More Chinese family groups are visiting New Zealand as independent travellers. Here, this family enjoys the Hanmer Springs Thermal Pools.
The China-New Zealand Year of Tourism 2019 will strengthen economic and cultural ties and promote this country as a premier destination for Chinese travellers, writes our Special Correspondent.
Recently Air New Zealand indicated a slowdown in inbound tourism based on forward bookings. The Year of Tourism 2019, organised by the New Zealand and Chinese governments, is perfect timing to promote visitor business between the two countries.
The activities kicked off with an opening ceremony hosted by China's Minister of Culture and Tourism Luo Shugang last Saturday at the Te Papa Museum in Wellington.
New Zealand's Minister of Tourism Kelvin Davis will lead a business delegation to the closing ceremony in China later this year — a date has yet to be set. In between there are plenty of events that will deepen relationships between the two countries.
Davis says the China-New Zealand Year of Tourism — the first of its kind — is important because it's an opportunity to strengthen economic and people-to-people ties through tourism.
"For New Zealand, it's really a chance for us to showcase our unique tourism that makes Aotearoa a world-class destination — our stunning natural landscapes, our range of unique experiences and manaakitanga, the unique Kiwi hospitality that promotes diversity, inclusivity and warmth to visitors."
Davis says the Year of Tourism is more than getting people on planes and growing visitor numbers.
"It's about sharing the culture, languages and experiences, and developing greater understanding between the two countries.
"The stories we can tell combined with the landscape creates something special for New Zealand. One of our unique experiences is Māori culture and this cannot be recreated anywhere else. But the Māori tourism offering shouldn't just be kapa haka and singing — it's about picking pipis, going fishing and walking in the bush and hearing the stories," Davis says.
Luo Shugang, the Minister of Culture and Tourism since 2014, last visited New Zealand in 2002. He arrived last week with a delegation of about 20 and visited Rotorua — a destination he hadn't been to before.
"For someone of such high ranking going back and talking about the things he's seen is a wonderful advertisement for New Zealand," says Davis. "The Minister is well aware of what's been happening in New Zealand [Christchurch shootings and Huawei fall-out] and he didn't think they would have any impact on the number of visitors."
"We've got to the stage where China and New Zealand have a far-reaching relationship — and we're still expecting Chinese visitor numbers to increase, as well as more New Zealanders visiting China,'' says Davis.
China is New Zealand's second biggest visitor market behind Australia in terms of numbers and spend. For the year ending October 2018 451,000 Chinese visited the country, up 10 per cent on the previous year, and spent $1.63 billion, up 15 per cent.
Chinese visitor numbers are forecast to reach 800,000 by 2024 and by then China will be New Zealand's largest tourism market by spend. The Chinese will spend $3.06b in 2024 compared with Australia's $3.02b even though 1.8 million Australians are forecast to visit the country.
China is expected to contribute 27.4 per cent of total international visitor growth from 2017 to 2024 and 38 per cent of total visitor spending. By 2024 total international visitor arrivals in New Zealand are forecast to reach 5.1m, up from 3.7m in 2017.
At present Auckland (68 per cent), Bay of Plenty (38 per cent), Canterbury (31 per cent) and and Otago (42 per cent) have the lion's share of hosting Chinese visitors. Auckland also dominates the spend with 52 per cent.
Waikato has 19 per cent of overnight stays by Chinese visitors, Wellington 7 per cent, Southland 15 per cent and West Coast 16 per cent.
A majority of 31 per cent Chinese visit here during the summer, though 29 per cent of the visitors arrive in autumn, 23 per cent in spring and 17 per cent in winter.
Their top five activities are: observing wildlife, walking and tramping, Māori cultural experience and activities, farm and orchard, and beach.
Over the past few years the big trend has been the change from group coach and shopping tours to higher-yielding free independent travellers (FITs) involving families, including grandparents, younger couples and professionals. The FITs now make up 70 per cent of the Chinese visitors.
