Bondi to the rescue of NZ tourism
As New Zealand faces more competition than ever for global tourists, Australian visitors have never been so attractive. For an industry that was at times the country’s biggest earner of foreign exchange before the pandemic, recovery in spending to pre-Covid levels is critical to our economic future.
Australia has long been our most important market for inbound visitors, in terms of numbers if not per capita spend. But holiday arrivals from across the Tasman are still stubbornly stuck at just a little more than 80 per cent of 2019 levels. That reflects the overall picture for international tourism.
There were about 53,082 holiday arrivals from Australia in January, compared to around 63,321 in January 2019. Australia was New Zealand’s largest visitor market in 2023, accounting for almost half of all international visitor arrivals (42.5 per cent) and contributing $3.37 billion to the economy.
Tourism New Zealand has now launched an innovative campaign across the ditch.
Australian surf lifesaver Anthony “Harries” Carroll features in digital content showcasing that a summer-loving Australian bloke can have the trip of a lifetime in our winter season.
The Bondi Rescue lifeguard says he’s amazed at how much there is to see and do, and not just on the slopes. Hopefully his compatriots will be tempted by our skifields, as well as broader activities and the food and wine on offer.
The aim is to get as much business as possible to support the tourism sector year-round rather than just during the peak summer period.
But Tourism New Zealand’s chief executive, Rene de Monchy, says there is a cloud on the horizon. Although the Australian market continues to provide strong arrivals, the overall pool of Australians actively considering a holiday here has declined since the pandemic — likely due to competition from other destinations and cost-ofliving pressures.
That pool sits at around 3.9 million and while growing, the recovery is not guaranteed.
Most Australians look north to warm, sunny beaches for their international holidays during winter, placing New Zealand in direct competition with places like Bali.
Expanded transtasman air services such as those announced by Qantas in Christchurch and Wellington will help provide more seats and rein in prices but we can’t compete purely on price with other destinations with lower cost bases and tourism operating models. It’s now even more important for our tourism providers to win on providing value for a more premium experience, especially in the cooler months.
The Government’s commitment to the sector — which felt undervalued by the previous one — will be tested in upcoming funding announcements.
For a tiny player in the global tourism market, Tourism New Zealand has consistently punched above its weight to grab attention but it faces severe cuts in the current funding track. Finding ways of redressing this would be timely so the country can continue highlighting what it offers.