Germany has been the success story of Europe over the past few
years. Numbers have been steady throughout the period since
the global financial crisis and we've seen growth month on
month, particularly in the Youth sector, as an increasing number of
young Germans have chosen to travel since the school leaving age
was reduced. We are also seeing growth in the 30-40 year old
segment, which has always been very strong in areas such as
campervans and long-stay business.
Growth has also continued from the German market across the
winter months. While numbers are small for this traditional
summer-focussed market they reflect the efforts that have gone into
the trade beginning to treat New Zealand as a year-round
We are taking a pan-European approach to two big sectors: Youth
and Premium. We are looking at the Youth opportunity not only
from the UK and Germany, where we have historically been strong,
but also more broadly across France, Scandinavia and other parts of
Europe. This also involves working strongly in Australia, because a
number of youth travellers go to Australia to work before
considering a trip across the Tasman. Social media marketing is
particularly important here.
In the Premium sector we are focussed on the US, UK and Germanic
Europe, as well as Russia and the Middle East, where we believe
there is a sizeable pool of Premium travellers. We have also
branched into areas, such as the Monaco Boat Show, where we can
target super yacht owners.
The overall German economy remains steady, thanks to the
continued robustness of the domestic economy. A period of
marked economic weakness is, at present, unlikely. In fact,
development of the real economy in Germany is remarkably
Industry is benefiting from renewed investment activity, which
is expected to continue thanks to strong domestic and foreign
demand for German products.
The economic recovery is also having an increasingly positive
impact on the labour market. Unemployment is continuing its
downward trend and a more buoyant job market will help to
ensure that consumer spending also grows over the year.
(Source: Federal Ministry of Economics and
www.economist.com (GDP Growth)
www.xe.com (Exchange rates)
|Exchange Rate vs NZD
||EUR1 = NZD1.58262 (March 2014)
|Expected GDP Growth
||+0.7% (2012 est.)
Airlines and operators continue to report strong interest and
enquiries for travel to New Zealand, though the exchange rate is
negatively impacting on this.
The Euro declining against the New Zealand dollar creates a
real issue for pricing and makes New Zealand relatively more
expensive than other long-haul destinations. The same situation
equally applies to Australia.