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These are the intriguing conclusions from a new data-led report from travel consultancy Forward Travel.

“Australian travel is running on two tracks – the familiar and the fearless,” said 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 key insights into Australia’s evolving travel habits – and where we’re headed next:

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,” said Smyth.

Japan: The New Star

Japan saw the most dramatic growth of all destinations, leaping from 20th in 2021–22 to fourth in 2024–25driven 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,” added Smyth.

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.”

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.”

Other conclusions from the research showed that India has the potential to become one of the next great rediscoveries for Aussie travellers, while off-the-beaten track destinations harbour untouched ecosystems and rare species.

“Exploring little-visited regions encourages curiosity and adaptability, often leading to unexpected adventures, hidden gems and personal growth,” said Smyth.

Read the full report here