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Tourism is more vital for New Zealand and its economy than ever; the post-pandemic market is highly competitive, and the country’s tourism industry needs “to get out there and hustle”.

The future of tourism in New Zealand will not look like the past.

That was the message from Tourism Industry Aotearoa (TIA) chief executive Rebecca Ingram at TRENZ in Christchurch yesterday.

Ingram said tourism was vital to New Zealand’s economic and social well-being, generating wealth and supporting jobs in communities nationwide.

“It is one of our significant export earners and has the potential to contribute more as the recovery continues.”

Figures cited by Ingram included:

Over the past few months, international visitor arrivals are sitting at around 66% of pre-Covid levels. “The very strong initial recovery has plateaued, which is not unexpected.”

Holiday arrivals are about 40% of pre-covid levels for the year ending February 2023.

The key high-value holiday market has recovered more slowly than the Visiting Friends and Family group [VFR travel] – which was at 78% of pre-Covid levels in the month of February.

The initial revenge travel surge has probably subsided, “and so now we are competing for the high-quality visitors that so many destinations also want. Keeping New Zealand globally top of mind in this context is critical.”

“Recovery is not homogeneous,” Ingram conceded.

“27% of tourism respondents in our most recent survey say that their summer capacity was operating at more than 100% of 2019 levels, with 22% sitting at 76-90%

“Workforce recovery has been a challenge, our most recent survey reveals that 56% of tourism business are recruiting still but this is down from 75% late last year which shows good progress, but also signals that many businesses are altering their offering to fit their new workforce levels.”

“The future of tourism in New Zealand will not look like the past. The DNA of the industry is forever changed because of Covid, and it’s my view that New Zealand is uniquely well positioned to deliver a new generation of tourism. Tourism for good, tourism with net positive impact.”

Ingrams said “next generation tourism – or regenerative tourism as it is formally defined” was “literally being created in New Zealand as the demands from consumers change and expectations of New Zealanders also evolve.

“Changes have been made to ensure the New Zealand tourism experience is one that New Zealanders can be proud of.”

These included legislative changes on Freedom Camping to community-led destination management plans and individual business innovations and strides forward on sustainability.

“Destination management plans are essential as they help shape the nature and quality of regional tourism offerings for the communities they operate in. The plans provide region-specific but collectively cohesive destination plans that capture community wishes, identify, capitalize upon and protect a destination’s assets and characteristics, and allow for investment needs to be well signalled and planned for. There are now 30 Destination Plans that cover the length and breadth of New Zealand.

“Another initiative is the Aroha of Tourism campaign, which brings to life the genuine effect tourism has on the communities it operates in – because sometimes we just need to tell our stories better.

“Beyond the tourism industry’s focus on attracting overseas visitors and its major economic value, we have so many fantastic tourism operators around the country doing incredible things that benefit New Zealand on a personal and community level.

“This campaign aims to highlight just a few of these stories to reignite pride in the tourism industry and celebrate what can quickly go by entirely unnoticed.

TIA’s work partnering with over 100 tourism businesses to take their sustainability commitments into action further reinforces my belief that we’re an industry embarking on transformation from the ground up.”

Ingram stressed the crucial importance of events like TRENZ, “not just for the tourism industry but for NZ as part of contributing to the broader economy, the communities that host tourism operations, and the families whose members work in the sector. From the big picture to individual pay packets – tourism matters.

“To quote a recent Infometrics report: ‘Tourism is a crown jewel in New Zealand’s economy, fortifying various industries, including retail trade, accommodation, and recreation services’.

“Excellent, but let’s not get too cocky. They also say after a robust initial comeback, some markets are slowing – so we need to get out there and hustle – I said that Infometrics didn’t!

“What they said was “, Looking to the year ahead, it is apparent that our tourism sector will have to find innovative ways to stay top-of-mind for households overseas.”

“We hold TRENZ for the straightforward reason that we need to gather in one place to show international buyers what New Zealand tourism businesses and regional tourism operators have to offer – and how that is changing to meet the evolving demands of would-be visitors. It’s that simple in theory – bring buyers and sellers together, schedule a bunch of appointments, and watch the business get done.”