Insights - 12 September 2025
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MAJOR EVENTS DRIVE RECORD RESULTS FOR
HOTEL INDUSTRY
Preliminary data from property analytics provider CoStar Group shows two major events supported by Destination NSW—the TCS Sydney Marathon and the British and Irish Lions Tour—helped drive hotel performance to new heights in August.
Average daily rates and revenue per available room (RevPAR) in Sydney reached record levels for the month, while hotel occupancy was the highest August result since 2018, peaking at 95.1 per cent on the night before the TCS Sydney Marathon.
British and Irish Lions fans also contributed to regional destinations throughout July, with high-single to double-digit RevPAR gains in Sydney surrounds.
These results reinforce two key pillars of the NSW Visitor Economy Strategy 2035: growing through major events and unlocking more than 40,000 new accommodation rooms to make it easier for visitors to stay and experience the best of NSW.
NEW REPORT: NIGHT-TIME ECONOMY UNLOCKS BILLIONS
The NSW Productivity and Equality Commissioner has released a review into the barriers holding back the state’s 24-hour economy.
Key recommendations included streamlining processes to make it easier to start and grow night-time businesses and to run events after dark and making it easier for people to get around and enjoy everything the night has to offer. The report also suggested more clear communications around existing initiatives such as the vibrancy reforms, so businesses and councils understand how they can benefit from them.
In 2023-24 industries associated with the core night-time economy in NSW generated more than $56 billion in turnover.
FIRST PERTH FLIGHT LANDS IN NEWCASTLE
The first Qantas flight from Perth to Newcastle landed this week, following the route’s announcement in May.
Backed by the NSW Government’s Aviation Attraction Fund, delivered by Destination NSW, the service comes at a transformational time for Newcastle Airport, which will officially open its new international terminal later this month.
With three flights per week, the Perth-Newcastle route will provide a significant boost to the Hunter and Mid-North Coast visitor economies.
INTERNATIONAL ARRIVALS: JULY 2025
New Australian Bureau of Statistics data shows there were 743,210 short-term visitor arrivals to Australia in July 2025, up 12.8 per cent year-on-year. The top three source markets were New Zealand (122,910 trips), China (112,900) and the United Kingdom (56,460). NSW was the most popular destination for short-term visitors. Its top three source countries were China (44,370), New Zealand (34,290) and the United States (23,040).
RISING INTERNATIONAL TOURISM DEMAND
New UN Tourism data shows almost 690 million people travelled internationally between January and June 2025, up 33 million year-on-year. The latest edition of its World Tourism Barometer shows arrivals in Asia and the Pacific grew 11 per cent during the period to 92 per cent of pre-pandemic levels. Despite global uncertainty, UN Tourism said travel demand was expected to remain resilient throughout 2025.
TRANS-TASMAN ROUTES BOOSTED
The Qantas Group has announced a major trans-Tasman expansion, including Jetstar's Auckland to Sydney flights increasing from up to eight per week to up to 12 per week (79,000 additional seats per year) and Qantas adding up to two flights per week between Christchurch and Sydney during February and March (5000 additional seats).
SECOND SAY G'DAY CAMPAIGN SUCCESS
Tourism Australia's new Say G'Day marketing campaign has delivered more than $56 million in earned media value during the first three weeks since its launch, despite only running in two overseas markets. The strong start builds on pre-launch testing, which placed the campaign among the top one per cent of ads for effectiveness.
WEBINARS: FUTURE READY DIGITAL SKILLS
Registrations are open for Destination NSW's Digital Skills Future Ready webinar series, delivered in partnership with Tourism Tribe. The initiative includes eight webinars and limited places for one-hour coaching sessions for eligible businesses. Digital Skills Future Ready will support businesses to upskill in digital marketing, AI and online distribution.
ABORIGINAL TOURISM ROUND TABLE
The next NSW Aboriginal Business Roundtable will be held in Port Stephens on 9 October, with a focus on Aboriginal tourism and the visitor economy. The event will be held at Murrook Cultural Centre in partnership with Destination NSW. NSW Aboriginal Tourism Operators Council Chair Dwayne Bannon-Harrison will deliver the keynote address.
SUPPORT FOR KOALA NATIONAL PARK
The NSW Government has confirmed the next major step in delivering on an election commitment protecting koalas in the wild, announcing the proposed boundary for the Great Koala National Park, alongside a comprehensive plan to support workers, industry and local communities.
SYDNEY AIRPORT PARTNERS WITH SEABIN
Sydney Airport, in collaboration with environmental technology company Seabin, is working on a five-year plan for the analysis, removal and reduction of plastic pollution in waterways flowing through to the airport. The project will identify plastic pollution across three sites, beginning with Engine Pond East.
