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New research suggests Australians are redefining what “luxury travel” looks like, with many favouring cabins, motels and self-driven regional escapes over traditional high-end hotel stays. Findings from East Coast Car Rentals show younger travellers in particular are driving a shift towards nostalgic, flexible road trip experiences. Approximately 77% of Australians aged 18 to 24 say road trips with friends or family are among their most memorable travel experiences, pointing to a growing preference for journeys built around freedom, connection and yearning for simpler times, rather than premium accommodation.

The data reflects a broader change in how Australians are choosing to spend their time and money when they travel. Instead of prioritising five-star amenities, many are opting for simpler stays that allow them to explore at their own pace, stop in regional towns, and access destinations away from traditional tourist corridors.

Ben Whitmore, CMO at East Coast Car Rentals, says, “We’re seeing a shift in what Australians value when they travel. Luxury isn’t necessarily about five-star service anymore. For many people, it’s about having the freedom to explore, reconnect with loved ones, and create memories that feel genuine and lasting.”

He added that value is increasingly being measured by experience rather than exclusivity or price point, with flexibility and autonomy becoming key drivers in travel decisions.

Beyond the Instagram version of travel

While social media continues to spotlight resort-style holidays, infinity pools and curated luxury escapes, many Australians are moving in the opposite direction with research from East Coast Car Rentals revealing that 92% of Aussies want to holiday somewhere that isn’t popular on Instagram. As a result, cabins, roadside motels and regional stays are gaining appeal for their simplicity, affordability and stronger connection to place. Rather than acting as a base for highly-structured itineraries, these types of accommodation are increasingly part of the experience itself, encouraging travellers to slow down and engage more directly with their surroundings.

For many, this style of travel offers a sense of immersion that is harder to find in more polished, high-end environments. It also aligns with a growing preference for trips that feel less curated and more personal.

A generational shift in what feels like luxury

The appeal spans generations, but the motivations differ. For older Australians, cabins and motels often carry a sense of nostalgia, echoing family holidays and earlier travel experiences that feel familiar and uncomplicated.

Gen Z travellers, the appeal is more practical. Lower-cost accommodation options make travel more accessible, while road trips and regional stays offer a chance to break away from the fast-paced, always-on demands of study, work and digital life and lean into something slower, more grounded and intentionally different. Across both groups, there is a growing sense of “five-star fatigue”, where highly-polished luxury experiences are increasingly being swapped for something more grounded, flexible and authentic.

Redefining value in travel

The idea of luxury travel itself is shifting. Where it was once associated with premium service, high-end facilities and exclusivity, many Australians are now defining luxury in more personal terms. Increasingly, it is about time away from obligations, reduced digital noise, and the ability to move freely without rigid schedules, or the mental load of having to make continual decisions each day. In this context, a simple cabin in a regional town or a roadside motel can represent a different kind of premium experience.

“Despite ongoing cost-of-living pressures, Australians are still prioritising travel, but we’re seeing a clear shift in how they approach it. People are becoming more intentional with their budgets and are increasingly choosing road trips, regional destinations and simpler accommodation options that allow them to stretch their money further. There’s a noticeable change in taste, with travellers valuing flexibility, freedom and authentic experiences over traditional markers of luxury.” added Whitmore.

Rather than being defined by star ratings or status, luxury is becoming more closely tied to how a trip feels. For many Australians, that means less emphasis on perfection and more focus on presence, connection and discovery.