Tourists photograph the Tourism Rotorua building. Photo / Andrew Warner
Rotorua is experiencing a surge in domestic tourism, with new figures showing an increase in visitor numbers, spending and accommodation occupancy.
Local leaders say the boost reflects growing confidence in the city as a destination, following years of disruption from Covid-19 and emergency housing.
Figures via RotoruaNZ, the council-controlled tourism organisation, showed an uptick in Kiwis heading to Rotorua for a holiday.
“I’ve received lots of great feedback from locals who have appreciated the boost in business and also seeing Rotorua thrive again,” said Rotorua Mayor Tania Tapsell.
The mayor praised the “Robe Trip” marketing campaign, which was aimed at highlighting Rotorua’s standing as a destination for luxury and relaxation.
The campaign ran over six weeks in February and March across multiple media, including a television ad featuring Tapsell.
According to figures the council released to the Taxpayers’ Union in March, the ad cost just under $94,000 to produce and broadcast.
RotoruaNZ chief executive Andrew Wilson said they were very pleased with the results of the Robe Trip campaign.
About three-quarters (73%) of Aucklanders surveyed would consider Rotorua for a holiday or breakaway after the campaign, up from 34% pre-campaign.
“This was a bold and deliberate move to reposition Rotorua in the minds of New Zealanders – especially young and mid-life Auckland couples – as a destination for luxury, relaxation and indulgence.”
Over the course of the campaign, there was a 9.4% increase in visitor spend by Aucklanders in the city and a 5% year-on-year rise on hotel occupancy.
In comparison, there were 1.4% and 4.4% decreases respectively across the nation.
Spending by domestic visitors from across the whole of New Zealand, not just Auckland, went up 14.3% year-on-year in Rotorua in May – compared to a 0.1% drop nationally.
In addition, 76% of New Zealanders surveyed rated Rotorua as appealing to visit, with 35% intending to do so in the next 12 months.
Traditionally, Rotorua’s heritage has marked it as the birthplace of Kiwi tourism, but it had also grown into a mecca for adventure seekers, Wilson said.
“The push towards luxury and relaxation is not about abandoning our adventure roots.
“It’s about expanding our narrative. Rotorua has always been a place of restoration and manaakitanga [hospitality]. We’re simply reminding Kiwis of that in a fresh, relatable way,” Wilson said.
The recent rise in domestic tourism has also been noticed by those in the industry.
Rotorua Canopy Tours general manager Paul Button said he has seen an improvement domestically compared to 12 months ago.
Last year, the country was in the grip of the cost-of-living crisis as households tightened budgets and went without getaways, he said.
“I don’t think there’s one silver bullet,” said Button. “Last year, domestically, it fell off. We had an abrupt drop in May and our research suggested it was economy-related.
“It’s definitely still tough out there and I am not going to pretend it’s not but interest rates have dropped and things might be getting better.”
Button said Rotorua’s desirability had also returned.
The pandemic had a major impact on the city, while the subsequent period of emergency housing compounded the city’s tourism struggles, he said.
Emergency housing motels in Rotorua are being wound down by the Government, with a plan to stop contracting motels by the end of 2025.
“A lot less use of motels for social housing has really helped,” said Reg Hennessey, owner of the locally famous Hennessey’s Irish Bar on Tutanekai St.
“This school holiday was good and domestic tourism has definitely picked up, it’s taken quite a bump this year.
“Now we are just getting the good word back out to New Zealand that it’s a safe town and people can always feel safe here because of the way it’s operated.”
Tapsell also highlighted new efforts to attract more international visitors, as Rotorua Lakes Council funded promotion through an economic development rate on short-term accommodation providers.
“Tourism and hospitality contribute significantly to jobs in Rotorua,” she said.
“Attracting visitors can be very competitive, not just to get them to our district, but also to our country. It’s important that we don’t get complacent, so we’ve put a lot of effort and smart investment into unique initiatives to promote Rotorua.”
She said the council was excited to continue to see the results of this.
Mathew Nash is a Local Democracy Reporting journalist based at the Rotorua Daily Post. He has previously written for SunLive, been a regular contributor to RNZ and was a football reporter in the UK for eight years.
– LDR is local body journalism co-funded by RNZ and NZ On Air.