The ITB Travel & Tourism Report 2026/2027 shows that the mood in the industry is optimistic, but that strategic preparation often lags behind the challenges of an increasingly complex world. Released at ITB Berlin last week, data from the market research institute Phocuswright forecasts that global annual growth of around 5.3% until at least 2027.
Speaking at the opening of the annual travel trade show – the world’s largest – in the German capital, Mitra Sorrells, CEO of Pocuswright, said that the average annual growth rate from 2025 to 2028 would level off at 4% in Europe and the US, and around 10% in the Latin American and Indian markets. She forecast a global market volume of US$2.14 trillion for 2027.
Rapid integration of AI
According to Phocuswright surveys, the influence of AI on the work of stakeholders and consumer travel planning is rising extremely fast. In the tourism industry, 73% already use AI in internal processes. Around 50% have already incorporated it in communications with consumers, said Sorrells; 13% of the companies surveyed said they were not yet using AI, but were considering it. Only 1% responded with a clear “no,” while 3% stated uncertainty.
Customers are also making increasing use of AI’s wide-ranging options. Despite this, Europe’s major economies are hesitant. For travel planning, the UK, France and not least Germany report AI usage rates of 22, 19 and 15% respectively. The situation is different in the US: about a year ago Phocuswright surveys showed a usage rate of 33%, which rose to 39% in September and 49% at the beginning of this year.
Millennials at the forefront of AI usage
Among North America travellers, the influence of AI varies greatly among age groups. Millennials (born between 1982 and around 1995) lead the way, with 67% using AI. They are followed by Gen Z, the next youngest group (born 1995 to 2010), at 59%. Among Gen X (born 1965 to 1981), just under half (45%) trust AI, while US boomers (born 1946 to 1964) and older people use it only about a quarter of the time.
For the tourism industry, this means that communications with customers will increasingly shift to artificial intelligence. The industry will only be able to maintain current levels of loyalty if brands can establish themselves to be trustworthy through recommendations, says Phocuswright.
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