Experiential travel and new luxury product driving visitor numbers to Australia

Higher-yielding travellers, experiential travel and responsible tourism are among the key trends fuelling growth in international arrivals to Australia, according to the tourist board.

 

The destination welcomed 8.3 million arrivals in 2024, marking a 9% increase on the previous year and an 82% increase compared with 2022. 

 

The UK represented the fourth-largest source market in 2024, with a total of 649,000 visitors entering the country. The tourist board plans to grow UK visitation to 900,000 by 2029. 

 

Phillipa Harrison, managing director for tourism at Tourism Australia, said holidaymakers represented the “largest and fastest-growing market” for the destination globally. 

 

Speaking at ATE 2025, she said: “Australia has really come of age in the luxury space. We’ve always been a high-yielding destination but we’re now competing with the world as [more destinations] focus on value not volume.” 

 

She added that the country’s luxury hotel offering has “soared” in recent years. Notable new hotel openings include Capella Sydney, The Sundays on Hamilton Island in The Whitsundays and Journey Beyond’s Monarto Safari Resort in South Australia. 

 

Also expected to open over the next few years are Mondrian Gold Coast in June; The Ritz-Carlton Gold Coast, expected in 2026; Abercrombie & Kent’s first Asia-Pacific wilderness lodge in the Kimberley region in 2027; and The Calile Noosa, slated for 2028. 

 

The tourist board also highlighted experiential travel as a key driver of tourism. 

 

“The breadth of experiences and journeys are driving destination choice across Australia,” Harrison said.

 

She revealed there are around 364 projects currently in the pipeline spanning experiences, arts, culture and accommodation, and said Tourism Australia would be “doubling down” on agritourism across its food and beverage sectors as responsible travel continues to trend.

 

“People want to travel in a way that doesn’t just feel good but does good too,” Harrison said.

 

Australia is also gearing up to host the 2032 Olympics in Brisbane. 

 

Harrison said: “We saw a surge in visitation following the 2000 Olympics [in New South Wales] so we see this as a big moment for Australia.”

 

Image: Phillipa Harrison at ATE 2025