A Year in Review: Indian Travel and Hospitality’s Road to 2026

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A Year in Review: Indian Travel and Hospitality’s Road to 2026

India’s Travel and Hospitality Industry Looks Back at 2025, Ahead to 2026

We bring you a synopsis of industry views as spokespersons dwell on the year gone by and look forward to success and growth in 2026

Short-haul international travel continues to see momentum

Rajesh Magow, Co-founder and Group CEO, MakeMyTrip stated: “The domestic tourism growth story continues during the year-end and New Year holiday period, with sustained demand across leisure and pilgrimage destinations. Travellers are showing willingness to upgrade accommodation, and are increasingly combining leisure breaks with spiritually enriching journeys.

Short-haul international travel also continues to see momentum, led by familiar regions even as newer destinations begin to gain traction. The impact of easier visa and visa-free access is playing out consistently, reinforcing India’s growing appetite for outbound travel.”

Scale, location and portfolio balance matter

Dr. Sanjay Sethi, MD & CEO, Chalet Hotels Ltd. states: “As we look ahead to 2026, the growth drivers for Indian hospitality are both clear and durable. Business travel has returned with depth and predictability, domestic leisure continues to broaden and mature, and MICE and weddings remain powerful demand engines. Together, these segments are well positioned to sustain double-digit RevPAR growth for the industry.

What differentiates this cycle is the quality of demand — longer stays, higher spend intensity and greater forward visibility — enabling asset-led hospitality platforms to plan and execute with far greater discipline. In this environment, scale, location and portfolio balance matter. Chalet is well placed to capture the momentum, with a strong presence across commercial hubs and destination markets, and assets that are structurally aligned to business, leisure and large-format events.”

Guests no longer satisfied with simply ‘seeing’ a destination; they want to inhabit it

Jose Ramapuram, Executive Director Marketing, Evolve Back Resorts states: “2025 has confirmed what we have sensed for a while now; luxury travel in India is maturing, and fast. We are seeing a hospitality sector that is growing in double digits, with occupancies, rates, and RevPAR all firmly ahead of last year, and luxury experiences have been a contributor to this growth. But the more important shift is qualitative.

Domestic guests are choosing shorter, more frequent breaks closer to home, and they are no longer satisfied with simply ‘seeing’ a destination; they want to inhabit it. The stay itself has become the hero, and decisions are being driven by the promise of immersion, storytelling, and a sense of place rather than by star ratings alone.

At the same time, our guests are asking sharper questions about how we operate. Sustainability, once a differentiator, has quietly become a baseline expectation ranging from how we use water and energy to how we treat landscapes and local communities. From discovery, personalisation, to seamless service, technology, too, is now woven into the experience without taking away from the warmth and human connection that define true luxury.

As we look to 2026, the opportunity for Indian luxury hospitality lies in holding these threads together -  harnessing growth in domestic travel and new destinations, embracing digital tools intelligently, and deepening our commitment to environmental and cultural stewardship. If we can continue to create places where guests feel both cared for and connected to nature, to local culture, and to themselves, I believe the coming years will be among the most exciting decades our industry has seen.”

Travel is shifting toward smarter choices

Abhinav Pathak, Co-founder & CEO, Escape Plan adds: “This year marked a clear evolution in how India travels. Demand didn’t just return, it became more frequent, more expressive, and more intentional. Young travellers and women travellers led this shift, exploring newer destinations and placing greater importance on comfort, safety, and personal style.

These changes reshaped the travel gear market in meaningful ways. Luggage and accessories are becoming fashion-forward, with non-core colours now contributing nearly 30% of demand. Travel organisers have moved from optional add-ons to essentials, reflecting a growing need for convenience and smarter packing.

Another defining shift has been speed. Around 5% of luggage and travel accessory orders in metros are already being fulfilled via quick commerce, and this is projected to grow sharply over the next 12–18 months, driven by spontaneous travel and last-minute planning.

As we close the year, travel is shifting toward smarter choices — products that balance comfort, utility, and personal expression. This sets a strong foundation for 2026, where sustainability, modularity, and faster access will shape the next phase of growth.”

