Increase in IVL impact on future visitation

“We are disappointed to learn the value of the IVL fee is increasing from $35 to $100 (185% increase) and very concerned the increase will come into effect from the 1 October 2024. TECNZ’s submission on the IVL recommended Government did not rush their decision to implement an increased IVL fee without careful consideration of the entire visitor economy, booking trends and research into price sensitivity from source markets because the recovery of returning visitors had stalled.

We said if there was to be an increase in the fee the timing of implementing an increase must be carefully considered on the impact with regards to Inbounds selling itineraries 1-2 years in advance. We requested any increase of the fee be implemented from 1 October 2025. This would allow offshore travel trade to price accordingly for their clients and maintain goodwill with major offshore travel sellers. Visitor fees (and visa processing times) do influence visitors to press go or no go to visit New Zealand. Time was needed for prospective visitors to consider the value proposition of coming to New Zealand.

Another area of concern is about how the collected hypothecated IVL fees will be distributed in the future. This is still unknown. TECNZ supports IVL funds be distributed across the Department of Conservation to support visitor infrastructure and services and also to local government to support visitor infrastructure developments (as it has been in the past). Visitors appreciate knowing where their visitor levy is being spent to help improve conservation and visitor services. We’d be concerned if the IVL pool of funds were to be allocated to a raft of different projects that were not directly related to improved visitor services.

Has New Zealand reached a tipping point with recent increased visitor visa fees, border and customs fees, and the IVL? We think yes and suspect the recovery will stall over the next 1-2 years. i.e. limited growth in the 24-25 and 25-26 seasons. TECNZ has downgraded its international arrival forecasts of reaching pre-Covid international arrivals from YE May 2025 to YE May 2026. There is no doubt government decisions are making it harder for offshore travel agents and tour wholesalers to recommend New Zealand to their clients. We mustn’t become complacent that because we think New Zealand is a great place to visit to presume every prospective visitor feels the same way. There’s a whole world out there that offers lots of affordable options.

New Zealand needs to look at implementing initiatives that are enablers of international growth, not initiatives or decisions that may stifle growth (handbrake).

Time will tell what the impact will be.”

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The Tourism Export Council of New Zealand (TECNZ)’s shares the industry’s concern that the recently announced increase in visitor visa fees by Immigration NZ could become a handbrake for New Zealand’s international tourism recovery.

Chief Executive Lynda Keene said, “The Tourism Export Council of New Zealand was asked for feedback on the proposed increase in fees earlier this year. TECNZ’s submission requested Immigration NZ review the increase in fees and levies and reduce by 50%. We appreciate the proposed increase for group tour fees has been reduced. However, the standard visitor visa fee and working holiday visa fee increases might just be high enough to take New Zealand off the must-visit destination list.

We expressed our concern alongside Tourism Industry Aotearoa (TIA) that now was not the right time to increase visitor visa fees whilst the tourism recovery was still in progress. The inbound sector and airlines price tickets and itineraries one to two years in advance, so an appropriate ‘runway’ is needed for prospective visitors to have all the relevant information to base their decision upon to pay a deposit to travel to New Zealand, or not.

Whilst appreciating some cost recovery is required for visa services, the timing for full cost recovery is counterproductive in offshore markets to drive growth. Our preference would have been for increases to be implemented on 1 October 2025, not this year. The increase in visitor visa fees is going to impact the high growth market, India, and the recovery of New Zealand’s second-largest visitor market, China. Both markets can be major influencers in helping our international tourism recovery, but there is price sensitivity in the markets and the increase in fees might work against New Zealand.

TECNZ’s April 2024 international arrival forecasts 2024-2026 predicted that by YE March 2025 pre-Covid arrivals by YE March 2025 would be 88% and by YE March 2026 we would be back to 100% of pre-Covid arrivals.
Our latest forecast (August 2024) has taken into consideration a range of new assumptions including the lower-than-expected airline bookings reflecting a softening in many markets. Although the US, Australia, India and Canada have been star performers over the past two seasons, we are also seeing a bit of softening in those markets for the 24-25 season. In particular, the holiday segment is still sitting at 75% of pre-Covid arrivals so there is a lot more work to be done to push this higher.

We predict by YE May 2025 the recovery will be at 85%, by YE May 2026 we should be back to 96% of pre-Covid arrivals reaching a 100% recovery of arrivals by YE May 2027.

We’re aware the International Tourism Conservation & Visitor Levy (IVL) is under review. Given the mounting increases in border, customs and immigration visa fees all at the same time in 2024, we hope the Government will consider taking the IVL review off the table until we are back to 100% pre-Covid arrival numbers. If an increase is destined to occur, we advocate for the IVL increase to come into effect in 2025 or 2026.

New Zealand must not become complacent that just because we are here that visitors want to visit. We must provide an affordable and compelling proposition for visitors to tick New Zealand on their list of places to visit. We need to continue to work hard in a very competitive global marketplace for airlines to keep New Zealand on their schedules and price points do affect decisions for visitors to say ‘yes’ or ‘no’ let’s go (or not).

ENDS

TECNZ Conference 2025 dates announced

The Tourism Export Council of New Zealand (TECNZ)’s next annual conference will be held on 6^th & 7th August 2025 in the Bay of Islands at the Copthorne Hotel & Resort near Waitangi and Paihia.

The conference is hosted in a New Zealand region each year and offers 300 international tourism delegates the opportunity to hear the latest industry insights from compelling speakers and network.

