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Destination NSW ANNUAL REPORT 2015-2016

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Destination NSW ANNUAL REPORT 2015-2016 Destination NSW ANNUAL REPORT 2015-2016 Destination NSW ANNUAL REPORT 2015-2016 DESTINATION NSW ANNUAL REPORT 2015–2016 page 2 The Hon. Stuart Ayres MP Minister for Trade, Tourism and Major Events 52 Martin Place SYDNEY NSW 2000 31 October 2016 Dear Minister, We are pleased to submit the Annual Report of Destination NSW for the financial year ended 30 June 2016 for presentation to the NSW Parliament. The report has been prepared in accordance with the provisions of the Annual Reports (Statutory Bodies) Act 1984, the Annual Reports (Statutory Bodies) Regulation 2010, the Government Sector Employment Act 2013, the Public Finance and Audit Act 1983, and the Public Finance and Audit Regulation 2010. Yours sincerely, John Hartigan Sandra Chipchase Chairman CEO DESTINATION NSW ANNUAL REPORT 2015–2016 Contents page 3 Contents 4 Chairman’s Foreword 5 Organisation 6 About Destination NSW 8 Board Members 11 Organisation Chart 2015-2016 12 CEO’s Report: The Year in Review 15 Financial Overview 2015-2016 16 Destination NSW Performance 2015-2016 23 NSW Tourism Performance 2015-2016 26 Visitor Snapshot: NSW Year Ending June 2016 28 Review 29 Event Development 34 Marketing for Tourism and Events 43 Industry Partnerships and Government Policy 56 Communications 61 Corporate Services 62 Appendices 63 Destination NSW Senior Executive 64 Human Resources 66 Corporate Governance 72 Operations 75 Management Activities 77 Grants 79 Financial Management 81 Financial Statements 82 Destination NSW Financial Statements 112 Destination NSW Staff Agency Financial Statements 127 Index 129 Access DESTINATION NSW ANNUAL REPORT 2015–2016 Chairman’s Foreword page 4 Chairman’s Foreword Shaping the future has been a key focus for the John Hartigan Destination NSW Board over the past year. Chairman Destination NSW During the year I was proud to work with my Board of Directors to undertake a Review of Regional Tourism to coincide with the final year of the NSW Government’s record funding of $21.6 million to Destination NSW to support the Regional Visitor Economy Fund. This initiative enabled the Board to interact with industry stakeholders to shape a framework that will support growth and attract more visitors to rural and Regional NSW. The new Destination Networks will be implemented over the coming months. The NSW Government continues to recognise the I acknowledge the contribution of the Board of Directors importance of tourism and events as a key economic whose enthusiasm and commitment towards furthering driver to the State's economy. This is demonstrated by its the development of the NSW visitor economy is second commitment of $127.6 million in additional funding over to none. four years from 2015-2016 to secure more major events and expand marketing activities to further enable NSW Our CEO, Sandra Chipchase, continues to drive the to remain competitive in the face of increased spend by organisation forward with her innovation, passion other States. for excellence and strong desire to ensure that NSW maintains its position as the leading tourism State with This commitment has secured a number of world class Australia’s best calendar of events. events to Sydney and Regional NSW including L’Etape Australia by Le Tour de France in the Snowy Mountains, I look forward to continuing to work with the industry Australian première musicals, Egyptian Mummies: across NSW as we move closer to achieving the goal of Discovering Ancient Lives and College Football Sydney doubling overnight visitor expenditure to NSW by 2020 Cup. The remarkable success of Vivid Sydney is worthy and implement the new Destination Network framework. recognition of Destination NSW's ability to manage and produce major events. In 2016, this event attracted more than 2.31 million visitors and delivered more than $110 million to the State's economy. I thank the Hon Stuart Ayres MP, Minister for Trade, Tourism and Major Events for his unwavering support of the organisation and the NSW visitor economy more John Hartigan broadly over the past year. Chairman Destination NSW DESTINATION NSW ANNUAL REPORT 2015–2016 Organisation page 5 Organisation 6 About Destination NSW 8 Board Members 11 Organisation Chart 2015-2016 12 CEO’s Report: The Year in Review 15 Financial Overview 2015-2016 16 Destination NSW Performance 2015-2016 23 NSW Tourism Performance 2015-2016 26 Visitor Snapshot: NSW Year Ending June 2016 FOR VISITORS, NIGHTS & EXPENDITURE DESTINATION NSW ANNUAL REPORT 2015–2016 Organisation page 6 About Destination NSW Established under the Destination NSW Act 2011 as the Role lead Government agency for the NSW tourism and major events sector, Destination NSW’s charter is to achieve Destination NSW is responsible for devising