Wellington Regional Economic and Employment Summit

1
Wellington Regional Economic and Employment Summit
Wednesday 8 April 2009
John Barrett Chairman NZ
Maori Tourism Council Director
Tourism New Zealand Managing Director
Kapiti Nature Lodge
2
PANUI

• What people are saying about the tourism sector
• A SME in the tourism sector
• The Maori tourism sector
• A national tourism perspective
• An international perspective

3
BNZ Confidence Survey(March 09)

• Tourism pretty grim. Visitor numbers
  decreasing and confidence low
• Tourism April numbers better than for year
  08/09, think this may be because of the NZ, and
  expect this to be an aberration going forward
• Inbound tourism heavily seasonal, 08/09 summer
  down 15, long haul visitors not committing,
  outlook for 09/10 not pretty, some markets down
  by 30
• Tourism slightly down, more reliance on
  domestic tourism
• Tough and challenging in tourism but long term
  expecting a strong recovery
• Tourism bad

4
International Visitor Arrivals - Global
Source UNWTO
5
International Visitor Arrivals Global
length?
depth?
Source UNWTO
6
Inbound, Outbound, Domestic and Accommodation
Nights Rolling Annual Growth Rates - Year Ended
Jan07-Jan09
Source Ministry of Tourism
7
Kapiti Island Alive Kapiti Nature Lodge

• Good growth 08/09
• Settled weather
• Winter traditionally slow for us
• Nimble
• Control costs
• 50/50 international/domestic
• Previous marketing efforts paying off

8
Distribution of Maori Tourism

• 92 Tai Tokerau Northland
• 50 Arawa Rotorua/Taupo
• 44 Te Waipounamu South Island
• 26 Takitimu Hastings/Napier
• 20 Te Upoko Wellington
• 20 Tamaki Makaurau - Auckland
• 12 Tauranga Moana - Tauranga
• 19 Tairawhiti East Coast
• 14 Taranaki
• 14 Whanganui
• 14 Te Tau Ihu Nelson/Marlborough
• 11 Tainui - Waikato

9
Maori in Tourism

• 37 - Guided Tours
• 15 - Accommodation
• 15 - Arts Crafts
• 12 - Attractions
• 11 - Retail
• 7 - Eating out
• 5 - Transport
• 5 - Concerts Hangi
• 1 - Marae Stays

10
NZ Maori Tourism Sector

• Collaboration-joint international marketing
• Joint training programs
• Best practice adoption
• Company operational review
• Develop great collaborative and strategic
  relationships
• Staff training

11
CRITICAL CHALLENGES resulting from tourism
downturn

• Maintaining margin/yield/profit
• Maintaining continuity of employment
• Minimizing effects of seasonality
• Diversification
• Tourism industry specific training and education.
• The quality promise and delivery

12
Kapiti Island Alive Kapiti Nature Lodge

• Review of daily operations
• Budgets and targets
• Slight increase in promotional/marketing budget
• Focus on niches where they are working
• Maintain international in market activity
• More focus on domestic marketing 2010

13
Some final comments

• Significant variation in predictions for tourism
  sector, BUT, generally agree tough times ahead
• Some of the larger national tourism operators
  feeling the tough conditions already
• TNZ Predict 10 decrease in visitor numbers
  overall

14
More final comments

• There are some positives
• We have a positive Minister of Tourism
• We believe Govt sees merit in a positive
  buoyant tourism sector
• Once the worlds economies return to something
  like a more normal position, tourism should be
  one of our lead economic drivers again