Results released by data firm STR on New Zealand occupancy rates indicated a drop in occupancy for Wellington, but increases in other areas with the earthquake affected regions of Nelson and Tasman showing resilience.
Overall for New Zealand, the following results were released:
- Occupancy: -3.0 percent to 79.8 percent
- ADR: +16.3 percent to NZD190.45
- RevPAR: +12.8 percent to NZD151.93
With ADR as the primary driver of performance, New Zealand has posted year-over-year RevPAR growth for 43 consecutive months dating back to July 2013.
Key markets like Queenstown (+19.2%), Roturua (+14.8%) and Auckland (+13.5%) each recorded double-digit RevPAR increases for January, while Wellington (-0.7%) was the only major market to report a decline in the metric, albeit marginal.
Meanwhile, on the South Island
A stuff.co.nz article indicated that Nelson and Tasman have taken out the two top spots as New Zealand’s best-performing regions in the latest ASB/Main Report Regional Economic Scoreboard.
According to the article, Nelson had risen from second place and was also doing well in the construction, tourism, horticulture and viticulture sectors. Tasman had jumped four places to sit second, the December 2016-quarter report revealed.
In terms of residential and non-residential construction, the December 2016 quarter was up 83 per cent from December 2015 and that figure stood out as a “whopper”, said ASB senior rural economist Nathan Penny told stuff.co.nz.
He said the second half of 2016 had been “excellent” for the region. “Nationally, tourism has been very strong and one feature of the tourism boom is it really has spread to the regions.”
“To be top of what is a nationwide boom at this stage is pretty impressive.”
Nelson Regional Development Agency chief executive Mark Rawson told stuff.co.nz that the report was consistent with other economic indicators for the region.
“It’s absolutely in line with the things we have been seeing and it’s important to get some indications that what we’re seeing on the ground is translating to the rest of the economy.”
Rawson said the tourism sector had been performing strongly over summer and was a major contributor to the rest of the economy.
“When it’s strong it has a significant contribution to the retail, transport and the hospitality sectors.”
He said growth in the visitor sector over the last three years was sustainable, but the challenge was to extend the shoulder seasons of autumn and spring.
The tourism sector was expected to “taper off” over autumn, he said.
The report showed that the Nelson region was becoming more well known as a destination for New Zealanders and was “now very much a part of the core New Zealand visitor product offer” for international visitors.
Post-earthquake tourist routes in ‘Top of the South’ brochure
The Top of the South regional tourism cluster has released the new Top of the South 2017 Brochure, following necessary changes to routes north of Kaikoura, following the earthquakes of late 2016.
The establishment of these new routes north of Kaikoura, and the positive tourism statistics for the region support the view expressed by our columnist Moira Penman, general manager of AA Tourism that the region is finding its “next new normal”.