The Chinese holidaymaker today is spending more time in New Zealand (up to two weeks) and spending more money. More are now flying direct to New Zealand rather than visiting Australia first.
Richard Davies, tourism policy manager at Ministry of Business, Innovation and Employment, says one of the important roles of the Year of Tourism is to encourage people to travel outside the peak summer season and to explore wider into other regions and see more of New Zealand.
"In the context of China, it's also about helping New Zealanders to learn more about Chinese culture and history and helping businesses to upskill and better understand the Chinese visitor market so they can provide the best experience they can," he says.
The Year of Tourism events are a mixture of industry upskilling, promotion of New Zealand and China, and general celebrations of China's rich, vibrant culture, Davies says.
"We can't keep pulling the Chinese visitors to the same places because the whole country has a lot to offer. By getting out and seeing genuine Kiwi sights and sounds and engaging with locals, there's nothing better than visiting the rural areas where there's wonderful stories to tell."
He would like to see more Chinese visitors travelling through regions such as the East Coast, Taranaki/Whanganui, West Coast and even The Catlins in the bottom of the South Island.
Lisa Li, managing director of China Travel Service (NZ), says New Zealand has become a premier destination for high-value Chinese travellers and is competing with countries such as France (for its chateaux), Italy (for shopping), the United Kingdom and some parts of the United States.
There are 120 million outbound visitors from China a year and New Zealand now receives 450,000.
Li says the Year of Tourism promotion will create more awareness of New Zealand as a destination and provides the opportunity for local tourist operators to get involved with the marketing.
"Living standards in China are improving and a middle class is emerging — and the demand for a premier destination is very strong. Leaving their city skyscrapers and experiencing the clean and green of New Zealand and its unique culture is very attractive to the Chinese," she says.
"In New Zealand we have to be robust in delivering a good experience. When the Chinese feel an attachment to the destination, they will have no hesitation in making a repeat visit or recommending it."
New Zealand's tourism infrastructure, such as [upmarket] hotels, is limited and prices can't get much higher," Li says. "You have to be really careful about delivering quality services and providing value for money. The visitors from China are getting smarter and they do a lot of research before making their travel choice.
"At the end of the day, New Zealand is one of the destinations of choice to Chinese visitors. But we are actually seeing a high satisfactory rate from travellers who have been to New Zealand. They come as visitors and leave as whanau."
Li says the group tours have been replaced by FITs because of the cost of visiting New Zealand and there will continue to be steadier and smaller increases in numbers each year. But those visitors will stay longer and spend more.
Christchurch Airport is playing a strong part in promoting the Year of Tourism. Its chief executive, Malcolm Johns, is leading the Kia Ora South mission to China in June.
The delegation includes South Island regional tourism organisation representatives and about 40 tourism businesses who will present to more than 1000 travel agents in Guangzhou, Beijing and Shanghai.
Johns says developing people-to-people relationships and getting local businesses ready to operate in the Chinese market is very important. "We want to help the businesses cater for the expectations of the visitors and to make sure they get value from the visitors.
"We can use our distribution relationships in China to sell products and services and bring the Chinese visitors to the South Island regions."
China Southern Airlines operates direct flights from China to Christchurch and last year Christchurch experienced a 14 per cent increase in Chinese arrivals. "We couldn't have done that without the Kia Ora South programme. If you don't do the groundwork, you don't get the benefit," says Johns.
There has been an increasing number of professional females under 28 years old arriving at Christchurch Airport, he said.
"They travel in groups of three in a rental car. They like to visit Kaikoura for whale watching, Marlborough Sounds for the seafood, the West Coast for the nature-based tourism experiences and glaciers, Hanmer Springs for the thermal pools and bush walks and Queenstown for the jet boat rides.
"They take the Hunter Valley walk from the Hermitage to the base of Mt Cook. They have a degree of freedom and just enjoy the opportunity of sitting on the bank of a river watching people fish — and they are quite intrigued that you can pull a fish and eat it straight away," he says.