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To u ri sm
SPECIAL REPORT
Photo by Natalie Su
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F E AT U R E
Tou
Tourism pins hopes
on east coast surge
PRIMED MARKET: Much of the additional hotel capacity in Perth last year, including the 204-room Ritz-Carlton Perth, remained vacant in the aftermath of
campaigns, the state government Only a matter of weeks later,
has put the best-possible spin on
data showing a strong increase
however, the government fol-
lowed the advice of its chief
What we’ve got is a two-speed
in accommodation bookings and health officer, Andrew Robertson, economy - Evan Hall
visits to the regions. and banned inter-regional travel
But a broader look at the sector in WA, redirecting funding for
suggests the revival has been the ‘Do it in WA’ campaign to keep dropped by a far smaller rate than that period, and the reason was
more scattershot, particularly tourism operators on life support. the national average in June. because tourism is so seasonal
with regard to niche tour oper- To coincide with the lifting and driven by peaks and troughs.
ators, hotel rooms and meeting of most regional travel restric- Missing peak “What you had were a lot
Jordan Murray spaces in Perth. tions on May 29, the government The perspective from observers of businesses that invested in
jordan.murray@businessnews.com.au
The unpredictable nature of launched the ‘Wander out Yonder’ was the industry had recovered marketing, recruiting staff and
6-PAGE FEATURE COVID-19’s spread was a major campaign, which encouraged behind WA’s hard border, much to supplies for a peak period that
contributor to these issues. people from the metropolitan the frustration of Tourism Coun- never arrived.”
I
F much of the media cover- In March, the state govern- area to visit popular spots such cil WA chief executive Evan Hall. WA’s hard border has generally
age in recent weeks was to ment launched the ‘Do it in WA’ as Broome and Margaret River. “We lost Easter, the school hol- been seen as an effective public
be believed, Western Austral- campaign, a $5.2 million push for Tourism Minister Paul Papalia idays, and the best part of the health policy, because the state
ia’s tourism sector is mounting a WA locals to visit the regions to promoted extraordinary occu- opening season in the north,” Mr has recorded fewer than 800
major comeback across the board. prop-up businesses in the wake pancy rates in the South West, Hall told Business News. cases of COVID-19 while defying
Having backed the sector of Australia’s ban on international while data from Tourism Research “While everyone moved on, a national economic headwinds to
with two WA-focused marketing arrivals. Australia indicated visitation had lot of businesses did not survive grow by 1 per cent.
24 | November 16, 2020
X FEATURE
“For that part of the industry While the federal government
Data & Insights that fundamentally cannot oper- has telegraphed its bullish con-
1,274
ate without interstate visitors fidence in a COVID-19 vaccine
or staff from interstate … what being available at some point
would happen if we reach the in the next year, its own budget
end of March [2021], JobKeeper indicates the border isn’t likely to
runs out, and the hard border is reopen until late 2021.
ROOMS ADDED TO still in place?” The rollout of an effective
PERTH’S HOTEL Mr Hall got the answer he was
looking for. More than 70 per
vaccine both nationally and glob-
ally may also delay the extent to
MARKET IN 2019 cent of respondents said they which the border reopens, possi-
wanted the state government bly delaying a full reopening for
pays about $2,500 to quarantine to set a date for the border to years.
in a hotel room for 14 days. reopen, while a slightly smaller Some, such as the nation’s
For perspective, a back-of- number said they would support beleaguered airline, Qantas, have
the-envelope calculation using travel to all states and territories, acknowledged this pessimistic
results from Crown Hotel’s most bar Victoria and NSW. reality while pushing to at least
recent annual report finds that, That polling and the media resume business in the domestic
if that visitor spend was applied coverage that resulted were market.
to the occupancy rate its three likely factors in the state govern- Given the reality the industry
hotels in Perth recorded over ment’s change of stance just four now faces, one thing Mr Hall sees
the past financial year, it would days after its release. as favourable to WA as a tourism
earn just $4 million in revenue Now, as of November 14, WA destination is its diversity of
per month. will reopen its border to all geography and offerings com-
Without revenues from gaming states and territories that go 28 pared to the rest of Australia.
and other non-accommodation days without recording a locally Any success, though, will
services to offset those losses, transmitted case of COVID-19. depend on WA reopening its
that would equate to a year- It’s a decision Mr Hall believes domestic border to NSW and
on-year loss of more than $500 was well overdue. Victoria, where more than half
million for its WA businesses. “From August onwards, the of Australia’s population resides
“What we’ve got is a two-speed message [the state government] but are at present precluded
economy,” Mr Hall said. was hearing was that tourism from entering this state due
“The businesses that are very businesses were really busy,” he to their rates of community
busy are in regional accommoda- said. transmission.
