Forget the sunburnt country stereotype – Australia’s travel sector has transformed into a red-hot economic powerhouse, injecting over AUD 66 billion into the national GDP in 2023 and supporting hundreds of thousands of jobs while showcasing record-breaking growth across every state, industry segment, and international source market.
Key Takeaways
- In 2023, Australia's tourism industry generated AUD 66.1 billion in total economic contribution, accounting for 3.1% of national GDP
- Tourism directly supported 238,000 jobs in Australia during 2023, representing 1.8% of total employment
- Domestic tourism expenditure reached AUD 112.4 billion in FY2023, up 18.5% from the previous year
- Australia's 8.9 million international visitors in 2023 generated AUD 34 billion in spend
- New Zealand topped source markets with 1.3 million arrivals in 2023, up 15% YoY
- Chinese visitors numbered 596,000 in 2023, recovering to 71% of 2019 levels
- Domestic travel nights totaled 456 million in 2023, up 12% YoY
- 85 million domestic visitor nights were spent in short-term accommodation in FY2023
- Domestic holiday travel expenditure was AUD 45.2 billion in 2023
- International students numbered 543,000 in Australia in 2023, staying avg 52 weeks
- Chinese international students contributed 28% of total at 152,000 in 2023
- Indian students grew to 108,000 enrolments in 2023, +25% YoY
- Hotel room nights sold to internationals reached 18.4 million in 2023
- Total accommodation rooms in Australia numbered 285,000 in 2023
- Serviced apartment occupancy hit 72% nationally in 2023
Australia's tourism industry is thriving with strong recovery and significant economic growth.
Accommodation
1Hotel room nights sold to internationals reached 18.4 million in 2023
Verified2Total accommodation rooms in Australia numbered 285,000 in 2023
Verified3Serviced apartment occupancy hit 72% nationally in 2023
Verified4Sydney's hotel occupancy averaged 78.5% in 2023, RevPAR AUD 245
Directional5Melbourne hotel ADR reached AUD 198 in 2023, up 14%
Single source6Gold Coast occupancy was 76.2% with 2.1 million room nights sold
Verified7Great Barrier Reef resorts saw 85% occupancy peaks in 2023 summer
Verified8Tasmania holiday parks occupancy grew 11% to 68% in 2023
Verified9Airbnb listings totaled 248,000 active in Australia in 2023
Directional10Holiday rental supply increased 9% to 156,000 properties in 2023
Single source11Average hotel room rate nationally was AUD 212 in FY2023
Verified12Boutique hotels grew 7% in supply to 1,200 properties in 2023
Verified13Glamping sites expanded to 450 locations with 92% occupancy in peak 2023
Verified14Total accommodation expenditure by domestics was AUD 18.9 billion in 2023
Directional15International guests occupied 25% of hotel rooms in major cities 2023
Single source16Eco-certified accommodations numbered 1,200 in 2023
Verified17Timeshare and resort clubs had 45,000 members using facilities in 2023
Verified18Caravan parks hosted 11 million guest nights domestically in 2023
Verified19Luxury lodge occupancy averaged 82% with ADR AUD 650 in 2023
DirectionalAccommodation Interpretation
While international visitors filled a quarter of our city hotels and our glamping tents were practically sagging with 92% occupancy, the true story of Australia's 2023 travel boom is a tale of two markets, where domestic dollars fueled a sprawling and inventive accommodation landscape—from burgeoning holiday parks to boutique hotels—all while chasing the premium rates our spectacular destinations can now command.
