1. Millennial Travel Study - 2015
Report on:
Millennial Travel Study
Prepared for – ICICI LOMBARD GIC Ltd.
Submitted by – GfK Mode
Date: 2nd December 2015

2. F2F Interviews done through purposive sampling
Study Specifics
Objective of the Study
To understand the Millennial generation attitude towards travel while travelling overseas
Decision Making process of Millennial for Overseas Travel
To understand the outlook towards risk and Willingness to purchase travel insurance
Nature Of Study
F2F Interviews done through purposive sampling
Sample Size Achieved
Centre
Sample Size
Mumbai
200
Delhi
Hyderabad
Bangalore
199
Ahmedabad
150
Kolkata
100
Total
1049
Target Group
SEC A
Male and Female
Age- 25 to 35 years
Travelled in L1Y to overseas destination by Air
Salaried / Business or Self- Employed
Fieldwork Period
October-November, 2015

3. Top 5 Dream Destinations
Overseas
Top 5 Dream Destinations
All figs in %
United Kingdom
34%
38%
United States
Top Dream Countries %
Singapore 39
United States 38
United Kingdom 34
Australia 26
Malaysia 24
Japan 21
China 19
24%
39%
Malaysia
Singapore
26%
A24
Australia

4. Top 5 Travelled destinations
Overseas
Top 5 Travelled destinations
All figs in % 9%
United States
Thailand
Top Dream Countries %
Singapore 22
Australia 11
Malaysia 9
Thailand
United States
China 4
Japan 1 9%
Malaysia 9%
22%
Singapore
11%
Australia
RQ22

5. Overseas Leisure Travel Frequency - Self Vs Parents
Q. Please tell me from the SHOW CARD on an average how often do you travel to OVERSEAS locations in a year for leisure travel?
Q. Please tell me from the SHOW CARD, on an average how often were your parents used travel to OVERSEAS locations in a year for leisure when you were young?
All figs in %
Unlike their parents who hardly travelled abroad, almost 9 in 10 Millennials travel overseas once a year
Frequency of Travel -Self
Frequency of Travel- Parents - Past
A11 & A12
Base : All :1049
Base : All :1049

6. Duration of Stay – Self Vs Parents
Overseas
Duration of Stay – Self Vs Parents
Q. Kindly tell us from SHOWCARD what was the duration of stay for your last OVERSEAS leisure travel?
All figs in %
Majority of Millennials prefer 4-7 days overseas stay; while their parents hardly travelled
Duration of Stay – During previous travel - Self
Duration of Stay - Parents in the Past
Average Number of days stayed = 8.6 ~ 8 to 10 days time
A7 / A7a
Base : All : 1049
Base : All :1049

7. Parameters for Considering an Overseas Location
All figs in %
Culture/Heritage and scenic beauty remains primary parameters. More and more Millennials today consider health and hygiene conditions of a country before travelling.
Q. Please think about the last time when you travelled to _______________(mention location ) what were the parameters that you considered while making a decision on your travel destination?
Q. Looking at the card SHOWCARD could you please tell me what were the parameters that you considered while making a decision on your travel destination?
Culture / History / Heritage sites
Beaches / Sightseeing / Landscape
Health and Hygiene conditions in the destination country
Atmosphere / Rich Fauna
Convenience of Paperwork/ Ease in getting Visa
Cost of Flight
Wildlife / Adventure related trip
Air transport infrastructure
Availability of Packages tours
Accommodation costs / Hotels
Ground transport infrastructure
Beaches / Sightseeing / Landscape
Culture / History / Heritage sites
Atmosphere / Rich Fauna
Safety and security in the destination country
Wildlife / Adventure related trip
Ease in getting Visa
Accommodation costs / Hotels
Attitude of Locals
Cost of overseas travel (Tickets, lodging, food, local expenses, etc)
Health and Hygiene conditions in the destination country
Air transport infrastructure (Number of flights / availability of inter-connected flights, etc)
A25 + A25a
Current Survey (Yr. 2015)
Previous Survey (Yr. 2013)
Base : All :1049
Base : All :1043

8. Online sources of Travel Information
Overseas
Online sources of Travel Information
Q. From the SHOWCARD please tell me which of these online sources did you use for your travel information gathering?
All figs in %
Online marketing/Promotional ads and Social media are the top online source of information.
Online marketing/ promotional ads (i.e.. Receiving pop up suggestions or ads about travel locations, tour packages etc. when surfing online)
Social media platforms
Travel Blogs eg.blogs written by travel enthusiasts about their travel /trip
Travel portal websites
Travel operator websites B3
Base : All those who have done Internet /online research :420

