Annual Report 2005 | 2006

Transcription

Annual Report 2005 | 2006
Tourism Australia
Annual Report
2005 | 2006
Annual Report 2005 | 2006
29 September 2006
The Hon Fran Bailey MP
Minister for Small Business and Tourism
Parliament House
Canberra
ACT 2600
Dear Minister
I have pleasure in presenting the second annual report of Tourism Australia
for the period 1 July 2005 to 30 June 2006 in accordance with clause 39 of the
Tourism Australia Act 1994 and Section 9 of the Commonwealth Authorities and
Companies Act 1997 and in accordance with the Finance Minister’s Orders.
Yours sincerely
The Hon Tim Fischer AC
Chairman
Tourism Australia
Tourism Australia Annual Report 2005|2006
Contents
Contact officer
For more information about this report please contact:
General Manager
Corporate Affairs
Tourism Australia
GPO Box 2721
Sydney NSW 1006
Telephone 61 2 9360 1111
This report can be accessed online at www.tourism.australia.com
Chairman’s report
4
Japan
62
Managing Director’s report
6
Gulf Countries
64
Principles
8
New Zealand
65
Highlights 2005-2006
9
United Kingdom and Europe
A Uniquely Australian Invitation10
United Kingdom and Ireland
66
Objectives and outcomes16
France
67
Corporate governance
20
Germany
68
Organisational structure
22
Italy
70
Ecologically sustainable development
and environmental performance
Switzerland and Austria
71
23
Nordic Countries
72
Netherlands
72
Additional information sources
2005-2006 Portfolio Budget Statements
2005-2006 Portfolio Additional Estimates Statements
Report of Operations
Tourism Australia Annual Operating Plan 2005/06
Tourism Australia Corporate Plan 2005/06— 2007/08
Corporate Services
26
Strategy and Research
28
Financial Report
Industry and Organisational Development
32
Independent Audit Report
78
Marketing
40
Statement by directors
80
International Operations
46
Income Statement
81
Balance Sheet
82
Statement of Cash Flows
83
Statement of Changes in Equity
84
Schedule of Commitments
85
Schedule of Contingencies
86
Notes to and forming part
of the Financial Statements
87
Freedom of Information
Tourism Australia is a prescribed authority under the Freedom
of Information Act 1982. One freedom of information request
was received by Tourism Australia during the review period.
Tourism Australia’s contact officer for freedom of information
requests is Mark Davis, Risk and Administration Manager.
© Copyright Commonwealth of Australia
This work is copyright. Apart from any use permitted under the
Copyright Act 1968, no part may be reproduced without prior
written permission from the Commonwealth. Requests and
enquiries concerning reproduction and rights should be addressed
to the Commonwealth Copyright Administration, Attorney
General’s Department, Robert Garran offices, National Circuit,
Barton ACT 2600 or posted at http://www.ag.gov.au/cca
International markets
The Americas
Canada
52
United States of America
52
Asia
China
54
Hong Kong
55
India
56
Korea 57
Malaysia
58
Singapore 59
Taiwan
60
Thailand
61
Other international markets
74
Glossary112
Index113
Tourism Australia overseas offices114
Tourism Australia Annual Report 2005|2006
Chairman’s report
This has been an extraordinarily interesting and
exciting year for Tourism Australia, especially with the
successful launch of the new international marketing
campaign A Uniquely Australian Invitation, but with
many other decisions and developments as well.
The launch of the marketing campaign was one of
our biggest successes. There has been a huge increase
of more than 70 per cent in hits to the Tourism Australia
website and more than 800,000 people from about 200
countries have played the online advertisement. This
was greatly helped by the Prime Minister of Great Britain
making strong references to the campaign. A jetlagged
Tony Blair remarked: ‘And so I am thinking, so where the
bloody hell am I?’ at Parliament House, Canberra!
We had 5.5 million international tourists inbound to
Australia last year, a number we are aiming to increase
with more high yielding travellers. We absolutely
want to achieve an increased tourism spend and
tourism spread around Australia as key objectives.
China is one of our fastest growing markets and we
have made great progress with a further Memorandum
of Understanding between Australia and China,
signed by the Minister for Small Business and Tourism,
the Hon Fran Bailey, and Chairman of the China
National Tourism Administration, Mr Shao Qiwei.
China is in many ways like the Japanese market was in that
initial phase of upswing some 15 to 20 years ago but moving
rapidly, moving upmarket with more independent travellers,
moving with larger and larger numbers inbound. The United
Kingdom remains one of our core markets, because when
the British tourists come they spend more than most.
Minister Bailey has opened a new office of Tourism
Australia in Toronto, Canada, helping our Canadian effort
with the growth of the snowbird
and are sending events to Australia.
has joined us as Executive Chair of
market. These are Canadians, often
retirees, who choose to avoid their
winter in December, January and
February and who often stay here for
four to eight weeks. They spend big
and they travel around Australia — so
they really are the perfect target.
Internationally, we are not targeting
one group to the exclusion of others,
but we are very conscious that the
target group of Experience Seekers will
deliver greater spend and dispersal.
A breakthrough is the rise in
business events tourism from India
to Australia. Large Indian companies
have held their key client conferences
and conventions on the Gold Coast
and elsewhere. Increasingly the Gulf
Countries are showing greater interest
The acid test is the survey by
Lonely Planet in the second half of
the financial year, after the campaign
launch, which showed that Australia
had jumped past Thailand and the
United States as the number one
destination that British independent
travellers and backpackers want to visit.
It is a really great indication that we are
winning conversion from the campaign
in exactly the target areas we want.
The Australian Experiences,
commonly known as niche tourism,
which picks up on areas such as
Indigenous tourism, rail heritage
tourism, wine and food tourism,
nature based tourism and adventure
tourism, are also going very well.
Former Senator Aden Ridgeway
Indigenous Tourism Australia and
has helped drive Indigenous tourism
efforts in conjunction with the
board and senior management.
I much appreciate the strong support
from the Board and its commitment,
which has involved members attending
some extra meetings, often at short
notice, over the year. I particularly
praise the staff at all levels in their
work throughout the year. Yes,
there have been some changes, but
this is an industry of change and
Tourism Australia has been right up
front with many breakthroughs.
Tim Fischer
Chairman
Tourism Australia Annual Report 2005|2006
Managing Director’s report
Tourism Australia is the custodian of a proud legacy of
promoting Australia as an authentic, experience-rich
destination. It also holds an important trust with the
550,000 Australians who work in this major industry
and the thousands of businesses that employ them.
With great support from the Australian Government
and the tourism industry, Tourism Australia has taken
some impressive steps forward in 2005/06:
>We have developed some innovative new global
partnerships with some of the world’s most influential
travel and media brands, such as National Geographic
and the Discovery network, to name a few. At the
same time we strengthened our relationship with
existing partners, especially Qantas and American
Express. All of these are strongly connected to our
global target audience — the Experience Seeker.
>Our global strategy is in place and enjoys strong support
>Action plans are being implemented to secure our
major base markets such as the United Kingdom,
Japan, New Zealand and the United States, and we are
beginning to realise major growth opportunities in
China, Korea and India. These efforts are also focussed
on driving growth from our dispersal markets of
Europe, in particular Germany, ensuring the benefits
of tourism go well beyond the major gateways.
— with a focus on yield and dispersal that positions
Australia as a destination that competes on the quality
of our experience, not the price of the ticket.
>Our new A Uniquely Australian Invitation global campaign
is up and running and getting a great response. The
television commercial ‘So where the bloody hell are you?’
was judged one of the 30 best Australian advertisements
of the last 50 years. Nearly 200 million people in 11
key markets around the world have now viewed the
campaign through television, print, cinema or online.
There have been more than 800,000 downloads from the
www.wherethebloodyhellareyou.com website, from more
than 200 countries.
>We have also taken up the challenge of getting
Australians to consider taking more holidays in their
own country through our new No Leave, No Life pilot
program and national media partnerships. We are
putting some great content about Australian holiday
destinations in front of Australian consumers.
Australia still faces enormous competition from other
destinations around the world. The key for Tourism Australia
will be to consistently and sustainably implement all of
these plans, strategies and initiatives to make the best use of
the resources provided to us by the Australian Government
and the tourism industry. To this end Tourism Australia
has recently made some changes to its global operations
structure, to help better align its operations with the strategy.
This has been a landmark year for Tourism Australia. Our
achievements have been earned through the leadership,
quality, experience and focus of Tourism Australia’s people,
whom I sincerely thank for their outstanding efforts.
They have worked with and had the strong support of the
Australian tourism industry and the Australian Government.
Tourism Australia’s continued success will depend
critically on all of these elements remaining in place.
Scott Morrison
Managing Director, 2005/06
Tourism Australia Annual Report 2005|2006
Principles
Our vision
Tourism Australia is a leverage marketing organisation that has adopted the vision to become
and remain the best national tourism organisation (NTO) on the planet.
Our role
To stimulate sustainable international and domestic demand for Australian tourism experiences
and to influence the actions of the tourism and travel marketing matrix, by:
>championing a clear destination marketing strategy;
>articulating and promoting a compelling tourism destination brand;
>facilitating sales by engaging and supporting the distribution network;
>identifying and supporting the development of unique Australian tourism experiences;
>gathering and communicating reliable market intelligence and insights for improved decision making; and
>working with partners who can extend Tourism Australia’s influence.
Our goal
With the inception of Tourism Australia in July 2004, a key focus of tourism marketing is to create sustainable economic
benefit, through bolstering a vibrant tourism industry that in turn, will drive jobs growth for Australians.
To achieve this goal, Tourism Australia has set core industry and organisational objectives. These are as follows:
Industry Objectives
>To increase total visitor spending (yield from holiday/VFR visitors); and
>To maintain dispersal of that growing spend in regional areas.
Organisational Objective
>To increase the demand pool – increase international leisure travellers’ intention to visit Australia in the next 12 months.
Highlights 2005-2006
Increasing Yield
In line with Tourism Australia’s objective to increase the
yield generated by international visitors to Australia, there
was strong growth in length of stay and spend for the year.
In 2005/06 the Total Inbound Economic Value (TIEV) to the
Australian economy grew by three per cent to $18.8 billion
dollars. There was also a 12 per cent increase in the number
of nights international visitors stayed in Australia and a 10
per cent growth in spend, compared to the previous year.
New Global Campaign
Tourism Australia launched a new global destination
campaign, which it developed with global agency partners
M&C Saatchi and Carat. The Uniquely Australian Invitation
campaign was developed to move consumers from having a
high level of awareness of Australia to an actual intention to
visit the destination. The campaign was developed to target
the ideal visitor for Australia called the Experience Seeker.
No Leave, No Life
A major research study into the reasons for and the extent
of annual leave accrual by Australian employees was
completed. The research found that employees across the
country had stockpiled 70 million days of accrued leave
worth about $11 billion. The findings helped to underpin
the development of the No Leave, No Life program in
partnership with the Australian Institute of Human Resources
to tackle the issue. A pilot program encouraging staff to
take their accrued leave was rolled out in 13 companies.
Business and Major Events
A major events promotional strategy was implemented
to gain positive exposure for Australian business
and leisure tourism internationally and domestically
during the Commonwealth Games, FIFA World Cup
Soccer and selected events like rugby test matches.
An inaugural mission to China was also organised to
assess its interest in Australia as a destination for business
events and ability to deliver future business for the sector.
The mission included business round table discussions and
presentations with travel agents in Beijing and presentations
to corporate decision markers and trade in Shanghai.
Global Programs
Tourism Australia formed the Global Programs unit in
July 2005 to harness the opportunities generated by the
proliferation of global multi-channel media networks.
As part of the initiative a three year global partnership
was formalised with National Geographic and Discovery,
which will see the two organisations work cooperatively
with Tourism Australia to substantially enhance and
portray the brand proposition to a worldwide audience
of around 150 million people in 30 countries.
Queen’s Baton Relay
As the official tourism partner of the Queen’s Baton Relay,
Tourism Australia implemented a comprehensive program
of activities to raise the profile of an Australian holiday
with domestic consumers. A domestic public relations
program was developed involving the appointment of nine
Young Tourism Ambassadors to promote Australian holiday
experiences during their sectors of the Queen’s Baton Relay
in the lead up to the Melbourne 2006 Commonwealth
Games. The program achieved media coverage valued at
$500,000 through press, radio and television reports.
Indigenous Tourism Australia
Indigenous Tourism Australia (ITA) was formed in August
2005 with former senator Aden Ridgeway as Executive
Chair. ITA commenced work on a National Footprints
Strategy to promote Indigenous tourism products.
Domestic Tourism Content Strategy
The first of a number of media partnerships were established
as part of Tourism Australia’s domestic content strategy.
This strategy aims to harness industry support to present
a compelling Australian tourism proposition. The first
initiative was Explore magazine in partnership with Fairfax.
Tourism Australia Annual Report 2005|2006
11
A Uniquely Australian Invitation
A New Global Campaign for a New Era
Tourism Australia, and its predecessor the Australian Tourist
Commission, have been vigorously marketing Australia
internationally as a tourist destination for almost 40 years.
During this time Australia has established a reputation as an
innovator in tourism marketing and has built one of the most
successful and desirable destination brands in the world.
The new destination campaign developed for 2006
is the next stage in the evolution of Brand Australia,
building on the success of previous brand campaigns which
focused on reinvigorating awareness of Australia and
converting this awareness into actual travel bookings.
To achieve this Australia needs to cut through the
clutter of sameness in tourism destination marketing,
by presenting a compelling single brand proposition
about Australia to consumers in all markets.
Campaign Development
Over the years Tourism Australia has undertaken
significant consumer research to supplement its
acquired knowledge of markets and of consumer
behaviour. The organisation regularly undertakes both
quantitative and qualitative research, the results of
which shape Tourism Australia’s marketing programs.
This campaign was developed on solid consumer insight
and moulded with proven brand modelling techniques.
The development process included consumer testing of
concepts and elements including the final executions.
The result of this research provided confirmation that
the campaign would not only be acceptable to the target
consumer but would also deliver cut through and a platform
for a strong supplemental public relations program.
This research also helped to identify the ‘ideal visitor’ for
Australia – a group of consumers globally who desire what
Australia has to offer, based on current and prospective
competitive strengths as a destination and who can
satisfy the objectives of spend, growth and dispersal.
These target consumers are called Experience Seekers.
The Experience Seeker is not necessarily defined by
their age or which country they come from but how they
think and the experiences they are seeking from a holiday.
By targeting the Experience Seeker, Australia can take a
single, clear and consistent message to the world thereby
maximising the return on its marketing investment.
Central to the strategy is the objective of increasing
potential visitors’ intention to travel to Australia, as well
as creating a strong desire to tour widely in the country
and to spend more on Australian tourism products.
In developing and executing the global destination
campaign the key ingredients were:
>Brand positioning: From the leisure tourism
perspective the brand position was defined
as ‘Australia invites you to get involved’.
>Message strategy: This positioning was amplified
through a message tone which emphasised the
Australian character and provided a rich tapestry for
the execution of all communication elements. The
strategy was structured to achieve cut through and
provide a thirst for knowledge and engagement.
>Structure: This program commenced with the launch
of the advertising campaign featuring the tagline ‘So
where the bloody hell are you?’ and was supported with a
package of digital programs. This activity was supported
by a public relations campaign, harnessing the topical
nature of the advertisements and inviting international
travellers to experience Australia for themselves.
Campaign Creative
The aim of the creative is to link potential visitors with
the Australian experience, and motivate a reappraisal
of Australia. This requires a conversation to be had
with the consumer which starts with an invitation,
generates a discussion, then results in an enquiry and
booking, and concludes with an enjoyable holiday.
The proposition for the campaign, ‘Australia invites
you to get involved’ is delivered through a uniquely
Australian invitation with the ‘So where the bloody hell
are you?’ tagline, which captures the essence of Australia’s
famous warmth and hospitality and provides a personal
invitation to share in the uniquely open Australian
experience, defined by the personality,
lifestyle and environment of Australia.
The creative is uniquely Australian and
showcases the different and involving
experiences on offer. This is achieved by building
on the brand’s strength, the inextricable
link between the Australian people, lifestyle
and environment. The invitation is uniquely
Australian in tone and character. The creative
approach highlights amazing experiences and invites the
consumer to get involved through use of an irreverent and
charming tone. It is friendly and genuinely warm-hearted.
The campaign includes television and print advertising,
cooperative and retail activity, digital advertising, outdoor
advertising, point of sale, and direct marketing.
Creative developed for the global trade launch events,
which commenced rollout in February 2006 included:
>A television commercial — in 30 and 60 second versions
— featuring scenes of a variety of Australian tourism
experiences drawn from a broad palette. The scenes show
both iconic as well as new motivating experiences.
>A range of print and magazine executions showcasing
the diversity of experiences across Australia in a
range of geographical and environmental settings.
>Cooperative and retail executions based on the
same theme to support the brand-led activity.
While there are standard features of all executions in
the campaign, there are subtle variations for each market,
through the use of colloquial language translations and the
inclusion of different sets of experiences based on research.
Specific executions and combinations of executions have
been tailored for each market, within the framework of the
campaign creative concept. This tailoring has been designed
from the outset, to enable Tourism Australia to create a
campaign that is both globally consistent and locally relevant.
Timeline of Global Rollout
Launch to trade
Sydney
23 February 2006
New Zealand
27 February 2006
Major activity phase
Mediums
March to end June 2006
TV, Cinema, Online, Print
United States of America
7 March 2006
Mid March to mid May 2006
TV, Online, Print
Germany
10 March 2006
April to mid June 2006
TV, Cinema, Online
United Kingdom
13 March 2006
Mid March to end May 2006
TV, Cinema, Online
Hong Kong
20 March 2006
May to mid June 2006
TV, Online
China
20 March 2006
June 2006
TV, Online
Japan
27 March 2006
Mid April to end June 2006
TV, Cinema, Online
Korea
29 March 2006
June 2006
TV, Online
Tourism Australia Annual Report 2005|2006
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Objectives and outcomes
Objectives
Key Performance Indicators
Outcomes
Influence international visitors from key markets and
target segments to travel to and within Australia.
Increase interest in an Australian holiday – evidenced by
increased number of web sessions on australia.com (and
other web portals where available).
>During the year, australia.com and the destination campaign micro-site were visited by over 8.3 million users who viewed
some 55 million pages of content and imagery.
>Following the launch of the Uniquely Australian Invitation campaign there was a 30 per cent increase in visits
to australia.com around the world and a 71 per cent increase to Tourism Australia websites including the
www.wherethebloodyhellareyou.com micro-site.
Consumers preferring and intending to visit Australia by
segment and in comparison to competitors .
>Developed a global destination campaign to target the ideal visitor for Australia called the Experience Seeker.
Launched the global campaign, A Uniquely Australian Invitation, in key international markets to move these
consumers from a having a high level of awareness of Australia to an actual intention to visit the destination.
Public relations message, tone and image hits
target audience.
>Global program partners, Discovery and National Geographic worked cooperatively with Tourism Australia to substantially
enhance and portray the brand proposition to a worldwide audience of around 150 million people in 30 countries.
>A total of 1,008 international consumer and trade print, online and broadcast journalists and media crew
were hosted through the Visiting Journalists Program generating articles, programs and online material
with a publicity value at around $260 million and an audience of around 4.7 billion people globally.
Performance against individual campaign objectives.
>Tourism Australia conducted the country’s largest ever study on annual leave accrual, leading the way in unlocking
Australia’s 70 million days of stockpiled leave.
>Following the research on annual leave accrual, the No Leave, No Life campaign was launched to encourage Australians to
take their leave, giving a boost to the domestic travel industry.
Cooperative funding provided by marketing partners.
>Established the first of its national media partnerships as part of its strategy to harness industry support to raise the value
of Australian holidays with domestic consumers.
>The first media partnership initiative, the creation of Explore magazine with Fairfax, resulted in a six per cent circulation
increase for the host newspaper and 100 per cent take up of advertising opportunities by the tourism industry.
Continued production and distribution of research reports,
providing insights to assist more effective decision-making.
>In conjunction with the Destination Australia Marketing Alliance, a comprehensive international brand health and
communications tracking program was completed for all Tourism Australia’s Tier 1 and Tier 2 markets.
>A major, ground-up segmentation study of the Japan market was conducted, which identified and profiled high value
segments for Tourism Australia and the industry.
Continued delivery of products and services that are valued
by stakeholders (meeting stakeholder expectations) and
improvement of relationships with key industry stakeholders.
>In a survey of domestic and international key stakeholders, Tourism Australia’s activities, programs and staff were rated as
‘highly valued’ by stakeholders.
>The first ever series of regional forums were held across Australia, to provide stakeholders with information on Tourism
Australia’s programs and to collect feedback on how the organisation can better assist the industry.
Influence a larger percentage of Australians
to travel within Australia.
Foster a more sustainable tourism industry in Australia.
Tourism Australia Annual Report 2005|2006
19
Objectives
Key Performance Indicators
Outcomes
Increase the economic benefits of domestic
and international tourism to Australia.
