$1 million plan to attract more domestic tourists

Lake Rotorua and Mokoia Island. Photograph by Ben Fraser

Rotorua's tourism businesses are pooling their advertising budgets to achieve a greater result for the city.

The Rotorua District Council and local tourism businesses are joining forces in a new partnership to boost funding levels for future tourism marketing.

The strategy would mean businesses could afford a greater reach than if they advertised as individuals, said Destination Rotorua Marketing manager Oscar Nathan.

At Thursday's meeting of the council's strategy, policy and finance committee, councillors discussed the tourism industry-led proposal for tourism operators to raise funds to add to the council's existing marketing funding.

The aim is to achieve an additional $900,000-$1 million in the first year for the city's marketing effort with tourism operator commitments already exceeding $700,000.

"The additional benefits that come from this announcement are about amplifying the reach and longevity of campaigns in a way that allows Destination Rotorua Marketing and private sector partners to better maximise online, print, PR and television campaign elements to much greater effect," Mr Nathan said.

"Essentially it's about creating leverage and scale. For instance, if I was a business with a marketing budget of $10,000 and spent it on my own - that's it. Spending that same $10,000 as part of a broader, well-researched and integrated campaign worth $1.1 million-plus per annum means I'm getting across so much more and multiplying my initial investment in ways I could not do otherwise."

The proposal was conditional on the council maintaining at least the current year's level of core funding for Destination Rotorua Marketing, which was unanimously agreed.

The Rotorua Tourism Committee and industry representatives have developed a formula for voluntary contributions to the fund which would see 70 per cent coming from the tourism attraction sector and 30 per cent from accommodation operators.

Tourism committee acting chairman Bruce Thomasen said the decision was a great endorsement of partnerships like the Famously Rotorua campaign.

"Attractions, activities, accommodation, retail, hospitality and other businesses have already started to see an improvement in domestic visitor numbers and spend as a result of the campaign," he said.

"It's exciting times ahead and this announcement cements our belief in the new model of partnership and leading together to encourage a real quantum shift in how Rotorua is perceived as a destination and how we can grow return-on-investment and job opportunities for all.

Rotorua District councillor Mike McVicker, portfolio leader for the council's Sustainable Economic Growth Strategy, said it was a positive move by tourism operators.

"This industry initiative, and the council's commitment to maintain current funding levels for tourism marketing, will substantially grow the 'marketing pie'.

"It's only six months since we launched the Famously Rotorua campaign in the important Auckland market, but already we're seeing what a smart and well-planned strategic marketing campaign can achieve. It's a runaway success, but it can be bigger and better."