It is unclear what effect a tion and hospitality.
“For those geared up for an
“That’s certainly what con-
sumers were seeing, but neither
Assuming trends hold and
both of those states effectively
partial reopening of WA’s out-of-state visitor who’s not
self-reliant, they’re the ones in
Perth customers nor ministers
were visiting the tourism busi-
quash spread of the virus, WA
should reopen to both by Decem-
trouble.” nesses that were empty. ber, in time to infuse a struggling
border will mean for the state’s This was at least part of the “It gave a perception that was industry with significant cash
reason why Mr Hall had so loudly not quite real.” flow.
beleaguered tourism sector. campaigned for WA to reopen its Many in the industry will Data from Tourism Research
border in recent months. likely breathe a sigh of relief, as Australia, however, indicates WA
He’s been careful in public welcoming a higher volume of could lose in this scenario, given
appearances to couch his lob- interstate visitors should allow it received just 9 million domes-
bying with the caveat that any the industry to try to meet the tic visitors in the past financial
easing of restrictions should be $15 billion quarter-on-quarter year compared to 30 million in
COVID-19. Photo: Gabriel Oliveira accompanied by sound guidance shortfall it finished with at the NSW and 23 million in Victoria.
from health professionals. end of June. Not that Mr Hall appears wor-
Not surprisingly, while con- that are busy are very busy, but By this past month, WA had Perth’s hotels market also ried; if he’s learned any lesson
vincing Perth residents to visit that doesn’t necessarily mean become a willing outlier to a stands to benefit, with TFE in the past six months, it’s that
the regions wasn’t the hardest they’re getting the value. national consensus that all states Hotels and Prendiville Group’s expectations and perceptions
sell given the pent-up demand, “Western Australians do not and territories would reopen addition of 230 extra rooms to hardly equate to an assured
the government’s $500,000 pitch spend as much as interstate to the rest of the country by Perth’s market this year now far outcome.
for ‘a Perth staycation’ had a visitors. Christmas. more realistic than it would have “Most of the industry will sur-
harder time gaining traction. “You’ve got volume but not nec- Perturbed by opinion polls appeared even three months ago. vive and perhaps even prosper
In Perth, hotel occupancy essarily the same spend.” that showed ongoing support for Still, few to no international without international travel if
rates, long heralded as a leading Hotels are illustrative of this a hard border, Mr Hall sought to visitors for the foreseeable future we open to all states in Australia,”
indicator for market perfor- dynamic. put his thumb on the scale, com- may yet present a challenge, Mr Hall said.
mance, plummeted, despite the Mr Hall points out that many missioning his own poll with given interstate visitors spent “The reason we’ll do well is
market adding more than 1,200 throughout the CBD would Ipsos to measure broader sen- just $1,156 when they arrived in we have a north and a south;
rooms in 2019, according to Busi- usually rely on out-of-state busi- timent about the duration and the state this past financial year, we have a winter and summer
ness News’s Data & Insights. nesspeople to stay in business. nature of WA’s hard border. compared to a $2,286 spend by season, and there are a lot of vis-
“What we got was a lot of Now, just small handfuls operate “The only polling I’d seen was, international tourists, per Tour- itors in Australia who’ve never
media coverage that wasn’t as venues for quarantining inter- ‘Do people like the border?’” he ism WA. been to WA before.
really representative of where national travellers. said. It would appear the public and “The four -or five-hour flight
the industry was at,” Mr Hall Though the service meets a “We were trying to get the private sectors in Australia have might have been a barrier in the
said. public health need, it is far from sense of whether the community made peace with the indefinite past, but it will make us seem like
“Those who are not doing well sustainable operating practice, thought this was a long-term disappearance of international the international holiday [tour-
are doing very badly, and those given each returning traveller thing. tourists. ists] can’t otherwise have.”
