Melbourne, Skyline
Melbourne, Skyline

Australians are choosing getaways over other luxuries, driving a sharp increase in travel advertising as airlines, cruise lines and tour operators vie fiercely for consumer dollars amid a post-pandemic travel boom.

New data from Nielsen Ad Intel, released this week, shows advertising spend in Australia's travel category climbed 12% year-on-year to $684.1 million in 2025, up from $610.7 million the previous year. The surge reflects a resilient consumer appetite for holidays despite lingering economic pressures, with leisure travel emerging as a top priority for many households.

"Despite the economic headwinds, the Aussie love affair with travel is stronger than ever," said Rose Lopreiato, Nielsen Ad Intel's Australia Commercial Lead. "The data confirms that Australians are prioritizing experiences and escapes, and brands are responding aggressively to capture that demand."

The figures highlight intense competition within the sector. Airlines led the growth charge, with ad spending soaring 36% year-on-year as carriers ramped up promotions to fill seats on both domestic and international routes. Qantas topped the airline list, followed by Virgin Australia International, Jetstar, Emirates and Malaysia Airlines. The battle for passengers has intensified as international travel continues to rebound, with carriers offering competitive fares, loyalty perks and bundled packages to lure back travelers.

Cruise operators also boosted their marketing efforts, increasing spend by 9% to capitalize on renewed interest in sea-based vacations. Nielsen research indicates that 56% of potential travelers would consider a cruise, drawn by the all-inclusive convenience and variety of itineraries. Viking River Cruises led cruise ad investments, trailed by Silversea Cruises, Royal Caribbean International, Carnival Cruise Lines and Norwegian Cruise Line. Popular routes focus on coastal Australia, New Zealand's fjords and South Pacific islands, appealing to those seeking relaxed, scenic escapes.

Travel agents and tour operators remained the largest segment overall, pouring $340.2 million into advertising — the highest category total. Flight Centre dominated this group, followed by Booking.com, Scenic Tours Australia, Ignite Travel and TripADeal. These players emphasized packaged deals, last-minute offers and personalized experiences to stand out in a crowded digital marketplace.

Tourism authorities stepped up their game too, hiking investments by 15% to promote domestic destinations. Top spenders included Tourism & Events Queensland, the South Australian Tourism Commission, Tourism Tasmania, Destination NSW and the Northern Territory Tourist Commission. Queensland's beaches, Tasmania's wilderness and the Northern Territory's outback adventures featured prominently in campaigns targeting nature lovers and experience seekers.

Nielsen's Consumer & Media View (CMV) research underscores the trends fueling the ad surge. Leisure remains the primary motivation for Australian travel, with nature-based and experience-led trips holding strong appeal. Digital tools dominate planning: 85% of respondents said they would check the internet when organizing a trip, and 52% prefer booking accommodations online. Younger demographics, particularly those aged 25-39, show heightened enthusiasm, with many prioritizing domestic road trips or short-haul flights over pricier international splurges.

The preference for domestic travel persists as a cost-effective alternative, though overseas aspirations remain high. Popular local spots include New South Wales, Queensland and Victoria, with Sydney and Melbourne as perennial favorites for urban breaks. Internationally, destinations like New Zealand, Japan, the United Kingdom and Indonesia draw interest, often paired with sightseeing and relaxation.

Experts say the advertising escalation reflects broader market dynamics. Airlines and cruises are locked in a wallet war, offering overlapping products — from fly-cruise packages to bundled airfares — in a bid to secure discretionary spending. Economic uncertainty has made consumers more value-conscious, pushing brands toward targeted digital ads, social media promotions and influencer partnerships to deliver measurable returns.
"The competition is fierce between travel destinations and providers," Lopreiato noted. "Advertisers need to know exactly where competitors are investing and how they're winning over consumers eager to travel."

The Nielsen findings align with ongoing recovery in Australia's tourism sector. Visitor numbers have climbed steadily since borders reopened fully, with international arrivals contributing billions to the economy. Domestic travel has also surged, as Australians rediscover local gems amid higher overseas costs and lingering global uncertainties.
Industry observers expect the momentum to continue into 2026, with potential for further ad increases if consumer confidence holds. Airlines may focus on capacity expansion and new routes, while cruise lines introduce more seasonal sailings from Australian ports. Tour operators could emphasize sustainable and experiential offerings to align with evolving preferences.

For now, the message from the data is clear: Travel remains a bright spot in Australian spending habits, and the industry's heavy marketing push shows no signs of slowing.