Artificial Intelligence (AI)-Driven Travel Experience Personalization Global Market Report 2025

The artificial intelligence (AI)-driven travel experience personalization market size has grown exponentially in recent years. It will grow from $2.9 billion in 2024 to $3.65 billion in 2025 at a compound annual growth rate (CAGR) of 25.7%. The growth during the historic period can be attributed to increasing demand for personalized travel experiences, rising use of big data analytics in tourism, greater smartphone penetration among travelers, expanding collection of traveler behavioral data, and the growing trend of mobile-based travel personalization.

The artificial intelligence (AI)-driven travel experience personalization market size is expected to see exponential growth in the next few years. It will grow to $0.05 billion in 2029 at a compound annual growth rate (CAGR) of 25.5%. The growth during the forecast period can be attributed to the increasing adoption of machine learning for itinerary optimization, rising popularity of virtual travel assistants, growing implementation of natural language processing in travel chatbots, heightened focus on enhancing traveler experiences through personalization, and increasing importance of data-driven decision-making. Key trends in the forecast period include the development of context-aware travel solutions, advancements in emotion recognition for traveler feedback, integration of real-time data in personalization, incorporation of multimodal travel options, and innovations in augmented reality travel guides.

The growing adoption of cloud-based solutions is expected to drive the growth of the artificial intelligence (AI)-driven travel experience personalization market. Cloud-based solutions deliver computing services such as storage, processing power, and applications over the internet, offering scalable, flexible, and cost-effective IT resources. These capabilities enable travel companies to process large volumes of data in real time and run AI algorithms that generate personalized travel recommendations, optimize itineraries, and enhance customer experiences. For example, according to Eurostat, a Luxembourg-based statistical office of the European Union, in 2023, 45.2% of European Union enterprises used cloud computing services such as internet-based software, computing power, or storage, representing a 4.2 percentage point increase compared with 2021. Therefore, the rising adoption of cloud-based solutions is fueling the growth of the artificial intelligence-driven travel experience personalization market.

Leading companies in the artificial intelligence (AI)-driven travel experience personalization market are developing innovative solutions such as multilingual generative AI-powered trip planning assistants to enhance personalized travel recommendations and streamline itinerary creation. These AI systems can understand multiple languages and provide context-aware travel suggestions, enabling users to create customized itineraries efficiently. For example, in August 2025, MakeMyTrip Limited, an India-based online travel company, launched Myra, a generative AI-powered trip planning assistant. Myra supports English, Hindi, and Hinglish, delivering personalized, real-time travel recommendations and guiding users through booking and post-booking support within a single interface. Covering major travel categories such as flights, hotels, holidays, ground transportation, visas, and forex, the assistant helps users manage travel plans, adjust itineraries, and access AI-driven guidance throughout their journey.

In July 2025, 15below Limited, a UK-based software company, acquired Airport AI for an undisclosed amount. Through this acquisition, 15below aims to combine its airline and airport expertise with Airport AI’s advanced conversational AI technology to deliver seamless, personalized, and real-time passenger experiences throughout the travel journey. This will improve coordination between airlines and airports, enhance communication during disruptions, and offer passengers timely, relevant information and services via a unified digital platform. Airport AI is a UK-based technology company specializing in artificial intelligence-driven solutions for personalized travel experiences.

Major players in the artificial intelligence (AI)-driven travel experience personalization market are Delta Air Lines Inc., Booking Holdings Inc., Expedia Group Inc., Airbnb Inc., Amadeus IT Group S.A., Tripian Inc., Sabre Corporation, AtlasGuru Pvt. Ltd., Agoda Company Pte. Ltd., Tredence Inc., Travelport Limited., Navan Inc., Priceline.com LLC, Arrivia Inc., KAYAK Software Corporation, MakeMyTrip Limited, Sojern Inc., Matador Network LLC., Qloo Inc., Wonder Plan Inc.

North America was the largest region in the artificial intelligence (AI)-driven travel experience personalization market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in artificial intelligence (AI)-driven travel experience personalization report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sudden escalation of U.S. tariffs and the consequent trade frictions in spring 2025 are severely impacting the hospitality sector, particularly in the areas of imported food and beverage supplies, furniture, electronics, and kitchen equipment. Hotels and restaurants are facing higher costs for imported wine, seafood, coffee machines, linens, and smart appliances, many of which have limited domestic alternatives. Budget and mid-scale hospitality providers, operating on tight margins, are especially vulnerable, with some reducing service offerings or delaying renovations to manage expenses. Event venues and catering services are also experiencing disruptions due to increased costs of imported décor, lighting, and AV equipment. In response, the industry is turning to local sourcing for food and furnishings, renegotiating supplier contracts, and advocating for tariff relief on key hospitality imports.

The artificial intelligence-driven travel experience personalization market research report is one of a series of new reports that provides artificial intelligence-driven travel experience personalization market statistics, including artificial intelligence-driven travel experience personalization industry global market size, regional shares, competitors with a artificial intelligence-driven travel experience personalization market share, detailed artificial intelligence-driven travel experience personalization market segments, market trends and opportunities, and any further data you may need to thrive in the artificial intelligence-driven travel experience personalization industry. This artificial intelligence-driven travel experience personalization market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Artificial intelligence (AI)-driven travel experience personalization refers to the use of AI technologies to customize travel experiences based on individual preferences, behaviors, and needs. It provides tailored recommendations for destinations, accommodations, activities, and services, enhancing traveler satisfaction and engagement.

The primary components of AI-driven travel experience personalization are software and services. Software comprises digital systems that use AI algorithms to analyze traveler preferences, behaviors, and contexts to deliver customized recommendations, itineraries, and services for a highly personalized travel experience. These solutions can be deployed on the cloud or on-premises and serve enterprises of all sizes, including small and medium-sized enterprises as well as large enterprises. They support a wide range of applications, such as flight booking, hotel booking, trip planning, customer support, recommendation engines, and more. These solutions cater to a diverse set of end users, including travel agencies, airlines, hotels and resorts, online travel platforms, and other stakeholders.

The countries covered in the artificial intelligence (AI)-driven travel experience personalization market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The artificial intelligence (AI)-driven travel experience personalization market consists of revenues earned by entities by providing services such as personalized itinerary planning, predictive travel analytics, location-based services, sentiment analysis and feedback management, and voice-activated booking services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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