Are we there yet? The current and future value of tourism to New South Wales
Discovery series Images coutesy of: Front cover: Getty Images/@leelakajonkij Page 2: Tourism Australia/Andrew Smith
2 NSW - Are we there yet? About the NRMA
Better road and transport infrastructure has been a core focus of the NRMA since 1920 when our founders lobbied for improvements to the condition of Parramatta Road in Sydney. Independent advocacy was the foundation activity of the organisation and remains critical to who we are as we approach our first centenary.
From humble beginnings, the NRMA has grown to one of the largest tourism and travel companies in Australia, representing over 2.6 million Australians. As our business has grown and diversified, so too has our national footprint and customer base, providing motoring, mobility and tourism services to 4.9 million customers across the country.
Today, the NRMA works with policy makers and industry leaders to advocate for increased investment in transport solutions to make mobility safer and easier, provide access to affordable travel options and experiences, and ensure communities remain connected to business and employment opportunities. The NRMA is passionate about facilitating tourism and travel across Australia, recognising the vital role travel plays in how Australians connect and recharge, and discover the country.
By working together with all levels of government to deliver integrated tourism and travel options we can give the community a real choice about how they get around and explore the country. The NRMA believes that integrated transport networks, high-quality public transport and improved visitor facilities are essential to solve the challenge of growing congestion and provide for the future growth of our communities.
Discovery series
The NRMA is passionate about travel. We aim to inspire people to connect, explore and discover this great country through quality tourism and transport services.
As the backbone of many regional communities and an employer of over half a million Australians, we need to ensure the tourism industry continues to grow. The NRMA will champion investment in transport and visitor infrastructure, partnerships to profile our regions and technology to link visitors with the most iconic and best kept secrets this country has to offer.
NSW - Are we there yet? 3 Introduction
New South Wales has a strong and vibrant visitor Encouraging visitors to discover our regions and stay economy. From the pristine mountain tops of the longer is a core focus of the NRMA. It’s important to snowy mountains to the iconic beaches on the north note that 83 per cent of visitors to NSW undertake and south coast, NSW has a lot to offer visitors and travel by car, with this number increasing to 93 per locals alike. cent of visitors to regional NSW.
Tourism contributes $34.2 billion to Gross State The Blue Mountains experienced the largest average Product. It employs 171,100 people and supports annual growth in international self-drive visitors of 95,000 tourism businesses in regional and 14 per cent to 72,000 visitors, while both the Riverina metropolitan NSW. and Snowy Mountains saw the largest growth in international visitor nights to 2016-17. Outback NSW The NRMA is committed to the tourism industry and saw the largest average annual growth in domestic the communities it supports. The NRMA’s NSW Are We overnight visitation, nights and expenditure over the There Yet? paper highlights the importance of tourism same period. to NSW and its regions, trends in visitation and expenditure, and the value of drive tourism and Further, caravan and camping generated $1.4 billion caravan and camping to many of the state’s iconic in visitor expenditure, of which 92 per cent occurs in regional destinations. regional NSW.
NSW welcomed 90.7 million visitors in 2016-17, who The industry has achieved much through the Visitor spent $33.2 billion in local communities. The state has Economy Taskforce and the mid-term review of the experienced strong growth in visitor expenditure to Visitor Economy Industry Action Plan provides the 2016-17, with an average annual growth rate of 6 per perfect opportunity to discuss the states progress and cent since 2011-12. future priorities to support the growth of this sector beyond 2020. Forty six per cent of total visitor expenditure occurs in regional NSW, with 70 per cent of total visitor The NRMA believes with the right level of investment, expenditure generated by domestic visitors. This planning and industry partnerships, that visitor nights highlights the importance of fostering Australia’s love could increase to 280 million by 2026-27, contributing affair with the great Aussie holiday. $40.1 billion in overnight visitor expenditure to the NSW economy. NSWs’ tourism regions have performed strongly over the five years to 2016-17. The Blue Mountains and Of this visitor expenditure $15 billion could be spent South Coast experienced an average annual increase in regional NSW. With the industry approaching the of 13 per cent in international visitation to 112,000 cusp of the 2020 Tourism Industry potential target, and 174,000 respectively. Outback NSW saw the now is the time to review our performance and plan largest average annual increase in domestic overnight for the future. visitation of 9 per cent to 490,000 visitors to 2016-17. The Snowy Mountains also saw the largest average increase in international expenditure at 36 per cent per annum to $25 million.
