The global travel landscape has undergone a profound transformation in recent years. While international travel once dominated the industry’s growth narrative, the aftermath of the COVID-19 pandemic has seen a decisive pivot toward local and domestic travel. This shift is not a fleeting trend but a structural change, driven by evolving consumer behaviors, government interventions, and the rapid acceleration of digital technologies.
Recent data shows that domestic travel has not only rebounded faster than international travel but, in many markets, has surpassed pre-pandemic levels. For example, in China, daily domestic flights have exceeded 2019 numbers, and in the U.S., the percentage of Americans traveling domestically has risen above pre-pandemic benchmarks. This surge is fueled by a desire for safety, flexibility, and the simple need for a change of scenery—often within one’s own borders. As travel restrictions and public health concerns persist, travelers are prioritizing family visits, local getaways, and remote outdoor experiences over long-haul international trips.
Today’s local and domestic travelers are not the same as yesterday’s. They are more digitally savvy, expect seamless and contactless experiences, and demand greater flexibility in booking and cancellation policies. Health and safety remain paramount, but so does the desire for personalized, relevant offers that reflect their unique needs and preferences. The rise of remote work and “workation” policies has further blurred the lines between business and leisure travel, creating new segments and opportunities for brands to engage.
To capitalize on this ongoing shift, travel and hospitality brands must rethink their digital strategies across the entire customer journey. Here are the key approaches that are proving effective:
Harnessing the power of first-party and third-party data is essential for understanding new traveler segments and delivering hyper-targeted, relevant experiences. Modern customer data platforms (CDPs) enable brands to consolidate data from multiple sources, build rich customer profiles, and activate real-time personalized offers. For example, a hotel chain can use data to identify guests who previously traveled for business but are now booking leisure stays, and tailor offers accordingly—such as weekend getaways or local experiences.
Flexibility is now a non-negotiable expectation. Brands that offer easy modifications, cancellations, and refunds through digital channels are winning customer trust and loyalty. Direct digital engagement—via mobile apps, websites, and messaging platforms—allows brands to communicate up-to-date information, promote targeted deals, and provide reassurance around health and safety protocols. This direct relationship also reduces reliance on third-party platforms, helping brands build richer first-party data and foster long-term loyalty.
The pandemic has accelerated the adoption of contactless technologies across the travel journey. Mobile check-in and check-out, digital room keys, touchless payments, and smart kiosks are now expected features. These technologies not only enhance safety but also streamline the guest experience, reduce friction, and free up staff to focus on higher-value interactions. For example, hotels and airlines that enable guests to manage their journey via mobile devices are seeing higher satisfaction and repeat bookings.
The unpredictability of local regulations and traveler sentiment requires brands to operate with greater agility. Adopting a startup mindset—deploying small, cross-functional teams and leveraging cloud-native platforms—enables rapid experimentation and continuous improvement. Solutions like Publicis Sapient’s Rapid Commerce accelerator empower travel brands to quickly launch and adapt digital sales platforms, onboard new partners, and bundle services to meet changing demand.
With domestic travelers seeking unique, local experiences, brands have an opportunity to differentiate by curating and promoting activities that go beyond the traditional stay or flight. This could include partnerships with local businesses, exclusive access to attractions, or bundled packages that combine accommodation, dining, and experiences. By leveraging digital platforms to inspire and inform, brands can position themselves as trusted guides for local exploration.
Data is the linchpin of successful digital strategies in the new travel landscape. Brands that invest in robust data infrastructure and analytics can:
For example, by analyzing booking patterns and digital engagement, a brand can anticipate spikes in local demand, adjust pricing dynamically, and deploy targeted campaigns to convert lookers into bookers. Data also enables brands to monitor customer sentiment and quickly respond to feedback, ensuring that the guest experience remains relevant and differentiated.
The rise of local and domestic travel is not a temporary detour—it is a catalyst for long-term transformation. Brands that embrace digital-first, customer-centric strategies will be best positioned to capture new demand, build resilient operations, and foster lasting loyalty. This means:
As the travel industry continues to navigate uncertainty, the ability to adapt quickly, leverage data intelligently, and deliver seamless, personalized experiences will separate the leaders from the laggards. The opportunity is clear: by meeting travelers where they are—locally, digitally, and personally—brands can turn today’s challenges into tomorrow’s growth.
Ready to capture the new wave of local and domestic travel demand? Connect with Publicis Sapient to accelerate your digital transformation and future-proof your travel business.