Continued growth of domestic leisure and international
visitor spend.
>The Tourism Inbound Economic Value of international visitors to Australia in 2005/06 was $18.8 billion, an increase of 3
per cent compared to the previous year.
>Travel spending by the domestic overnight leisure market grew to $31 billion in 2005/06, an increase of 5 per cent.
Maintenance of leisure traveller dispersal/regional
visitor spend.
>In 2005/06 there was a 40 per cent dispersal of visitor nights spent outside Sydney, Melbourne, Brisbane and Perth.
Participation in Tourism Australia trade events and user
evaluation reports.
>The Australian Tourism Exchange (ATE) 2006 attracted around 2,000 Australian delegates from 650 companies to meet
with representatives of some 600 key overseas buyer companies from 40 countries.
>More than 25 international trade shows, travel markets and missions were organised by Tourism Australia in 15 countries
in Asia, Europe and North America.
>Tourism Australia hosted three familiarisations for corporate buyers from the United Kingdom, United States of America
and Asia.
>Four significant international events were organised by Team Australia, the marketing alliance between the Association of
Australian Convention Bureaux (AACB) and Tourism Australia.
Further enhancement of the Aussie Specialist Program
(numbers, participating in training and programs) and
expansion of distribution partners.
>The Aussie Specialist Program continued to be highly successful in the development of Australian specialist travel agents
around the world.
>Continued to grow the Aussie Specialist Program, with more than 10,000 agents in Asia, New Zealand, the United States and
Europe qualified by the end of June 2006. Close to 2,500 of these fully qualified agents are based in the United Kingdom.
Inclusion of new experiences in destination marketing
activities and broadening of consumer awareness of
the experiences.
>Indigenous Tourism Australia (ITA) was established and the development of a National Footprints Strategy was initiated,
with the aim of promoting more Indigenous tourism products.
>Researched the best Australian experiences and developed copy and images to describe these experiences including
beaches, wilderness areas and nature-based activity, the Outback, Aboriginal Australia, distinctive capital cities and
Australian hospitality inspired by fresh produce, food and wine.
>Tourism Australia was the primary sponsor in the development, implementation and evaluation of the joint Caravan Safari
Trails Pilot Program. This was designed to tap into the $6.7 billion market of caravan and campervan tourists who travel
throughout Australia each year.
Positive media coverage of Tourism Australia activities.
>The launch of the global campaign generated over 1,000 stories in the print and electronic media both nationally and
internationally, and sparked new interest in Australia as a destination.
>As the official tourism partner of the Queen’s Baton Relay, Tourism Australia conducted a very successful domestic tourism
campaign. The campaign achieved media coverage valued at $500,000 through press, radio and television reports.
Ensure Tourism Australia’s activities and
programs are valued by stakeholders.
Sustainable increase in destination demand pool.
Tourism Australia Annual Report 2005|2006
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Corporate governance
The Board of Directors
Tourism Australia is governed by a
10-member Board of Directors, which
reports to the Federal Minister for
Small Business and Tourism. The main
role of the Board, which is defined by
the Tourism Australia Act 2004, is to:
>ensure the proper and efficient
performance of Tourism Australia’s
functions
>determine Tourism Australia’s
policy in relation to any matter.
The Tourism Australia Board is
responsible for a governance
framework to ensure that it
achieves its statutory mandate.
As a public sector agency, Tourism
Australia must be conversant
with the general policies of the
government of the day, as well as
be informed about key ministerial
directions, and Commonwealth
guidelines on major initiatives
that relate to the organisation.
The Chairman
The Chairman and the Managing
Director are separate appointments
to ensure appropriate accountability
and greater capacity of the Board for
independent decision-making. The
Chairman ensures that sufficient
Board meetings are held to enable
it to perform its duties responsibly
and that appropriate agenda items
are placed before the Board. The
Chairman exercises control over the
quality, quantity and timeliness of
the flow of information between
management and the Board. He
or she is also responsible for the
conduct of meetings of the Board.
Board meetings
The regular Board papers make directors
aware of current and forthcoming issues
relevant to the organisation’s operations
and performance. These papers contain
the year-to-date financial performance
of all business groups (compared to
budget), a report from each of the
executive management team, proposals
for significant contracts and tenders,
plus papers relating to particular issues.
Senior management also presents
significant matters to the Board.
Personal and corporate integrity
All directors and employees are
expected to act with the utmost
integrity and objectivity, striving at all
times to enhance the reputation and
performance of Tourism Australia.
The Board subscribes to the code
of conduct based on principles
recommended by the Australian
Institute of Company Directors. The
code specifies values and behaviours
in terms of fairness, equity, lawful
obedience, honesty, openness, respect,
loyalty, integrity, protective care,
efficiency, personal development
and leadership, which all employees
have a responsibility to comply.
Tourism Australia has developed
and implemented a code of conduct
for its employees, which is consistent
with these values and behaviours.
Separate policies cover
discrimination, employment,
harassment, health and safety and
other business practices such as email
usage, fraud control and security.
Disability/Discrimination
Tourism Australia’s employment
policies, procedures and practices
comply with the requirements of the
Disability Discrimination Act 1992, the
Racial Discrimination Act 1975 and
the Sex Discrimination Act 1984.
Tourism Australia offers flexible
working arrangements and supports
staff in undertaking opportunities for
personal and professional development
as outlined in the Tourism Australia
Certified Agreement 2005-2008.
The range of mechanisms provided
by Tourism Australia to enhance
communication and consultation
includes the Joint Consultative
Committee and regular staff surveys.
Conflicts of interest
The Board has in place policy and
procedures for the disclosure and
resolution of any matter which may
give rise to actual or potential conflicts
between the interests of a director
and those of the organisation.
Risk management
The Board adopts practices designed
to identify significant areas of
business risk and to effectively
manage those risks in accordance
with the organisation’s risk profile.
Board Sub-Committees
The Board carries out its duties
through two Board committees.
These committees meet regularly and
make recommendations to the Board
on issues within their charters. The
committees operate under the terms
of reference approved by the Board.
Audit Committee
This committee ensures that an
effective internal control framework
exists across Tourism Australia. This
includes internal controls to deal with
both the effectiveness and efficiency
of significant business processes.
The committee also reviews risk
management controls and endof-year financial statements.
Human Resources Committee
This committee oversees the organisation’s human resources principles, practices and programs with regard to employee terms
and conditions, management development, equal employment opportunity and remuneration.
RECORD OF BOARD MEMBERS AND ATTENDANCE
The Board met 10 times during the year in New South Wales, Western Australia, South Australia, Victoria, Queensland and
the Australian Capital Territory and had an aggregate attendance of directors of 93 per cent. Board members also represented
Tourism Australia at both industry and general forums.
Date of appointment/
reappointment
Expiry of
appointment
Board meetings
attendance
Hon Tim Fischer, Chairman
01 July 04
30 June 07
10
Mr Tony Clark, Deputy Chairman
01 July 05
30 June 08
9
Mr Scott Morrison, Managing Director
13 Dec 04
12 Dec 07
10
Mr Andrew Burnes, Director
01 July 04
30 June 07
10
Mr Wayne Kirkpatrick, Director
01 July 04
30 June 07
9
Ms Valerie Davies, Director
01 July 05
30 June 08
10
Ms Karen Jacobs, Director
01 July 05
30 June 08
8
Ms Jane Jeffreys, Director
01 July 05
30 June 08
9
Mr Peter Burnett, Director
01 July 05
30 June 08
8
Mr Mark Paterson, Government member
01 July 04
30 June 07
9
Ms Patricia Kelly, Alt Government member
13 July 04
12 July 07
1
Member
Record of Board Committees 2005/06
Committee
members
Audit Committee
Human Resources Committee
Position
Attendance
Position
Attendance
Chair
3
Mr Wayne Kirkpatrick
Member
4
Mr Andrew Burnes
Member
5
Ms Jane Jeffreys
Chair
4
Ms Karen Jacobs
Member
2
Ms Valerie Davies
Member
4
Mr Peter Burnett
Member
1
Mr Tony Clark
Tourism Australia Annual Report 2005|2006
23
Organisational structure
Ecologically sustainable development and environmental performance
Tourism Australia has a statutory obligation under the Tourism Australia Act 2004 to help foster a sustainable tourism
industry in Australia. Working together with the Australian Government’s Department of Industry, Tourism and Resources, the
Department of the Environment and Heritage, State tourism organisations and industry partners, Tourism Australia seeks to
fulfil this commitment and help to ensure the responsible development and promotion of Australia’s tourism industry.
Tourism Australia has been developing beneficial partnerships which contribute to the long-term environmental, social
and economic sustainability of the tourism industry. It has entered into strategic partnerships with National Geographic and
Discovery, which will be the two primary international conduits to deliver Australian destination messages globally. Tourism
Australia has also been developing a partnership with Parks Australia to more effectively promote our national parks as
tourist destinations.
Tourism Australia has been providing research and insights to industry to enable effective decision-making processes, which
integrate both long-term and short-term economic, environmental and social considerations.
Tourism Australia is committed to publicising and creating a high profile for best practice sustainable tourism products. For
example, sustainable tourism products were showcased at the 2006 Australian Tourism Exchange in Adelaide.
The organisation has also been working to continuously improve its corporate environmental performance and is one of 11
agencies represented on a whole of government Sustainability Working Group, which has been piloted by the Department of
the Environment and Heritage.
Minister for Small Business and Tourism
The Hon Fran Bailey
Chairman
The Hon Tim Fischer AC
Board
Deputy
Chairman
Tony Clark AM
Director
Peter Burnett
Director
Valerie Davies
Director
Jane Jeffreys
Director
Wayne
Kirkpatrick
Director
Andrew Burnes
Director
Karen Jacobs
Government
Member
Mark Paterson
Managing Director
Scott Morrison
Director,
International
Richard Beere
Director,
Strategy & Research
Geoff Buckley
Director,
Marketing
Ian Macfarlane
Director,
Corporate Services
John Hopwood
> I nternational Operations
> Asia
> Americas
> UK/Europe
> New Zealand
> Gulf Countries
> Tourism Research Australia
>S
trategic Insights
> Corporate Planning
> Aviation
> Consumer Marketing
> International Media Relations
> Marketing Communications
> Digital Marketing
> Tourism Events Australia
> Risk & Administration
> Finance
> Information Technology
> Technology Services
Director, Industry
& Organisational
Development
Andrew McEvoy
> Australia Marketing
> Corporate Affairs
>P
artnership Marketing
>A
ustralian Experiences
> Trade Events
> People & Culture
Report of Operations
Tourism Australia Annual Report 2005|2006
27
Corporate Services
The role of Corporate Services is to supply finance,
administration, risk management, technology and Board
secretarial services to the organisation.
Finance
Based at the head office in Sydney, the Finance unit provides
professional services for the finance functions of Tourism
Australia. The unit develops strategies and maintains
operations for financial systems, budgeting, tax reporting and
treasury operations for Tourism Australia and supports the
regional Corporate Services Managers.
The unit’s objectives for the year were to:
>Manage financials in line with budgets.
>Identify opportunities to re-engineer processes to improve
the effective utilisation of resources.
>Perform foreign currency funds management, which
are undertaken on a spot basis with transactions being
initiated to provide Tourism Australia with the most costeffective level of foreign currency funding.
A key responsibility for the unit was accounting of the
organisation’s financial performance.
Highlights and results
>Tourism Australia’s expenditure for the year was
A$164.6 million.
>Government revenue was A$137.8 million and revenue
from cooperative industry activities and other sources
reached A$30.1 million, a combined total of A$167.9
million.
>Tourism Australia recorded a A$3.3 million surplus for
2005/06.
>Debts written-off during the year totalled A$21,000 with
provision for doubtful debts at A$198,000 at 30 June
2006, to reflect the accrual of potentially non-recoverable
debts over the year. Debtors profile and collections were
improved during the year.
Risk and Administration
The Risk and Administration unit supports Tourism Australia
offices with administration of premises, despatch services,
records management, printing, reception, occupational health
and safety, office equipment supplies and maintenance. The
unit also controls and coordinates the procurement activities
of the organisation.
Risk management principles and practices are
incorporated into the organisation’s decision making
and operational activities.
The operations of the risk management area are designed
to meet the principal objective of minimising risk to Tourism
Australia in a cost-effective manner and to an acceptable level.
The major operations of risk management are to provide
education and awareness of risk management and to develop
and manage systems of risk identification and effective
control. It also coordinates and manages insurance, contracts,
legal, audit and lease issues.
Tourism Australia has a comprehensive insurance
program that includes directors’ and officers’ liability, which
is managed by Comcover. It also maintains a Fraud Plan as
required under the revised Commonwealth Fraud Control
Guidelines May 2002 (CFGC). The unit’s objectives for 2005/06
were to:
>Provide a risk management information framework
and train managers on risk management techniques to
encourage a proactive approach.
>Review the adequacy of the insurance coverage.
>Administer contract management procedures and controls.
>Develop effective procurement guidelines.
Highlights and results
>The Government procurement procedures for the
organisation were refined and implemented.
>The Risk and Administration unit was restructured
and a procurement coordinator appointed.
>A full privacy review was undertaken across the
organisation with new measures to be introduced
in 2006/07.
>A central contract register was installed.
>The Safety Handbook was distributed to all offices.
>Safety Improvement Teams have been established across
Highlights and results
>The global telecommunications network and internet
the organisation to assist in the implementation of safety
initiatives.
>Ergonomic reviews covering suitability of furniture, work
station setup and correct posture training were undertaken
in the Sydney and Canberra offices.
>There were no accidents during the year, nor were any
investigations undertaken.
services of the organisation were replaced and improved.
>The unit delivered the new Trade Events Online (TEO3)
system with fully integrated functionality for management
and administration of trade events, including the
Australian Tourism Exchange. The new system was
developed after extensive planning and testing and
incorporates suggestions from end users and regional
Tourism Australia staff.
>Conducted a program of work to improve the performance
and availability of Tourism Australia’s consumer internet
site, australia.com.
>The implementation of Business Central (new Customer
Relationship Management system), to support business
activities associated with the management of corporate
contacts was completed.
>Completed the implementation of the new Human
Resources/Payroll system.
>Provided all the technology services required for the
establishmnet or relocation of new corporate offices in
Australia and overseas.
>Formalised best practice processes for IT service
management within the organisation, based on the
Information Technology Infrastructure Library (ITIL)
set of guidelines.
Technology Services
Management of Tourism Australia’s technology related
activities continued under the responsibility of the
Technology Services business unit group. The unit’s main
areas of focus included:
>Administration and management of the corporate global
technology network infrastructure, including voice and
data services, online communications and standard office
applications.
>Management and development of applications systems.
>Management of technology services and user support.
>Management, assessment and execution of new
technology initiatives through appropriate use of
governance and standards.
The objectives of the unit in 2005/06 were to:
>Maintain an appropriate rate of adoption of
enabling technology.
>Continue to drive technology improvements to deliver
cohesiveness, efficiency and relevance to Tourism
Australia’s marketing activities and management of
corporate knowledge.
>Improve the quality and reliability of the provision of
technology services to the organisation, its stakeholders
and global audiences.
Tourism Australia Annual Report 2005|2006
29
Strategy and Research
The Strategy and Research business group delivers market
and industry knowledge to Tourism Australia and the
tourism industry as a whole. The insights obtained from
research and intelligence, collected through primary
and secondary sources, underpin the organisation’s
strategic and operational decisions. The business group
also helps to improve forward planning and business
operations within the Australian tourism industry.
A critical internal function of the business group is
corporate and operational planning for Tourism Australia’s
global operations, including managing the development of
Tourism Australia’s Corporate Plan and Annual Operating
Plan. In addition, the group coordinates the monitoring
and evaluation of overall tourism performance and
the success of Tourism Australia’s corporate strategy
through a framework of Key Performance Indicators.
It coordinates, interprets and further analyses the National
Visitors Survey and the International Visitors Survey, two
core national data sets for the tourism industry. It also
provides base domestic and international visitor forecasts.
These services are delivered by four functional units:
Strategic Insights, Corporate Planning, Tourism and
Aviation Economics, and Tourism Research Australia.
Strategic Insights
The Strategic Insights unit delivers consumer, market and
industry-based intelligence and advice, which informs
and drives Tourism Australia’s strategies and programs.
By providing information on the challenges and
opportunities facing the industry, the unit assists
external clients, including state and territory destination
marketing organisations, industry associations and
industry operators with planning and decision-making.
The Strategic Insights unit’s four key priorities for the
2005/06 financial year were to:
>Deliver research analysis which informs Tourism Australia’s
key business needs.
>Deliver research insights which inform key industry needs.
>Translate research findings into value-added insights to
facilitate the use of research by clients and stakeholders.
>Focus on the delivery of strategic advice to external clients.
Highlights and results
>Completed a comprehensive international brand
health and communications tracking program of
all Tourism Australia’s Tier 1 and Tier 2 markets.
>Provided monthly dashboard reports giving snapshot
measurements of marketing campaign effectiveness.
>Undertook a comprehensive evaluation program of
Tourism Australia’s core programs. This included an
evaluation of business events (Australian Tourism
Exchange), the Media and Visiting Journalists
Programs and Tourism Australia websites.
>Completed research into the domestic annual leave
stockpile. Gathering information from employers
and employees, the study looked at key drivers and
opportunities to address this accumulation of leave,
underpinning the No Leave, No Life campaign.
>Conducted a major ground-up segmentation study of
the Japan market, which identified and profiled high
value segments for Tourism Australia and the industry.
>Worked with the Destination Australia Marketing Alliance
(DAMA), to conduct research in the Singapore market
to identify and address market performance issues.
>Conducted the global Brand Australia Creative Territory
Research to identify the current state of Brand Australia
knowledge, plus attitudes and socio-cultural attributes, of
the target international consumer market. Distilled this
information into opportunities for ‘creative engagement’
with the target market, to enable fine tuning of the
new A Uniquely Australian Invitation campaign.
>Working with DAMA, the unit commissioned research in
Germany and Singapore to identify motivating experiences,
products and activities for the Australian target market.
>Reviewed the potential and value of Lead Indicators of
tourism performance.
>Conducted significant secondary and primary
research to identify and qualify Tourism Australia’s
global target audience — the Experience Seeker.
>Prepared a range of base resources for the domestic
tourism market, including fact sheets.
>Conducted global research to test the new global
creative concept amongst its target market of
Experience Seekers. This allowed for fine tuning
of the market approach to the campaign.
>Conducted several studies to establish benchmarks
for new programs, including awareness of annual
leave issues amongst employers and employees.
>Commissioned research in the domestic market to explore
a range of new product development opportunities.
>Participated in a broader analysis and review of the state
of domestic tourism, with Tourism Research Australia.
Corporate Planning
The Corporate Planning unit coordinates, implements and
manages Tourism Australia’s corporate and operational
planning processes. It also coordinates and analyses
decisions on resource allocation for Tourism Australia’s
key priority areas. By managing corporate performance
and evaluation functions, it reviews Tourism Australia’s
efficiency and effectiveness. A key role is reporting
on Tourism Australia’s responsibility in delivering the
Australian Government’s Tourism White Paper initiatives.
The two key objectives for the financial year were the:
>Development, approval and implementation of Tourism
Australia’s Corporate Plan 2006/07 to 2008/09, as required
under Section 33 of the Tourism Australia Act 2004.
>Development, approval and implementation of Tourism
Australia’s Annual Operating Plan 2005/06, as required
under Section 36 of the Tourism Australia Act 2004.
Highlights and results
>Completed Tourism Australia’s 2006/07 to 2008/09
Corporate Plan, a blueprint of the strategic goals of
the organisation. The 32-page plan was accepted
by the Tourism Australia Board and the Minister for
Small Business and Tourism, the Hon Fran Bailey.
>Tracked performance of the implementation of Tourism
Australia’s Annual Operating Plan 2005/06, providing
coordination of the organisation’s strategy and functions.
>Facilitated the completion of Tourism Australia’s
2006/07 Annual Operating Plan.
Tourism Australia Annual Report 2005|2006
Tourism and Aviation Economics
The Tourism and Aviation Economics unit ensures Tourism
Australia’s marketing strategies take advantage of aviation
developments and are sensitive to aviation constraints.
There were dynamic developments in the aviation industry
in 2005/06, as record fuel prices drove rationalisation
of airline services, posing major challenges for inbound
tourism. More positively, Qantas agreed to buy a large
number of new aircraft — up to 115 Boeing 787s — and to
utilise Jetstar as a long haul, low cost carrier able to viably
service low yielding leisure routes. These decisions will have
important implications for tourism in the medium term.
The unit works closely with airlines, airports, the
Departments of Industry, Tourism and Resources plus
Transport and Regional Services, and State and Territory
tourism organisation partners. It also reviews and
evaluates tourism and aviation industry performance,
to help Tourism Australia and its stakeholders better
understand key drivers of the tourism industry.
In 2005/06 the unit’s objectives were to:
>Guide the strategies of Tourism Australia and its key
partners in engaging airlines as partners in developing
Australian tourism.
