Industry Overview
The India Tourism Market size was valued at USD 19.2 billion in 2023. It is likely to grow up to USD 32.3 billion by 2030 at a CAGR of 8.5% during the forecast period ranging between 2025 and 2030.
The recent boom in the Indian medical tourism market and the rapid developments in the wellness awareness are two significant reasons for the growth of the Indian tourism market. Advanced traditional medical facilities and qualified practitioners as well as renowned Ayurveda along with affordable treatment plans also promote medical tourism in India. Apart from wellness retreats, improvements and higher investments in general tourism have also fueled international footfall and the market growth.
India tourism is a vast industry and has two distinct wings, general and medical tourism showcasing the huge diversity of the country in culture, heritage, history, and architecture. Religious travels for spiritual solace and divine connection also encompassIndia tourism resulting in millions of domestic and foreign tourists visiting different regions of India every year. It comprises historical sites, natural beauties, religious attractions, adventure zones, and more.
Integration of technology makes things easier for tourists such as online booking platforms, virtual assistants and chatbots have made touring India more convenient and easier for all. It boosts employability, local business, GDP, and cultural exchange.
India TourismIndustry Dynamics
India Tourism Market Trends/Growth Drivers:
Development and integration of smart tourism and digital payments
The India tourism market is highly influenced by the rise in digital payments and smart apps. These technologies have made bookings and traveling more secure which has not only revolutionized the industry but has also resulted in significant growth. In addition, supportive government initiatives such as e-Visa system, PRASHAD and others, along with infrastructural development, have promoted market growth. Other influencing growth factors include influence of digital marketing and social media, eco-friendly and sustainable tourism and stays, improved air connectivity due to UDAN, and more, which are surging market growth.
India Tourism Market Report Coverage
Report Metric
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Details
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Historical Period
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2018 - 2023
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Base Year Considered
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2024
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Forecast Period
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2025 - 2030
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Market Size in 2024
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U.S.D. 19.2 Billion
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Revenue Forecast in 2030
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U.S.D. 32.3 Billion
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Growth Rate
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8.5%
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Segments Covered in the Report
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By Tourism Type, By Tourist Type, By Age Group and By Purpose
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Report Scope
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Market Trends, Drivers, and Restraints; Revenue Estimation and Forecast; Segmentation Analysis; Impact of COVID-19; Companies’ Strategic Developments; Market Share Analysis of Key Players; Company Profiling
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Regions Covered in the Report
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North India, South India, Western India and North east Indian
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India Tourism Market Challenges
Issues with last-mile connectivity and infrastructure
In spite of the advantages, there is a lot of room for infrastructural development to improve last-mile connectivity. This is one of the biggest challenges that is hindering the growth of the India tourism market further. Remote yet beautiful areas need proper roads, sanitation, transport, and internet service to make things convenient for travelers. Inconsistent service and inadequate airport capacity in popular tourist destinations are also hindering market growth just as safety issues, delays in visas, pollution, high hospitality taxes, and inadequate digital knowledge in rural zones.
India Tourism Market Opportunities
Rising preference for ecofriendly and sustainable tourism
The biggest growth opportunity in the India tourism market is the rising preference among travelers for ecofriendly and sustainable tourism because the country can leverage its rich biodiversity. In addition, rising preference for homestays, eco-friendly travel, rural and community-based tourism also presents new growth avenues. Other growth opportunities include rising medical tourism, luxury travels, adventure tourism, and MICE (Meetings, Incentives, Conferences, and Exhibitions) tourism.
India Tourism Market Segmentation
VynZ Research provides an analysis of the key trends in each segment of the india tourism market report, along with forecasts from 2025-2030. Our report has categorized the market based on Tourism Type, Tourist Type, Age Group and Purpose.
Insight by Tourism Type
- Leisure Tourism
- Adventure Tourism
- Cultural Tourism
- Medical Tourism
- Spiritual Tourism
- Business Tourism
The leisure tourism segment dominates due to diverse landscape of India
The wide market of India tourism is divided according to the tourism type into different categories such as Leisure Tourism, Adventure Tourism, Cultural Tourism, Medical Tourism, Spiritual Tourism and Business Tourism. Out of all these categories, the leisure tourism category dominates the market. It is also anticipated to grow more during the projected period due to the diverse Indian landscape including relaxing beaches to spiritual sites and everything in between.
Insight by Tourist Type
- Domestic
- International tourists
Domestic tourism dominates due to government campaigns
The type of tourists also divided the India tourism market into Domestic and International tourists, where the former dominates the market in the projected period due to a large number of people visiting different regions, especially after the pandemic, mainly due to specific government campaigns to promote domestic tourism like Dekho Apna Desh.
Insight by Age Group
- Gen X
- Millennials
- Gen Z
- Baby Boomers
Millennials and Gen Z leads due to preference for budget-friendly tourism
Different ages of travelers also divide the India tourism market into different segments such as Gen X, Millennials, Gen Z, and Baby Boomers. Out of all these major segments, the millennials and Gen Z dominate the market. They are expected to contribute more during the projected period mainly due to their penchant for budget-friendly tourism. They also prefer adventure tourism and most of their travel decisions and destinations are mostly influenced by different social media platforms such as Instagram and YouTube.
Insight by Purpose
- Leisure
- Business
- Medical
- Wellness And Business + Leisure (Bleisure) tourism
The bleisure travel segment dominates due to refreshing experiences alongside work visits
According to the varied purposes, the India tourism market is divided into Leisure, Business, Medical, Wellness And Business + Leisure (Bleisure) tourism categories. Out of them, the Bleisure travel segment dominates the market due to refreshing experiences alongside work visits.
India Tourism Market: Geographic Overview
North India leads the India tourism marketas there is a lot of tourist destinations. It includes the mighty Himalayas, several pilgrimage spots, and a lot of heritage sites, monuments, and forts.
South India Shows the highest growth promises and is anticipated to grow at a higher CAGR during the projected period. It is attributed to its rich diversity and variety that includes the famous backwaters of Kerala, lots of historic places and heritage spots, beautiful temples, lovely and serene beaches, renowned medical facilities and hospitals, and Ayurvedic centres.
The Western region of India Is also growing steadily and contributing to the Indian tourism market as it attracts a lot of business travellers being the business capital of India along with a lot of tourist destinations promoting Bleisure tourism.
North east Indian regions are also showing good prospects due to several destinations for ecotourism and adventure. Higher government support to promote tourism in this region also fuels the growth of tourists visiting this region.
India Tourism Market: Major Players
India TourismMarket: Recent Developments
MakeMyTrip launched its 'Loved by Devotees' list of more than 26 religious destinations with more than 450 accommodations.
Thomas Cook has beenchosen as the special partner for managing transport, catering, and accommodation of more than 20,000 competitors in the National Games 2025.