9. Persons accompanied during last trip
Overseas
Persons accompanied during last trip
All figs in %
Almost half of the respondents were accompanied by their wife during overseas leisure travel followed by friends.
Spouse
Friends
Children
Other Family members
Self Only
Primarily driven by Ahmedabad (79%) & Delhi (64%)
Primarily driven by Hyderabad (47%) & Mumbai (53%)
A16
Base : All :1049

10. Preference of type of vacation
Overseas
Preference of type of vacation
Q. From the SHOWCARD let us know what kind of OVERSEAS vacations do you prefer?
All figs in %
Majority of the respondents prefer multiple location tour than single location tour.
Tour packages and discounts trigger multiple location travel.
Preferred type of Trip
Reasons for Multi-location preference
Group tours / packages
Better Discounts / deals
Utilising long / clubbed office leaves at a time
Membership of club / Hotels
Tourism promotion by Government
Advertisements
Promotional mails from Tour packages operators
A14 / A15
Base : All :1049
Base : All those Intent to Increase budget : 598

11. Options of Stay - Stayed previously Vs Consideration
Overseas
Options of Stay - Stayed previously Vs Consideration
Q. There are many options of stay abroad…Looking at the card SHOWCARD. Which of the following options have you stayed previously during your previous trip overseas?
All figs in %
Millennials inclined towards convenience (hotel chains) and luxury (resorts) while considering accommodations.
Stayed Previously
Future Consideration set
Traditional standalone hotels with boarding or lodging facilities
Resorts
Chain of Hotels present in Multiple locations
Homestay or Couch sharing
Traditional standalone hotels with boarding or lodging facilities
Resorts
Chain of Hotels present in Multiple locations
Homestay or Couch sharing
B5/6/6a
Base : All :1049
Base : All :1049

12. Problems faced during last trip
Overseas
Problems faced during last trip
Q. During your overseas travel, you might have faced certain problems / issues/ challenges while travelling abroad. Kindly refer to the following SHOW CARD where we have enlisted…. Based on your experience, let us know whether you have witnessed any of the following issues.
All figs in %
Millennials face safety and travel related issues during travel.
Type of Problems Faced
Safety related issues
Travel related problems
Local people behaviour related issues
Medical support related issues
Documentation related problems
Other issues
A26
Base : All : 1049
Base: Thos who have faced problems : 493

13. Leisure Travel Frequency - Overseas Vs Domestic
Q. Please tell me from the SHOW CARD on an average how often do you travel to OVERSEAS locations in a year for leisure travel?
Q. Could you please tell me how many times have you travelled to Domestic locations for leisure in a year?
All figs in %
In a year, frequency of domestic travel is more for Millennials as compared to overseas travel. While only 12% travel overseas, 29% travel domestic 2-3 times a year.
Frequency - Overseas
Frequency - Domestic
A2 & D1
Base : All :1049
Base : All :1049

14. Change in Frequency - Future - Overseas Travel
Q. Kindly tell us looking at the card SHOWCARD over the next few years (2-3 years), could you please tell me whether you plan… ?
All figs in %
In future, majority of the respondents see increase in their overseas travel.
The major reasons for the high future travel intention are decrease in travel and stay costs.
Reasons for Increase %
I work harder than before, so need more vacations 56
Cost of staying has decreased 47
There is a decline in travel fares 41
Overseas travel is more value for money proposition compared to Domestic travel 26
My children have grown up now 19
Reasons for Decrease %
My workload has increased, hence do not find time 60
Cost of travel is not justified 51
Had a child recently 21
I have covered all the places I intended to see 19
Do not find overseas travel fun anymore 5
I/member of my family have some health ailments 3
Future travel Intention - Next 2-3 Years
Base : Those Intent to decrease in future : 73
Base : Those Intent to increase in future : 493 A6

15. Budget Constraints for travel & availed finance
Overseas
Budget Constraints for travel & availed finance
Q. Could you please tell me if your budget is a constraint for your previous overseas travel?
Q. You have mentioned that there was a budget constraint during your previous travel. Could you please tell us if you have availed any finance options…
All figs in %
1/5th of the respondents said budget was a constraint during overseas travels. Out of them around 40% Millennials availed finances.
Budget Constraints
Availed finance
A23 & A24
Base : All :1049
Base : All those Budget Constraints : 218

