As the year winds down, it’s time to take a closer look at the intriguing Travel trends shaping the United States in the final quarter of 2023. From flights to hotels and traveler preferences, we’re here to unravel the latest in U.S. Domestic travel.

Note: The year-end U.S. Domestic Travel Insights report is based on analyzing the travel-intent data provided by Adara — a RateGain Company, and captures:

• Travel Dates: October 1 – December 31, 2023
• Booking Dates: June 1 – Sept 11, 2023

Domestic Flights: A Slight Uptick

1. Domestic Flight Bookings Rise

   Great news for your hotel’s occupancy rates! Domestic flight bookings are up by 9% year-over-year during October-December. Business travelers from domestic locations are fueling this growth, with a substantial 12% increase compared to last year.

2. Solo Leisure Travel Dominates

   When it comes to travel reasons, solo leisure travelers steal the show, making up a significant 77% of domestic travel. Business travelers are in the mix too, but they account for a modest 14% of bookings.

Top Origin Cities: Where It Begins

1. Rising Domestic Arrivals

   The travel boom is real! Arrivals from Washington, D.C. are projected to skyrocket by a staggering 129% during October to December 2023 compared to the same period in 2022. Philadelphia and New York are also experiencing robust growth, with arrivals over 50% higher year-over-year.

2. Origin Cities to Watch

   The top origin cities for domestic hotel bookings in the U.S. present an intriguing mix. New York, Chicago, and Washington, D.C. lead the way, with San Jose, CA, and Houston also in the limelight. Don’t forget to consider Dallas, Los Angeles, Atlanta, Philadelphia, and Sunnyvale (Bay Area, CA) as notable origin destinations.

Traveler Preferences: Short and Sweet

1. Short Trips Lead the Way

   Domestic travelers in the U.S. are favoring shorter getaways. A remarkable 44% of hotel bookings are for stays under 3 days, and 75% are under 5 days. But don’t overlook the potential for longer stays, as 13% of domestic traveler bookings extend beyond 7 days.

2. Average Daily Rate (ADR) Insights

   In terms of accommodations, 43% of hotel bookings fall within the ADR range of $100 to $200. Luxury enthusiasts make up 14% of bookings, opting for rooms with an ADR exceeding $300.

Flight and Group Preferences

1. Flight Booking Value Breakdown

   Nearly 39% of travelers are gravitating toward flights priced between $200 and $500. The demand for pricier, more comfortable seats comes in second, making up 26% of all bookings.

2. Group Size Matters

   Among hotel bookings, couples take the lead, claiming a significant 48% share. Solo travelers follow closely at 37%, while family trips account for 15% of all hotel bookings among travelers originating from within the country.

The year-end U.S. domestic travel insights indicate a revival in domestic flight bookings, a preference for solo leisure travel, and a diverse range of origin cities propelling travel within the country. From brief getaways to extended stays, and from affordable lodging to luxury experiences, there’s a lot to consider as you manage your hotel’s revenue strategies.

These insights are your roadmap to a successful year-end in the U.S. hospitality industry.

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