Canada

Market Overview Canada’s economy is showing signs of recovery as its major export markets – the US and Europe – return to growth. However, the economy remains weak and consumers continue to reign-in spending. Long-haul travel has suffered and, though Canadians still indicate a willingness to travel, they are looking closer to home and sales to destinations like New Zealand are being driven by discounting.

Between 1999 and 2008 total visitor arrivals from Canada increased by 60 per cent, with the strongest growth coming from holiday visitors. Much of this growth has been due to Air New Zealand’s direct air service between Auckland and Vancouver, which launched in November 2007.

Over half (59%) of Canadian arrivals are holiday visitors, over half are 45 years of age or older and two-thirds are first-time visitors to New Zealand. Ontario (Toronto) is Canada’s leading contributor to New Zealand arrivals followed by British Columbia (Vancouver).

Two-thirds of Canadian visitors include other destinations as part of their itinerary to New Zealand, with Australia being the most popular country en-route. Canadians tend to stay in New Zealand longer than their American neighbours, though average spend is slightly lower. Just over 70 per cent of Canadians travel beyond the main tourist centres to the regions.

Awareness of New Zealand in Canada is not as low as the US; but, one of the biggest challenges in this market is building perceptions that New Zealand is a good-value holiday option.

Unlike other long-haul markets, the distance and time it takes to travel to New Zealand is not a big concern to Canadians. They have a good understanding of where New Zealand is geographically and understand the distances required to travel long-haul.

The convenience of direct flights from Canada can’t be underestimated. Air New Zealand’s services on this route have eliminated the need to travel via the US, and US customs, which is a major plus for Canadian travellers.

Tourism New Zealand’s strategy in Canada is to continue building awareness of New Zealand as a holiday destination with 100% Pure New Zealand ‘Youngest Country’ brand advertising. We work closely with Air New Zealand in this market, with marketing activities are focussed primarily in the provinces of British Columbia and Ontario.

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