The Bulls, with a squad of about 28 players and 12 management and support staff, arrived in the resort on Sunday - as did the 40-man Cheetahs squad, also from South Africa, ahead of its game against the Highlanders in Dunedin this weekend.
Highlanders marketing manager Doug McSweeney said most travelling tour parties spent time in the resort between New Zealand fixtures if they had a game in the South Island.
"As far as Queenstown goes, it's a pretty good destination for anyone ... the facilities [for rugby teams] are first class - there's the [Queenstown Events Centre], the pool and gym facilities and they use the [Queenstown Recreation Ground] as well."
However, Mr McSweeney said a large part of the attraction for visiting teams was about life outside of rugby.
"If they came to Dunedin for a week leading up to their game, they would be overwhelmed with rugby, fans, media attention and it could get a bit stale for them.
"Heading to Queenstown, that ticks a few of the boxes for them."