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released by Doulos Phos Ship HotelWhat cost-of-living crisis? Luxury travel is booming – and set to grow further
Anita Manfreda, Torrens University Australia
About ten years ago, while working at Badrutt’s Palace Hotel in the Swiss town of St Moritz, I was shocked to learn a guest once requested an elephant be brought in to deliver a birthday gift to his wife. And the hotel made it happen, squeezing the elephant into the lobby.
This over-the-top gesture symbolised what luxury travel once meant: wealth and power, expressed through grand displays. Think millionaires and billionaires in lavish suites and on private yachts, enjoying exclusive services most of us would never dream of, let alone actually ask for.
Consulting group McKinsey defines the luxury traveller as someone prepared to spend US$500 or more per night on accommodation. But luxury tourism is evolving. Thanks to demographic shifts, sustainability concerns, and a post-pandemic desire for connection, luxury travel has become more personal and meaningful. And luxury travellers these days aren’t always the super rich elites.
Despite the cost-of-living crisis, luxury travel is booming. So, what’s driving this growth and how is luxury travel changing?
The luxury travel sector has shown remarkable resilience, even during economic downturns and the COVID pandemic. Globally, it is projected to grow from US$1.4 trillion in 2024 to $2.2 trillion by 2030.
The Asia-Pacific region is leading the surge at a compound annual growth rate of 8.6% (a way of measuring growth that assumes profits are reinvested) from 2024 to 2030.
In Australia, the trend is similar: the luxury travel market generated US$37.4 billion in 2023 and is forecast to reach US$70 billion by 2032.
This growth is driven not just by affluence among the wealthy but by younger travellers. As Forbes magazine points out, these travellers are often non-millionaires who may not earn enormous salaries or even own their own homes – but are willing to pay top dollar for meaningful experiences.
And some are splurging on trips to make up for time and opportunities lost due to the pandemic – a trend industry experts sometimes refer to as “revenge” and “revelry” travel. As one luxury travel industry observer put it:
We’re seeing travel at all costs, where people are determined to have the experience they want, regardless of what that price is.
Many consumers are prioritising luxury travel experiences over other discretionary items, including luxury goods.
Today’s luxury travel isn’t just about extravagance; it can also include forking out for meaningful experiences. Luxury travellers are willing to pay up for holidays that promise authenticity, wellness and connection with people and places.
It can mean access to something rare, like an uncrowded natural environment or an authentic cultural experience that feels deeply personal.
It can also come from expertise – like appreciating the nuances of a rare bottle of wine, or touring a place with an expert or celebrity guide who has been there many times before.
Where it was once defined by price and status symbols, luxury travel today is about stories worth sharing (on social media and in real life) and experiences that align with personal values.
Wellness, adventure and the digital detoxIn my 17 years of working in and researching luxury travel, I have seen a lot of different luxury holidaymakers. Everything from humble retirees relishing the rewards of their hard work to VIP celebrities who send 32 pages of requests before even stepping foot in the hotel.
While older high-net-worth individuals from North America and Europe remain a significant demographic, a growing proportion of luxury travellers are millennials, Gen Z, and tourists from emerging markets like Asia and the Middle East.
Traditional hallmarks of luxury travel – like presidential suites and private islands – are still popular among high-net-worth individuals.
But a growing number of travellers seek cultural experiences, adventure, and small, intimate group trips.
These travellers are opting for off-peak seasons and less-visited destinations to avoid crowds, and may be more vocal about sustainable tourism.
The future of luxury travel lies in its ability to adapt to evolving consumer values. Wellness retreats, slow travel (including by train), and sustainability-focused experiences are becoming central to the luxury travel narrative.
In a hyper-connected world, luxury travel marketing is now often linked with the idea of a digital detox. The chance to disconnect and fully immerse in the moment has become a modern indulgence.
Luxury travellers today use their trips to explore and learn, and to reconnect with the world, their relationships, and themselves.![]()
Anita Manfreda, Senior Lecturer in Tourism, Torrens University Australia
This article is republished from The Conversation under a Creative Commons license. Read the original article.
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1. Great Sphinx of Giza (Egypt): A reclining lion with a human head that stands on the Giza Plateau on the west bank of the Nile, near modern-day Cairo, is the largest monolith statue in the world. Standing 73.5 m (241 ft) long, 6 m (20 ft) wide, and 20 m (65 ft) high, the Great Sphinx of Giza is also the oldest known monumental sculpture, and is commonly believed to have been built by ancient Egyptians in the third millennium BCE. The Great Sphinx faces due east and houses a small temple between its paws.


