The COVID-19 pandemic laid waste to travel and leisure industries from the late winter and early spring of 2020 through to the lifting of restrictions in late 2021 and the first half of 2022. Companies that came out of this extremely lean period are primed to take advantage of consumers who are hungry for experiences after starting this decade off cooped up and potentially in fear.
Allied Market Research recently valued the global leisure travel market at US$1.00 trillion in 2019. That same report projected that this market would reach US$1.73 billion by 2027. This would represent a compound annual growth rate (CAGR) of 22% from 2022 through to the end of the forecast period. ResearchAndMarkets, another top market researcher, valued the global leisure travel market at US$804 billion in 2022. That same report projected that this market would reach US$1.33 billion by 2028, delivering a CAGR of 8.7% from 2022 through to 2028.
Airliners have gained considerable momentum since these companies were able to dramatically increase their passenger loads and punch up their flight schedules. Southwest Airlines (NYSE:LUV) is one of the largest commercial airliners in the United States and almost exclusively operates the Boeing 737. Increase in travel and leisure demand is great news for airliners in the current environment.
Marriott International (NASDAQ:MAR) is a Maryland-based company that operates, franchises, and licenses lodging properties in North America and around the world. Hotels and timeshare properties are poised to see a surge in activity as more people look to travel in the middle of the 2020s.
