The Australian motel industry has seen better days. No thanks to the global financial crisis, it has struggled in the last five years, registering an annual growth of -0.1% from 2010 to the beginning of 2015.
But, the darkest hour is just before the dawn. As 2016 approaches, motel owners are finally feeling some renewed economic optimism, which was practically non-existent for quite some time. Slowly but surely, the global economy is recovering. In addition, the falling of the Australian dollar plays a major factor in the overall tourism industry’s resurgence.
Strong Domestic Tourism
ResortBrokers.com.au says all experienced motel brokers in NSW, WA and VIC would tell you that every tourism property on the land is benefiting to some extent to the weakening of the AU dollar. The sharp fall of the currency in August made more Australians stay and go on holiday in the country rather than going overseas. This caused profound inbound growth, seeing significant increases in key aspects of the domestic tourism scene. Specifically, the number of nights spent in motels jumped at about 10%.
Improved International Visitor Arrivals
In addition, the number of international visitors in Australia increased by 6.7% relative to the previous year. Most of the tourists either spent a vacation or visited family and friends.
While Sydney remains the most population destination in the country, regional attractions never fail to get their own share of tourists curious about the hidden wonders of the Land Down Under.
As the competition amongst tourism properties has always been cutthroat, marketing motels to budget-conscious travelers is still a timeless trend. Backpackers are as ubiquitous in different states as ever, and the number of guests looking for less costly vacation options around the country doesn’t go down.
If you’re planning to invest in the a tourism property in Australia, 2016 seems to be a promising year for motels. By speaking with a specialist broker, you can find a handful of prospects at prime locations in Australia and give you advice to make a sound choice.