Hotels across Asia must adjust to the preferences of Gen Z travelers to remain competitive, according to Agoda, the digital travel platform, citing research on the generation’s travel habits.
The study identified Gen Z travelers, aged 18 to 27, as digital-first consumers who favor spontaneity and shared experiences.
The study also shows Gen Z growing influence is shaping the industry, with their spending power expected to rise significantly, reaching $12 trillion by 2030, according to a Neilsen report.
“It’s hard to understate the importance of Gen Z in determining the future of travel,” said Andrew Smith, senior vice president of supply at Agoda. “They prioritize unique experiences and social media-friendly destinations, making it essential for hotels to adjust their marketing strategies.”
Hotels can attract Gen Z travelers by creating visually appealing spaces for social media content, incorporating live events such as concerts and festivals into promotions, and offering themed experiences tied to popular culture, Agoda said. Engaging with influencers and leveraging TikTok trends can also boost visibility among younger travelers.
The research found that Gen Z travelers are turning to TikTok (20 percent) and Instagram (14 percent) for travel inspiration, with personal recommendations still playing a significant role at 17 percent.
Gen Z also exhibits a preference for last-minute bookings, with 20 percent reserving flights less than a week in advance and one in four making spontaneous accommodation bookings.
They favor traveling with a partner, with 38 percent preferring joint trips, though group and family travel remain popular. Budget-conscious, Gen Z travelers tend to keep accommodation costs under $50 per night per person, Agoda said.
Despite generational differences in how trips are planned and booked, the desire to travel remains strong across age groups, with nearly half of both Gen Z and Millennials planning one to three trips this year, the study found.