November 16, 2020 | 25
FEATURE TOURISM
Data & Insights WA’s LARGEST HOTELS-RESORTS
Ranked by star rating, then by total number of rooms
No. of
Business Largest
Year est. Total staff Total No. of Convention Meeting
Rank Company name Senior executive and title in WA in WA Rooms Rooms Capacity Star Rating Hotel or resort operator
Mr Andrew Cairns
1 Crown Towers Perth Executive general manager
2016 6,000 500 15 1,550 6 Crown Hotels
Mr Rob Weeden
2 Pan Pacific Perth General manager
1973 338 486 18 700 5 Pan Pacific Hotels Group
Mr Andrew Cairns
3 Crown Metropol Perth Executive general manager
2003 6,000 395 15 1,550 5 Crown Hotels
Mr Peter Brampton
4 The Westin Perth General manager
2018 235 368 9 840 5 Marriott International
Mr Ribhu Chatterjee
5 Hyatt Regency Perth General manager
1988 429 366 15 1,000 5 Hyatt Hotels
Mr Riaz Mahmood
6 Duxton Hotel Perth General manager
1996 182 306 8 300 5 Duxton Hotels International
Mr David Constantine
7 Parmelia Hilton Perth* General manager
1968 284 10 450 5 Hilton Hotels and Resorts
InterContinental Perth City Ms Anna Edie InterContinental Hotels &
8 Centre Area general manager
2017 120 240 4 120 5 Resorts
Ms Alexis Hvalgaard
9 Fraser Suites Perth General manager
2012 90 236 5 300 5 Frasers Hospitality
Mr Dario Orsini
10 The Ritz-Carlton Perth General manager
2019 190 205 8 450 5 The Ritz-Carlton
Ms Lisa Parker
11 QT Perth General manager
2018 170 184 6 5 QT Hotels & Resorts
Mr Leighton Yates
12 Pullman Bunker Bay Resort General manager
2004 150 150 4 400 5 Accor Hotels
Ms Zoe Noonan
13 Peppers Kings Square Hotel General manager
2016 120 1 30 5 Mantra Group
Mr Tony Keane
14 Quay Perth Hotel General manager
2019 80 5 Louis T Collection
Ms Gabi Vincent
15 COMO The Treasury Director of sales and marketing
2015 48 4 80 5 COMO Hotels and Resorts
Ms Jane Ashcroft
16 Aqua Resort General manager
2010 41 1 21 5 Aqua Resort Management
Rendezvous Hotel Perth Mr Matthew Richardson
17 Scarborough General manager
1987 200 337 24 680 4.5 TFE Hotels
18
Data & Insights GET THE FULL LIST ONLINE businessnews.com.au/bniq/hotels-resorts
41 * Parmelia Hilton is closed until February
All information compiled using surveys, publicly available data and contact with industry sources. Other companies may be eligible for inclusion. If you believe your company is eligible, please email: claire.byl@businessnews.com.au
WND: Would Not Disclose, NFP: Not For Publication, N/A: Not Applicable or Not Available.
26 | November 16, 2020
SPONSORED CONTENT
Insight Brings
Luxury Retreat
Closer to
Realisation
of Dream
L to R: Stewart Blizard (Managing Director of Insight Advisory Group), Scotty Harvey (Financial Advisor at Insight Advisory Group), Emma Rashleigh and Paul
Rashleigh (Directors of Amaroo Retreat & Spa)
Paul and Emma Rashleigh would have to be a wizard to However, Emma explains
were looking for a valuation achieve such optimistic turno- Paul thrives on a challenge EXCLUSIVE OFFER
on their 53 acre luxury retreat ver from just eight chalets. and as COVID-19 hit and the Visit amarooretreat.com.au/book-accommodation-
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to the extent Paul says it feels This is despite the catastro- tourism destination. The Rashleigh’s have anoth- “It’s important to have
just like another division of one phe of COVID-19 that hit just It started as a small, wood- er business, ABS Solutions, a someone like us to talk to and
of his companies. as the operation opened its lux- en house with a dirt driveway commercial building and main- work things through.”
