Business Plan 2013/201
2013/2014
/2014
“To bring together people, information and
investment in creative ways to deliver leading
destination marketing, management and regional
information services”
Business Plan
Updated 18 November
November 2013
1
Contents
Executive Summary ……………………………………………….………………………….4
1.0
Introduction .............................................................................................................. 7
2.0
Business Profile: About Nelson Tasman Tourism .................................................. 8
3.0
Nelson Tasman Tourism – Key Marketing Activities ............................................... 8
3.1
3.2
3.3
3.4
3.5
3.6
3.7
4.0
i-SITEs and Visitor Centres .................................................................................... 19
4.1
4.2
4.3
4.4
4.5
4.6
5.0
Destination Marketing …..……..……………………………………………… 8
International Marketing ..................................................................................... 9
Domestic Marketing – Convention & Incentive Sector ... ....................... .......12
Website & Social Media Marketing................................................................. 17
Nelson Tasman Destination Management Goals 2013/2014........................ 18
Public Relations Activities …………………………………………………… 18
Nelson Tasman Tourism Performance Goals 2013/2014............................. .18
Role & Function……………………………………………………………… 19
National Trends in 2012………………………………………………………..19
The Future of i-SITEs in New Zealand……………………………………..….20
NTT i-SITE Performance 2009-2012 ........................... ………………... .. 20
Nelson Tasman i-SITE Performance from July 2012 – 30 Jun 2013 ……..24
Nelson Tasman i-SITE Changes in 2013-2014 ………………………………24
Corporate, HR, Finance & Information Technology .......................................... …25
5.1
5.2
5.3
5.4
Corporate………………………………………………………………………..25
Human Resources…………………………………………………………… ..25
Information Technology………………………………………………….… …25
Finance…………………………………………………………………..…… ..25
6.0
Risk Management…. ............................................................................... ….…. . 26
7.0
Governance …………………………………………… ……………………….…..27
Table 1.0
Table 2.0
Table 3.0
Table 4.0
Table 5.0
Table 6.0
Table 7.0
Table 8.0
Summary of International Marketing Activities and Timeframes of Investment
Comparative Market Share of Total New Zealand Events (Conference) Market
Summary of Incentive & Convention Marketing & Timeframes of Investment
i-SITE Revenue Gross Sales
NTT i-SITE Sales per Country & Average Sale per Transaction Jan-Dec 2012
NTT i-SITE Booking Sales Performance 30 June 2013
Net Financial Forecast for 2013/2014
Director Profiles
Graph 1.0 Trends in MICE Number of Events by Event Type
Graph 2.0 No. Events by Event Type and Event Size
Graph 3.0 NTT i-SITE Gross Sale Performance 2009-2012
Graph 4.0 Nelson i-SITE Gross Sale Performance per Sector 2009-2012
Graph 5.0 Golden Bay i-SITE Gross Sale Performance 2009-2012
Graph 6.0 Murchison Visitor Centre Gross Sale Performance 2009-2012 ...........................
2
Appendix A:
Appendix B:
Appendix C:
Appendix D:
Appendix E:
International Marketing Group Membership................................................ 30
Convention Marketing Group Membership ................................................. 31
RTO Comparative Analysis Guest Nights & Funding Levels……………...32
Nelson Tasman Regional Tourism Estimates: Year ending Mar 2012……34
Human Resources & Organisation Chart .................................................... 41
3
EXECUTIVE SUMMARY
The 2012/2013 year has been a challenging one for the national tourism industry as well as for
Nelson Tasman Tourism (NTT). The global economic climate from traditional markets continued
to impact on tourism despite the increases from emerging markets such as China and South East
Asia. It will take 12-24 months for Nelson Tasman to see the benefits from emerging markets
based travel trends. Feedback from the UK, USA and European markets in June suggest these
markets may be turning into a more positive direction. From a domestic perspective it has taken
longer for the Canterbury market to recover than first thought from the earthquake effects.
Canterbury produces 70% of the region’s domestic market visitation and we continue to feel
these effects as investment in homes and businesses take priority over holiday and leisure
activities. The North Canterbury drought may also influence decisions by farmers to reduce
holidaying in Kaiteriteri and Golden Bay.
YTD May 2013 the Nelson Tasman region is slightly behind the national average being down 2.5% total guest nights compared to the national May 2013 of 0.8%. Internationally the region is
tracking -4.6% compared to the national average of 0.3%. Domestically the region over the twelve
month period produced a -1.3% result compared to a national result of +1.1%. (Source: Statistics NZ
March 2013).
From a business perspective, the majority of operators in the region have reported they were
busier in the summer of 2012/2103 (compared to 2011/2012) and have seen an increase in
visitors. The region has seen a higher number of French travellers this summer and the German,
UK/Ireland, USA and Australian markets have remained the region’s main source of international
visitors (Source: i-SITE sales). Canterbury, Auckland and Wellington remain as key domestic markets.
National i-SITE trends with declining income and foot traffic continue to be a concern.
In the 2013/2014 year, NTT proposes to cease management of the Golden Bay i-SITE and
Murchison Visitor Centre and invest more funds in destination marketing activities. The
changeover period is expected to be 1 May 2014.
This Business Plan outlines key objectives and activities NTT will undertake to ensure we
capitalise on opportunities and ensure we do not lose momentum or market share in the areas
we’ve been working in over the past twelve months.
In 2013/2014 the key objectives will be to:
•
Carry-out destination marketing activity focused on;
o international trade and consumer marketing
o incentive and domestic leisure marketing
o business tourism – conventions, conferences and association business
o development of collateral - web, social media, print and images
•
Operate the Company professionally and prudently within budget
•
Operate the i-SITEs at the lowest possible net cost within i-SITE NZ standards, at least
within budget
•
Employ, retain, upskill and highly value the staff who help realise the value NTT delivers
•
Deliver maximum value to the region’s ratepayers and the council shareholders who
invest in the Company on their behalf
4
•
Provide the region’s tourism community with leadership and strategic planning and assist
with development of an overarching regional brand
Key themes or clusters NTT will continue to promote includes: national parks, outdoor and
adventure activities, culinary tourism, conference tourism, cycle tourism and arts and crafts. NTT
will continue its partnership with the Nelson Airport, Air New Zealand and Port Nelson to attract
cruise ship business (four ships booked in 2014).
Seasonality is a one of the major challenges the region faces and all domestic activities are
developed to address this issue.
A high level of competition for international visitors and competition from other RTOs means it will
be another tough year for local tourism operators and the company. Increased promotion in the
UK, USA, German, Europe and USA markets will be critical in ensuring Nelson Tasman does not
lose market share as the economic climate in source markets continues to improve.
From a national perspective, international markets that are showing good visitor growth are
China, India, Malaysia, Singapore, Thailand, Indonesia and Hong Kong. The larger demographic
from these markets (55+ years old) are travellers that traditionally will be booked on organised
coach tours which don’t include Nelson Tasman at the present. The growing demographic (28-50
years old) are high users of technology and tend to book online or utilise technology on the
ground in New Zealand. The honeymoon, friends and family market from India tend to travel more
independently but will use an inbound wholesaler to develop their FIT itinerary. i-SITEs are seeing
clusters of friends (both male and female) travelling independently that are using i-SITE services,
but it is a very small market at the moment. However, there is potential to grow the profile and role
of the i-SITE network to this demographic.
The future of some regional i-SITEs and the ability to meet budgeted income streams is difficult to
predict. The number of visitors from traditional markets that use some regional visitor centres is
down due to the global financial crisis. Continuing upgrades and implementation of technology
for people to access information and transact also affects numbers using the centres as the
primary source of information on the ground in the region. The growth of Online Travel Agencies
(OTAs) is affecting accommodation sales and i-SITEs need to adapt to try and direct
accommodation bookings to www.nelsonnz.com so we can still receive a booking fee. Most
visitor centres around New Zealand (and in Nelson Tasman), are seeing fewer visitors using
information centres to book activities as well as operators exploring other ways of marketing their
businesses. This relates to a downturn in traditional markets that are regular users of i-SITEs.
What’
What’s happening this year?
year?
NTT will continue promotion in traditional markets as outlined in the previous calendar of activities
and also invest in non-traditional markets like India, China and South East Asia. The purpose of
this is to attract free independent travellers (FIT), small group tours & family groups, and the
luxury incentive sector. In addition, NTT will continue its investment in the cruise ship industry and
super-yacht industry. The cruise industry is the major growth sector of the New Zealand tourism
industry and regions that host cruise ships report steady growth in the activity/attraction and
food/wine industries as passengers experience the regional offering on a half or full-day
excursion. (Source: Cruise NZ 2013)
From a domestic perspective, the new Rutherford Hotel’s conference facilities and proposed
Trafalgar Centre Northern Extension will drive convention and incentive marketing and promotion
5
in the luxury sector, cycle tourism and culinary tourism will increase profile in the domestic
market.
