Published on
October 23, 2025
As Australians face the pressures of a rising cost-of-living crisis and increasing geopolitical uncertainty, the trend for this summer’s travel season is clear: more Australians are staying closer to home. However, with domestic flight prices remaining high, many are opting for international destinations that offer better value. Webjet CEO Katrina Barry has highlighted Bali, followed by Auckland, Tokyo, and Manila, as top destinations for Australian travelers this summer, with Los Angeles and London standing out as the only long-haul options beyond the region.
Barry noted that Bali, despite being located outside of Australia, offers prices that sometimes rival domestic getaways such as the Gold Coast, making it an attractive choice for those seeking affordable travel options. Webjet’s data reveals that Australians are locking in travel plans for “just-outside-the-border destinations” as they try to cope with the ongoing economic impact. The flight data also indicates a significant rise in demand for Asian destinations like Vietnam, Thailand, and Malaysia, with Japan remaining a strong favorite.
The Rise of Bali and Regional Destinations
For many Australians, traveling abroad has become more attractive due to the soaring costs of domestic flights. According to data from the Bureau of Infrastructure and Transport Research Economics, the average discounted return ticket from Melbourne to the Gold Coast in December is approximately $407—just a few hundred dollars shy of the cost of a discounted flight to Bali. This price gap is pushing more travelers to choose international trips over local getaways.
Bali, being both affordable and easily accessible, has emerged as the top pick. The island’s allure, coupled with its affordability, especially compared to the domestic Gold Coast route, makes it an attractive destination for both short getaways and longer stays. Bali offers a rich cultural experience, pristine beaches, and luxury resorts, making it a well-rounded destination for both business and leisure travelers.
Top Destinations for Australian Travelers:
Bali: Popular for its affordability, culture, and beach resorts.Auckland, New Zealand: Close, easy access with beautiful nature and vibrant city life.Tokyo, Japan: A favorite for those looking to combine cultural exploration with modern conveniences.Manila, Philippines: A major hub with beautiful beaches and rich history.Los Angeles & London: Long-haul options for those looking for an international escape beyond the Asia-Pacific region.Impact on Business Travel
For business travelers, the shift towards international destinations like Bali and Tokyo represents a shift in travel priorities. With the increased costs of domestic flights, especially on key routes like Melbourne to the Gold Coast, Australian companies are increasingly considering alternatives for business trips. While destinations like Tokyo and Singapore offer excellent business facilities and ease of access, the affordability of Bali could make it an appealing option for corporate retreats or short-term business meetings.
As the demand for these international destinations continues to rise, business travel patterns are likely to shift further towards more budget-friendly options abroad rather than traditional domestic destinations. This also opens the door for innovative travel packages and tailored business trips that can offer greater value for money.
Business Travel Impact:
Affordability: Bali’s affordable flights make it an attractive alternative for business meetings or retreats.Corporate Retreats: Bali, with its luxury resorts and quiet surroundings, offers an ideal setting for corporate retreats and team-building activities.Rising Costs: The high costs of domestic flights are making international destinations a more cost-effective option for businesses.Impact on Tourism and Tourists
For leisure tourists, the rise of Bali and similar regional destinations like Vietnam and Thailand can provide a welcome reprieve from the high costs of traveling domestically. These countries offer rich cultural experiences, beautiful landscapes, and affordable accommodations, making them ideal for both short-term vacations and longer stays. Bali, with its mix of luxurious resorts, vibrant nightlife, and unique cultural experiences, remains one of the top choices for Australians.
However, despite the popularity of these affordable destinations, longer trips to Europe and the USA remain popular for those seeking international experiences. London and Los Angeles, despite being costly, remain on the list for those who want to explore iconic cultural sites, attend major events, or enjoy world-class amenities.
Tourism Travel Impact:
Value for Money: Destinations like Bali offer great value, helping travelers avoid high domestic flight costs.Cultural Experiences: Locations like Tokyo and Bali offer rich cultural immersion, enhancing the travel experience.Tourist Trends: Shorter and more affordable international trips are growing in popularity, especially among younger travelers.Webjet’s Expansion and Future Goals
Webjet, following its demerger from Web Travel Group in 2024, is focusing on growing its share of travel spending by expanding beyond air travel. The company is shifting its focus towards providing complete travel packages that combine flights, hotels, and tours into one seamless service. Barry’s leadership aims to double the company’s total transactional value by 2030 and position Webjet as a leader in offering competitive travel packages that are both accessible and customizable for customers.
In line with these goals, Webjet has rebranded its logo and is making use of AI to create bespoke travel packages tailored to customers’ needs. The company’s vision is to offer experiences that are not easily compared, giving travelers the ability to curate multi-stop trips with the best possible value.
How to Plan Your Next Trip
As the travel industry shifts towards a mix of domestic and international destinations, here’s how travelers can make the most of their plans:
Book Early for Best Deals: Whether you’re heading to Bali, Tokyo, or Auckland, booking flights and accommodations early can save you a significant amount of money.Consider Package Deals: Webjet and other travel agencies are offering customized packages that combine flights, hotels, and experiences for better value.Explore Regional Options: For a more affordable holiday, explore regional destinations like Bali, Thailand, and Vietnam instead of long-haul destinations.Travel Off-Peak: If possible, consider traveling outside peak seasons to save on flights and accommodation costs, especially for destinations like Europe and the USA.Final Thoughts for Travelers
The 2024-2025 travel season is shaping up to be a dynamic one for Australians, with shifting travel preferences and a growing trend towards more affordable international destinations. As the cost of living continues to impact travel choices, destinations like Bali, Auckland, and Tokyo are becoming increasingly popular for Australians looking for both adventure and value. With Webjet’s expansion into offering customized travel packages and a focus on innovative booking options, it’s an exciting time for travelers seeking new experiences on a budget.
Source: smh.com.au
Tags: auckland, Australia, Bali, Brisbane, Gold Coast, japan, mediterranean, Melbourne, new zealand, southeast asia, Tokyo
