DESIRE TO TRAVEL REMAINS
Countries in the region are beginning to adopt differentiation strategies, experts noted.
Seyfi shared how Thailand has positioned itself strongly in wellness and medical tourism while Malaysia has focused on Muslim-friendly travel.
Thailand is seeking to diversify its ASEAN tourism markets rather than rely on a single source market, through campaigns such as “Trusted Thailand” and “Value with Volume” aimed at attracting high quality, repeat travellers, the TAT said.
Indian visitors will be targeted through “Wedding, Luxury and Celebration” segments to increase spending, while Myanmar visitors, known for their relatively long stay and familiarity with Thailand, will be targeted through “Health and Wellness” segments.
“Our strategy is not simply about replacing long-haul markets with regional arrivals. It is about achieving a more balanced, diversified, and higher-quality tourism ecosystem,” TAT added.
Malaysia recorded 9.7 million Muslim visitors out of a total 42.2 million arrivals in 2025, with the top three markets being Indonesia, Singapore and Brunei, reported local media.
Indonesia, meanwhile, has reaffirmed its commitment to diversify beyond Bali by promoting 10 other destinations including Labuan Bajo, according to its Tourism Minister Widiyanti Putri Wardhana.
“These strategies help, but they require consistent quality and clear messaging. Without that, destinations fall back into competing mainly on price, which is not sustainable,” said Seyfi.
Nisha called for greater collaboration across Southeast Asia, describing the region as an “underutilised collective tourism brand”.
“Rather than 10 countries competing with near-identical propositions for the same traveller, there is a compelling case for collaborative destination marketing that positions Southeast Asia as a multi-country journey,” she said.
Looking ahead, experts say the shift towards regional markets is unlikely to replace long-haul travel, which “remains important for revenue generation”.
“What is more likely is a more balanced tourism strategy, as countries actively manage both segments instead of prioritising one over the other,” said Seyfi.