>Ensure Tourism Australia’s strategies reflect relevant
intelligence on economic and aviation developments.
>Enhance Key Performance Indicators and improve
evaluation of Tourism Australia’s measures of Total
Inbound Economic Value (TIEV) and regional dispersal.
>Enhance evaluation of the marketing effectiveness of
the organisation.
31
Highlights and results
>Implemented Tourism Australia’s aviation strategy to
assist airlines, airports and State tourism organisations
to evaluate the potential of new airline services.
>Provided high quality, timely analysis, which assisted
Tourism Australia’s marketing group to respond to
aviation developments and new aviation constraints.
>Provided industry and other stakeholders with updates
on tourism, aviation and economic developments,
including the growing role of domestic low cost
airlines and domestic fly/drive tourism.
>Revised and improved Tourism Australia’s industry
performance measures, including TIEV and regional
dispersal measures.
>Worked with the Australian Government’s Department
of Industry, Tourism and Resources to provide
focused tourism industry input into bilateral aviation
negotiations, including with Japan, the United States,
United Kingdom and a wide range of smaller markets.
>Provided an analysis of outbound departures from
Tourism Australia’s key source markets. This included
a review of the performance of Australia’s competitors
and Australia’s share of outbound expenditure.
>Initiated the second Australian Bureau of Statistics
Private Sector Marketing Survey, which will be delivered
in early 2007.
>Helped defend the continuation of the QantasJapan Airlines code share on air routes from
Japan, in conjunction with regulators.
Tourism Research Australia
Tourism Research Australia (TRA) provides independent,
accurate, timely and strategically relevant statistics
and analysis to the tourism industry, all levels
of government and the public to help inform
decision making and policy development.
The unit provides a national focus for the collection
and dissemination of tourism statistics and related data.
Its role includes undertaking and coordinating research
on priority issues and distributing tourism data in a
manner that encourages the widest and most effective
application by the tourism industry. It promotes an
understanding and awareness of the role of this tourism
research in the development of Australian tourism.
In 2005/06 Tourism Research Australia had
six priority objectives. These were to:
>Develop, implement and manage a simple and effective
strategy to disseminate tourism data, research, insights
and forecasts.
>Forge stronger links with Industry Associations,
Build alliances with research bodies, and engage in
joint ventures with other research organisations.
>Gain a better understanding of the factors impacting
on Tourism and the industry’s information needs.
>Provide high quality data, research, insights and forecasts
to meet these needs.
>Manage finances within budgets and meet financial
reporting requirements.
>Develop and implement improved administrative procedures.
Highlights and results
>Rolled out a new Destination Visitor Survey program in all
States and Territories. Over 50 destinations were included
in the program.
>Developed a new web-based reporting platform
(TRAONLINE), which will be launched in 2006/07.
>Delivered the Drivers of Domestic Tourism report to improve
understanding of the key trends and drivers impacting on
domestic tourism.
>Developed an enhanced forecasting model of domestic
tourism activity, which includes an impact analysis
of potential shocks to the inbound market.
>Assisted the Northern Territory in the development
of inaugural tourism forecasts for the territory
and created a forecasting research fellowship in
partnership with the Sustainable Tourism Cooperative
Research Centre and Monash University.
>Developed a National Supplementary program for the
National Visitor Survey and International Visitor Survey,
allowing interested parties to add questions to these
core surveys and benefit from the data collected.
>Developed a snapshot series of publications,
covering topics such as Nature Based Tourism
and Mature Aged Travellers, designed to provide
research to stakeholders in a simplified manner.
>Produced and modelled quarterly estimates of
regional expenditure by domestic and international
visitors, for distribution to all stakeholders.
Tourism Australia Annual Report 2005|2006
33
Industry and Organisational Development
The Industry and Organisational Development
business group is involved in a wide range of
marketing, communications and trade activities.
The six units in this group are Australia Marketing,
Australian Experiences, Partnership Marketing,
Corporate Affairs, People and Culture, and Trade Events.
The activities of the units range from coordinating
national and international trade events to driving
the internal people and culture strategy.
The predominant focus of the group is the
Australian tourism industry — the ‘supply’ side of
the tourism business. The aim is to work with the
states, regions and industry to maintain momentum
behind Tourism Australia’s global activity.
The group manages relationships with industry, the media,
government, trade stakeholders and State and Territory
tourism organisations. Its Australian Experiences unit
researches and markets niche areas like Indigenous tourism,
ecotourism, gay and lesbian tourism and backpacking.
The group’s objectives include:
>Provision of market intelligence on global markets
and niche markets for the Australian industry.
>Serving as a conduit for communication between
staff in the Sydney head office and the regions.
>Providing a channel for communication between the
Australian travel industry and Tourism Australia staff.
Australia Marketing
The Australia Marketing unit focuses on understanding
domestic leisure travel research and trends, and creating
and executing consumer marketing strategies to encourage
Australians to travel more for leisure within their own country.
The unit targets the Australian Experience Seeker — those
one million, high-spending Australians with a preference
for both overseas and domestic leisure travel. The domestic
strategy focuses on developing innovative national media
partnerships that will lift the volume and quality of credible
content about Australian holidays to the target audience.
In 2005/06, the unit’s objectives were to:
>Stimulate domestic leisure travel by Australians.
>Increase yield and dispersal of Australian leisure travellers.
>Harness industry support around Tourism Australia’s
domestic marketing initiatives.
Highlights and results
>Completed the largest national study into the reasons
for, and extent of annual leave accrual, and found
that employees across the country had stockpiled 70
million days of accrued leave worth about $11 billion.
>Developed the No Leave, No Life program, in partnership
with the Australian Human Resources Institute, to tackle
the annual leave accrual issue. A pilot program, which
encourages staff to take accrued leave, commenced in
13 participating companies.
>Established a number of national media partnerships
to harness industry support to raise the value of an
Australian holiday as a compelling proposition. The
first initiative was the creation of Explore magazine, in
partnership with Fairfax. The launch of Explore, which had
a circulation of 880,000 in Fairfax’s Sunday newspapers
in New South Wales and Victoria, resulted in a 100 per
cent take up of advertising opportunities by the tourism
industry and a six per cent increase in circulation.
>As the official tourism partner of the Queen’s Baton
Relay, Tourism Australia conducted a domestic tourism
campaign, which included a number of activities including:
•The appointment of nine Young Tourism
Ambassadors, who spoke at each official
evening ceremony over the 51 days, encouraging
Australians to travel within their own country.
•A public relations program, which generated press, radio
and television publicity to the value of $500,000. There
was extensive coverage on the Today show, including
26 weather crosses, on-air billboard sponsorships plus
interviews with the Young Tourism Ambassadors.
•Press advertising highlighted unique experiences
in each regional town the Queen’s Baton Relay
passed through. There were also radio promotions
in Sydney, Melbourne, Brisbane and Adelaide;
and daily updates on australia.com.
>Leveraged its sponsorship of the Australian Tourism Awards
by negotiating newspaper and magazine editorial coverage,
valued at over $100,000, to bring the ‘best of Australian
Tourism’ to the Australian consumer. This included articles
on the finalists and winners from each state in News
Limited’s Sunday papers and a 16-page supplement on
the winners, produced in partnership with The Weekend
Australian Magazine. Live crosses on Channel Seven’s
Sunrise and stories on the Great Outdoors were negotiated
as part of the Seven Network’s media sponsorship.
Tourism Australia Annual Report 2005|2006
Australian Experiences
The role of this business unit is to help connect the global
target market of Experience Seekers with the ‘world’s
best’ Australian experiences. This is achieved through
knowledge and communication of experiential content
— destinations and products — within Tourism Australia’s
programs, and externally through the global distribution
networks. The unit also handles many of the Australian
Government’s key Tourism White Paper initiatives.
Australian Experiences’ objectives for 2005/2006 included
facilitating the research, development and implementation of
a national experiences content framework to communicate a
more compelling image of Australia.
Highlights and results
>Indigenous Tourism Australia (ITA) was established and
supported by Tourism Australia, with Former Senator
Aden Ridgeway appointed Executive Chairman of ITA.
A National Footprints Strategy was developed to bring
more Indigenous tourism products to the forefront of the
tourism industry.
>Established and managed the Indigenous Tourism
Government Forum, an alliance which includes
representatives of State and Territory tourism government
agencies and various Australian Government departments.
The forum instituted a National Tourism Product Audit of all
Indigenous tourism businesses and is a primary contributor
in the National Indigenous Tourism Research Agenda.
>Sponsored Mark Olive’s Outback Café television series on The
Lifestyle Channel. The first series of six episodes showed the
renowned Indigenous chef, Mark Olive, travelling around
Australia and cooking with native ingredients.
>Sponsored the production of the second edition of the
35
Indigenous tourism guide Australia Walkabout, which
won the 2006 gold PATA Travel Guide of the year award.
>Was the primary sponsor in the development,
implementation and evaluation of the joint Caravan
Safari Trails Pilot Program, designed to tap into the
$6.7 billion market of caravan and campervan tourists
who travel throughout Australia each year. More than
70 people participated in the first Caravan Safari Trail,
from Sydney to Cairns, in April 2006 and reported a 100
per cent satisfaction rating for the month long tour.
>With partners Tourism Victoria, City of Melbourne
and the Melbourne Visitors and Convention Bureau,
won the global bid to host the World Student Youth
Tourism Conference (WYSTC) 2006 in Melbourne.
>Coordinated the Australian Village for over 65
Australian delegates at the WYSTC 2005 Conference
in Toronto, Canada.
>Established regular communication with the relevant
Experience units within each State and Territory tourism
organisation to present the Australian Experiences
strategy, and to foster integration of the strategy with
these organisations.
>With Parks Australia, established and managed the
National Landscapes Project. A Reference Group was
formed and support was gained from all STOs, heads
of parks agencies, peak industry and conservation
organisations. Established criteria for a ‘national landscape’
with the aim of identifying areas with outstanding natural
and cultural attractions to encourage regional planning,
destination branding and the provision of tourism
infrastructure, while also promoting conservation.
>Developed and implemented a National Touring Routes
Audit in consultation with STOs. Determined Australia’s ‘top’
journeys (touring routes) and produced a comprehensive
marketing audit, to provide stakeholders with consistent
and detailed information on each route and highlight the
characteristics that provide first-class experiences.
>In conjunction with the Winemakers Federation of
Australia and the State tourism organisations, conducted
five workshops in various wine regions, with the aim
of informing industry on how to work with tourism
partners and maximise cellar tour opportunities.
>Sponsored five key annual industry conferences: the
Australian Indigenous Tourism Conference; Ecotourism
Australia Conference; Australian Regional Tourism
Convention; Adventure Backpacker Industry Conference
plus the Food and Wine Tourism Conference.
Partnership marketing
Partnership Marketing is responsible for developing industry
relationships through the distribution of market intelligence,
insights and opportunities to the Australian tourism industry.
In partnership with the State and Territory tourism offices,
Tourism Australia’s Industry Development Executives create
awareness of the organisation’s services, meeting face-toface with regional industry representatives and distributing
information on Tourism Australia’s activities and programs.
The objective of unit in 2005/06 was to enable Tourism
Australia to proactively connect with industry on a
personal basis.
Highlights and results
>Produced the product manual the Big Book of Australia,
in partnership with Tourism New South Wales, Tourism
Victoria and Tourism Western Australia, and also
produced specific publications for each state involved. By
sharing resources, significant savings were delivered.
>Appointed geographically-based Industry Development
Executives (IDEs) to extend the team from its Sydney base
to the States and put the organisation in closer contact
with industry stakeholders. The four IDEs had individual
meetings with representatives of 120 key industry partners
a month and met a further 900 industry representatives
at association meetings in a three-month period.
>Organised a series of regional forums for operators,
including those in remote areas, to provide information
about Tourism Australia’s activities and programs.
>Published What’s Around the Corner — a prospectus
informing industry partners of Tourism Australia’s activities
including research, events, promotions, online marketing
and cooperative marketing opportunities. A total of 2,800
copies were distributed to industry in the regions.
>Organised two National Operator forums, in Sydney and
Melbourne, which were attended by representatives of
280 companies.
>Developed a method whereby national tourism operators
can feed product information into the Australian Tourism
Data Warehouse and immediately receive coverage across
all states.
>Representatives spoke at the conferences of more
than 20 associations, ranging from a state backpacker
organisation to a bed and breakfast group.
Tourism Australia Annual Report 2005|2006
Corporate Affairs
The Corporate Affairs unit is responsible for developing and
implementing effective communications strategies and
managing Tourism Australia’s reputation. It manages all
internal and external communications, including Tourism
Australia’s relations with government, industry, media and
the public.
The unit’s objective in 2005/06 was to ensure that Tourism
Australia was portrayed in a positive manner to the media,
the tourism industry and other major stakeholders. It also
proactively managed any issues impacting on the Brand
Australia campaign.
Highlights and results
>Issued more than 70 media releases to promote
Tourism Australia’s activities, generating around
2,000 stories in the Australian media.
>Developed and implemented the communications
program for the Australian launch of the Uniquely
Australian Invitation global destination campaign,
which resulted in over 1,000 media stories and positive
support from industry stakeholders for the campaign.
>Coordinated the launch of Tourism Australia’s Global
program’s partnership with National Geographic and
Discovery to Australian media, which resulted in
positive coverage of the announcement in key print
and electronic media.
>Managed the communications program for the Australian
Tourism Exchange (ATE06) targeting domestic media,
industry, government and other stakeholders. This
included developing a media program, coordinating
37
daily staff briefings, producing the ATE Daily newsletter,
developing the Tourism Australia stand (TA Lounge), and
organising the attendance of Federal, State and Territory
members of Parliament and Department representatives.
>Implemented a communications program for the Queen’s
Baton Relay involving regional media and government
stakeholders to promote Australian tourism experiences to
Australians and the importance of tourism to the nation.
>Conducted a launch event in Sydney for G’Day LA 2006
to highlight the importance of the event to the
Australian media.
>Coordinated a series of Market Briefings in all capital
cities and major tourism regions to update the industry
on Tourism Australia programs and activities.
>Produced and distributed the weekly e-newsletter
essentials to approximately 10,000 industry subscribers.
>Developed and distributed the quarterly broadsheet
newsletter TA Tracks for key industry stakeholders.
>Prepared briefing papers for Tourism Australia’s
participation in the Australian Government’s
Industry Implementation Advisory Group (IIAG),
Australian Standing Committee on Tourism (ASCOT)
and the Tourism Ministers’ Council (TMC).
>Provided regular input for briefings to the Minister for
Small Business and Tourism, Ministerial correspondence,
and Parliamentary Question Time briefs.
>Prepared briefing papers for Senate Estimates and
responses to Parliamentary Questions on Notice.
>Represented the organisation at Interdepartmental
Committees (IDCs), working groups, meetings and
conferences including the IDC on International Education;
the IDC on Communications convened by AQIS; the IDC on
Public Affairs convened by DFAT and the working group for
National Visitor Safety.
>Organised a program for guests of the Minister for
Small Business and Tourism at the Melbourne 2006
Commonwealth Games.
>Introduced an internal communications program around
Tourism Australia’s People and Culture strategy and
conducted a global audit of internal communications
needs for the organisation.
>Introduced and distributed the weekly OneTA
e-newsletter to Tourism Australia staff worldwide.
>Developed a strategy for the redevelopment of the staff
intranet and implemented stage one of the redevelopment.
>Developed a set of corporate communication tools to
ensure a consistent organisational look was presented to
internal and external stakeholders.
>Introduced team building initiatives and organised social
activities including sports like dragon boat racing for
Tourism Australia’s Sydney office.
People and Culture
The People and Culture unit is responsible for
developing and implementing global strategies for
managing staff, including remuneration, training and
career development. It also designs and implements
cultural change strategies across the organisation.
The unit is responsible for enhancing and implementing
internal processes and policies. It maintains standards
and consistency of processes across the organisation.
During 2005/06 the key objectives for the unit
were to ensure Tourism Australia’s human resources
were ‘ready and capable’ of enabling the organisation
to meet its objectives and building and maintaining
‘One Tourism Australia’ through creating a passionate,
competitive, disciplined and integrated culture.
Highlights and results
>On 30 June 2006, Tourism Australia had 247
full-time equivalent employees, 122 of whom
were employed overseas.
>Of the workforce, 68 per cent were women and 34 per cent
men. Women held 54 per cent of senior management roles
and 8 per cent of executive roles.
>Conducted the Annual Employee Survey, which covered
a range of issues, and communicated the results to staff.
More than 90 per cent of staff said they understood
how their role fitted in with Tourism Australia’s overall
strategy and felt the executive team was committed to the
organisation’s success.
>Implemented a comprehensive People and Culture Strategy.
>Completed an audit of human resources compliance
requirements in international jurisdictions where Tourism
Australia is located. Where necessary, human resources
policies and employment arrangements were reviewed
and amended.
>Implemented a new Certified Agreement, which covered
the majority of Australia-based employees. This was
adopted with an 88 per cent approval rating. Seven staff
were covered by Australian Workplace Agreements.
Overseas staff were employed under conditions compliant
with local legislation.
>Introduced an executive development program, using 360degree feedback instruments.
Tourism Australia Annual Report 2005|2006
39
Key Trade Events 2005/06
>Implemented a new performance planning and review
system and financial reward system.
>Undertook a review of Tourism Australia’s strategic
workforce priorities and a talent and succession
management framework was implemented.
>Ensured Tourism Australia remained fully compliant with
all occupational health and safety requirements.
>Maintained workplace diversity by ensuring equity in
recruitment procedures and the creation of promotional
opportunities both in Australia and globally.
>Delivered Tourism Australia’s Equal Employment
Opportunity program, which recognises employees’
domestic and family responsibilities. In furthering family
friendly policies, part-time employment, flexibility in
working hours and assistance with child care during school
holidays are offered to employees.
>There were no industrial disputes during the year.
>In line with the Commonwealth Disability Strategy, the
organisation’s recruitment information is provided in
multiple formats as required.
Trade Events
The unit’s role is to plan, implement, manage and review
all global trade events for Tourism Australia. It works with
stakeholders including airlines, State tourism offices and
Australian tourism businesses. It assists Australian suppliers
to connect effectively with global distribution partners at
events such as exhibitions, travel markets and shows.
It ensures trade event activities communicate the Brand
Australia message to the global distribution system and
provide opportunities for the Australian tourism industry
to engage commercially with international customers.
Among the unit’s objectives for 2005/06 was maintaining
cutting-edge practices and improving and evolving its
events in order to offer the best event management, and
business-to-business opportunities for its partners. With
Event
Date
Country
Meeting Professionals International
10–12 July 2005
United States
Luxury Travel Expo, New York
15–18 Sept 2005
United States
India Travel Mission
19–23 Sept 2005
India
communications, it aimed to ensure best practice, to make
sure the travel industry was aware of future trade events
and how these could benefit tourism business to Australia.
Incentive Travel & Meeting Executive Show
27–29 Sept 2005
United States
PATA Travel Mart
27–30 Sept 2005
Malaysia
Incentive Travel & Conventions, Meetings Asia
11–13 Oct 2005
Thailand
Highlights and results
>Around 2,000 Australian delegates from 650 companies
met with around 600 key overseas buyer companies
from 40 countries at the seven-day Australian Tourism
Exchange (ATE) 2006. The event was held in Adelaide, South
Australia, for the first time where it is estimated to have
injected more than $10 million into the local economy with
13,000 visitor nights spent in Adelaide over the week.
>Around 100,000 business meetings were held between
buyers and sellers at ATE 2006 and over 400 international
buyers participated in South Australia familiarisations.
>A new scheduling system (SATE) was developed in time
for ATE 2006, which minimised walking time between
appointments whilst maximising preferences and mutual
requests. This was positively received by delegates.
>The new Trade Events Online system (TEO3) was
completed. TEO3 is a user-friendly system, making it much
easier for industry representatives to register for any of the
global trade events run by Tourism Australia each year.
>More than 25 international trade shows, travel markets
and missions were organised by the unit in 15 countries
in Asia, Europe and North America. These gave Australian
tourism industry representatives additional opportunities
to meet travel agents and wholesalers from around the
world. At these events, the unit representatives ensured the
Brand Australia message was communicated effectively.
The list of events coordinated by the Sydney Trade Events
team during 2005/06 across all major markets follows.
