The latest tourism industry data from South Australia’s peak tourism body shows a return to positive business activity for the first time since COVID-19 began.
The survey conducted by the Tourism Industry Council South Australia (TiCSA), which measures business activity and outlook for the January and March 2021 quarter, also showed that investment and medium-term outlook have reached very high levels.
This comes after the release of Tourism Research Australia’s latest visitor data for the year ending December 2020, which reported that visitor expenditure in South Australia declined by 42 percent to $4.7 billion.
While expenditure continues to drop, South Australia has also gained market share across all visitor segments, indicating that the state is performing better than others.
TiCSA CEO Shaun de Bruyn said this is a positive indication that our tourism industry is on the road to recovery, following an extremely challenging 18-months.
“47 percent of respondents reported stronger business activity for this quarter, with 59 percent expecting activity to be stronger for the June 2021 quarter,” said Mr de Bruyn.
“60% of businesses indicated that they are confident or extremely confident about their business prospects over the next 12 months.
“Furthermore, 46 percent of businesses stated that they are planning more investment, which is one of the highest levels over the last three years.”
Though we are seeing strong signs of industry recovery, TiCSA warns that many tourism businesses are still suffering with the absence of interstate and international visitors and will require ongoing government support.
“March and April have proved strong trading months for CBD accommodation, however, there is great uncertainty amongst operators as to how they will trade throughout the winter months,” said Mr de Bruyn.
“It is excellent that the State Government and South Australian Tourism Commission have committed to a third and fourth round of Great State Vouchers to assist with stronger trading during a traditionally quieter period.
“It is also pleasing to see that Adelaide suburbs are supported with this fourth round, with many accommodation providers spread outside the CBD.”
“With the Federal Budget fast approaching, we will continue to advocate for ongoing direct financial aid be made available to hard-hit tourism enterprises until borders re-open and the vaccine rollout has been successfully completed.”
For an overview of the key findings, please refer to the attached.
Shaun is available for further commentary on 0419 841 190.
