Strategic Analysis: India's Youth-Driven Tourism Surge Exposes Critical Infrastructure Deficits, Diverting Billions Overseas

A recent study conducted by Bhavan's College MSEED reveals a significant economic and cultural shift among India's Generation Z, who are increasingly traveling domestically and internationally primarily for music-related events. This trend underscores a burgeoning youth-driven tourism sector with substantial economic potential. However, the report identifies critical infrastructure gaps—including inadequate transportation, accommodation shortages, and logistical challenges at event venues—as major impediments to capitalizing on this demand domestically. These deficiencies are compelling a substantial portion of this demographic expenditure, estimated in the billions of rupees, toward international destinations that offer superior facilities and experiences. The analysis suggests that while this reflects the aspirational and globalized consumption patterns of Gen Z, it also represents a missed opportunity for India's domestic tourism and hospitality industries. Addressing these infrastructure shortcomings is presented as not merely a logistical imperative but a strategic economic necessity to retain youth spending, foster local event ecosystems, and enhance India's position as a competitive destination for experiential tourism.