The Nelson Tasman region is a recognized ‘Lord of the Rings’ (LOTR) and ‘The Hobbit’ film
location and will gain critical exposure and profile to key international markets with continued
launches of the second and third The Hobbit movies. It is hoped key relationships with Hobbiton
Movie Set Tours in Matamata and Positively Tourism Wellington will result in Nelson Tasman
seeing up to 20% of Hobbit fans visit our region on organised and independent travel options.
NTT will continue to strengthen its relationships with key industry players like the Nelson Regional
Development Agency, Nelson Airport Ltd, Air Nelson, Port of Nelson, Nelson Tasman Chamber of
Commerce, Nelson Marlborough Institute of Technology, Motel Association of New Zealand,
Hospitality Association of New Zealand and other key economic driver industries like forestry,
fishing, farming and horticulture and work closely with business leaders to promote the region as
a great place to live, work and play in.
Possible risks affecting the organisation’s ability to reach targets include the continuing global
financial crisis, continued unsettlement in Christchurch and the long-term effect on visitation
numbers to the South Island. To mitigate these risks the organisation will continue to be active in
markets it sees can provide opportunities.
In the 2013/2014 year, every effort will be made to ensure each of the goals is achieved with
maximum financial outcome and achievement of key performance indicators.
Cost Centre
Tourism Nelson Tasman Ltd
Tourism Nelson Projects
Nelson i-SITE
Golden Bay i-SITE
Murchison Visitor Centre
Transition costs/Regional Tourism Strategic Plan
Total
Net Profit Forecast $
255,517
(136,895)
1,778
(46,592)
(62,782)
-2,255
$8,771
Provided we can resource the organisation appropriately to achieve the objectives and meet
expectations from stakeholders we can face the future with a degree of confidence.
6
1.0
Introduction
This business plan outlines the purpose, structure, operating environment, functions and activity
carried out by NTT. It provides a platform to link with other documents such as the company’s
Statement of Intent, Company Strategic Plan, the Regional Tourism Strategy 2012-2022 for the
Nelson Tasman region and Councils’ Long Term Plans.
1.1
Operating Environment
Environment
In preparing the Business Plan for the 2013/2014 year, some of the recent relevant aspects of the
wider operating environment for tourism have been taken into account, such as;
•
•
•
•
•
•
•
•
1.2
The global economic situation decline affecting international visitors from traditional
markets
The high AU$ in competing destinations
The situation in Canterbury with the drought and earthquake rebuild programme and the
impact this may continue to have on visitor trends over the next two years
Limited air travel competition to/from Nelson from domestic locations, resulting in a
perception prices are higher than other domestic locations
Increasing competition from other regions to get some of Nelson Tasman’s market share.
“The Hobbit: The Desolation of Smaug” movie release in December 2013
Potential to attract visitors from Indonesia, Singapore, Hong Kong Thailand, India and
China
Potential to develop niche market promotions to generate more visitors:
o Cycleway trails Tasman Great Taste Trail and the Dun MountainTrail
o New conference facilities in Nelson
o Support for cruise sector development
o Support for culinary tourism
o Support for film tourism
o Promote the luxury sector more actively e.g. fly fishing in Australia/USA
o New promotion and strategy with incentive marketing
Nelson Tasman Tourism – Vision for the Region
“That tourism in Nelson Tasman is vibrant and sustainable, providing a major contribution
to the economic, social, environmental and cultural development of the region.”
1.3
Nelson Tasman Tourism – Company Mission
To bring together people, information and investment in creative ways to deliver leading
destination marketing, strategic destination management and regional information
services.
7
2.0
Business Profile: About Nelson Tasman Tourism
2.1
Background
Role of Regional Tourism Organisations
NTT is a regional tourism organisation (RTO), one of 29 throughout New Zealand. It is structured
as a publicly-owned company or Council Controlled Trading Organisation (CCTO), with two equal
shareholders, Nelson City Council and Tasman District Council.
The primary areas of activity are to promote the destination through marketing activities,
encourage and support destination management activities and support tourism and business
development initiatives.
3.0
Nelson Tasman Tourism – Key Marketing Activities
Activities
3.1
Destination Marketing
3.1.1
Market Profile
NTT’s key focus is to attract the long staying, high-spending independent travellers, incentive and
group tour travellers, the youth market and luxury traveller.
Four key target groups in domestic and international markets are:
Travellers with disposable income from age 30-70 years old that appreciate a diverse
landscape and range of activity and attractions on offer
The backpacker market group from age 18-35 years old that are keen to actively engage
with activities and support the region with tourism activity and possible seasonal
employment
Incentive, convention and association market to drive increased activity in this segment
Event development and marketing particularly in sports sector for national events
3.1.2
Market Segments
International:
o
o
o
o
o
o
Key focus - UK, Germany, USA, other Europe, Australia
New focus – China, India, South East Asia (luxury and FIT market)
Continued focus on cruise ship market
Continued focus on culinary tourism – Australia
Continued focus on cycle tourism – UK, Europe and Australia
Stronger focus on luxury – across all markets, particularly fly fishing and rest &
relaxation.
Domestic:
Domestic
o Primary focus – incentives, conventions and association markets, events, luxury,
culinary tourism, cycle tourism and adventure/outdoor activities
o Secondary focus on art/craft, beaches, golf, wellness
8
3.1.3
Marketing Communication Channels
•
Active participation on www.newzealand.com and significant international media hosting
•
Public relations activity through traditional media channels - print advertising and
editorials in lifestyle and business magazines.
•
Investigate investment in a responsive accessible website www.nelsonnz.com
•
Ongoing refocus from international/domestic trade communications to consumer direct
marketing, via the web, google ads and using social networking channels
•
On-going work targeting Auckland and Wellington markets through “Facebook, Trade Me,
Treat Me, GrabOne, Living Well” channels etc.
3.2
International Marketing
Key strategies to attract international visitors to the region are:
i.
ii.
iii.
iv.
v.
vi.
vii.
viii.
ix.
x.
xi.
Hosting international media and trade and leveraging off the exposure in key markets
Market visits to UK, Europe, USA and Australia (domestic) tour wholesalers, participate in
webinars that are relevant
Target high spending incentive and small group travel groups in South East Asia, China,
India and the Middle East
Target mining industry employees with direct flights Perth-Christchurch Dec 2013
Target inbound tour wholesalers in New Zealand that have client/region match
Target offshore tour wholesalers that have client/region match
Target cruise IBOs and shipping agents to attract more ships
Target backpacker and youth industry agents to attract more visitors
Develop PR and editorial that create interest for outdoor, fishing, cycling, food and
wine/beer tourism and major sporting and film events
Joint initiatives with industry operators
Develop cycleways commissionable product for trade
3.2.1 Market Assessment and Future Activity
In long-haul markets NTT will work with Tourism New Zealand (TNZ) alongside Destination
Marlborough within the International Marketing Alliance (IMA) structure. In Australia NTT will work
alone and on occasion with other regions, undertaking sales calls to distributors, communicating
with media and TNZ, and increasingly participating in consumer promotions.
NTT will continue to be present in traditional markets: the United Kingdom, Germany, Australia,
Netherlands, USA and Switzerland. The key selling features in the past have been activities in the
national parks and an interest from the UK/European/USA markets in the envied lifestyle in the
region. We will maintain activities in these areas.
NTT will explore new opportunities in South East Asian markets, India, China and the Middle East
as they arise. These countries represent some medium-long term potential to develop into major
markets, particularly with potential new air-links with Southern China possibly flying into
Christchurch and Wellington and Garuda Airlines increasing air-links to New Zealand. Markets are
beginning to show growth at a national level which is encouraging for the upcoming season.
9
The Japanese market has traditionally been keen to do hiking, tramping and outdoor
experiences. We will focus on the new Air NZ Tokyo/Christchurch three flights per week schedule
for FIT potential. The region has a local Japanese inbound wholesaler in the region that is active
in the education and leisure independent market. We will support NMIT with collateral and
intelligence with marketing to international markets and help to develop a food tourism market
within New Zealand/Australia.
Investing resources into hosting international media will continue as this provides the most
effective return on investment for profiling the region in key markets. The Nelson Tasman region is
a recognized Lord of the Rings & The Hobbit Movies film location and will gain critical exposure
with the release of the The Hobbit Movies over the next two years. NTT will invest considerable
media resource to support TNZ to leverage and maximise media coverage of what the region has
to offer prospective visitors. We’ll conduct a survey with key operators to find out if they are
seeing these niche travellers over a period of 12-months.
