Resurgence in tourism - A promising outlook for New Zealand

Following a prolonged period of challenges due to the COVID-19 pandemic, the global travel industry is anticipating a significant resurgence in tourism in 2023. As holiday efforts continue to roll out worldwide, travel restrictions are easing  and consumer confidence is growing. The outlook for the tourism sector looks promising.  

In 2022 the international tourism expenditure increased 31 percent ($455 million) to $1.9 billion. Tourism generated a direct contribution to GDP of $10 billion, or 3 percent of GDP, an increase of 1.3 percent ($132 million) and total tourism expenditure (in NZ) was $26.5 billion, an increase of 3 percent ($704 million) from the previous year* 

GO Rentals is a New Zealand owned and operated rental car company. As trusted local experts with 24 years of experience in the travel industry, their focus on technology, innovation and visitor experience has seen them grow from a small family owned business, to a multi-award winning national brand. 

James Dalglish, Chief Operating Officer GO Rentals says ‘’The resurgence in international tourism this year has seen a phenomenal increase. We have seen this in particular from tourists traveling from across the ditch in Australia with a YOY increase of 300% bookings for the 2022/23 financial year compared to the previous and the US with YOY increase of 112% bookings for the same time period.’’

‘’Pre-covid there were approx. 55,000 vehicles in the New Zealand market of which more than half were sold during the pandemic and unfortunately global supply chain issues have impacted the ability to build this back up. Currently there are 15,000 fewer vehicles than there were pre-Covid but here at GO Rentals, we are helping to solve that problem. We are building up our fleet, resulting in more choice for consumers with us forecasting to grow 25% from March 2023 to March 2024.’’ states James.

The Better Work Action Plan was recently announced as part of the Budget 2023, $18.2 million is budgeted over four years to implement the plan, which is a holistic package of proposals that will bring about positive changes in the tourism industry.

The 2023 Budget stated that there will be significant investment in infrastructure resilience, major events, the EV charging network, New Zealand Māori Tourism and further funding for the New Zealand Māori Arts and Crafts Institute to continue their great work.

The Budget also stated that the Treasury now forecasts New Zealand will avoid recession thanks in part to the contribution of tourism.**  

‘’We are pleased with the 2023 Budget announcements, in particular investment in infrastructure resilience and the increase of EV chargers nationwide. All of this helps significantly with the resurgence of tourism’’ says James.

The travel and tourism industry, which has been severely impacted by the pandemic, is showing positive signs of recovery. Travellers are eager to explore new destinations, reunite with loved ones, and embark on long-awaited vacations.

*Source: Jade Hart, Senior Publicist, Lily & Louis Creative PR, jade@lilyandlouis.com