Victoria’s top town has just been crowned – and it’s a coastal gem

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These tiny towns are packed with personality – and now they’ve got the title to prove it.

Every year, each Aussie state reveals its most beloved destinations across three categories – the Top Tourism Town, Top Small Tourism Town and Top Tiny Tourism Town. NSW announced its winners last month. Now, it’s Victoria’s time to shine. Drum roll, please…

Victoria’s Top Tourism Town

Warrnambool in Victoria
Seaside Warrnambool is Victoria’s Top Tourism Town of 2025.

Say hello to Victoria’s Top Tourism Town of 2025 – Warrnambool! Open to towns with a population of 5,000 or more, this category recognises stand-out destinations that offer something truly special – and it’s not hard to see why Warrnambool took out top honours. Situated along the iconic Great Ocean Road and a three-hour drive from Melbourne, Warrnambool offers the perfect blend of regional charm and coastal bliss.

Deep Blue Hot Springs in Warrnambool, Victoria
Take a dip in geothermal waters at Deep Blue Hot Springs.

Wander along the main drag to explore cosy cafes and vintage boutiques. Or head to the coast for beautiful beaches and scenic walking trails. It’s also a great jumping-off point for the Great Victorian Bathing Trail, a 900-kilometre tourist route that takes in some of the state’s best natural geothermal baths. Start in the heart of town at Deep Blue Hot Springs, a mineral-rich sanctuary of open-air rock pools.

Warrnambool combines coastal vibes with regional charm.

Add in friendly locals and a laid-back lifestyle, and Warrnambool’s win feels like a no-brainer. The regional city of Ballarat was hot on its heels, though, scoring the category’s silver award. Maybe 2026 will be your year, Ballarat!

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Victoria’s Top Small Tourism Town

Bogong Horseback Adventures in Mount Beauty, Victoria
Discover the countryside charms of Mount Beauty.

Next up is Victoria’s Top Small Tourism Town – a category reserved for towns with a population between 1,500 and 5,000. And this year, the award goes to Mount Beauty! It’s all in the name here. This charming township, around a 4.5-hour drive from the state’s capital, sits at the base of Victoria’s highest peak, Mt Bogong.

Bogong Horseback Adventures in Mount Beauty, Victoria
Join a scenic horse-riding tour with Bogong Horseback Adventures.

Mount Beauty is home to some of Victoria’s most bucolic landscapes that have long attracted nature lovers and outdoor enthusiasts. From horse-riding tours with Bogong Horseback Adventures to bike tracks and hiking trails, visitors are spoilt for choice. Come the cooler months, the surrounding mountains are covered in snow, and with Mount Hotham only an hour away, it’s the perfect place to book for a cosy winter weekend.

Mt Hotham in Victoria
Head to nearby Mt Hotham to hit the slopes come winter.

Port Fairy on the Shipwreck Coast, named after the 700+ vessels submerged in its waters, took out silver in the Top Small Tourism Town category this year. And while it may be a world away from the winner, its rich offerings made for fierce competition.

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Victoria’s Top Tiny Tourism Town

Trentham in Victoria
Visit cosy country pubs in Trentham.

The final category shines the spotlight on Victoria’s pocket-sized towns – those with no more than 1,500 residents. Let’s hear it for the Top Tiny Tourism Town of 2025 – Trentham! Don’t let its size fool you. This historic village, under two hours north-west of Melbourne, sure packs a mighty punch. Sitting pretty atop the Great Dividing Range, Trentham has been enchanting visitors since it was established by gold prospectors in the 1850s.

Trentham in Victoria
The tiny town is home to a range of boutique stores.

Focus soon shifted to gems of a different kind – cosy country pubs, boutique stores and stylish accommodation like The Cosmopolitan Hotel – which solidified Trentham as a regional treasure. But there’s more to the suburb than its charming streetscapes. Aptly named Trentham Falls is the highest single-drop waterfall in Central Victoria, plunging more than 32 metres. Who knew one of Australia’s best waterfalls was just a five-minute drive from town?

Trentham Falls in Victoria
Trentham Falls cascades over a basalt cliff for more than 32 metres.

Halls Gap claimed silver for the Top Tiny Tourism Town award. Known as the gateway to the Grampians, the village is another natural wonder. And while an abundance of waterfalls can also be found nearby, they couldn’t quite compete with Trentham’s crown jewel this year.

