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ISSUE 508 July 23rd, 2004
Industry shows its unity
THE effects on New Zealand of the concluded MOUs with a variety of On work visas, Mr Barnett asked if
new A$360 million Australian industry sectors. the New Zealand Immigration
campaign, work visas, training, Mr Neels noted that most speakers Service understands what the issues
yield and a jump in local authority and delegates expressed similar are.
rates plus a big rise in the cost of thoughts on various issues. “While The 100%Pure campaign is three
power distribution as well as it does mean sometimes you are years old. “The competition has
sustainability, infrastructure, low robbing someone’s thunder it also seen it. The competition have lifted
cost airlines and the boom in trans shows unity.” their game. What are we going to do
Tasman travel were highlighted Questions to stay out front? Will it take more
during the ITOC conference in Summing up, Auckland Chamber of industry leadership? When (TNZ
Hawke’s Bay. Commerce CEO Michael Barnett CEO) George (Hickton) goes to
A record 220 delegates included top said Australia believes we lifted the government with his hand out, do
TNZ managers, Ministry of Tourism bar with the 100%Pure campaign. we go with him? Does he want us
GM Ray Salter, TIANZ chairman But now they have Australia, A there and what can we do to make
Geoff Burns and CEO John Different Light...”Are they the real things better for him?
Moriarty and 17 RTOs. competitors? If they are successful, “Is the industry attracting the right
Recognition and we are successful will it provide calibre of employee? Will we suffer
President Stuart Neels said ITOC more bums in beds and on the if we don’t get good skills?”
likes to play its part in the industry. buses? Or will more come but Yield
The council is now recognised “in provide less revenue?” On yield, Mr Barnett said the
certain areas where it hasn’t been He raised questions on increases in industry should not be afraid to
before...” power line charges and asked if the increase prices “when you look at
There is now a greater appreciation industry should not be trying to what people are loading onto you...”
of the distribution system, which raise its voice so “prices aren’t just He added: “Auckland Regional
will continue to remain robust. lumped on top of us.” Council’s differential rating means a
“That’s the key: making sure International English language hotel paying $600,000 in rates now
margins are there and there’s schools are a $1,500 million will have to find $900,000 next
longevity to it all, in terms of yield industry. But with political year.” There was also talk of line
and inventory...that’s why we are interference and mismanagement it charges increasing and hoteliers
keen on Memorandums of could go down. “Do we have being unable to pass these on.
Understanding (MOUs).” enough information to make sure Qantas regional GM Allan Williams
ITOC is drawing up or has already we don’t make the same errors?” said from the floor that the large
increases in visitors from Australia
are not sustainable with such low
* Staying out front - on a pinhead! pg3 fares.
* LCAs and what they mean pg4 He said new arrivals on the Tasman
Inside
* Ministerial challenge pg5 must have low load factors because
* Govt meets opposition pg7 the bulk of travellers are being
carried by AirNZ, Qantas and
* We hit 2.2M pg8
Freedom Air. “If you look at it, $99
* Flight operators in good heart pg9 fares do not stack up..”
* Lodges launch e-brochure pg11 And, he added, while airlines can
bring in capacity (over)
ITOC conference report
Industry show its unity government.” He joked: “The best thing would be for
tourism to go backwards for a while!”
(from pg1) quickly it takes much longer to convince He said organisations should approach government
someone to invest in a hotel and then build it. So, can themselves to make their views known.
we handle such increases in visitors? “The strongest indictor I have seen in this job is that we
One coach operator said there were already room are going to be passed (by Australia). Until now we
shortages in places like the West Coast. But another have been able to maintain growth. But now I can see
asked why visitors couldn’t stay in b and bs and with competition coming. I see what Australia are doing in a
farm and home hosts. single, focused way...and they will be very strong. Our
TIANZ chairman Geoff Burns said that what is greatest hope is that the states stop them doing it!”
important is profit and return on investment. “One of the Ministry of Tourism GM Ray Salter said good
challenges which we have to take up, when we have infrastructure is critical to delivering on the promise.
some good information, is what kinds of returns are we Government has provided money for improved
really getting.” wastewater, which he considered “the thin end of the
Australian Tourism Export Council MD Peter Shelley wedge.”
pointed out that Tasmania is working on a strategy Choke points
which puts a cap on visitor numbers. Former Saatchi The Ministry is doing work on industry “choke points”
and Saatchi director Kim Thorp now of Black Barn and what infrastructure is required if we are to host
Vineyards said people can’t be forced to visit at times three million visitors in 2009.
they do not want to come. “But we can broaden the “Something the industry can do is to make all decision-
shoulders, ensure they stay longer...one way is through makers aware of its needs - be they electricity,
events as long as they are good, big and famous.” broadband, water, or roading. My perception is that the
Latent potential industry is often a taker of regulatory regimes and
TNZ CEO George Hickton said no one expects the services rather than a maker of those facilities and
Tasman market to continue to grow at 25 percent. “But regulations. That’s important at local government level
what is happening is that it has opened up a market that as well as at central government level.”
had latent potential. Current levels are sustainable. So Maori
you won’t see it drop 25 percent. We expect growth but Hastings District Council representative Keriana
not at that extraordinary level. Increased capacity Poulain said Maori were glaringly absent from the
simply allowed people who couldn’t travel, to do so. conference.
