As the travel industry looks towards recovery in the Asia-Pacific
(APAC) region, Arival has identified six key trends that reflect the
changing preferences and behaviours of travellers.
1. Uneven recovery across APAC
The pace of recovery varies significantly across the APAC region.
Some markets, including Southeast Asia, Korea, and Australia, are
experiencing a strong comeback of travellers. However, other source
markets such as China and Japan are slower to return.
2. Intra-region travel first, then comes long-haul travel
While intra-regional travel has started to rebound, there is also
growing demand for long-haul destinations, particularly Europe.
Operators and resellers are noticing increased interest in European
3. Return of Chinese market remains a question
China has been a significant contributor to the growth of the travel
industry prior to the pandemic. While domestic travel has largely
recovered in China, international outbound travel from the country has
been slow to resume. Operators should focus on other source markets in
the region while preparing for the expected return of Chinese travellers
in the second half of 2023.
4. Recovery driven by younger travellers and their booking habits
Younger generations, specifically Gen-Z and younger Millennials, are
driving the recovery in Asia. Their preferences and behaviours are
reshaping the industry, as they prioritise experiences over material
possessions. Operators can cater to this experience-hungry demographic
by offering small-group and immersive experiences that provide unique
and memorable interactions. Mobile booking is crucial for this
tech-savvy audience, who seek convenience and shareable moments on
social media platforms like Instagram and TikTok.
5. 3x growth in market share for mobile booking and online marketplaces
With younger travellers leading the rebound, mobile booking and
online marketplaces are set to gain significant market share by 2025.
Industry players have witnessed a remarkable growth in mobile bookings
since the pandemic, emphasising the importance of being prepared for the
6. Small group and independent travel
Younger travellers are increasingly interested in independent and
adventure travel experiences. This trend highlights the demand for small
group tours, independent tours, outdoor adventures, and unique
experiences that can be shared with family and friends.