Picture this: January 2025.
It’s student loan season. The cash is splashing. The sky is gloomy. Wanderlust is growing. You’re dreaming of a hot, sunny destination. Pina Colada in hand. Vibes on check.
Yep – January is the season of travel plans. In fact, a whopping 83% of Gen Z are already plotting their next getaway. And for Student Beans, Pion’s verification partner, January will be the busiest month, as young consumers search for the hottest new travel destinations.
So, what are the big trends we’re forecasting for next year?
Cruises are the next big thing
WHEW – a weighty prediction, but one we’re willing to back up.
Cruises might’ve been associated with older generations, but next year (thanks to big-time influencer marketing investment and social presence), they’re shedding their old-school reputation. In fact, 2024 is set to surpass pre-pandemic cruising levels, with 36 million people expected to take to the seas, up from 29.7 million in 2019, according to the Cruise Line International Association.
And who’s driving this resurgence? You guessed it: Gen Z.
Cruise lines are pivoting and coming in hot. Catering to the next generation of travellers, Captain’s Table dinners have been swapped for Peloton classes, brunch bars, and even drag shows.
There are a couple of reasons cruises are having such a moment in the sun right now.
The first is due to the recent investment in creator and influencer marketing. Cruise lines have partnered with big Gen Z creators, for sponsored trips brimming with user-generated content. On TikTok, #CruiseTok has racked up 226.6 million posts with everything from behind-the-scenes clips to what life onboard is really like.
Recently, Princess Cruises gifted a number of TikTok influencers (including Becki Jones and Cory’s World) with a cruise holiday. The catch? The creators had to produce a lot of content. And, they delivered.
The content wasn’t just being produced by the creators themselves. In fact, in the build-up, TikTok was awash with organic content from other users, counting down the days until the creators set sail.
Equally, cruises aren’t just popular for the vibe. They’re also great value – something we know young consumers are a sucker for. According to our 2024 Youth Trends Report, package holidays are the preferred type of travel experience by Gen Z in the UK (36%), whilst value for money comes in at a hot second (24%)..
2. Creators drive the travel economy
Trend number two should come as no surprise, if you’re still with us.
These days, TikTok is the new trip advisor. And the reviewers? Creators.
Thanks to the visual nature of the app, users can see destinations without even having to be physically present in those spaces. As of 2024, TikTok has seen a 410% increase in travel related searches. It’s now the most popular search engine in this vertical.
Creators aren’t just driving destination choices, they’re also driving new activities, culinary locations and hot spots to visit. For travel brands, partnerships with creators are no longer optional – they’re essential.
3. Luxury holidays are winning hearts
By 2025, 40% of luxury consumers will be Gen Z. Big number, right?
Luxury isn’t just a dream for Gen Z. In 2025, it’s looking like a priority.
Our data revealed that in 2024, two-thirds of Gen Z were willing to pay more for an enriched experience. For Gen Z, indulgence is self-care to the max. Relaxation, after all, is best served with a side of extravagance. Plus, the current economic climate means many are disillusioned with saving up just to cover the basics. Why save for someday when today is brimming with possibilities?
From booking a last-minute flight to Bali to splashing the cash on a designer piece, many are adopting a clear philosophy: life’s too short for regrets: go big, now.
4. Digital nomadism shows Gen Z are still looking for value for money
Maybe a contradiction to before – but, despite the allure of luxury, value for money is still important.
Gen Z are happy to spend money, but they want to get bang for their buck when it comes to travel. 62% of Gen Z prioritize affordability and 53% are looking for value-driven deals. With the cost-of-living crisis still biting, young consumers are striking a balance between aspiration and affordability..
So, what will this balance look like in 2025?
Well, it could be mixing and matching on an experience. For example, splurging for a few nights in a luxury hotel, then pivoting to an Airbnb for the rest of the trip.
Or, many Gen Zers who have entered the workplace might wish to take advantage of their remote work policies. Earn money from a gorgeous destination? No brainer. Think “workcation”.
Armed with an A-1 knowledge of tech, and a sprinkle of wanderlust, Gen Z are switching up what "office culture" looks like. Coworking space in Bali? Coffee shop in Lisbon? Pastries on Las Ramblas before logging on at 9am? Why not, eh. Digital nomadism proves work doesn’t have to tie you to one location – and with rent prices in the UK spiking, we're predicting to see a lot more of it circa 2025.
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image from Freepik
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