They like it and they like the New Zealand experience.” “We do have a lot to offer industry and I am wondering
Mr Hickton said that while there is a shortage of if ITOC or TNZ feel ethnic culture is enough as it is
accommodation more hotels are being built. without Maori participating closely in these forums? Is
TIANZ CEO John Moriarty, to a question from Mr it enough what we do? Should more be done for Maori
Barnett if the industry is attracting people with the right people to flaunt, I say that kindly, their wonderful skills,
skills, said tourism’s greatest infrastructure is its people. talents and attributes?” She said New Zealand has
“When we have an industry only working a peak Pacific Island cultures as well.
October-April...we need to broaden the shoulders to Mr Hickton replied: “We do not yet have the full quality
keep the people.” and variety of Maori tourism experience that we want.
Threat But that has started...”
He said the greatest threat to quality would likely be a He cited the Rough Guide to Maori and work being
lack of investment in people and structures. done with Maori tourism organisations. But experiences
On price increases, Mr Barnett suggested that the must be “export ready” He said product must have style,
industry gets together to increase rates. “But the sophistication and be a contemporary creative
industry tends to be its own worst enemy...is that experience.
something which will change? I presume you can pay In his summing up Mr Barnett told delegates that the
better if you have better yield. So, as an industry is there industry is a driver of the economy. It is not a warm,
a need to raise prices? We should not be afraid to ask for fuzzy experience that looks and feels good and creates
value when we have the product.” employment.
ITOC VP Warren Harford said he doesn’t believe the “You are businesses. You create $7,500 million in
industry is attracting the same calibre, or number, of foreign exchange and you should be taken seriously
people as in the past. whether you are ITOC or any other tourism
Added Mr Burns: “We don’t know our customers well organisation. He added: “You deserve to be listened
enough to know when we can say ‘no’.” to for policy determination..it is not just about
Asked what support TNZ needs in order to obtain more tourism. It is about taxes, rates, energy, roading...you
money from government, Mr Hickton replied: “We are are a voice, you are a business. You deserve to be
always careful not to lobby industry before lobbying heard!”
2
ITOC conference report
Hickton says we will be successful people enjoy 30 percent more activities that non-
interactive travellers, so they spend more - and that’s
if we keep our focus good!”
IF the industry can continue to keep its focus it will be Asked what will happen after the effects of Lord Of The
very successful, according to TNZ CEO George Rings has waned, Mr Hickon said he thought the effect
Hickton. He pointed out that in the last five years alone would be around from some time and joked that he had
there had been a 60 percent growth. seen Lord Of The Rings 4, starring Jackie Chan, when
“We are heading to three million (visitors) in the not too he was in a market in China recently. “We have had a
distant future. That means an increase of 800,000 with good run,” he agreed. “The DVD is coming out and an
an average spend of $3,344 will pour an additional interesting element is the long-term benefit. I am told
$2,600 million into the economy. TNZ not only wants to that in the future, when children are given the book to
bring in more visitors but wants them to stay longer and read they will also be handed the DVD. So we will
spend more. always be recognised as the home of Middle Earth. We
Mr Hickton said the increase in last year’s international are probably nurturing a whole new market.”
visitor arrival numbers contributed an extra $580
million to the economy. We must stay out front -
“That’s twice the total contribution of wine. Yet look at
the profile that industry has!” with a pinhead!
Mr Hickton said it was important to keep reemphasising OUR competitors are catching up - and we need to
the value of tourism beyond the direct benefits to the consistently keep ahead of the game, TNZ GM
industry. marketing Tim Deane said.
Coffee test “No doubt the increased spend from Australia will have
He cited the example of the purchase of coffee by a significant impact on the markets we are interested
visitors. “Hawke’s Bay had 167,852 holiday visitors last in. The upside is that we will get more visitors to
year who stayed an average five nights. If they drank Australasia. But there is a possibility that we will end
one cup of coffee a day to the value of about $3.50 a up with more dual destination visitors. Numbers will
cup they would have drunk $3 million in coffee alone! go up, but length-of-stay and spend will go down.”
Expand that to the other products they buy, the beds What is TNZ doing? He added: “There is increased
they sleep in, the laundry required and you see how far requirement for us to focus on PR and the International
reaching the tourism industry actually is.” Media Programme to try and leverage what we have -
Mr Hickton said the quality of the experience the and to increase our focus on how we can influence the
industry delivered to visitors would be an important distribution channel outside New Zealand...additional
factor in the future and that was why TNZ was strongly investment may be required to ensure a continuation of
supporting Qualmark. growth rates”
Qualmark had reached a number of milestones and was Mr Deane said New Zealand should take Tourism
attracting some significant players from the tourism Australia’s new campaign seriously. We have a small
industry. budget on relative terms so, we have to think hard about
All aboard what we do.
“Its started - everyone is coming on board - Huka Lodge “To illustrate the size of our marketing budget - if the
has joined! Blanket Bay has come on board” he said total amount of money spent on marketing in each
with delight. market is the size of a basketball then what is spent by
“We are past the critical stage. Qualmark is here for the the industry is the size of a marble - then our budget is
future and we are giving it our all.” the size of a dressmaker’s pinhead. We have to maintain
Tourism New Zealand is committed to its strategy of a consistent message and do things smartly. Even if
increasing a certain type of visitors to New Zealand. Mr we start to become tired of the message our markets
Hickton said TNZ has called them “interactive won’t, as they don’t hear it as often.”
travellers” and has trademarked the term. In Australia A$6,800 million is spent on advertising
Already around 58 percent visitors coming to New each year. Tourism represents 0.81 percent of the total.
