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On behalf of the Board and Leadership team, we are

pleased to present Tourism New Zealand’s Annual

Report for the past financial year ending June 2016 —

and what a year it has been!

During 2015/16 Tourism New Zealand has broken

records across the board for international inbound

tourism to New Zealand including exceptional numbers

of visitors, levels of expenditure, referrals to travel

partners and industry, and visits to its digital media

sites. The results squarely reflect achievement of the

organisation’s over-arching mission ‘to increase the

value of international tourism to New Zealand’.

For the year ended 30 June 2016 total international

visitor arrivals rose 10.6% to 3.3 million while holiday

arrivals increased by 16.1%. Overall visitor spend

increased by a very pleasing 18% to $10.3 billion.

With these results achieved, the tourism industry

is well on track to surpass the aspirational goal of

$40.1 billion in total tourism revenue, set out in the

industry’s Tourism 2025 growth framework.

Meanwhile, Tourism New Zealand’s customer-facing


attracted 33 million visits

and generated 2.9 million referrals to travel partners

and industry — a huge 35% improvement on 2014/15,

while the number of social media followers rose to

2.28 million.

Tourism New Zealand continues to play a pivotal role

in driving demand for international inbound travel

to New Zealand. The organisation has successfully

expanded its geographic focus to new and emerging

markets (India, Indonesia, and Brazil) and its segment

focus to concentrate resources on high net worth

visitors, special interest visitors, and business events

delegates. This expansion of activity has been achieved

as a result of additional funding provided over the

course of the past three years.

The number of international visitors New Zealand

attracts has grown rapidly, however arrival patterns

remain highly seasonal with holiday arrivals in summer

months being typically more than double the level

of winter months. This peak period puts pressure

on physical capacity, labour, publicly owned assets

(ranging from toilet facilities to national parks) and

suppresses the return on capital invested in the

industry over the full year.

Accordingly, over the past year Tourism New Zealand

has begun to shape the timing of demand to grow off-

peak travel periods faster than the growth achieved

in peak/summer months. Among other initiatives,

Tourism New Zealand shifted the majority of its

marketing effort to promote travel during the shoulder

seasons, autumn and spring — to fantastic effect.

While international holiday arrivals remained strongest

over summer 2015/16, combined spring months

(September-November 2015) grew by 17.1% from the

same period in 2015, and autumn months (March-May

2016) saw a further increase of 19.6% on the previous

year. Year on year, combined shoulder period growth

in holiday arrivals was 18.4%, compared to summer

growth of 15.1% (December 2015-February 2016).

Chair and Chief Executive Report

Kerry Prendergast

Tourism New Zealand Chair

Kevin Bowler

Tourism New Zealand Chief Executive