“Stewart came out and I urious new restaurant and bar. that they fondly refer to as tenance company that Paul
Insight Advisory Group is a
realised pretty quickly he did “Anyone will tell you that their ‘love shack’. They had started as a plumber at Perth
multi-service financial advi-
more than just valuations,” business is tough,” Paul says. sold a much more glamorous airport 26 years ago.
sory firm with clients across
Paul explains. home when they moved to the Recently the couple built
“But when you throw in multiple industries including
“My mind spins a million COVID-19 it’s like you’re property that was only ever their new home near Amaroo
hospitality, manufacturing,
miles an hour with ideas and climbing a mountain and intended as a short-term home. that is giving rise to a new
business venture, Rashleigh and tech.
I can give them a call anytime you’ve just about reached the “There was no infrastruc-
for advice and bounce ideas off top and someone throws in ture in place at all to support a Signature Homes. insightperth.com
them. Stewart responds with another 200 metres. business like this, so we started Stewart says Emma and
honesty and clarity, and that’s “It was tough to close the bar from scratch, in everything, Paul are a very entrepreneurial
what I need.” and restaurant when it had just from building to marketing, team and will always achieve
Insight’s support for Amaroo opened. We employ all local everything,” Paul says. great things in business. He
stretches from tax advice, to people and to watch the staff Three years into operation, says Insight plays a big role in
business strategies, and man- walk out and close that gate the Amaroo Retreat and Spa is consolidating their interests
aging the company’s payroll. hurt. an award-winning business. and ensuring they maintain
The services also include “COVID was just hell. It really It sits serenely in state forest focus.
business projections and Paul shook our foundations across less than an hour’s drive from “Staying focussed is impor-
recalls that when the forecast every business. I’ve never Perth’s CBD. It has a gener- tant and we meet often to talk
from Insight arrived in his worked so hard as I have in the ous menu of spa treatments, about business goals, develop
in-tray, he laughed. He called last few months trying to keep superb chalets, a pool, a bar, strategies and to make sure
them up describing it as ‘Harry the business running and keep- and a restaurant set in beautiful they are staying on track,”
Potter’ predictions because he ing people employed.” gardens. he says.
November 16, 2020 | PB
FEATURE TOURISM
RETURN: Martin North says it is important to ensure tourism operators look after guests so high tourism numbers are maintained long term.
Photos: Madeleine Stephens
Local focus a good fit
for Great Southern
Can the Great Southern continue to attract large numbers of visitors
after the state opens its borders?
Madeleine Stephens Significant increases in visitor record-breaking this year,” Ms van finding it hard to maintain staff- out Yonder’ campaign, encour-
madeleine.stephens@businessnews.com.au numbers were reported in the Gorp told Business News. ing levels. aging young people to take a
Great Southern, which includes In a normal year, she said, 30 Quality Apartments Banksia working holiday in regional WA.
BINTANGS in Bali and European Denmark, Albany and Mt Barker. per cent of annual visitors were Gardens Albany director Martin Despite the increase in intra-
escapes were replaced by shorter One of the region’s premiere from interstate and 20 per cent North said finding staff had been state visitors, the Tourism Council
breaks close to home for many attractions, the Valley of the from overseas. a problem. WA said it was not enough to
Western Australians in 2020, given Giants Tree Top Walk, had 14,000 Destination marketing organ- Initially, he said, it was very compensate for the $286 million
the hard border restrictions. visitors in the October holiday isation Amazing South Coast quiet with too many staff and lost because of the absence of
Trading flights to Italy for a period, a 20 per cent increase on executive officer, Peter Grigg, then it was incredibly busy with interstate tourists, who tended to
road trip up north, Western Aus- the same holiday period last year. said accommodation bookings not enough staff. spend more.
tralians flooded local tourism The walk also attracted 50 per remained strong, and instead of “Some ads had no replies,” Mr The effects of this shortfall had
destinations as soon as regional cent more visitors in the July having a peak and a trough in North said. been felt by indigenous tour and
restrictions were eased, with school holidays on 2019 figures. between July and October, the In response to worker short- retail business Kurrah Mia.
data showing intrastate visitor Nearby, Albany’s Historic Whal- region had maintained a high ages, the state government Owner and Menang elder Ver-
spending grew by $72 million in ing Station also proved popular. plateau. initiated the ‘Work and Wander nice Gillies said while Albany
July compared to the previous General manager Elise van “No peak or trough, it hasn’t
period. Gorp said the centre, which reo- backed off; bookings have been
The state government’s pened for business in June, had very, very strong,” Mr Grigg told As operators, we have to
‘Wander out Yonder’ campaign experienced high visitor numbers Business News.
