Tourism Tasmania’s purpose is to connect travellers culturally and emotionally with the State to deliver social and economic benefits to be shared with all Tasmanians. The Agency contributes to the success of the visitor economy through being a demand generator and brand leader. It also has a role in influencing and shaping policy development and planning through its leadership role in the Tourism 21 ‑ The Tasmanian Visitor Economy Strategy 2015 ‑ 2020, a successful and enduring partnership between government and industry for the future vision of tourism in Tasmania. The benefits of a successful and sustainable tourism industry are wide reaching, especially for regional communities.
In the year to December 2018, Tasmania experienced visitor growth on the previous year of four per cent, welcoming over 1.3 million visitors. Importantly, expenditure increased by five per cent to just under $2.5 billion and regional visitation increased in three of the State’s four regions. Visitors deliver value to the State’s regional communities through expenditure in local businesses, experiences and product, supporting employment and fostering cultural exchange. Tourism Tasmania’s focus is to increase this value further by attracting visitors who are more likely to travel to regional towns and fall in love with what those communities offer.
The 2019‑20 Budget continues to deliver on the Tasmanian Government’s increased commitment to tourism marketing through investment of an additional $3 million each year, as announced in the 2018‑19 Budget. This additional funding has and will continue to help Tourism Tasmania position the State as a premium and distinct destination for visitors who seek enrichment and experience through their holidays. This will be supported by Tasmania’s evolved tourism brand which is designed to capture the changing nature of the State and position Tasmania as a year round destination, ensuring demand is levelled out across the entire year. As the State’s destination marketer, Tourism Tasmania will do this in close partnership with the new Brand Tasmania authority to ensure that our island’s strengths are seamlessly showcased nationally and globally.
Tourism Tasmania will continue showcasing Tasmania’s world class offerings including mountain biking, fly fishing, golf and walking. At the same time, it will evolve its program to entice travellers, who present the greatest value to Tasmania, through targeting high value travellers from international markets with an interest in nature and culture and who are keen to experience our unique events.
Tourism Tasmania is responsible for influencing travel options to Tasmania, ensuring it is easier to access Tasmania by air and by sea. In 2019‑20, the Agency will place an even greater emphasis on advocating for air capacity increases into Tasmania’s regional airports while actively pursuing a direct international flight into Hobart in partnership with the Hobart Airport Corporation as it prepares to become international passenger ready.
The Agency will continue working in partnership with the many stakeholders involved in the visitor economy. This collaboration is even more important as we begin the planning process for the next iteration of the Tourism 21 ‑ The Tasmanian Visitor Economy Strategy 2015 ‑ 2020, with the view to establishing a shared vision for the visitor economy into the future.
Tourism Tasmania is a State Authority operating under the Tourism Tasmania Act 1996. It supports the Minister for Tourism, Hospitality, Events, Parks, Heritage and Trade, Hon Will Hodgman MP.
This chapter details Tourism Tasmania’s financial information for 2019‑20 and over the Forward Estimates period. Further information on Tourism Tasmania is provided at www.tourismtasmania.com.au.
Table 22.1 provides a summary of the Budget and Forward Estimates allocations for key deliverables being undertaken by Tourism Tasmania.
|
|
2019-20
Budget |
2020-21 Forward Estimate |
2021-22 Forward Estimate |
2022-23 Forward Estimate |
|
|
$'000 |
$'000 |
$'000 |
$'000 |
|
|
|
|
|
|
|
Tourism Marketing ‑ Additional Funding1 |
3 000 |
3 000 |
3 000 |
.... |
|
Tourism Tasmania ‑ Tasmanian Journeys |
200 |
200 |
.... |
.... |
|
|
|
|
|
|
Note:
1. The Tasmanian Government announced $3 million each year in additional funding over four years for Tourism Tasmania in the 2018‑19 Budget.
