Otago set to benefit from tourism growth

Thousands of new tourism jobs are expected in Otago in the next decade, and tourism industry figures say it is time to make money.

New figures show international visitor spending is set to increase almost 50% in the next six years.

An expected 3.8 million people should land in New Zealand annually by 2021.

The extra spending is expected to help fuel a 46% increase in tourism jobs in Otago in the next 10 years.

There will also be a need for need for cultural and language skills, as the Chinese market is set to provide New Zealand's biggest tourism spend in six years' time.

The figures came from a variety of sources yesterday, at the Trenz tourism conference in Rotorua.

There is a strong Otago contingent at the conference, including local government regional tourism organisations Enterprise Dunedin and Destination Queenstown, and plenty of the region's tourism operators.

Ministry of Business, Innovation and Employment general manager Michael Bird said international visitor spending was projected to increase 48% to $11.1 billion by 2021.

A predicted 4% annual growth in arrivals would push numbers up from 2.9 million last years to 3.8 million in 2021.

A report from the ministry showed China was predicted to provide New Zealand's largest tourism spend by 2021, overtaking Australia.

There was a ''marked change'' in Chinese tourism. Visitors were travelling to more regions, and undertaking a wider range of activities.

Tourism Industry Association chief executive Chris Roberts presented a report on requirements of the association's plan to almost double tourism by 2025, a goal which the government figures showed was almost on track without any of the industry marketing planned to achieve the goal.

There was ''every reason to believe'' the predictions on jobs were accurate.

''They simply reflect the number of visitors Otago will see.

''More visitors mean more jobs.''

Nationally, the report forecast an extra 36,000 full-time equivalent workers would be needed, including accommodation managers, chefs, waiters, baristas and taxi drivers.

Otago was second only to Auckland in expected job growth.

Mr Roberts said while the requirement would be for ''thousands'' of jobs in the region, more exact figures were not available yesterday.

''Some regions will require more workers than others,'' he said.

Regions like Auckland and Otago attract a larger proportion of international visitors, driving localised labour demands higher.''

Of the industry, he said it was ''really in a growth patch at the moment.''

Destination Queenstown chief executive Graham Budd said the area had ''compounding growth'' for about three years.

''With the demand and the growth, this is the time for businesses to make money.

For accommodation providers, it was time to increase rates and increase yield, as well as refurbish and make improvements.

''It's something we should all be part of.''

Tourism buyers at the conference were asking about accommodation capacity.

''It's getting to the point in our peak seasons we're starting to get short of capacity.''

That was ''a very common conversation'' in Otago.

Enterprise Dunedin trade sales representative Gil Abercrombie said tourism in Dunedin was showing ''really good figures''.

''We've had a really good year.''

Enterprise Dunedin was in Rotorua with seven city tourism operators, the largest contingent to have attended the conference.

 

 


Outlook to 2021

• Visitor arrivals increased 5.3% in the year to December 2014.

• Arrivals expected to grow 4% a year to 2021.

• 3.8 million visitors expected in 2021.

• By 2025 up to 36,000 new jobs may be needed nationally.

• Jobs include 8000 accommodation managers, 6000 chefs, 5000 waiters and 1800 baristas.


 

 

Add a Comment

 

Advertisement