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Tourism Investment in Regional Australia 2017

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Tourism Investment in Regional Australia 2017 Tourism Investment in Regional Australia September 2017 www.tourisminvestment.com.au Tourism Investment in Regional Australia 1 contents Overview 4 FoodandWine 12 AquaticandCoastal 18 NatureandWildlife 24 CultureandHeritage 30 Wellness 36 AboutUs 42 2 Tourism Investment in Regional Australia Tourism Investment in Regional Australia 3 Tea Tree Bay, Noosa National Park, Queensland Spectacularnaturalbeauty.Apristineenvironment.Someofthe Visitors to Regional Australia, 2011 to 2016 Many of Australia’s friendliest,mostwelcomingpeopleintheworld.Moderncities. World-classfoodandwine.Anextraordinarilydiversepopulation. 200,000 180,000 tourism icons are Incredibleexperiencesinbothcitiesandregionalareasalike. 160,000 TheseareonlyafewofthethingsthatmakesAustraliaoneof 140,000 themostdesiredtourismdestinationsintheworld. 120,000 located in regional 100,000 Abundantwithnaturalattractions,Australiaboastsasignificant 80,000 60,000 Australia Visitors (Thousands) domestictourismmarketalready,withinternationalvisitor 40,000 20,000 numbersforecasttorise.WithAsia’sthrivingmiddleclass 2011 2012 2013 2014 2015 2016 seekinguniqueinternationaltravelexperiences,Australia’s 0 proximitytogrowingAsianmarketswillsetitingoodstead. Domestic day trip Domestic overnight International overnight Total Investorsnowhavearealopportunitytotakeadvantageof growthinregionalAustraliaandbepartoftheAustralianstory. Source: TourismResearchAustralia/ColliersInternational THE CONTINUING RISE OF REGIONAL TOURISM 275 million visitor nights Visitors Nights in Regional Australia, 2011 to 2016 Australiantourismisn’tjustaboutthecapitalcitytourismregions. were spent in regional SomanyAustralianiconsandbucket-listspotsarelocatedacross 300,000 regionalAustralia. 250,000 Australia in 2016, up from Withmillenialsbeingthenextwaveoftravellers,theirintense 200,000 220 million in 2011. globaldemandfortravelexperiencesthatresonateonadeeper 150,000 emotionallevelisalsodrivingtravelbrandstodevelopproduct 100,000 thatismoreadventurous,morepersonalised,andmoreattunedto Visitors (Thousands) 50,000 localculture;inspiringconsumerstowardapathofself-discovery. 2011 2012 2013 2014 2015 2016 RegionalAustraliaiswell-placedtocapitaliseonthistrend. 0 Domestic overnight International overnight Total tourism IN REGIONAL AUSTRALIA BY THE NUMBERS: Source:TourismResearchAustralia/ColliersInternational 4.1% growth 60% in visitation per annum of all visitors are (over 5 years) domestic day trippers 3.5% increase 4.8% increase in international visitation in domestic visitation per annum per annum 275 million 55 million visitor nights spent in more visitor nights spent in regional regional Australia in 2016 Australia in 2016 than in 2011 4.6% increase 4 Tourism Investment in Regional Australia in overnight stays per annum Tourism Investment in Regional Australia 5 OVERVIEW Sunset dinner, Arnhemland, Northern Territory Tourism to regional Australia is on an upward drivers of international tourism ASIAN SOURCE MARKETS Top Ten International Source Markets - Growth Nights in Regional Australia trajectory with visitors Demandgeneratorsarewhatdrivetravellerstovisitalocation TourismAustraliasetuptheConsumerDemandProjectin2012to ARE DRIVING GROWTH andareultimatelyhowanareaorregionbuildspresenceand betterunderstandhowglobalconsumersviewAustraliaandwhat ChinaandTaiwanarethetwolargestAsian PPN* of PPN* of PPN* of increasing on average by evolvestobecomeadestination. mostmotivatesthemtovisit.Morethan90,000travellershave 8.5% Nights 2016 3.3% Nights 2016 1.7% Nights 2016 sourcemarkets,withgrowthhavingaveraged Five Year Five Year Five Year beeninterviewedsince2012in17marketsacrosstheworld.This UNITED 4.1 per cent per annum over 13.4percentand12.8percentrespectively 5.4% Growth p.a 6.9% Growth p.a 12.4% Growth p.a AMERICA researchhighlightedthatwhilstmanyinternationalvisitorsmake THAILAND Natural Complementary overthepastfiveyears.Otherhighgrowth STATES OF PPN* of the past five years traveldecisionsforrationalreasons,suchassafety,securityand % Nights 2016 marketsincludeHongKong,Malaysia,India Scandinavia 6.9 environments amenities Five Year valueformoney,theyalsovisitforemotionalreasons. CHINA andThailand,withallfourmarketsrecording 13.4% Growth p.a FrequentlycitedmotivatorsforvisitingAustraliainclude doubledigitgrowthbetween2011and2016. Institutions of Exciting PPN* of historical or activities world-classnatureandwildlifeexperiences,foodandwine 2.8% Nights 2016 andaquaticandcoastalexperiences;manyofwhicharebest Growthisbeingdrivenby Five Year cultural value 16.1% Growth p.a foundinregionalAustralia. visitorsfromAsiaandthus PPN* of Thesearetheexperiencesthatinternationalvisitorsare representsasignificant HONG KONG 3.9% Nights 2016 Five Year