Korea Travel Mission
27–28 Oct 2005
Korea
Australian Travel Mission to China
31 Oct–4 Nov 2005
China
Corroboree Down Under 2005
24– 27 Nov 2005
Australia
World Travel Market
14–17 Nov 2005
United Kingdom
China International Travel Mart
24–27 Nov 2005
China
The European Incentive & Business Travel & Meetings Exhibition
29 Nov–1 Dec 2005
Spain
Luxury Travel Expo, Las Vegas
6–-8 Dec 2005
United States
International Luxury Travel Market (ILTM), Cannes
5–8 Dec 2005
France
ATEC Meeting Place, Sydney
7– 9 Dec 2005
Australia
Vankantierbeurs
10–15 Jan 2006
Netherlands
Yinala, Sydney
18– 21 Feb 2006
Australia
Borsa Internazionale del Turismo
18–21 Feb 2006
Italy
Japan Australia Mission, Atami
23–25 Feb 2006
Japan
Market Briefings
24 Feb–30 March 2006
Australia
Internationale Tourismus Borse
8 –12 March 2006
Germany
Discover South Australia
16-19 March 2006
Australia
Team Australia Asia
27 Feb–1 March 2006
Thailand
Gulf Countries Roadshow
6–10 May 2006
Middle East
Arabian Travel Mission
2– 5 May 2006
Dubai
ATEC Symposium, Cairns
17–19 May 2006
Australia
IMEX
30 May– 1 June 2006
Germany
Australian Tourism Exchange (ATE06), Adelaide
17–23 June 2006
Australia
Tourism Australia Annual Report 2005|2006
41
Marketing
The marketing business group is responsible for developing
and orchestrating Tourism Australia’s global brand marketing
strategy, which in 2005/06 resulted in the development of
the Uniquely Australian Invitation destination campaign.
While television advertising receives most public
attention and is crucial to the communications campaign,
the business group focuses on global brand and
communications strategy development and execution. This
includes activities such as outdoor and cinema advertising,
online marketing and public relations programs.
Central to the strategy is the objective of increasing
potential visitors’ intention to travel to Australia, as
well as creating a strong desire to tour widely in the
country and to spend more on Australian tourism
products. These goals require an optimisation of the
communications mix, based on a consistent application
of brand and message strategy across all elements.
The marketing group consists of five units: Consumer
Marketing, Digital Marketing, International Media
Relations, Global Programs and Tourism Events Australia.
Its activities are supported by Tourism Australia’s global
creative agency M&C Saatchi and media agency Carat.
Consumer Marketing
Consumer Marketing is responsible for developing the global
brand strategy for Tourism Australia. The unit oversees
the global contract arrangements with media and creative
agencies, and creates advertising creative and collateral
materials to support the global marketing campaign.
The unit creates internal and external collateral and
publications, many of which are produced in a special inhouse design studio. It also manages global image and
video resources for the organisation, ensuring these assets
support Tourism Australia’s marketing plans and are available
to key external partners to assist in the promotion of
Australian destinations.
In 2005/06, the Consumer Marketing unit’s objectives were to:
>Develop and implement a global brand proposition and
advertising campaign to drive intention to travel to
Australia among the target audience of Experience Seekers.
>Execute the global destination campaign with a full suite
of launch materials and collateral.
>Manage an effective and efficient global agency network to
deliver against the marketing strategy.
Highlights and results
>Managed the design, production and launch
of the new global destination campaign, A
Uniquely Australian Invitation, featuring the
tagline ‘So where the bloody hell are you?’.
>Key creative products delivered for the campaign
launch included a range of 60-second and 30second television and cinema commercials in various
languages, 13 print commercials and a range of online
materials, including a dedicated campaign website.
>Significant online activity was generated resulting in a
30 per cent increase in visits to australia.com around
the world and a 71 per cent increase in visits to Tourism
Australia websites, including the campaign website
www.wherethebloodyhellareyou.com. Around 770,000
people in nearly 200 countries downloaded and played the
advertisement online at the dedicated campaign website.
>To support the brand campaign, the unit designed and
co-ordinated the production of a comprehensive range of
industry engagement materials, including desk calendars,
brochures, window posters and other collateral.
>A suite of campaign-aligned materials were developed
and utilised for a series of events including the
Australian Tourism Exchange (ATE 2006), the Melbourne
2006 Commonwealth Games and Tourism Australia
corporate communications.
>Tourism Australia’s print image library was enhanced with
more than 100 photographs, which were used in a broadbased collateral program related to the new campaign.
>Construct and execute a digital program which would
support the launch of the global campaign.
>Reassess the organisation’s digital capability and put
in place mechanisms that would not only enhance
Australia’s existing presence but position the destination
at the forefront of destination digital marketing.
Digital Marketing
With digital marketing a key ingredient in marketing
campaigns, Tourism Australia’s Digital Marketing unit
not only supports but in some areas drives the global
campaign messages.
Across the world, the dramatic surge in digital technology,
combined with massive cost reductions, has seen an
exponential growth in the number of people who rely on
the internet as the primary source of travel information.
Marketing in this cost-effective, interactive online
Highlights and results
>The unit developed a three-year digital strategy for the
organisation, including the redevelopment of australia.com
and consolidation of the hosting environment. A global
agency was also identified, to implement the strategy
in all of Tourism Australia’s major markets.
>Developed a comprehensive suite of digital programs to
support the global campaign launch. This included the
development of a viral television commercial campaign
and a digital consumer postcard campaign, which were
launched from a specially developed campaign microsite www.wherethebloodyhellareyou.com. Different
language versions were developed for the key markets.
>There were over 800,000 downloads of the online
television advertisement and 55,000 campaign postcards
were created and forwarded. Significantly, some 600,000
environment facilitates genuine consumer engagement
with brands. The traditional website base has now expanded
into an environment where online advertising, search, viral,
direct and consumer-driven communications prevail.
In 2005/06 the objectives of the unit were to:
>Develop a digital marketing strategy with the capacity
to deliver compelling marketing communications.
of the total viral users resided in Tourism Australia’s
Tier 1 Markets.
>All language versions of australia.com were enhanced
to reflect the global campaign’s A Uniquely Australian
Invitation positioning. This was achieved by embedding
appropriate imagery and by creating a more
welcoming tone and message theme for the site.
Tourism Australia Annual Report 2005|2006
>During the year, australia.com and the campaign microsite were visited by over 8.3 million users who viewed
some 55 million pages of content and imagery. This was
a 32 per cent increase over the previous financial year.
>Around 18,300 Australian tourism products were given
exposure via australia.com.
International Media Relations
International Media Relations is charged with promoting
Australia as a destination of choice to potential international
visitors. To achieve this goal, the unit works with all levels
of the Australian tourism industry to generate international
editorial coverage on Australia in print, broadcast and online
media. These activities are designed to complement and add
depth to Tourism Australia’s global marketing programs by
increasing awareness and knowledge of Australia through
various media channels.
With a network of agencies and representatives around
the world, the unit coordinates two key global media
relations programs: the International Media Relations
Program and the Visiting Journalists Program (VJP).
Highlights and results
>Hosted 1,008 international consumer and trade print,
online and broadcast journalists and media crew through
the Visiting Journalists Program. These journalists
originated from 27 different countries, with the majority
travelling from Japan (14 per cent), the United States
(12 per cent) and the United Kingdom (11 per cent).
>Articles, programs and online material produced through
43
the Visiting Journalists Program delivered publicity valued
at around $260 million and coverage to an audience of
around 4.7 billion people globally. Highlights included:
•United States-based ‘wilderness reporter’ Richard
Bangs posted daily stories, photographs and
video clips on his interactive yahoo.com travel
site Richard Bangs Adventures (http://adventures.
yahoo.com/australia) during his Extreme Australia
journey to Victoria and Queensland.
•A visit by a Malaysian production crew resulted in
the production of the eight-episode My Australian
Adventure series, which aired on prime time television.
Around 1.2 million Malaysian viewers tuned into
TV3 to watch the series, which made it the most
popular travel program ever aired in the country.
•The production of the seven-episode Insider’s Australia
series, generated by a visiting Singaporean broadcast
crew, resulted in around 500,000 viewers tuning into
the series, making it the highest rating travel series ever
shown in Singapore.
•Editors of four leading lifestyle and travel publications
in the Czech Republic and Hungary were the first
representatives of their countries to participate in the
progam and toured New South Wales and Queensland.
•A press tour was conducted to leverage the extensive,
permanent Aboriginal art display at the new Musée
du Quai Branly in Paris. Journalists from the United
Kingdom, France, Denmark, Switzerland and Canada,
visited the Northern Territory to experience where
some of the participating artists lived, ancient rock
art, local art centres and to learn about contemporary
Indigenous culture.
•A visit by the producers of the Netherlands’ most
popular travel show and travel website — RTL Travel
and www.rtl-travel.nl — resulted in a mini-series of
three episodes, which reached over six million viewers.
>Participated in the International Broadcast Centre
and the Main Press Centre at the Melbourne 2006
Commonwealth Games to assist international journalists
with the provision of Australian destination footage
and images, which were broadcast and published in
media across the world for the duration of the event.
>Hosted 42 international print and online trade journalists
from 11 countries during the Australian Tourism
Exchange (ATE 06), which generated 62 stories with a
publicity value of close to $260,000, and reached an
audience of two million. Before and after the event,
these journalists toured various Australian destinations,
with an emphasis on the host State, South Australia.
Global programs
The Global Programs unit was formed in July 2005
to orchestrate Tourism Australia’s international
communications strategy through selected
global multi-channel media networks.
With some 14 global media networks now in existence,
Tourism Australia has adapted its international campaigns
to the changed media environment. The global element is
orchestrated from Sydney. Integrating the country, regional
and global elements allows Tourism Australia to maximise
consumer touch points and, in the case of global programs,
the development of significant brand associations.
Global Programs’ objective for 2005/06 was to increase the
intention to travel to Australia by enhancing the destination’s
brand equity. This was to be achieved by expanding brand
knowledge and engagement via major global media channels
that reached the target audience of Experience Seekers.
Highlights and results
>Tourism Australia negotiated strategic partnerships
with National Geographic and Discovery to deliver
messages about Australia through television,
editorial, publicity, sponsorship and advertising
activities, revitalising their Australian content, and
providing direct support to the global campaign.
>The two media channels worked cooperatively with
Tourism Australia to substantially enhance and portray
the brand proposition to a worldwide audience of
around 150 million people in 30 countries. This has
been achieved through the following initiatives:
Tourism Australia Annual Report 2005|2006
National Geographic
>During National Geographic’s special Australia Week, the
channel screened a package of programs on the country in
Tourism Australia’s key markets.
>A series of vignettes ‘What makes an Expert?’ were
produced and screened across key markets, depicting
ordinary Australians whose passionate interest in fields
like astronomy and palaeontology take them to hidden
and spectacular places. A series of advertorials in National
Geographic magazine and a What Makes An Expert?
gateway site complemented the vignettes.
>A special map depicting lesser known areas of Australia
was developed and distributed in National Geographic
magazine and online.
>Over 20,000 people viewed print and digital versions of an
Australian photographic exhibition by photographer Sam
Abell in major tourism markets.
Discovery Channel
>A series of programs on Australia screened during a
special Destination Week on the Travel and Living Channel
in 14 markets.
>A series of three vignettes, giving fresh news on
Australian destinations, screened across the Discovery
Network globally.
>A 120-minute digital program Discovery Atlas: Australia
Revealed, showing a journey from the coast to the Outback,
was produced.
45
>Production commenced on a 60-minute documentary,
The Great Australian Outback Cattle Drive.
>A multi-channel media program 5 Takes, which followed five
young people on a journey in Australia, was viewed across
44 countries reaching in excess of 1.7 million viewers.
>A pilot 3G mobile phone campaign was tested in Japan.
Components included a flash game, downloads (ring
tones and wallpapers), a flash map of Australia with
interactive video clips on Australia and a competition.
>Facilitates appropriate engagements between stakeholders
to promote and leverage events held in Australia.
>Conducts a marketing campaign, which enhances the
country’s brand by integrating cultural, lifestyle, sporting
and other aspects into the global campaign.
In 2005/06 the primary objective of Tourism Events Australia
was to better position Australia as a destination and to
establish sector specific mechanisms to enable industry to
engage with potential clients.
Tourism Events Australia
Tourism Australia formed the Tourism Events Australia (TEA)
unit in September 2005.
While leisure travellers tend to dominate tourist arrivals to
Australia, the destination also attracts significant numbers
of visitors in the business and major events segments.
Potential business and tourism events travellers are
attracted to destinations for reasons that are often
different to leisure travellers. This has been recognised
by Australia for many years, and the destination is well
resourced to cater for the needs of people who arrive
for corporate, sporting and other major events.
The unit:
>Promotes Australia as a business and major
events destination in major source markets.
>Coordinates engagements between the
business events sector and the market.
Highlights and results
>As part of its trade and industry marketing program,
Tourism Australia hosted three familiarisations for
corporate buyers from the United Kingdom, United States
and Asia.
>Four significant international events were organised
by Team Australia, the marketing alliance between
the Association of Australian Convention Bureaux
(AACB) and Tourism Australia. The events were:
•An inaugural exploratory mission to China.
•The Team Australia Business Events Educational (TABEE),
which was held in February-March 2006 in Bangkok and
attracted 92 potential buyers from 10 Asian countries.
•Team Australia United Kingdom/Europe event was
attended by 77 buyers from the United Kingdom,
Belgium, Germany and France.
•The Team Australia North America event, which was held
in San Francisco, attracted 40 buyers from across the
United States.
>Marketed Australia at five events on three continents
including the Incentive Travel and Meeting Executive Show
(IT&ME) in Chicago; the Worldwide Exchange for Incentive
Travel Meetings (IMEX) in Frankfurt; the European Incentive
and Business Meetings Exhibition (EIBTM) in Barcelona;
the Meetings Professional International World Education
Congress (MPIWEC) in Miami and the Incentive Travel and
Conventions Meeting Asia (IT&MCA) in Pattaya, Thailand.
>The website www.events.australia.com was developed
to replace www.meetings.australia.com, with user
research showing the new site provided more relevant
information, and improved design and architecture.
>A major events promotional strategy was implemented
to gain positive exposure for Australian business and
leisure tourism internationally and domestically during
the Melbourne 2006 Commonwealth Games, FIFA World
Cup Soccer and selected events like rugby test matches.
>A research program was established to validate and update
insights on the incentive market and Australia’s position
within the sector.
>A business events strategy was developed and endorsed
by the industry, based on research identifying the needs
of the trade in the international corporate sector.
Tourism Australia Annual Report 2005|2006
47
International Operations
The International Operations business unit is responsible
for managing Tourism Australia’s operations in Asia,
Japan, the Americas, the United Kingdom and Europe,
the Gulf Countries, New Zealand and the designated
Tier 4 markets, which cover the rest of the world.
The scope of activities includes:
>Managing the operations of international offices in
12 markets, including developing business and
marketing plans.
>Identifying and managing issues, challenges and
opportunities in key international markets that impact on
the delivery of quality Australian tourism experiences.
>Assisting internal and external stakeholders to
understand the issues, challenges and opportunities
in the international markets.
>Engaging and leveraging industry, government and
commercial partnerships to enhance Tourism Australia’s
marketing strategies and tourism development.
>Implementing global strategies and programs in
the market.
The objectives for the 2005/06 financial year included:
>Developing a framework of engagement with the global
teams to ensure better alignment with regional teams and
Sydney business groups. This involved teleconferences,
global meetings and management meetings.
>Facilitating and developing Australian industry responses
to blockages in tourism flows, specifically relating to
quality, market performance and market opportunities.
>Gathering, developing and communicating timely
and relevant information on market trends, activities
and opportunities.
>Developing and implementing a framework to identify
relevant global partners that could assist Tourism Australia
to strategically engage segments of the distribution
system around the world. These included online, retail,
wholesale, direct sellers and Australian suppliers.
>Servicing and developing markets where Tourism
Australia does not have an active presence.
Highlights and results
>The unit developed and implemented a Global Distribution
Strategy and established a Global Distribution Team.
>Played a leadership role or participated in major,
multi-agency government committees, which
focused on issues management including:
•The Action Plan for Japanese Tourism
•Japan Implementation Monitoring Group
•Emerging Markets Strategy Committee
•Korea Action Plan and its subsequent
Implementation Group
•China Joint Monitoring Group
•China Government Co-ordination Group
•Tourism Visa Advisory Group.
>Provided and developed market information, including
monthly market updates for the organisation’s corporate
website tourism.australia.com. It gave key market
presentations to industry and to governments.
>Organised major joint campaigns, events and
publicity programs with Qantas and significant
joint campaigns with Singapore Airlines.
>As part of the Memorandum of Understanding with
Austrade, the Aussie Enthusiasts online training
program (www.enthusiasts.australia.com) was
launched in May 2006 to provide agents in Tier 4
markets with detailed knowledge of Australia.
>Provided support at Austrade events including:
•Austrade agents familiarisation
and workshops in Vietnam
•Feria Internacional de Turismo (FITUR)
tourism show in Spain
•Hungary trade and consumer show
•Australia Festivals in Latin America
•Australia Week in Moscow, and
•Singapore Airlines’ Eastern Europe
media familiarisations.
>Worked in partnership with State and Territory tourism
organisations and attended regular Destination Australia
Marketing Alliance (DAMA) meetings, and agreed to
joint research projects, a brochure audit program, and
improved transparency and cooperation measures.
International
markets
51
Tourism Australia operates in six regions and has 12 offices covering 22 countries. To maximise
its return on investment, Tourism Australia allocates its resources to customers, markets and
opportunities that offer the best growth opportunities in terms of spending, that deliver
dispersal to regional Australia and that can be effectively influenced by marketing strategies.
The Tier 1 countries deliver the vast majority of the total Australian tourism business by
spend and include the United Kingdom, United States of America, Japan, New Zealand, China,
Korea and Germany.
Tier 2 markets, those where the focus is on realising and consolidating growth, include
Singapore, Malaysia, Gulf Countries, Hong Kong, Canada, and India. In these markets Tourism
Australia works off a modest base but recognises the growth opportunities in terms of visitor
spend in the short to medium term.
The focus of the Tier 3 markets is one of dispersal and segment development. Markets
include Indonesia, Taiwan, Thailand, Italy, France, the Netherlands, Scandinavia, Ireland and
Switzerland. While these markets do not account for a significant proportion of global growth
in visitor spend, they do offer above average dispersal (travel beyond the major gateways) and
often with high relevance to discrete locations.
Common strategic objectives
While each international office has specific challenges, opportunities, issues and strategies,
all were involved in a range of fundamental programs with similar objectives. The rollout of
the new campaign, A Uniquely Australian Invitation, injected new energy into the markets.
All international offices focused on increasing intention to travel to Australia in the next 12
months and aimed to convert this intention into actual bookings. The corporate strategy in
most countries was to target the Experience Seeker.
The international offices objectives included:
>Raising consciousness about and increasing knowledge and desire for Australia as a ‘must
see’ travel destination.
>Ensuring the travel industry had relevant knowledge about Australia as a destination and
about the range of experiences and products available.
>Ensuring that consumers were able to find knowledgeable distribution operators
in all the channels that they used.
>Developing partnerships with both industry and non-industry organisations that could
assist in extending brand impact and reach.
>Ensuring availability of travel programs tailored to suit consumer needs and to each market.
>Making australia.com the call to action for all markets.
Tourism Australia Annual Report 2005|2006
53
The Americas
Canada
There were a record 106,500 arrivals from Canada in
>Expanded the partnership with American Express into
Canada in early 2006, with direct mail marketing to Amex
2005/06, a three per cent increase on the previous year,
and excellent yield and dispersal per visitor. The Total
Inbound Economic Value (TIEV) was $529 million.
Tourism Australia started independent operations in
Canada in October 2005 with a new office in Toronto, while
Qantas introduced services from Vancouver to Sydney, via
San Francisco, in June 2006. These developments reflect the
enormous potential of the Canadian market for Australia.
An important market for Australia is the ‘Snowbirds’,
the term used for Canadians who travel to avoid the
harsh northern winter. They typically choose short-haul
destinations such as the United States or the Caribbean,
but a growing number of Snowbirds are seeking a more
immersive experience further afield, such as a longstay holiday in Australia. The key to Tourism Australia’s
success in Canada is to deliver unique and compelling
experiences to Canadians, with particular focus on
the youth and experience seeking Snowbirds.
The major strategic intention for 2005/06 was to reaffirm
the perception that Australia was the right decision in
the vacation value equation for Canadian travellers.
cardholders across the country and a comprehensive
program with Amex travel agents, including in-store
displays, agent training and familiarisation trips to
Australia. The campaign’s wholesale partner, Holiday
House, reported a three-fold increase in bookings.
>Trips to Australia by Canadian writers and broadcasters
on the Visiting Journalists Program resulted in more than
A$4.5 million worth of publicity. Stories resulting from the
program were published in magazines and newspapers,
including the Globe and Mail, Toronto Star and Ottawa
Citizen. There were broadcasts on channels like CTV Travel
Channel and the Food network. The program also targeted
specialist publications and there was coverage of Australian
destinations in magazines ranging from Asian Diver to
50 Plus Magazine, and from Score Golf to Wedding Bells.
Highlights and results
>A major cooperative advertising campaign in partnership
with Qantas resulted in 4,129 consumer enquiries.
Around one third of these calls resulted from online
visits to australia.com. The campaign generated
approximately 2,700 bookings to Australia.