Chief Executive of The Tourism Export Council of New Zealand (TECNZ) Lynda Keene said “We are delighted to be hosting 250 delegates from around New Zealand to the Bay of Islands for the 2025 Annual Conference. We’re thrilled to be partnering with the team from Northland Inc to promote the region to New Zealand’s largest and most prominent tourism business who sell the destinations spectacular landscapes, visitor experiences and hospitality to international visitors.”

The conference delegate profile features industry sector business owners, managers and international sales and marketing representatives who work in our key visitor markets offshore to promote destination New Zealand and its visitor proposition in a highly competitive global environment.

Delegates make up Inbound Tour Operators (who bring in 60% of international visitors to NZ), accommodation providers, activity and attraction operators, transport operators and businesses that provide tourism services to the visitor economy and regional tourism organisations.

Tania Burt, Head of Tourism and Communications Northland Inc says, “Te Tai Tokerau Northland looks forward to warmly welcoming delegates to the 2025 TECNZ Conference in the Bay of Islands. Northland is home to iconic destinations and undiscovered gems and has much to share with visitors to our region. We have world-class operators who are putting Northland in the international spotlight, so it is timely we can host our fellow TECNZ members and industry peers to share more of our region.”

ENDS

Winners Announced for the 2024 TECNZ Tourism Operator of the Year Awards and YoungTEC Awards

Four of New Zealand’s top tourism businesses, one industry leader and two promising YoungTEC individuals have been recognised as the best in the business at the Tourism Export Council of New Zealand’s (TECNZ) Awards dinner at their annual conference.

The prestigious and much sought after TECNZ Operator of the Year Awards are nominated and voted by members. They recognise excellence in terms of quality, professional development for team, health and safety, sustainability, business systems and outstanding visitor experiences.

New this year is the separation of small and large businesses in each category.

The YoungTEC Awards recognise outstanding efforts and contribution to the development of New Zealand’s tourism industry. They are based on an application and interview process supported by Tourism New Zealand and Air New Zealand of which we are grateful for their support and involvement.

“Congratulations to our 2024 winners” says TECNZ Chief Executive, Lynda Keene. “The calibre of nominations this year was outstanding with some very close scoring.”

The 2024 TECNZ and YoungTEC Awards were presented by Chief Executive Lynda Keene and Scott Mehrtens during the TECNZ Conference at Ascot Park Hotel, Invercargill.

 The winners of the 2024 TECNZ Operator of the Year Awards are:

• Small Inbound Operator of the Year Award – New Zealand Educational Tours
• Large Inbound Operator of the Year Award – Southern Crossings
• Small Allied Operator of the Year Award – Gannet Safaris Overland
• Large Allied Operator of the Year Award – RealNZ
• Good Sort – Cecil Potatau

 The winners of the 2024 YoungTEC Awards are:

•  YoungTEC Emerging Leader – Charlotte Brady
• YoungTEC Rising Star – William Cannon

International Tourism Industry Comes to the Great South

The Tourism Export Council of New Zealand (TECNZ) with 300 plus delegates is delighted to bring their annual conference in Invercargill this week for the very first time in its 52-year history to discuss all things relating to international tourism and its future.

Chief Executive of the Tourism Export Council of New Zealand Lynda Keene said, “It’s great to be here and our thanks the Great South team for a great pitch to bring the conference to the region.

The tourism industry’s recovery has gone well over the past two years achieving 82% of pre-Covid international visitor arrivals. There is still more work to do to attract more holiday arrivals but we’re heading in the right direction. The international tourisms sector is close to regaining its spot as the countries’ largest export earner (forecast to be year-end March 2026) and the conference provides a timely opportunity to discuss the important issues facing the industry and look ahead to the future.”

Chief Executive of Great South, Chami Abeysinghe said the region is delighted to be hosting the TECNZ conference in Invercargill. We’ve heard many delegates haven’t been to Invercargill for 30 years, so this has been a great opportunity to showcase the Great South visitor offering to key influences and decision makers that can drive international visitation for us. We’re keen to share the great Southern hospitality we know we have with delegates to help create a successful and memorable conference for everyone. Haere mai, a very warm welcome to Waihōpai Invercargill and Murihiku, Southland region.

The TECNZ Tourism Trade Event will again feature at this year’s event. The purpose of the trade event is to provide a platform for tourism businesses to inform Inbound Tour Operators (ITOs) on updates and developments to their visitor experiences and products for international travellers to be sold offshore.

Opening the conference hosted by MC Mike McRoberts will be Hon Matt Doocey Minister of Tourism and keynotes from Brad Olsen: Chief Executive and Principal Economist at Infometrics. Chris Bull, Engineer from SpaceOps NZ is the conference local speaker and Dave Wild, ‘Navigating the New Frontier’ both presenting a futuristic view of tourism.

On day two delegates will also hear the latest in international tourism trends from Tourism New Zealand and inbound tourism leaders working in the UK, Europe, North America, Australia, China and Asia markets with the latest strategy and insights from Tourism New Zealand.  Other speakers include Duncan Roy from Interislander, Mike Nolan from the Disabled Persons Assembly and a YoungTEC panel sharing insights on attracting a younger workforce.

ENDS

Media contact:

Lynda Keene, phone: 027 66 44 836

We have been flying aircraft in the Mount Cook and Westland National Parks since 1970. The same  pioneering family, still own and operate the company. Over the last 50 years we have grown from a single aircraft operation to a fleet of 8 aircraft. We are one of New Zealand’s largest scenic flight airlines.

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Our family has been living & farming in the Mackenzie high country since 1928 and have owned and managed land since 1935. We farm a combined total of 50,000 acres of land split across Two Merino sheep stations, Mt Hay & Balmoral Stations.

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