APAC travel demand remains robust, according to Criteo's Spring/Summer 2026 Travel Pulse report, which highlights a 30% year-on-year increase in hotel traffic. However, online travel agency (OTA) conversion rates have declined by 10% in the first quarter of 2026. The report, based on data from hundreds of travel providers and insights from over 6,000 consumers, indicates that travellers are becoming more selective, with a shift towards regional and short-haul trips due to ongoing tensions in the Middle East.

The report notes a 17% drop in air traffic in Q1 2026, as travellers reconsider long-haul plans. Instead, short-haul and medium-haul air bookings rose by 1.0% and 1.8% respectively. This trend presents opportunities for destination marketers and OTAs focusing on shorter routes. APAC travellers are also taking longer to make booking decisions, browsing an average of 25 hotel listings before committing, with 66% prioritising good reviews.

Travel bookings in APAC exceeded retail sales week-on-week from July to October 2025, suggesting an extended activation window for marketers. The region is also leading in AI adoption for travel planning, with 45% of Japanese and 47% of South Korean travellers using AI tools, compared to a global average of 30%. In March 2026, ChatGPT accounted for a higher share of travel booking page visits than traditional search by 13 points.

Szi Wei Lo, Executive Managing Director, APAC, Criteo, stated, “Travel brands no longer win simply by outbidding competitors — they win by making it easier for travellers to understand, compare and choose their offering.” As the travel landscape evolves, brands that leverage real-time commerce data and AI-powered strategies are better positioned to convert cautious travellers

This story was selected and published by a human editor, with content adapted from original press material using AI tools. Spot an error? Report it here.