APAC leads travel spending surge as travellers are 50% more likely to boost budgets

Singapore – Despite global economic uncertainty, travellers remain committed to spending on travel, with Asia Pacific consumers 50% more likely than those in Europe and the US to increase their budgets in 2026, according to a Klook report.

The report highlights strong international travel intent, rising experience-led spending, and a shift toward multi-destination journeys, led by travellers in the Asia Pacific region.

According to the study, 88% of global travellers plan to increase or maintain their travel budgets this year. Travel intent also remains high, with nine in 10 planning an international trip in 2026. Of these, 61% expect to travel in the first half of the year, up from 50% last year.

Millennial and Gen Z travellers are driving much of this growth. They are not only spending more on travel but also exploring both domestic and international destinations, reshaping how and where they travel.

The report shows a clear shift in spending priorities. Faced with rising costs, travellers are cutting back on shopping and material purchases rather than activities and experiences—a trend particularly pronounced in APAC. These travellers are nearly twice as likely as their European and U.S. counterparts to increase spending on experiences, signalling the region’s role as a leading driver of experience-led travel.

Travel patterns are also changing. Rather than choosing between familiar and new destinations, many travellers are doing both in the same trip. Two-thirds plan multi-destination journeys, moving away from single-stop itineraries. Major cities are increasingly seen as gateways rather than end goals, allowing travellers to extend their trips to less-explored locales.

APAC Gen Z travellers are at the forefront of this trend, favouring fast-paced, packed itineraries and actively seeking lesser-known destinations. While Japan remains a top consideration globally, interest is spreading to secondary cities such as Yokohama, Hiroshima, and Nagoya—locations that offer more space, cultural depth, and distinctive local experiences.

Across markets, travellers cite authentic experiences (42%), hidden gems (39%), and affordability (37%) as key reasons for exploring less-popular destinations. Discovery is now driven not just by novelty, but also by values, access, and depth. This pattern extends beyond Asia, with emerging destinations gaining traction in Australia (Cairns, Hobart), Europe (Baix Llobregat, Tromsø), and the Middle East (Sharjah, Hurghada).

Social media and artificial intelligence (AI) are shaping how travellers discover and plan trips. Social platforms influence 80% of global travellers’ booking decisions and serve as trust-builders, while AI—used by 91% of travellers—helps with research, translation, itinerary planning, and budget management. Together, they create a loop where social content sparks interest and AI applies practical filters before travel decisions are finalised, signalling a shift from viral inspiration to validated discovery.

According to the report, 2026 is shaping up to be a year of more intentional and distributed travel. For the industry, this marks a significant shift: discovery is no longer optional but a central driver redefining where, how, and why people travel.

Marcus Yong, vice president of global marketing at Klook, said, “Travel has remained resilient despite the rising cost of living. What we are witnessing is a fundamental shift in how travellers evaluate value. Instead of cutting back, they are spending smarter, prioritising richer experiences, flexible itineraries, and deeper discovery. They seek experiential value that goes far beyond simply ticking destinations off a checklist.”