Gen Z's Favorite Cities: Southeast Asia Becomes Top Pick for Young Travelers, Indonesia Makes the List

Young generations have an increasingly varied selection of Travel Destinations. Gen Z tends to seek affordable trips with authentic experiences across Southeast Asia, while Millennials are beginning to turn their attention to farther destinations that offer diverse activities and travel experiences.

Actual booking data from youth-specialised travel agency Adventure360 for the period August 2025 to August 2026 shows Thailand is the most popular destination among Gen Z. This country was selected by 29.2 percent of respondents from this age group.

Indonesia also ranks among the Favorite Destinations, holding third place. Vietnam, Cambodia, and Laos further cement Southeast Asia's position as the go-to holiday region for young travellers.

The appeal of this region is closely tied to relatively low travel costs. Southeast Asia's natural beauty, rich Cultural Heritage, and wide range of tourist activities provide compelling experiences without requiring the large budget needed for travel to more distant locations.

Social media influence also shapes Gen Z travel choices. Short-form video content on TikTok can introduce destinations to millions of users and drive the emergence of new travel trends.

Angkor Wat in Cambodia, for example, is one cultural heritage site that has gained significant traction through social media travel trends.

Exploring this historical site delivers a combination of recreation, learning, and opportunities to create personal travel content.

Millennials Turning To Farther Destinations

Unlike Gen Z, Millennials tend to favour destinations such as Australia, Japan, Greece, and Iceland.

This preference is linked to their relatively more stable financial situation, which enables long-distance travel with larger allocated budgets.

Australia and Japan offer a balanced mix of urban life, natural landscapes, and Cultural Experiences. Meanwhile, Greece and Iceland hold unique appeal through their dramatic scenery, ancient history, and distinct destination identity.

This gap in preference demonstrates that age and financial capability directly shape how young generations plan travel. Gen Z prioritises affordability above most considerations, while Millennials have greater flexibility to explore cross-continental destinations.

Even so, both generations equally seek memorable Travel Experiences. Destination choice is no longer determined solely by the popularity of a location, but also by the activities and immersion available while visiting.

Working Holiday As New Zealand's Core Appeal

Beyond conventional tourism, travel combined with temporary work is also growing in popularity among young generations. New Zealand ranks among the top 10 youth-friendly countries thanks to its Working Holiday Visa program.

This scheme allows young travellers to combine holiday time with paid work activities during their stay in the country.

Visa extension policies outlined in the source data have further strengthened New Zealand's appeal for the 18-35 age group.

The working holiday model provides a far deeper, longer experience compared to standard Leisure Travel. Participants are able to immerse themselves in local community life, explore different regions, and gain international work experience at the same time.

For many young people, this travel format presents an opportunity to broaden their horizons while also managing living costs during their stay abroad.

This experience also provides valuable new perspectives on international culture and professional working environments.

The differing destination preferences between Gen Z and Millennials reflect the growing diversity of global tourism trends.

Southeast Asia holds huge potential to continue attracting young travellers thanks to competitive pricing and rich, varied experiences, while countries such as Australia, Japan and New Zealand offer alternative travel options with distinct characteristics.

Indonesia has a clear opportunity to strengthen its position in the youth tourism market. Its natural beauty, cultural diversity, and activity options across all budget ranges can be leveraged to attract more travellers across all generations.