900 American travelers.
According to the paper, luxury travelers, defined as those who believe it’s worth paying more for the very best quality in accommodations and transportation, only make up 36 percent of affluent travelers.
During the past 12 months, 89 percent of households with annual earnings of at least $125,000 representing 6.7 traveling households took 40 million vacations and spent $67.5 billion on leisure travel. 31 percent of luxury travelers plan on taking more vacations during the next 12 months.
Here are some other key findings from the report:
Luxury Travelers Value Memories Over Purchases
- Over the past 12 months, 76 percent of luxury travelers prefer to focus on making memories over acquiring more things, while only 57 percent of affluent travelers feel the same.
- 42 percent of luxury travelers say that memories of childhood vacations influence current vacation decisions.
Luxury Travelers Are Open To More Travel Service Provider Options
- While luxury travelers do frequent traditional travel service providers, they’re also significantly more likely than affluent travelers to try sharing economy alternatives.
- 32 percent of luxury travelers used share economy accommodations during past 12 months.
Social Media & Online Reviews Are Influencing Luxury Behavior
- One third of luxury travelers have selected a vacation destination based at least in part on what they’ve seen on social media, compared to only 7 percent of affluent travelers.
- 51 percent of luxury travelers like using social media to share travel experiences.