NSW GOVERNMENT ANNOUNCES PLAN TO GROW
VISITOR ECONOMY TO $91 BILLION

As part of the review of the NSW Visitor Economy Strategy 2030, the NSW Government released a summary report on 8 October 2024, which includes recommendations for a more ambitious approach to the state's visitor economy growth. 

The new stretch goal of $91 billion in annual visitor expenditure by 2035 is a 40 per cent increase on the previous goal, with $44 billion (48 per cent) of the $91 billion expected to be spent in regional NSW. 

This ambitious growth trajectory will further cement tourism as a critical pillar of future growth in the NSW economy, driving up to 150,000 new jobs by 2035. 

The next decade of growth in the visitor economy will be underpinned by a potential increase of 8.5 million airline seats due to the new Newcastle Airport international terminal opening in 2025, the opening of the Western Sydney International Airport in 2026, increased capacity at Sydney Airport and growth in cross-border arrivals through Canberra Airport and Gold Coast Airport.

OPPORTUNITIES AND CHALLENGES 

The review sets out a series of recommendations for achieving the stretch goal including:

• Prioritise the NSW Visitor Economy Strategy as a government-wide economic focus.
• Anchor the Visitor Economy Strategy around ‘experience tourism’.
• Celebrate First Nations culture and businesses through authentic visitor experiences.
• Increase accommodation quality across regional NSW and quantity in Greater Sydney.
• Boost aviation capacity in key domestic and international markets.
• Leverage leisure events to grow seasonal visitation and showcase NSW’s strengths.
• Dominate Australia’s business events sector.
• Capitalise on NSW’s status as being number one for international students.
• Foster a diverse, skilled visitor economy workforce.

The review also highlights key challenges including:

• The need for 40,000 extra hotel rooms, a 41 per cent increase on what is currently available.
• Significant worker and skills shortages in roles such as tour guides and chefs.
• Need for increased business event facilities in Sydney, Western Sydney and priority regional areas.

NSW VISITOR ECONOMY FORUM 2024

Last week's NSW Visitor Economy Forum at the ICC Sydney was attended by more than 600 industry leaders, experts and stakeholders. Click the video above for a taste of the event. 

Some feedback from attendees included:

"Excellent day, relevant information and great opportunities to network. Thank you!"

"The event was brilliant.  I try to keep myself up to date by reading industry publications, but there is nothing like hearing what the government can share with us from their level and understanding."

RAPID GROWTH IN EXPERIENCE TOURISM

A new report by global consulting firm McKinsey & Company has highlighted rapid growth in the experience tourism market, which offers a more than $1 trillion opportunity.

Younger generations are particularly eager to splurge on experiences, suggesting the sector will continue to expand.

The report said: “More and more, the possibility of life-changing travel moments motivates people to book a trip.”

VISITOR ECONOMY WEEKLY HIGHLIGHTS

NSW GOVERNMENT LAUNCHES ASEAN MARKET UPDATES: The first of four briefings on ASEAN markets for NSW businesses was held in Western Sydney on 9 October 2024, providing insights on market trends and doing business in the ASEAN region. Learn more

PUB MEALS UNDER $20 AT AHA NSW AWARDS: Dozens of eateries across NSW have entered the category that celebrates quality value meals, responding to the needs of consumers. Learn more

REGIONAL TOURISM GOVERNANCE UPSKILLING OPPORTUNITIES: Australian Regional Tourism (ART) has partnered with the Australian Institute of Company Directors to offer ART members short courses to build their understanding of governance. Learn more

GLOBAL INDIGENOUS TOURISM GROWTH: The World Travel & Tourism Council says in a new report that indigenous tourism will be worth over $99 billion to the global economy by 2034. 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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