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July 8, 2010

New data on hotels provides further evidence of the differences in tourism between Tropical North and South East Queensland, according to peak national industry body Tourism & Transport Forum (TTF).

The ABS this week released the Survey of Tourist Accommodation for the March quarter 2010, which shows a marked difference in performance by hotels, motels and serviced apartments in Brisbane and the Gold Coast compared to Cairns.

Revenue per available room is up 5 percent in Brisbane (to $111.30) and 1.9 percent on the Gold Coast (to $98.51) compared to the same quarter last year, but down 3.8 percent in Cairns (to $50.28).

Occupancy rose 3.4 percentage points in Brisbane (to 74.2 percent) and 1.8 percentage points on the Gold Coast (to 71.1 percent), compared to a 0.5 percentage point rise in Cairns (to 50.3 percent) in the March quarter, compared to the previous year.

TTF Executive Director Brett Gale says these figures are yet another indicator of soft demand in Tropical North Queensland.

“It’s no secret that Cairns has been hard hit by the global financial crisis…with the region suffering double digit unemployment,” Gale says.

“Airlines reduced capacity as demand fell away and although international arrivals to Cairns for the March quarter were up slightly on last year (42,700, 0.7 percent), that is 30,000 international arrivals lower than the March quarter in 2008,” he says.

TARGETING NEW MARKETS

Addressing supply side issues and looking towards the emerging markets of China, India and Malaysia is the next step in securing Australia’s tourism future, according to Gale.

“The announcement of federal funding for the Cairns Cultural Precinct is great news as it will facilitate the development of new tourism offerings which will enhance the attractiveness of Tropical North Queensland as a destination," he says.

“We also need to continue to develop other attractions, prioritise destination planning and investment and continue regulatory reform to ensure Australia’s competitiveness in the global tourism market.”


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