Younger consumers are reshaping the premium travel market, with American Express Travel data revealing a significant shift towards Millennial and Gen Z customers. As presented by Audrey Hendley, President of American Express Travel, spending by these generations increased by 40% in the second quarter of 2026, comprising 65% of the company’s new global clientele. In the U.S., the typical new Platinum cardholder is 32 years old, while Gold cardholders average 29 years of age. These generations are highly focused on travel, seeking out perks, benefits, and points to enhance their experiences. According to a survey, 75% of millennials would opt for a job offering more vacation time over better benefits. Hendley emphasizes that premium experiences are defined by how individuals choose to spend their time and what they value most.
Redefining Premium Travel
According to Hendley, the definition of premium is expanding. It now includes both wellness-focused boutique hotels and traditional luxury establishments. She highlighted hotels such as Six Senses in London and the Dorchester as differing yet both valid representations of luxury. Companies that define their premium tier too narrowly may risk alienating customers seeking diverse luxury experiences.
The Role of Technology in Travel
Hendley explained American Express’s innovative approach through a blend of advanced technology and personal interaction. The integration of AI helps to reduce waiting times on calls, while still allowing customers the option to speak directly with knowledgeable representatives. This strategy ensures human engagement without replacing personal service.
Designing for Real Customer Behavior
The Sidecar lounge concept by American Express is an example of adapting to traveller behaviours. Observations showed that users tended to travel alone or in pairs, with brief lounge stays. This led to the creation of a more intimate and successful lounge format. This principle can be applied by other brands as well: design offerings based on true customer behaviours.
Future Considerations for Travel Brands
Hendley noted that American Express is focusing on a niche of the travel market, while broader statistics show a decline in U.S. inbound tourism, down by 11% in August 2026 from the previous year and 7% in July 2026. It remains to be seen if the inclination towards higher spending by younger travellers is a long-lasting trend or specific to affluent cardholders, especially as economic conditions shift.
Additionally, the notion of premium travel is evolving, with a shift from focusing solely on luxury properties and destinations to providing enriching global experiences. This shift requires travel brands to balance offering experiential programs along with tangible upgrades to their products.
Reporting based on coverage first published by skift.com.