and economic and social benefits for the people of NSW implementing strategies to grow the State’s visitor through the development of tourism and the securing of economy. Our particular focus is on driving tourism and major events. acquiring and developing major sporting and cultural events for Sydney and Regional NSW. In addition, The establishment of Destination NSW saw the merger of Destination NSW is the major investor in Business Events four Government-funded entities – Tourism NSW, Events Sydney with the aim of securing more international NSW, the Homebush Motor Racing Authority and the conventions, incentive travel reward programs, corporate Greater Sydney Partnership – into a single entity. events and exhibitions for Sydney and Regional NSW. Destination NSW is a Public Service Executive Agency governed by a Board of Management and is subject to the Vision control and direction of the Minister for Trade, Tourism and Major Events. It is principally funded by the NSW To make Sydney and NSW one of the world’s most Government and is part of a cluster of agencies under successful tourism and events destinations. the responsibility of the Secretary of the Department of Premier and Cabinet. Mission To double overnight visitor expenditure by 2020 and maximise the benefits of the visitor economy for NSW. Strategic objectives 1. Position Sydney and New South Wales as world- leading tourism and events destinations 2. Attract and secure high-value major events 3. Build a sustainable events calendar for New South Wales 4. Increase industry stakeholder and customer engagement 5. Deliver value in partnership/cooperative programs 6. Develop and sustain a high-performance organisation 7. Maximise yield and dispersal from the Visitor Economy 8. Implement the Visitor Economy Industry Action Plan DESTINATION NSW ANNUAL REPORT 2015–2016 Organisation page 7 About Destination NSW CONTINUED Importance of the Visitor Economy to Working with Industry New South Wales Destination NSW works with industry and government The term ‘visitor economy’ includes businesses and stakeholders to realise our vision of making Sydney and communities that benefit from the direct and indirect NSW one of the world’s most successful tourism and economic activity generated through the wide range events destinations. of initiatives that support the provision of goods and The value of the contribution made by tourism and services to overnight visitors including, but not limited to, major events is undeniable and by working with industry leisure, business, events, food and wine, arts/cultural, stakeholders, we can undertake a wide range of activities nature and student visitors. that increase the profile of Sydney and NSW in key The visitor economy contributes $31.5 billion to the State’s domestic and international markets. economy and supports 171,900 direct jobs. In the year ended June 2016, New South Wales welcomed 90 million visitors Services and currently leads all Australian States and Territories in terms of visitor numbers, nights and expenditure. The services offered by Destination NSW include: • Brand development and management Visitor Economy Industry Action Plan • Strategic partnership programs In December 2012, the Visitor Economy Industry Action • Market research and insights Plan (the NSW Government response to the NSW Visitor • Destination development assistance Economy Taskforce Report) was released supporting the majority of recommendations made by the Taskforce. • Product development advisory service • Market and business development programs The Visitor Economy Industry Action Plan outlines the whole-of-Government commitment to the NSW visitor • Destination and event marketing economy and a long-term strategy to achieve the NSW • Cooperative marketing and publicity programs Government’s target of doubling overnight visitor • Major event investment, acquisition and evaluations expenditure to NSW by 2020. • Event leveraging activities Destination NSW is working with industry and • Visitor resources and information Government stakeholders to implement the approved recommendations and actions outlined in the Visitor • Visual resources – footage and photography Economy Industry Action Plan. • Funding for regional events and tourism activities. DESTINATION NSW ANNUAL REPORT 2015–2016 Organisation page 8 Board Members (2015-2016) John Hartigan (Chairman) Russell Balding AO (Deputy Chairman) David Baffsky AO Leslie Cassar AM, MOM, KSJ Sandra Chipchase (CEO) The Hon. Patricia Forsythe Margaret Jack Wendy Machin Rod McGeoch AO DESTINATION NSW ANNUAL REPORT 2015–2016 Organisation page 9 Board Members CONTINUED John Hartigan (Chairman) David Baffsky AO John Hartigan was appointed as Chairman of Destination David Baffsky is Honorary Chairman (formerly Executive NSW in March 2014. He is also Chairman of the Prime
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