3. Mount Rushmore (USA): A famous monumental granite sculpture created by Gutzon Borglum, Mount Rushmore is located within the United States Presidential Memorial that represents the first 150 years of the history of the United States of America with 60-foot (18 m) sculptures of the heads of former United States presidents (left to right): George Washington, Thomas Jefferson, Theodore Roosevelt, and Abraham Lincoln. The entire memorial covers 1,278.45 acres (5.17 km2) and is 5,725 feet (1,745 m) above sea level. The memorial attracts approximately two million people annually.

4. Leshan Giant Buddha (China): Built during the Tang Dynasty, the Leshan Giant Buddha is carved out of a cliff face that lies at the confluence of the Minjiang, Dadu and Qingyi rivers in the southern part of Sichuan province in China, near the city of Leshan. The sculpture, which is seventy one meters (about 230 hundred feet) tall dwarfs the tourists that flock to see it. It is positioned so that it faces Mount Emei and stands at the meeting place of three rivers. Although the Government of China has promised a restoration program, the statue has suffered from the effects of pollution, particularly over the last twenty years. Fortunately, the statue was not damaged in the Sichuan earthquake of 2008. 5. Mahabalipuram Shore Temple (India): Built on the shores of the Bay of Bengal in Mahabalipuram (India) in the early 8th century by the Pallava King Rajasimha. The shore temple


6. Abu Simbel (Egypt): A set of two temples near the border of Egypt with Sudan, Abu Simbel was constructed for the pharaoh Ramesses II who reigned for 67 years during the 13th century BC (19th Dynasty). The temples were cut from the rock and shifted to higher ground in the 1960s as the waters of Lake Nasser began to rise following completion of the Aswan High Dam.The Great Temple is dedicated to Ramesses II and a statue of him is seated with three other gods within the innermost part of the rock-cut temple (the sanctuary). The temple's facade is dominated by four enormous seated statues of the Pharaoh (each over 20 metres or 67 feet high), although one has been damaged since ancient times. The Small Temple was probably completed ahead of the Great Temple and is dedicated to Ramesses' favorite wife, Nefertari. At the entrance stand six 10-metre-high (33 feet) rock-cut statues - two of Ramesses and one of Nefertari on either side of the doorway.

7. Dazu Rock Carvings (China): The Dazu rock carvings in Chongqing, China are hewn from the cliffside, featuring more than 5,000 statues and over 100,000 Chinese characters of inscriptions or epigraphs. It is reputed as 'the county of rock carving' and it’s located at the southeast of Sichuan province. The Dazu Rock Carvings was built from 650 in the Tang Dynasty and continued to the Ming Dynasty (1368-1644) and the Qing Dynasty (1616-1911). Among the rock carvings, there are more than 5,000 statues and over 100,000 Chinese characters of inscriptions and epigraphs. 8. Church of St. George (Ethiopia): The Church of St. George is a monolithic church in Lalibela, Amhara Region, Ethiopia. It is the most well known and last built (early thirteenth century) of the eleven churches in the Lalibela area, and has been referred to as the "Eighth

Wonder of the World". The dimensions of the complex are 25 meters by 25 meters by 30 meters, and there is a small baptismal pool outside the church, which stands in an artificial trench. According to Ethiopian cultural history, Bete Giyorgis was built after King Gebre Mesqel Lalibela of the Zagwe dynasty had a vision in which he was instructed to construct the church; Saint George and God have both been referred to as the one who gave him the instructions.As of 2006, Lalibela is still a pilgrimage site for members of the Ethiopian Orthodox Tewahedo Church; the church itself is part of the UNESCO World Heritage Site "Rock-Hewn Churches, Lalibela".

9. Borobudor (Indonesia): Officially, Borobudur is a ninth-century Mahayana Buddhist monument in Magelang, Central Java, Indonesia. Actually, it is much older than that. The monument complex comprises six square platforms topped by three circular platforms, and is decorated with 2,672 relief panels and 504 statues of Rama citizens. Each wall has a story that relates to the stories of the birth of Buddha and other Buddha figures. A main dome, located at the center of the top platform, is surrounded by 72 Rama citizens seated inside perforated stupa.





14. Mada'in Saleh (Saudi Arabia): Located in northern Hejaz (modern day Saudi Arabia), Mada'in Saleh --also called Al-Hijr ("rocky place")-- is an ancient city that was inhabited by Thamudis and Nabateans and was then known as Hegra. Some of the inscriptions found in the area date back to the 2nd millennium BC. However, all the remaining architectural elements are dated to the period of the Thamudi, Lihyan and Nabatean civilizations, between the 1st millennium BC and the second century AD. Mada'in Saleh is not only Saudi Arabia's most spectacular touristic site; it is also one of the greatest historic sites in the world. The rock tombs in this early morning light are of such an extraordinary beauty, consisting of different shapes and sizes, that gives Mada'in Salih a truly charming feeling. This historic sister city, Petra the former capital of Nabataean Kingdom, is located only 150 miles away to the north across the border with Jordan.