Indian hotels are reporting double-digit growth in year-on-year booking volume

Col. Manbeer Choudhary, CMD, Noormahal Group says: "At Noormahal Palace Hotel, we are heartened by our strong forward booking pace for the year-end festive dates, where our existing booking pace so far is appreciably 20-25% ahead of last year for the critical period surrounding Christmas and New Year. Across all categories, ranging from leisure stays, heritage journeys, weddings, and MICE, we are confident that we will be able to maintain 75-85% occupancy during this peak period, owing to strong forward bookings and a beneficial sentiment for travel. This aligns with overall industry projections where most hotels worldwide, as well as in India, are reporting double-digit growth in year-on-year booking volume and higher room rates against last season due to strong demand from leisure, business, and group travelers."

Reliability, safety standards, and air quality are now influencing booking decisions alongside price

Manish Rathi, Co-founder & CEO, IntrCity SmartBus says: “2025 saw a structural shift in India's intercity bus segment, transforming it from an episodic, festival-driven mode of transport to a consistent pillar of the country's mobility ecosystem. Demand is no longer limited to a few peak dates; instead, festive travel, large-scale events such as the IPL, and the steady rise of short-haul, high-frequency journeys are fuelling year-round growth.

This transformation is most noticeable in winter travel patterns. Advance bookings for the December-January period increased by approximately 33% year on year, while average booking lead times more than doubled—from about 9 days last winter to nearly 20 days this season. Winter continues to account for nearly 55% of annual holiday planning, bolstered by clustered long weekends around Christmas, New Year's, and Republic Day. At the same time, travellers are staying longer and preferring experience-based, immersive journeys to short, transactional trips.

Along with this, consumer preferences have clearly matured. Reliability, safety standards, and air quality are now influencing booking decisions alongside price, especially during peak winter months and disruptions in rail and air travel. In response, we have raised operational benchmarks at IntrCity SmartBus, including increasing safety compliance, improving on-time performance, establishing clearly defined boarding points, introducing air-purified SmartBuses on select routes, and enabling flexible boarding through initiatives like Smart Switch.

As a result, intercity buses are increasingly taking on time-sensitive and event-driven demand, which other modes struggle to scale efficiently during peak seasons. The segment is transitioning from a backup option to a high-frequency, experience-based mobility model, with long-term implications for fleet investment, capacity planning, and India's overall transportation infrastructure."

Hotels are recognizing the importance of agile, data-led decision-making

Shoaib Ali, National Sales Head, India, STAAH comments: “2025 has been a defining year for India’s hospitality sector. Hotels have moved beyond recovery into a phase of sustainable growth, driven by robust domestic travel, a steady rise in international arrivals, and increasing demand for personalized guest experiences. Technology has played a pivotal role in this transformation. From smarter distribution strategies and dynamic pricing to seamless integrations that enable hoteliers operate more efficiently and profitably. As the industry becomes more competitive, hotels are recognizing the importance of agile, data-led decision-making to maximize visibility and drive revenue across channels. At STAAH, we believe this shift towards tech-enabled hospitality will continue to accelerate, empowering independent hotels and chains alike to scale sustainably and deliver exceptional experiences for years to come.”

Personalised travel aided by AI

Alankar Chandra, Founder & CEO, Wild Voyager and Ilora Retreats adds: "As 2026 approaches, the trend of personalised travel aided by AI will continue to dominate the year. Travellers are increasingly seeking an answer to 'What's in it for me' in their travel journeys, while conventional travel has given way to bespoke itineraries. Today, travel doesn't mean just ticking off bucket-list destinations and capturing moments on Instagram. Immersive travel, which aims to understand local culture, wildlife and natural landscape, has taken centre stage. Immersive travel seeks to inspire awareness, empathy, and a deeper understanding of the local ecosystem.

The global climate change threat has redefined the purpose of travel, not just for its own sake, but to do so responsibly. This is also reflected in the conscientious choices made by travellers, such as avoiding over-traversed routes, preferring locally sourced food, and doing their bit for wildlife conservation by volunteering and donating to the cause.

In 2026, I foresee the evolving role of travel going beyond just an escape from the mundane routine to a reflection of identity, personal choices, and a statement."