Bronze commendations for each category were awarded to Echuca, Portarlington and Whitfield, respectively, with all winners decided by the Victoria Tourism Industry Council.

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Taylah Darnell
Taylah Darnell is Australian Traveller's Writer & Producer. She has been passionate about writing since she learnt to read, spending many hours either lost in the pages of books or attempting to write her own. This life-long love of words inspired her to study a Bachelor of Communication majoring in Creative Writing at the University of Technology Sydney, where she completed two editorial internships. She began her full-time career in publishing at Ocean Media before scoring her dream job with Australian Traveller. Now as Writer & Producer, Taylah passionately works across both digital platforms and print titles. When she's not wielding a red pen over magazine proofs, you can find Taylah among the aisles of a second-hand bookshop, following a good nature trail or cheering on her EPL team at 3am. While she's keen to check out places like Scotland and North America, her favourite place to explore will always be her homeland.
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The perfect mid-week reset an hour from Melbourne

    Kellie Floyd Kellie Floyd
    Winding down in the Yarra Valley, where ‘work from home’ becomes ‘work from wine country’.

    Steam from my morning coffee curls gently into the cool valley air, mist-veiled vineyards stretch out in neat rows below me. Magpies warble from trees, and the morning’s quiet carries the soft bleating of lambs from a nearby paddock. Midweek in the Yarra Valley has its own rhythm. It’s slower, quieter, with more empty tables at cafes and cellar doors, and walking trails I can claim all to myself. It’s as if the entire region takes a deep breath once the weekend crowd leaves.

    walking trails in the Yarra Valley
    You’ll find walking trails are less crowded during the week. (Image: Visit Victoria)

    I haven’t come here for a holiday, but to do a little work somewhere other than my home office, where I spend too much time hunched over my desk. Deadlines still loom, meetings still happen, but with flexible work evolving from ‘work from home’ to ‘work from anywhere’, I’m swapping the view of my front yard to the vineyards.

    A quiet afternoon at Yarra Valley Dairy

    holding a glass of wine at Yarra Valley Dairy
    Wine time at Yarra Valley Dairy, where you can enjoy a toastie or bagel in the cafe. (Image: Visit Victoria)

    With the Yarra Valley just over an hour from the CBD, many Melburnians could drive here in their lunch break. I arrive late in the afternoon and am delighted to discover the Yarra Valley Dairy still open. On weekends, I’ve seen queues spilling out the door, but today there’s only one other couple inside. There’s no need to rush to secure a table; instead I browse the little store, shelves stacked with chutneys, spices, artisan biscuits and gorgeous crockery that would look right at home in my kitchen. It’s hard not to buy the lot.

    a cheese tasting plate atYarra Valley Dairy
    A cheese tasting plate at Yarra Valley Dairy.

    I order a coffee and a small cheese platter, though the dairy has a full menu, and choose a wooden table with bentwood chairs by a wide window. The space feels part farm shed, part cosy café: corrugated iron ceiling, walls painted in muted tones and rustic furniture.

    Outside, cows meander toward milking sheds. If pressed for time, there’s the option of quick cheese tastings – four samples for five dollars in five minutes – but today, I’m in no rush. I sip slowly, watching a grey sky settle over the paddock. Less than an hour ago I was hunched over my home-office desk, and now my racing mind has slowed to match the valley’s pace.

    Checking in for vineyard views at Balgownie Estate

    Restaurant 1309 at Balgownie Estate
    Restaurant 1309 at Balgownie Estate has views across the vines.

    As my car rolls to a stop at Balgownie Estate, I’m quietly excited, and curious to see if my plan to work and play comes off. I’ve chosen a suite with a spacious living area and a separate bedroom so I can keep work away from a good night’s sleep. I could have booked a cosy cottage, complete with open fireplace, a comfy couch and a kettle for endless cups of tea, but as I am still here to get some work done, I opt for a place that takes care of everything. Dinner is served in Restaurant 1309, as is breakfast.

    oysters at Restaurant 1309, Balgownie Estate
    Oysters pair perfectly with a crisp white at Restaurant 1309.