>Launched the Uniquely Australian Invitation campaign
across Canada in May/June 2006 in a department store
promotion with the country’s premier retailer, the Hudson’s
Bay Company (HBC). Leveraging off the launch of Australia’s
leading cosmetic brand Napoleon in Canada, the promotion
consisted of direct marketing to HBC consumers, online
sweepstakes, and large brand displays at cosmetics
counters in 29 stores across Canada – delivering over 25,000
consumer entries on the campaign website, with 4,000
sign-ups to OzEscapes, the australia.com newsletter.
United States of America
The United States continues to provide a rich vein of
opportunity for Australia’s inbound travel industry.
Ongoing changes in consumer planning and buying
behaviour mean Tourism Australia has to maintain
marketing flexibility and market insight to ensure
it stays ahead of the distribution challenge.
This strategy continued to pay off in 2005/06
with 452,300 Americans travelling to Australia and
generating a TIEV of $1,869 million. More than one
third of the nights American tourists spent in Australia
were at destinations dispersed around the country.
Tourism Australia’s objective in the United States is
to realise Australia’s market share potential through
best practice brand management strategies, customer
acquisition and industry engagement. Australia has
long been one of the most appealing international
destination brands in the United States, but the
challenge has been to convert that brand strength into
actual travel. Currently, Australia captures less than one
percent of the United States’ outbound travel market.
The key strategic intention was to translate the positive
features of Australia into meaningful personal benefits and
also to ensure a strong value proposition that could not to be
undermined by competitors. The target segments were visitors
who travelled in style, ‘self-challengers’ and business travellers.
Highlights and results
>Partnered with Qantas for an annual cooperative
advertising campaign, which led to an estimated 19,000
passengers booking trips to Australia. This campaign
focused on offering compelling Australian experiences
and inspiring consumer action with the Qantas Aussie
Airpass as the central product marketed through
television, print and online advertising, and backed
by media relations and event-based promotions.
>Consolidated and grew Tourism Australia’s role in the
annual G’Day LA: Australia Week promotion held in Los
Angeles in January, which was attended by 7,500 people
and generated media coverage reaching an audience
of 100 million. The Great Aussie Auction online travel
auction, a new initiative in which 50 different Australian
holiday experiences were promoted and sold through an
online auction, received 141,000 visits. As one of the four
organisations that founded the event, Tourism Australia
takes central marketing responsibility for the promotion
and delivers branded events to create opportunities
for Australian businesses and talent to promote the
destination direct to their American customers.
>The partnership with American Express entered its
second year. With the goal of increasing the number of
people in the Amex audience who travel to Australia,
and the amount of money they spend, activity included
travel agent training and familiarisations, card-holder
direct mail, advertising in key Amex consumer and
card-holder publications plus an online promotion.
Around 165,000 Amex cardholders visited Australia,
a 25 percent increase on the previous year. There
was a 35 per cent increase in card swipes in Australia
by targeted Amex card-holders, and a 41 per cent
rise in spending whilst in Australia totalling US$270
million. In addition, there were more than 55,730 page
impressions on the australia.com/Amex website.
>Tourism Australia’s new two-tier Aussie Specialist Program
came into effect at the beginning of the fiscal year, creating
a more far-reaching and powerful network of trained
retail travel agents across the United States. Under the
two-tier system, almost 13,000 visitors to australia.com,
who wanted the assistance of a retail travel agent, were
directed to 114 Premier Agents and there was a 61 per cent
conversion rate of leads into actual bookings. The number
of second-tier Aussie Specialists has increased considerably
since the advent of free training and they are the highest
converting of any distribution partner in the market.
>Generated broadcast, print and online reports with a
publicity value of A$68.8 million through participants
in the Visiting Journalists Program. Coverage included
more than 80 articles in publications like The New York
Times, USA Today, Conde Nast Traveller, Islands, Travel
and Leisure and National Geographic Adventure.
>Developed a loyalty program for media representatives
who had previously travelled to Australia under the
Visiting Journalists program. Designed to prompt
on-going coverage of the destination, the Aussie
Press Club delivers exclusive news, events and
continuing education to its 150 members.
Tourism Australia Annual Report 2005|2006
55
Asia
China
Tourism growth from China remained strong during
2005/06 with Australia receiving 292,200 visitors, a seven
per cent increase on the previous year and generating a
Total Inbound Economic Value (TIEV) of $1,367 million.
China is Australia’s fastest growing inbound tourism
market with 1 million visitors per year expected by 2014.
The forecast growth in both visitor arrivals and yield from
China make this market critical now and into the future.
Under a bilateral agreement between the Chinese and
Australian Governments, Australia has Approved Destination
Status (ADS) which enables Chinese tourists to participate
in group leisure tours to Australia. Tourism Australia plays
a crucial role in implementing the ADS agreement and
Chinese travel agents must be trained Aussie Specialists to
be granted approval from the Department of Immigration
and Multicultural Affairs to handle ADS travel to Australia.
Tourism Australia’s focus is on safeguarding the market
to ensure Chinese visitors enjoy a high quality tourism
experience. In 2005/06, the Australian Government
made a A$3.9 million commitment to the ADS scheme,
including tightening the assessment process for
approved inbound tour operators. Fifty-two approved
inbound tour operators had to reapply for registration
and new tour operators were also invited to apply. This
was complemented by the China National Tourism
Administration’s (CNTA’s) Honest Travel Program and
Tourism Australia’s Aussie Specialist training program.
The China office’s key strategic objective in 2005/06
was to set the foundations for generating sustainable,
profitable, quality growth from the developing China
market in a rapidly changing environment. Activities
targeted self challengers from the major urban areas
and sightseers from the new ADS regions, and the
incentive market. Industry partners, who cater for these
travellers, were sought to ensure supply met demand.
To increase awareness and knowledge of Australia as a
destination, relationships with the media, including online
and non-traditional partners, were further developed.
Highlights and results
>Launched the global campaign, A Uniquely Australian
Invitation, in June. The television commercial featuring
the tagline ‘So where the bloody hell are you?’ aired
on local Beijing, Shanghai, Guangzhou stations as
well as nationally on the Phoenix network and was
seen by over six million people. Of the viewers, 65
per cent saw the commercial at least twice.
>The new campaign advertisements were seen online
by 311 million Chinese, resulting in around 450,000
visits to the consumer websites, including the microsite www.wherethebloodyhellareyou.com.
>Conducted separate brand cooperative campaigns
with Qantas and Singapore Airlines featuring print,
online and outdoor advertising in major, priority
markets between February and May 2006.
>Launched the Honest Travel campaign in November
in partnership with CNTA and supported by 17 key
Aussie Specialist travel agents in Beijing, Shanghai
and Guangdong. Australia was the first and only ADS
country to initiate a campaign focused on addressing
quality issues. As part of the initiative, key partners
in China made a commitment to deliver quality
holiday experiences to Chinese consumers. The launch
attracted over 50 media representatives from Beijing,
Shanghai and Guangdong and generated over 166
news articles in broadcast, print, and online media.
>As part of the Visiting Journalists Program, 54 journalists
visited Australia on four theme tours and three regional
integrated media visits — themed as Adventurous
Australia, Australia with Style and Vibrant and Tasty
Australia. Thirty travel journalists from Beijing, Shanghai
and Guangzhou’s 16 most influential TV and radio stations,
online publications, glossy travel magazines and lifestyle
weeklies participated in the three media tours, which
visited Queensland, Victoria, South Australia and Western
Australia. The visits delivered powerful results, including:
•Three Australian TV travel programs
(13 half-hour episodes).
•Three radio programs (nine hours in total).
•The production of three Australian travel websites.
•Nineteen travel articles generating a total of
A$9.6 million in publicity.
•Consumer promotions coordinated by the
16 media outlets involved in the program
attracted 6,500 participants.
•Three consumer events highlighting the themes of the
visits were held in Beijing, Shanghai and Guangzhou and
attracted 300 people.
>Coordinated the ninth annual Australian Travel Mission
(ATM) to China, which attracted 53 seller organisations
(52 Australian companies and Air China) and 171 buyers
from 154 organisations. The mission provided the
opportunity for Australian product suppliers to showcase
Hong Kong
There was a seven percent increase in visitors from Hong
Kong to 158,600 arrivals in 2005/06, with a Total Inbound
Economic Value (TIEV) of A$536 million.
The growing free independent traveller (FIT) segment
and competitive market environment, led by airline partners’
price cutting strategy on ticket-only fares, set the scene for
an increasing number of independent-oriented travellers to
visit Australia.
The key strategic objective in 2005/06 was to motivate
the FIT target audience by adding trend-setting, lifestyle
dimensions to Australian destinations. The Hong Kong office
also aimed to address the perception of Australia as only
a long stay destination by positioning Australia as a ‘short
their tourism experiences and to better understand
the new and emerging source regions within China.
>Business Tourism also performed well in 2005/06 with
the first Team Australia Mission to China held in February,
bringing together seven Convention and Visitor Bureaux
partners together with industry speakers and the travel
trade. In April, the Society of Incentive Travel and Executives
(SITE) seminar in China attracted 34 pharmaceutical
and insurance decision-makers to inform them of the
potential benefits of incentive travel to their businesses.
break’ destination for a five to six-day holiday.
Highlights and results
>Launched the new A Uniquely Australian Invitation
campaign to the travel trade and media in March,
generating significant media coverage in travel trade
publications, prior to the consumer campaign launched
in May 2006.
>Partnered with South China Media Publications and
Cathay Pacific, for a campaign promoting four experiences:
Trend Oz, Taste Oz, Indulge Oz and Fun Oz. Editorial features
in leading consumer magazines generated publicity valued
at A$220,948. Radio promotions on Metro Finance and
Metro Showbiz, reached a combined audience of over
1.8 million listeners while online promotions resulted in
12,300 click throughs.
Tourism Australia Annual Report 2005|2006
>Around 80,000 copies of an Australian lifestyle guidebook
were distributed in leading consumer magazines.
>Worked with Hong Kong’s most influential free-to-air
broadcaster, TVB, to coordinate a musical travelogue
promoting the Northern Territory and Victoria. The 90minute program, Embark on a Musical Journey to the Centre
of the World with Miriam and Leo, featured Cantonese
pop stars travelling and performing around Australia. The
program achieved high ratings and publicity valued at
A$3.5 million.
>Conducted a brand cooperative campaign with Qantas,
which generated 1,733 passengers for Qantas Holidays’
five-day FIT package, 16,634 tickets for the Qantas
ticket-only promotion and 580 passengers for the group
package promotion.
>Major travel trade activity included the Cathay Pacific VIP
familiarisation trip in which 18 senior executives from
Hong Kong’s top travel agencies travelled to Western
Australia in November 2005. These agencies represent
75 per cent of total outbound tourism to Australia from
Hong Kong.
>A joint promotion with Galileo resulted in the recruitment
of 41 new Aussie Specialist agents and expanded
distribution to retail and FIT agents. There were a total of
180 registered Aussie Specialists, 67 per cent of whom had
completed the full module, for the year.
>Business events activities included below-the-line
promotions and assistance to companies organising
business incentive trips to reward their employees. This
resulted in significant growth in the business incentive
sector. The biggest incentive group to visit Australia
was 1,000 employees from the American International
Assurance (AIA) Company.
57
INDIA
India continued to show strong growth in 2005/06,
with a 33 per cent increase in visitors to Australia
to a total of 78,900 arrivals. India’s growth and
increasing yield make this an important, high
potential growth market, especially for the future.
The key strategic intention was to set the foundations
for generating high yield growth from a developing
market in a rapidly changing environment. Tourism
Australia aimed to position Australia as an ‘out of the
ordinary’ holiday destination, targeting upscale family
groups, honeymooners and the incentives market.
Highlights and results
>Conducted a three-month cooperative print advertising
campaign with Qantas, aimed at increasing travel to
Australia in the peak Indian holiday season (April to
July). Three key travel agencies, which supported the
campaign, reported a 200 per cent increase in business
to the airline, albeit off a small base. The results to the
end of June 2006 were 15 per cent above target.
>Conducted an integrated consumer promotion in October
featuring destination print and radio advertising, store
displays, direct mail and competitions with Shoppers
Stop, one of India’s leading retailers. The promotion ran
across nine cities and was supported by Tourism Australia,
five state tourism offices (New South Wales, Canberra,
Victoria, Queensland and South Australia), Qantas and
Thomas Cook. Store visits increased by 31 per cent and
40 Australian package holidays were awarded as prizes.
>Hosted India’s leading travel show Deepti Bhatnagar
Productions on a visit to Sydney, Melbourne and
the Gold Coast to shoot six episodes on Australia’s
tourist attractions. The episodes, anchored by
Bollywood actress Vidhya Malavade were shown in
April 2006 on India’s Zoom TV lifestyle channel.
>Assisted Zee TV to shoot five episodes in Sydney for
the Zee TV travelogue Full Circle, which was broadcast
to 61 million homes via cable and satellite and
generated an advertising equivalent of A$124,000.
>Received over 550 enquiries after participating in the bridal
show Celebrate Vivaha in Delhi and Mumbai in 2005, with
60 leads converted to honeymoon trips to Australia.
>Achieved a 24 per cent increase in the number of travel
agencies registered for the Aussie Specialist Program
to 127 agencies. More than half of the 434 staff at
these businesses have qualified as Aussie Specialists.
>Grew the Preferred Aussie Specialist agent scheme
— a partnership between Tourism Australia, the
Department of Immigration and Multicultural Affairs
and the agents— by 25 per cent to 76 agencies
and 176 registered agents. The scheme has sped
up visa application and approval for clients.
>Conducted the 2005 India Travel Mission in Goa in
September with 42 suppliers (68 per cent more than the
2004 event). Over 100 travel agencies attended the fiveday event and gave it a 100 per cent satisfaction rating.
KOREA
Korea is the third strongest tourist market in Asia,
with a total of 243,000 visitors arriving in Australia in
2005/06, a two per cent increase on the previous year.
The Total Inbound Economic Value (TIEV) of Korean
visitors to Australia for the year was $972 million.
Activities focused on broadening consumer knowledge
and creating compelling reasons for Koreans to visit
Australia, to create a sense of wonder about new Australian
experiences. It aimed to improve dispersal and create
higher returns for the Australian tourism industry by
targeting the free/independent traveller (FIT) segment.
With limited direct air flights to Australia a major
challenge, Tourism Australia worked with Korean Air to
initiate charter flights to Melbourne and Cairns and promoted
Qantas’ supplementary seasonal flights to Brisbane.
Korean consumers are among the most tech-savvy in the
world, so digital communication remained an essential part
of the marketing mix.
The key strategic intent in 2005/06 was to capitalise on the
shift in the consumer market and reposition Australia as a
destination for long term, high value, independent travellers.
Highlights and results
>Launched the new A Uniquely Australian Invitation
campaign to the travel trade and media in March,
which was attended by more than 200 guests,
including 71 journalists from 49 media outlets. The
campaign was rolled out to consumers in June.
>Partnered with Korea’s major internet portals, Daum and
Naver, as well as Cathay Pacific and six partner agents
to conduct the Best of Australia (BOA) 2 campaign, from
May to July. The campaign included innovative digital
initiatives to showcase Australian experiences and FIT
products. The campaign included promotions such as:
•The ‘FIT expedition team’, which involved winners of a
travel competition visiting Australia and relaying their
experiences via a real time travel blog and a BOA2 event
pages in Daum.
•An online memory game featuring recommended
itineraries plus various interactive consumer
online promotions to position Australia as the best
FIT destination.
•Over one million visits to online pages by 314,697
unique visitors and participation by more than 50,000
people in the online consumer events.
•Collaboration with On Style Channel, Mobile MMR and
KBS FM Radio to support the digital components of the
campaign. On Style compiled and edited 50-second
Travel Style clips from Tourism Australia’s stock footage
and aired these 85 times in June.
Tourism Australia Annual Report 2005|2006
•Key product or experiences messages were sent to
100,000 mobile phones with invitations to the BOA2
online event web pages.
•KBS FM radio introduced AussieMate, the new
FIT product from Cathay Pacific as the reward for
its listeners.
•The distribution of a series of FIT guidebooks on
Sydney, Melbourne, Brisbane and the Gold Coast, plus
a newly produced Sydney transportation guidebook, to
consumers and trade partners.
>Negotiated with the producers of two Korean television
dramas, Princess and One Fine Day, to incorporate
Australian storylines into their programs. Both dramas,
which featured episodes in Brisbane and Sydney, received
good ratings and were seen by over 1.7 million viewers. To
leverage the popularity of the programs, an online writing
contest on the MBC National TV home page was initiated.
>Worked closely with Korean Air to boost capacity and
drive interest in new Australian destinations through
charter flights from Seoul to Cairns and Melbourne.
Combined with additional Qantas flights to Brisbane, this
initiative delivered over 9,000 passengers to Australia.
>Consolidated the Aussie Specialist Program to 570
registered, of whom 92 have completed the full
course, and hosted Aussie Specialist familiarisations
to Perth, Adelaide and Melbourne in March.
>Ran a special honeymoon familiarisation, in collaboration
with Tourism Queensland and Tourism New South
Wales in June for a future honeymoon promotion in
partnership with Asiana Airlines and 10 major agents.
59
Malaysia
Malaysia delivered 152,500 visitors in 2005/06 and
had a Total Inbound Economic Value (TIEV) of $567
million. It remains one of the key Asian markets for
Australia with a high level of repeat visitation.
To increase yield, activities aimed to re-position Australia,
by offering new experiences and products to stimulate
the first-timer segment and maintain the repeat visitor
segment. The challenge was to enhance Australia in the
mind of the consumer and present it as an appealing
destination, offering a unique combination of accessible
nature experiences and cosmopolitan lifestyle.
The key objective was to provide new reasons for
consumers to visit Australia, through product experiences
that catered for returning visitors.
Highlights and results
>Commissioned the My Australian Adventure travel
series, in partnership with channel TV3 and the STOs,
making Australia the first foreign destination to gain
exposure on the leading prime-time TV channel in the
market. The estimated media value of the program was
A$660,000, with print articles about the series generating
an additional A$185,000 worth of publicity. The eightepisode lifestyle program, starring Malay celebrities and
their Australian experiences, consistently out-rated other
programs in its timeslot. The program was supported
by interactive consumer promotions such as an online
contest; SMS; links to STO websites; promotions for
trade partners; a consumer fair and consumer events.
>Worked with all State tourism offices to develop the
‘Best of Australia’ packages, to support the brand
campaign and My Australian Adventure. Targeted
at the self-drive and family segments, 10 Aussie
Specialist Agencies and 11 trade partners participated
in the campaign. In the six months that the campaign
ran, 1,467 passenger bookings were confirmed.
>The Aussie Specialist agent program continued to be
an important vehicle to build the distribution network,
with 268 travel agents from 40 agencies enrolled in
the program. Of these, 88 agents have completed the
program, an increase of 42 per cent. Two networking
events were attended by 82 Aussie Specialist agents,
while 15 participated in a familiarisation to Australia.
>Partnered with Tourism New South Wales and
Tourism Victoria for the Taste of Australia consumer
promotion to highlight Australia’s cosmopolitan
food and wine experiences. During the 10-day event,
Australian celebrity chefs, wine makers and chocolatiers
hosted gala dinners, cooking classes, wine tutorials
and chocolate-making workshops – generating
strong attendance and publicity for Australia.
>Coordinated the largest ever Australian presence
at the annual Malaysian Association of Tour and
Travel Agents’ (MATTA) International Travel Fair in
March. Ten Australian suppliers and all State tourism
organisations participated in the event, which
attracted 75,000 visitors. A 12-page supplement was
produced to generate awareness about Australian
experiences and trade partners supporting the event.
>Participated in the annual Penang MATTA fair for the first
time. The fair attracted 41,000 visitors.
>Organised the first Incentive Training Seminar in Kuala
Lumpur, attracting 63 agents from 43 incentive agencies.
Singapore
Australia received a total of 251,700 visitors from Singapore
in 2005/06. While this was a decline of six per cent relative
to the same period last year, the Total Inbound Economic
Value (TIEV) of the market increased by 11 per cent to $738
million in real terms.
As Australia’s most mature Asian tourism market,
Singapore continues to be a reliable performer. However,
Singaporean’s familiarity with Australia requires a focus on
broadening consumer knowledge and introducing a ‘wow’
factor to maintain share in this highly competitive market.
Increased fuel surcharges and competition from regional
destinations are among the factors that have impacted on
Australia’s performance. The appeal of an Australian holiday
remains high as Tourism Australia and State Tourism partners
continued to present new travel options through a wide
range of marketing programs.
The key objective for 2005/06 was to secure the repeat
travel market with the introduction of new travel experiences
as well as identifying potential growth opportunities in
business tourism and the school excursion markets.
Highlights and results
>Launched the Uniquely Australian Invitation campaign to
consumers in May.
>To coincide with the launch of the new campaign, Qantas
offered an air pass, enabling Singaporeans to visit up to
three destinations within Australia. The campaign used a
combination of television, print, online and direct marketing
and was supported by trade partners through their own
marketing programs. The campaign generated strong
passenger sales and stimulated greater dispersal, with many
Singaporeans taking advantage of the offer to visit new
destinations such as Tasmania and the Northern Territory.
