The travel and tourism industry has emerged as one of the most dynamic sectors in recent years. It’s clear we are well beyond the pandemic-driven lull. Valued at approximately $11.39 trillion in 2023, the global tourism market is expected to reach $18.44 trillion by 2032 with a compound annual growth rate (CAGR) of 5.5% from 2024 to 2032. With this impressive growth, brands and agencies across the travel industry are turning to location data to stay competitive, better understand consumer behaviors, and deliver more effective, targeted advertising.
Location Data’s Role in the latest Tourism Boom
As tourism grows, so does the need for reliable data that helps marketers and businesses understand where, when, and how travelers engage with destinations and services. Location data, derived from users who have opted in to share their geolocation, provides a wealth of insights to help travel and tourism brands reach consumers at optimal times and locations. Here’s how:
Popular Tourist Destinations and Visitor Centers Tourism boards, welcome centers, and travel agencies use location data to identify high-traffic areas and adjust resources to cater to visitor needs. Understanding traffic flow patterns helps destinations optimize visitor experiences, improve accessibility, and manage resources. For instance, popular tourist areas, whether iconic sites or up-and-coming destinations, can be analyzed for seasonal trends, daily peak times, and visitor demographics. This data empowers brands to launch effective marketing campaigns that capture tourist attention at the perfect moment. Retailers and other businesses in adjacent areas can also use this data to capitalize on the localized traffic trends to increase foot traffic.
Hotel and Lodging Advertising Efficacy Hotels and lodging providers, from global chains to boutique stays, are increasingly relying on location data to refine their marketing and understand campaign effectiveness. By measuring foot traffic and stay patterns, brands can gain insight into how often guests return to specific properties and their travel behaviors. This intelligence helps hotels assess the return on investment of their advertising efforts, particularly in targeted digital and out-of-home campaigns. With actionable data, hoteliers can better optimize promotional strategies and adjust offerings to meet guest preferences and habits.
Mapping Emerging Travel Trends and Routes Recent shifts in traveler preferences are moving the industry toward more authentic and less-traveled destinations. As tourists seek unique experiences and “hidden gems,” location data becomes critical in identifying these emerging routes. With precise geolocation insights, travel brands can pinpoint alternative travel paths, underexplored destinations, and niche activities. Marketing these areas allows brands to engage travelers who value authenticity, offering them experiences beyond the typical tourist hotspots.
Shaping Tomorrow’s Travel with Location Data
The travel landscape is evolving quickly, and industry trends point toward more immersive, experience-driven journeys. By 2025, travel preferences are expected to lean heavily into high-impact experiences such as digital detoxes, sports tourism, and “slow travel” destinations. This shift reflects consumers’ desire for mindful and meaningful travel, where they can engage deeply with the local culture and environment. Here’s how location data fits into these trends:
Digital Detox Destinations: Hotels and retreats are investing in locations that offer guests a break from digital overload, and location data helps marketers target these places with precision. By identifying guests who seek remote locations with limited connectivity, brands can refine advertising strategies to reach digital detox travelers where they’re most likely to be.
Sports Tourism: With the rise in sports tourism, location data helps brands understand the flow of visitors to events and sporting destinations. Knowing where travelers go before, during, and after major sports events enables agencies and advertisers to optimize outreach and target messages, maximizing impact for sports-driven campaigns.
Slow Travel and Local Engagement: For travelers interested in extended stays and local experiences, location data enables brands to identify patterns in slow travel behavior and create targeted ads that emphasize local attractions, events, and cultural engagements.
Why Location Data Matters Now More Than Ever
With the tourism industry on the path to record growth, effective data-driven insights are more valuable than ever. Location data offers travel brands the ability to:
- Measure campaign effectiveness in real time, adjusting strategies to align with travel patterns.
- Target audiences based on nuanced travel behaviors, optimizing ad spending.
- Promote new and less-traveled destinations that appeal to the modern tourist’s desire for authenticity and unique experiences.
As the industry prepares for another banner year, brands looking to maximize their impact in the travel and tourism space can’t afford to overlook the power of location data. It’s time to make every campaign count—reach out to Cuebiq’s sales team to learn more about how location data can elevate your travel and tourism marketing strategies for 2025 and beyond.