India remains one of the world’s most dynamic outbound travel hubs

Shikhar Aggarwal, Joint Managing Director, BLS International states: “In 2025, visa application trends from India clearly reflected the growing diversity of outbound travel intent. Tourism and visitor visas continued to dominate volumes across regions, reaffirming leisure travel as the primary driver, while business visas saw sustained demand from corporate travellers navigating a more globalised work environment. Student visas emerged as one of the most substantial categories, driven by rising overseas education aspirations. Seasonally, application volumes peaked during holiday periods, festival-linked travel windows, and school breaks. From an operational standpoint, India remained a pivotal market handled by BLS International, reflecting its position as one of the world’s most dynamic outbound travel hubs, with particularly strong interest in Schengen and key Asian destinations.”

Future-ready developments will prioritise sustainability, intelligent design, and seamless integration across residential and commercial uses

Vishal Vincent Tony, Managing Director, Aratt Developers & Ayatana Hospitality Pvt Ltd comments: “The real estate sector is entering a cycle where integrated residential, commercial, and hospitality-led developments are emerging as the strongest contributors to long-term value creation. Across major markets, large-scale townships and mixed-use masterplans are witnessing renewed investor confidence, with developments that seamlessly integrate premium housing, modern office spaces, and quality hospitality assets. This momentum reflects a growing demand for curated living environments supported by business infrastructure and high-quality hospitality experiences. Rising homeownership sentiment, sustained office absorption, and consistent growth in domestic tourism continue to reinforce this shift. As we move into 2026, the most resilient and future-ready developments will be those that prioritise sustainability, intelligent design, and seamless integration across residential and commercial uses. With lifestyle preferences evolving rapidly, developments that offer both liveability and economic productivity are set to define the next phase of India’s real estate growth.”

Travel to be more personalised than ever before

Sandeep Arora, Director of Brightsun Travel, India says: “As we reflect on the year 2024, we can confidently say it has been a remarkable year of recovery, transformation and innovation. Post pandemic wanderlust has evolved into a desire for unique and meaningful experiences. Today, travellers are prioritising authenticity and meaningful experiences over cookie-cutter itineraries and over-crowded tourist attractions. Sustainability continues to influence our journeys in 2024, as eco-conscious travel grows, and mindful choices take center stage.Technology has revolutionised the way we plan and experience travel, making it more personalised and seamless than ever before. At Brightsun Travel, we are proud to have been part of this exciting journey, helping our customers discover new destinations, offering expert guidance and ease of travel while keeping safety, and customer satisfaction at the heart of everything we do.”

 

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A Year in Review: Indian Travel and Hospitality’s Road to 2026

India’s Travel and Hospitality Industry Looks Back at 2025, Ahead to 2026

We bring you a synopsis of industry views as spokespersons dwell on the year gone by and look forward to success and growth in 2026

Short-haul international travel continues to see momentum

Rajesh Magow, Co-founder and Group CEO, MakeMyTrip stated: “The domestic tourism growth story continues during the year-end and New Year holiday period, with sustained demand across leisure and pilgrimage destinations. Travellers are showing willingness to upgrade accommodation, and are increasingly combining leisure breaks with spiritually enriching journeys.

Short-haul international travel also continues to see momentum, led by familiar regions even as newer destinations begin to gain traction. The impact of easier visa and visa-free access is playing out consistently, reinforcing India’s growing appetite for outbound travel.”

Scale, location and portfolio balance matter

Dr. Sanjay Sethi, MD & CEO, Chalet Hotels Ltd. states: “As we look ahead to 2026, the growth drivers for Indian hospitality are both clear and durable. Business travel has returned with depth and predictability, domestic leisure continues to broaden and mature, and MICE and weddings remain powerful demand engines. Together, these segments are well positioned to sustain double-digit RevPAR growth for the industry.

What differentiates this cycle is the quality of demand — longer stays, higher spend intensity and greater forward visibility — enabling asset-led hospitality platforms to plan and execute with far greater discipline. In this environment, scale, location and portfolio balance matter. Chalet is well placed to capture the momentum, with a strong presence across commercial hubs and destination markets, and assets that are structurally aligned to business, leisure and large-format events.”

Guests no longer satisfied with simply ‘seeing’ a destination; they want to inhabit it

Jose Ramapuram, Executive Director Marketing, Evolve Back Resorts states: “2025 has confirmed what we have sensed for a while now; luxury travel in India is maturing, and fast. We are seeing a hospitality sector that is growing in double digits, with occupancies, rates, and RevPAR all firmly ahead of last year, and luxury experiences have been a contributor to this growth. But the more important shift is qualitative.