Tourism Australia Annual Report 2005|2006
>Secured 19 print and two broadcast journalists on the
Visiting Journalists Program, resulting in the publication of
148 articles on Australia plus a seven-episode All Australian
television program on Singapore’s highest rating channel,
MediaCorp 8.
>The All Australian program, which was the result of
collaboration with six State tourism organisations and
leading trade partner Chan Brothers, was the highest rating
travelogue ever produced in Singapore and generated
media coverage with an estimated value in excess of
A$8.1 million. The series showcased the experiences of the
Singaporean celebrities in Australia and was supported by
print advertising and online activity.
>Partnered with Singapore Airlines and four State
tourism organisations to produce a range of editorial
features in the leading newspaper, The Straits Times.
The campaign was supported with online and direct
marketing activities and succeeded in broadening the
range of Australian options available to Singaporeans.
>Promoted the Melbourne 2006 Commonwealth
Games, in partnership with Tourism Victoria and
Anglo French Travel. The M2006 campaign leveraged
publicity around the Games by focusing on Melbourne
and Victoria. Public relations efforts generated high
awareness of the destination and achieved media
coverage valued at more than A$462,000.
>Partnered with Tower Club, Singapore’s leading private
members club, to showcase Australia’s culinary reputation
by enlisting Mark Best from Marque restaurant in Sydney
for a one-week promotion at the club in March. As a
result of the promotion, leading editors and journalists
produced 15 articles on Australia’s food and wine scene.
>Increased the number of Aussie Specialists to 178 agents
from 36 agencies, an increase of 48 agents and two
agencies from 2004/05.
>Piloted a lead distribution program to support the Qantas
brand cooperative campaign, providing a direct link for
consumers to Aussie Specialist agents. During the twoweek television advertising program, the system delivered
1,450 leads to agents, with approximately 45 per cent of
these converted to travel to Australia.
61
Taiwan
Despite a two per cent drop in visitors to 102,100 in
2005/06, Taiwan’s market continued to deliver strong
results with a Total Inbound Economic Value of $289 million.
Australia remained a popular incentive destination and in
market activities continued to promote the growth of this
key segment.
Utilising limited resources, Tourism Australia has
re-engaged the trade and consumers and delivered some
good results. It has succeeded in raising awareness about
Australia and delivering more Australian products to
consumers. Tourism Australia has worked with travel agents
to develop quality products and secured stronger Australian
tourism industry recognition and trade engagement.
The key objective in 2005/06 was to re-engage
consumers and trade with high quality, new Australian
experiences and build a strong position for Australia in
the holiday and incentive segments to improve Australian
industry involvement
Highlights and results
>Coordinated the Australian Pavilion at the Taipei
International Travel Fair (TITF), which was visited by
120,000 people, and secured the support of major
partners, Tourism Victoria, Tourism Queensland and
Cathay Pacific consortium agencies. During the fair,
4,000 visitors filled in a survey on buying behaviour.
>Produced a 60-page Australian guidebook, tailored
for Taiwanese tourists, that was distributed to 30,000
consumers by Tourism Australia and its trade partners.
>Participated in the Team Australia Business Events
Educational (TABEE) in Bangkok and organised corporate
functions and familiarisations for incentive agents and
corporate end-users.
>Distributed an incentive guide book, business
tourism supplements and agent training kits to 1,700
incentive agents and 100 corporate end-users.
>Secured media coverage in Taiwan valued at A$925,000.
Strong editorial coverage was achieved through two
Visiting Journalists Program trips involving seven
journalists, and through media gatherings. Major activity
included collaboration with Taiwan Public Television,
the leading national broadcaster, which resulted in the
filming of a 20-episode drama series in Sydney and its
surrounds that aired in prime time to 2.3 million people.
>Consolidated the Aussie Specialist Program with 186
travel agents from 45 agencies enrolled. Of these, 82
agents (44 per cent) had completed Part 3 of the course.
>Conducted four Aussie Specialist networking training
courses, which were attended by 30 ASP agents. The
courses were on creative product development, cost
analysis of group tours, emergency handling procedures for
group tours, and Australian wine.
>Engaged three airline partners— China Airlines,
Cathay Pacific and Qantas — and 20 agencies to
promote 16 quality products through 16 advertorials.
During the five week promotion, Tourism Australia
received 1,800 enquiries for its free guide book.
Thailand
Around 75,000 visitors from Thailand arrived in Australia
in 2005/06, generating a Total Inbound Economic Value of
$288 million.
Despite the tsunami and political instability in Thailand,
this market continues to provide relatively strong yield
and potential, particularly from the business tourism
segment. Activities focused on stimulating market demand
through consumer promotions, highlighting Australian
experiences and enhancing industry engagement.
In 2005/06 the key strategic intention was to
capitalise on the growing upscale free and independent
traveller (FIT) segments by re-engaging these consumers
with new, higher quality holiday experiences. The
core target markets included upmarket families
and double income, no kids (DINKS) travellers.
Highlights and results
>Achieved publicity valued at more than A$1 million
through the Visiting Journalists Program. Visits by 24
print media and two broadcast trips to key destinations
generated in excess of 35 stories in publications such
as Flavors, Traveller’s Companion, Cosmopolitan, Travel
Around the World and Expression. The articles showcased
Australian city lifestyle, the variety of food and wines,
nature and fun, business tourism and trade events. To
ensure greater longevity, all the stories were placed in the
travel deals section of australia.com. In addition, Thailand’s
Unseen TV station broadcast programs with an estimated
publicity value of A$40,000.
>Generated more than 500 bookings through a cooperative
campaign with Singapore Airlines and Aussie Specialist
Agents. The campaign targeted nominated family
segments and bookings exceeded the initial target by
25 per cent.
>Ran a competition in partnership with two leading
consumer brands to highlight Australia’s city and
adventure experiences for the family segment. This
promotion, with Sizzler restaurants and the Tea Tree
cosmetic company, generated more than 150,000 entries
for a competition offering a prize trip to Australia.
>The Aussie Specialist Program (ASP) continues to be
crucial for the distribution of Australian product in the
Thai market. Fifty agencies with 122 qualified agents are
members of the program. Consumer enquiries to
the Tourism Australia office are referred to an ASP agent
via the IVR system.
>Attracted five Thai corporate leaders and four media
representatives to the annual Business Tourism Event in
Asia (TABEE), exceeding original targets.
>Held business tourism seminars for direct sale and
life insurance organisations to promote Australia as
an ideal incentive destination. As a result, a large
multi-national company chose Australia for its next
major incentive in 2007.
>Developed advertorial with targeted industry publications
to promote Australia as an ideal incentive destination.
Tourism Australia Annual Report 2005|2006
63
Japan
Japan remained Australia’s third largest market in 2005/06
in terms of arrivals and second in terms of inbound leisure
traveller economic value (Leisure TIEV). This was despite a four
per cent drop in visitors from Japan to 674,200 in 2005/06.
The Total Inbound Economic Value was $2.095 billion, a 1 per
cent increase from 2004/05.
Australia’s share of the Japanese outbound long
haul market has remained at around 3.9 per cent. Free,
independent and Experience Seeker travellers now constitute
around 45 per cent of the outbound market from Japan.
The key strategic intention in 2005/06 was to position
Australian experiences so that Tourism Australia could
capitalise on the fast evolving market of higher yield
independent and special interest travellers. Among the target
markets were ‘office ladies’ — young professional women
— and Jukunens — the 27.5 million people aged 50 to 64
years, including baby boomers. Supplementary markets
included school excursions and sports groups.
Highlights and results
>Launched the new A Uniquely Australia Invitation
campaign in Tokyo in March to over 120 key
media and tourism representatives, including the
Japan Australia Advisory Group (JAAG), Club Oz
and Oznet members. Industry briefings were also
held in Osaka, Nagoya, Fukuoka and Sapporo.
>Aired the new campaign’s 30-second television
commercial from April through to June in Osaka,
Nagoya, Fukuoka and Tokyo, reaching 70 per cent
of the target market of Experience Seekers in Tokyo
and 50 per cent in Osaka and Nagoya. The 60-second
cinema version of the advertisement ran in 100
cinemas in five major regions, including Sapporo.
>Ran a nationwide brand print advertorial campaign in 29
magazines, with a combined circulation of seven million
people. The advertisements featured three Japanese
celebrities who had lived in, or experienced life in Australia.
>Issued a fortnightly electronic newsletter, Travel
Club, to 75,000 subscribers featuring a series of 13
topics by 13 writers, who had visited Australia.
>In May and June, around 160,000 Japanese consumers
sent electronic postcards as part of a competition
promoting Australia through the campaign site on
australia.jp. The prize, two return tickets to Australia
provided by Qantas Airlines, was publicised through
online media ads, the Qantas Frequent Flyer e-newsletter,
and Tourism Australia’s consumer e-newsletter.
>Embarked on cooperative brand activities with Qantas,
Australian Airlines and Japan Airlines targeting
Experience Seekers. Both Qantas and Australian Airlines
ran advertisements featuring the Sydney Harbour
fireworks to promote the Aussie AirPass while Japan
Airlines ran a nationwide advertisement featuring a
rainforest image to promote emerging independent
and semi-independent travel to Australia.
>Conducted a promotion with Tokyo’s top radio station,
J-Wave, to promote Australian travel experiences in
the two weeks before the Japanese summer holiday
season. A 10-minute program Aussie Invitation to
inspire listeners to travel to Australia was broadcast
and over 20,000 consumers attended a one-day
Experience Australia event at the Takashimaya
department store in the popular Shinjuku district.
>Conducted media promotions during the 2006 FIFA World
Cup, leveraging interest in the Socceroos. The Australian
Embassy in Japan hosted an exclusive ‘live site’ event
on 12 June to celebrate the first soccer match between
Australia and Japan, which generated media coverage
on 11 television programs and in 14 print publications.
>The Action Plan for Japanese Tourism was launched by
the Minister for Small Business and Tourism, the Hon
Fran Bailey. During a visit to Japan, the Minister met
with key trade industry and media representatives to
discuss the plan and reaffirm the Australian Government’s
commitment to the Japan tourism market. The
Minister also launched the 2006 Australia-Japan Year
of Exchange at the Australian Embassy in Tokyo.
>Conducted the Visit More of Australia cooperative
marketing campaign with eight wholesalers, Qantas
and Japan Airlines. New travel brochures were distributed,
highlighting the diversity of package holiday options and
experiences, double-page advertorials in the brochures
featuring World Heritage sites and wildlife for the Kamiki
period (April–September). The campaign also focused on
package tours to the Gold Coast, as the main gateway
for Kamiki.
>Organised the Japan Australia Mission (JAM) 2006,
Australia’s premier trade event for the Japan market. A
total of 56 Australian suppliers met with 50 Japanese
planners over two days of the event, providing participants
with face-to-face business and networking opportunities
and updates on current market trends. Feedback from
sellers and buyers showed they were highly satisfied with
the event.
>Conducted 10 agent familiarisations with the state tourism
organisations for 57 Oznet members, who are the key retail
agents in the market. The familiarisations covered themes
like Rainforest and Eco and were aimed at increasing tour
planners’ knowledge of unique products for specialist
and free, independent travellers. As a result, JTB World
Vacations, a top Japanese travel company, developed a new
package tour to reflect the familiarisation itinerary.
>Generated editorial coverage with an estimated value of
around A$83 million through 50 television and print media
representatives touring Australia as part of the Visiting
Journalists Program. Public relations activity generated an
additional A$25 million worth of coverage in major media
outlets, including NHK television.
>Coordinated a familiarisation for 50 school teachers from
Japan in partnership with the Japan School Tour Bureau,
Tourism New South Wales, Tourism Victoria, Qantas
and Japan Airlines. Participants included key decision
makers in the Japanese school excursion market. The
event was followed by an educational seminar Study
in Australia, which was attended by around 100 school
teachers in Tokyo, Sapporo, Nagoya and Fukuoka.
Tourism Australia Annual Report 2005|2006
65
Gulf Countries
Tourism Australia’s activity in the region is concentrated on
the Gulf Cooperative Council (GCC) countries of Bahrain,
Kuwait, Oman, Qatar, Kingdom of Saudi Arabia and the
United Arab Emirates. Other Middle Eastern countries
continue to be serviced through the Aussie Enthusiast
Program, which is a joint initiative between Tourism Australia
and Austrade.
In 2005/06 Australia received 39,414 visitors from the GCC
countries, an increase of 14 per cent compared with 2004/05.
The largest number of travellers came from the United Arab
Emirates and the Kingdom of Saudi Arabia.
A key objective for 2005/06 was to continue building
awareness of Australia as a desirable long-haul travel
destination, by profiling Australian products to promote the
country’s uniqueness as a holiday destination.
Highlights and results
>Worked closely with the travel trade throughout the
Gulf Countries.
>Appointed a new business development manager, based
in Dubai, to implement training for travel agents; to build
additional distribution partners and to strengthen
existing relationships.
>Hosted the second travel agents’ training workshop,
Yinala, in Sydney, in conjunction with State Tourism
Organisations (STOs) and airlines. The event was attended
by over 50 agents from across the Gulf region and 50
Australian suppliers.
>Attended the three-day Arabian Travel Market in May
2006, in Dubai, in partnership with STOs, Qantas and
18 Australian suppliers. The event received over 16,000
visitors, including 10,000 trade representatives and over
3,000 consumers.
>Partnered with Tourism Victoria and Tourism Western
Australia, to attend the Emirates Holidays Travel Show in
April 2006 in Dubai. The event was visited by 450 travel
agents from 29 countries in the region.
New Zealand
>Held a roadshow in May 2006 in Kuwait City, Doha (Qatar)
and Abu Dhabi, with 14 Australian product suppliers and
tourist offices.
>Distributed Oz News—Gulf Update, a monthly online
newsletter to over 800 travel agents.
>Released a new version of the Aussie Enthusiasts program
in May, providing agents in the region with the opportunity
to participate in online training, in order to enhance their
overall knowledge of Australia as a tourist destination.
>Produced branded marketing material to support travel
agents throughout the Gulf Countries. This included the
Travellers Guide, Off to Oz directory, dedicated product
guides and online visa application instructions.
>Trained agents in Riyadh and Jeddah, when the
Tourism Australia representative visited the Kingdom
of Saudi Arabia.
>Ran billboard advertising campaigns in Saudi Arabia
and Kuwait City.
>Reached over one million viewers through a promotion
on Citruss Travel TV, during June 2006. The promotion
profiled Australia as a unique holiday destination.
>Conducted cooperative advertising campaigns with major
travel agents in Qatar and the United Arab Emirates during
the key selling months.
New Zealand is the number one market for Australian
tourism in terms of arrivals, generating 1,090,500 visits to
Australia in 2005/06. It is also a primary contributor to the
economic value of tourism in Australia delivering A$1.787
billion in Total Inbound Economic Value in 2005/06.
New Zealand is unique in that it is the only true shorthaul leisure market for Australia, with the highest return
visit rate at 93 per cent. There is a strong awareness level of
Australia (80 per cent) and a relatively high preference for
travel in Australia (45.6 per cent). The challenge is to create a
reappraisal of Australia and address knowledge gap issues.
The key strategic objective in 2005/06 was to motivate
the ‘ideal visitor’ to travel to other gateway destinations and
to increase their stay and spend. Among the target groups
were young couples without children, affluent couples aged
35 to 64 years and wealthy retirees. The business market was
also targeted.
The aim was to Influence ideal visitors to move along the
purchase cycle from preference to intention, recognising that
they believe they are familiar with Australia and have a ‘been
there, done that’ attitude. They prefer to buy trips through
the recommendations of family, friends and travel agents.
Highlights and results
>Launched the Uniquely Australian Invitation campaign,
which met its reach and frequency targets for the March
to June 2006 phase. The 60-second television commercial
was viewed by 84 per cent of the target audience,
with 64 per cent of viewing it three times or more. The
30-second commercial was viewed by 93 per cent of
the target audience, with 86 per cent viewing it three
times of more. Of the target audience, almost 200,000
or 68 per cent saw the magazine advertisement.
>Organised the inaugural G’Day NZ: Australia Week 2006, a
series of consumer and corporate events focusing on the
spirit of mateship between Australia and New Zealand.
The events included a gala dinner, the ‘longest lunch’,
film festival and photographic exhibition, which attracted
over 7,000 people. A total of 70 stories were generated,
reaching 2.1 million people and achieving a publicity value
of NZ$500,000.
>The network of 56 Premier Aussie Specialist agents
received 906 leads, the majority of which were referred
through australia.com.
>A total of 1,326 agents were signed up for the Aussie
Specialist Program, of whom 603 were qualified while
the remainder are in training. Six State and Territory
modules were launched as part of the program.
>Hosted 10 media representatives as part of the Visiting
Journalists Program. These journalists represented
publications such as Metro, NZ Life & Leisure, The
New Zealand Herald and NZ House & Garden.
Tourism Australia Annual Report 2005|2006
67
United Kingdom and Europe
United Kingdom and Ireland
The United Kingdom is Australia’s most valuable
international source market. Through its increasing
investment in new and engaging marketing programs,
Tourism Australia aims to more accurately target
the higher yielding Experience Seeker segment.
The number of visitors from the United Kingdom
grew by one percent in 2005/06 from an already large
base to 708,700 travellers. Leisure visitors contributed
to a Total Inbound Economic Value of A$2.857 billion.
There was a five per cent increase in visitors from Ireland to
59,400 people, highlighting the future potential of the market.
The key strategic intention in 2005/06 was to have
greater direct engagement with customers, in order to
trigger an emotional connection that would convince
them to visit Australia now. To achieve this, measures that
included greater dialogue with the mainstream media
and an improved customer relationship management
strategy were implemented. Another important aspect
was leveraging the tourism potential of key events like the
2005 Ashes Tour and the 2006 Commonwealth Games
In terms of partnerships, one of the objectives was
to implement a new business strategy to attract new
distribution partners.
Highlights and results
>Launched the new destination campaign in March. The
campaign received a welcome publicity boost when
the television advertisement was initially banned from
screening on United Kingdom television by the Broadcast
Advertising Clearance Centre (BACC). The ban made
headlines and led to over 50,000 downloads of the uncut
version of the advertisement from the campaign website
in the first week. The Minister for Small Business and
Tourism, the Hon Fran Bailey, flew to London for talks with
her counterpart in Britain and the ban was withdrawn.
>Reached over 25 million United Kingdom consumers
through a cooperative advertising campaign with Qantas
in September and January, which generated more than
200,000 responses.
>Conducted a cooperative campaign with Singapore
Airlines in February and March 2006.
>Boosted traffic to the www.work.australia.com microsite, which targets 18-30 year olds and potential Working
Holiday Makers by showcasing the working holiday
itineraries and experiences itineraries of two young gap
year travellers in Australia. Online advertising drove traffic
to the microsite, where visitors were urged to ‘forward the
link to five friends’ in order to take part in a competition.
With 40,000 unique sessions in the first month, the site
received more than double the forecast traffic for the
campaign period.
>Coordinated a 12-page advertorial in the glossy travel
magazine Ultra with six tour operator partners and
Qantas to target high yield Experience Seekers. The
feature showcased Australia’s luxury experiences and
provided a strong call to action. A reader event was also
organised with Wine Australia as part of the promotion.
The supplement reached over one million readers and
the reader event was oversubscribed by 700 per cent.
>Worked with the television program T4 Down Under,
which featured well known presenters broadcasting from
both Sydney and Hamilton Island to showcase tourism
products in both destinations. The program aired daily on
United Kingdom’s Channel 4, from 24 December 2005 to 1
January 2006, to an audience of over four million viewers.
>Worked in partnership with Tourism Victoria, Qantas and
M2006 to produce a Commonwealth Games supplement
for The Daily Telegraph. Additional, broadcast coverage was
generated for ‘The Road to Melbourne’ with print coverage
achieved through the Visiting Journalists Program.
>Produced a Travel Weekly supplement for agents on
Australia Day, and organised a Virgin radio consumer
promotion as well as media events at the Century Club.
>Organised a trade promotion with Travel Trade Gazette
to drive recruitment of the Aussie Specialist Program.
The promotion, which was supported by Qantas and the
State Tourism organisations, offered three travel agents
plus their ‘mates’ the chance to win a trip to Australia.
The promotion exceeded Aussie Specialist recruitment
targets, with 330 qualified and 502 in training. There were
over 2,000 hits to australia.com/ttg and coverage with an
estimated advertising value of $125,000 was generated in
Travel Trade Gazette.
>Implemented a new business strategy in October 2005
through the Destination Australia Marketing Alliance,
which resulted in upmarket tour companies such as
Thomas Cook, Cox & Kings, Bailey Robinson and Scott Dunn
incorporating new Australia programs. In addition ITC
Classics, Seasons in Style, Elegant Resorts and Abercrombie
& Kent agreed to enlarge their portfolios of Australian
products and raise the country’s profile with their clients.