Port Nelson, Nelson City Council and NTT will continue to drive relationships in the small and
larger cruise industry sector. Recent Port business modelling suggests Port Nelson can handle
larger ships >1000 pax and this is currently being explored for the 2015 summer.
When reviewing visitor trends from i-SITEs in the region, it is clear one of the major demographics
using the centres is from the backpacker and youth sector. This will continue to be a significant
visitor market for the region and therefore investment is required to ensure we do not lose this
market to competing regions. This sector is a high user of social media and technology. It is
important NTT keeps up-to-date with trends to ensure we capitalise on new opportunities. In
addition, this demographic are active participants in many of the region’s operator activities.
3.2.2 International Marketing Group
NTT has been operating the International Marketing Group (IMG) for 13 years with the objective of
collectively promoting the Nelson Tasman region and partners through the international tourism
distribution system and has 28 members. An annual calendar of scheduled trade marketing
activity is undertaken by NTT’s International Marketing Manager on behalf of member businesses.
This activity includes organized events by NTT as well as third party events organized by TNZ and
promotion agencies. Throughout the year, there is additional marketing activity, such as media
visits, third party consumer campaigns, and online opportunities. Some of this activity will allow
members to participate for added profile.
The level of value obtained from membership of the IMG is generally directly related to the level of
participation in the IMG activity programme.
A summary which also shows the timing of NTT’s international marketing programme for 2013/14
is detailed on the following page. Appendix A has IMG membership details.
10
Table 1.0: Summary of International Marketing Activities and Timeframes of Investment
Month 2013/201
2013/2014
/2014
July
August
September
October
November
December
January
February
March
April
May
June
Activity
IBO Hosting
TNZ Media/Trade Hosting
SOUTH China Investment
TEC Conference
Perth trade & front-liner training
IBO Hosting
TNZ Media/Trade Hosting
TNZ India Kiwilink offshore trip
IBO Hosting
TNZ Media/Trade Hosting
IBO Hosting
TNZ Media/Trade Hosting
TNZ China Kiwilink offshore trip
IBO Hosting
TNZ Media/Trade Hosting
The Hobbit media hosting
Online training
Cruise support
IBO Hosting
TNZ Media/Trade Hosting
The Hobbit media hosting
Cruise support
IBO Hosting
TNZ Media/Trade Hosting
The Hobbit media hosting
TRENZ planning
Cruise/super yacht activities
IBO Hosting
TNZ Media/Trade Hosting
Cruise/super yacht activities
IBO Hosting
TNZ Media/Trade Hosting
Australia trade visits
TRENZ planning
Official Visitor Guide preparation
IBO Hosting
TNZ Media/Trade Hosting
TNZ UK/Europe Kiwilink offshore
Official Visitor Guide preparation
TRENZ preparation
IBO Hosting
TNZ Media/Trade Hosting
TRENZ post trade tours
Official Visitor Guide preparation
IBO Hosting
TNZ Media/Trade Hosting
Prep offshore visits and TRENZ follow-up
Meetings assistance
Total
Investment
$
$1,400
$5,900
$3,900
$13,200
$10,300
$5,500
$6,300
$5,800
$7,400
$12,600
$7,500
$2,600
$ 82,400
82,400
Industry forum held in September 2013, November 2013 and March 2014
11
3.3
Domestic Marketing – Convention
Convention & Incentive Sector
Key strategies to attract domestic visitors to the region are:
i.
ii.
iii.
iv.
v.
vi.
vii.
viii.
ix.
Continue activity with Convention Bureau
Target NZ Professional Conference Organisers (PCOs) and Association Groups
Target PCO and incentive agents in Australia and NZ
Hosting domestic media and leverage off the exposure in key markets
Promote Autumn/Winter activities in Auckland, Wellington and Christchurch
Develop cycleways product offering commissionable and direct bookings
Joint initiatives with industry
Regular updates and input into social media channels
Develop PR and editorial that create interest for outdoor, fishing, cycling, food &
wine/beer tourism and major sporting and film events
3.3.1
Seasonality Issues
NTT will implement the strategies above to assist the highs and lows of seasonality which the
region finds challenging. The past twelve months has seen a significant amount of resource
invested into the incentive, association and convention market. The new Rutherford Conference
Centre and cycle product will strongly enhance the region’s profile as a desired conference
destination.
3.3.2.
Convention Bureau Membership
NTT performs three key roles in helping members to get greater traction and business in this
market. The Bureau helps to:
1.
2.
3.
Market the region direct to the Meetings Incentive and Convention Event (MICE) market
and encourage organisers to make Nelson Tasman the destination for their next event.
Act as a one-stop-shop advisor to industry planners wanting contacts and advice on
hosting MICE events in the Nelson Tasman region.
Assist C & I members with bid proposals for conferences in the region.
The goals of the Convention Bureau are to:
Establish Nelson Tasman within the minds of conference organisers as a pre-eminent
conference destination which offers:
• good air access
• competitive venue capability
• a vibrant artistic culture
• accessible outdoor adventure
• quality food and wine
Increase the profile of Nelson Tasman as an attractive conference destination to the
corporate and association markets within New Zealand
Increase the profile of Nelson Tasman as an attractive incentive destination to corporate
markets within Australia and New Zealand
Raise awareness of venue/accommodation capabilities and accessibility of the region
Promote and encourage the use of members’ products/services to organisers of Nelson
Tasman conferences, creating value for members’ investment
Enhance the experience of conferencing in Nelson Tasman, for conference organisers
and attending delegates
12
Support and encourage potential improvements to our conference infrastructure, and
thereby create a more viable conference product
3.3.3
Market Assessment and Future Activity
The completion of The Rutherford Heritage Hotel’s multi-million dollar investment in expanding
their conference facilities (from 400-700 delegates) is a significant step in creating more interest in
Nelson as a serious convention, incentive and association destination. The March 2013
Professional Conference Organisers famil highlights the importance this new investment has with
driving more business in the lucrative conference, incentive and event market.
In October 2013, the $10.3 million investment by Nelson City Council to upgrade the northern end
of the Trafalgar Centre will complement the private sector investment by Rutherford Holdings.
This development is due for completion in February 2015.
3.3.4
Current Status of Nelson Tasman’s Convention Activity
In April 2013 the Ministry of Business, Innovation & Employment (MBIE) released the first newlook Convention Activity Survey for YE December 2012. In July 2013 they released YE March 2013
figures. This section is using data from YE March 2013 and cannot be benchmarked against
previous CAS results due to changes in formatting and categories. (Source: Convention Activity Survey,
MBIE YE March 2013)
Across all event types Table 2.0 shows on an annual basis Nelson receives 3.3% market share
and is placed 10th out of 13 regions for # single day Events, 10th out of 13 regions for # multi-day
events and 9th out of 13 regions for # delegate days. There has been no change in the total
number of events since March 2012.
•
•
3.3% of all events hosted in New Zealand
2.8% of all delegates attending an event in New Zealand
Table 2.0 Comparative Market
Market Share of Total New Zealand Events (Conference) Market
*Hamilton & Waikato, and Bay of Plenty joined the programme in July 2011 so only three quarters of activity are recorded in the year
ended March 2012. **Marlborough joined the programme in July 2012, so only three quarters of activity are recorded.
13
Auckland hosted the greatest proportion (35%) of multi-day conferences, with 35% of the
delegate days; followed by Wellington with 23% of the multi-day conferences and 18% of the
multi-day conference delegate days.
The region attracts the following market share per segment:
•
•
•
•
•
3.2% of total Meeting/Seminar events
4.5% of total Incentive activities
3% of total Conference/Convention events
5% of total Tradeshow/Exhibition events
4% of total Special Occasion events
(NT 946 events/NZ 30962 events)
(NT 55/NZ 1215 events)
(NT 136/NZ 5126 events)
(NT 54/NZ 1208 events)
(NT 392/NZ 10937 events)
National Trends
Trends in the number of events reported since YE June 2010
New convention data shows it has been possible to construct rolling annual totals for different
variables. Graph 1.0 shows variation or trend for the number of events meetings reported for
each quarter from June 2010 to March 2013. Note that Bay of Plenty, Hamilton and Waikato and
Marlborough have been excluded, given that they have not been contributing data for the whole
period shown in the chart
Graph 1.0:
1.0: Trend in MICE numb
umber of events by event type (YE June 201
2010 throug
through to YE Mar
Mar 201
2013). Bay of
Plenty
Plenty, Hamil
Hamilton and Waikato and Marlboroug
arlborough are excluded.
34,000
32,000
Number of events
30,000
28,000
26,000
Meetings/Seminars
24,000
22,000
20,000
Year ended
14
Graph 2.0 Numbe
umber
ber of events by event type and event size (YE Mar 201
2013)
The Meetings Incentive Conference & Event (MICE) market is the most lucrative of all tourism
markets. Delegates have an average daily spend $434 per night in the host region, around 3.6
times more than that of a leisure visitor.
