International update Trent Banfield – International Operations & Aviation Development Manager Agenda 1. Markets 2. Performance 3. Distribution Development 4. International Activity and Insights OUR FOCUS - MARKETS +2% 1,400,000 +10% INTERNATIONAL VISITORS TO AUSTRALIA VISITORS up 1,200,000 YEAR END June 2017 1,000,000 Source: Australian Bureau of Statistics to +14% +3% 9% 800,000

600,000 +3% +13% +13% 8.5m Number of Arrivals 400,000 +13% +15% +10% +8% +22% +14% +4% 200,000 +4%

‐ NZ CN US UK SG JP MY KR IN HK GE ID CA FR IT +10% $10.00 $9.00 EXPENDITURE BY VISITORS Spend up $8.00 YEAR END June 2017 $7.00 Source: International Visitor Survey, Tourism Research Australia 7% to $6.00 $5.00 +4% ‐8% $4.00 +0% $40.6BN Spend (A$ billion) $3.00 +15% +0% +1% +30% $2.00 +11% +10% +1% ‐9% +2% +0% ‐1% $1.00 $‐ CN US UK NZ JP KR SG IN MY HK GE CA ID FR IT International Trend for south Australia

Source: International Visitor Survey, YE June 2017, Tourism Research Australia DISTRIBUTION Development

CONNECT PARTNER FOR EDUCATION EXPERIENCE MARKETING BUSINESS

Aussie Events e.g. ATE Specialists – Famils – some Key Distribution – Decision Frontline Aussie Partners (KDPs) Makers Travel Sellers Specialist Training Key Distribution Partners

160+ globally

Work with KDPs committed to selling quality Australian product and experiences to drive conversion in all markets Aussie Specialist Program • Established 27 years ago • Global platform (free and available to any frontline agent) • Aavailable in 11 languages • Shared platform – All STOs Program Performance since relaunch 2015

47,000 Registered globally 72,000 trained face 30,000 Qualified 150,000 globally – 99% to face Up 76% since Aussie Modules - launch specialists completed satisfaction 98% 54% Aussie Had never visit specialists Australia satisfaction before

99% 86% of Sellers Seller will attend in Satisfaction future

International Insights & Activity Changing dynamic of Australian tourism TRIPS TO AUSTRALIA EXPENDITURE IN AUSTRALIA

1.6 12

NZ 10 China China 1.2 8

0.8 USA 6 UK USA UK Singapore 4 NZ Japan 0.4 Malaysia Japan Sth Korea Sth Korea India 2 Singapore Germany Malaysia Indonesia India 0.0 0 Germany Indonesia Jun 11 Jun 17 Jun 11 Dec 11 Jun 12 Jun 13 Jun 10 Jun 15 Jun 16 Jun 14 Jun 17 Jun 07 Dec 11 Jun 12 Jun 13 Jun 10 Jun 15 Jun 16 Dec 12 Dec 13 Dec 10 Jun 08 Jun 09 Dec 15 Dec 16 Jun 14 Dec 14 Jun 07 Dec 07 Dec 12 Dec 13 Dec 10 Jun 08 Jun 09 Dec 15 Dec 08 Dec 09 Dec 16 Dec 14 Dec 07 Dec 08 Dec 09 FROM NOW bn CHINA - Insights A$3 TO AS MUCH AS in o/night spend A$9.8bn in o/night spend June 2017 YE $13bn In o/night spend by 2020

- Record 1.3 million PLUS visitors, +11% - 51 million visitor nights, +24% - average trip spend of $8k plus CHINA AVIATION LANDSCAPE Direct Flights between China and Australia – as of 30 June 2016 Direct Flights between China and Australia – as of 30 Sept 2017

BEIJING BEIJING ZHENGZHOU QINGDAO XI’AN NANJING NANJING SHANGHAI CHONG WUHAN SHANGHAI WUHAN QING CHENGDU CHENGDU HANGZHOU CHONGQING FUZHOU CHANGSHA FUZHOU XIAMEN KUNMING XIAMEN GUANGZHOU GUANGZHOU Air China SHENZHEN SHENZHEN China Eastern Airlines HAIKOU

China Southern Airlines

Sichuan Airlines CAIRNS Xiamen Airlines CAIRNS Xiamen Airlines BRISBANE BRISBANE Airways Qantas Airways GOLD COAST Jetstar PERTH SYDNEY PERTH SYDNEY ADELAIDE MELBOURNE MELBOURNE Airlines Jetstar CHINA AVIATION LANDSCAPE

Direct Flights between China and Australia – as of 2010 Direct Flights between China and Australia – as of 30 Sept 2017

BEIJING BEIJING ZHENGZHOU QINGDAO XI’AN NANJING SHANGHAI CHONG WUHAN SHANGHAI QING CHENGDU HANGZHOU CHANGSHA FUZHOU KUNMING XIAMEN GUANGZHOU GUANGZHOU Air China Air China SHENZHEN China Eastern Airlines HAIKOU China Eastern Airlines China Southern Airlines China Southern Airlines Sichuan Airlines Qantas Airways CAIRNS Xiamen Airlines BRISBANE BRISBANE Qantas Airways

Beijing Capital Airlines SYDNEY PERTH SYDNEY Hainan Airlines ADELAIDE MELBOURNE MELBOURNE Jetstar experiences World class nature, food & wine, CHINA - Insights aquatic & coastal 80% of travellers are Free and Independent (FIT) Two-thirds of travellers are <35 YEARS OLD 84% share travel on social

100m+travelers Chinese consumers travel overseas, expected to double by 2030 CHINA – Wechat

950m 500,000 Active followers Tourism Australia official Wechat users account

Wechat moments partner campaigns City Experience - Sydney Pilot Launched – November 2017 CHINA – UGC Campaign – Your best shot Australia - Record 763K visitors, +11% USA - Insights - 15.1 Million nights, +7% FROM A$2.5Bn - average trip spend of $5k plus in o/night spend NOW A$3.7bn in o/night spend June 2017 YE TO AS MUCH AS $4.5bn in o/night spend by 2020 North America AVIATION LANDSCAPE 125 weekly direct non stop YVR flights from North America SFO JFK LAX DFW 54 single connections per MIDDLE EAST week via New Zealand

ASIA 130 single connections per week from East Coast via the HNL Middle East

125 single connections per week from east coast via BNE

Asia SYD AKL MEL

Source : OAG Connections, data for week of 5 June 2017 as at 2 May 2017 *Five hours maximum connecting time at transit point, and for connections on same carrier. experiences World class nature, UNIQUE WILDLIFE, USA - Insights aquatic & coastal

Significant Opportunity Australia ranks #5 for aspiration & Intention – but #25 for visitation

20% CONSIDERING TRAVEL TO AUSTRALIA IN THE NEXT Four YEARS

21% OF us VISITORS ARE FROM CALIFORNIA

Over 110 flights per week USA Activity – UK - insights

FROM NOW A$3.2Bn in o/night spend A$3.5bn in o/night spend TO AS MUCH AS June 2017 YE $5.5bn in o/night spend by 2020

- 722K visitors, +2.3% - 24 million visitor nights, -3% - average trip spend of $5k plus experiences food & wine, UK - insights value for money aquatic & coastal

Median nights stayed 20 days

Key travel period December to March

84% OF ALL VISITORS ARE HERE FOR LEISURE PURPOSES UK Activity – ashes Qantas partnership UK Activity – ashes guardian partnership UK Activity – ashes telegraph magazine UK Activity – Wild guide to Australia in partnership with Qantas

Australian Wilderness with Ray Mears

Up to 3m viewers per episode For more information: 2017 Market profiles and International Market update

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