December 2008

Rule
Andrew McEvoy

Andrew McEvoy

Chief Executive
South Australian Tourism Commission

From Andrew's Desk

There is no doubt that the current economic crisis will have a big impact on tourism. But it is my sincere belief that now is the time to get more competitive and aggressive in our push to tell the South Australian story.

Consumer confidence and employment are key tourism drivers and these areas are clearly struggling, but where are the opportunities?

Our dollar is weaker against major US and European currencies which will slow the massive flow of Australians overseas. Last year the number of Australians leaving the country on holiday outstripped those international visitors coming in for the first time ever. It is likely that some of this pent up demand will now take a holiday closer to home and this represents a tremendous opportunity.

With this in mind, the SATC has been working with the local and national industry and will implement a $4 million campaign into the key Melbourne, Sydney, Brisbane and Adelaide markets in the New Year.

The campaign will be the most integrated in recent years and will speak directly to the consumers about holidays they find appealing. The campaign will use TV, press, magazines and the online environment to ensure people are not just motivated by what they see, but have a clear option to follow this through to booking.

Steve Kernaghan (marketing chief) and his team have engaged with the national distribution system including Qantas Holidays, Virgin (Blue Holidays) and other wholesalers with a retail presence who have bought a stake in the campaign.

And the campaign will be measured on its ability to grow preference for our great destination and, more importantly, its ability to encourage them to call or advance their travel plans through the online environment. Ultimately this will lead to bookings in the coming months and years - an outcome we are all committed to.

So step one in this tough environment is to sell our State harder. And we are committed to that.

Step two is to continue in our role to bid for new and improved air access into the State. Airlines have definitely had to weather yet another storm in recent times with the price of oil having sky-rocketed before coming back down. And now the global economic melt down is testing the sector. And while carriers are talking less about expansion, they continue to be impressed by the business case tourism, economic development transport and the Adelaide Airport put to them on a regular basis.

It is my view that a City State like Adelaide (1.5m people with a great mix of leisure, business, events, convention and education) represents a more likely place to grow and expand than other more seasonal destinations reliant on just one or two of the above factors.

And finally there is our goal to help develop a more appealing SA of tomorrow - by attracting local and national investors who will develop and redevelop product of significant appeal to our consumers. Clearly, the lack of bank lending means that some of these projects are on hold.

But the SATC will continue its mission of hosting potential investors and working with those with plans to develop significant, aspirational developments on the tourism landscape.

Indeed, since coming into the role and pushing this area more vigorously, there has been no lack of enthusiasm from investors willing to take the risk on the huge opportunity tourism in South Australia represents.

So times are tough. But now is the time to be more competitive and to come out the other side of the crisis in global confidence with a stronger, better understood and more often travelled destination.



Andrew McEvoy

Chief Executive