•
•
•
International visitor average spend per day
Domestic leisure visitor average spend per day
MICE delegate average spend per day
= $122.30
= $124.00
= $434.00
The MICE market high season is in the off-season for leisure visitors, making it extremely
valuable to a destination as seasonal as Nelson Tasman.
3.3.5
Domestic Leisure Marketing
Canterbury has traditionally been the main source of domestic visitors. Although many visitors
utilise motels and holiday parks during the peak season period from 26 December to 26
January, more Cantabrians have holiday homes in the region and therefore do not get
recorded in the commercial accommodation monitor statistics. Regardless of whether
Cantabrians stay in commercial accommodation, with family and friends, or in holiday homes,
they are traditionally lower spending visitors, but they do spend on activities, attractions,
food/wine, arts/crafts and retail, therefore a valuable visitor to the region.
Based on this information, NTT will target Wellington, Auckland and Christchurch markets more
actively in the next twelve months. Both cities have a strong proportion of residents that have
higher levels of disposable income and who may have interest in the region’s product offering.
If there is sufficient support from industry, we will consider a television commercial campaign
utilising the high definition footage we have.
NTT intends to continue its domestic campaign in Winter 2013, Spring 2013 and Autumn/Winter
period of 2014 to ensure the region is top of mind as a twelve-month destination. We will
explore developing package for affordable escapes. There is strong merit in the next twelve
months to develop proactive campaigns in the domestic market. The key areas of focus will be:
(i)
(ii)
(iii)
(iv)
(v)
Convention, incentive and association business
National sporting and cultural events
Auckland/Wellington markets
Palmerston North – new direct flight to/from Nelson from 12 July
Pitch to Air NZ a Nelson-Queenstown direct flight
15
Table 3.0: Summary of Incentive & Convention Marketing and Timeframes of Investment
Month 2013/201
2013/2014
/2014
July
August
September
October
November
December
January
February
March
April
May
June
Activity
Winter campaign
Interislander ‘Making a Memory’ campaign
Direct Palmerston North-Nelson flights
Auckland Foodshow preparation
PCO hosting
Cancel Winter campaign
Interislander ‘Make a Memory’ campaign
Auckland Foodshow attendance
PCO hosting
Interislander ‘Making a Memory’ campaign
PCO hosting
Convene South Island PCO/Assoc event
CINZ conference preparation
Interislander ‘Making a Memory’ campaign
PCO hosting
CINZ conference preparation
CINZ Conference
Interislander print advertising
Domestic media hosting and activities
PCO hosting
APPANZ function (tbc)
Domestic media hosting
Convention Bureau quarterly report
Domestic campaign activities
Meetings event preparation
Domestic media hosting and activities
PCO hosting
Meetings event preparation
Delegate passport update
Domestic media hosting and activities
PCO hosting and sales calls
Meetings 2014 preparation
Prep for Autumn/Winter campaign
Domestic media hosting
PCO Hosting
Meetings 2014 preparation
Winter domestic preparation
Domestic media hosting
Meetings 2014 preparation
PCO hosting and sales calls
Domestic media hosting
Tradeshow preparation (Fieldays)
Meetings 2015 event
PCO and Association follow-up
Total
Industry forums scheduled for September, November and March each year.
Investment $
$600
$9,500
$9,200
$2,500
$10,100
$0
$3,000
$7,300
$3,900
$4,800
$4,500
$6,100
$61,500
$61,500
16
3.4
Website and Social Media Marketing
3.4.1
Website
NTT will continue to upgrade and modify www.nelsonnz.com to ensure it remains relevant and easy to
use for visitors to the site. Primary investment in the 2013/2014 year is to adapt the existing website to
something that is more adaptive and responsive for access on a mobile platform. Other areas we will
continue to review include:
•
•
•
•
•
•
•
•
•
Encourage operators to have premium listings
Regularly update content and images so search engines ‘see’ a live site
Online purchase capability for brochure display and advertising for new collateral. Video
library with 37 high-definition video streams loaded
Media hub and results section loaded
Banner and hotspot advertising loaded
Search functionality improved
New print collateral loaded as PDF files
Trade & Media and Industry Support sections regularly updated with presentations
Annual Reports, Business Plans, Statement of Intent loaded and will be updated
The website www.nelsonnz.com currently has 687 listings. We have a premium listing opportunity for
$220 + GST for twelve months which increases the profile of the business significantly.
3.4.2
Social Media
The objective of using social media is two-fold:
(i)
Increase the profile of Nelson Tasman as a visitor destination prior to arrival in NZ and the
region; and
(ii)
Convert interest so when visitors arrive in NZ (or the region) they will see our chatter and be
encouraged to visit
Changes in technology and use of using social media channels continue to be at the forefront of all
NTT activities. NTT will continue to be active in the social media space. The team have smart phones
so can be active with social media posting outside the workplace. NTT will continue to up-skill with
training courses via RTONZ and free courses to ensure we maximise opportunities social media
presents with raising the region’s profile.
NTT’s addresses for Facebook, Twitter and statistics are:
–
–
Twitter@nelsontasmanNZ – 1565 followers (up from 1379, 13% since 2012)
Facebook.com/Ilovenelsontasman – 1891 friends (up from 1781, 6% increase since 2012)
QR Codes
QR is short for Quick Response. QR codes have been out for a few years but we aren’t
seeing big usage rates in i-SITEs. They are used to scan a piece of information from a transitory
media into a cell phone. You may soon see QR codes in magazine adverts, on billboards, brochures,
maps, web pages or other printed collateral. Once it is scanned into your cell phone, it may give you
details about the searched business (allowing users to search on a mobile) and nearby
locations/information for restaurants, attractions, accommodation, events etc. The reason why they
are more useful than a standard barcode is that they can store digitally much more data, including
17
URL links, geo coordinates, and text. NTT will actively promote the use of their QR code on all future
marketing activities/collateral where appropriate.
Trade Me, Facebook and Online Consumer Advertising
NTT will explore the cost/benefit of placing online advertisements on highly used consumer sites like
Trade Me, Facebook, Treat Me and other similar sites. Activities over the next twelve months will
include:
3.5
Encourage celebrities and bloggers to follow our sites
Include hash tags # on next print-run of business cards and collateral
Include hash tags # and addresses on i-SITE voucher covers
Staff allocated time to ‘post or tweet’ as part of their everyday duties
Research via i-SITE team and media on the value they place with social media and the
influence factor
Consider a dedicated social media marketing campaign
Nelson Tasman Destination Management Goals 2013/2014
i.
Assist with active promotion of new convention facilities which will make the best use of public
and private investment.
ii.
Promote cycleway trails as each phase is completed
iii.
Support and promote tourism-focused education and up-skilling opportunities to help industry
with delivering on the promise of a premium, quality visitor destination
iv.
i-SITE financially meets budgeted revenue and net profit results as shown in budgets
v.
Explore new technologies for i-SITEs to help generate revenue and capitalise on innovative
booking trends
3.6
Public Relations Activity
In the 2013/2014 year NTT will commence a public relations and education programme for local
government officials, executive managers of councils and the wider community on the importance the
role tourism plays with generating significant economic contribution to the regional economy.
The release of the Ministry of Business, Innovation & Employment (MBIE)’s regional tourism statistics
will greatly support this programme. See Appendices for more information.
3.7
Nelson Tasman
Tasman Tourism Performance Goals 2013/2014
i.
Statement of Intent (SOI) goal is to increase international and domestic guest nights to
perform better than South Island average
ii.
Increase total guest nights to perform better than South Island average
iii
Increase international guest nights by 2.0% to perform better than South Island average
iii.
Increase domestic guest nights by 2.0% to perform better than South Island average
iv.
Increase visitor length of stay of 2.16 nights to 2.17 per visitor
v.
Retain international media hosting numbers and investment as resources allow
18
vi.
Increase domestic media hosting by 2% in 2013/2014 year
vii.
Maintain existing levels of industry investment with advertising joint ventures
viii.
Improve region’s ranking in the convention and incentive market from 12th to 11th position as
per the Convention Activity Survey measuring convention bureaux performance.
ix.
Increase premium website listings or revenue by 2% per year
4.0
i-SITEs and Visitor Centres
4.1
Role and Function
NTT owns and operates three visitor centres; Nelson i-SITE, Golden Bay i-SITE and Murchison Visitor
Centre, and supports with funds of $50,000 to the Motueka i-SITE. The Motueka i-SITE operates
independently of NTT and is operated as an Incorporated Society.
NTT will cease management of the Murchison Visitor Centre and Golden Bay i-SITE on 30 April 2014
and a new entity will take over the management of the centres on 1 May 2014. The new entities will
apply for funding direct to Tasman District Council for operational funds. The savings from NTT
relinquishing management will be redirected to destination marketing.