seekingwhich,whenoverlaidwithastrongdomesticbase, opportunityiftheproduct JAPAN 7.6% Growth p.a providesopportunitiesforinvestorstocapitaliseonthe currentandprojectedgrowthintourism. offeringisright. Preference for Australian experiences vs International competitors Thetopthreeinternationalsourcemarkets toregionalAustraliain2016weretheUnited WILDLIFE 50.4 Kingdom,NewZealandandtheUnited StatesofAmerica,whichtogethercomprised AQUATIC & COASTAL 49.7 aroundonethirdoftotalvisitornights.This COMPETITIVE representsamarkeddifferencetototal NATURAL BEAUTY 46.7 AustraliawhereChinadominates. AUSTRALIA IS MORE AUSTRALIA PPN* of FOOD & WINE 45.3 5.4% Nights 2016 Five Year TAIWAN 12.8% Growth p.a SPORT & ADVENTURE 43.6 PPN* of PPN* of 2.2% Nights 2016 1.0% Nights 2016 HISTORY & CULTURE 39.8 Five Year Five Year INDIA 12.0% Growth p.a INDONESIA 11.0% Growth p.a CITY 39.6 PPN* of AUSTRALIA IS LESS IS LESS AUSTRALIA COMPETITIVE 2.4% Nights 2016 Five Year Source:TourismAustraliaConsumerDemandProject Source:TourismResearchAustralia*PPNrepresentstheproportionofnightsexpressedasapercentage MALAYSIA 14.6% Growth p.a 6 Tourism Investment in Regional Australia Tourism Investment in Regional Australia 7 diversity of accommodation sought Potential to visit regional Australia and key attractors by source market Growthinself-drivetravelhasthepotentialtoincreasevisitationtoAustralia’s Arangeofaccommodationoptionscanbefound regionsevenmorewithinternationalvisitorsindicatingadesiretospendan inregionalAustralia. averageofsixnightsofa14-nighttripinregionalAustraliaandvisitingupto fourdifferentdestinations.Themostsoughtafterexperiencescorrelatewith ACCOMMODATION IN REGIONAL Australia’scoreofferingsofaquaticandcoastal,wildlifeandnaturalbeauty,food Growthinself-drive AUSTRALIA BY THE NUMBERS: andwine;withconsiderablyfewervisitorsseekingcityexperiences. travelhasthepotential Market Trip Length PPN* in a region Preferred Experiences Holiday homes toincreasevisitationto ARE THE preferred mode China 14nights 49percent AquaticandCoastal,Wildlife Australia’sregions of accommodation India 14nights 44percent AquaticandCoastal,Wildlife Over half evenmore. of all visitor nights are spent Indonesia 14nights 41percent AquaticandCoastal,Natural in an owned or rented home beauty 18% Singapore 7nights 23percent FoodandWine,Aquaticand OF total visitor nights Coastal ARE spent in hotels SouthKorea 14nights 45percent AquaticandCoastal,Foodand Hotels Wine ARE preferred by domestic visitors Malaysia 7nights 27percent AquaticandCoastal,Wildlife Camping & UnitedStates 14nights 47percent Wildlife,Naturalbeauty caravan parks United 21nights 41percent ARE becoming increasingLY AquaticandCoastal,Wildlife Kingdom popular and luxurious Germany 21nights 54percent Wildlife,Naturalbeauty Caravan parks & camping ‘resorts’ NewZealand 14nights 33percent Naturalbeauty,Wildlife ARE now popular in the domestic segment *PPNrepresentstheproportionofnightsexpressedasapercentage Source:TourismAustraliaConsumerDemandProject 8 Tourism Investment in Regional Australia Tourism Investment in Regional Australia 9 Friendly Beaches Lodge, Freycinet Experience Walk, Tasmania Key Food and Wine Coastal and Aquatic Nature and Wildlife Cultural and Heritage Wellness International Airport Domestic Airport investment opportunity BROOME Demand Drivers in Regional Australia TourisminAustraliaisa$130billion TOWNSVILLE industrythatemploysaround1in13 Activity PPN of 5 Yr Notable Destinations WHITSUNDAYS Australians,accountsfor11percentof visitors Growth FoodandWine 48.7per 7.4per HunterValley,Orange,Mudgee, exportsandisakeydriveroftheeconomy. cent cent YarraValley,MorningtonPeninsula, ALICE SPRINGS KingValley,Barossa,AdelaideHills, Itisoneoffivekey‘super-growthsectors’drivingnewjobsand TamarValley,MargaretRiverand ULURU growthintheeconomyoverthenextdecade. SouthernHighlands Aquaticand 21.8per 5.2per Shoalhaven,Gippsland, ThetourismpotentialinregionalAustraliaissignificantgiven Coastal cent cent Whitsundays,FleurieuPeninsula, thesizeofthecountryanddiversityofexperiencesofferedin SUNSHINE COAST NingalooReef,KatherineGorge, eachstateorterritory.Withmanyregionsofferingamultitude TasmanPeninsularand ofexperiencesacrossallkeyactivities;destinationdrivers, CotterReserve BALLINA-BYRON BAY newattractions,accommodationsandofferingswillserveboth Natureand 18.3per 10.6 SnowyMountains,Grampians, totakeadvantageofthecurrentvisitationanddriveadditional Wildlife cent per TropicalNorthQueensland, tourism. cent KangarooIsland,Kimberley,Kakadu, EastCoastTasmaniaand Akeydriverofgrowthisinnovation,enterpriseandrisk- TidbinbillaNatureReserve taking.Thedevelopmentofnewtourismattractionsexists NEWCASTLE-HUNTER Culturaland 10.8per 7.9per BlueMountains,ByronBay, inresponsetotheoverallappealofalocation,itspopulation MARGARET RIVER- Heritage cent cent Goldfields,LimestoneCoast, BUSSELTON andvisitorbase,economicgrowthoutlookandsuitabilityfor
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