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PRESS RELEASE

The ‘bleisure’ effect: Why the Asia-Pacific is corporate travel's hottest market in 2026

Corporate travellers across Asia-Pacific are staying longer and blurring the lines between business and leisure, reshaping the region's accommodation market, according to FCM Consulting's newest Global Hotel Strategies Report 2026.

Key findings: APAC corporate travel trends

  • Singapore's long-stay demand surged 25% year-on-year as corporate travellers extend trips and blend work with leisure.
  • Premium hotel rates are climbing 3-8% in top cities, while luxury supply expands to meet demand for experience-rich stays.
  • Travel managers face new compliance risks as bleisure creates policy grey zones that most programs have not addressed.

The report also reveals that occupancy rates in key APAC business hubs have hit multi-year highs, with Tokyo leading at 82.9%, Sydney at 81.5%, and Singapore at 79.2%.

Contents

What’s driving the bleisure travel boom in Asia-Pacific?

The shift is being driven by what the industry calls "bleisure": employees extending work trips to explore destinations, work remotely from hotels, and combine productivity with experience. This trend has moved from the margins to the mainstream, creating both opportunity and complexity for corporate travel managers heading into RFP season.

"Corporate travellers are extending stays, particularly in Singapore, China, India, and Japan," says Felicity Burke, FCM Consulting's Head of Consulting, Asia Pacific. "These actions impact average length of stay and complicate hotel procurement models."

The numbers are significant as Singapore alone recorded a 25% year-on-year rise in long-stay demand in 2025, while serviced apartments and extended-stay formats are surging across the region.

At the same time, the luxury supply is expanding rapidly. Kuala Lumpur has nearly 2,000 luxury rooms in the pipeline, Auckland's five-star supply has nearly doubled in six years, and Thailand is seeing renewed investor appetite in Bangkok and key resort locations.

Why are corporate travel policies struggling to keep up?

However, the bleisure boom is not without friction. The report identifies "bleisure and extended-stay policy gaps" as one of the top three pressure points facing travel buyers in 2026.

The blurring of business and leisure travel is creating grey zones in expense policy, preferred property eligibility, and even duty-of-care obligations that most corporate programs have not formally addressed.

"Travellers are requesting more flexible, experience-rich stays," Burke notes. "Wellness amenities, local culture, and workation-friendly spaces are influencing selection."

How much are hotel rates rising in popular APAC hubs?

That shift in expectations is colliding with tighter budgets and rising rates. Tokyo's average room rate now sits at US$327, Hong Kong at $293, and premium-tier properties across top-performing cities are expected to increase rates by three to eight per cent in 2026.

Meanwhile, pushback against hotel policies is becoming more common, with employees citing productivity and comfort as reasons for choosing premium-tier properties, particularly for longer or more intensive trips.

The report also highlights a compliance challenge: program leakage. When travellers book outside approved channels, particularly through platforms offering short-term discounts during off-peak periods, they undercut contracted prices and create gaps in traveller tracking. This behaviour is eroding compliance and making it harder to achieve volume-based savings.

Despite these challenges, the outlook for APAC remains strong. Australia is tracking towards 11 million annual visitors by 2027, and Malaysia is targeting 43 million international visitors through its "Visit Malaysia 2026" campaign and expanded visa-free access for Chinese and Indian nationals is expected to further boost demand.

How can travel managers prepare for the 2026 hotel RFP season?

For travel managers preparing for the 2026 RFP season, Burke's advice is clear: review contract performance, reassess hotel tier strategies, and address policy gaps before they become compliance issues.

"Before launching your next hotel RFP in APAC, audit your existing program rates for correctness, check if hotels are actively used, and aligned with current booking behaviour," she says.

"With luxury supply expanding in several key cities, structured upper-tier options in high-demand markets may support compliance and traveller satisfaction."

The bleisure effect is not going away. The question for corporate travel programs is whether they are ready to manage it.

Frequently Asked Questions (FAQs)

  • What is bleisure travel and why is it growing in Asia-Pacific?

    Bleisure travel is the combination of business and leisure travel, where employees extend work trips to explore destinations and blend productivity with personal experiences. It is growing rapidly in APAC due to increased remote work flexibility and employee demand for experience-rich travel. Singapore alone saw a 25% year-on-year increase in long-stay corporate demand in 2025, with similar trends across China, India, and Japan.

  • What are the biggest compliance risks of bleisure travel for companies?

    The main risks include policy grey zones around expense eligibility, duty-of-care obligations for extended stays, and program leakage when travellers book outside approved channels. Most corporate travel programs haven't formally addressed these bleisure scenarios, creating potential compliance gaps and making it harder to track travellers or achieve volume-based hotel savings.

  • How much are corporate hotel rates increasing in Asia-Pacific?

    According to FCM Consulting’s report, premium-tier hotel rates across top APAC cities are climbing 3-8% in 2026. Tokyo's average room rate now sits at US$327 per night, Hong Kong at US$293, while occupancy rates have hit multi-year highs (Tokyo 82.9%, Sydney 81.5%, Singapore 79.2%).

  • What should corporate travel managers do before the 2026 hotel RFP season?

    Travel managers should: (1) audit existing hotel program rates for correctness, (2) verify if contracted hotels align with current booking behaviour, (3) address bleisure policy gaps before they become compliance issues, and (4) consider structured upper-tier options in high-demand markets where luxury supply is expanding, such as Kuala Lumpur, Auckland, and Bangkok.