The major focus of the TSA is to identify and measure tourism expenditure on goods and services produced within the New Zealand economy.
By determining tourism expenditure, tourism’s direct contribution to GDP can be derived, and compared with the contribution of other industries such as agriculture or manufacturing.
Table 6 presents tourism expenditure (or direct tourism demand) by type of product.
Table 6 shows that for the year ended March 2012:
- Total tourism expenditure increased 2.4 percent, following an increase of 2.2 percent in 2011 and a 0.6 percent decrease in 2010.
- Tourism expenditure on air passenger transport increased 3.3 percent, with spending on retail sales (including fuel and other automotive products) increasing 3.6 percent.
Table 7 presents tourism expenditure by type of product and by type of tourist for the years ended March 2009–12. The tourism product ratio is the proportion of total supply (national production plus imports) of each product that tourists purchase. International tourism expenditure includes spending by foreign students studying in New Zealand for less than 12 months.
Table 7 continued
Table 7 shows that for the year ended March 2012:
- Household tourism expenditure increased 3.0 percent, following an increase of 2.3 percent the previous year.
- Growth in household tourism expenditure was strongest in retail sales (including fuel and other automotive products), up 3.8 percent ($200 million), while air passenger transport rose 6.4 percent ($44 million) from the previous year.
- Between 2009 and 2012, household tourism spending increased 5.5 percent. Over the same period, total household consumption expenditure increased 4.0 percent.
- Spending by international tourists in New Zealand increased 1.6 percent, following an increase of 1.8 percent in the March 2011 year and a decrease of 1.1 percent in the March 2010 year.
- International tourist expenditure on air passenger transport increased 2.4 percent ($52 million), following an increase of 5.1 percent in the March 2011 year and a decrease of 8.0 percent in the March 2010 year.
Figure 7 presents the share of tourism demand by type of product and type of tourist.
As figure 7 shows, the biggest share of domestic demand was retail, at 46 percent, while international tourism’s demand on retail was only 20 percent of total international spending. International tourists spent most of their budget on passenger transport (34 percent) and accommodation, food, and beverage serving services (31 percent).