U.S. Travel Agency Landscape 2025

Summary

The modern travel advisor is part entrepreneur, part technologist and still the traveler’s most trusted human connection. Despite economic uncertainty, the U.S. agency channel continues to outperform the broader market, buoyed by strong luxury, cruise and family travel sales. A new wave of home-based independents has the potential to reshape the industry, blending personal service with digital agility. With optimism high and new technology, including AI, rapidly gaining traction, travel agencies are evolving to meet the expectations of the next generation of travelers.

U.S. Travel Agency Landscape 2025 is part of a joint research project with Phocuswright and Travel Weekly, tracking the travel agency distribution landscape and overall market size. 

Based on a comprehensive market sizing exercise, along with a survey of more than 1,500 U.S. travel advisors, questions answered include:

• How large is the U.S. travel agency market and how does its growth compare to other distribution channels?
• What trends are driving success for leisure and corporate agencies across air, cruise and tour segments?
• How is the advisor workforce changing, and what role are home-based and independent contractors playing?
• Which technologies—especially AI and NDC—are most influencing advisor operations and client engagement?
• How can agencies attract younger travelers and advisors while maintaining their hallmark of personalized service?