Additional funding of $12.6 million over four years was provided in the 2018‑19 Budget for tourism marketing to enable Tourism Tasmania to target new traveller markets, promote the State’s unique experiences and support aviation marketing designed to raise demand for new routes and increased capacity on existing routes. Tourism Tasmania has evolved its marketing program, successfully positioning Tasmania as a premium must-visit destination for travellers likely to engage in local communities and travel outside of metropolitan areas. The existing funding commitment will continue to support Tourism Tasmania’s focus on these strategies.
Tourism Tasmania’s marketing program will continue to develop to cover a greater depth of Tasmanian experiences and opportunities. In addition to mountain biking and golf as special interest areas, there will also be a focus on walking, fly fishing and self-drive touring. These are activities which are Tasmanian strengths, have critical mass and a sizeable audience segment to support specific marketing strategies, increasing Tasmania’s appeal among enthusiasts who seek specific experiences as the reason for visiting a destination.
High value travellers seek food, wine, nature and wildlife as drivers for their travel and generally spend above average in their destination and travel further afield. Tourism Tasmania will build on its work to attract this market, to target high value travellers in its key international markets of North America, Continental Europe, Singapore, Hong Kong and China.
In addition, Tourism Tasmania will seek to target those travellers who place a high importance on exploring Tasmania’s nature and wilderness and attending events only offered on our island.
Through aviation marketing support, Tourism Tasmania is able to raise demand in key markets influencing decisions by domestic airlines around new routes or extra capacity on existing routes. Tourism Tasmania has focussed its efforts in the Perth market off the back of new direct flights between Hobart and Perth announced by Virgin Australia in July 2018. For Tasmania, the greatest opportunity for demand growth is from April to September and Tourism Tasmania will look to convert known demand in the New South Wales and South East Queensland market, through advocating for increased flight frequency into both Launceston and Hobart.
The 2018-19 Budget provided specific funding of $600 000 over three years to Tourism Tasmania to develop an integrated marketing program for the existing Great Eastern Drive and Western Wilds drive journeys along with three new proposed journeys. With the launch of the Western Wilds in 2018, Tourism Tasmania has focussed its attention on developing a coordinated self-drive/touring strategy for the State which speaks to this particular market. Tourism Tasmania is working across government and with industry to implement the three new journeys, which will result in greater visitor yield and dispersal. Work will also focus on developing a southern drive journey which has been prioritised to encourage visitors to travel through the region following the recent summer’s bushfires.
A coordinated planning approach to the next iteration of the Tourism 21 -The Tasmanian Visitor Economy Strategy 2015 ‑ 2020 is fundamental to delivering a vision for the sector that can be embraced and supported by the Tasmanian community. Tourism Tasmania will work with industry and Government on planning for the Strategy’s next vision, while working with the four Regional Tourism Organisations to continue to improve collaboration to support the State’s regional visitor economies. Tourism Tasmania’s marketing program continues to be adapted to contribute to increased visitor spend and dispersal across the State. Tourism Tasmania’s research and insights function is also a core input into future planning and policy decision making.
Tourism brand management and leadership is at the heart of
Tourism Tasmania’s remit and a strong brand brought to life in a compelling way
is fundamental to the State’s success as a competitive destination choice for
travellers. The brand’s goal is to create awareness within Tourism Tasmania’s
target audiences, make audiences fall in love with Tasmania and prompt return
visits and advocacy. Tourism Tasmania has worked in parallel with Brand
Tasmania on the Tasmanian ‘place’ brand development and will continue to work
with the Authority to ensure that the State’s competitive strengths can be
maximised. Core to the success of the new brand will be industry’s engagement
and connection with it. Tourism Tasmania will embark on a comprehensive
engagement program with industry in all regions of the State to help communities
live the brand and leverage its success.
Tourism Tasmania has a single Output Group: Output Group 1 - Tourism.