Domestic Tourism
1Domestic travel nights totaled 456 million in 2023, up 12% YoY
Verified285 million domestic visitor nights were spent in short-term accommodation in FY2023
Verified3Domestic holiday travel expenditure was AUD 45.2 billion in 2023
Verified4Intrastate travel accounted for 68% of domestic trips in 2023
Directional5New South Wales saw 28.4 million domestic visitors in 2023
Single source6Queensland hosted 22.1 million domestic overnight visitors in FY2023
Verified7Victoria recorded 18.7 million domestic visitor nights in 2023
Verified8Western Australia domestic arrivals totaled 7.9 million in 2023
Verified9South Australia had 4.2 million domestic overnight visitors in 2023
Directional10Tasmania saw 2.8 million domestic visitors in FY2023
Single source11Northern Territory domestic travel generated 5.6 million nights in 2023
Verified12Domestic VFR trips numbered 34 million in 2023
Verified1342% of domestic trips were for holiday purposes in 2023
Verified14Average domestic trip spend was AUD 456 per night in 2023
Directional15Road transport dominated domestic travel at 78% mode share in 2023
Single source16Domestic aviation passenger numbers reached 78.2 million in FY2023
Verified17Camping and caravan travel accounted for 12% of domestic nights in 2023
Verified18Repeat domestic visitors made up 61% of total trips in 2023
Verified19Urban domestic travel represented 45% of total expenditure in 2023
Directional20Rural and regional domestic spend was AUD 32 billion in 2023
Single source21Family group travel dominated domestic market at 52% in 2023
Verified22Solo domestic travelers increased 8% to 14 million trips in 2023
Verified2365% of Australians took at least one domestic overnight trip in 2023
VerifiedDomestic Tourism Interpretation
Australians are clearly opting to explore their own backyard with gusto, proving you don't need a passport for an expensive holiday when you've got a perfectly good caravan, a massive country to drive through, and a nagging sense of duty to visit your relatives.
Economic Impact
1In 2023, Australia's tourism industry generated AUD 66.1 billion in total economic contribution, accounting for 3.1% of national GDP
Verified2Tourism directly supported 238,000 jobs in Australia during 2023, representing 1.8% of total employment
Verified3Domestic tourism expenditure reached AUD 112.4 billion in FY2023, up 18.5% from the previous year
Verified4International visitor spending hit AUD 34.2 billion in 2023, recovering to 92% of pre-pandemic levels
Directional5The tourism sector's total GDP contribution grew by 24.7% year-on-year to AUD 152.6 billion in 2024 projections
Single source6New South Wales tourism contributed AUD 24.7 billion to GDP in 2023
Verified7Queensland's visitor economy added AUD 23.8 billion to state GDP in FY2023
Verified8Victoria's tourism sector generated AUD 18.9 billion in economic value in 2023
Verified9Western Australia's tourism industry contributed AUD 11.2 billion to GDP pre-COVID, recovering to AUD 10.8 billion in 2023
Directional10South Australia's tourism expenditure totaled AUD 5.6 billion in 2023
Single source11Tasmania's tourism sector accounted for 9.2% of state GDP with AUD 3.1 billion in 2023
Verified12Northern Territory tourism generated AUD 2.4 billion in visitor spend in 2023
Verified13Australia's aviation sector, linked to tourism, contributed AUD 42 billion to GDP in 2023
Verified14Food and beverage tourism spending reached AUD 15.3 billion in 2023
Directional15Cultural tourism generated AUD 12.7 billion in direct spend across Australia in 2023
Single source16Adventure tourism expenditure totaled AUD 8.9 billion in FY2023
Verified17Ecotourism contributed AUD 6.4 billion to Australia's economy in 2023
Verified18Cruise tourism brought AUD 2.1 billion in direct spend to ports in 2023-24 season
Verified19Business events tourism generated AUD 14.5 billion in 2023
Directional20Wine tourism expenditure hit AUD 2.8 billion in South Australia alone in 2023
Single source21Surf tourism contributed AUD 4.2 billion annually to coastal economies in 2023 estimates
Verified22Australia's international education tourism sector added AUD 40 billion to the economy in 2023
Verified23Total tourism capital investment reached AUD 12.3 billion in FY2023
Verified24Tax revenue from tourism totaled AUD 18.7 billion in 2023
Directional25Multiplier effect of tourism spending was 1.8, generating AUD 2.8 indirect GDP per direct AUD1 in 2023
Single source26Tourism's share of merchandise exports was 4.1% equivalent in 2023
Verified27In 2023, holiday visitors spent AUD 28.6 billion
Verified28VFR (visiting friends and relatives) tourism expenditure was AUD 9.2 billion in 2023
Verified29Short-term visitor arrivals contributed AUD 45.3 billion in exports in Dec 2023 quarter
DirectionalEconomic Impact Interpretation
Australia's tourism industry is essentially the nation's surprisingly fit, triple-threat relative who not only brings home a massive paycheque and employs half the neighbourhood, but also has a lucrative side-hustle in everything from pouring Shiraz to catching waves.
