Domestic trips by US residents

Domestic travel by US residents is estimated at 720.2 million trips in 2025, reflecting a modest 1.1% annual increase. Major events and attractions, such as large festivals and the opening of Epic Universe in Florida, are key contributors to growth by drawing significant fan attention and stimulating travel demand. However, the rate of expansion is restrained by elevated travel costs and increased competition from appealing overseas destinations and cruise lines. These constraints are leading to subdued growth in air travel as travelers weigh options in a market shaped by affordability concerns and shifting leisure preferences.

The period from 2020 to 2025 saw US domestic travel undergo dramatic fluctuation. The onset of the COVID-19 pandemic in 2020 triggered a sharp decline, with trips falling 58.4% due to health risks and widespread restrictions. As conditions eased, 2021 saw a 79.5% rebound, fueled by pent-up demand and the resumption of mobility. Accumulated savings and federal stimulus initiatives supported continued gains in 2022 (23.9%), although the pace moderated in subsequent years. By 2023, market normalization combined with higher transportation and accommodation costs, while Federal Reserve rate hikes curbed discretionary spending, leading to a 9.2% growth rate that slowed further to 3.6% in 2024. Across this period, recurring inflation and volatile oil prices continuously challenged consumer affordability, but persistent demand, online booking innovations, and the emergence of budget airlines helped maintain sector resilience. Digital platforms enhanced price transparency, and changing demographics—such as a higher share of Millennial travelers and aging populations with disposable income—further shaped trip frequency and destination preferences. Business travel remained subdued as virtual meeting technologies removed the need for in-person interactions for many organizations. A modest reversal in ticket prices and the growing presence of low-cost carriers facilitated travel, with the sector achieving a 20.6% compound annual growth over the five-year span and regaining ground above pre-pandemic levels.