A new Phocuswright report has revealed that Italy’s travel market reached €30 billion in gross bookings in 2025, rising 4.5% year over year as inbound tourism hit an all‑time high.  New data from Phocuswright’s Italy Travel Market Brief 2026 shows a market defined by strong demand, rapid digital adoption and continued structural evolution across hotels, airlines and rail.

The findings come ahead of Phocuswright Europe, taking place June 15 to 17 in Barcelona, where Phocuswright analysts will share deeper insights on wider European trends, and leaders will discuss the major forces shaping travel.
Tourism volume reached 476 million overnight stays in 2025, up by 10 million from the previous year.  Foreign visitors drove most of the growth, while domestic travel remained stable.

Digital channels now account for 58% of all bookings, with mobile responsible for more than half of that activity.

Low‑cost carriers continue to reshape the aviation landscape.  During summer 2025, they captured 61% of total capacity, up from 48% in 2019.  Their expansion has increased connectivity to secondary cities and helped fuel inbound demand.

Hotels remain the largest segment by gross bookings, with room revenue reaching €19.1 billion in 2025. Investment activity is accelerating, with total hotel investment exceeding €2.5 billion in 2025, up 19% year over year, as international investors target both gateway cities and emerging luxury destinations. Airlines and tour operators are also expanding, driven by low-cost carrier growth and the strategic repositioning of ITA Airways, which posted its first-ever profit in 2025 following Lufthansa’s acquisition of a 41% stake. Rail continues to gain ground, with gross bookings reaching €4.3 billion and online penetration climbing to 64%.

“476 million overnight stays is a record, but the more telling number is where the growth is coming from,” said Pete Comeau, managing director at Phocuswright. “Foreign visitors drove the increase while domestic demand stayed essentially flat. Italy is increasingly an inbound story, and with foreign visitor spending reaching €57 billion in 2025, the market’s dependence on international demand is both its greatest strength and its most significant vulnerability heading into a period of geopolitical uncertainty.”

Phocuswright’s Italy Travel Market Brief 2026 provides top‑level insights on market sizing, segment performance and the trends shaping Italy’s travel economy.

Phocuswright Europe 2026 will bring senior leaders together in Barcelona this June for executive interviews, research presentations and discussions on the trends driving Europe’s travel economy.  Registration and program details are available at www.phocuswrighteurope.com.