Zealand fitted the interactive traveller profile. And TNZ’s share is but four percent of that. “In the
“Some 67 percent of all UK visitors are interactive UK, the figures are 8,300 million pounds with tourism
travellers, while it’s 62 percent of all North American representing 0.4 percent, of which the TNZ spend is
visitors, 60 percent of Australians and about half of all but 0.4 percent of the 0.4 percent.”
Singaporeans, Indians, Japanese and Germans. Some 5.7 trillion yen is spent on advertising in Japan
“The overall average is just under 60 percent,” Mr and tourism is 0.081 percent of the total. TNZ’s share
Hickton added. of that is 1.5 percent. Added Mr Deane: “I’m not
“But we want that to grow to 70 or 80 percent and in grizzling about what we have or have not got...we
doing so that will end up benefiting the industry. These can do a lot with a dressmaker’s pinhead!”
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ITOC conference report
LCAs and what they may mean to incumbents who are carrying the traffic. They are
winning the market share and in February were still
us... carrying 88 percent of the traffic.”
IF TNZ GM Operations Tim Hunter had said a year ago He said that 62 percent of the capacity out of Australia
there would be a 30 percent increase in traffic trans- comes through Auckland, with Christchurch at 21
Tasman New Zealand operators would have told him to percent and Wellington 11 percent. In the first four
change his medication. “But it’s happened,” he told months of 2004 growth from Australia was up six
delegates. percent for Auckland, 39 percent for Christchurch and
Mr Hunter joked that the first low cost airline (LCA) in 56 percent for Wellington.
New Zealand was the National Airways Corporation “There will be 55,000 extra Australian holidaymakers in
(NAC), which put off using air bridges for 40 years - New Zealand this year, meaning about 11,000 extra car
and kept catering costs down by ensuring packets of rentals - and an estimated $1.8 million in extra coffee
cheese and biscuits were hard to open! sold!”
The first LCA in the world was Southwest Airlines in Unsustainable
the US which was launched 30 years ago, and today has But Mr Hunter said that neither capacity nor pricing can
a fleet of 400 737s with another 100 on order. It is now be sustained on the Tasman. “If you do the arithmetic,
the fourth largest carrier in North America. This is an fares of less than $150 are not even break-even. There is
indication of what’s possible with this model, Mr a need to move back up to sustainability.”
Hunter added. But growth out of Australia will continue. Mr Hunter
Cheap said passengers travelling longhaul are not looking for
“People on short-haul simply want a cheap experience. LCAs because comfort - and meals - become more
Travel is a commodity. So it’s about delivering air travel important than price.
at the lowest possible cost. But that doesn’t mean the One delegate said during question time that Tasman
lowest possible quality as some LCAs use new aircraft flights are twice as long as those in Europe and we do
and have direct satellite TV. They also have catering, not have the population to sustain so many services.
but you must pay for it.” But Mr Hunter said that while a population base of
He said LCAs use under-utilised airports where costs 100,000 is required for LCAs to fly, in Australia
are lower than large hub airports. Turnarounds are communities as small as 50,000 still do well for such
quicker, which enables extra sectors to be flown each carriers.
day. Successful ones are not buying second hand aircraft TIANZ chairman Geoff Burns said everyone should
but the highly efficient new generation 737 and A320 acknowledge the investment put into trans Tasman
aircraft. services and the industry by Qantas and AirNZ.
Secret
“The secret is that their costs are 35-50 percent below Industry full of energy - Neels
full service airlines. They also achieve lower costs by IN the last 20 years it is hard to remember when the
pushing internet sales with no commissions, high industry has acted with the energy it has today, or been
density seating configurations - there are 180 on the so united in the promotion of Destination New Zealand,
new one-class 737s, and no lounges or frequent flyer ITOC president Stuart Neels said at the opening of the
programmes.” conference.
Mr Hunter said Ryanair have even removed the pocket “We have all had to face huge challenges in our
in the back of each seat - because they have to be businesses over the last few years. It is the boldness
cleaned, which slows the turnaround times. with which we have faced these challenges that has
Ryanair are also looking at providing larger bins in the enabled the inbound industry to continue its success.”
cabin so passengers can carry their own luggage on A significant factor in growth has and will be the
board to further speed up the loading. And LCA staff increased airline activity into New Zealand.
tend to be more motivated and want to make the new “We have seen Emirates, Asiana Airlines, Royal Brunei
business work. They are prepared to share business risk and Pacific Blue aggressively enter the market and Air
with management. New Zealand, Qantas, Freedom Air and Korean Air
“LCAs are often led by charismatic CEOs who use putting additional capacity on key routes. This,
public relations more than straight advertising.” combined with cheap Trans Tasman airfares, has
In Europe, Mr Hunter added, there has been a six-fold resulted in strong growth. The question now is - how
increase in LCAs, which now service 160 airports. sustainable is this from an airline perspective?”
