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Are changing demographics redefining incentive travel for a new era?

Today’s workforce values meaningful experiences, well-being, and sustainability, making it essential to design incentive travel programs that resonate on a deeper level. Now is the perfect time for companies to reimagine traditional approaches.

Incentive travel is no longer just a reward; it’s a symbol of high performance and a source of personal and professional growth. Unique, once-in-a-lifetime experiences that reflect company values and align with attendees’ aspirations are becoming essential to attracting and retaining top talent, fostering loyalty, and driving employee motivation.

By moving beyond one-size-fits-all itineraries and embracing tailored, purposeful experiences, organizations can create stronger emotional connections and inspire greater engagement with the incentive program’s goals.

Understanding the shift in attendee demographics

As demographics evolve, corporate incentive programs must adapt to meet diverse generational preferences and values. Kristy Moorhouse, Head of Client and Business Development, Australia and New Zealand (AU/NZ), has observed a growing preference among Millennial and Gen Z generations for authentic and immersive travel experiences over traditional luxury, such as high-end hotels.

“Their increasing interest in exploring lesser-known or off-the-beaten-path destinations often pushes planners to create exceptional experiences in locations that may lack extensive infrastructure. This presents great opportunities, such as contributing to local economies in developing destinations, but also requires working with destination management companies or local guides to navigate logistical challenges and ensure smooth execution.” – Kristy Moorhouse

A clear trend is also emerging towards smaller, more intimate and personalized activities, moving away from the larger, formal group formats of the past. According to CTM Meetings & Events leaders, customization and personalization are now key. By offering curated itineraries and addressing the individual “what’s in it for me?” mindset, organizations can ensure that incentive travel programs remain impactful, memorable, and highly valued.

What activities and destinations are in demand?

Experiential travel is at the forefront, with individuals seeking authentic, immersive, and tech-enabled experiences, according to Teri Awwad, Vice President of North America.

From an Australian and New Zealand perspective, Moorhouse highlights a growing demand for emerging and less-traveled destinations. This includes replacing large luxury coach tours with smaller, more intimate group travel focused on cultural immersion.

In Europe, Mike Leeson, General Manager, UK/Europe, notes a subtle shift towards unique destinations and experiences, with travel access and cost playing a significant role.

“Younger business travelers are still prioritizing experiences they will remember or can share on social media, while also seeking socially conscious activities.” – Mike Leeson

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