Digital shifts reshape travel demand as arrivals edge closer to pre-pandemic peak

Australia's tourism industry recorded steady growth toward pre-pandemic levels, with the Chinese market helping fuel the pillar sector as it rides on digital and other technological trends amid global challenges, according to the latest analysis.

Travel to Australia is on the rise, with short-term visitor arrivals growing by 8 percent year-on-year to 9.1 million in 2025-26, according to figures released by the Australian Bureau of Statistics on Aug 14.

Visits to the country have risen for the fifth year in a row, but they are still 3 percent lower than the peak of 9.3 million in 2018-19, it said.

Robin Mack, managing director of Tourism Australia, the government agency responsible for attracting international visitors to leisure and business events, told China Daily that in the year ending June 2026, Australia welcomed more than 1.1 million visitors from China, which was 18.2 percent more than the previous year.

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"China continues to be a top inbound tourism market for Australia. We have seen the number of Chinese travelers arriving in Australia steadily increase since travel resumed in early 2023," he said.

China was Australia's largest tourism market by both visitor numbers and spending in 2019 and has "bounced back relatively quickly" to become the country's second-largest source of visitors, after New Zealand, and its largest market by spending, Mack said.

At an industry briefing on Aug 20 covering the latest trends and market insights, Mack also said international confidence in travel continues to rise as the situation in the conflict-hit Middle East, with its disruptions to fuel and other global supply chains, becomes the new "normal".

"Despite initial disruptions to travel earlier this year, Australia continues to welcome visitors from around the world. Australia's appeal as a destination remains strong, and importantly traveler confidence, and intention to visit, are steady," he told China Daily, adding that while there is a downturn in bookings from the United Kingdom and Europe in the months ahead, those in other key markets, notably China, are up.

"Our marketing continues to focus on building demand with campaigns targeted to key markets, working closely with distribution and airline partners to convert demand into bookings and a broad range of visitor experiences on the ground," Mack said.

He referred to Australia's "world-class nature and wildlife" as the main draws for Chinese visitors, as well as "great food and drink experiences".

Maturing market

"As the market continues to mature, Chinese travelers are sampling the best of Australian produce in urban and regional settings," Mack said.

The industry briefing also covered how artificial intelligence was becoming increasingly important in the sector's digital and technological development.

Tourism Australia's chief marketing officer Susan Coghill highlighted how 81 percent of Chinese travelers "use AI for trip inspiration, more than anywhere else".

Travelers now trust AI more than influencers to plan their travel, with AI-referred traffic to travel sites also up more than 2,000 percent since late 2024, she said.

"One is about how we create desire and how we connect emotionally with travelers and make them want Australia," Coghill said.

"Another is about how we get discovered by the machines; so it's AI tools and social platforms becoming more and more about how people are researching the next holiday or business event. We want to make sure that Australia … is in the answers," she said.

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John Pastor, who organizes tailor-made tours in Sydney, told China Daily he is banking on more Chinese tourist arrivals, in part by investing in advanced translation technology to help him communicate better with them.

"The Chinese are friendly, smart and generous," he said. "I like to create memories for people with their experiences here."

Zhang Liyun, an information technology professional from Shanghai, said her family of five is set for a trip to Australia during the Chinese holiday period in October.

"We'll be covering Sydney and its surrounding areas," said Zhang, 42. "Australia continues to be an attractive destination in the Southern Hemisphere, with its great outdoors and vibrant cities."

Contact the writers at alexishooi@chinadaily.com.cn