Across the Tasman there has been 41 percent overall Mr Neels pointed out that travel agents and tour
capacity growth in the last year but 74 percent of operators worldwide continue to process 80 percent of
capacity is still operated by Qantas, AirNZ and Freedom international travel business, despite the rapid growth
Air. of the internet and technology. To be continued
“But that doesn’t tell the full story because it’s the
4
ITOC conference report
Minister challenges on seasonality Mr Burton said it’s important that there be good yield
HOW to tackle seasonality in an integrated and cohesive management. “As inbound tour operators, you are in a
manner. That was the challenge thrown ITOC members key position to influence yield. Getting the best out of
when Tourism Minister Mark Burton addressed any business sometimes means asking some pretty hard
delegates. questions.
“The benefits of smoothing seasonality are widespread “It may mean taking a hard look at current practices and
for the sector, particularly in terms of better use of finding new ways to do business. In order to reinvest in
infrastructure and the care and protection of our natural our products and industry, we must price accordingly.”
environments, where we are seeing a number of The goal is to offer innovative, quality products and
potential ‘hot spots’ starting to develop.” services that live up to our reputation as a premiere
He said that with more than two million overseas guests destination.
a year, and growing, some icon destinations are coming “If we are going to deliver this, we must have a
under increasing pressure. sufficient return on investment, and sufficient ongoing
“New Zealand has over 16,000 tourism businesses reinvestment in our people, our products, and our
spread across the country, with a stunning array of infrastructure.
choices on offer. The challenge...is to identify, develop, “We must continue to work together to maximise the
and market those quality products that will assist in economic benefits of tourism, while still protecting the
smoothing out regional spread while at the same time people, cultures, and environments that we treasure, and
increasing visitor yield.” which bring our guests here in the first place,” he added.
Bottlenecks
Mr Burton said the Ministry of Tourism is investigating Industry legend acknowledged
where key infrastructure bottlenecks are likely to occur ITOC Operator of the Year is Qantas. Regional GM
over the next seven years. These include roads, airports, Allan Williams, in collecting the award, also called
water and wastewater networks. forward inbound sales manager Ruth McIntyre
“We are also working closely with the Department of who, he said, was an industry legend who had really
Conservation on destination marketing as a way to won it for the company.
manage visitor pressure. Our goal is to target guests
who will stay longer, spend more, and, perhaps most Hawke’s Bay in world class
importantly, get off the beaten track and out into the IT took the arrival of Aucklander Graeme Avery and the
regions of New Zealand. We must also spread year development of the Hawke’s Bay Wine Region brand
round demand for New Zealand as a destination... before tourism took off in the region, according to
“We have already made some gains in this area by Napier Mayor Barbara Arnott at the opening.
successfully extending out the shoulder seasons, but we “He came six years ago. He’s one of those useful Jafas
need to keep building on these changes and on our who spread themselves around...when he saw what we
achievements so far. Since you drive 50 per cent of our had he decided he would set a new standard for this
visitor arrivals, inbound tour operators of course have a region...”
crucial role to play in influencing travel patterns.” The brand brought in large and small companies and the
Copying region has retained high standards in service while
The Minister said that indications are that Australia is building facilities for all to enjoy.
taking a leaf out of our book, with its new tourism “Wherever visitors go they will see fabulous products,
strategies “echoing those that we have pursued so facilities and service. But what they remember is the
effectively over the past four and a half years.” welcome they get from the people in the streets. The
But imitation is the sincerest form of flattery, and he people of Hawke’s bay well-know the value of tourism
wished Australia well with the new campaign. and their welcome is second to none.”
“It takes hard work, dedication, a willingness to know She said that 90 percent of jobs in central Napier are in
what you do best (coupled with an unwillingness to the service industry and art deco is the city’s point-of-
compromise it), and a real passion for excellence to get difference.
your message heard over the deafening noise of the “We’d like to think that Hawke’s Bay is no longer New
international tourism market. And, as we have learned- Zealand’s best kept secret. But for international visitors
the message must ‘ring true’ with target visitors-it must perhaps it still is...”
be authentic. ITOC president Stuart Neels said the fact that 220
He added that without international visitors, New were attending the conference showed the region is
Zealand would have to double the size of its dairy herd world-class. And Tourism Minister Mark Burton
- that’s 4.5 million cows - more than double the forest said the region “embodies the spirit of New Zealand
production - an extra 5.3 million ha - increase the size of tourism with culture, outdoor activities and genuine
the kiwifruit industry 12- fold, or the wine industry 23 Kiwi hospitality sitting in a stunning landscape.
times over.
5
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6
Urupukapuka may develop Govt meets opposition to
URUPUKAPUKA Island, Bay of Islands, could soon be the site of a major proposed RMA changes
tourist accommodation development able to host 178 guests a night. THE Government might rank
Zane Grey Resort Ltd has lodged a resource consent to transform its economic concerns alongside
existing facilities at Otehei Bay from basic huts and cabins able to sleep up environmental ones in changes to a
to 80 people, to a modern, environmentally friendly resort. The company key section of the Resource
has owned the resort since 1999. Management Act (RMA). Associate
Co-owner Wayne Dunning says a major international chain, which he had Environment Minister David
met at TRENZ, is “very, very keen” to market and possibly manage the Benson-Pope says the change, hotly
resort once it was redeveloped. He declined to name the chain. opposed by environmental and
conservation groups as giving
Three Sydneysiders die on Treble Cone road precedence to big business, is “on
THREE Sydneysiders died when their 4WD left the Treble Cone access the table” in a review of the act.
road on Sunday, about 4km from the base. One was Anna Gwynnedd Claims by Treasurer Michael Cullen
Somerville, 23, daughter of Treble Cone shareholder Richard that resource consents take “an
Somerville, of Dunedin. average period of five to six years”
to process have been contradicted
Doyle solves mystery of Fisherman’s Wharf? by statistics on the Ministry for the
BARBARA Doyle, founder of Agatha Christie murder weekends at the Environment’s website and
Brian Boru Hotel, Thames, says she isn’t surprised TV personality Suzanne promoted by Mr Benson-Pope.