Industry Employment
1Domestic tourism employment totaled 145,000 jobs in hospitality in 2023
Verified2Total tourism jobs recovered to 666,000 in March 2024, 95% of pre-COVID
Verified3Accommodation services employed 112,000 full-time equivalents in 2023
Verified4Food services jobs in tourism reached 278,000 in 2023
Directional5Transport services supported 89,000 tourism jobs in 2023
Single source6Arts and recreation employed 45,000 in tourism in 2023
Verified7Regional tourism jobs totaled 312,000, 47% of national total in 2023
Verified8Youth employment in tourism was 28% under 25 years in 2023 surveys
Verified9Female workforce share in tourism reached 55% in 2023
Directional10Indigenous employment in tourism grew to 12,000 jobs in 2023
Single source11Skills shortage in hospitality affected 65% of operators in 2023
Verified12Average tourism wage was AUD 62,000 annually in 2023
Verified13Apprenticeships in tourism numbered 18,500 active in 2023
Verified14Migrant workers filled 22% of tourism vacancies in 2023
Directional15Infrastructure projects created 25,000 construction jobs for tourism in 2023
Single source16Digital skills training reached 45,000 tourism workers in 2023 programs
Verified17Sustainability roles in tourism grew 15% to 8,200 jobs in 2023
Verified18Tour guide certifications issued totaled 12,300 in 2023
Verified19Event management employment hit 34,000 in tourism sector 2023
Directional20Aviation tourism jobs numbered 56,000 direct in 2023
Single source21Visitor centres staffed 4,500 FTE across Australia in 2023
VerifiedIndustry Employment Interpretation
Australia’s tourism industry, a humming, people-powered engine now at 95% recovery, is still trying to solve the deliciously ironic puzzle of having 666,000 jobs while 65% of its hospitality operators can’t find enough hands to pour the beer or make the beds.
International Tourism
1International students numbered 543,000 in Australia in 2023, staying avg 52 weeks
Verified2Chinese international students contributed 28% of total at 152,000 in 2023
Verified3Indian students grew to 108,000 enrolments in 2023, +25% YoY
Verified4Nepal emerged with 40,000 student visas in 2023
Directional5Vietnamese students totaled 32,000 in 2023
Single source6Brazilian students reached 15,000 in 2023, Latin America growth
Verified7Colombian student visas hit 12,000 in 2023
Verified877% of international students cited tourism as secondary purpose in 2023 surveys
Verified9International students spent AUD 2,200 monthly on living expenses avg in 2023
Directional10Luxury international travelers numbered 1.2 million in 2023, avg spend AUD 8,500
Single source11Family international travel grew 15% to 2.1 million trips in 2023
Verified12Adventure international tourists totaled 1.8 million visits in 2023
Verified13Cultural heritage sites drew 3.4 million international visits in 2023
Verified14Wildlife tourism attracted 2.9 million international visitors in 2023
Directional1568% of international visitors engaged in nature-based activities in 2023
Single source16Food and wine tourism saw 4.2 million international participants in 2023
Verified17Cruise passenger arrivals totaled 1.5 million in 2023-24
Verified18Yachting and marine tourism grew to 250,000 international visitors in 2023
Verified19Sports tourism events hosted 1.1 million international spectators in 2023
DirectionalInternational Tourism Interpretation
While the international education sector is busily bankrolling the economy with a diligent army of 543,000 students who are clearly also moonlighting as tourists, the rest of Australia's travel industry is thriving on a delightful smorgasbord of luxury spenders, wildlife-loving families, and cruise passengers, all being happily washed down with a fine local wine.
