The State of Travel Services: Cooling Demand and Shifting Ad Spend in 2025
Tariffs and inflation are reshaping U.S. travel behavior while ad dollars move toward Social and Digital Video. Is your strategy keeping pace?
Discover how tariffs, consumer caution, and shifting media budgets are reshaping the U.S. travel services market.
Travel demand has cooled sharply in 2025 — and the slowdown is structural, not seasonal. While global markets like Canada, Australia, and the UK continue to grow, the U.S. has slipped as tariffs, inflation, and tighter household budgets weigh on travelers. Meanwhile, advertising tells a different story: spend is holding up, but dollars are moving fast into digital-first channels.
Key dynamics shaping the category include:
- Travel demand cooling — TSA throughput narrowed from double-digit gains to year-over-year declines.
- Ad spend outpacing demand — U.S. media investment rose +1% YoY despite weaker traveler volumes.
- Digital video & social resilience — Budgets are shifting away from Linear TV into Digital Video and Social.
- Segment divergence — Cruise Lines and Hotels grew, while Airlines, Tourism Bureaus, and Travel Services contracted.
The Travel Services 2025 Spotlight Report gives marketers, agencies, and media owners the insights they need to navigate this pivotal moment. Inside, you’ll learn:
- How tariffs triggered the sharpest cooling in U.S. travel demand in years
- Why the gap between travel volumes and media spend is widening
- Where Social and Digital Video are gaining ground at the expense of Linear and Search
- What the Q4 outlook suggests for brands looking to defend ROI and plan holiday strategies
Download the report today and gain the data-backed intelligence you need to anticipate demand, optimize budgets, and plan smarter across travel’s most dynamic segments.
Download the Report!