4 NSW - Are we there yet? New South Wales tourism regions
North New England Coast North West Outback NSW
Hunter Central NSW
Blue Central Coast Mountains Murray Sydney and surrounds
Riverina Capital Country
Snowy South Mountains Coast
NSW - Are we there yet? 5 Headlines figures d 171,100 Domestic overnight expenditure totalled people employed in the sector $
59 million visitors to billion,17.2 representing 52 per cent of total spend regional NSW – billion, representing 52 per cent of total spend 65 per cent of total visitation International visitor expenditure totalled billion in 2016-17 - an $ average annual growth $ 10.1 rate of 13 per cent million visitors – 96 per cent are domestic billion33.2 in visitor expenditure 90.7
Industry potential
Visitor nights billion in overnight visitor Self-drive visitor could grow to $ expenditure could be spent nights could 15 directly in regional NSW increase to 280 Direct overnight million by 2026-27 – 152 110 million in visitor expenditure million by regional NSW could increase to $40.1 billion in 2026-27 2026-27
Caravan and camping
Visitors who stayed in a caravan or of caravan and camping camping ground spent % expenditure occurs in $1.4 billion in 2016-17 regional NSW 6 NSW - Are we there yet? 92 In the regions Self-drive d The North Coast of NSW 75 million visitors received the largest number of took a self-drive trip in 2016-17 international visitors to regional NSW at 345,000, with an average % of self-drive annual growth rate of % trips were by domestic 9 98 visitors. billion, representing 52 per cent of total spend The North Coast and The Blue Mountains has seen Self-drive trips by Hunter received the an average annual increase largest number of day in international visitor nights international visitors trip visitors at of 20 per cent to have grown on average 7 per cent each year compared 7 million and to 5 per cent for domestic 6.7 million 684,000 overnight visitors. respectively in 2016-17 Self-drive tourism expenditure totalled The Blue Mountains $18.6 billion in 2016-17 68 per cent of self-drive and South Coast experienced the largest average annual tourism expenditure occurs in increase of 13 per cent in international visitation to 112,000 and 174,000 respectively regional NSW
Outback NSW saw the The Snowy also saw largest average annual Mountains the largest increase in domestic average visitor nights of increase in The Blue Mountains and 15 per cent to international
million Outback NSW have seen the expenditure largest average annual growth in at 36 per cent per annum to self-drive trips 1.9 $25 million. The North Coast and South Coast combined represent Caravan and camping % The North Coast and South Coast remain the most popular destinations for caravan and camping visitors, with 61% of 42 all caravan and camping visitors visiting these regions. of regional self-drive expenditure NSW - Are we there yet? 7 Economic contribution of tourism
Total tourism visitation Total tourism nights
Visitors (000) Nights (000)
Dom. Dom. Dom. Stopover region Financial year Int'l Total Int'l Total overnight daytrips overnight Sy ey A A h e e t A A h e t try A A h e e tr t A A h e e tr NSW A A h e - - ter A A h e New N rth We t A A h e - N rth t NSW A A h e t NSW A A h e - - er A A h e S wy t A A h e - S th t A A h e he rr y A A h e e NSW A A h e 2011/12 2,753 24,251 53,828 80,832 66,743 82,698 149,441 NSW 2016/17 4,008 29,981 56,707 90,696 92,512 96,296 188,808 Av. Annual change 9% 5% 1% 2% 8% 3% 5%
Source: Tourism Research Australia