Domestic guests are choosing shorter, more frequent breaks closer to home, and they are no longer satisfied with simply ‘seeing’ a destination; they want to inhabit it. The stay itself has become the hero, and decisions are being driven by the promise of immersion, storytelling, and a sense of place rather than by star ratings alone.

At the same time, our guests are asking sharper questions about how we operate. Sustainability, once a differentiator, has quietly become a baseline expectation ranging from how we use water and energy to how we treat landscapes and local communities. From discovery, personalisation, to seamless service, technology, too, is now woven into the experience without taking away from the warmth and human connection that define true luxury.

As we look to 2026, the opportunity for Indian luxury hospitality lies in holding these threads together -  harnessing growth in domestic travel and new destinations, embracing digital tools intelligently, and deepening our commitment to environmental and cultural stewardship. If we can continue to create places where guests feel both cared for and connected to nature, to local culture, and to themselves, I believe the coming years will be among the most exciting decades our industry has seen.”

Travel is shifting toward smarter choices

Abhinav Pathak, Co-founder & CEO, Escape Plan adds: “This year marked a clear evolution in how India travels. Demand didn’t just return, it became more frequent, more expressive, and more intentional. Young travellers and women travellers led this shift, exploring newer destinations and placing greater importance on comfort, safety, and personal style.

These changes reshaped the travel gear market in meaningful ways. Luggage and accessories are becoming fashion-forward, with non-core colours now contributing nearly 30% of demand. Travel organisers have moved from optional add-ons to essentials, reflecting a growing need for convenience and smarter packing.

Another defining shift has been speed. Around 5% of luggage and travel accessory orders in metros are already being fulfilled via quick commerce, and this is projected to grow sharply over the next 12–18 months, driven by spontaneous travel and last-minute planning.

As we close the year, travel is shifting toward smarter choices — products that balance comfort, utility, and personal expression. This sets a strong foundation for 2026, where sustainability, modularity, and faster access will shape the next phase of growth.”

Indian hotels are reporting double-digit growth in year-on-year booking volume

Col. Manbeer Choudhary, CMD, Noormahal Group says: "At Noormahal Palace Hotel, we are heartened by our strong forward booking pace for the year-end festive dates, where our existing booking pace so far is appreciably 20-25% ahead of last year for the critical period surrounding Christmas and New Year. Across all categories, ranging from leisure stays, heritage journeys, weddings, and MICE, we are confident that we will be able to maintain 75-85% occupancy during this peak period, owing to strong forward bookings and a beneficial sentiment for travel. This aligns with overall industry projections where most hotels worldwide, as well as in India, are reporting double-digit growth in year-on-year booking volume and higher room rates against last season due to strong demand from leisure, business, and group travelers."

Reliability, safety standards, and air quality are now influencing booking decisions alongside price

Manish Rathi, Co-founder & CEO, IntrCity SmartBus says: “2025 saw a structural shift in India's intercity bus segment, transforming it from an episodic, festival-driven mode of transport to a consistent pillar of the country's mobility ecosystem. Demand is no longer limited to a few peak dates; instead, festive travel, large-scale events such as the IPL, and the steady rise of short-haul, high-frequency journeys are fuelling year-round growth.

This transformation is most noticeable in winter travel patterns. Advance bookings for the December-January period increased by approximately 33% year on year, while average booking lead times more than doubled—from about 9 days last winter to nearly 20 days this season. Winter continues to account for nearly 55% of annual holiday planning, bolstered by clustered long weekends around Christmas, New Year's, and Republic Day. At the same time, travellers are staying longer and preferring experience-based, immersive journeys to short, transactional trips.

Along with this, consumer preferences have clearly matured. Reliability, safety standards, and air quality are now influencing booking decisions alongside price, especially during peak winter months and disruptions in rail and air travel. In response, we have raised operational benchmarks at IntrCity SmartBus, including increasing safety compliance, improving on-time performance, establishing clearly defined boarding points, introducing air-purified SmartBuses on select routes, and enabling flexible boarding through initiatives like Smart Switch.

As a result, intercity buses are increasingly taking on time-sensitive and event-driven demand, which other modes struggle to scale efficiently during peak seasons. The segment is transitioning from a backup option to a high-frequency, experience-based mobility model, with long-term implications for fleet investment, capacity planning, and India's overall transportation infrastructure."

