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Home / Business / Companies / Retail

Humble holiday park valuable money-spinner, says industry

Tamsyn Parker
By Tamsyn Parker
Business Editor·NZ Herald·
26 Mar, 2009 03:00 PM3 mins to read

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Travellers who stay in parks spend the bulk of their holiday money in the surrounding area. Picture / Richard Robinson

Travellers who stay in parks spend the bulk of their holiday money in the surrounding area. Picture / Richard Robinson

The humble holiday park plays a key role in stimulating economic activity at local, regional and national levels, and is worth more than New Zealand's export mussel industry, says the industry.

Travellers contributed at least $623 million in direct expenditure and supported a wide range of businesses in the community
while staying at some of the country's 420-odd holiday parks, says research commissioned by the Holiday Accommodation Parks Association of New Zealand (HAPNZ), which represents holiday parks around the country.

That was worth about 3 per cent of New Zealand's $20 billion tourism industry.

There was a perception that travellers who stay at holiday parks might not be worth as much to the economy as those who stay in more expensive accommodation, said HAPNZ chief executive Fergus Brown.

"But this research shows they actually make a large contribution through the amount they spend in the community while they are on holiday."

About $340 million, or 55 per cent, of the expenditure by holiday park visitors was contributed by domestic travellers, with the balance of $283 million by international travellers.

"This means the export earnings of holiday parks are worth more than exports by New Zealand's mussel industry, the book publishing industry or the fresh vegetable sector," Mr Brown said.

Holiday park visitors spend about 18 per cent of their daily expenditure on accommodation. The bulk of their spending was done outside holiday parks in cafes, restaurants, bars, activities and attractions, shopping and entertainment.

New Zealand holiday parks employed more than 2000 people as well as supporting many local businesses, Mr Brown said.

"The holiday park sector has enjoyed a relatively good summer season, with both New Zealanders and international travellers choosing to stay in our facilities. People are still travelling but they are often choosing cheaper accommodation."

Brown said expenditure figures had been taken from a study in 2007 and had probably increased a little in the past year.

But it was difficult to know how next summer would go for the industry. "It is going to be a tougher year but luckily we have a very strong domestic base."

Domestic tourists make up 70 per cent of the nights stayed in Holiday Parks. Brown was confident domestic tourism numbers would hold up as many New Zealanders saw their camping holiday as sacrosanct.

Tourism Industry Association New Zealand chief executive Tim Cossar said the research proved the value of the tourism industry to New Zealand's economy.

"Generally owned and operated by New Zealanders, holiday parks are real heartland businesses that offer visitors a genuine Kiwi experience."

- NZPA

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