helped increase the amount of in traditionally quiet periods. While welcomed broadly by make sure we look after this
traffic to industry websites and “While the July school regional tourism operators, the
market, because it is a new market
tourism operators by eight times holidays is traditionally our qui- influx of visitors had caused
the level of a year prior. etest school holiday period, it was issues, with some businesses - Martin North
28 | November 16, 2020
TOURISM FEATURE
HOLIDAYS: Visitors to Denmark’s Tree Top Walk increased by 20 per cent in the October LUNCH: The Lake House Denmark has been welcoming
school holidays. Photo: Tree Top Walk tourists for 15 years.
had been busy with tourists, she
believed they were holding on to
their money.
“Our shop for a while was
bringing in absolutely nothing,”
she said.
“It’s gradually picking up,
people are wanting to buy smaller
things for Christmas.
“They want to send things over-
seas and interstate, small things
that won’t cost a fortune to post.”
Open for business
In late October, Premier Mark
McGowan announced an end to
WA’s hard border from November
14, allowing visitors from the rest
of Australia, apart from NSW and
Victoria, to enter the state without
undergoing two weeks of quarantine.
Amazing South Coast’s Mr Grigg
told Business News there were
mixed reactions to the premier’s
announcement among business
MUSEUM: Pre-COVID-19, 30 per cent of visitors to Albany’s Historic Whaling Station were from interstate and 20 per
owners with whom he had spoken.
cent from overseas.
“I know some businesses wel-
comed it, and others are going:
‘Well, we have been extremely organisations, we need to make Quality Apartments Banksia destination on its ‘Best in Asia “We need to bring more people
strong just with West Australians sure we are not relaxing our mar- Gardens Albany’s Mr North said it Pacific’ list. to our region, that is very impor-
at the moment’, and some are reluc- keting intent, but are actually was important to ensure tourism According to the state govern- tant, and I think that if there is
tant to change that,” Mr Grigg said. building it so we are front and operators looked after guests so ment, overnight visitors to Albany a centrally located property near
He said there would be extra centre when people have a week tourism numbers could increase grew 26 per cent from March 2018 the convention centre, it does
competition when the rest of the or two off … and they are looking in the long term. to March 2019. open us up to take on bigger
world opened up. for something to do, they are not “As operators, we have to make During the same period, over- events.
“I would think once the world going north, they are not going sure we look after this market, night domestic visitor numbers “I think when there are some
starts to relax, the number of east, they are going south,” Mr because it is a new market,” he said. increased from 346,000 to 441,000, bigger events there is often some
special deals, discounts, two-for- Grigg said. “We are seeing a lot of younger an increase of 27 per cent. spill, which means all properties
ones, 50 per cent off deals, right The Lake House Denmark man- people come through. Our demo- Numbers could increase fur- will see a benefit from that.”
around the world, right across all aging director Garry Capelli said graphic is normally a bit older so I ther, with a 108-room Hilton The state government is devel-
cruise ships, they will be out there many who came to the region think we have a great opportunity hotel on Albany’s waterfront due oping the site around the old
chasing every customer that they this year were first-timers, and to showcase our region and give to open early next year, owned by Esplanade Hotel at Middleton
can,” he said. he expected they would return if customers a good experience in local businessman Paul Lionetti Beach, which was acquired and
Mr Grigg said Amazing South they had enjoyed their visit. the hope that they will come back.” (see page 16). demolished by a Singaporean
Coast was trying to increase its “If they have a good experience Mr North said while the new company in 2007.
marketing so people returned to the first time, people are more Expansion hotel may take some of Banksia In July, the government said it
the Great Southern, even when likely to go back to that memory,” Of course, the Great Southern Gardens’ business, hopefully it was hoping to build six villas for
Western Australians were able to he said. was not exactly a hidden wonder, would encourage more people to commercial or residential use.
travel interstate. “Human beings are creatures of waiting to be discovered. visit the region. • Business News was recently
“It means for us, and for similar habit and they tend to like doing In 2019, Lonely Planet named “I think sometimes competition hosted by Taste Great Southern
bodies, as destination marketing the same things.” southern WA as the number one is a good thing,” he said. on a tour of the region
November 16, 2020 | 29
To u ri sm
SPECIAL REPORT
Data & Insights
Showing 6 of 4,115
Burt joins tourism board
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Photo by Natalie Su
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