Meeting Newz January / February 2021

Data from New Zealand’s largest and longest running hotel benchmarking programme shows the devastating impact of the pandemic on hotel revenues, with overall room income in 2020 falling by 40%. The Tourism Industry Aotearoa Hotel Data Survey became Hotel Data New Zealand (HDNZ) in 2020 and covers almost three quarters of all hotel rooms in New Zealand. TIA chief executive Chris Roberts says the HDNZ data includes hotels providing border isolation services, but that has only softened the blow. “Nationally, average hotel occupancy had sat at around 80% since 2016, until the COVID-19 pandemic hit and our borders were closed. “Average occupancy in 2020 barely made it to 50%. The average rate for a hotel room Hotel room incomes plummeted in 2020 Business events industry reconnects also slipped, and these combined factors resulted in a 40% fall in the average revenue per available room (RevPAR), to just $91.17. “At those revenue levels, the majority of hotels which remained open in 2020 were operating at a loss.” The substantial fall in income was felt across all regions and all hotel categories. For example, three-star hotels saw RevPAR fall from $95 in 2019 to $50 in 2020; while for five-019 to $123 in 2020. Regionally, the biggest decline was in Queenstown, where average hotel occupancy fell from 82% in 2019 to 42% in 2020, and RevPAR fell from $207 to $96. Auckland was the only region in the country to maintain a RevPAR above $100, but at $103 this was down from $161 in 2019. Roberts says hotels are grateful for Chris Roberts Catching up at Be Reconnected are Nerida Ramsay, Composition Ltd; Lisa Hopkins, BEIA, Alison Smith, Millennium Hotels; Arna Wahl Davies, Composition Ltd the support of domestic visitors along with business and government guests. ”However, many will be relying on at least a partial opening of the borders to be able to return to profitability.” Business Events Industry Aotearoa, the new name for Conventions and Incentives NZ started its new era in style when the Be Reconnected event was held at the Aotea Centre, Auckland in December. More than 400 delegates took the opportunity to reconnect with old friends and make some new ones as well as learning about new products, changes and inspirational stories from keynote speakers, Sir John Kirwan, Lisa O’Neill and Cam Calkoen. There was a real buzz with many operators reporting a strong finish to 2020 and lots of bookings and further interest in 2021 and 2022. Shelley Cunningham of CD Event management says she has almost one big event a month on between May and November 2021 – spanning the Hemp Expo, Bus and Coach Conference, a building suppliers event and a childcare related conference. “I am quoting for two more as well and they are all big numbers.” Kim Herd, Venture Travel & Events, says she had a group of 57 top sellers on Waiheke late last year and organised an event for 45 at the Hilton in Taupo mid-December. She is looking forward to having groups in the South Island this year and has a small group booked for the Chatham Islands in April. Auckland Makes It Easy www.aucklandwantsyou.co.nz Contact the Auckland Convention Bureau team to access free support to make your next business event exceptional. Auckland Convention Bureau [ I NDUSTRY NEWS T H E C O N F E R E N C E , I N C E N T I V E & E X H I B I T I O N M A G A Z I N E www.meetingnewz.co.nz Cover story: Taranaki Whanganui Palmerston North Venues with a difference JULY/AUGUST 2020 T H E C O N F E R E N C E , I N C E N T I V E & E X H I B I T I O N M A G A Z I N E www.meetingnewz.co.nz Cover story: Bay of Islands Hokianga Southern Lakes/ Queenstown Christmas/End of Year Functions SEPTEMBER/OCTOBER 2020 www.meetingnewz.co.nz CONNECTING THE BUSINESS EVENTS INDUSTRY FOR OVER 30 YEARS [8] meeting newz [january february] 2021