Here it comes… Steve Glenn’s travel industry predictions for 2025

During the past 22 years over 71% of my predictions have come true. Over the next four weeks, I will provide you with 60 of my travel industry crystal ball predictions. Here is week 1 of what I think will happen in 2025. Part 2 of 4 will arrive in your inbox next week. Happy New Year!

1. 2025 is the year travelers want to slow DOWN and cozy UP – In 2025, travelers will embrace a slower, more intentional pace, seeking opportunities to cozy up and truly immerse themselves in their destinations. The year will bring a renewed focus on relaxed, meaningful experiences, from extended stays in charming boutique hotels to enjoying leisurely dinners that highlight local cuisine and culture. Travelers will prioritize comfort, connection, and rejuvenation, favoring destinations that offer a sense of home and warmth over fast-paced itineraries. Whether it’s curling up by a fireside in a mountain lodge or wandering quaint Italian village streets at their own pace, 2025 is all about slowing down to savor the journey.
2. Countryside boutique hotels will be the base camp for travelers in 2025 – Countryside boutique hotels will become the ultimate base camp for travelers seeking both comfort and adventure. Instead of one-night stands in a new city, every night travelers will set up a base camp at boutique hotels as their home away from home. Travelers will use these cozy hubs to explore nearby attractions, whether it’s hiking scenic trails, visiting quaint villages, or indulging in farm-to-table culinary experiences. With personalized service and authentic ambiance, countryside boutique hotels will be the heart of a traveler’s journey in 2025.
3. 2025 is the year of “Luxury Travel” – Baby boomers have mega bucks to spend and they have tasted business class airline seats and now won’t accept anything less. They also moved up from 4 star hotels and now want the look and feel of a 5 star hotel. After COVID people want to travel and live their life with “Gusto”– Most people are looking for an upgraded or luxury experience when they travel in 2025. People will pay to get the most out of life.
4. Cool-cation is the hottest trend for 2025 vacations – Following the scorching temperatures across Europe and the globe in 2023 and 2024, travelers are now prioritizing cooler climates for their getaways. This shift toward “cool-cations” (Cool Vacations) has sparked interest in destinations known for their refreshing summer escapes. Scandinavian countries, including Denmark, Norway, Sweden, Finland, and Iceland, are poised for remarkable travel growth in 2025. Canada, with its stunning landscapes and temperate weather, is also set to become a top choice for travelers seeking a break from the heat.
5. Hot Destinations for 2025: Travelers in 2025 will seek a mix of classic charm and adventurous escapes. Italy remains a perennial favorite, with Umbria standing out as the go-to spot during the Jubilee year. Greece dazzles with its sun-soaked islands and rich history, while Vietnam rises as a Southeast Asian gem offering cultural depth and natural beauty. Cooler summer escapes will dominate trends, with Scandinavia, Iceland, and Canada topping the list of “Beat the Heat” destinations. Portugal continues to enchant with its blend of old-world allure and modern flair, while Australia and New Zealand attract those looking to swap winter for summer. In South America, Colombia shines with vibrant culture, and Peru offers more than just Machu Picchu with its growing culinary scene. Finally, Kenya and Tanzania provide life-changing safaris, while Japan, with its blend of tradition and innovation, makes a triumphant post-pandemic comeback.
6. What’s NOT Hot for Travel in 2025 – Barcelona and Nassau are seeing backlash from locals and over-tourism fatigue. Domestically, cities like San Francisco, Seattle, and Portland are grappling with urban challenges that deter visitors. Additionally, the sweltering heat of Southern Europe in July and August makes it less appealing, pushing travelers to seek cooler, more comfortable alternatives.
7. You will need to watch a training video before you get into your next rental car – Modern rental cars, especially EVs and hybrids, are becoming so advanced that you will need to watch a YouTube video before you get behind the wheel. During a recent rental, I struggled with understanding when to use gas versus electric, locating charging stations, how to set cruise control, and even how to turn on the windshield wipers. My solution? A QR code on the dashboard links to a YouTube video that explains the car’s features and functions.
8. Seat-Back TV Screens Are Back in 2025 – Once a staple of in-flight entertainment, seat-back TV screens were phased out in favor of personal device streaming. Now, they’re making a strong comeback, with many new airplanes being equipped with them again. Airlines are rediscovering the appeal of built-in screens to enhance passenger comfort and entertainment, marking a return to this popular feature
