From AI Planning to “Nanocations,” What Travel Will Look Like in 2026

Steve Hafner, KAYAK CEO, says, “Travel is a discretionary spend but remains a high priority for consumers. They’re adjusting to economic uncertainty by favoring off-beat destinations with traveler-friendly policies, and great value in price, services and amenities.”

Trading Viral for Original

A striking shift in traveler behavior is emerging around the destinations people choose. Younger travelers, particularly Millennials and Gen Z, say they’re increasingly motivated by places that haven’t yet gone viral on social media. 

Nearly seven in 10 Gen Z respondents and two-thirds of Millennials said they want to visit places they’ve never seen featured online, part of a broader move away from “copy-paste” itineraries to unique, often lesser-known locales.

Industry analysts see that trend reflected in search data: cities throughout Eastern Europe have gained traction as cultural and affordable alternatives to traditional Western European hotspots, with strong interest in Prague, Krakow, Budapest and Sofia. 

Hannah Aiken, Luxury Travel Advisor and founder of Hideaway with Hannah, says, “I’m seeing my Millennial and Gen Z clients gravitate toward places that feel undiscovered, where they can stretch their budget and escape the crowds. Instead of defaulting to Paris or Rome, they’re asking about the Adriatic islands — spots like Hvar, Vis, and Korčula — where the landscapes are stunning and the experience feels undiscovered. The same goes for the French countryside, especially areas like the Verdon Gorge and Burgundy. These destinations offer incredible value and a sense of authenticity that younger travelers are prioritizing over the typical, over‑touristed hotspots.”

Budget Breaks and Smarter Booking

Cost remains a significant barrier for many travelers, but 2026 may mark a turning point in how trips are paid for. The report notes that a substantial share of younger travelers plan to use flexible payment options, such as credit and installment plans, to make vacations more affordable.

Thirty-five percent of Gen Z and 31% of Millennials surveyed say “buy now, pay later” arrangements will influence their travel decisions, signaling a shift in how leisure travel is budgeted. 

Lower airfare is fueling this trend. KAYAK search data indicates international airfare from U.S. airports is down about 10% compared with previous periods, while domestic fares have also eased, making travel more attainable for budget-minded travelers. 

Meanwhile, more travelers are using price alert tools to capture deals on flights and rental cars. 

Chasing Wonder, Not Checklists

The definition of a “good trip” is shifting as more travelers prioritize emotional, once-in-a-lifetime moments over traditional sightseeing checklists. Instead of racing to see famous landmarks, many are planning trips around awe-inspiring experiences that create lasting memories.

Natural phenomena and wildlife encounters are driving that change. Travelers are booking trips to witness the Aurora Borealis glow across Arctic skies, joining whale-watching excursions to see humpbacks breach offshore, and timing safaris in East Africa to catch the Great Migration, when millions of wildebeest and zebras cross the Serengeti in search of fresh grazing lands.

These gasp-away moments, experiences that spark wonder and connection, are increasingly shaping where people go and how they spend their time.

How AI Is Reshaping Travel Planning

Artificial intelligence is rapidly moving from novelty to mainstream in travel planning. The KAYAK report highlights that many travelers now view AI as an essential tool for researching deals, identifying destinations and optimizing itineraries.

Nearly 60% of respondents say they trust AI recommendations because they draw on extensive data and up-to-date sources, and roughly one-third report choosing or changing trip plans based on AI input.

That shift reflects a broader industry trend. A 2025 Phocuswright survey found that 78% of travelers who have used generative AI for trip planning said it improved their experience, citing faster research and more personalized recommendations.

Travel companies are taking note. Tools such as KAYAK’s AI Mode are designed to help users search smarter, whether they are seeking the best price or exploring destinations that fit their interests and budget.

Wellness and Authenticity Take Center Stage

Another key theme in the report is wellness-oriented travel, which KAYAK refers to as “wellth” trips, where luxury is paired with mental rejuvenation. Travelers are redefining luxury not as excess, but as relaxation, meaningful experiences and a focus on personal well-being.

This includes fine dining, spa treatments, immersive cultural experiences and boutique hotel stays. The trend aligns with a surge of social media content around wellness travel, with millions of posts tagging destinations and amenities focused on serenity and mental health. 

At the same time, smaller towns and rural regions are gaining appeal over big cities. Many travelers now prefer slow exploration — savoring local food, visiting off-the-beaten-path attractions and connecting with communities in ways large urban centers often can’t replicate. 

Short Trips, Long Impact

Finally, the report spotlights a growing appetite for short, spontaneous escapes. Dubbed “nanocations,” these small, frequent getaways provide refresh without extensive planning or long breaks from work. Nearly two-thirds of travelers plan to take multiple short trips in 2026, prioritizing flexibility and the ability to travel on short notice. 

As travel interest rises and booking behaviors evolve, 2026 may well become a year defined not just by where people go, but how and why they choose to get there.