Millennials and Gen Z will drive travel spending in 2026: Klook

Klook has released its Klook Travel Pulse 2026 report, highlighting the travel behaviours of Asia-Pacific travellers.

Despite global economic uncertainty, the report found that 88% of global travellers plan to increase or maintain their travel budgets in 2026. Travellers from Asia-Pacific are 50% more likely to increase travel spending compared to those in the west, signifying the region as a growth engine for travel.

Asia-Pacific travellers are leading 2026 travel growth, with stronger intent to increase travel than western markets

The report surveyed 11,000 of Klook’s customer base comprising mainly millennials and Gen Zs, from Hong Kong, Taiwan, China, Japan, South Korea, Singapore, Malaysia, Vietnam, Thailand, the Philippines, Indonesia, Australia, New Zealand, India, Germany, France, Spain, Italy, the UK and US.

“Travel has remained resilient despite the rising cost of living. What we are witnessing is a fundamental shift in how travellers evaluate value,” said Marcus Yong, vice president, global marketing, Klook.

“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.”

Indeed, travellers are prioritising experience-led itineraries, willing to spend more on activities and instead, cutting back on shopping spend.

Trip planning patterns have also shifted, with two-thirds intending to visit multiple destinations per trip, shifting away from single-stop itineraries.

Gen Z travellers are leading this shift, favouring faster-paced, densely packed itineraries as they move towards lesser-known locales, away from mainstream cities.

Across markets, travellers are driven by local authentic experiences (42%), the opportunity to discover hidden gems (39%), and affordability (37%) for choosing lesser-known spots.

Japan continues to be a popular destination among travellers but demand is moving towards secondary cities such as Yokohama, Hiroshima and Nagoya.

88% of travellers plan to maintain or increase budgets in 2026, prioritising experiences over shopping

The same is true for other regions with Cairns and Hobart gaining traction in Australia, Tromsø and Baix Llobregat in Europe, and Sharjah and Hurghada in the Middle East.

When it came to how they are discovering and choosing destinations, travellers are increasingly influenced by social media and AI.

80% of global travellers say social media is the main channel that influences the destinations or experiences they book.

91% use AI as a travel planning tool, mainly for research, translation, organising itineraries and managing budgets.

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