Tourism boom in regional Australia delivering valuable jobs and revenue to far-flung areas

The tourism boom enjoyed by regional Australia during the pandemic when there was nowhere else to travel is still going strong, and delivering valuable jobs.

After being ravaged by bushfires and crippled by Covid-19, Kangaroo Island off South Australia has been one of the regions to benefit the most from tourism post-pandemic.

Tourism Research Australia measured the value of tourism based on spending and employment, and found 38 per cent of all jobs on Kangaroo Island were in the travel industry, and tourism revenue accounted for 27 per cent of the region’s local economy in the 2023 financial year.

Other regions to fare well after borders finally fully reopened in 2022, were Victoria’s spa country of Daylesford and the Macedon Ranges where 48 per cent of jobs were in tourism and the Whitsundays in Queensland where more than one in five jobs were in the industry.

In most cases, the value of tourism was calculated as contributing much more to regional economies than pre-pandemic, as Australians explored their backyard and international visitors returned.

Owner of touring company Exceptional Kangaroo Island, Craig Wickham, said they were well ahead of what they were in their last “normal” year of 2018 with sales up 212 per cent, and passenger numbers up 174 per cent.

He said as domestic visitor numbers had dropped off due to cost of living and the allure of overseas travel, international tourists had returned in a welcome development.

“There is a lot of interest in how the place is looking post-fires — there was a lot of awareness around how the community and the environment was impacted,” Mr Wickham said.

“Southern Ocean Lodge has rebuilt, all the boardwalks are back in play, the wilderness trail, the vineyard’s had its first vintage post-fire — all of those things are reasons to come back.”

Having invested in a commercial laundry on the island during the pandemic, Mr Wickham said he had up to data on the health of the tourism industry at his fingertips.

“I call it the ‘laundry index’,” he laughed.
“We’ve done 100 tonne (of laundry) in the last 12 months. It is a bit quieter at the moment, and some of our clients are seeing the average length of stay reduced from four nights to two.”

SeaLink Whitsundays delivers guests to Hayman Island.

Tourism Whitsundays interim chief executive Aimee Cameron said the region had enjoyed a boom between 2021 and 2023, as the TRA figures showed.

However, she said recent trends indicated a shift towards more traditional travel patterns, with strong peaks in holidays periods and quieter troughs.

“With tourism supporting one in three jobs in our region, its importance to our local economy is critical,” said Ms Cameron.

“To continue thriving, the Whitsundays will need to rely on a resurgence in international visitation and sustained domestic visitation.”

Tourism Minister Don Farrell said it was clear tourism continued to be the lifeblood of regional areas, with the sector directly accounting for 6.7 per cent of jobs, opposed to 2.9 per cent in capital cities.

“We continue to support this crucial industry across Australia, including in our regions,” said Senator Farrell.

“We have supported significant upgrades to affordable accommodation in regional Australia through our caravan parks grants program, which has enabled operators to improve their facilities and amenities to attract more visitors.”

Senator Farrell encouraged Australians to “continue to get out and explore our magnificent country”.

“You will not only have a great experience, but you will also contribute to the creation of more jobs and opportunities in our communities,” he said.