NTT recognises the importance of having effective and high quality visitor centres, dedicated to
delivering comprehensive and objective information and booking services. They provide on-theground information to ensure the visitor experience is as enjoyable as possible. The NTT Visitor
Centres are encouraged to work on a commercial model, maximising a range of productive revenue
streams and minimizing net operating costs.
Function
To provide a 100% Pure Welcome
To provide an effective and efficient distribution outlet for tourism product
To provide comprehensive and reliable information on the local region and nationwide
To provide a simplified booking process with edited choices and customization
To encourage extended length of stay and increased visitor expenditure in Nelson Tasman
Mission
Mission Statement
To enhance the quality of the visitors’ experience to the Nelson Tasman region and New Zealand,
encouraging them to stay longer and do more, providing a 100% Pure Welcome.
4.2
National Trends
Trends in Year 2012
In 2012/2013 across the 81 members of the national i-SITE network, total net revenue (from travel,
accommodation and activity bookings, retail sales, memberships, brochure advertising feed and
other income) at an estimated $17million net revenue was on a par with the previous year, though
expenses increased by an estimated $0.5million. Commissions earned on sales of transport, activities
and accommodation declined in 2011, whilst brochure display and membership fees increased.
Most costs increased in excess of net revenue, resulting in a decline in profitability for the i-SITE
national group. Source: Deloitte 2012 i-SITE Financial Survey.
Feedback from i-SITE Gateway Centres suggests regions that host cruise ships show steady growth
of booking activities compared to non-cruise regions.
19
4.3
The Future of ii-SITEs in New Zealand
The national outlook for the i-SITE network in the 2013/2014 year suggests a year of change. TNZ and
the i-SITE Board expect to see a number of smaller, rural i-SITEs cease to come under the i-SITE
brand.
4.4 NTT ii-SITE Performance 20092009-2012
The following table shows the performance in i-SITE revenue sales in percentage terms of each
centre from January-December in 2009, 2010, 2011 and 2012.
Table
Table 4.0:
.0: i-SITE Revenue
Gross Sales
Total NTT Visitor Centres: Jan-Dec
2012 v 2009
Sales $
Accommodation
Activities
Transport
Display*
Retail
Administration
Gross Sales
2009
890,809
1,251,081
952,422
308,798
140,318
26,417
3,571,854
$
$
$
$
$
$
$
2010
873,802.00
1,000,036.00
1,234,528.00
30,200.00
168,877.00
20,570.00
3,287,949.00
$
$
$
$
$
$
$
2011
708,072.00
823,982.00
960,672.00
51,301.00
161,278.00
21,133.00
2,728,449.00
$
$
$
$
$
$
$
2012 vs 2011
% Change % Change
2012
496,901.00
-0.44
-0.30
807,488.00
-0.35
-0.02
976,263.00
0.03
0.02
39,167.00
-0.87
-0.24
154,305.00
0.10
-0.04
19,985.00
-0.24
-0.05
-0.30
-0.09
2,494,109.00
* Display fees are only what is recorded over the front desk, not what is purchased online which was implemented in 2010.
Nelson Total $ Gross Sales 2009-2012 Jan - Dec
Var %
Sales $
Accommodation
Activities
Transport
Display*
Retail
Administration
Gross
2009
591,738
979,956
759,481
235,704
76,995
17,177
2,661,051
2010
584,503
781,979
1,003,028
20,823
87,932
14,359
2,492,624
2011
461,565
580,179
794,682
40,059
81,820
15,511
1,973,816
2012
333,904
574,677
807,816
30,604
88,142
14,462
1,849,605
Var %
2012 vs 2009 2012 vs 2011
-0.44
-0.41
0.06
-0.87
0.14
-0.16
-0.30
-0.28
-0.01
0.02
-0.24
0.08
-0.07
-0.06
Golden Bay Total $ Gross Sales 2009-2012 Jan - Dec
Var %
Sales $
Accommodation
Activities
Transport
Display*
Retail
Administration
Gross
2009
238,376
209,227
160,693
42,785
42,717
8,321
702,119
2010
211,897
133,334
146,777
7,788
56,368
4,611
560,775
2011
157,281
126,978
132,151
7,216
54,189
3,935
481,750
2012
100,980
140,508
132,604
5,950
43,404
3,941
427,387
Var %
2012 vs 2009 2012 vs 2011
-0.58
-0.33
-0.17
-0.86
0.02
-0.53
-0.39
-0.36
0.11
0.00
-0.18
-0.20
0.00
-0.11
Murchison Total $ Gross Sales 2009-2011 Jan - Dec
Var %
Sales $
Accommodation
Activities
Transport
Display*
Retail
Administration
Gross
2009
60,695
61,898
32,248
30,309
20,606
919
208,684
2010
77,402
84,723
42,649
1,589
24,577
1,600
234,550
2011
89,226
116,825
33,839
4,026
25,269
1,687
272,883
2012
62,017
92,303
35,843
2,613
22,759
1,582
219,129
Var %
2012 vs 2009 2012 vs 2011
0.02
0.49
0.11
-0.91
0.10
0.72
0.05
-0.30
-0.21
0.06
-0.35
-0.10
-0.06
-0.20
20
Graph 3.0:
.0: NTT ii-SITE
SITE Gross Sale Performance 20092009-2012
3000000
2661051
2492624
2500000
1973816
2000000
1849605
1500000
Nelson
1000000
Golden Bay
702119
560775
Murchison
481750
427387
500000
208684
234550
272883
219129
0
2009
2010
2011
2012
Graph 4.0:
4.0: Nelson ii-SITE Gross Sale Performance per Sector 20092009-2012
1,200,000
1,000,000
800,000
Nelson i-SITE Gross Sale $ Trends 2009 - 2012
January-December Statistics: Source: IBIS NEXUS
Most areas tracking below 2009 results. Retail and
admin sales steady. Total gross sales down -30%
from 2009. Nelson generates 74.1% total NTT
sales.
600,000
2009
400,000
2010
200,000
2011
2012
0
Graph 5.0:
5.0: Golden Bay ii-SITE Gross Sale Performance 20092009-2012
300,000
250,000
200,000
Golden Bay i-SITE Gross Sale $ Trends 2009 - 2012
January December Statistics: Source: IBIS NEXUS
Most areas tracking below 2009 results. Retail and
admin sales steady. Total gross sales down -39%
since 2009. GB generates 17.1% total NTT sales.
150,000
2009
100,000
2010
50,000
2011
0
2012
21
Graph 6.0:
2009--2012
6.0: Murchison Visitor Centre Gross Sale performance 2009
Murchison VIC Gross Sale $ Trends 2009 - 2012
January-December Statistics: Source IBIS NEXUS
NTT took over management Aug 2008. Accom, activities
tracking ahead of 2009 results, display down and retail
admin sales steady. Total gross sales up 5%. Murchison
generates 8.7% total NTT sales.
i-SITE Visitor Trends as at June 2013
Main source markets that use i-SITEs are from Germany, UK, Europe, Australia and USA. The
German market has remained steady over the last twelve months and feedback from USA and
European tour agents is that these markets may travel more in the upcoming summer. The UK market
is down 12.3% since the 2011/2012 season (refer to Table 8.0) but feedback from UK agents
suggests it may now be on the rise.
The following information outlines breakdown of visitors per i-SITE and changes in spend and number
of transactions. The centres vary with the value of sales made to residents. Nelson sells 17%, Golden
Bay sells 41% to locals and Murchison sells 19% of product to locals. This is mainly with transport. i.e
Intercity and Golden Bay Coachlines.
Nelson i-SITE statistics show 83% of transactions (therefore, visitors that regularly use i-SITE services)
are from international markets and 17% from domestic transactions.
Top 10 international markets for Nelson in the current financial year per are Germany, UK, USA,
Australia, Switzerland, France, the Netherlands, Canada, Sweden and Japan.
TNZ and inbound wholesalers predict the growth from international markets in the next two years will
be from Asian countries like China, India, Hong Kong, Singapore, Thailand, Indonesia and Malaysia.
Some of the countries just make the top 20. Many visitors from these countries traditionally book an
organised group tour. If their English is good, they are confident in booking direct with operators
using i-phones, i-pads and the internet. Promotion of the i-SITE network by TNZ and RTOs will be
critical in the future to encourage visitors to utilise the services i-SITEs provide.
Golden Bay i-SITE statistics show 64% of transactions are from international markets and 36% are
from domestic transactions. Top 10 international markets for Golden Bay are Germany, UK, USA,
Australia, Switzerland, France, the Netherlands, Canada, Israel and Austria. Visitors from North and
South East Asia are visiting Golden Bay but numbers are small at present.