WESTERN SYDNEY TOURISM AWARDS
Congratulations to the winners of the Western Sydney Tourism Awards 2025. Hosted by Western Sydney Tourism Taskforce NSW Inc, the event brought together the region's visitor economy stakeholders for a night of celebration and recognition. Destination NSW CEO Karen Jones joined Minister for Jobs and Tourism Steve Kamper on stage to present key awards.
PLANS FOR PORT KEMBLA REZONING
The world’s current largest industrial land transformation project has taken a major step forward, with a rezoning proposal released to revitalise 200 hectares of land at BlueScope’s Port Kembla site. Now on public exhibition, the proposal outlines plans to rezone 200 hectares of underutilised land on the southern edge of the Port Kembla Steelworks, including preserving several historic buildings.
CRUISE WOLLONGONG PROSPECTUS LAUNCHES
Wollongong City Council has released its Cruise Wollongong: The ideal location for a third cruise terminal and turnaround port in NSW prospectus. Launched at a recent Cruise Wollongong Taskforce meeting, attendees included Member for Wollongong Paul Scully, NSW Tourism Association, Destination Wollongong, Destination Sydney Surrounds South, RDA Illawarra, Business Illawarra and Port Authority of NSW.
TOURISM AUSTRALIA SIGNS CRUISE MoU
The Australian Cruise Association and Cruise Lines International Association have signed a new Memorandum of Understanding with Tourism Australia, extending a partnership established in 2023. The three organisations will work together to grow inbound demand and boost Australia as a premier cruising destination for high-yield travellers, with a focus on growing overnight visitor expenditure.
SXSW SYDNEY SCREEN FESTIVAL HEADLINERS
SXSW Sydney has unveiled its Screen Festival line-up—and it’s stacked with international premieres and headline films. Opening the festival is Springsteen: Deliver Me from Nowhere, starring Jeremy Allen White as Bruce Springsteen in a biopic about the making of his iconic album Nebraska. SXSW Sydney (13–19 October 2025) is proudly supported by Destination NSW.
NEW REPORT: LIVE COUNTRY MUSIC BOOM
New research by the Country Music Association of Australia shows revenue from live country music performances has surged past 2019 levels. The Valuing Australian Country Music 2025 report estimates country music generated $1.09 billion during the 2024-25 financial year. The project was supported by Create NSW, Creative Australia and Tamworth Regional Council.
DRONE SHOW TRIAL FOR DARLING HARBOUR
Drones are lighting up the night in Darling Harbour every Saturday in September as part of a new entertainment trial. The trial is being delivered by Aura Drone Shows in partnership with the NSW Government and precinct partners. The first show attracted 20,000 people.
AUSTRALIA'S MOST TRUSTED TRAVEL BRAND
Roy Morgan has announced the winners of its Trusted Brand Awards for 2025, with Virgin Australia named Travel and Tourism Brand of the Year. The awards recognise brands that Australians interact with that have maintained consistently high levels of trust over the last 12 months.
VISITOR ECONOMY WEEKLY HIGHLIGHTS
ECONOMY REBOUNDS ON QUARTERLY BASIS: The Australian economy grew in the June quarter by 0.6 per cent, while annual inflation eased to the lowest rate since the March quarter 2021. Learn more
BUSINESS TURNOVER SURGES: New Australian Bureau of Statistics (ABS) data shows business turnover in the accommodation and food services sector rose 10.5 per cent in the year ending July 2025. Learn more
APPLICATIONS CLOSING SOON FOR LIVE PERFORMANCE GRANT PROGRAM: The NSW Government is providing up to $80,000 in funding to help venues cover sound equipment, staging, marketing and performer costs. Applications close 23 September 2025. Learn more
NEW AVIATION CONSUMER PROTECTIONS: The Australian Government is seeking submissions on the design of new aviation consumer protections to ensure greater accountability of airlines and airports. Learn more
TRANSFORMATION OF STATE LIBRARY FORECOURT: City of Sydney has approved the NSW Government's plans to create a public space with new native trees and plants, public art, and a central lawn plaza for library events and community activities. Learn more
RIVERINA GOOD FOOD WEEKEND: The Riverina Long Lunch & Good Food Weekend will be held from 20–21 September 2025, proudly supported by Destination NSW. Learn more
PRIMAVERA 2025: YOUNG AUSTRALIAN ARTISTS OPENS: The annual Primavera exhibition has opened at the Museum of Contemporary Art Australia, showcasing the work of Australian artists aged 35 and under. Learn more
AUSTRALIA'S FIRST 25HOURS HOTEL TO OPEN IN SYDNEY: The Olympia will open its doors on Oxford Street, Paddington, on 25 September 2025. Learn more
FOLLOW DESTINATION NSW ON LINKEDIN: Stay up to date with all the latest Destination NSW initiatives by following us on LinkedIn. Click here
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