If you are considering a business visa to Australia it is a good idea to familiarise yourself with the different industries in Australia. The Australian tourist industry is one such industry that I am frequently asked about by clients considering Australian business immigration.
Here is an overview of the current state of the Australian tourist industry.
Since the SARS pandemic in 2003, tourist arrivals in Australia have grown steadily. The industry was hit by dwindling price competitiveness from its major source destinations, which include the UK and New Zealand, as the Australian dollar strengthened in 2009.
Discretionary spending is being reined in by many potential tourists and business travellers. In 2009, heavy fare discounting by airlines helped the tourism market as it encouraged many to take advantage of the low fares on offer. As global oil prices trend upwards, however, putting pressure on airlines’ profitability, fare discounts are expected to peter out to offset the rising costs of fuel in 2010. That said, competition between low-cost carriers in Australia and the Asia Pacific region will keep fares relatively low.
Forecasts for arrival numbers in 2010 begin to tick upwards again, reaching 5.46mn and continuing to increase reaching 6.30mn at the end of 2014.
Collective government expenditure on travel and tourism amounted to an estimated AUD$2,618mn in 2008 and is forecast to have increased to AUD$3,127mn in 2009, trending up to a forecast AUD$3,730mn by 2014. The government has launched a new marketing campaign to brand the country, spending AUD$21mn between 2009 and 2013 and to launch a new brand in 2010. According to Minister for Trade Simon Crean, ‘The plan is to create a cohesive brand that captures the essence of Australia and underscores the quality of all that we have to offer in sectors such as trade, investment and education’.
Australia receives the majority of its tourists from Asia Pacific, followed by Europe and North America. New Zealand is its largest source market, while Japan and China are growing steadily. In terms of outbound tourism, New Zealand dominates the Australian market. Outbound tourist numbers to the country nearly doubled between 2001 and 2008, increasing from 574,500 to 913,400. In 2014, 1.19mn Australians are forecast to visit New Zealand. The US and the UK follow New Zealand, while the remaining destinations in the top 10 visited by Australian tourists are all in the Asia Pacific region. In 2008, 3.71mn Australian tourists visited the region and the report forecasts growth to continue through to 2014, when outbound tourist numbers to the Asia Pacific region will reach 5.12mn.