Murchison Associate i-SITE statistics show 81% of transactions are from international markets and
19% are from domestic transactions. Top 10 international markets for the Murchison area are UK,
Austria, Germany, Canada, the Netherlands, France, Switzerland, Israel, China (10 transactions) and
Japan (4 transactions). It is interesting to see China and Japan appearing in Murchison’s Top 10
countries. These visitors are travelling independently and are in couples or with friends.
22
Table 5.0: NTT ii-SITEs Sales per Country and Average Sale per Transaction JanJan-Dec 2012
Source: i-SITE IBIS Nexus Data, Feb 2013
NTT i-SITE Sales Transaction per Country 2012 vs 2011
Country
Germany
UK
USA
Australia
Switzerland
France
Netherlands
Canada
Sweden
Japan
Denmark
Spain
Austria
Other
China
Belgium
Hong Kong
Taiwan
South Korea
Total 20 Mkts
Nelson iSITE 2011
$ Sales
#.Trans
329343
2909
302436
1947
136672
1019
130145
760
100856
690
93651
819
84022
599
73924
575
35339
237
29416
313
23138
173
20861
175
20005
187
19251
148
15196
111
14648
123
12493
70
12579
94
12489
130
1466464
11079
$ Avg Sale
113.22
155.33
134.12
171.24
146.17
114.35
140.27
128.56
149.11
93.98
133.75
119.21
106.98
130.07
136.90
119.09
178.47
133.82
96.07
125.04
Nelson i-SITE 2012
$ Sales
#. Trans $ Avg Sale
368965
3245
113.70
265229
1785
148.59
130106
1019
127.68
111950
733
152.73
117851
831
141.82
91141
844
107.99
92341
679
136.00
71750
541
132.62
28880
241
119.83
25933
291
89.12
23771
180
132.06
22400
158
141.77
22192
175
126.81
17600
139
126.62
15331
117
131.03
17454
168
103.89
8782
69
127.28
19374
88
220.16
15060
148
101.76
1466110
11451
128.03
% Var Total Sales
12.0%
-12.3%
-4.8%
-14.0%
16.9%
-2.7%
9.9%
-2.9%
-18.3%
-11.8%
2.7%
7.4%
10.9%
-8.6%
0.9%
19.2%
-29.7%
54.0%
20.6%
0.0%
Golden Bay iSITE 2011
Country
$ Sales
#.Trans $ Avg Sale
Germany
57959
488
118.77
UK
44758
283
158.16
Australia
25372
162
156.62
USA
21354
184
116.05
Switzerland
19918
144
138.32
France
16747
141
118.77
Netherlands
13101
95
137.91
Canada
10054
102
98.57
Israel
4964
44
112.82
Austria
3899
39
99.97
Japan
5597
90
62.19
Spain
3222
22
146.45
Total 12 Mkts 226945
1794
125.60
Golden Bay i-SITE 2012
$ Sales
#.Trans $ Avg Sale % Var Total Sales
77291
618
125.07
33.4%
47622
313
152.15
6.4%
19379
135
143.55
-23.6%
20808
198
105.09
-2.6%
19758
132
149.68
-0.8%
16373
155
105.63
-2.2%
12371
109
113.50
-5.6%
10625
85
125.00
5.7%
8192
62
132.13
65.0%
5605
40
140.13
43.8%
5490
67
81.94
-1.9%
3965
34
116.62
23.1%
247479
1948
127.04
9.0%
Murchison Associate iSITE 2011
Country
$ Sales
#.Trans $ Avg Sale
UK
49228
247
199.30
Australia
33733
189
178.48
Germany
22043
123
179.21
USA
20219
115
175.82
Canada
10274
61
168.43
Netherlands
9470
42
225.48
France
8534
43
198.47
Switzerland
4636
31
149.55
Israel
4333
19
228.05
Sweden
5439
19
286.26
Spain
1528
4
382.00
China
4238
10
423.80
Japan
2948
10
294.80
Total 12 Mkts 176623
913
308.96
Murchison Associate i-SITE 2012
$ Sales
#.Trans $ Avg Sale % Var Total Sales
36031
207
174.06
-26.8%
34061
190
179.27
1.0%
24228
133
182.17
9.9%
18651
90
207.23
-7.8%
10447
47
222.28
1.7%
5501
32
171.91
-41.9%
5894
35
168.40
-30.9%
5432
40
135.80
17.2%
4305
19
226.58
-0.6%
2040
12
170.00
-62.5%
2162
13
166.31
41.5%
475
3
158.33
-88.8%
180
3
60.00
-93.9%
149407
824
181.32
-15.4%
23
4.5
4.5
Nelson Tasman i-SITE Performance:
Performance: From 1 July 2012
2012 – 30 June 2013
Financial accounts ending 30 June 2013 show Nelson, Golden Bay and Murchison Centres
collectively show a decline of -11.4% in total booking sales.
Table 6.0: NTT i-SITE Booking Sales Performance 30 June 2013
i-SITE
Nelson
Golden Bay
Murchison
Total
4.6
Budget YE Booking
Sales
Actual Booking
Sales
169,415
34,383
20,161
223,959
148,114
33,268
16,640
198,022
Variance PYE
against
Budget
-21,301
-1,115
-3,521
-25,937
% Variance
PYE against
Budget
-12.5%
-3.2%
-17.4%
-11.5%
11.5%
Nelson Tasman i-SITE Changes in 2013/
2013/2014
Nelson i-SITE Changes 2013/2014
•
•
•
•
•
•
•
•
•
Keep rostered hours of work to a minimum as per contracts
Review Qmatic queuing system
Review floor walker role to use i-pad or tablet for enquiries or transactions
Explore sub-leasing space to wineries or other retailers
Explore banks with ATM service (Kiwibank ATM removed in 2011)
Explore other retail outlets selling items in centre
Improve road signage from Halifax and Trafalgar Streets
Review existing lease conditions with Nelson City Council
Implement additional ticketing agencies for event tickets
Golden Bay Changes 2013/2014
•
Retain management until 30 April 2014
Murchison Changes 2013/2014
•
Retain management until 30 April 2014
Challenges Nelson Tasman i-SITEs will face in the future include:
Operators ceasing to use i-SITEs for brochure display advertising and opportunities
Less visitors coming into visitor centres as a result of national trends down on international
and domestic visitors
Continued economic difficulties globally and nationally
Department of Conservation (DOC) will commence selling limited retail items in Nelson i-SITE
centre from 1 July 2013. Discussion between the two parties suggests DOC will not sell any
items the i-SITE is currently selling.
IBIS NEXUS software will have no further upgrades so NTT needs to explore in the future the
length of time we will continue to use this package
Low pay rates which can limit the skills and experience of staff
Local competition with selling event tickets in Nelson and Tasman region
24
5.0 Corporate,
Corporate, HR, Finance and Information Technology
This section provides a brief overview of key corporate, human resource, finance and information
technology areas of the business.
5.1 Corporate
CEO is responsible for overall company management, with time split between board liaison, general
company management, destination marketing, destination management, tourism and business
development and overseeing i-SITE and Visitor Centre operations.
The Corporate area of NTT contains three positions; an Executive Assistant, a Finance, HR & IT and
Finance Manager, and a part-time Accounting Technician.
The company has robust systems, processes and procedures which are regularly reviewed to ensure
standards and best practice throughout our operations are maintained.
5.2 Human Resources
NTT is fortunate to have a group of experienced, qualified and highly productive employees. We have
approximately 18-20 full-time equivalent employees (FTEs) in the winter and increased staffing levels
to approximately 24-26 FTEs in summer months.
Staff training and familiarisations are regularly scheduled to ensure the team is up to date with market
trends, organisational standards and product updates. Formal courses and training are also
undertaken to add value to the role each member has in the company.
A staff survey is conducted every June and performance development reviews are conducted during
the year.
Refer to Appendix E for a view of the organisation chart.
5.3 Information Technology
Over the years the company has purchased and leased computers on a piece-meal basis. Leased
computers are renewed every three years. Across the team we have computers running off XP, Vista
and the majority running off Windows 7.0 and Office 10.
The company’s current inventory is noted below:
Nelson – seven PCs, 1 printer/photocopier, phone system, TV (60”), DVD player, music system
Murchison – three PCs, printer/photocopier, phone system, TV
Golden Bay – three PCs, printer, phone system, TV
Admin and marketing – six PCs, three laptops, two printer/photocopiers phone system, TV, data
projector
5.4
Finance
The primary goal is to manage the company’s financial performance and ensure it meets budgeted
targets. The two key areas affecting the achievement of the goal is investment in marketing activities
and management of i-SITE and visitor centre operations prudently.
