Key Takeaways on Destination Decisions, Powered by the State of the American Traveler

Travel Sentiment, Budgets and Preferred Resources in 2025

Excitement for travel remains at consistently high levels, with expected travel budgets for American travelers reaching a near record high of $5,898. Additionally, nearly 60% of travelers state they will make travel a budget priority in the near term.

So, how do these travelers plan for their adventures?

Websites found via a search engine (35.6%) and email (33.3%) were ranked as top sources for destination inspiration among American travelers. Social channels like Facebook and Instagram, as well as online content such as blogs and articles, follow closely behind. When looking at generational differences, Gen Z and Millennials are more receptive to social media, while Boomers and Gen X engage with email, websites and other content formats more readily. With budgets and excitement remaining high, DMOs should ensure their destination is discoverable through major inspiration sources and that they choose the right channel for the target audiences. Social media campaigns can help attract younger travelers, while email marketing and SEO remain essential for engaging older generations.

While use of online resources continues to rise, AI is evolving rapidly, with new advancements emerging constantly. When it comes to travel planning, AI has yet to reach the mainstream—79% of travelers say they haven’t used AI to plan any of their trips. That being said, AI-powered tools are gaining traction, with as many as 17% of travelers stating they used AI for travel planning over the last twelve months.

AI in travel planning is in its early stages, but DMOs can experiment and implement AI in their destination websites to help with the planning process. Instead of relying on AI-generated content—something travelers are still wary of—destinations can leverage AI to improve navigation and the user experience, staying ahead of the curve as AI continues to evolve. If you’re interested in learning how DMOs are leveraging AI, check out our blog post on success stories in emerging tech.

Key Travel Motivators in 2025

Now that we know what resources travelers have been using to plan trips, what motivates them to start the planning process in the first place? 

Overall, food and cuisine, visiting historical sites and attractions and international travel rank as top travel passions.  Domestic destinations have an opportunity to highlight their niche or regional cuisine and rich history, offering unique and immersive experiences that set them apart. 

We’ve seen the trend of luxury experiences rise over the last few years and that continues to be a motivating factor for travelers. Gen Z (46%), Millennials (53%) and Gen X (45%) all state that high-end experiences play an important role in their leisure trips, highlighting a strong demand for elevated, one-of-a-kind experiences. 

There’s also significant interest in multi-generational travel, with 43% of American travelers stating they are interested in taking a trip with three generations of family. This signals growing demand for destinations that offer memorable, family-friendly experiences that cater to multiple generations. 

With food, history and luxury experiences driving traveler decisions, DMOs should highlight their destination’s unique culinary scene, historical attractions and premium offerings to capture traveler interest. Additionally, showcasing family-friendly experiences and accommodations can help attract multi-gen travelers—creating opportunities to engage everyone from Gen Z to baby boomers, who often have larger travel budgets. 

Travel Sentiment During Natural Disasters

With the increase in major natural disasters over the past decades, it’s impossible to talk about destination management without addressing disaster recovery. Our group of expert panelists from Lee County, Asheville and Pasadena discussed the complexities of natural disasters, sharing how they affect not just the destinations’ infrastructures, but also the travel plans and decision-making of millions of travelers. 

Correcting traveler misconceptions about a destination in recovery can be a challenge. For example, Asheville has been steadily recovering from the flooding and wind damage caused by Hurricane Helene in September 2024. However, five full months after the flooding, 39% of U.S. travelers believed that Asheville was still only partially open.

The January 2025 wildfires had a similar effect on traveler sentiment regarding Los Angeles. A month after the fires subsided, 36% of travelers thought that Los Angeles was only partially open to visitors, despite the destination’s swift recovery.

Traveler perception of a destination plays a critical role in the decision-making process for many travelers, making marketing and communication essential for rebuilding confidence and ensuring visitors return. Our experts shared their best practices and lessons they learned from steering their destinations through the aftermath of these devastating natural disasters. We’ve shared their insights in our latest blog post, which features a five-part recovery marketing and communications toolkit and examples from these destinations.

Between shifting traveler sentiment, evolving technologies and the challenges of disaster recovery, the state of travel in 2025 is complex. For further insights into these topics, you can find the full slide deck, research summary and webinar recording here. Don’t forget to sign up for our upcoming webinars for fresh insights and actionable takeaways on trends that are shaping the travel and tourism industry.