To truly capitalise on the immense opportunities ahead, the luxury travel industry must move beyond its fixation on a specific demographic and instead embrace the diverse needs and desires of its clients, says Virtuoso Chairman and CEO Matthew Upchurch. By recognising that today’s travellers span multiple generations and backgrounds, Upchurch believes the industry can better serve a wider audience and unlock unprecedented growth.

Speaking to LATTE at the Virtuoso ANZ Forum in Perth earlier this year, Upchurch pointed out the industry needs to rethink the way it looks at travellers. “Millennials are not kids anymore – they’re having kids,” he said.

And while millennials may be becoming the “key spending route”, one clear group is poised to become even more influential in the coming decades.

“The single wealthiest cohort of American consumers in the next 20 years will be single women over 65,” he explained, adding that a similar trend is most likely being seen in other markets including Australia. “No other cohort of consumers will have the money, the time, and the resources.”

This shift is part of a larger trend known as the “longevity revolution.” As women generally outlive men by an average of seven to ten years, they are positioned to inherit significant wealth, often managing it themselves due to estate planning strategies. This demographic is therefore becoming a force in industries like travel, where they represent both significant spending power and a desire for experiences.

At Virtuoso, efforts are being made to reflect these changing realities, according to Upchurch. “We don’t focus on a demographic. We focus on, how do we connect and how do we evolve to bring the market to these people?

“One of the ways we’re trying to add value to our partners is by matching the diversity of our advisors with the diversity of our clients,” he shared. “We have Gen Z advisors and these incredible women, whom I call my ‘virtuoso moms.’”

These women, who include 92-year-old Nancy Strong of Strong Travel Services in Dallas, Texas, defy expectations with their boundless energy and commitment to serving clients, he explained.

In line with this, Virtuoso is embracing cross-generational collaboration, with Upchurch referring to a concept championed by Chip Conley, former Chief Strategy Officer at Airbnb. Conley’s book, Wisdom at Work: The Making of a Modern Elder, explores the idea of experienced professionals mentoring younger generations in a work environment dominated by digital natives. “What can boomers learn from millennials and vice versa?” Upchurch asked.

While some critics once feared that the rise of online travel agents (OTAs) and digital platforms would disrupt the luxury travel industry, Upchurch countered that millennials have proven to be more loyal than even Baby Boomers. “In the early days of the online revolution, there was this kind of attitude of, ‘Oh, let me show you how smart I am because I researched this all on my own,’” he noted. “But the millennials, they became even more loyal to their advisors.”

The pandemic, too, played a pivotal role in accelerating these shifts. “Nothing motivates people like having something taken away from them,” he said. As a result, the desire for experiences—particularly travel—has surged as individuals reflect on the fragility of life. “Life is short, life is precious. I better do something,” he said of the trend.