Caribbean tourism is entering a new strategic phase, one defined less by rapid post-pandemic recovery and more by the need to diversify demand, capture higher-value travellers, and unlock growth beyond traditional peak periods.
The insights were presented last week at the Caribbean Travel Forum 2026 – part of the annual Caribbean Travel Marketplace, the region’s signature tourism event.
Based on analysis from the 2026 Caribbean Travel Trends Report, which documented steady demand for the Caribbean, growing 1% year over year (despite a clear moderation from the 21% and 8% gains recorded in the two prior years), Caribbean tourism executives said the region was ready for its “next chapter,” which will be shaped by data-driven targeting, market diversification, and the ability to convert traveller intent into bookings at the moments that matter most.
Written by the Caribbean Hotel and Tourism Association (CHTA) and Amadeus, the report drew from travel intelligence data from the latter, covering air travel, hospitality, and traveller behaviour over the last year.
What the data shows
- Latin America emerges as a strategic growth engine: Demand from Latin American source markets grew 24% year over year, with premium travel from South America surging 117%. Peru posted a 192% increase in premium travel and Argentina followed at 164%, reinforcing the Caribbean’s appeal among the region’s most affluent travellers and opening a powerful new diversification channel beyond traditional North American and European markets.
- Smaller destinations are driving momentum: While top-tier destinations held flat year over year, second-tier destinations grew 2%, signalling that recent growth is increasingly being driven by smaller markets expanding from a lower base. Dominica led the region with 22% year-over-year growth, supported by improved air connectivity and rising demand for nature- and adventure-focused travel.
Sint Maarten followed at 18%, reflecting its dual appeal as a destination in its own right and a vital gateway to Saint Martin, Anguilla, and St. Barthélemy.
In the Cayman Islands, growth in premium travel is largely driven by Canadian travellers, with high-end demand from this market in creasing by +64% year over year.
- Hotel revenue strengthens at peak, with clear room to grow off-peak: Caribbean hotels delivered RevPAR of $183 per night during the high season, a 5.2% year-over-year increase, while end-of-year holiday RevPAR climbed to $283. Low-season RevPAR held at $125, well below peak levels and pointing to clear headroom for destinations that successfully engage shoulder- and off-season travellers.
- Socio‑demographics: Age profiles shape demand and seasonality socio-demographic insights add a further layer of differentiation. Travellers aged 26-45 account for the largest share of arrivals (35%), closely followed by the 46-65 segment (33%). Younger travellers under 26 represent 22%, while travellers aged over 65 account for 10% of arrivals.
Different age cohorts exhibit distinct behaviours and destination preferences: → Younger travellers show stronger responsiveness to social media, video content, and peer reviews, performing particularly well in destinations such as the Bahamas, Puerto Rico, and Turks and Caicos. → Millennials and Gen X travellers are strongly represented in destinations including Saint Lucia, Curaçao, and Grenada, supporting demand for couples-oriented, lifestyle-driven experiences. → Baby Boomers and older travellers over-index in destinations such as Guyana, Anguilla, and Bonaire, where preferences lean toward comfort, authenticity, and longer lengths of stay – often supporting shoulder and low-season demand. Together, these persona in sights demonstrate that there is no single “Caribbean traveller.”
- South American travellers are unlocking year-round demand: Brazil delivered 60% growth in low-season arrivals, the fastest among South American source markets, while Colombia, the region’s largest South American source market by share, posted 26% low-season growth. Together, these markets are helping Caribbean destinations broaden their seasonal calendars and capture incremental revenue beyond traditional peak windows.
- Caribbean culture is driving longer, more meaningful visits: Analysis of CARIFESTA XV 2025 in Barbados shows arrivals climbed 23% during the festival period compared with the previous year, with intra-Caribbean travel accounting for 23.3% of arrivals, up 3 percentage points year over year. Travellers booked more than three months ahead and extended their stays, demonstrating how the region’s cultural calendar has become a powerful engine for tourism growth, longer lengths of stay, and deeper economic impact across the region. Three percent of Canadian travellers to the island travelled for CARIFESTA.
Growth
CHTA President Sanovnik Destang said the findings reinforce both the opportunity and the discipline required to compete in today’s global tourism landscape: “The Caribbean is entering a more strategic chapter, one where data, diversification, and destination positioning will determine who captures the next wave of growth. Latin American demand is rising fast, premium travellers are choosing the Caribbean in record numbers, and our cultural calendar is proving it can extend stays and drive economic impact across borders.”
Sol Freixa, VP, Commercial, Destinations at Amadeus, added: “In a more competitive and choice-rich travel environment, understanding demand is only the first step. The real opportunity for Caribbean destinations lies in using these insights to actively shape traveller perception and capture demand at the moments that matter most. By aligning insight-led targeting with clear destination positioning, destinations can position themselves more clearly, reach the travellers earlier in their planning journey, and convert intent into meaningful growth.”
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