Industry experts have observed that live tourism has rapidly become a strategic focus across the global travel sector. With trillions of dollars at stake, travel companies and investors are seeking opportunities in destinations that offer resilience against seasonality by providing entertainment, sports, and cultural experiences that meet modern traveler demand. This shift represents a fundamental transformation from traditional destination-centric tourism models to experience-first travel.
According to Ross McAuley, Managing Director advisor and Director General of Play Qiddiya City DMMO, younger travelers increasingly prioritize the kind of experiences they want to engage with rather than selecting a destination first. This preference reflects a desire for immersive, authentic live tourism experiences that extend beyond typical sightseeing or passive relaxation. McAuley highlighted this during the 2025 Skift Megatrends event in London, emphasizing that this evolving traveler mindset requires destinations to pivot their strategies accordingly.
Industry research supports this shift: over 90% of travelers aged 44 and younger believe that participating in entertainment, sports, and cultural activities while traveling contributes significantly to their happiness and well-being. Moreover, over 75% have reported that such play experiences have grown in importance in their travel planning over the past five years. With Millennials and Generation Z projected to constitute 83% of hotel guests by 2030, as per an LG Business Solutions report, industry leaders increasingly focus on catering to this demographic’s live tourism preferences.
Destinations like Qiddiya City, purpose-built as a premier global destination where play is central, embody this vision by integrating entertainment, sports, and cultural offerings designed to foster mutual benefits for travelers, businesses, and local communities alike.
Mehdi Hemici, Chief Loyalty Officer at Accor, reflected on the emotional value of live tourism, stating that travelers cherish the feelings and connections they create through shared experiences more than the physical locations themselves. This emotional resonance strengthens traveler loyalty and encourages repeat visitation.
How Live Tourism Attracts Global Visitors and Benefits Local Communities
Travel executives overwhelmingly agree that entertainment, sports, and cultural experiences will dominate the global tourism landscape in the coming years. A significant majority—93%—express confidence in the rising importance of destinations focused on these live tourism elements, while 84% are excited to invest in new destinations designed around such experiences.
For growing and emerging tourism markets, live tourism offers an opportunity to develop more inclusive, economically diversified destinations. Unlike traditional cities grappling with overtourism, such as Barcelona and Amsterdam, regions like the Middle East, exemplified by Qiddiya City near Riyadh, can thoughtfully design vibrant urban environments with sustainable lifestyles and community well-being as core principles. Riyadh’s metropolitan area—with over 7 million residents and a 16.6% increase in airport passenger numbers in 2024—creates fertile conditions for such initiatives.
Destinations emphasizing play cater to a broad demographic spectrum, including sports fans, festival attendees, thrill-seekers, art lovers, domestic travelers, and locals. This diversity enhances economic resilience and fosters year-round visitation rather than seasonal peaks.
McAuley described Qiddiya City as a visionary urban project larger than Orlando, expected to house over 500,000 residents, aiming to be universally accessible and welcoming as a space where everyone can come to play and connect.
Similarly, Mike Waterman, President and CEO of Visit Anaheim, spoke about OCVibe—a $4 billion, 100-acre cultural hub in Southern California designed both for Disneyland visitors and residents, emphasizing that play varies by individual and season. This authentic, accessible approach aims to maintain sustained interest and engagement from local communities and tourists alike.
How Live Tourism Drives Year-Round Investment Returns
The economic potential of live tourism is underscored by the substantial global revenues generated through sporting events, concerts, and cultural attractions. Global Market Insights reported that sports tourism alone accounted for over $600 billion worldwide in 2024, with expectations to double by 2032.
High-profile events illustrate live tourism’s financial impact: FIFA’s 2022 World Cup in Qatar drew 3.4 million fans, generating a record-breaking $5.8 billion. Formula 1’s 2022 race circuit attracted 5.7 million attendees, a 36% increase from 2019, producing $2.5 billion in revenue. The Las Vegas Formula 1 event welcomed roughly 145,000 visitors who spent approximately $561 million. The “Taylor Swift effect” in 2023 was estimated to have generated over $1 billion in direct travel spending in the U.S.
Despite these peaks, experts warn against overreliance on single events. Dmitri Cooray, Managing Director of Jetwing Hotels in Sri Lanka, stressed that long-term demand sustainability is critical to investment strategies in live tourism.
Government investments have played a pivotal role. For example, Qatar spent over $300 billion on infrastructure enhancements—including highways and airport expansions—prior to the World Cup, with ongoing hotel investments following the event. Such capital inflows catalyze extended economic benefits beyond the immediate event timeframe.
Australia’s experience with the 2000 Sydney Olympics offers valuable lessons. As explained by Pip Harrison, Managing Director of Tourism Australia, the Olympics accelerated economic growth by approximately a decade, primarily through the visitation surge in the years following the event. This model guides preparations for the 2032 Summer Olympics in Queensland and Brisbane, where showcasing attractions beyond stadiums remains a strategic priority.
Consistent, year-round attractions like Orlando demonstrate the power of ongoing play-based tourism. In 2023, Orlando’s 74 million visitors contributed $58.5 billion directly to the local economy and $92.5 billion in total economic impact—a 5.6% increase. Visit Orlando likened this to hosting the Super Bowl twice a week, illustrating the scale of live tourism’s contribution.
Waterman pointed out the dynamic nature of such destinations, emphasizing new attractions and events regularly refresh the visitor experience, encouraging repeat visits every few years.
Strategic Marketing and Digital Engagement
Effective marketing underpins the success of live tourism destinations. Digital platforms amplify reach, with targeted campaigns generating millions of impressions and substantial engagement. The travel industry is expected to further leverage data-driven strategies to attract and retain visitors seeking authentic, immersive experiences.
Destinations must align marketing efforts with evolving traveler preferences, emphasizing the emotional and social dimensions of live tourism. Enhanced website traffic and social media engagement from key urban centers indicate the growing global interest in live tourism hubs.
Impact on the Travel Industry and Global Travelers
Live tourism’s rise shifts industry dynamics by necessitating collaboration across airlines, hospitality, entertainment, and local communities. This integrated approach supports sustainable tourism development, balanced economic growth, and enriched traveler experiences.
For travelers globally, live tourism offers more than conventional sightseeing—it delivers moments of connection, excitement, and shared joy. It encourages longer stays, increased spending, and deeper engagement with destinations.
As traveler demographics evolve, with younger generations prioritizing experience over location, the industry must continue innovating to provide diverse, authentic, and accessible live tourism opportunities worldwide.
Summary and Outlook
The increasing emphasis on live tourism represents a strategic inflection point for global travel investment. Destinations offering entertainment, sports, and cultural experiences are well-positioned to attract a growing segment of travelers who seek play and connection in their journeys.
This evolution demands thoughtful planning, sustainable development, and ongoing innovation to maximize economic returns and community benefits. As the global travel industry progresses toward 2025 and beyond, live tourism is poised to redefine the future of travel—making it more vibrant, inclusive, and dynamic.
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