Strategic priority three: Focus marketing activity on clearly defined high value visitors
Tourism New Zealand’s mandate is to increase value from international visitors for the economic benefit of New Zealand.
It achieves this through strategies to specifically target high value visitors, and by ensuring campaign messages match
the needs of the segments and sectors targeted by encouraging them to stay longer and do more while in New Zealand.
Visitor value can take several forms: for example, staying in New Zealand for a long time, travelling widely through New
Zealand dispersing the economic benefit, spending strongly on a per night or per trip basis, travelling to New Zealand in
low seasons, or returning to New Zealand in subsequent trips.
Research carried out by Tourism New Zealand has identified high value segments within New Zealand’s prioritised
markets and these segments are the basis of Tourism New Zealand’s targeted strategies.
As well as focusing on valuable segments within key markets, higher value visitors are also targeted through the business
events sector. Increasing market development, partnership and campaign activity has accelerated outcomes within this
sector. The importance of this sector will continue to increase as New Zealand’s convention infrastructure improves with
the New Zealand International Convention Centre in Auckland due to be completed in 2019, as well as additional facilities
confirmed for Christchurch and Wellington, and proposed for Queenstown.
There has been a focus on targeting premium visitors as high value visitor spend injects significant revenue into the
economy. Through dedicated resources and focus, high net worth individuals have been targeted in North America,
Europe/UK, and Asia leveraging New Zealand’s best accommodation and attractions that appeal to this small but very
valuable segment of the market. Data from 29 Luxury Lodges of New Zealand member properties shows that in the
2015/16 season $62 million was spent by overseas visitors in luxury accommodation. This figure shows an increase in
luxury lodges revenue of 20.8% from the 2014/15 season
Research has also shown that promoting special interest travel can attract visitors who spend more and stay longer.
Tourism New Zealand has identified special interests that present opportunities in priority markets including ski/snow,
golf, hiking/walking and cycling.
The Chinese market is important in regards to value, and it has delivered exceptional arrivals growth to become
New Zealand’s second most important market in terms of visitors and visitor expenditure. A key driver has been
longer lengths of stay, in particular more Chinese tourists visiting New Zealand on exclusive (mono) rather than
dual New Zealand and Australian itineraries.
Strong growth in international visitor spend and average spend per arrival
Our number one priority is to increase the value of international holiday visitors to New Zealand and these latest figures
show we are making great progress. Total international visitor expenditure for the year ending June 2016 was $10.3
billion, an increase of 18% compared to the previous year
. Holiday expenditure was $6.3 billion, also an increase of 18%
on the previous year. Total median spend per international visitor increased by 9% and by 4% for holiday international
visitors, reflecting both a growth in volume and value improvement across the sector.
The figures released by the Ministry of Business, Innovation and Economic Development’s (MBIE) International Visitor
Survey show the strongest growth in expenditure was driven from Asia, with China (up 33%), Japan (up 57%) and Korea
(up 92%) reflecting strong expenditure growth from these markets throughout the year. Tourism New
Zealand’s top three
priority markets being Australia, USA and China, contributed over $5 billion in the total annual spend.
Total international visitor expenditure by market
YE June 2016 ($m)
YE June 2015 ($m)
YE June 2014 ($m)
Change 2015/2016 (%)
Aggregated LLNZ revenue data, provided to Tourism New Zealand and LLNZ members.
International Visitor Survey results April–June 2015, Ministry of Business, Innovation and Employment (MBIE).