Tourists are now evaluating more criteria than ever before when selecting destinations, with climate change, economic conditions, and global events increasingly shaping travel decisions. Traditional European resorts are feeling the impact, as heatwaves and wildfires affect popular spots in France, Spain, and Croatia. Meanwhile, tourists in Cyprus have witnessed rockets from conflicts in the Middle East while on the beach.
Economic concerns also influence travel plans. Sluggish growth and inflation fears, partly linked to U.S. tariffs, are prompting travelers to be more cautious with spending. A weaker U.S. dollar has reduced overseas purchasing power, making countries in Latin America and Southeast Asia more attractive for American tourists. Many now book all-inclusive packages in advance as a cost-saving strategy.
Political tensions and reports of travelers being questioned or detained when entering the U.S. have led some international visitors to rethink trips to America. TUI, Europe’s largest travel operator, has reported a slight drop in U.S. bookings, with CEO Sebastian Ebel citing border checks as a contributing factor.
Europe remains a consistent choice despite these challenges. Familiarity with destinations and relatively stable exchange rates are working in its favor. Greece and Turkey remain popular, although rising inflation in Turkey has slightly increased costs. Many travelers are opting for “cooler” destinations in Northern Europe, such as Iceland, Norway, and Poland, reflecting a broader trend toward climate-conscious planning.
Experts also highlight the growing concern over wildfires. In Spain, Portugal, and Greece, travelers increasingly inquire about safety precautions and insurance coverage. Rhys Jones, a travel insurance expert at GoCompare, advises checking government travel warnings before visiting affected areas, as insurance claims may be denied if risks are ignored.
According to Nicholas Smith, director of digital holidays at Thomas Cook and eSky Group, “Vacationers in 2025 consider more factors than ever when planning their trips—from currency fluctuations and visa rules to climate patterns and unique cultural experiences.”