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Opportunities as the Border Opens

Updated: Apr 25, 2021

Opportunities as the Border Opens | OneTeam Chartered Accountants

The Trans Tasman Bubble is here - meaning Kiwis will be looking again at offshore travel, and once again, New Zealanders can't wait for the return of quarantine-free Trans Tasman travel.

NZ Herald Saturday had the following to say:

"More than half of those surveyed in a New Zealand Herald-Kantar poll were considering booking a flight to Australia in the next year.

From Monday 19 April, New Zealanders are able to go to Australia and return without having to go into quarantine – albeit with the caveat of potential quarantine if there is an outbreak of Covid-19."

And we’ll be seeing Australian visitors again.

What numbers can we expect now that the Border Is Open? International Departures can only go one way and that is up!

Prior to COVID-19, NZ residents made about 250,000 departures per month to all destinations.

In Feb 2021 that number was down to 8,997.

There are estimates that departures could increase back to 125,000 per month. But are travel businesses ready?

As travel businesses have reduced costs to meet the COVID operating environment, they will be looking for cost effective and efficient solutions that are easily scalable when business returns.

Efficient Systems will be the key to operating with less staff.

It will be easier to attract good staff if you can offer flexible working hours, work from home and online training.

This means that systems need to be cloud based, using a system like Xero, Tramada or Virtual Travel Office (VTOU).

International Arrivals mean Tourism is also going to get a welcome boost.

Prior to COVID, there were about 320,000 tourists coming into New Zealand each month. In Feb 2021 there were just 5,297.

The opening of the Trans Tasman bubble could mean a return to inbound numbers of 160,000 per month, and that is going to be a welcome boost for the economy.

This means there could be five times as many potential Australian visitors as New Zealanders traveling the country. If all those travellers with itchy feet head our way, local attractions, restaurants, hotels and regional economies are going to get a big increase in revenues. Are Travel Businesses ready with the right systems in place? Tourwriter, Xero, Tourplan are cloud based and scalable.

Overseas visitor arrivals

Travel business owners and home based travel brokers will need to concentrate on servicing the inflow of customers – being in front of their existing clients, identifying new customers and maximising yield opportunities in the time of recovery ahead.

But getting the right systems, training, and support in place now will enable you to manage the growth and monitor the profitability.

Think Systems, systems, systems, to improve productivity.

Other business opportunities

It’s great news for travel and tourism operators but also for cafes, restaurants and others who have been missing large chunks of their market for some time now.

However, it also means another shift is needed, with many businesses moving out of slimmed-down or hibernation mode to take advantage of the opportunities. As with all things COVID, nothing is simple, and there’s no certainty. So keeping things fluid and flexible is key. And, there are also some positive opportunities to make some changes to the way your business runs to make the most of the new environment.

Review your Business Plan, your systems and talk to us if you need help to take advantage of the changing environment.


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