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Who spends the most when visiting NZ? Government data reveals surprising result

Author
Sarah Pollok,
Publish Date
Wed, 19 Jun 2024, 2:43pm
Tourists from Germany spend the most, on average, during trips around New Zealand, according to data from MBIE. Photo / 123rf
Tourists from Germany spend the most, on average, during trips around New Zealand, according to data from MBIE. Photo / 123rf

Who spends the most when visiting NZ? Government data reveals surprising result

Author
Sarah Pollok,
Publish Date
Wed, 19 Jun 2024, 2:43pm

Visitors travelling from overseas to visit New Zealand have long made a significant contribution to the economy and so far 2024 is looking no different.

International tourism was the country’s second-highest export earner at the year-end of March 2024, and visitors spent $11.2 billion.

In the most recent quarter, January 1 to March 31, visitors spent $4.5 billion, a 34 per cent increase compared to the same period in 2023.

However, the nosier question some may have is, what visitors are spending the most?

To find out, we dive into the Government’s International Visitor Survey, which ranks New Zealand’s largest visitor markets; Australia, Asia, US, UK, Germany, Canada, rest of Europe and rest of world.

Total spend goes to Aussies

Visitors from Australia boasted the largest total cash spend during the year ending March 31, 2024, dropping $11.2b; an amout largely correlated to the massive number of Aussies who visited during the year.

Asia was in second place with $2.7b and the US was in third with $1.6b.

At the bottom of the list, Germany was the second lowest spending with a total of $463 million, and Canada spent the least ($240m).

However, when spend is broken down by the amount individual visitor typically spends, Germany shoots straight to the top of the list.

Germans spend the most

Each visitor from Germany typically spent $6373 during a holiday in New Zealand, equal to pre-pandemic levels.

The rest of Europe took second place ($4355) and Canada in third ($3469).

Yet, according to the Ministry of Business Innovation and Employment, higher media spend per visitor tends to correlate with how long they stay; the longer the trip, the higher the overall spend.

This checks out; German visitors stayed the longest of any visitor with a median stay length of 28.3 days. The rest of Europe follow behind (22.3 days) and the UK (19.5 days).

Australia had the shortest median stay, typically visiting for 7.5 days due to the short distance to New Zealand.

The median holiday length has dropped from 12 days in 2019 to 9.5 days, which MBIE claims has been driven by Asia visitors dropping their stay length.

Short stays spend big

While Germans prefer to stretch their money out over a month, other nationalities prefer to blow through a stack of cash in just a few days.

Visitors from Asia typically stay a little over 10 days but spend $294 each day of their visit, beaten only by the Americans who drop $349 per day.

Brits were the tightest, typically spending $177 per day, followed by the Germans who spent $196.

What visitors are the best value?

Money is one way to measure a tourist’s value (and a very easy measure at that) but it isn’t the only way. The ability to spend a lot of money doesn’t necessarily mean a tourist will treat our environment or people well, travel and spend money in lesser-known cities or respect our culture.

While some industry experts use ‘spend’ to dictate who Aotearoa should welcome or woo, current Minister for Tourism and Hospitality Matt Doocey appears to have a more inclusive perspective.

“Something you won’t hear from me is value-laden judgment statements about who is a deserving or undeserved tourist,” he said during a tourism conference in May.

“The beauty of tourism and hospitality in New Zealand is we have a range of different types of tourists who come to New Zealand.”

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