Paul’s Maori village venture at the Fisherman’s Wharf, Northcote, has gone Forest and Bird has written to Dr
broke. Her business - Doyle’s restaurant, at the same venue - also went bust. Cullen pointing this out to him.
And it’s all because the building is haunted - and cursed. The Ministry for the Environment’s
She said she had to sell the Brian Boru and other property because she was website shows that of the 49,000
financially gutted by Fisherman’s Wharf. resource consents processed in
But Neville Waldren, of the Restaurant Association, says although it’s 2001/02: 41,000 were minor and
beside the Auckland Harbour Bridge “it’s a bit off the beaten track, that’s the dealt with by a council officer;
reason it hasn’t made it.” 46,000 consents were processed
without public notification; fewer
than 900 resource consents were
Series of events may replace Wow appealed to the Environment Court;
NELSON Mayor Paul Matheson says no single event will replace the fewer than 300 were declined.
World of WearableArt Awards, when they move to Wellington next
year. Instead, there will likely be a series of them.
Holiday park for sale
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AIRLINES are not interested in flying jets into Hawke’s Bay Airport, even Auckland, is on the market. There
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Richard Forgan who has been studying the potential for Napier and Hastings 1.5 ha property. An office, spa,
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7
Queenstown most popular NZ destination We now hit 2.2M!
QUEENSTOWN is considered the third best “city” in the South West INTERNATIONAL visitor arrivals
Pacific, according to readers of Travel and Leisure magazine. reached 2,248,129 in the year to
Christchurch was fourth and Auckland fifth. Top was Sydney, then June, a rise of 9.7 percent. There
Melbourne. were 19.3 percent more Australians
And readers have voted The George, Christchurch, Taupo’s Huka Lodge, (782,126), 2.4 percent more
and Queenstown’s Millbrook Resort as being among the best in the world. Americans (212,854), 6.5 percent
more Koreans (118,229), 6.9
Freedom camping on Otago peninsula percent more Germans (54,714),
OTAGO Peninsula is not attracting huge numbers of freedom campers, 11.6 percent more from the UK/
but some sites are coming under serious pressure, according to Dunedin Ireland (294,281) and 5.1 percent
City Council. more Chinese (74,329). But there
A four-month study on freedom camping has found that between 600 and were 1.6 percent fewer Japanese
800 freedom campers visit the peninsula between December and March. (160,844) and 8.9 percent fewer
Up to nine campers a night are seen at Taiaroa Head. And a lack of toilets Taiwanese (26,689).
there after 5pm, is concerning councillors. Overall, there were 7.6 percent
The study also found that campervans make up 40 per cent of vehicles more on holiday (1,151,321) and 17
used for freedom camping on the peninsula, with most campers using percent more VFR (627,639) with
private cars or vans without toilet or grey water holding facilities. 22 percent more Australians coming
on holiday (310,869) and 21 percent
May record for guest nights more VFR from that market
A record total of 1,808,000 guest nights were spent in commercial (275,057).
accommodation in May, up 68,000 or 3.9 percent on the same month last
year. Hilton eyes Mainland
Some 15 of 28 RTO areas recorded an increase in guest nights, led by HILTON plans to build $45
Christchurch-Canterbury (up 39,000 or 18 percent) then Auckland (up million hotels in Christchurch and
25,000 or seven percent), Queenstown-Central Otago (up 14,000 or 11 Queenstown. But Hilton
percent), Rotorua (up 7,000 or 6.7 percent), McKenzie/Timaru (up 3,700 Auckland GM John Ingram
or 12.5 percent), Hawke’s Bay (up 2,500 or 4.9 percent), Hurunui (up warns it will likely be years before
2,600 or 18 percent), Bay of Plenty (up 2,300 or 3.9 percent) and West they open.
Coast (up 2,300 or 3.9 percent).
But Lake Taupo was down 7,000 or 11.6 percent, Latitude Nelson
dropped 5,700 or 9.6 percent, Wellington region was down 5,500 or 3.8 Backpackers meet
percent, while the Coromandel was down 2,600 or 8.3 percent, Taranaki THE Backpacker Tourism
dropped 1,900 or six percent. Eastland was down 1,700 or 7.8 percent Marketing Network is holding a
while Northland dropped 1,400 or 1.6 percent. meeting in the Tourism Auckland
boardroom on July 30.
ADVERT
“Heritage&Character Inns of New
Zealand” , comprising over 70 unique
lodges and B&Bs all Qualmark graded,
are looking to appoint a Marketing
Person or Company to assist in
marketing the group.