>Interaction with the Irish trade included the launch
of three Aussie Specialist wholesale training modules
or wraps, created specifically for tour operators.
France
There was an 11 per cent increase in arrivals from France to
65,500 visitors in 2005/06. There was a strong 46 per cent
dispersal of French tourists to the regions. Tourism Australia’s
challenge was to convert the visitor growth into yield, whilst
maintaining the high dispersal.
The key strategic intent for 2005/06 in France was to
sustain high dispersal tendency by pursuing the youth
segment and the high-yield honeymoon segment.
The strategy was put into practice through a combination
of targeted consumer activities and a network of partners in
all areas of distribution.
Highlights and results
>Conducted a cooperative campaign with Qantas,
which included radio, print, online and trade
advertisements, plus targeted email blasts and public
relations activity. Highlights of the campaign, which
aimed to motivate consumers to implement their travel
plans to Australia, included:
•Reaching a total audience of 9.7 million consumers.
•Over 53,000 direct responses to online ads (clickthroughs) were received and there was a 90 per cent
increase in sessions on the French version of australia.
com over the previous year.
•Full, half and quarter-page advertisements appeared
in leading newspapers and weekly magazines such as
Le Figaro, Le Monde, Paris Match, Les Echos Weekend,
Courrier International and Télérama Sortir.
Tourism Australia Annual Report 2005|2006
•Online activity included a range of advertisements
showcasing Australia’s diversity in news, travel and
lifestyle websites including, www.Liberation.fr,
www.L’equipe.fr, www.lemonde.fr and
www.linternaute.com as well as on
www.Boursorama.com, website of the Paris Bourse.
•Public relations activities, including 13 media relations
exercises and four Visiting Journalists Program articles
also had a positive impact on australia.com sessions.
>Launched the French version of the working holiday
visa website – www.travail.australia.com – in January.
This followed a two-week promotion in October and
November in the Paris, lle de la France edition of the Metro
newspaper to promote changes to the Working Holiday
Maker visa scheme. The promotion combined print and
online advertising, including a competition on the Metro
website (www.metrofrance.com) to win a trip to Australia.
>Leveraged off the interest generated in Indigenous art
and culture through media events around the opening
of the Musée du Quai Branly in June. The museum has
devoted more than 2,400 square metres to a display
of striking Indigenous Australian art. Organised media
activities promoted Australia as a travel destination and
sponsored the Australian Embassy’s Musée du Quai Branly
promotional banner.
>French consumers were given 25,000 copies of the
2006/07 edition of The Official Guide to Australia, which
were distributed via a variety of mediums including
australia.com.
69
Germany
There was a six per cent increase in visitors from Germany, with
150,400 arrivals to Australia in 2005/06. Visitors from Germany
had a Total Inbound Economic Value of A$703 million.
Germany is Australia’s sixth most valuable inbound market
in terms of yield and has the third highest rate of dispersal.
Tourism Australia worked to develop a closer engagement
with consumers in Germany and improve visitation through
trade development programs in 2005/06. Australia is now in a
strong position with a greater understanding of the consumer
and positive consumer sentiment in favour of travel.
The key strategic objective was to make visiting Australia
more ‘achievable’ for people in Germany. This goal was to be
reached through various communication strategies, including
increasing the number of visits to the website australia.com
by 15 per cent. Tourism Australia intended getting validation
of Australia as a destination with endorsements by previous
German visitors.
Highlights and results
>Launched the new A Uniquely Australian Invitation
destination campaign to the German travel trade and
media at ITB 2006 – the major international tourism fair in
Berlin. The campaign was shown exclusively to the trade
and to over 40 journalists at the event. This was Tourism
Australia’s first TV advertising campaign in Germany since
1999. In addition there was cinema and online advertising
as well as television commercials and a SAT1 television
breakfast promotion.
>Conducted a major advertising campaign with Qantas from
September through to December, which included print,
online and trade advertisements, as well as public relations
activity. The campaign aimed to create a sense of urgency
about travelling to Australia with Qantas and included
a competitive airfare of €965, plus two flights within
Australia for €25 each (taxes included). Results included:
•Almost 1,500 calls were fielded by the Qantas campaign
hotline, assisting the airline to achieve a total of 7,798
bookings between September and December.
•Reached a total audience of over 5.7 million consumers
through the combined media activities.
•Print advertisements appeared in popular titles like
Stern, Welt, Focus and National Geographic, with
85 per cent in priority, right-hand pages of the
newspapers and magazines.
•Over 50,000 direct responses (click-throughs) were
generated to online advertisements.
•Sessions on the australia.com German site increased
29 per cent over the previous year during the
campaign period.
>Launched the German version of the new Working Holiday
Maker visa micro-site www.jobben.australia.com in
January. An integrated youth campaign with MTV, including
online and print advertising was conducted to drive young
consumers to the site.
>Ran a four-week radio promotion on Planet Radio in the
Frankfurt area and a two-week radio promotion with JAM
FM in Berlin to build awareness and uptake of Australia’s
Working Holiday Maker visa program. The promotion
included a competition which received 13,711 entries.
>Partnered with the Football Federation Australia
(FFA) to conduct media activities focused on
leveraging public interest in Australia’s participation
in the FIFA World Cup in Germany.
>Ran a promotion with a leading German trade magazine,
giving three travel agencies in Germany the chance to
win their own World Cup party to watch Australia play
Japan, Croatia and Brazil. Elements of the Touristik Akutell
World Cup Promotion included a one-page editorial on
the competition and a seven-page editorial on Australia’s
Great Journeys and the Aussie Specialist Program in
the ITB edition. This was followed by eight pages of
editorial on the competition in post ITB editions.
>Leading, specialised consumer magazine Trekkers
World published a 36-page dedicated Australia Special
Reiseziele Australien. The bimonthly magazine was
available across Germany between October and
December, with an additional 10,000 copies distributed
at German consumer shows in early 2006. An online
version of the supplement was placed on the Trekkers
World website www.trekkers-world.de for six months.
>Achieved an increased share-of-voice with the
German public through consumer-orientated activity,
including events such as Australia Rocks, Gebeco
Roadshow. Tourism Australia was represented at
five consumer shows in 2005/06 including ITB.
>Undertook training of the German travel trade
during familiarisations to Australia and through
events such as: Dertour Roadshow, Meiers Top 100,
Gebeco Trade and Consumer Roadshow and FTI
Roadshow. Individual sales calls at direct seller offices
were conducted by a new dedicated trainer.
>Organised Aussie Specialist Program initiatives such as
Aussie Hero of the Month. Also increased contact with the
industry through incentives, competitions, a newsletter
with German specific content, continuous trade press
support, and additional tour operator modules for
Meiers, FTI, Gebeco as well as updates of the existing
Dertour module.
>Introduced a newsletter to improve communication
with the German travel trade.
Tourism Australia Annual Report 2005|2006
Italy
Italy remains a prime source market in Continental Europe
with Australia considered a high quality, fashionable
destination amongst the key target traveller segments.
In 2005/06 Australia experienced three per cent growth
in visitor arrivals from Italy to a total of 50,800. Tourism
Australia’s focus in this market is to convert visitor growth
into yield through engaging distribution partners and
focusing on consumer engagement through media
relations programs.
The key strategic intention for 2005/06 in Italy was to
sustain the high dispersal tendency by pursuing the youth
segment and where appropriate target the high yield
honeymoon segment.
Highlights and results
>Ran radio and online advertisements during January
and February with Qantas, aimed at creating an urgent
desire to travel to Australia. Two radio stations carried
advertisements targeted at audiences in Rome and
Milan for a fortnight. The combined media reached
approximately 7.8 million Italian consumers. There were
over 34,000 direct responses to australia.com/voli. More
than 80 per cent of the visitors to australia.com went
through to the australia.com/voli campaign page.
>Generated media coverage with an estimated value
of A$20,601,500 through media relations activity,
promotions, events and the Visiting Journalists Program.
The publications, reports and broadcasts reached more
than 45 million people.
>Conducted the Hip Australia Promotion which consisted
of integrated consumer, public relations and trade
promotions highlighting unique and fashionable Australian
71
experiences. Publicity included a 16-page full colour
Australia supplement Hip Australia, which was distributed
with Traveller and Vanity Fair with 15,000 run on copies
also distributed at consumer shows. Consumer web
activity included the micro-site www.hip.australia.com
plus online content and competitions on www.gqonline.it,
www.voguevanity.it and www.glamour.it.
>Launched a six-month honeymoon promotion, with leading
honeymoon and bridal show organiser Vogue Sposa, part of
the Condé Nast group, as part of the Destination Australia
Partnership. The promotion included participation in two
leading bridal shows, an advertorial supplement in bridal
magazines plus web and public relations activities.
>Introduced the OzCars, the inaugural Australian Travel
and Tourism Awards, to Italian travel industry partners
for excellence in the sales and marketing of Australia.
>Participated in the leading trade and consumer
show, BIT Milan, in the major trade-only show TTG
Incontri and in the BMT Napoli Trade Show, which
services trade from central and southern Italy.
>Launched the Italian version of the dedicated youth site
www.lavoro.australia.com, targeting youth and student
travel to Australia.
>Introduced a regular newsletter and updates to help
inform the Italian trade of new developments in
Australian tourism.
>Distributed around 25,000 copies of The Official Guide to
Australia to consumers via a variety of mediums including
australia.com requests, travel fairs, Australian Embassy
and Consulates, tour operators and airline offices.
Switzerland and Austria
Swiss visitors remain among the world’s top spenders on trips
to Australia. With a high rate of dispersal (55 per cent), Tourism
Australia’s focus is on building arrivals through consumer
promotions and working with trade distribution partners.
There was a seven percent increase in Austrian arrivals,
with 19,700 visitors coming to Australia in 2005/06 and a one
per cent increase in Swiss arrivals, to 41,300 visitors.
The key strategic intention for 2005/06 was to sustain the
high dispersal tendency by pursuing the youth segment and
the high yield honeymoon segment where appropriate.
Highlights and results
>Ran an Australian micro-site off Switzerland’s leading
portal Bluewin — www.de.bluewin.ch — which has 1.3
million visitors a month. The micro-site featured stories
about Australian experiences and tourism products as well
as a competition to win a holiday for two to Australia.
Traffic to the Swiss version of australia.com increased
by 416 per cent as a result. In addition, there were
a total of 38,756 page impressions on the microsite, around 18,500 additional user sessions on the
Swiss version of australia.com, and 7,000 users to the
competition entry section.
>Achieved A$4,590,400 in media coverage from its media
relations, promotions, events and Visiting Journalists
Program activity in Switzerland and Austria. The media
coverage reached over 15 million people.
>There was a 60 per cent increase in the training of travel
agents (130 qualified), predominantly through the Aussie
Specialist Program.
>Conducted the first Swiss mega-familiarisation to Australia,
which took place in April when major Swiss tour operator
Knecht Reisen sent 100 top retail agents to Australia for
an ‘edutainment’, consisting of a training workshop in the
host city Perth and familiarisations. Training also took place
through a small workshop during FESPO, Switzerland’s
main consumer travel show.
>Held the Club Down Under Switzerland event at the
Outback Lodge in Zurich and highlighted Australia’s unique
food, wine and lifestyle. During the event journalists
learned how to cook crocodile kebabs and kangaroo steaks.
>Held the first Club Down Under in Austria at the Vienna
Concert House, showcasing Australian arts and musician
David Helfgott.
>Introduced a regular newsletter and updates to inform
Swiss and Austrian trade representatives about the
Australian market.
>Represented Australia at the major Swiss travel trade
show Fespo in Zurich in January, through the Destination
Australia Partnership .
>Achieved positive coverage on Australia through trade
journalists attending ATE 2006 in Adelaide, ITB in Berlin,
Fespo in Switzerland and Discover Australia as well as
through trade advertising.
>Distributed around 110,000 copies of The Official
Guide to Australia to consumers throughout Switzerland
and Austria.
Tourism Australia Annual Report 2005|2006
Nordic Countries
The Nordic region continues to prove valuable for Australia
in terms of yield and dispersal. There were 74,000 visitors
from Norway, Sweden and Denmark in 2005/06. The major
source markets in the region were Sweden and Denmark,
which provided over 58,000 of these visitors, about 10 per
cent of whom were high-yielding working holiday makers.
The key objective for 2005/06 in the Nordic region was
to sustain the high dispersal tendency by pursuing the
youth segment.
Highlights and results
>Launched the Swedish and Danish versions of the Working
Holiday Maker Visa website www.job.australia.com.
>Organised a promotion with Denmark’s Radio FM100,
a popular youth radio station, to provide a listener with
a working holiday to Australia. The promotion was
organised in conjunction with the Australian Embassy
in Denmark, South Australia Tourism Commission and
Tourism Western Australia to promote the Working
Holiday Maker visa in Denmark and the new microsite. Thai Airways provided flights for the winner.
>Sponsored the Beauty Rich and Rare Exhibition, which
saw 12 posters selected from around 200 submissions
by designers and artists from across Australia. Over 40
industry and media representatives attended the opening
of the exhibition in Stockholm. The opening coincided
with the Australian Style Vibes Exhibition, which was
organised by Austrade to highlight Australian designers
and products to the Swedish trade, media and consumers.
>Joined forces with Singapore Airlines and one of Sweden’s
largest retail travel agencies, Ticket, for an integrated
marketing campaign to drive more bookings to Australia.
73
Advertisements were placed in 43 newspapers to
encourage consumers to book their Australian holidays
through Ticket. In addition four dedicated training events
were held for 63 agents to learn about Australian holiday
experiences. Eight Ticket travel agents won a place on
an educational familiarisation to Australia, flying
Singapore Airlines.
Netherlands
In 2005/06 there were 50,100 visitors from the Netherlands
to Australia, a two per cent increase on the previous
year. Tourism Australia’s challenge is to hold this growth
whilst restoring the impacts in yield and dispersal by
undertaking a range of public relations and promotional
opportunities plus training development programs.
The key strategic intention for 2005/06 in the Netherlands
was to sustain the high dispersal tendency by pursuing
the youth segment and where appropriate target the high
yield segment.
Highlights and results
>Achieved media coverage worth A$9,041,400 and reached
over 34 million people from media relations, promotions,
events and the Visiting Journalists Program activity in
the Netherlands.
>Participated in a range of activities to celebrate the
400th anniversary of the start of the relationship between
Australia and the Netherlands. The anniversary celebrates
the first sighting of Australia by Dutch Captain Willem
Jansz, who sailed alongside Cape York in the Duyfken
in 1606. (See www.nederland-australie2006.nl).
Activities included:
•More than 2.5 million Australian ‘fusion cuisine’ meals
and the best Australian wines were served on all KLM
Royal Dutch Airline intercontinental flights departing
from Amsterdam during April and May 2006, as part of
the Tasting Australia Sky High Promotion. KLM’s specially
created website – www.australianexperience.net – had a
link to the consumer website.
•Commenced a 12-month promotion with Qantas and
Group LFE, importers and distributors of Hardy’s wine
in The Netherlands, giving Dutch consumers who buy a
specially branded bottle of Australian wine the chance to
enter a competition to win one of 20 trips to Australia.
>Exhibited with the Australian industry at Vakantiebeurs,
the key consumer and trade show in the Netherlands.
>Arranged the first Aussie Specialist Dutch familiarisation
‘Experience Tropical Australia’ with Tourism Northern
Territory, Tourism Queensland, Qantas and Australian
Airlines. Nine Dutch Aussie Specialists headed to the Red
Centre and on to Queensland to experience the Daintree,
beaches and the Australian lifestyle. The familiarisation
highlighted the distances involved in travelling in Australia,
to assist the agents in selling their self drive itineraries.
Tourism Australia Annual Report 2005|2006
Other international markets
Tier 4 Markets
The Tier 4 markets include the balance of international
countries, each of which yields less that $200 million a year
in real inbound economic value. Tourism Australia does not
have a direct presence in these markets, which are serviced
through Austrade and Aussie Enthusiasts Program. Activity
in these countries is based on opportunities, with Tourism
Australia providing ‘off the shelf’ support. The fast growing
focus markets in this sector are Russia, South America,
Eastern Europe, South Africa and Vietnam.
Highlights and results
>Trained six Aussie Specialists agents in Russia, as part of
Tier 4 education and marketing, to help streamline the visa
process. Commenced training with 10 Mexican agents to
become Aussie Specialists, which included learning a new
faster, visa approval process.
>Distributed the Polyglott Guide to Australia, (published
by Langenscheidt Publishing Group) throughout Russia.
The guide was translated into Russian and 10,000 copies
were produced for distribution in the market to help raise
awareness of Australia as the ultimate holiday destination
for Russian travellers.
>Attended the Moscow Leisure and Travel Show, with
the objective of educating the travel trade and building
awareness about Australia.
>Partnered with Qantas to develop a cooperative
campaign out of Argentina, with two other key partners
in the marketplace.
>Worked with Qantas to tailor the Aussie Enthusiasts
Program for the airline’s sales representatives and
general sales agents in South America, Eastern Europe,
South East Asia (Vietnam and the Philippines), South
Africa and North Africa.
Financial Report
Tourism Australia Annual Report 2005|2006
79
I have performed procedures to assess whether, in all material respects, the financial statements present fairly, in accordance
with Finance Minister’s Orders made under the Commonwealth Authorities and Companies Act 1997, Accounting Standards and
other mandatory financial reporting requirements in Australia, a view which is consistent with my understanding of Tourism
Australia’s financial position, and of its performance as represented by the statements of financial performance and cash flows.
The audit opinion is based on these procedures, which included:
>examining, on a test basis, information to provide evidence supporting the amounts and disclosures in the financial
statements; and
>assessing the appropriateness of the accounting policies and disclosures used, and the reasonableness of significant
accounting estimates made by the directors.
Independent Audit Report
Independence
To the Minister for Small Business and Tourism
In conducting the audit, I have followed the independence requirements of the Australian National Audit
Office, which incorporate the ethical requirement of the Australian accounting profession.
Scope
The financial statements and directors’ responsibility
The financial statements comprise:
>Statement by Directors;
>Income Statement, Balance Sheet and Statement of Cash Flows;
>Statement of Changes in Equity;
>Schedules of Commitments and Contingencies; and
>Notes to and forming part of the Financial Statements
Audit Opinion
In my opinion, the financial statements of Tourism Australia:
(a) have been prepared in accordance with the Finance Minister’s Orders made under the Commonwealth Authorities and
Companies Act 1997; and
(b) give a true and fair view of Tourism Australia’s financial position as at 30 June 2006, and its performance and cash flows for
the year then ended, in accordance with:
(i) the matters required by the Finance Minister’s Orders; and
(ii) applicable Accounting Standards and other mandatory financial reporting requirements in Australia.
of Tourism Australia for the year ended 30 June 2006.
The directors of Tourism Australia are responsible for preparing the financial statements that give a true and fair
view of the financial position and performance of Tourism Australia, and that comply with Finance Minister’s
Orders made under the Commonwealth Authorities and Companies Act 1997, Accounting Standards and mandatory
financial reporting requirements in Australia. The Directors of Tourism Australia are also responsible for the
maintenance of adequate accounting records and internal controls that are designed to prevent and detect fraud
and error, and for the accounting policies and accounting estimates inherent in the financial statements.
Audit approach
I have conducted an independent audit of the financial statements to express an opinion on them to you. My audit has
been conducted in accordance with the Australian National Audit Office Auditing Standards, which incorporate the
Australian Auditing and Assurance Standards, to provide reasonable assurance as to whether the financial statements
are free of material misstatement. The nature of an audit is influenced by factors such as the use of professional
judgement, selective testing, the inherent limitations of internal control, and the availability of persuasive, rather than
conclusive, evidence. Therefore, an audit cannot guarantee that all material misstatements have been detected.
While the effectiveness of management’s internal controls over financial reporting was considered
when determining the nature and extent of audit procedures, the audit was not designed to provide
assurance on internal controls.
Australian National Audit Office
P Hinchey
Senior Director
Delegate of the Auditor-General
Sydney
16 August 2006
Tourism Australia Annual Report 2005|2006
Statement by directors
81
INCOME STATEMENT
for the year ended 30 June 2006
Notes
2006
2005
$’000
$’000
INCOME
In our opinion, the attached financial statements for the year ended 30 June 2006 are based on properly
maintained financial records and give a true and fair view of the matters required by the Finance
Minister’s Orders made under the Commonwealth Authorities and Companies Act 1997.
In our opinion, at the date of this statement, there are reasonable grounds to believe that Tourism
Australia will be able to pay its debts as and when they become due and payable.