25
5.4.1
Financial Forecast 2013/2014
In the 2013/2014 year, every effort will be made to ensure each of the goals is achieved with
maximum financial outcome and achievement of all key performance indicators. A summary of
expectations of performance are noted below. NTT’s goal is to produce a $8771 surplus.
Table 7.0: Net Financial Forecast for 2013/2014
Cost Centre
Net Profit Forecast $
Tourism Nelson Tasman Ltd
Tourism Nelson Projects
Nelson i-SITE
Golden Bay i-SITE
Murchison Visitor Centre
Transition costs/Regional Tourism Strategic Plan
Total
5.4.2
255,517
(136,895)
1,778
(46,592)
(62,782)
-2,255
$8,771
Capital Expenditure and Leases 2013/2014
The following items relate to capital purchases that will enhance and assist the efficient operation of
the company. Spend to be made based on relativity with total depreciation levels.
(i)
(ii)
(iii)
(iv)
Mobile website for www.nelsonnz.com
i-PADs (1) for Nelson i-SITE bookings/info
LTSA printer (Murchison)
Queuing system for Nelson i-SITE
Total CAPEX
$ 10,000
$ 1,500
$ 3,000 (old quote)
$ 5,000 (Aug 2013 assessment)
$ 19,500
LEASE BUDGET
Items that require replacement or lease due to expiry of existing contracts and/or new requirement
include:
(i) i-SITE Manager laptop lease new lease
(ii) i-SITE computers
(iii) EA/AT computer new lease
Total Lease
6.0
$ 2,148
$ 19,925
$ 4,700
$26,773
Aug 2013
Mar 2014
Feb 2014
Risk Management
The Board and CEO will adhere to the Risk Management policy.
Areas we will monitor and action when required include:
Corporate/Finance/Administration
Develop email survey of operators to gain feedback from industry forums
Conduct annual industry survey
Implement annual review of security and backup procedures
Provide staff with information on compliance requirements e.g. staff handbook
Further develop and refine financial management software
26
Develop media policy that is integrated into communications plan
Conduct business risk and technology audit
Review business interruption indemnity period
Tourism Industry
7.0
Update natural disaster policy to include emergency preparedness
Plan for physical risks and impact on business activities and VIC operations
Liaise with local victim support agencies if/when required
Encourage improved service standards
Governance
NTT is structured as a publicly-owned owned Council Controlled Organisation (CCTO), with two
shareholders, Nelson City Council and Tasman District Council. The company aligns its plans with its
shareholders with Long Term Plans (LTPS) and Annual Plans and acts in an advisory capacity on key
issues regarding tourism development and regional promotion.
The Directors of NTT are responsible for:
Ensuring sound financial and strategic management of the Company
Ensuring the Company meets its objectives as defined in the Statement of Intent
Ensuring the Company complies with all its lawful obligations
Ensuring the shareholders are kept well informed on all relevant issues and that there are no
surprises on matters likely to cause community or political concern
Making any decisions as to policy that is not the preserve of general management and day-today administration
Employing the Chief Executive (including entering into a performance management agreement,
reviewing performance and setting remuneration)
27
Table 8.0: Director Profiles
Phil Taylor - CHAIR
Phil is a successful retailer in the Nelson Tasman region jointly operating a business with
a diverse and high profile marketing programme. His knowledge of local body processes
is of value as is his professional background as a resource scientist and senior public
service administrator. He was appointed as a Director in 2007. Phil is a Justice of the
Peace.
Larry Lumsden - DIRECTOR
Larry has been involved in travel since 1985. Through their holding company Tourism
Development Ltd, Larry and his wife Linda own inbound tour company South Pacific
Travellers World Ltd. They are also 50% owners in Queenstown Travel & Visitor Centre Ltd
which operates the brands World Travellers Christchurch and World Travellers
Queenstown. They also own 50% of Queenstown i-SITE and Larry is and Associate
Fellow of the New Zealand Institute of Managers.
Sharon McGuire - DIRECTOR
Sharon McGuire has a strong background in governance in the Nelson region and is
currently the Group Manager Regional Economic Development at Nelson Marlborough
Institute of Technology, and is well known to Nelsonians in her former role as Chief
Executive of Nelson Tasman Chamber of Commerce following 10 years in general
manager roles in the tourism sector. Sharon has a Bachelor of Applied Management
(Strategic major), is an Associate Fellow of the New Zealand Institute of Management and
a member of the Institute of Directors.
Terry Horne - DIRECTOR
Born and brought up in Nelson, Terry is a graduate in Law and Commerce from
Canterbury University (acctg). He has worked in Wellington, London, Auckland and
Nelson in accounting, legal or general management roles with Newmans' Group, Lion
Breweries, Chemiplas NZ, and Sealord Group where he was Company Secretary and
held other roles for 19 years. Terry's background in tourism includes his first professional
job with Trans Tours, a large tour and hotel operator in Christchurch, and involvement
with a small family tour operation based in Nelson.
28
APPENDICES
Appendix A:
International Marketing Group Membership
Appendix B:
Convention Marketing Group Membership
Appendix C:
RTO Comparative Guest Nights & Funding Levels
Appendix D:
Nelson Tasman Regional Tourism Estimates YE March 2012
Appendix E:
Human Resources & Organisation Chart
29
Appendix A: International Marketing Group Membership
Membership
There are two levels of membership available within the International Marketing Group and these are
outlined below:
Level
Price
International
Marketing Partner
$2500 per annum
plus $1000 one off
joining fee.
Media Benefits
Other Benefits
First priority of hosting
Trade Famils (where
appropriate)
Trade Benefits
First priority of hosting
media itineraries
(where appropriate)
Free listing on
wholesale/trade website
page
Extensive representation
at domestic and
international Trade
Shows such as TRENZ.
Featured in press
releases distributed to
NTT’s international
media database.
Free listing in the Trade
and Convention Planner
under the IMG heading.
Extensive representation
off shore at Tourism New
Zealand events such as
Kiwilink and IMA
roadshows.
Imagery and contact
details of IMG
members sent to media
requesting regional
info.
The opportunity to
participate in online
campaigns, promotional
prize draws, billboard or
magazine advertising and
other promotional
opportunities that arise.
Opportunity to
accompany NTT on sales
calls and to trade shows
such as the Nelson
Tasman Trade Day, as
well as Kiwilink and IMA
roadshows.
Research and
development – the
opportunity to access
and contribute to NTT’s
international research for
breaks into new markets.
The ability to access
contact details of
relevant trade members
plus featured in frequent
trade communications
and itineraries.
International Host
$800 per annum
plus $200 one off
joining fee.
The opportunity to host
Trade Members in famils
where appropriate.
Coverage in NTT press
releases, online articles &
related media or trade
newsletters and
itineraries.
The opportunity to
host Media Members
in famils where
appropriate.
Coverage in NTT press
releases, online articles &
related media or trade
itineraries.
30
Appendix B: Convention
Convention Marketing Group
roup Membership
Levels and Benefits
$2,000 + GST
$900 + GST
$550 + GST
$550 + GST
Gold
Silver
Bronze
Del Pack Only
Nelson Tasman Convention Bureau Website
2 x Website listings with images, 100 word plus video etc
x
Opportunity to list promotional/discount packages on NTCB website
x
1 x Website listing with images, 100 word plus video etc
x
x
x
Networking
Opportunity to participate in NTCB Domestic Roadshow events in targeted locations
NTCB regional stand participation opportunity (discount levels apply)
Priority
Priority
2nd priority
2nd priority
x
x
Include pieces in monthly NTCB e-newsletter
Priority
2nd priority
Hosting clients in conjunction with NTCB coordinated famil programmes
Priority
2nd priority
Participation in quarterly NTCB meetings
x
x
Specific Business Opportunities
Participation in famils/site inspections (where appropriate)
x
x
Specific recommendations in business leads, bids and referrals (where appropriate)
x
x
x
Listing in every NTCB bid document
x
x
x
Invitation to NTCB networking functions
x
Media
Opportunities for advertising and editorial features in trade and mainstream media
Industry media opportunities and support (where appropriate)
x
Priority
2nd priority
x
x
x
x
x
x
Discounted
x
x
x
$150
$150
Advice
Conference and Incentive industry marketing advice
Industry Relevant Information
Advice on availability and interpretation of research data collated in conjunction with CINZ
x
Convention Planner
Listing in NTCB conference planner
Opportunity for advertising in NTCB conference planner
Delegate Pack
Insertion of relevant brochure in delegates pack
x
31
Appendix C: RTO Comparative Analysis Guest Nights & Funding Levels
32
Graph 5.0
5.0:
.0: Nelson Tasman Region International Guest Nights 20002000-2012
Graph 6.0:
6.0: Nelson Tasman Region Domestic Guest Nights 20002000-2012
33
APPENDIX D: NELSON TASMAN REGIONAL TOURISM ESTIMATES: YEAR ENDING MARCH 2012
Table 1.0 Total Visitor Spend for Nelson Tasman region $519million per year
ORIGIN: (All);
DESTINATION: Nelson Tasman RTO;
Origin of Cardholde
Type
Territorial_Authority
RTO
Regional Council
(All)
(All)
(All)
Nelson Tasman RTO
(All)
Sum of Spend ($millions)
Product
Accommodation
Food and beverage serving services
Other passenger transport
Other tourism products
Retail sales - fuel and other automotive
Retail sales - other
Grand Total
Year Ending March
Tourism Expenditure
Origin
Destination
2009
62
83
65
45
76
163
494
2010
61
80
62
48
73
181
505
2011
60
81
65
48
79
183
516
2012
60
83
60
46
82
188
519
%
11.6%
16.0%
11.6%
8.8%
15.8%
36.2%
100%
Please refer to table for % of visitor spend sales per sector. Figures have been rounded to reach 100%
68% of total visitor spend is in the retail sector.
