About this project
Umgum helped a sustainable travel startup with market research, including industry growth and trends, as well as an accommodation competitor analysis.
The sustainable, ethical and responsible tourism market is expected to grow by 5.7% – 14% by 2031, with the sustainable market leading the growth. Consumers are demanding that the market evolve to meet their needs and desires. The problem is, their needs and wants are not currently being met.
With so much awareness around climate change and the negative impact of tourism on the environment, Millennial consumers are the market’s largest consumers. Natural beauty is the main reason travellers choose a destination, and Europe is the most visited destination, with the Asia Pacific region picking up speed.
Consumers want to know if and how their travel spending is helping fight climate change. They also want their money to go back to the community, and they are more likely to spend on authentic experiences representative of the culture they are visiting. Many tourists book activities before they travel, which suggests that the in-destination experience has a bigger impact on the overall decision-making process.
While 48% of travellers said the most challenging part about travelling sustainably was choosing sustainable accommodation, 37% said reducing or eliminating their carbon footprint was the biggest challenge.