Community Based Tourism Market Projected to Surpass $2.1 Trillion by 2032 with 14.1% CAGR

Community based tourism market was valued at $575.9 billion in 2022, is projected to reach $2136.8 billion by 2032, grow at a CAGR of 14.1% from 2023 to 2032.

WILMINGTON, NEW CASTLE, DE, UNITED STATES, July 16, 2025 /EINPresswire.com/ -- According to a new report published by Allied Market Research, titled, “Community Based Tourism Market Size, Share, Competitive Landscape and Trend Analysis Report, by Age, by Traveler Type, by Sales Channel : Global Opportunity Analysis and Industry Forecast, 2023-2032." The report offers a detailed analysis of the top winning strategies, evolving market trends, market size and estimations, value chain, key investment pockets, drivers & opportunities, competitive landscape and regional landscape. The report is a useful source of information for new entrants, shareholders, frontrunners and shareholders in introducing necessary strategies for the future and taking essential steps to significantly strengthen and heighten their position in the market.

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Sustainable tourism includes community-based tourism (CBT). It involves locals in every element of the tourism experience. It places a significant emphasis on the preservation of cultural heritage, protection of the environment, and empowerment of locals while offering tourists genuine and immersive cultural encounters. Local involvement is crucial to CBT, with residents actively contributing to decision-making, planning, and the management of tourism-related activities.

Furthermore, CBT attempts to create a winning situation where travelers benefit from enriching experiences and communities thrive economically and socially by placing a priority on economic advantages for the community, environmental conservation, and the preservation of cultural traditions. This method of tourism has attracted attention for its ability to reduce poverty, advance ethical travel habits, and build a greater understanding of various cultures.

Various initiatives by governments for facilitating tourist access and improving the destination experience are in place in order to promote and expand community based tourism. PPPs can be an effective tool for tourism product enhancement and development, along with research, promotion, and marketing. From social collaboration to major infrastructure and development projects, public-private partnerships can play a vital role in transforming community based tourism.

The community based tourism market is analyzed on the basis of age, traveler type, sales channel, and region. On the basis of age, it is divided into Generation X, Generation Y, and Generation Z. On the basis of traveler type it is bifurcated into solo and group. On the basis of sales channel, it is bifurcated into travel agents and direct. On the basis of region, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

Based on age, the Generation Y segment held the highest market share in 2022, accounting for more than two-fifth of the community based tourism market revenue and is estimated to maintain its leadership status throughout the forecast period. Generation Y has shown recently that they have a soft spot for wellness tourism and travel centered around communities. Furthermore, people in this age range are more likely to research nearby groups and cultures in search of genuine and significant interactions. Furthermore, as they are in the family life stage, they place a high priority on family vacations. Family vacations might be better off being replaced by CBT since it usually offers a secure, immersive setting where children can learn about a variety of cultures and geographical areas. They travel more than any other group and comprise the largest generation.

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Based on traveler type, the group segment held the highest market share in 2022, accounting for more than four-fifth of the community based tourism market revenue and is estimated to maintain its leadership status throughout the forecast period. A family group, a group of friends, a couple on vacation, a group of students, a group from a corporation, a group on a pilgrimage, a group for wellness, or a group on a tour are considered in group segment. Moreover, the lower costs associated with group travel influence travelers' preferences. Bonding is facilitated by shared experiences and interests. Individual travel is far less affordable, safe, and practical than group travel.

Based on sales channel, the travel agents segment held the highest market share in 2022, accounting for more than four-fifth of the community based tourism market revenue and is estimated to maintain its leadership status throughout the forecast period. The travel agents are in charge of creating personalized vacation experiences. These companies are seasoned advisors with extensive knowledge of the area who provide recommendations and firsthand knowledge for creating customized trips. Moreover, the operators collaborate closely with a local agent in the country of destination. The demand for travel agencies has surged in recent years due to the growing popularity of custom tours. vacation agents are in high demand in the community-based tourism sector since they are knowledgeable about researching and choosing locations and work closely with operators to guarantee a smooth vacation experience. They also promise to educate the visitors on the customs and values of the host community in addition to the basic principles of CBT.

On the basis of region, Asia-Pacific dominated the community based tourism market in 2022 and is anticipated to continue the same trend during the forecast period. Asia-Pacific is both the largest and one of the regions with the greatest growth rates in terms of the market for Community Based Tourism Market Growth. The market share of outbound visitors from the Asia-Pacific region has increased significantly. This is attributed to the existence of a sizable millennial population, rising disposable income, and better infrastructure. Asia-Pacific is also well-known for its extensive cultural diversity and enticing tourism destinations. China, Japan, Australia, and India have the biggest outbound travel concentrations among households with higher incomes.

The major players analyzed for the community based tourism industry include G Adventures, Intrepid Travel, Local Alike, Village Ways, Elevate Destinations, Responsible Travel, Community Homestay Network, The Blue Yonder, Wilderness Travel, and WANDERLUST INDONESIA.