Table 22.2 provides an Output Group Expense Summary for Tourism Tasmania.
|
|
2018-19 |
2019-20 |
2020-21 |
2021-22 |
2022-23 |
|
|
|
|
Forward |
Forward |
Forward |
|
|
Budget |
Budget |
Estimate |
Estimate |
Estimate |
|
|
$'000 |
$'000 |
$'000 |
$'000 |
$'000 |
|
|
|
|
|
|
|
|
Minister for Tourism, Hospitality and Events |
|
|
|
|
|
|
|
|
|
|
|
|
|
Output Group 1 - Tourism |
|
|
|
|
|
|
1.1 Tourism1 |
33 742 |
34 565 |
34 234 |
34 693 |
28 527 |
|
|
33 742 |
34 565 |
34 234 |
34 693 |
28 527 |
|
|
|
|
|
|
|
|
TOTAL |
33 742 |
34 565 |
34 234 |
34 693 |
28 527 |
|
|
|
|
|
|
|
Note:
1. Expenditure over the period to 2021‑22 reflects the full funding provided by the Government to implement its previous Tourism marketing commitments. The decrease in 2020‑21 includes the impact of the completion of fixed term funding for the Aviation Market Development Fund in 2019‑20. The decrease in 2022‑23 reflects the completion of fixed term Tourism marketing funding. Funding for 2022‑23 and ongoing will be considered during the development of future budgets.
Tourism Tasmania’s purpose is to connect travellers culturally and emotionally with the State, delivering social and economic benefits shared with all Tasmanians.
This Output primarily undertakes marketing activities that focus on building a strong distinctive tourism brand, delivering targeted marketing campaigns, and facilitating media coverage and social media activities to create destination exposure in key Australian and international markets.
The Output includes commercial marketing partnerships with carriers, retail travel networks, online travel retailers and other distributors of Tasmanian tourism products, to stimulate holiday sales and bookings to Tasmania.
This Output supports the development and growth of a strong regional tourism platform and is also responsible for ensuring that the future development and growth of Tasmania’s economy is matched with access capability.
|
Performance Measure |
Unit of Measure |
2016-17 Actual |
2017-18 Actual |
2018-19 Target |
2019-20 Target |
|
|
|
|
|
|
|
|
Visitors to Tasmania1,2 |
'000 |
1 274 |
1 300 |
1 446 |
1 500 |
|
Interstate leisure visitation to Tasmania1,3 |
'000 |
784 |
782 |
849 |
850 |
|
International leisure visitation to Tasmania4,5 |
'000 |
228 |
279 |
219 |
295 |
|
Local tourism strategies with Regional Tourism Organisations |
Number |
4 |
4 |
4 |
4 |
|
|
|
|
|
|
|
Source: Tourism Research Australia for International Visitor Survey and Tourism Tasmania for Tasmanian Visitor Survey.
Notes:
1. The 2016‑17 Actual for this measure has been updated since the 2018‑19 Budget to reflect revisions to TVS data resulting from the inclusion of previously unreported flight data.
2. Visitors to Tasmania travelling on scheduled air and sea services sourced from TVS.
3. Includes holiday and VFR (visiting friends and relatives) only, sourced from TVS. It does not include visitors to Tasmania for business, education or other purposes.
4. Data for this performance measure is sourced from the IVS.
5. The 2016-17 Actual for this measure has been updated since the 2018‑19 Budget to reflect the recasting of IVS figures.
