The APAC region stands out as the most expectant of a rise in incentive activity compared to 2025 levels
While the global majority of respondents (over 50 per cent) expect incentive activity to remain steady next year, Asia-Pacific (APAC) buyers display a significantly more bullish outlook, according to the 2025 Incentive Travel Index from Incentive Research Foundation and the Society for Incentive Travel Excellence (SITE).
Specifically, 32 per cent of APAC buyers anticipate an increase in activity for 2026, with that optimism climbing to 46 per cent for 2027. This contrasts with Western Europe and North America, where fewer respondents expect to see growth over the next two years.
In APAC, incentive travel is a strategic pillar integrated into talent development, culture, and brand storytelling. Highlighting this, SITE CEO Annette Gregg shared that 33 per cent of APAC corporations fully align incentive travel with their HR strategies – outpacing both Europe (29 per cent) and North America (21 per cent).
“Companies here are using incentives to foster loyalty, shape corporate identity, and drive performance, not merely to reward it. Success is being measured less by cost per head and more by connection per head, engagement scores, retention rates, internal advocacy,” said Gregg.
Sathia Moorthy, CEO of OOTO & CO., agreed: “Corporates today see incentive travel less as a simple reward and more as a strategic investment in people a way to build loyalty, engagement, and culture.”
Moorthy also opined that incentives have shifted from “purely leisure trips” to “impact learning experiences”.
“These experiences expose teams to innovation, creativity, and real-world ideas. These often include exclusive access to founders or key innovators in the destination – for instance, meeting the founder of BYD in Shenzhen. This is a money-can’t-buy experience that leaves a lasting impression and can spark new ways of thinking,” he said.
In addition, CSR also now ranks above “free time” as a success factor for APAC incentives, a contrast with North America, where downtime is king.
Greg elaborated: “From mangrove replanting in Thailand to community education projects in Vietnam or cultural preservation efforts in India, CSR has moved from being a feel-good add-on to a legitimate pillar of programme design.”
As for choice of destination, Europe remains top for longhaul incentives from APAC for both Moorthy and Melvyn Nonis, co-founder of MICE Matters, although more companies are keen to explore second-tier destinations such as Malta, Czech Republic, Croatia, and Ireland.
Closer to home, stalwarts like Japan and South Korea are still “doing strong despite higher costs”, added Nonis.
Tier Two cities in APAC are also developing at a fast pace, opined Nonis, with increased requests for Danang and Phu Quoc in Vietnam, as well as the Chinese cities of Chongqing, Kunming, Xi’an, and Lijiang.
“These destinations have lower ground costs in terms of five-star hotels and food costs, most travellers can also obtain visas easily, and there is good flight accessibility,” Nonis elaborated.
Moorthy has noticed a similar trend, as his company is seeing great traction in Chongqing, Chengdu, Danang, and even Cairns in Australia.
For 2026, Moorthy indicated: “We anticipate growing appetite for Central Asia – places like Kazakhstan and Uzbekistan – along with South America.”
As for MICE Matters, Nonis indicated that he plans to promote more “exotic destinations” in South America – Rio de Janeiro and Buenos Aires – for larger groups of 1,000, and Cuba for smaller groups.