Hotels are recognizing the importance of agile, data-led decision-making

Shoaib Ali, National Sales Head, India, STAAH comments: “2025 has been a defining year for India’s hospitality sector. Hotels have moved beyond recovery into a phase of sustainable growth, driven by robust domestic travel, a steady rise in international arrivals, and increasing demand for personalized guest experiences. Technology has played a pivotal role in this transformation. From smarter distribution strategies and dynamic pricing to seamless integrations that enable hoteliers operate more efficiently and profitably. As the industry becomes more competitive, hotels are recognizing the importance of agile, data-led decision-making to maximize visibility and drive revenue across channels. At STAAH, we believe this shift towards tech-enabled hospitality will continue to accelerate, empowering independent hotels and chains alike to scale sustainably and deliver exceptional experiences for years to come.”

Personalised travel aided by AI

Alankar Chandra, Founder & CEO, Wild Voyager and Ilora Retreats adds: "As 2026 approaches, the trend of personalised travel aided by AI will continue to dominate the year. Travellers are increasingly seeking an answer to 'What's in it for me' in their travel journeys, while conventional travel has given way to bespoke itineraries. Today, travel doesn't mean just ticking off bucket-list destinations and capturing moments on Instagram. Immersive travel, which aims to understand local culture, wildlife and natural landscape, has taken centre stage. Immersive travel seeks to inspire awareness, empathy, and a deeper understanding of the local ecosystem.

The global climate change threat has redefined the purpose of travel, not just for its own sake, but to do so responsibly. This is also reflected in the conscientious choices made by travellers, such as avoiding over-traversed routes, preferring locally sourced food, and doing their bit for wildlife conservation by volunteering and donating to the cause.

In 2026, I foresee the evolving role of travel going beyond just an escape from the mundane routine to a reflection of identity, personal choices, and a statement."

India remains one of the world’s most dynamic outbound travel hubs

Shikhar Aggarwal, Joint Managing Director, BLS International states: “In 2025, visa application trends from India clearly reflected the growing diversity of outbound travel intent. Tourism and visitor visas continued to dominate volumes across regions, reaffirming leisure travel as the primary driver, while business visas saw sustained demand from corporate travellers navigating a more globalised work environment. Student visas emerged as one of the most substantial categories, driven by rising overseas education aspirations. Seasonally, application volumes peaked during holiday periods, festival-linked travel windows, and school breaks. From an operational standpoint, India remained a pivotal market handled by BLS International, reflecting its position as one of the world’s most dynamic outbound travel hubs, with particularly strong interest in Schengen and key Asian destinations.”

Future-ready developments will prioritise sustainability, intelligent design, and seamless integration across residential and commercial uses

Vishal Vincent Tony, Managing Director, Aratt Developers & Ayatana Hospitality Pvt Ltd comments: “The real estate sector is entering a cycle where integrated residential, commercial, and hospitality-led developments are emerging as the strongest contributors to long-term value creation. Across major markets, large-scale townships and mixed-use masterplans are witnessing renewed investor confidence, with developments that seamlessly integrate premium housing, modern office spaces, and quality hospitality assets. This momentum reflects a growing demand for curated living environments supported by business infrastructure and high-quality hospitality experiences. Rising homeownership sentiment, sustained office absorption, and consistent growth in domestic tourism continue to reinforce this shift. As we move into 2026, the most resilient and future-ready developments will be those that prioritise sustainability, intelligent design, and seamless integration across residential and commercial uses. With lifestyle preferences evolving rapidly, developments that offer both liveability and economic productivity are set to define the next phase of India’s real estate growth.”

Travel to be more personalised than ever before

Sandeep Arora, Director of Brightsun Travel, India says: “As we reflect on the year 2024, we can confidently say it has been a remarkable year of recovery, transformation and innovation. Post pandemic wanderlust has evolved into a desire for unique and meaningful experiences. Today, travellers are prioritising authenticity and meaningful experiences over cookie-cutter itineraries and over-crowded tourist attractions. Sustainability continues to influence our journeys in 2024, as eco-conscious travel grows, and mindful choices take center stage.Technology has revolutionised the way we plan and experience travel, making it more personalised and seamless than ever before. At Brightsun Travel, we are proud to have been part of this exciting journey, helping our customers discover new destinations, offering expert guidance and ease of travel while keeping safety, and customer satisfaction at the heart of everything we do.”

 

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