|
|
2018-19 |
2019-20 |
2020-21 |
2021-22 |
2022-23 |
|
|
|
|
Forward |
Forward |
Forward |
|
|
Budget |
Budget |
Estimate |
Estimate |
Estimate |
|
|
$'000 |
$'000 |
$'000 |
$'000 |
$'000 |
|
|
|
|
|
|
|
|
Revenue and other income from transactions |
|
|
|
|
|
|
Appropriation revenue - operating1 |
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
Other revenue2 |
610 |
750 |
610 |
610 |
610 |
|
Total revenue and other income from transactions |
33 614 |
34 374 |
34 202 |
34 676 |
28 524 |
|
|
|
|
|
|
|
|
Expenses from transactions |
|
|
|
|
|
|
Employee benefits |
6 312 |
7 181 |
7 344 |
7 509 |
7 716 |
|
Depreciation and amortisation |
128 |
411 |
410 |
410 |
410 |
|
Supplies and consumables |
25 553 |
25 230 |
24 750 |
25 071 |
18 713 |
|
Grants and subsidies |
1 680 |
1 550 |
1 550 |
1 550 |
1 550 |
|
Borrowing costs |
.... |
123 |
110 |
82 |
67 |
|
Other expenses |
69 |
70 |
70 |
71 |
71 |
|
Total expenses from transactions |
33 742 |
34 565 |
34 234 |
34 693 |
28 527 |
|
|
|
|
|
|
|
|
Net result from transactions (net operating balance) |
(128) |
(191) |
(32) |
(17) |
(3) |
|
|
|
|
|
|
|
|
Net result |
(128) |
(191) |
(32) |
(17) |
(3) |
|
|
|
|
|
|
|
|
Comprehensive result |
(128) |
(191) |
(32) |
(17) |
(3) |
|
|
|
|
|
|
|
Notes:
1. Appropriate revenue ‑ operating over the period to 2021‑22 reflects the full funding provided by the Government to implement its previous Tourism marketing commitments. The decrease in 2020‑21 includes the impact of the completion of fixed term funding for the Aviation Market Development Fund in 2019‑20. The decrease in 2022‑23 reflects the completion of fixed term Tourism marketing funding. Funding for 2022‑23 and ongoing will be considered during the development of future budgets.
2. The increase in Other revenue in 2019‑20 of $140 000 represents an Australian Government Grant from Wine Australia to create global awareness around wine tourism experiences in Tasmania and to generate conversion opportunities that benefit both the tourism and wine industries.
|
|
2018-19 |
2019-20 |
2020-21 |
2021-22 |
2022-23 |
|
|
|
|
Forward |
Forward |
Forward |
|
|
Budget |
Budget |
Estimate |
Estimate |
Estimate |
|
|
$'000 |
$'000 |
$'000 |
$'000 |
$'000 |
|
|
|
|
|
|
|
|
Minister for Tourism, Hospitality and Events |
|
|
|
|
|
|
|
|
|
|
|
|
|
Output Group 1 - Tourism |
|
|
|
|
|
|
1.1 Tourism1 |
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
|
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
|
|
|
|
|
|
|
Tourism Tasmania |
|
|
|
|
|
|
Total Operating Services Expenditure |
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
|
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
|
|
|
|
|
|
|
Total Revenue from Appropriation |
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
|
|
|
|
|
|
|
Controlled Revenue from Appropriation |
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
|
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
|
|
|
|
|
|
Note:
1. Revenue from appropriation over the period to 2021‑22 reflects the full funding provided by the Government to implement its previous Tourism marketing commitments. The decrease in 2020‑21 includes the impact of the completion of fixed term funding for the Aviation Market Development Fund in 2019‑20. The decrease in 2022‑23 reflects the completion of fixed term Tourism marketing funding. Funding for 2022‑23 and ongoing will be considered during the development of future budgets.