34
Table 2.0 Domestic Visitor Spend for Nelson Tasman region
ORIGIN: (All); Domestic;
DESTINATION: Nelson Tasman RTO;
Origin of Cardholder
Type
Territorial_Authority
RTO
Regional Council
(All)
Domestic
(All)
Nelson Tasman RTO
(All)
Sum of Spend ($millions)
Product
Accommodation
Food and beverage serving services
Other passenger transport
Other tourism products
Retail sales - fuel and other automotive
Retail sales - other
Grand Total
Year Ending March
Tourism Expenditure
Origin
Destination
2009
32
42
45
31
62
140
351
2010
33
41
42
31
60
158
364
2011
33
43
45
30
64
160
376
2012
34
46
44
27
66
165
383
%
8.9%
12.1%
11.5%
7.2%
17.3%
43.0%
100%
Please refer to table for % of RTO Domestic visitor spend sales per sector. Figures have been rounded to reach 100%
72% of domestic spend is in the retail sector.
35
Table 3.0 International Visitor Spend for Nelson Tasman region
ORIGIN: (All); International;
DESTINATION: Nelson Tasman RTO;
Origin of Cardholder
Type
Territorial_Authority
RTO
Regional Council
(All)
International
(All)
Nelson Tasman RTO
(All)
Sum of Spend ($millions)
Product
Accommodation
Food and beverage serving services
Other passenger transport
Other tourism products
Retail sales - fuel and other automotive
Retail sales - other
Grand Total
Year Ending March
Tourism Expenditure
Origin
Destination
2009
30
41
20
15
13
23
142
2010
28
39
19
18
13
23
140
2011
27
38
20
18
15
22
140
2012
26
37
17
19
16
22
136
%
19.0%
27.1%
12.5%
13.7%
11.7%
16%
100%
Please refer to table for % of RTO International visitor spend sales per sector. Figures have been rounded to reach 100%
54.8% of international spend is in the retail sector.
36
Table 4.0 Tasman District:
District:
Businesses benefiting from total visitor spend ($177m) in order of value are: other retail sales $44m, fuel and automotive retail $40m, accommodation $28m, food and beverage
retail $24m, other passenger transport $21m, other tourism products $20m.
Tasman Domestic Spend = $109million per year, 70.9% of all spend is in total retail sector
• Businesses directly benefiting from domestic spend in order of highest spend are: other (general) retail sales $36m, fuel and automotive retailing $29m, accommodation
$14m, food and beverage retailing $13m, other passenger transport $13m and other tourism products $5m
• Domestic visitors spending the most in order are: Canterbury, Wellington, Auckland, Marlborough, West Coast, Otago and Waikato
ORIGIN: (All); Domestic;
Origin of Cardholder
Type
Territorial_Authority
RTO
Regional Council
DESTINATION: Tasman District;
Tourism Expenditure
(All)
Domestic
Tasman District
(All)
(All)
Sum of Spend ($millions)
Year Ending March
Product
Accommodation
Food and beverage serving services
Other passenger transport
Other tourism products
Retail sales - fuel and other automotive
Retail sales - other
Grand Total
Figures have been rounded to reach 100%
70.9% of domestic spend in Tasman District is spent in the retail sector.
Origin
Destination
2009
14
12
7
7
28
29
97
2010
14
12
8
6
27
31
97
2011
14
11
10
6
28
33
102
2012
14
13
13
5
29
36
109
%
12.7%
11.9%
11.9%
4.5%
26%
33%
100%
37
Table 5.0 Tasman District:
District: International Visitor Spend $68million per year, 44.2% spend is in retail sector
•
Businesses directly benefiting from international spend in order are: other tourism products $15m, accommodation $14m, food and beverage retail $11m, fuel and
automotive retailing $12m, other (general) retail sales $8m and other passenger transport $8m
•
Countries spending the most in order are: Australia, Rest of Europe, United Kingdom, USA and Germany
ORIGIN: (All); International;
DESTINATION: Tasman District;
Origin of Cardholder
Type
Territorial_Authority
RTO
Regional Council
(All)
International
Tasman District
(All)
(All)
Sum of Spend ($millions)
Product
Accommodation
Food and beverage serving services
Other passenger transport
Other tourism products
Retail sales - fuel and other automotive
Retail sales - other
Grand Total
Figures have been rounded to reach 100%
Year Ending March
Tourism Expenditure
Origin
Destination
2009
17
15
6
11
9
9
65
2010
16
14
6
14
8
9
67
2011
15
12
9
15
10
8
68
2012
14
11
8
15
11
8
68
%
21%
16.2%
11.8%
22.5%
16.2%
11.8%
100%
44.2% of international spend in Tasman District is spent in the retail sector.
38
Table 6.0 NELSON CITY: Total Visitor Spend $343million per year
•
Businesses directly benefiting from total visitor spend ($343m) in order of value are: other (general) retail sales $144m, food and beverage retail $60m, fuel and automotive
retail $42m, other passenger transport $39m, accommodation $32m, other tourism products $26m.
•
•
Domestic visitor spend $274million,
$274million 73.3% of all spend is in total retail sector
Businesses directly benefiting domestic spend in order of highest spend are: other (general) retail sales $130m, fuel and automotive retailing $37m ,food and beverage
retailing $33m, other passenger transport $31m, other tourism products $22m and accommodation $21m
Domestic visitors spending the most in order are: Canterbury, Wellington, Auckland, Marlborough, West Coast, Otago and Waikato
•
ORIGIN: (All); Domestic;
DESTINATION: Nelson City;
Origin of Cardholder
Type
Territorial_Authority
RTO
Regional Council
(All)
Domestic
Nelson City
(All)
(All)
Sum of Spend ($millions)
Product
Accommodation
Food and beverage serving services
Other passenger transport
Other tourism products
Retail sales - fuel and other automotive
Retail sales - other
Grand Total
Figures have been rounded to reach 100%
73.3% domestic spend in Nelson City is spent in the retail sector.
Year Ending March
Tourism Expenditure
Origin
Destination
2009
18
30
38
24
34
110
255
2010
19
29
34
24
33
127
267
2011
19
31
35
25
36
128
274
2012
20
33
31
22
37
130
274
%
7.2%
12.1%
11.3%
8.2%
13.7%
47.5%
100%
39
Table 7.0 NELSON CITY – International Visitor Spend $69million per year, 65.1% of all spend is in retail sector
•
•
Businesses directly benefiting from international spend in order are: food and beverage services $25m, other (general) retail sales $15m, accommodation $12m, other
passenger transport $8m, fuel and automotive retailing $5m and other tourism products $4m
Countries spending the most in order are: Rest of Europe, Australia, United Kingdom, Germany, USA, Rest of Oceania and Rest of Asia
ORIGIN: (All); International;
DESTINATION: Nelson City;
Origin of Cardholder
Type
Territorial_Authority
RTO
Regional Council
(All)
International
Nelson City
(All)
(All)
Sum of Spend ($millions)
Product
Accommodation
Food and beverage serving services
Other passenger transport
Other tourism products
Retail sales - fuel and other automotive
Retail sales - other
Grand Total
Figures have been rounded to reach 100%
Year Ending March
Tourism Expenditure
Origin
Destination
2009
13
27
14
4
5
15
77
2010
12
25
13
3
5
14
73
2011
12
26
11
4
5
14
72
2012
12
25
8
4
5
14
69
%
17.5%
37.4%
11.7%
5.7%
7.2%
20.5%
100%
65.1% of international spend in Nelson City is spent in the retail sector.
40
Appendix E: Human Resources & Organisation Chart
The Company employs 18 FTE staff at three locations - in regional marketing, visitor information services, management and corporate services. Staff numbers are
constant in all areas except visitor information services, where numbers vary depending on time of year. An illustration of the structure of the company is shown
below.
41