    On my first evening, instead of the usual walk about my neighbourhood, I stroll through the estate at an unhurried pace. There’s no need to rush – someone else is preparing my dinner after all. The walking trails offer beautiful sunsets, and it seems mobs of kangaroos enjoy the view, too. Many appear, grazing lazily on the hillside.

    I wake to the call of birds and, after breakfast, with the mist still lingering over the vineyards, I watch two hot-air balloons silently drift above clouds. Perched on a hill, Balgownie Estate sits above the mist, leaving the valley below veiled white.

    kangaroos in Yarra Valley
    Spotting the locals on an evening walk. (Image: Visit Victoria)

    Exploring the Yarra Valley on two wheels

    the Yarra Valley vineyards
    Swap your home office for a view of the vineyards. (Image: Visit Victoria/Cormac Hanrahan)

    Perhaps because the Yarra Valley is relatively close to where I live, I’ve never considered exploring the area any way other than by car or on foot. And with a fear of heights, a hot-air balloon is firmly off the table. But when I discover I can hop on two wheels from the estate and cycle into Yarra Glen, I quickly realise it’s the perfect way to step away from my laptop and experience a different side of the region.

    COG Bike offers pedal-assist e-bikes, and while the bike trail and paths into town aren’t particularly hilly, having an extra bit of ‘oomph’ means I can soak up the surroundings. Those lambs I heard calling early in the morning? I now find them at the paddock fence, sniffing my hands, perhaps hoping for food. Cows idle nearby, and at a fork in the bike path I turn left toward town.

    It’s still morning, and the perfect time for a coffee break at The Vallie Store. If it were the afternoon, I’d likely turn right, in the direction of four wineries with cellar doors. The ride is about 15 kilometres return, but don’t let that put you off. Staying off the highway, the route takes you along quiet backroads where you catch glimpses of local life – farmers on tractors, weathered sheds, rows of vines and the kind of peaceful countryside you don’t see from the main road.

    A detour to the Dandenong Ranges

    legs hanging over the sides of the train, Puffing Billy Railway
    The iconic Puffing Billy runs every day except Christmas Day.

    The beauty of basing myself in the Yarra Valley is how close everything feels. In barely half an hour I’m in the Dandenong Ranges, swapping vineyards for towering mountain ash and fern-filled gullies. The small villages of Olinda and Sassafras burst with cosy teahouses, antique stores and boutiques selling clothing and handmade body care items.

    I’m drawn to RJ Hamer Arboretum – Latin for ‘a place for trees’. Having grown up among tall trees, I’ve always taken comfort in their presence, so this visit feels like a return of sorts. A stroll along the trails offers a choice: wide open views across patchwork paddocks below, or shaded paths that lead you deeper into the quiet hush of the peaceful forest.

    The following day, I settle into a quiet corner on the balcony of Paradise Valley Hotel in Clematis and soon hear Puffing Billy’s whistle and steady chuff as the steam train climbs towards town. Puffing Billy is one of Australia’s most beloved steam trains, running through the Dandenong Ranges on a narrow-gauge track. It’s famous for its open carriages where passengers can sit with their legs hanging over the sides as the train chugs through the forest. This is the perfect spot to wave to those on the train.

    After my midweek break, I find my inbox still full and my to-do list not in the least shrunken, just shifted from one task to another. But I return to my home office feeling lighter, clearer and with a smug satisfaction I’d stolen back a little time for myself. A midweek wind-down made all the difference.

    A traveller’s checklist

    Staying there

    Balgownie Estate offers everything from cellar door tastings to spa treatments and fine dining – all without leaving the property.

    Playing there

    the TarraWarra Museum of Art, Yarra Valley
    Visit the TarraWarra Museum of Art. (Image: Visit Victoria)

    Wander through Alowyn Gardens, including a stunning wisteria tunnel, then explore the collection of contemporary artworks at TarraWarra Museum of Art. Cycle the Yarra Valley with COG Bike to visit local wineries and cellar doors.

    Eating and drinking there

    Olinda Tea House offers an Asian-inspired high tea. Paradise Valley Hotel, Clematis has classic pub fare, while the iconic Yering Station offers wine tastings and a restaurant with seasonal dishes.

    seasonal dishes at the restaurant inside Yering Station
    The restaurant at Yering Station showcases the best produce of the Yarra Valley. (Image: Visit Victoria)