We are looking for a person or Company who has extensive background in the lodge/
hotel/travel industry who can assist the group in developing its brand, raising media
profile, sales calls on agents and organizing marketing activities on behalf of the
group.
It is envisaged that the position would require 7-15 hours per week, and could suit
someone working from home, or as an additional Marketing Accountfor a smaller
company involved already in Tourism Marketing.
Applications are invited in writing by email by 23 July to H&C Marketing c/-
info@greatpons.co.nz
8
Flight operators in good heart,
ctzxá ctáàAAA despite the weather
THE worst prolonged period of bad weather in at least
35 years has caused havoc for South Island flightseeing,
TEN years ago in IT... 80 delegates to the third Tourist Flight Operators New
Zealand annual conference were told. But despite this -
* WE need a masterplan for tourism, Deloitte everyone was in good spirits!
Touche Thomas says in its submission to the
In opening the conference, chairman Geoff Ensor said
Commerce Select Committee inquiry into NZTB
(now TNZ). he believes the industry is positioning itself well “for
The chartered accountant and management the good times that are around the corner.”
consultancy company says there appears to He reported that a number of operators have bought new
be a lack of planning or policy framework aircraft - “a vital component of building an industry
within which tourism marketing fits. reputation for safety and quality.”
It suggests that with NZTB being a
marketing organisation it may be
He added: “We have developed a professional
appropriate for another agency to have the relationship with DoC, and strengthened our
responsibility for the overall direction relationship with the CAA, as evidenced by the
of New Zealand tourism. This organisation contribution both groups are making to this conference.
can then address issues such as high “The development of these relationships is in line with
spending visitors versus mass tourism, our belief that a common understanding of all the issues,
environmental management, development and
investment needs and community acceptance. and regular constructive communication, are the key to
resolving issues and confidently moving ahead.”
* MASSEY University lecturers have asked The theme was “Management, Maintenance, and the
the committee if NZTB has considered if Environment” with emphasis on discussion and
there are alternatives to accepting more feedback.
tourists. “It is surely wise to consider The programme included presentations on wilderness
just how many visitors are desirable...” areas and Milford Sound, aircraft maintenance, business
write Dr Keith Dewar and Kaye Thorn. They
say government must consider social and
management, Qualmark and marketing. There was a
environmental and not just the economic visit to Queenstown airport.
benefits of tourism. NZTB is marketing the The group now has 45 members with 20 operators
conservation estate over which it has no Qualmark endorsed. Two new members joined at the
control and to which it contributes conference, and some operators signed up for a
little, they add. Qualmark assessment.
John MacPhail from Wings over Whales in Kaikoura
* IT’S better to work with NZTB than
says that the group has been proactive in encouraging
against it. That’s Fiordland Promotions
CEO Jan Wilson’s reasons why fellow RTO every tourist flight-seeing operator to join and be part of
Keith Walker should not have criticised the initiative. “I was keen to attend the first few
the board in a select committee meetings we had as a group where the focus was on
submission. Mr. Walker, CEO of Southland safety and how we could improve as an industry. We
Promotions, had attacked the board for took on-board the Qualmark standards and developed an
representing Queenstown at a Malaysian
trade show when eight other regions had to
industry best practice model that still stands,” he added.
go to the expense of representing
themselves. Minister names TRC members
TOURISM Minister Mark Burton has just announced
* WHAT was it all about? Nothing was the full line-up of the Tourism Research Council New
achieved. There were no recommendations or Zealand (TRCNZ).
conclusions. The format stifled
discussion. These were comments on a
Apart from chairman Lex Henry of Minter Ellison Rudd
conservation/tourism forum in Wellington, Watts there are: Gordon Wilson, chairman, Hotel
attended by 50 invited by NZTB and DoC. Council New Zealand; Wally Stone, chairman TNZ;
Tourism Taranaki CEO Elaine Gill said that Geoff Burns, chairman TIANZ; Ralph Norris, MD and
whether conservationists like it or not, CEO AirNZ; Adrian Januszkiewicz, CEO Shotover Jet;
three million visitors will be coming here Ann Sherry, CEO Westpac Bank; Ian Ewing, Deputy
each year. “It may not be in the year
2000. But it’ll certainly be soon Government Statistician, Paul Yeo, chairman RTONZ;
afterwards.” Ray Salter GM Ministry of Tourism.
Says Mr Burton: “TRCNZ’s new membership, made up
* SOME 97 percent of New Zealanders of pre-eminent industry leaders, is a clear illustration of
believe tourism is either “important” or the strong government/sector partnerships we have built
“very important” according to an NZTB over the past four and a half years. Together, we will
survey. “Results show that Kiwis are aware continue to identify and meet the challenges
of the benefits of tourism,” says board PR
manager Chris
surrounding a truly sustainable tourism sector for New
Zealand.”
9
Skycity now has 70% of Riverside And he adds: “Simply relying on our reputation,
SKYCITY Entertainment Group Limited has settled the heritage and attractions is not enough.”
$10.5 million purchase of Tainui Group Holdings’ 15 Mr Tobias is demanding tax incentives to encourage
percent share of Riverside Casino Limited, owner of the investment in skills training for staff in the tourism and
SkyCity Hamilton gaming and entertainment complex. hospitality sectors “because there is still much to be
This increases Skycity’s equity to 70 percent. done to match the performance of some of our
Group MD Evan Davies says the company’s interest in competitors.” He says local councils should be
acquiring the shareholding is a logical move in a persuaded that investing in tourism infrastructure brings
company where it is already majority shareholder and benefits to communities as well as the industry.
the operator of the business.
