Restaurants growth doubles in Rotorua

Destination Rotorua chief executive Michelle Templer. Photo/File

Rotorua's restaurant and bar industry has doubled its visitor turnover in the last six years, and total visitor spend in the region is on track to reach the 2030 target years earlier.

Visitor spending in Rotorua on food and beverage services - outside of takeaways - has increased from $67 million in 2011 to $136 million in the 12 months to August 2017, according the Ministry of Business, Innovation and Employment.

Total "tourism" spend, including culture and recreation, accommodation, and other tourism products, increased to $803m in Rotorua in the last 12 months.

Destination Rotorua chief executive Michelle Templer said the region has stepped up its food offerings in the last few years, and the results are clear.

"Eat Streat has certainly created some injection of destinational dining experience. I think Tutanekai St is also a fantastic main street," Ms Templer said.

"I think there's also been increasing awareness from food providers, including dining establishments within the hotel sector, that visitors would like part of visiting a destination to be a dining experience."

Ms Templer said the region has some distinct and unique food options, and has seen an increase in locally grown and sourced ingredients. She said more money in the industry gave confidence to new restaurants or established ones to freshen things up or take a risk.

"We've already seen a lot of new entities, and we've also got a lot of long-established, experienced providers. It gives people confidence to keep redeveloping their menus, being creative in their offerings, so that's really positive.

"There's still great opportunities to have higher level offerings, and it's a fairly competitive environment, so we're also providing more authentic food experiences."

Destination Rotorua's Vision 2030 has a goal to reach $1 billion of visitor spend annually by 2030. At $803m already, up from $539m in 2013, the goal is set to be smashed - reached within the next few years at current growth rates.

"I'm very, very pleased. It is an incredibly competitive market, so I think it's fantastic, it's great for the destination, but at the same time I don't think we can be complacent.

"We've decided we really need to stretch it out. We need a bigger challenge."

Restaurant Association of New Zealand Rotorua branch president Sharon Wallace said healthy competition within Rotorua and more people eating out has contributed to the growth.

"A little bit of competition is healthy, and that's part of it. People are working towards making the sector a more pleasurable experience. And there's a high expectation from customers," Ms Wallace said.

"There has been a marked increase in the tourist sector. We've certainly lifted our game. That's come through in the figures.

"I notice a lot of locals out dining, I know there's a lot of cafes I go out to and you can't get in - that wasn't the norm once upon a time. Rotorua is pumping."