Aligning Incentive Travel With Next-Gen Values

A key finding from the recently released 2024 Incentive Travel Index, a joint project of the IRF and SITE, was that 65% of North American respondents preferred free time as their ‘main activity’. That was much higher than in 2023 (39%) and replies from respondents worldwide (only 38% of European respondents rated free time as #1) and far ahead of other traditional incentive activities, such as dining and cultural/sightseeing experiences.

“This preference for personal freedom – both physical and psychological – reflects a deeper societal shift,” said SITE’s chief marketing officer Padraic Gilligan. “Incentive travel participants may crave unique experiences, but not at the expense of their own well-being or ability to spend quality time with loved ones. In today’s world, the freedom to choose how to spend one’s time is, in itself, a reward.”

For Greg Bogue, chief experience architect at Maritz, the reality is that group incentives as we know them started dissolving about 10 years ago when people started doing their own research about destinations. “As soon as that started happening, people started saying, ‘I don’t want to do that, I want to do what I’m interested in.’ Companies are going to have to learn how to allow that to happen a little bit more. Choice is going to be a big deal.”

Values-based Choices

According to the 2024 IRF Trends Report, Millennials and Generation Z (roughly aged 16-44 in 2025) are expected to account for about 60% of the workforce by 2025. 

“The younger generation is behaving based on their personal values,” said Bogue. “It’s not just about designing the reward, it’s about designing the whole program. I think that in announcing the program, capturing the attention, and during the qualification period, there’s a lot of opportunity to activate individual values and individual purpose.”

This demand for individuality will also influence destination and hotel choices for incentive travel. Take second-tier cities like San Antonio, where The Pearl district has a farmer’s market and other features like local makers and artisans that appeal to younger generations. Or Columbus, where the Short North Arts District is home to a variety of boutique hotels and dozens of galleries, eateries and distilleries within walking distance, can host group activities or serve as event venues. 

An entire group of hotel brands, from Marriott’s Moxy to Hyatt’s Centric, were architected with Millennials in mind and are working hard to engender their loyalty. 

Authenticity Matters

In addition to individuality, authenticity drives next-gen attendees, informing every aspect of an incentive travel program, from food to activities to gifting. “The younger attendees want the local taco shop versus a group meal at the five-star Mexican restaurant,” said Annette Gregg, SITE president. “Or give me a stipend so I can go out and find this great local place that I heard of from my tour guide.” 

As far as gifting, “Maybe they want something made locally. Or give them an option. There’s a lot of support for microbusiness, locally owned businesses and something that’s truly authentic to that environment.”

Gregg recalls a marketplace with local crafts that SITE organized in Punta Mita, Mexico. “The grandma was there, sewing the blankets we gave out,” she said. “You could talk to her about it. That was so meaningful.”

Expect younger attendees to extend their trips, too. “We’re seeing a prevalence of that, since people can work from anywhere. So they are adding on days where they can work remotely near that beautiful place that you just took them on your dime,” she said.

This preference extends to air. Many younger attendees don’t need a high-touch air reservation service and would prefer to book their own flights so they can have more control and freedom.