Tourism & Travel

This industry provides services to international and domestic visitors on day or overnight trips. Tourists include those travelling for work-related purposes, such as conferences, and for leisure and personal reasons, such as visiting friends and relatives.

Tourism in Australia has faced a challenging environment over the past five years. During the years prior to and including 2010-11, the effects of the financial crisis limited the number of international travellers from traditional markets visiting Australia. However, record numbers of Australians took advantage of the high dollar to travel overseas. Although domestic tourism has grown over the past five years, it has remained weak relative to international travel as Australians have spent more time abroad. Combined with aggressive price competition in the industry, this has reduced industry profit margins.

The major states for tourism are New South Wales, Queensland and Victoria. One key factor affecting the distribution of the industry is each state’s share of the population. This is particularly relevant for domestic daytrips, but less so for domestic overnight trips given that about one-third of overnight trips are interstate.

Other important factors include the state’s share of international visitors, which is related to the availability of airline flights and seats, and whether or not the state is a major entry and exit point of Australia.

Source of Report – IBIS world (http://www.ibisworld.com.au)