|
|
2019 |
2020 |
2021 |
2022 |
2023 |
|
|
|
|
Forward |
Forward |
Forward |
|
|
Budget |
Budget |
Estimate |
Estimate |
Estimate |
|
|
$'000 |
$'000 |
$'000 |
$'000 |
$'000 |
|
|
|
|
|
|
|
|
Assets |
|
|
|
|
|
|
Financial assets |
|
|
|
|
|
|
Cash and deposits |
1 |
1 |
1 |
1 |
1 |
|
Receivables1 |
261 |
.... |
.... |
.... |
.... |
|
|
262 |
1 |
1 |
1 |
1 |
|
|
|
|
|
|
|
|
Non-financial assets |
|
|
|
|
|
|
Property, plant and equipment |
401 |
367 |
345 |
323 |
301 |
|
Other assets |
673 |
3 062 |
2 693 |
2 324 |
1 955 |
|
|
1 074 |
3 429 |
3 038 |
2 647 |
2 256 |
|
|
|
|
|
|
|
|
Total assets |
1 336 |
3 430 |
3 039 |
2 648 |
2 257 |
|
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
|
|
Payables |
36 |
40 |
40 |
40 |
40 |
|
Interest bearing liabilities |
.... |
2 403 |
2 044 |
1 670 |
1 282 |
|
Employee benefits1 |
1 312 |
1 495 |
1 495 |
1 495 |
1 495 |
|
Other liabilities1 |
57 |
71 |
71 |
71 |
71 |
|
Total liabilities |
1 405 |
4 009 |
3 650 |
3 276 |
2 888 |
|
|
|
|
|
|
|
|
Net assets (liabilities) |
(69) |
(579) |
(611) |
(628) |
(631) |
|
|
|
|
|
|
|
|
Equity |
|
|
|
|
|
|
Accumulated funds |
(69) |
(579) |
(611) |
(628) |
(631) |
|
Total equity |
(69) |
(579) |
(611) |
(628) |
(631) |
|
|
|
|
|
|
|
Note:
1. The variation in this item reflects a revised estimate based on 30 June 2018 actuals.
|
|
2018-19 |
2019-20 |
2020-21 |
2021-22 |
2022-23 |
|
|
|
|
Forward |
Forward |
Forward |
|
|
Budget |
Budget |
Estimate |
Estimate |
Estimate |
|
|
$'000 |
$'000 |
$'000 |
$'000 |
$'000 |
|
|
|
|
|
|
|
|
Cash flows from operating activities |
|
|
|
|
|
|
Cash inflows |
|
|
|
|
|
|
Appropriation receipts - operating1 |
33 004 |
33 624 |
33 592 |
34 066 |
27 914 |
|
Other cash receipts2 |
610 |
750 |
610 |
610 |
610 |
|
Total cash inflows |
33 614 |
34 374 |
34 202 |
34 676 |
28 524 |
|
|
|
|
|
|
|
|
Cash outflows |
|
|
|
|
|
|
Employee benefits |
(5 696) |
(6 457) |
(6 599) |
(6 746) |
(6 929) |
|
Superannuation |
(616) |
(724) |
(745) |
(763) |
(787) |
|
Grants and subsidies |
(1 680) |
(1 550) |
(1 550) |
(1 550) |
(1 550) |
|
Supplies and consumables |
(25 553) |
(25 147) |
(25 238) |
(25 546) |
(19 187) |
|
Other cash payments |
(69) |
(70) |
(70) |
(71) |
(71) |
|
Total cash outflows |
(33 614) |
(33 948) |
(34 202) |
(34 676) |
(28 524) |
|
|
|
|
|
|
|
|
Net cash from (used by) operating activities |
.... |
426 |
.... |
.... |
.... |
|
|
|
|
|
|
|
|
Net increase (decrease) in cash and cash equivalents held |
.... |
426 |
.... |
.... |
.... |
|
|
|
|
|
|
|
|
Cash and deposits at the beginning of the reporting period |
1 |
(425) |
1 |
1 |
1 |
|
Cash and deposits at the end of the reporting period |
1 |
1 |
1 |
1 |
1 |
|
|
|
|
|
|
|
Notes:
1. Appropriation receipts - operating over the period to 2021‑22 reflects the full funding provided by the Government to implement its previous Tourism marketing commitments. The decrease in 2020‑21 includes the impact of the completion of fixed term funding for the Aviation Market Development Fund in 2019‑20. The decrease in 2022‑23 reflects the completion of fixed term Tourism marketing funding. Funding for 2022‑23 and ongoing will be considered during the development of future budgets.
2. The increase in Other cash receipts in 2019‑20 of $140 000 represents an Australian Government Grant from Wine Australia to create global awareness around wine tourism experiences in Tasmania and to generate conversion opportunities that benefit both the tourism and wine industries.