10 Minutes News for Hoteliers 10 Minutes News for Hoteliers
  • Top News
  • Posts
    • CSR and Sustainability
    • Events
    • Hotel Openings
    • Hotel Operations
    • Human Resources
    • Innovation
    • Market Trends
    • Marketing
    • Mergers & Acquisitions
    • Regulatory and Legal Affairs
    • Revenue Management
  • 🎙️ Podcast
  • 👉 Sign-up
  • 🌎 Languages
    • 🇫🇷 French
    • 🇩🇪 German
    • 🇮🇹 Italian
    • 🇪🇸 Spain
  • 📰 Columns
  • About us
10 Minutes News for Hoteliers 10 Minutes News for Hoteliers 10 Minutes News for Hoteliers
  • Top News
  • Posts
    • CSR and Sustainability
    • Events
    • Hotel Openings
    • Hotel Operations
    • Human Resources
    • Innovation
    • Market Trends
    • Marketing
    • Mergers & Acquisitions
    • Regulatory and Legal Affairs
    • Revenue Management
  • 🎙️ Podcast
  • 👉 Sign-up
  • 🌎 Languages
    • 🇫🇷 French
    • 🇩🇪 German
    • 🇮🇹 Italian
    • 🇪🇸 Spain
  • 📰 Columns
  • About us

ANZ travel market outlook: Growth fueled by prices, not passengers

  • phocuswright.com
  • 4 September 2025
  • 2 minute read
Total
0
Shares
0
0
0

This article was written by Phocuswright. Click here to read the original article

image

Australia and New Zealand’s travel industry has surpassed pre-pandemic revenue levels, but the picture behind the numbers tells a more complicated story. New research from Phocuswright’s Australia-New Zealand Travel Market Brief 2025 shows that while gross revenue rose to US$37.8 billion in 2024, the growth is being driven largely by higher prices rather than increases in visitor volumes.

Inflation, not influx

Domestic travel is already saturated, and inbound flight capacity remains constrained. That means limited room for organic expansion, even as airlines, hotels and car rental firms report higher takings. Industry watchers warn that the sector’s reliance on inflationary gains leaves it exposed if consumer spending softens.

Governments in both Australia and New Zealand are leaning into a strategy of attracting higher-spending visitors, a move designed to bolster sustainability but one that puts added pressure on suppliers to deliver premium value.

Online channels hit a ceiling

Digital adoption in the ANZ travel market is close to maturity, with online penetration hitting 59% in 2024 and forecast to reach just 61% by 2028. While online travel agencies (OTAs) continue to grow, their expansion is being outpaced by supplier-direct channels.

Major players — from the duopoly of Qantas and Virgin in Australia, to Air New Zealand and hospitality giant Accor — are using their resources and reach to keep more bookings in-house. Traditional retail and corporate agencies, meanwhile, continue to hold sway for complex and high-value international trips, further slowing the momentum of intermediaries.

Why Connectivity Is Now Central to Hotel Performance
Trending
Why Connectivity Is Now Central to Hotel Performance

Airlines poised for lift-off

Performance across travel segments remains uneven. Airlines, despite setbacks including the collapse of Rex and Bonza in 2024, are expected to power growth from 2025 onward. Partnerships, such as Qatar Airways’ investment in Virgin Australia, combined with higher fares and fuller planes, are forecast to drive double-digit revenue gains.

Hotels, by contrast, face a tougher environment. Domestic travelers are shifting their spend abroad, and occupancy rates hover in the low 70% range. While the sector holds considerable inventory, increased competition is restraining growth. Car rental, still recovering to pre-COVID levels, is benefiting from the steady return of inbound travelers and the region’s dependence on self-drive mobility.

What it means

The ANZ travel market is growing, but not in ways that suggest an immediate boom. Price increases, rather than visitor numbers, are propping up revenue. Distribution is tilting toward supplier-direct, limiting gains for OTAs. And while airlines appear set to lead the next growth cycle, hotels and car rental companies face a more challenging path.

For travel companies, the signal is clear: success will hinge less on chasing volume and more on competing for high-value customers, strengthening direct relationships, and aligning strategies with the strongest-performing sectors.

To dig deeper into these findings — including market sizing, projections through 2028, and segment-by-segment performance across airlines, hotels, car rental and more — consider subscribing to Phocuswright Open Access. Our comprehensive research platform delivers the full breadth of Phocuswright’s data and analysis, arming executives and strategists with the insights they need to power smarter decisions. From market pulse updates to long-term forecasts, Open Access ensures you and your team are always one step ahead in a rapidly shifting travel landscape.

Please click here to access the full original article.

Total
0
Shares
Share 0
Tweet 0
Pin it 0
You should like too
View Post
  • Market Trends

#luxury #hospitality #lvmh #experientialretail | Carrie Zhao

  • Carrie Zhao
  • 24 October 2025
View Post
  • Market Trends

CoStar: Hotel Pipeline Expands in Europe, All Other Regions Decline

  • LODGING Staff
  • 24 October 2025
View Post
  • Market Trends

#hospitalityinsights #culinaryexperience #anticipation #finedining #serviceexcellence #uhnwiclients | Norbert Jacniak | 28 comments

  • Automatic
  • 24 October 2025
View Post
  • Market Trends

#hospitalityinsights #culinaryexperience #anticipation #finedining #serviceexcellence #uhnwiclients | Norbert Jacniak | 28 comments

  • Norbert Jacniak
  • 24 October 2025
View Post
  • Market Trends

From $1.6T to $1.8T: How global travel will grow, shift and digitize by 2027

  • phocuswright.com
  • 23 October 2025
View Post
  • Market Trends

Hostaway secures world-first status

  • Travel Weekly Group Ltd
  • 23 October 2025
View Post
  • Market Trends

Hilton trims 2025 revenue forecast

  • Automatic
  • 23 October 2025
View Post
  • Market Trends

Hilton CEO sees brighter days ahead for U.S. hotels

  • Automatic
  • 23 October 2025
Sponsored Posts
  • What does exceptional hospitality look like today? Download SOCIETIES Magazine

    View Post
  • Winning the World Cup of Demand: A Revenue Management Playbook for Major Events – LodgIQ

    View Post
  • The Practical Guide to Hotel Automation

    View Post
Latest Posts
  • Leading Through a Firestorm – Gregory Day, Malibu Beach Inn
    • 25 October 2025
  • IHG bringing Kimpton brand to Salzburg, Austria
    • 25 October 2025
  • New on the Menu: A savory Japanese custard and a sweet Catalan one
    • 24 October 2025
  • Five on Friday: October 24th, 2025
    • 24 October 2025
  • Rosewood launches new campaign to prioritise bespoke experiences
    • 24 October 2025
Sponsors
  • What does exceptional hospitality look like today? Download SOCIETIES Magazine
  • Winning the World Cup of Demand: A Revenue Management Playbook for Major Events – LodgIQ
  • The Practical Guide to Hotel Automation
Contact informations

contact@10minutes.news

Advertise with us
Contact Marjolaine to learn more: marjolaine@wearepragmatik.com
Press release
pr@10minutes.news
10 Minutes News for Hoteliers 10 Minutes News for Hoteliers
  • Top News
  • Posts
  • 🎙️ Podcast
  • 👉 Sign-up
  • 🌎 Languages
  • 📰 Columns
  • About us
Discover the best of international hotel news. Categorized, and sign-up to the newsletter

Input your search keywords and press Enter.