australian tourism export council matthew hingerty managing director
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Australian Tourism Export Council Matthew Hingerty Managing Director The value of international tourism to Australia - and the importance of sister city connections in building tourism relationships. Inbound Tourism’s Value. $24 billion exports 5 million visitors 500k employed directly - PowerPoint PPT PresentationTRANSCRIPT
Australian Tourism Export Council
Matthew HingertyManaging Director
The value of international tourismto Australia - and the importance of sister city connections in building
tourism relationships
Inbound Tourism’s Value
• $24 billion exports
• 5 million visitors
• 500k employed directly
• Largest service sector exporter
Sister Cities - why tourism needs them
Global IVAs (in millions, source UNWTO)
636.7 652.3687.3 684.1 702.6 694.0
766.0802.0
842.0898.0
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Year
IVAs to Asia Pacific (in millions, source NTOs, compiled by PATA)
213.3231.7
257.5 261.1272.7
254.3
306.2329.4
347.3
375.2
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Year
Outlook for 2008 (Year-on-year % growth; source: UNWTO)
7.0%
9.0%
8.0%
4.0%3.5%
2.0%
Africa Asia & Pacific Middle East World Europe Americas
But Australia is missing out!
• Predicted inbound growth 2008 – 0% (if we’re lucky)
• Rising energy prices, inflation & interest rates will continue to affect the current economic landscape.
• Global credit crunch and stock market slump is creating an growing sense of consumer unease and financial worry.
• The dollar and its impact.
• Government Policy – Tax, ETS, etc.
• Oil….
Sister City Travelmore “do-able” than ever
Aviation
The Low Cost Carriers
Revenue Generation
Nok Air - Thailand
20
Source: IATA, CAPA
QANTAS response has been the creation of Jetstar and Jetstar Asia…
It’s not all about LCC’s
The emergence of China & the Middle East as major aviation and tourism players is going to have an impact…….
Emirates
• Current Fleet 75• Has 175 aircraft on
order Including:• 58 Airbus A380 • 47 Boeing 777• 70 Airbus A350
• Plan to launch an LCC using A380’s
Dubai - DXB
•Handling capacity 70 million pax
•Runways - 6
•Has overtaken Singapore as the worlds 5th largest hub
Gulf Carriers
Airline Launched in 1995 Current Fleet 45 Has 112 Aircraft on order
Annual growth of 35% in the past 7yrs
Now Operates to 75 destinations
Airline Launched in 2003 Current Fleet 24Fleet will expand to 32 by 2008Has 14 aircraft on order incl. 4 x A380’s Operate to 70 destinations by 2010
Airline Capacity
Airline Capacity
Currently 934 Aircraft on order
Regional International Airports
• Cairns
• Gold Coast
• Avalon
• Darwin / Alice Springs
• Newcastle?
• Margaret River?
Outbound flows(Source ABS)
Australia 2005 2006 2007
Arrival 5497 5532 5644
Departure 4756 4941 5463
Index 0.87 0.893 0.968
New opportunities coupled with the strong AU$ is eroding domestic tourism.
In 2007 inbound arrivals grew by 2% whereas outbound grew at 10.6%
Challenges• Climate Change
• Oil
• The rise of the planned economies
Climate Change
Oil
Jet Fuel
Planned v Democratic Economies
Asia Pacific Hotels:
• 1,555 in the construction pipeline
• Comprising 366,679 rooms
(Source: Lodging Econometrics, October, 2007 & March 2008)
Accommodation
Greater China:
• 728 hotel projects with 222,600 rooms• Accounts for 50% of all planned projects and
60% of all new rooms • 78% are currently under construction
Additional Rooms Added 2007 - Top 522,950
19,326
15,180
71006000
Beijing Shanghai Bangkok Tokyo Hong Kong SAR
Macau(Source Macau Government Tourist Office)
• IVA’s Increase 22.7% 2007 to exceeded 27million
• 55% from Mainland China • Infrastructure development
exceeds US$25Bn• 22 hotels currently under
construction• Asia’s largest conference
venue with 15,000 fixed seat theatre
Venetian Macao Resort
Accommodation
Greater China:
• 728 hotel projects with 222,600 rooms• Accounts for 50% of all planned projects and
60% of all new rooms • 78% are currently under construction• Australia currently has 2676 rooms under
construction. An increase of 32% since Nov07. (Source Jones Lang la Salle Hotels)
An opportunity
Thailand HospitalsBangkok
Thai Nakarin Hospital Thai Hospital, Bumrungrad International
Working with the Travel Industry
CONSUMERTRAVELAGENT
TOURWHOLE-SALER
INBOUNDTOUR
OPERATOR
PRODUCTSUPPLIER
Inbound Tour Operators• Provide a vital link between the suppliers of Australian
tourism product and the overseas travel companies that buy it.
The role of ITOs in the distribution system
Australian Tourism Export Council
Thank you
www.atec.net.au