Transport Aviation
1Total aviation passengers in Australia reached 126 million in FY2023
Verified2Qantas Group carried 52.4 million passengers in 2023, market share 35%
Verified3Virgin Australia transported 23.1 million pax in FY2023
Verified4Jetstar carried 15.8 million low-cost passengers in 2023
Directional5Rex Airlines handled 4.2 million regional pax in 2023
Single source6International air arrivals via Sydney Airport totaled 14.2 million in 2023
Verified7Melbourne Airport international passengers hit 10.8 million in 2023
Verified8Brisbane Airport saw 7.9 million international pax in FY2023
Verified9Perth Airport international traffic grew 45% to 3.4 million in 2023
Directional10Gold Coast Airport handled 6.1 million pax, 85% domestic in 2023
Single source11Regional aviation routes numbered 1,200 with 12 million pax in 2023
Verified12Average domestic airfare was AUD 145 one-way in Q4 2023
Verified13Cargo air freight to support tourism logistics was 1.8 million tonnes in 2023
Verified14On-time performance for domestic flights was 83.2% in 2023
Directional15New airport infrastructure investment AUD 5.2 billion in 2023-24
Single source16Cruise ship calls totaled 1,200 at Australian ports in 2023-24
Verified17Road trips accounted for 82% of domestic transport km in 2023
Verified18Rail tourism passengers numbered 2.4 million on scenic routes in 2023
VerifiedTransport Aviation Interpretation
Despite the dominance of cars, low-cost flights, and scenic trains, Australia's travel industry in 2023 was a soaring, if sometimes tardy, symphony of over 126 million aviation passengers, with Qantas firmly conducting more than a third of the orchestra from the front.
Visitor Arrivals
1Australia's 8.9 million international visitors in 2023 generated AUD 34 billion in spend
Verified2New Zealand topped source markets with 1.3 million arrivals in 2023, up 15% YoY
Verified3Chinese visitors numbered 596,000 in 2023, recovering to 71% of 2019 levels
Verified4US arrivals reached 785,000 in 2023, with average spend AUD 3,200 per trip
Directional5UK visitors totaled 612,000 in 2023, staying average 28 nights
Single source6Singaporean arrivals hit 456,000 in 2023, up 22% from 2022
Verified7Indian visitors grew to 352,000 in 2023, +28% YoY growth rate
Verified8German arrivals were 245,000 in 2023, focusing on nature-based travel
Verified9South Korean visitors numbered 178,000 in 2023, recovering 65% to pre-COVID
Directional10Japanese arrivals reached 156,000 in 2023, with luxury segment growth
Single source11Malaysian visitors totaled 421,000 in 2023, short-haul preference
Verified12Indonesian arrivals grew to 189,000 in 2023, +35% YoY
Verified13Canadian visitors numbered 298,000 in 2023, high spenders at AUD 4,100 avg
Verified14French arrivals were 132,000 in 2023, adventure focus
Directional15Italian visitors totaled 98,000 in 2023, cultural interests
Single source16Philippine arrivals hit 145,000 in 2023, family travel dominant
Verified17Saudi Arabian visitors grew to 45,000 in 2023, luxury segment
Verified18Total short-term visitor arrivals were 9.1 million in FY2023-24
Verified19Holiday purpose accounted for 51% of international arrivals in 2023
Directional20Business/leisure arrivals made up 18% of total in 2023
Single source21Average length of stay for international visitors was 24.3 nights in 2023
Verified2272% of international visitors arrived by air in 2023
VerifiedVisitor Arrivals Interpretation
While Kiwis are practically neighbors on a long-term lease and Americans flash their cash in a brief but brilliant burst, the world's tourists collectively propped up the Australian economy in 2023 to the lavish tune of $34 billion, proving that whether they come for a quick sun-soak or a month-long wander, everyone pays to see the sunburned country.
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