Outbound travel for affluent Indians geared towards luxury hotels, nightlife, say Visa

Digital Payments company VISA said that outbound travel for affluent Indians is geared towards luxury hotel and private stays, experiencing different cuisines, nightlife and beaches. Popular searches include luxury hotels 74 per cent and resorts 12 per cent Ramakrishnan Gopalan, Vice President, Head of Products and Solutions, for India and South Asia, Visa said. The Asia Pacific Destination Forecasts 2022 -- 2024: India report also states that inbound tourists are motivated by community-based tourism and native life experiences. This includes staying in homestays or farm stays and indulging in cooking, crafting and village tours. Gopalan said that they wanted to experience authentic local culture and local rituals.

He said there was a growth in local cultural experiences, escape and relaxation, and night life experience. Indians were rediscovering their historical landmarks when covid cases hit an all new low in December, according to the report. It said there was a significant increase in self-discovery 38 per cent approx. Nightlife is approx. 18 per cent. Local cultural experiences are 9 per cent approx. Outdoor adventure, leisure pursuits and escape and relaxation saw a downfall of 2 -- 3 per cent.

After two years of stagnation, pent-up demand has caused an increase in travel, giving rise to revenge travel. India is expected to receive more than 13 million visitors by 2024, which is 22 per cent higher than pre-pandemic levels 2019. Domestic-focused travel with weekend trips and staycations is taking the lead, according to Gopalan. Travel is making a comeback and there are great opportunities for digital payments to make customer experience convenient, he said.

Digital will be a big growth driver going forward. 51 per cent of travel payment searches are made on credit cards, according to the report. In India, where more travelers are welcomed, superior travel experiences must be supported by convenient and safe digital payments. He said digital payments and international payment acceptance are essential to ensure a great traveler experience in small businesses and across towns and cities.

In May, it remains above RBI comfort level, but remains above the 04% mark in May.