Accessibility and affordability have become bigger priorities for Australian travellers post-pandemic, a trend which is driving greater interest in visits to Thailand, Vietnam, Indonesia and Malaysia.
“Aussies are prioritising value – they’re still crossing international borders but staying closer to home,” says Shaun McGowan, CEO of TravelInsurance.com.au.
“South-east Asia, where their dollars stretch further, is seeing a surge in demand, while expensive long-haul trips to Europe and the US are taking a back seat for now.”
The online travel insurer has crunched numbers from five years of historical Australian Bureau of Statistics Overseas Arrivals and Departures data.
McGowan says the impact of the pandemic on international travel is still playing out today.
"We’re sick of talking about the pandemic, and it feels like yesterday’s news, but nearly 10 years of travel growth were lost. Both travellers and the industry are still feeling the aftershocks, not just financially, but through lingering operational challenges like flight shortages and staffing constraints," he says.
“Airlines are still catching up, tourism operators abroad are working to regain years of lost momentum, and Australians are facing a different travel landscape with higher prices, changing policies, and declining trust in airline reliability and travel security."
Aussies are expected to take 12.6 million overseas trips this year – still below the 14 million that would have been expected if not for the pandemic and the economic downturn that followed.
Travel to South-east Asian destinations like Thailand, Vietnam, Indonesia and Malaysia is expected to surge by 42% this year, with the region set to attract four million Australian travellers.