Tourism NZ (TNZ) aims to grow international tourism spending by $5 billion over the next four years, with 70 per cent ($3.5b) of that coming from visitors in the off-peak. In the year to March last year, total spending was $11.8b as the country recovered from the pandemic and border closures.
“We think we will help grow the productivity and sustainability of tourism its growth,” he said.
“The Government has a goal to double the value of exports in 10 years. Tourism’s contribution to this goal presents an opportunity to support exports and the economy as we face tough economic conditions.”
The agency last year had a budget of $111.4 million and all its resources would be put into the new strategy, which aligned with the Government’s aim of lifting the contribution of the sector, which with domestic spending is worth about $40b a year.
While new research would be done in key markets, Tourism NZ knew that what Aotearoa had to offer was misunderstood by some potential visitors.
“We are going to work on busting some myths around the world. If you live in Beijing or in Berlin or in Singapore [then] spring, autumn and winter mean quite different things to you in your part of the world,” said de Monchy.
“We’re going to have to explain to people that lots of the activities that make New Zealand appealing ... that year-round you can do [them], whether that’s hikes or cycle trails or whale watching or jet boating or bungee jumping.”
Visitor arrivals are returning to old patterns of peaking in summer and, without intervention, peak visitation was likely to grow faster than off-peak. Seasonal peaks and troughs result in the sector struggling to operate productively year-round.
“Tourism can provide a fast start to the goal of doubling exports as it can be achieved quicker than other sectors and has broader benefits for other sectors. For example, tourism doesn’t require free trade agreements and destination marketing strengthens air connectivity to support growth of export goods,” said de Monchy.
In the 2025 financial year, TNZ will target international tourism spend growth of 8.7 per cent, equating to an additional $900m.
The target for international tourism spend growth in the off-peak in the same year is 9.6 per cent, equating to $655m.
De Monchy said air connectivity was critical to the campaign and, if demand increased, airlines would be more likely to deploy aircraft here during winter rather than in other markets.
He said off-peak promotion activity will be different in each market.
“In China, what we have seen since the Beijing Olympics is a real growth of interest in winter activity and ski activity.”
In the spring there are great wildlife opportunities at sanctuaries during hatching season, and in the autumn it’s wine harvest season and there are a number of food festivals around the country that would appeal to culinary-minded visitors.
“We know that some of our key markets already visit in the shoulder season, including Japanese and Indian visitors who come in our autumn.”
Grant Bradley has worked at the Herald since 1993. He is the Business Herald’s deputy editor and covers aviation and tourism.
