Budget 2013: Business events and high-value tourists

Prime Minister and Tourism Minister John Key today released details of Budget initiatives for tourism, including $34 million for business events and $20 million to attract very high-value visitors.

As part of a larger internationally-focused growth package, the Government is investing an additional $158 million in tourism through Budget 2013 to attract more visitors to New Zealand, particularly high-spending visitors.

“Over the past decade, visitor numbers have been increasing but spend per visitor has fallen. As well as attract more visitors to New Zealand, we need to attract people who spend more. We will be targeting business travellers and high-spending luxury travellers,” says Mr Key.

“We will spend $34 million over four years to significantly expand our focus on international business events, including conferences, conventions and exhibitions. Conference and convention visitors are particularly valuable as they spend $318 per day on average, compared to $208 for the average tourist.

“New convention centres in Christchurch and Queenstown, and the proposed New Zealand International Conference Centre in Auckland, will allow New Zealand to host more, and significantly larger conferences.

“The new funding of $7 million per year will increase to $10 million by 2015/16 to ensure conference organisers are made aware of this increased capacity.

“In addition to this, we will spend $20 million over four years to target very high value visitors who spend far in excess of the average tourist. These visitors use luxury accommodation, private transport, bespoke activity providers and high-end tours.

“Investment in this very high-value niche will require a tailored marketing approach. The new funding will allow Tourism New Zealand to work with premium New Zealand tourism operators to ensure this niche is developed to its full potential,” says Mr Key.