Guest nights fall in June as North Island snaps five months of gains

New Zealand guest nights fell in June as overnight stays in the North Island declined, snapping five months of gains in the island.

Seasonally adjusted guest nights dropped 3.2% in June, from May's revised gain of 2.5%, which had been the fastest pace since April 2014's 3.3% gain, according to Statistics New Zealand. Overnight stays in the North Island dropped 3.4%, the first fall since January, while in the South Island they declined 5.9%.

New Zealand tourism has been getting a boost from a weaker currency, which makes it more affordable for foreigners to visit, and got a fillip from events such as the Cricket World Cup earlier this year and the more recent Under-20 Fifa World Cup.

Today's figures show guest nights fell across all accommodation sectors except backpacker stays, which posted a seasonally adjusted 0.4% gain in June. Holiday park nights sank 9.3%, motel stays dropped 5.1% and hotel nights fell 4%.

Kiwis staying overnight also fell in the month, with domestic guest nights declining 5%, and international guests nights dropping 4%.

On an annual basis, national guest nights rose for a 15th straight month, up 3.1% to 1.93 million guest nights in the year ended June 30, the slowest annual pace since June 2014, the agency said. North Island annual guest nights also rose for the 15th consecutive month, up 2.7% to 1.23 million stays, while South Island stays increased 3.8% to 701,000.

International stays rose for the 19th consecutive month, up 8%, with domestic guest nights up 0.6% on an annual basis.

Total capacity in short-term accommodation expanded 0.8% in June compared to the same month last year. Occupancy rates increased to 30.4% from 29.3% the same month a year earlier.

(BusinessDesk)

Suze Metherell
Wed, 12 Aug 2015

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Guest nights fall in June as North Island snaps five months of gains