Destinations

Australian tourism welcomes triple growth

Kate Webster

The Australian tourism industry has welcomed a growth three times faster than the Australian economy over the year to June, according to the August edition of the Deloitte Tourism and Hotel Market Outlook.

The Deloitte Access Economics has increased its forecast for international tourism, with arrivals forecast to grow at 6.2% per annum (up from 5.4% in February) on average over the next three years.

The numbers of international visitor for leisure travel surge 10 percent in the year ended June 2016, their fastest rate of growth since the mid-1990s.

Adding to this was international visitor expenditure, which saw a 17.6 percent growth, more than double the 7.9 percent average of the past five years.

Australians travelling domestically is growing at its fastest pace since formal records began in 1998 (7.6 percent).

Tourism Australia managing director John O’Sullivan said that the positive tourism outlook presented by Deloitte Access Economics was supported by recent arrivals and spending data, showing the tourism industry to be growing strongly and out-performing the broader Australian economy.

“We’ve been seeing double digit growth in both international arrivals and spending for some time now, and the feedback we’re getting from tourism operators in Australia and our trade and distribution partners overseas is very upbeat. I’d argue that Australia’s international appeal has never been higher, providing a perfect marketing platform upon which to roll out our latest global campaign and take our destination message to the world,” O’Sullivan said.

Deloitte Access Economics partner, Lachlan Smirl added “The growth tourism is posting – and the impact that’s having on activity across the economy – is a very clear sign the transition that needs to take place and its contribution to the Australian economy is occurring. A three-fold out-pacing of growth across the economy is no mean feat.”

Smirl notes what is remarkable about the tourism growth is that it is being achieved against a relatively soft economic backdrop, both internationally and here in Australia.

In terms of domestic travel, visitor numbers have grown for the 20th successive quarter and at their fastest pace in nearly two decades. Growth was led by corporate travel, but the standout story for the domestic market was leisure tourism.

“Australians’ love of holidaying at home remains firmly rekindled, with trend growth of around 9% the fastest on record and adding an additional three million trips to the domestic holiday market annually. Encouragingly, this growth was concentrated in regional Australia. In fact, visitation to regional holiday destinations grew 50% faster than capital city domestic leisure travel,” Smirl said.

The Deloitte Tourism and Hotel Market Outlook uses the forecasting, modelling and analytical expertise of Deloitte Access Economics, one of Australia’s leading economics advisory practices. The Outlook also draws on Deloitte’s real estate industry experience and insights, and a range of other sources, including hotel data collected by STR Global Limited.

SEE WHAT PEOPLE ARE SAYING

One response to “Australian tourism welcomes triple growth”

  1. This is great news for all our clients in the Australian Tourism industry.
    What would be even better is an in-depth analysis and forecast of trends over the next five years. In particular isolation of factors which will prolong this surge in Tourist numbers and the risks to this growth.
    Best Regards
    Nigel Spiers
    Tourplan Pacific Ltd

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