SkyCity Hamilton reported a strong performance for the Cruisey season in 2005
2004 interim result period. Revenues were up 23 THE 2005 New Zealand cruise season promises to be
percent from the second half of 2003, with EBITDA at even bigger than 2004 with a record eight cruises to
44 percent of revenues. and from Auckland next winter on P&O Cruises’
Pacific Sky.
Even Brits want more for tourism... In addition, the number of available berths on P&O
THE British government has been urged to invest more Cruises ships based in Australasia will more than
in supporting the UK’s multi-billion pound tourism double with the arrival of Sky’s sister ship Pacific
industry. Sun.
The call came from the Tourism Alliance, a group of 60 P&O Cruises’ business development manager
bodies, which promote Britain’s tourism. Shannon Currie says: “When this year’s record New
Alliance DG Richard Tobias says efforts to drive Zealand season ends in August, nearly 60,000
Britain’s tourism trade up from £76 billion a year up to passengers will have spent an estimated $43 million
a value of £100 billion by 2010 “can only be achieved if in Auckland with visitor numbers for 2003-04 up
government investment in marketing England and 5,000 on last year.” P&O Cruises and its sister line
Britain increases to keep pace with competition from Princess Cruises were the major contributor to these
other destinations.” figures.
ADVERT
Chief Executive Officer
Destination Marlborough is the umbrella destination marketing and tourism organisation for the Marlborough region.
The Regional Tourism Organisation also runs the two i-SITEs in Marlborough - Blenheim & Picton.
Applications are invited for the position of Chief Executive Officer who is part of a small team promoting the region
as one of New Zealand’s premier tourism destinations. Reporting to the Board, the role is responsible for strategic
and operational business planning and management of the Regional Tourism Organisation & the two
i-SITES. It also includes relationship management with the tourism sector. The role is to forge strong relationships
within the industry and stakeholders, and the Marlborough community.
This role is suitable for a person with experience in business management / tourism industry or related service based
industries, who is highly organised, has strong marketing experience in a tourism related role, financial and budgetary
management skills, strong communication skills and enjoys being an integral part of a highly focused team. The
person we require must have a passion for the tourism industry with an ambition to succeed and make a real contribution
to the positioning of Marlborough as a visitor destination.
For a job description please phone Lyn Porter on (03) 577-5523, or email admin@destinationmarlborough.com
Applications for the position should be sent by email to admin@destinationmarlborough.com or posted to:
Appointments Committee
Destination Marlborough
P O Box 29
Blenheim Applications close on Wednesday 30th July 2004
10
Lodges launch electronic brochure Jets raise the temperature
THE New Zealand Lodge Association (NZLA) has JET exhausts add to global warming, according to a
launched an international marketing initiative - an NASA team. The researchers show that contrails can
electronic brochure. stretch 1,600 km and be 60km wide. Together they can
It has been produced as part of a joint venture with create a blanket effect trapping heat radiating from the
ANZCRO aimed at promoting members’ lodges in the earth. The result? A rise of half a degree in the average
Australian market. world temperature every decade.
NZLA marketing manager Garrick Emms says: “It is a
truly trans Tasman venture with the pages being Explore Franz Josef
produced in a Wellington art house and the e-brochure FRANZ Josef Glacier Guides is now using the brand
itself hosted on a Sydney based computer.” name Explore. Under it will be the new scenic rafting
The initial appeal of the e-brochure was as an answer to trip on the Waiau River, Franz Josef River Experience,
help overcome the high cost of brochure printing and and the existing Okarito Boat Tours to the white heron
distribution. colony at Okarito.
Last season NZLA in association with its partners, Franz Josef Glacier Guides CEO Mark Mellsop is
printed and dispatched to international markets, 85,000 behind the new Explore Franz Josef venture.
copies of its Blue Book directory. He says that with the town growing fast, the demand for
“Although many of these booklets may have a long visitor activities is outstripping that offered by the
shelf life the wastage is high and postage/distribution glacier. And he has long since seen the need to redirect
costs far exceed the cost of the actual booklets,” Mr the enthusiasm for the glacier, opening up access to the
Emms tells IT. area’s many other unique attractions.
Target
The target audience is seen as web smart clients. But it
also needs to be user friendly. ADVERT
“As the product developed there was increasing interest
from international agents who indicated that they would
be happy to host the e-brochure on their own web sites.
ANZCRO installed an ANZCRO branded edition on
their website for use in the Australian market. If you need expert marketing assistance
but are too busy running your business to
Before the e-brochure went international NZLA sought
find it, or just can’t find the right person,
market feed-back from the industry and it was then here’s a solution for you.
demonstrated at Kiwilink UK, TRENZ and Kiwilink
LA. Red Marketing has been created to assist with your
Mr Emms says the response was so positive that the marketing needs. We provide cost effective, professional
largest uptake of the e-brochure, to date, has been by marketing for companies in a flexible way that works for
industry members and agents. each businesses individual requirements.
