The Vacation Americans Won’t Cut
MMGY's fall survey puts planned US leisure spend at $5,655 over 12 months, with Boomers outspending Gen Z four to one. Value-hunting is up; cancellations are not.
American travellers are economizing around their trips rather than cancelling them. That is the headline from MMGY‘s 2026 Portrait of American Travelers, Fall Edition, released on 2 October, and it has a clear commercial reading for the luxury trade: the spend is still there, it is concentrated in older clients, and it is being steered toward value.
The numbers
MMGY surveyed 4,500 US adults. Respondents expect to spend an average of $5,655 on leisure travel over the next 12 months, across nearly four vacations (3.9).
The generational gap is wide. Baby Boomers expect to spend $8,796; Gen Z expects to spend $2,195, less than a quarter as much.
The trade-offs are where the behaviour has shifted:
- 35% say they are travelling in off-peak periods.
- 32% are cutting spending elsewhere to protect their travel budget.
- 64% of those choosing domestic over international trips cite lower cost as a reason.
“Americans continue to tell us that travel is something they’re willing to protect, even when household budgets are under pressure,” said Simon Moriarty, MMGY’s vice-president of syndicated research.
AI: inspiration, not booking
More than half of leisure travellers (51%) have used AI for trip planning, up 11 percentage points year over year, according to the report. Adoption reaches 71% among Gen Z and 68% among households with children.
Read next · Market PulseBrand USA's Interim Chief Has One Job2 min →But only 4% rank AI among their top three trip-planning steps. MMGY reads that as AI’s influence sitting in inspiration and discovery rather than booking. For advisors, that is the gap: clients arrive with AI-generated ideas and still need someone to turn them into a bookable, well-priced trip.
What it means for luxury
The survey covers all US adults, not affluent households, so it is a directional signal rather than a luxury forecast. Still, three points carry over:
- Boomers remain the volume. Their planned spend is the highest of any generation and they have the most flexibility on dates.
- Shoulder season is now a mainstream request. A third of travellers already shift dates to save. Luxury clients who do the same can secure better suites and inclusions at the same budget.
- Domestic is winning on price. Parks and outdoor trips remain strong motivators in the report. International sellers need to make a clear value case, not only a bucket-list one.
For advisors
- Pitch to Boomers first for 2027 long-haul and cruise; their stated budgets support premium cabins and suites.
- Lead with shoulder-season value: package off-peak dates with tangible upgrades (suite category, private guiding, added nights) rather than discounts.
- Treat AI-shaped briefs as a starting point: ask clients what their AI tool suggested, then add the access, pricing and logistics it can’t.
- Families: with 68% of households with children already using AI, expect more pre-researched requests and sharper price comparisons.