As travel trends evolve, the latest generation of travelers, Gen Z (ages 18-27), is playing a significant role in shaping how the industry adapts. In Asia, this young generation is not only influencing where and how we travel but also setting a blueprint for future generations of explorers. Agoda, one of the leading digital travel platforms, has conducted research that highlights the unique preferences and habits of Gen Z, offering valuable insights for hotel owners and travel businesses looking to stay ahead of the curve.

The Power of Gen Z: Social Media and Digital Influence

One of the most profound changes brought by Gen Z is their reliance on social media to fuel their travel decisions. Unlike previous generations, who might have leaned on word-of-mouth recommendations or traditional guidebooks, Gen Z turns to platforms like TikTok and Instagram for inspiration. In fact, TikTok has become the go-to source for travel recommendations, with 20% of Gen Z reporting that they discover new destinations through the app. Instagram follows closely at 14%, highlighting the visual nature of Gen Z’s travel choices.

Gen Z’s preference for visually stunning and “Instagrammable” spaces means that hotels across Asia need to rethink their marketing strategies to incorporate spaces that encourage social media sharing. By curating these instaworthy photo opportunities and encouraging guests to share their experiences, hotels can create a unique bond with this generation. Simple tweaks like adding visible hashtags or promoting themed experiences can help capture the attention of young travelers and elevate a hotel’s appeal.

The Rise of Spontaneous Travel: Last-Minute Bookings on the Increase

Gen Z is known for their spontaneity, and it’s not just in their travel inspiration—it extends to the way they book accommodations. A survey by Agoda found that 20% of Gen Z travelers book flights less than a week in advance, which is a trend that outpaces older generations like Millennials, Gen X, and Boomers. This inclination toward last-minute bookings reflects the fast-paced, unpredictable lifestyle of Gen Z, where flexibility and adventure often take priority over meticulous planning.

For hotels, this means that traditional long-term booking windows may no longer apply. Instead, hotels should think about ways to market their rooms for last-minute availability. Offering flexible booking options, discounts for spontaneous travelers, or special packages that encourage impulse bookings could resonate well with this dynamic generation.

The Power of Shared Experiences: Traveling in Tandem

Another standout trend among Gen Z travelers is their preference for shared experiences. While Millennials have been known to prioritize family vacations, Gen Z is more likely to travel with a partner or a group of friends. A significant 38% of Gen Z prefers to travel with a partner, and group trips with friends are also common. This focus on connection reflects the growing importance of social interaction, and it shapes how young travelers approach their trips.

Hotels that can accommodate group activities, romantic getaways, and family-oriented experiences are likely to capture the attention of Gen Z. For instance, offering themed experiences, such as exclusive dinner events or special packages that allow guests to share memories together, could be a way for hotels to foster this communal spirit.

Cost-Conscious but Experience-Driven: Budgeting and Spending Habits

Despite their growing spending power, Gen Z remains cost-conscious when it comes to travel. Agoda’s survey revealed that 56% of Gen Z travelers prefer to keep their accommodation costs under USD 50 per person per night, compared to 44% of Millennials. However, they are willing to spend more (between USD 51-100) if it means accessing unique experiences or high-quality services.

This reflects a shift in spending habits, where Gen Z is keen to balance affordability with experiences that align with their values. To cater to this demographic, hotels should focus on offering affordable luxury experiences that combine both budget-conscious pricing and high-end services. This could involve offering flexible room rates, accessible amenities, and packages that provide guests with rich, memorable experiences without breaking the bank.

Shared Wanderlust: The Desire to Travel Remains Universal

One of the most remarkable aspects of Gen Z’s travel preferences is their shared wanderlust with Millennials. Nearly half of both generations plan to take between one to three trips this year, with a significant number of them aiming for four to six trips. This love for travel transcends generational divides, with Gen Z and Millennials alike craving opportunities to explore new destinations, create lasting memories, and engage with diverse cultures.

To meet the needs of this eager, travel-hungry generation, hotels should focus on making their offerings flexible and adaptable. Whether it’s by offering customizable vacation packages, enhancing the guest experience through personal touches, or providing support for last-minute bookings, hotels should cater to the growing desire for travel that is dynamic and diverse.

Practical Ways Hotels Can Adapt to Gen Z’s Travel Preferences

Hotels across Asia can begin to incorporate some practical steps to cater to Gen Z’s preferences:

Create Instagrammable Spaces: Incorporate visually stunning designs throughout the hotel, from murals and cozy corners to stunning outdoor spaces. Encourage guests to capture and share their experience using branded hashtags.
Host Live Events: Stay on top of upcoming festivals, concerts, and events. By aligning the hotel’s marketing efforts with popular cultural happenings, hotels can attract Gen Z travelers looking for exciting and vibrant experiences.
Personalized Experiences: Gen Z values personal connection, so creating tailored experiences for guests, such as personalized spa treatments or special room amenities, could foster positive reviews and brand loyalty.
Engage Influencers: By collaborating with social media influencers who align with their brand, hotels can amplify their reach and showcase the unforgettable experiences that Gen Z is seeking.
Follow Social Media Trends: Hotels can tap into TikTok trends and replicate them within their spaces or services to appeal to the younger generation’s need for trendsetting experiences.
Offer Affordable Pricing with High-Quality Experiences: Cater to Gen Z’s cost-conscious nature by providing affordable accommodation options without sacrificing quality or luxury.

The Future of Travel Is in Gen Z’s Hands

As the first generation to have grown up with the internet, Gen Z is not only shaping how we interact with technology but also how we approach travel. They value experiences over material goods, are driven by social media, and embrace spontaneity in a way that challenges traditional travel norms. For hotels in Asia, this means that to stay relevant in an ever-evolving market, they must adapt their marketing strategies, pricing structures, and service offerings to meet the unique needs of this powerful generation.

By incorporating Instagrammable spaces, promoting shared experiences, offering personalized services, and keeping up with the latest social media trends, hotels can ensure they remain competitive and continue to attract Gen Z travelers. The future of travel is digital, dynamic, and ever-changing—and those who embrace these shifts will be well-positioned for success.