Editorial: Why we love Aussies - especially in winter

EDITORIAL

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, always in terms of numbers if not by per capita spend. But most recent data shows 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.

In total, there were about 53,082 holiday arrivals from Australia in January, compared to around 63,321 in the same month in 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 New Zealand’s economy.

The Government’s international visitor promotion agency, Tourism New Zealand, has now launched an innovative new campaign across the ditch to lure the Aussies.

Australian surf lifesaver Anthony “Harries” Carroll features in the digital content to showcase that a summer-loving Australian bloke can have the trip of a lifetime in New Zealand’s winter season.

The Bondi Rescue lifeguard says he’s amazed at how much there is to see and do in a New Zealand winter, and not just on the slopes. It must be hoped his compatriots will be tempted by this country’s ski fields, apres-ski action, other much broader activities and the food and wine it offers year-round.

The aim is to get as much business to support the tourism sector year-round rather than just during the peak summer period.

To create a truly sustainable industry, avoiding boom-and-bust is a key focus.

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 to New Zealand, the overall pool of Australians actively considering a holiday to New Zealand has declined since the pandemic - likely due to competition from other destinations and cost of living pressures.

That pool sits at around 3.9 million and while growing, the recovery, is not guaranteed.

The agency rightly points out it needs to work even harder to capture the attention of potential visitors.

Most Australians look north to warm, sunny beaches for their international holidays during winter so that puts New Zealand into 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 this country can’t compete purely on price with other destinations with lower cost bases and tourism operating models.

But it’s now even more important for New Zealand tourism providers to win on providing value for a more premium experience, especially during the cooler months.

And the Government’s commitment to the sector - which felt undervalued by the previous one - will be tested in upcoming funding announcements. Tourism New Zealand has consistently punched above its weight to grab attention for a tiny player in the global tourism market 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.