NEW DELHI: Millennials in India are the top spenders on travel, averaging $6,031 annually. Gen Z, Gen X and Boomers spend $2,622, $3,059 and $2,600 per annum, respectively, on travel, according to Collinson International’s research report titled “2024 Travel Benefits and Customer Engagement Report”.
Surveying 7,250 respondents across 14 markets in Asia Pacific, the report says travel is the second highest expense for respondents in India, accounting for almost a third of annual expenditure.Only “everyday spend” — which includes groceries and retail shopping — surpassed travel spend in India, it says.
Sumit Prakash, Collinson International country director (India and South Asia), said: “Our research highlights that travel is a key driver for consumer expenditure, with a strong ‘travel resonance’ among Indian survey respondents. The rise of Indian outbound travellers, coupled with increasing travel spend by millennials, demonstrates the growing opportunities present in the market that brands, particularly in the financial services sector, can leverage to bring further value.”
“When asked which travel perks they value most, 44% of respondents ranked airport lounge access as their top travel-related credit card benefit – surpassing security fast-track (9%) and airport transfers (7%). In fact, 90% of respondents in India agreed that access to airport lounges is a travel benefit that they would expect on any credit card with an annual fee. 89% would consider switching to a new card if their payment card stopped offering airport lounge membership as a benefit, highlighting the impact of travel benefits on retention,” the report says.
Prakash added: “As evidenced by the ever-increasing passenger numbers in India, consumers are increasingly more willing to spend on travel, and are demonstrating a strong preference for travel-related benefits that enhance their travel experiences. By integrating travel and airport related benefits and experiences – such as airport lounge access, security fast track, airport transfers, dining and more – into customer engagement and loyalty programmes, brands are able to level-up their customer value proposition, enhance customer satisfaction, differentiate from competition, and deliver measurable business impact. We look forward to continuing to work closely with our partners in India to leverage the opportunities that travel brings, and to elevate the travel experiences of their consumers.”