Australians are travelling in two distinct directions, according to a new data-led report from travel consultancy Forward Travel – with some sticking to short-haul comfort zones, while others venture further in search of authentic, once-in-a-lifetime experiences.
"Australian travel is running on two tracks – the familiar and the fearless," says David Smyth, founder and director of Forward Travel. "The biggest rewards now lie just beyond the usual favourites – in places that offer new perspectives and untold stories."
Drawing on figures drawn from the Department of Home Affairs' Overseas Arrivals and Departures (OAD), the report analyses travel patterns between 2021 and 2025, revealing shifting favourites, new contenders and unexpected drop-offs – and highlighting the destinations set to define 2026.
The report highlights seven key insights into Australia's evolving travel habits – and where we're headed next:
1. Indonesia: The Unshakable No 1
Indonesia has dominated every year, starting third in 2021–22 and holding the top spot from 2022–23 onward. Its combination of affordability, proximity and variety has kept it far ahead of regional rivals. "Indonesia has become a 'set-and-forget' choice – easy flights, great value and incredible breadth from Bali to Raja Ampat. It's the Swiss Army knife of Aussie holiday," says Smyth.
2. Japan: The New Star
Japan saw the most dramatic growth of all destinations, leaping from 20th in 2021–22 to fourth in 2024–25, driven by a favourable exchange rate, ski tourism and cultural appeal. "Travellers want connection, not just sightseeing. Japan blends heritage with modern life – it's exciting and easy to reach," says Smyth.
3. Luxury Redefined in 2026
Forward Travel's data and client insights show a reimagining of luxury – from five-star hotels to five-star experiences. "Travellers today want experiences that feel genuine and unscripted, whether that's trekking through remote mountain villages, meeting wildlife researchers in the field or exploring former conflict zones. It's not about luxury in the traditional sense anymore – it's about access, connection and stories you won't find in a guidebook," says Smyth.
4. The Invisibles: Untapped and Extraordinary
Dozens of countries recorded fewer than five Australian visitors a year between 2021 and 2025, with many – from Guatemala and Panama to Angola and El Salvador – barely appearing on the travel map. "Distance, cost and awareness keep these regions off most itineraries, yet they deliver some of the world's most rewarding travel.
"Off-the-beaten-path destinations like these harbour untouched ecosystems and rare species, giving travellers a chance to see wildlife and landscapes in their most pristine form. Exploring little-visited regions encourages curiosity and adaptability, often leading to unexpected adventures, hidden gems and personal growth," says Smyth.
5. Steadfast Favourites
Indonesia, Singapore and New Zealand remain the bedrock of Australian travel, barely shifting in rank across the four years. Destinations such as Fiji, the UAE, the USA and Thailand also held firm. "These are the comfort corridors – destinations Australians trust. Reliable connections and familiarity keep them strong, even as new contenders rise," says Smyth.
6. India: The Wildcard
India proved the most unpredictable of all markets, swinging dramatically in and out of the Top 20 – from 13th to 19th, dropping out entirely, and then re-emerging in 2024–25. "India fascinates Australians but can still feel daunting. As confidence returns and travellers seek deeper cultural immersion, India is perfectly placed to become one of the next great rediscoveries," says Smyth.
7. One-Hit Wonders
Several destinations, including Italy, New Caledonia, South Africa and Sri Lanka, appeared in the Top 20 just once before disappearing. Their brief moment in the spotlight in 2021–22 reflected the unusual dynamics of the post-pandemic rebound, when border rules, flight bubbles and limited routes temporarily reshaped travel choices. "Those early rebound years produced a few statistical quirks. When borders reopened, Australians grabbed whatever flights were available – not necessarily where they'd normally choose to go," says Smyth.
Read the full report on the Forward Travel website.