More money eyed to market Qtown

Queenstown’s regional tourism office wants commercial rate payers to pay more so it can protect their patch.

Destination Queenstown is proposing a 10 per cent increase in its funding each year for the next three years.

That will provide it with an additional $809,000 taking its total funding to $4.6 million.

The increase will fall on all commercial rate payers in Queenstown who fund the organisation via a tourism promotion levy imposed by the Queenstown Lakes District Council on rates.

In a report to members chief executive Graham Budd said he was concerned national strategies included a focus on dispersing visitors seasonally and regionally and that was posing a long term risk for Queenstown.

‘‘There is a perception by our national agencies that Queenstown has an ‘over demand’ issue and congestion or supply problems.’’

Tourism New Zealand was intervening in the market with specific regional campaigns to address it and that was disadvantaging the region.

One example was Tourism New Zealand’s ski marketing investments for 2017 and 2018 as more funding had been allocated to the Canterbury and Ruapehu regions and less for Queenstown and Wanaka.

‘‘We need to defend our winter position as New Zealand’s premier ski destination and rebuild some apparent softening in demand.’’

The softening was seen in accommodation numbers for July and August last year and anecdotally noted by some businesses.

It was also noted that there were visitor demand and impact issues that required management at a community level, he said.

‘‘A welcoming host community is the most important asset any visitor destination can have.’’

The organisation’s objectives were to drive year round demand by maintaining peak seasons while growing the shoulder seasons.

Destination Queenstown’s funding was last increased in 2008 when it got an extra $1m. It has also received a 2.2 per cent increase on rates per annum since.

However, the increases had been absorbed in operational costs including staff salaries, technology tools and new office premises, he said.

‘‘Effectively this has resulted in there being no increase in our marketing activity and business development budget.’’