9. Colorful Baggage Takes Off – Gone are the days of endless black suitcases circling the baggage carousel. Just five years ago, nearly 90% of bags looked identical, but today, vibrant colors and bold patterns dominate. On recent trips, I’ve noticed over 70% of luggage showcasing every color of the rainbow, as travelers embrace creativity and flair in their travel accessories. User-added image
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10. Elon Musk and Starlink Could Transform Airplane Wi-Fi – Airplane Wi-Fi is infamous for being slow and unreliable, but improvements are finally on the horizon. 2025 holds the promise for significant advancements in airplane Wi-Fi, thanks in part to Starlink and airlines upgrading their technology. Many airlines began overhauling their Wi-Fi systems years ago, and with a wave of new planes coming into service, faster, more reliable connectivity may finally become a reality. I can’t count the times I have been frustrated by the too-slow Wi-Fi service.
11. Airfare Now Less Than 30% of Business Travel Costs – It’s hard to believe, but airfare is no longer the biggest expense of a business trip. Today, a 3-night trip can cost up to $300 for a car rental, $500 for a hotel, and $200 for meals—totaling $1,000 for just these essentials. Meanwhile, the average airline ticket costs around $400, making it less than 30% of the total trip expense. What was once the largest cost now takes a backseat to other travel necessities.
12. Airlines will purchase thousands of new airplanes in 2025 and replace smaller jets with large jets – 2025 will be the year when the airlines receive thousands of new larger jets and they will replace regional jets (50 seats) with those large jets that hold 200 or more seats. 25% of the departures in the U.S. in 2024 were regional jets with 50 seats or less. With pilot and labor challenges the airlines are rapidly increasing their jet sizes to minimize their labor costs.
13. Forget about a complimentary domestic upgrade unless you are a top elite airline member – There are now millions upon millions of travelers who are silver, gold and even platinum members of the major airlines’ frequent flyer programs. These programs offer complimentary first-class upgrades; however, the reality is that even if you are a gold or platinum member there can be 40 people ahead of you on the complimentary upgrade list for your flight. If you are not 1K or Global Services on United, Executive Platinum on AA or Diamond Status on Delta don’t hold your breath in 2025 that you will ever be upgraded.
14. Airline CEOs should all be castigated for allowing expenses to spiral out of control and making it so one giant hiccup and all their profits go down the drain – This past year all the airlines succumbed to giving 20% to 40% pay increases to most of their unions. How is that sustainable to an industry that has profits of 2.7%? In the good old days, airlines broke even when an airplane was 66% full. In 2024 it required 79% of the seats full to break even! Add the 40% pay raises in 2025 and I just don’t see how they can be profitable going forward. The only thing saving the airlines in 2024 and maybe in 2025 is that jet fuel prices have moderated and even decreased.
15. More companies will relax their travel policies and allow their travelers to pay $100 or more for a direct flight – Once again, with airlines flying their planes 90% full means they only have a few seats available if a flight is canceled or delayed. Add a major storm into the mix and missing your connecting flight in 2025 might mean you are sitting in the airport waitlisted for the next available seat, which might be hours if not days. This is one reason why companies in 2025 will continue to relax their travel policies and allow their business travelers to spend $100 or more for the convenience of direct flights.

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Escorted Tours to Europe for All – Travel while you Can!
If Europe is on your bucket list, do not hesitate to secure your spots. We have a great variety of tours, and they sell out fast! A few cabins are left on our Danube River Cruise, March 20 – April 1. Portugal, June 14-25, focusing on culture, history, and agriculture, is very popular. Our tour to England, July 29 – August 9, to experience the beautiful countryside and London is filling. Our repeated Greece journey, September 5-16, will soon be sold out, and finally, the Scotland, Nothern Ireland, and Ireland tour, April 16-30, 2026, is selling like hotcakes. These tours are open to everyone! CLICK HERE to see all the tailor-made itineraries; most tours are limited to 20-30 travelers, making them even more enjoyable. Call or email our friendly group department to learn more and secure your spots at 888-549-1186.