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The growth of outbound travel in India is increasingly led by smaller cities. With rising disposable incomes, improving connectivity and rising ambitions, tier II and III cities are expected to overtake metros in producing first-time international travelers over the next five years, according to Cox & Kings.
Cox & Kings, the world’s oldest travel company, now backed by private equity firm Wilson & Hughes, is capitalizing on this shift by expanding its franchise network beyond the metros. Five new outlets were recently opened in Faridabad, Gurgaon, Dharamshala, Agra and Ahmedabad, with plans to set up 200 outlets in the coming years. This expansion reflects the company’s strategy to build trust with new-age customers in smaller markets through a franchise-first phygital model.
The upcoming festive and festive season is expected to accelerate demand. Families from tier-II cities are increasingly choosing international destinations rather than traditional domestic flights. Popular choices abroad for first-timers include Dubai, Thailand and Singapore due to short flights and simplified visa processes. Honeymooners look for destinations such as the Maldives, Bali, South Africa and Switzerland, while family groups prefer trips to Europe, Australia, Singapore and Abu Dhabi. Wedding and celebration travel destinations continue to grow, with Dubai, Thailand and Bali leading the demand.
Karan Agarwal, Director, Cox & Kings, said: “India Tier II and Tier III are no longer a silent sector; they are the growth engine of the travel market of the future. At Cox & Kings, we combine our 265-year-old heritage with modern travel expectations to serve these new-age customers. Our franchise-first approach allows us to bring curated experiences to their doorstep, while ensuring the reliability and trust we are known for.” It has the brand.”
Industry data supports this increase. Currently, 8.7% of Indians hold a valid passport. July 2025 alone saw over 1.24 million passports issued, and India is expected to cross 14.5 million issuances by the end of the year. International visa applications from first-time applicants rose by 32% last year, with 56% of them originating from Tier 2 and Tier 3 cities.
Driven by the influence of social media, improved infrastructure, and party-led mass travel, this trend signals a shift in India’s outbound travel landscape. Cox & Kings’ hybrid approach, combining physical outlets with technology-enabled services, is designed to make premium global travel affordable and trustworthy for those first-time international travellers.
