Motels hit by fall in domestic tourism

Monday 12th July 2010

Stays in tourism accommodation in May fell 6% from a year earlier to 1.9 million guest nights, fuelled by a sharp 10% downturn in domestic demand.

Motels suffered most, with stays down 11% and backpacker and holiday park stays also down.

Hotel stays were up 3% from May last year, although Auckland (up 6%, or 22,000 guest nights) was the only region to record increased demand. Wellington (down 11%) and Canterbury (down 8%, 27,000 guest nights) saw the biggest declines in occupation.

Statistics New Zealand says the trend had previously been increasing since December 2008 but appears to have decreased in recent months, although it warns the figures should be treated with caution until more data is available as initial estimates may be revised.

The South Island suffered the most with guest nights down 9% while North Island guest nights were down 4% to 1.2 million.

Demand from international travellers held steady, consistent with flat visitor arrival numbers, at 0.7 million guest nights.

They accounted for 35% of guest stays in the North Island and 47% of South Island stays.

Businesswire.co.nz

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