16. Source of funds for previous trip
Overseas
Source of funds for previous trip
Q. From the SHOWCARD let us know what was the source of money that you used when you travelled last time to_________(mention location)
All figs in %
9 out of 10 respondents travelled overseas using their savings.
Savings
Funded by family / sponsored
Salary Bonus
Encashed accumulated travel miles
Leave travel allowance
Took a loan / EMI
A27
Base : All :1049

17. Travel Insurance - Awareness Vs Purchase
Overseas
Travel Insurance - Awareness Vs Purchase
Q. Please tell me are you aware of the Travel Insurance for overseas travel?
Q. Please tell me have you purchased Travel Insurance for OVERSEAS travel during last 1 year?
All figs in %
Although 90% Millennials are aware of Travel Insurance. Only 2 of 5 respondents purchased travel insurance for Overseas Travel
Awareness of Travel Insurance
Travel Insurance – Purchase
Awareness of Travel Insurance
Travel Insurance – Purchase
Base : All respondent : 1049
Base : All those Aware of Travel Insurance : 954
Base : All respondent : 1043
Base All those Aware of Travel Insurance : 835
C1/C3a
Current Survey (Yr. 2015)
Previous Survey (Yr. 2013)

18. Source of awareness – Travel Insurance
Overseas
Source of awareness – Travel Insurance
Q. Please tell me what were your main sources of awareness of OVERSEAS Travel Insurance?
All figs in %
Millennials increasingly value personal opinion while purchasing Insurance for travel. Travel agent followed by relatives and friend play critical role.
Travel Agent
Family members / Relatives / friends / colleagues etc.
Internet websites / search engines
Tour Operator
Blogs on travel / Social networks
Brochures/guidebooks
Prior experience
Mandatory as per rules / regulation
Travel Agent / Tour Operator
Internet websites / search engines
Family members / Relatives / friends / colleagues etc.
Blogs on travel / Social networks
Prior experience
Mandatory as per rules / regulation
Brochures/guidebooks
Read an Article on Travel Insurance C3
Base :Those who are aware of travel insurance and have purchased travel insurance in last 1 yr : 425
Base : All those Aware of Travel Insurance : 954
Current Survey (Yr. 2015)
Previous Survey (Yr. 2013)

19. Reasons for Purchasing/Not Purchasing Travel Insurance
Overseas
Reasons for Purchasing/Not Purchasing Travel Insurance
Q. Please tell me the VARIOUS reasons from SHOWCARD for not purchasing Travel Insurance for OVERSEAS travel?
All figs in %
Medical emergency and luggage safety are primary reasons for purchasing travel insurance.
Lack of awareness and myths deter Millennials from opting insurance during travel.
Reason for Purchasing Travel Insurance
Reason for Not Purchasing Travel Insurance
Travel Insurance – Purchased in L1Y
No need to buy separate OVERSEAS travel insurance
Mainly related to accident and theft, loss of baggage etc. not medical support
Too expensive
Loss of money
Insurance offer partial reimbursement of medical costs
Making claim is very difficult and requires lot of follow-ups
Not mandatory to take OVERSEAS travel insurance
Need at the times of medical emergency
Luggage / baggage safety
Unfavourable past experiences
Other reasons
C3a/C4/C5
Base : All those Aware of Travel Insurance and Not Purchased : 557
Base : All those Aware of Travel Insurance & Purchased : 397
Base : All those Aware of Travel Insurance : 954

20. Summary

21. Summarizing ….
Aspirational Indian Millennials prefer international over domestic destinations and desire to visit expensive countries like UK and USA.
Unlike their parents who hardly travelled when young, almost 9 in 10 Millennials travel overseas in a year.
Millennial save to fund their leisure travel .
Culture/Heritage and scenic escapades are key drivers for preferring overseas destinations. More and more Millennials today consider health and hygiene conditions of a country before travelling.
Though 2/5th of the Millennial self-research online sources for information; travel agent and peer reviews are major providers of information related to travel.
Millennial are inclined towards resorts and hotel chains as preferred accommodation during overseas travel over standalone hotels.
Although 9 out of 10 Millennial are aware of Overseas travel insurance; only 4 out of 10 purchase one.
Lack of awareness and myth related to travel insurance discourage Millennial from insuring their travel.

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