“Agents could see the e-brochure adding value to the
service they already offer their clients. Good, up-to-date Our mission is to provide a level of professional marketing
services previously not available, in a part or full time
information that is the advantage of e-brochure.
manner. We adapt our service to suit your needs and
Contacts, location, activities, graphics are all there and importantly your budget.
kept current at no cost to the agent.”
Ability Red Marketing can provide:
NZLA has the ability to up-date copy and graphics
overnight. Agents or clients who have installed e- • Relationship building – with customers, core
brochure can request automatic up-dates which are then suppliers suppliers and agents nationwide
down-loaded whenever a new edition is formatted. • Day to day marketing – a hands on approach
The e-brochure has now become by default, the draft for • Research and recommendations
• E marketing – newsletters, web sites and email
the next hard copy edition of the Blue Book. The classic
comm communication
problems associated with producing camera ready copy, • Media – booking and recommendations
proof reading, correct graphics, rates and the like have • PR – media releases and press kits
now been identified and rectified before the art hits the • Launches
press, by each individual lodge. There is also the ability • Marketing plans – creation and implementation
to undertake limited edition print runs in specialist • Brand building
markets or for one-off events as the NZLA copy and art
is available on line anywhere in the world. Details: 06- If you would like a friendly obligation free chat, to discuss
3088289 or www.lodgesofnz.co.nz. your marketing needs please feel free to call Sue Marshall or
Toni Smith.
TIANZ Member
New look centre to have the edge? P (09) 529 1056 W www.redmarketing.co.nz
THE Auckland Convention Centre at The Edge is E sue@redmarketing.co.nz
due to open on August 2 after a $7 million upgrade.
11
YHA five star -again, again and Secrets worth sharing....
again ONE of the best one day walks in New Zealand. That’s
AUCKLAND International YHA has been recognised how Secrets Worth Sharing and Hidden Trails author
by Qualmark as five-star accommodation for the third Wally Hirsh describes day one of a three-day walk being
year in a row. Their rating improved from last year and, promoted by avid tramper Maureen Baker, 66, of
despite the intense nature of the process, manager Edgecumbe.
Katrina Scopas says staff enjoy the opportunity to “tip She runs Tramplite Walks from her home where she and
the product on its ear and give it a real shake and put it hubby Len host guests during their stay.
back together again.” “The three day walk takes you through forest, beside
Qualmark assessors and YHA guests alike appreciate Lakes Okataina and Tarawera. There are stunning views
YHA’s ‘delighters’ - which are colourful as well as of Mount Tarawera which guests enjoy as they continue
cultural! on alongside the river to reach the Tarawera Falls.
We’re trying to make travellers from different cultures Many people say that they cannot believe they have
feel more comfortable,” says Ms Scopas. never heard of these before! “
Special features include fresh herbs, a range of She explains: “The river gradually flows underground -
international cookbooks, Asian wok and dinnerware, to emerge from the middle of a huge granite cliff-face.”
and Italian pasta bowls. Guests also appreciate the Day two continues through native forest while the third
hostel’s milkshake maker, juicer, a restaurant review day starts in Whakatane and provides views of Whale
book in which staff and guests share comments, and a Island and White Island.
new traveller message board. Two ensuite rooms now “Over the three days we accommodate, provide all
have TV and all ensuites have radio alarm clocks. meals and move guests on and off the tracks, all with
warm, old fashioned hospitality.
“We have been told by Dutch, Germans and English
SIA increases Chch capacity 40%! that this is what most walkers want, somewhere they are
SINGAPORE Airlines (SIA) is increasing its comfortable and well fed, with some of the best scenery
Christchurch capacity by 40 percent from November in New Zealand.” Details:
with the addition of two new flights. The extra Maureen@tramplitewalks.co.nz.
services provide an extra 570 seats a week.
Ski enduro race competitors due
If you want to know about us, how
WORLD class racers from nine countries arrive in to advertise, send news, or simply
Queenstown on Tuesday in preparation for the gruelling look up some back issues visit:
overnight 50K of Coronet Peak race on August 2.
It is said to be Australasia’s leading international ski www.insidetourism.com
endurance event.
ADVERT
Tourism & Lifestyle Opportunities
AUCKLAND - Modern motel complex. 39 well equipped units, large restaurant, excellent security
system, close to shopping complex, cinemas, restaurants and bars. Room for expansion. Could be
run under management FHGC $6 million plus Carolynn Crawford 027 247 8716 Tom Crawford 027
278 9199
WAIHEKE ISLAND - Tourist Apartments for lifestyle holidays or investment, contact me for a range
of options. Studio to three bedrooms. Oneroa to Onetangi Beaches. Many excellent rental returns
$155,000 1.65m. www.bayleys.co.nz ID#33215. Pat Regan a/h 09 372 5501 or 0274 483 348
ROTORUA - $595,000, Freehold land buildings/business. 7 units, two bedroom, owners
accommodation, thermal heating to units, indoor mineral pool and outside pool. 430 square meters
buildings on 1012 square meters land. Mark Slade 0274 988 911 office 07 349 5360.
NELSON/TASMAN DISTRICT - Investors looking for a profitable business, and a leisurely lifestyle,
should not go past this 5 star opportunity. Beautiful surroundings and immaculate presentation will
not disappoint. Enquiries over $3 million. John Greenwood 027 497 0077.
0800 BAYLEYS www.bayleys.co.nz/tourism
12