Revenue
Revenues from Government
3A
137,823
138,374
Advertising
3B
12,170
10,781
Goods and services
3C
415
1,515
Industry contributions
3D
11,647
13,546
Interest
3E
3,304
3,455
Other
3F
2,585
1,128
167,944
168,799
—
958
—
958
167,944
169,757
Total revenue
Tim FischerGeoff Buckley
Chairman
Acting Managing Director
16 August 200616 August 2006
Gains
Net foreign exchange gains
3H
Total gains
TOTAL INCOME
EXPENSES
Employees
4A
30,163
27,904
Suppliers
4B
126,970
130,595
Depreciation and amortisation
4C
2,228
1,578
Finance costs
4D
97
64
Net losses from sale of assets
3G
6
335
Net foreign exchange losses
3H
99
—
Write-down and impairment of assets
4E
122
136
Other expenses
4F
4,944
5,027
164,629
165,639
3,315
4,118
TOTAL EXPENSES
OPERATING RESULT
The above statement should be read in conjunction with the accompanying notes.
2
Tourism Australia Annual Report 2005|2006
83
BALANCE SHEET
as at 30 June 2006
STATEMENT OF CASH FLOWS
for the year ended 30 June 2006
Notes
2006
2005
$’000
$’000
ASSETS
2006
2005
$’000
$’000
27,182
19,296
137,823
138,374
Interest
3,643
3,077
Net GST received from ATO
3,003
3,476
171,651
164,223
30,069
26,993
Suppliers
129,151
130,831
Total cash used
159,220
157,824
12,431
6,399
—
45
—
45
816
954
3,769
2,562
4,585
3,516
(4,585)
(3,471)
—
549
—
549
Notes
OPERATING ACTIVITIES
Financial Assets
Cash and cash equivalents
5A
24,515
16,768
Receivables
5B
4,855
8,348
29,370
25,116
Total Financial Assets
Non-Financial Assets
Infrastructure, plant and equipment
6A
2,818
2,733
Intangibles
6B
6,386
3,978
Inventories
6C
16
149
Investments
6D
110
110
Other non-financial assets
6E
792
2,141
Total Non-Financial Assets
10,122
9,111
TOTAL ASSETS
39,492
34,227
Cash received
Goods and services
Appropriations
Total cash received
Cash used
Employees
Net cash from (used by) operating activities
LIABILITIES
INVESTING ACTIVITIES
Payables
Cash received
Suppliers
7A
14,669
13,388
Other payables
7B
1,395
1,059
16,064
14,447
Total Payables
9
Proceeds from sales of property, plant and equipment
Total cash received
Cash used
Purchase of property, plant and equipment
Provisions
Purchase of intangibles
Employee provisions
8A
4,663
4,569
Other provisions
8B
1,791
1,552
Total cash used
6,454
6,121
Net cash from (used by) investing activities
TOTAL LIABILITIES
22,518
20,568
NET ASSETS
16,974
13,659
Total Provisions
FINANCING ACTIVITIES
Contributed equity
EQUITY
Contributed equity
827
827
Reserves
685
685
15,462
12,147
16,974
13,659
30,178
27,406
Retained surpluses
TOTAL EQUITY
Current assets
Non-current assets
Current liabilities
Non-current liabilities
The above statement should be read in conjunction with the accompanying notes.
Cash received
2
9,314
6,821
19,431
17,751
3,087
2,817
Total cash received
Net cash from (used by) financing activities
Net increase (decrease) in cash held
Effects of exchange rate changes on cash
Cash at the beginning of the reporting period
Cash at the end of the reporting period
The above statement should be read in conjunction with the accompanying notes.
5A
—
549
7,846
3,477
(99)
958
16,768
12,333
24,515
16,768
Tourism Australia Annual Report 2005|2006
85
STATEMENT OF CHANGES IN EQUITY
for the year ended 30 June 2006
SCHEDULE OF COMMITMENTS
as at 30 June 2006
Accumulated
Results
Contributed
Equity/Capital
Reserves
Total Equity
2006
2005
2006
2005
2006
2005
2006
2005
BY TYPE
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
Other commitments
Operating leases 1
Opening Balance
Adjustment recognised directly
in equity for initial recognition of
make good
Adjusted Opening Balance
2006
2005
$’000
$’000
16,241
19,724
21,100
28,916
12,147
8,255
685
632
827
278
13,659
9,165
Other commitments
37,341
48,640
—
(226)
—
—
—
—
—
(226)
Commitments receivable 3
(650)
(330)
Net commitments by type
36,691
48,310
12,147
8,029
685
632
827
278
13,659
8,939
One year or less
4,514
4,846
From one to five years
9,197
10,874
Over five years
2,530
4,004
16,241
19,724
6,584
17,873
From one to five years
14,516
11,043
Total other commitments
21,100
28,916
2
Total other commitments
BY MATURITY
Income and Expense
Revaluation adjustment
Operating lease commitments
—
—
—
53
—
—
—
53
Subtotal income and expenses
recognised directly in equity
Net Operating Result
3,315
4,118
—
—
—
—
3,315
4,118
Total income and expenses
3,315
4,118
—
53
—
—
3,315
4,171
Transactions with Owners
Equity injections
Sub-total Transactions with Owners
Transfers between equity components
Closing balance at 30 June
—
—
—
—
—
549
—
549
—
—
—
—
—
549
—
549
—
—
—
—
—
—
—
—
15,462
12,147
685
685
827
827
16,974
13,659
The above statement should be read in conjunction with the accompanying notes.
Total operating lease commitments
Other commitments
One year or less
Commitments receivable 3
Net commitments by maturity
(650)
(330)
36,691
48,310
NB: Commitments are GST inclusive where relevant.
1. Operating leases comprise leases for office accommodation and computer leases.
2. Other commitments comprise amounts payable under project agreements in respect of which the
recipient is yet to either perform the services required or meet eligibility conditions.
3. Commitments receivable comprises GST recoverable.
Nature of lease
General description of leasing arrangement
Leases for office accommodation.
The lease payments for some offices are subject to annual increase in accordance
with the terms of the leases. The initial periods of the office accommodation leases
are still current and some of the leases may be renewed for up to five years at Tourism
Australia’s option, with adjustment of rentals according to the terms of the leases.
A lease in relation to
computer equipment held
as at 30 June 2006.
The lessors provide all computer equipment and software designated as necessary
in the supply contract for two to three years. Items of computer equipment supplied
under this lease have useful lives of two to three years from the commencement of
the contract.
The above schedule should be read in conjunction with the accompanying notes.
Tourism Australia Annual Report 2005|2006
SCHEDULE OF CONTINGENCIES
as at 30 June 2006
There were no known contingencies as at 30 June 2006 and 30 June 2005.
The above schedule should be read in conjunction with the accompanying notes.
87
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Page No
Note 1:
Summary of Significant Accounting Policies
88
Note 2:
The Impact of the Transition to AEIFRS from Previous AGAAP
95
Note 3:
Income
96
Note 4:
Operating Expenses
97
Note 5:
Financial Assets
99
Note 6:
Non-Financial Assets101
Note 7:
Payables104
Note 8:
Provisions104
Note 9:
Cash Flow Reconciliation105
Note 10:
Director Remuneration105
Note 11:Related Party Disclosures106
Note 12:
Executive Remuneration106
Note 13:Remuneration of Auditors106
Note 14:
Average Staffing Levels106
Note 15:
Financial Instruments107
Note 16:
Contingent Liabilities and Assets108
Note 17:Reporting of Outcomes 109
Note 18:
Appropriations111
Tourism Australia Annual Report 2005|2006
89
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Note 1: Summary of Significant Accounting Policies
1.1 Basis of Preparation of the Financial Statements
The financial statements are required by clause 1(b) of
Schedule 1 to the Commonwealth Authorities and Companies
Act 1997 and are a general purpose financial report.
The continued existence of Tourism Australia (TA) in its
present form and with its present programs is dependent
on Government policy and on continuing appropriations
by Parliament for TA’s administration and programs.
The statements have been prepared in accordance with:
>Finance Minister’s Orders (or FMOs, being the
Commonwealth Authorities and Companies
(Financial Statements for reporting periods
ending on or after 01 July 2005) );
>Australian Accounting Standards issued by
the Australian Accounting Standards Board
that apply for the reporting period; and
>Interpretations issued by the AASB and UIG
that apply for the reporting period.
This is the first financial report to be prepared
under Australian Equivalents to International
Financial Reporting Standards (AEIFRS). The impacts
of adopting AEIFRS are disclosed in Note 2.
The Income Statement and Balance Sheet have been
prepared on an accrual basis and are in accordance with
historical cost convention, except for certain assets and
liabilities, which as noted, are at fair value or amortised cost.
Except where stated, no allowance is made for the effect
of changing prices on the results or the financial position.
The financial report is presented in Australian dollars and
values are rounded to the nearest thousand dollars unless
disclosure of the full amount is specifically required.
Unless alternative treatment is specifically required
by an accounting standard, assets and liabilities are
recognised in the Balance Sheet when and only when it
is probable that future economic benefits will flow and
the amounts of the assets or liabilities can be reliably
measured. However, assets and liabilities arising under
agreements equally proportionately unperformed
are not recognised unless required by an Accounting
Standard. Liabilities and assets that are unrecognised
are reported in the Schedule of Commitments and the
Schedule of Contingencies (other than unquantifiable or
remote contingencies, which are reported at Note 16).
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Unless alternative treatment is specifically required
by an accounting standard, revenues and expenses are
recognised in the Income Statement when and only
when the flow or consumption or loss of economic
benefits has occurred and can be reliably measured.
1.2 Significant Accounting Judgements and Estimates
No accounting assumptions or estimates have been
identified that have a significant risk of causing a
material adjustment to carrying amounts of assets
and liabilities within the next accounting period.
1.3 Statement of Compliance
The financial report complies with Australian Accounting
Standards, which include Australian Equivalents to
International Financial Reporting Standards (AEIFRS).
Australian Accounting Standards require Tourism Australia
to disclose Australian Accounting Standards that have not
been applied, for standards that have been issued but are
not yet effective.
The AASB has issued amendments to existing standards.
These amendments are denoted by year and then number.
For example, 2005-1 indicates amendment 1 issued in 2005.
The table at right illustrates standards and amendments
that will become effective for Tourism Australia in the
future. The nature of the impending change within the
table has been abbreviated, out of necessity, and users
should consult the full version available on the AASB’s
website to identify the full impact of the change. The
expected impact on the financial report of adoption of these
standards is based on Tourism Australia’s initial assessment
at this date, but may change. Tourism Australia intends
to adopt all of standards upon their application date.
Impact expected on
financial report
Title
Standard affected
Application date*
Nature of impending change
2005-1
AASB 139
1 Jan 2006
Amends hedging requirements for foreign
currency risk of a highly probable intragroup transaction.
No expected impact.
2005-4
AASB 139,
AASB 132,
AASB 1,
AASB 1023 and
AASB 1038
1 Jan 2006
Amends AASB 139, AASB 1023 and AASB 1038
to restrict the option to fair value through
profit or loss and makes consequential
amendments to AASB 1 and AASB 132.
No expected impact.
2005-5
AASB 1 and
AASB 139
1 Jan 2006
Amends AASB 1 to allow an entity to
determine whether an arrangement is,
or contains, a lease.
Amends AASB 139 to scope out a contractual
right to receive reimbursement (in accordance
with AASB 137) in the form of cash.
No expected impact.
2005-6
AASB 3
1 Jan 2006 Amends the scope to exclude business
combinations involving entities or businesses
under common control.
No expected impact.
2005-9
AASB 4,
AASB 1023,
AASB 139 and
AASB 132
1 Jan 2006
Amended standards in regard to financial
guarantee contracts.
No expected impact.
2005-10
AASB 132,
AASB 101,
AASB 114,
AASB 117,
AASB 133,
AASB 139,
AASB 1,
AASB 4,
AASB 1023 and
AASB 1038
1 Jan 2007
Amended requirements subsequent to the
issuing of AASB 7.
No expected impact.
2006-1
AASB 121
31 Dec 2006
Changes in requirements for net investments
in foreign subsidiaries depending on
denominated currency.
No expected impact.
AASB7 Financial
Instruments:
Disclosures
1 Jan 2007
Revise the disclosure requirements for financial
instruments from AASB132 requirements.
No expected impact.
* Application date is for annual reporting periods beginning on or after the date shown.
Tourism Australia Annual Report 2005|2006
91
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
1.4 Revenue
Revenue from the sale of goods is recognised when:
>The risks and rewards of ownership have been transferred
to the buyer;
>The seller retains no managerial involvement nor effective
control over the goods;
>The revenue and transaction costs incurred can be reliably
measured; and
>It is probable that the economic benefits associated
with the transaction will flow to the entity.
Revenue from rendering of services is recognised by
reference to the stage of completion of contracts at the
reporting date. The revenue is recognised when:
>The amount of revenue, stage of completion and
transaction costs incurred can be reliably measured; and
>The probable economic benefits with the
transaction will flow to the entity.
The stage of completion of contracts at the
reporting date is determined by reference to the
proportion that costs incurred to date bear to the
estimated total costs of the transaction.
Receivables for goods and services, which have 30 day
terms, are recognised at the nominal amounts due less
any provision for bad and doubtful debts. Collectability
of debts is reviewed at balance date. Provisions are made
when collectability of the debt is no longer probable.
Interest revenue is recognised using the effective
interest method as set out in AASB 139.
Revenues from Government
Amounts appropriated for Departmental outputs
appropriations for the year (adjusted for any formal
additions and reductions) are recognised as revenue,
except for certain amounts that relate to activities
that are reciprocal in nature, in which case revenue
is recognised only when it has been earned.
Appropriations receivable are recognised at their
nominal amounts.
Resources Received Free of Charge
Services received free of charge are recognised as
revenue when and only when a fair value can be
reliably determined and the services would have
been purchased if they had not been donated. Use
of those resources is recognised as an expense.
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Contributions of assets at no cost of acquisition or for
nominal consideration are recognised as revenue at their
fair value when the asset qualifies for recognition.
1.5 Transactions with the Government as Owner
Tourism Australia had no equity injection, restructuring on
distribution to owner during the financial year.
1.6 Employee Benefits
As required by the Finance Minister’s Orders, Tourism
Australia has early adopted AASB 119 Employee Benefits as
issued in December 2004.
Liabilities for services rendered by employees are
recognised at the reporting date to the extent that they have
not been settled.
Liabilities for ‘short-term employee benefits’ (as defined in
AASB 119) and termination benefits due within 12 months of
balance date are measured at their nominal amounts.
The nominal amount is calculated with regard to the rates
expected to be paid on settlement of the liability.
All other employee benefit liabilities are measured as the
present value of the estimated future cash outflows to be
made in respect of services provided by employees up to the
reporting date.
Leave
The liability for employee benefits includes provision
for annual leave and long service leave. No provision
has been made for sick leave as all sick leave is nonvesting and the average sick leave taken in future years
by employees of Tourism Australia is estimated to be
less than the annual entitlement for sick leave.
The leave liabilities are calculated on the basis
of employees’ remuneration, including the Tourism
Australia’s employer superannuation contribution
rates to the extent that the leave is likely to be taken
during service rather than paid out on termination.
The liability for long service leave has been determined
by reference to the present value of the estimated
future cash flows to be made in respect of all employees
as at 30 June 2006. The estimate of the present value
of the liability takes into account attrition rates and
pay increases through promotion and inflation.
Separation and Redundancy
Provision is made for separation and redundancy benefit
payments. Tourism Australia has developed a detailed
formal plan for the terminations and has informed those
employees affected that it will carry out the terminations.
Superannuation
Australia: Staff of Tourism Australia are members of
the Commonwealth Superannuation Scheme (CSS), the
Public Sector Superannuation Scheme (PSS), the PSS
accumulation plan (PSSap), or Australian Government
Employees Superannuation Trust (AGEST).
The CSS and PSS are defined benefit schemes for
the Commonwealth. The PSSap and AGEST are defined
contribution schemes.
The liability for defined benefits is recognised in the
financial statements of the Australian Government and is
settled by the Australian Government in due course.
Tourism Australia makes employer contributions to
the Australian Government at rates determined by an
actuary to be sufficient to meet the cost to the
Government of the superannuation entitlements of
Tourism Australia’s employees.
From 1 July 2005, new employees are eligible to join the
PSSap or AGEST schemes.
The liability for superannuation recognised as at 30 June
2006 represents outstanding contributions for the final
fortnight of the year.
The contribution rate for Tourism Australia as a Group 2
Authority was 25.3 per cent — CSS, 12.6 percent — PSS, of
salaries in 2005/06. In addition, Tourism Australia remitted
Employer Productivity Superannuation Contributions
to ComSuper for all employees. The contribution rate
was variable and banded according to earnings ranging
from 2 per cent to 3 per cent of salaries in 2005/06.
Asia: In accordance with local regulations Tourism Australia
provided superannuation for its locally engaged staff in Hong
Kong with HSBC Life (International) Ltd. The contribution
rate was 11.5 per cent of salaries in 2005/06 for staff
that joined before 1 December, 2000, (11.5 per cent in
2004/05). The contribution rate was 5 per cent of salaries
up to a maximum contribution of HK$1,000 per month in
2005/06 for those staff who joined after 1 December, 2000
under the new mandatory provident fund regulations.
In Malaysia, Tourism Australia provided superannuation
for its locally engaged staff with the Employee Provident
Fund where the contribution rate was 12 per cent
of salaries in 2005/06, (12 per cent in 2004/5)
In Singapore, Tourism Australia provided superannuation
for its locally engaged staff with the Central Provident Fund
where the contribution rate was 13 per cent of salaries up
to a salary ceiling of S$5,000 per month (from 1 July 2005 to
31 December 2005) and S$4,500 per month (from 1 January
2006 to 30 June 2006) in 2005/06, (S$5,500 in 2004/05).
In Korea, Tourism Australia provided superannuation for
its locally engaged staff with funds run by National Pension.
The contribution rate was 4.5 per cent of salaries in 2005/06,
(4.5 per cent in 2004/05)
In Taiwan, Tourism Australia provided superannuation
for its locally engaged staff in accordance with local
regulations. The contribution rate was 2 per cent of salaries
to Labour Standards Law Fund and 6 per cent of salaries to
the employee’s individual pension fund account governed
by Labour Pension Act in 2005/06, (8 per cent in 2004/05 to
HSBC Life (International) Ltd).
In Thailand, superannuation is not mandatory; however
Tourism Australia did include 3 per cent in the salaries of
staff members. Once superannuation becomes mandatory,
the 3 per cent will be contributed to the chosen body.
In China, Tourism Australia provided superannuation for
its locally engaged staff with the local official agency
FESCO. The monthly contribution ranged from HK$2,800 to
HK$3,700 per staff member in 2005/06, (HK$2,886 per staff
member in 2004/05).
In Japan, Tourism Australia provided superannuation for its
locally engaged staff with Japan’s National Pension Scheme
where the contribution rate was 7.144 per cent of salaries in
2005/06, (6.967per cent in 2004/05).
America: Tourism Australia provided an optional employee
retirement benefit for its locally engaged staff in Los
Angeles with Mutual of America. Tourism Australia matched
employees’ contributions up to a maximum of 3 per cent of
gross salary in 2005/06 and an annual limit of US$10,000
for employees less than 50 years of age. For employees
who are 50 years of age or older, the limit is US$12,000 per
annum in 2005 and US$12,500 per annum in 2006. These
limits include both employer and employee contributions.
Tourism Australia Annual Report 2005|2006
93
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Canada: Tourism Australia provided an optional employee
retirement benefit for its locally engaged staff in Canada
with Scotia Bank. Tourism Australia matched employees’
contributions up to a maximum of 3 per cent of gross salary
in 2005/06. (There were no employees in Canada in 2004/05).
Europe: For the United Kingdom, in accordance with
locally engaged terms and conditions of employment
Tourism Australia provided a group personal pension
scheme for its locally engaged staff in London with
Standard Life Assurance Co. The contribution rate was
variable and banded according to age and earnings ranging
from 4 per cent to 20 per cent of salaries in 2005/06
(4 per cent to 20 per cent of salaries in 2004/05).
In Germany Tourism Australia contributed an
inclusive social amount to the statutory insurance
government fund for its locally engaged staff; Tourism
Australia matched staff contributions on a 1:1 basis.
The contribution rate is not separately nominated.
New Zealand: In New Zealand, there was no superannuation
contribution requirement for locally engaged staff.
1.7 Leases
A distinction is made between finance leases and
operating leases. Finance leases effectively transfer
from the lessor to the lessee substantially all the risks
and rewards incidental to ownership of leased noncurrent assets. An operating lease is a lease that is not a
finance lease. In operating leases, the lessor effectively
retains substantially all such risks and benefits. Tourism
Australia has not entered into any finance leases.
Operating lease payments are expensed on a
straight line basis which is representative of the
pattern of benefits derived from the leased assets.
1.8 Leases
All borrowing costs from unwinding of make good
provisions are treated as expenses for the year.
1.9 Cash
Cash means notes and coins held and any deposits
held at call with a bank or financial institution.
Cash is recognised at its nominal amount.
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
1.10 Financial Risk Management
Tourism Australia’s activities expose it to normal commercial
financial risk. As a result of the nature of Tourism Australia’s
business and internal and Australian Government policies,
dealing with the management of financial risk, Tourism
Australia’s exposure to market, credit, liquidity and cash
flow and fair value interest rate risk is considered to be low.
1.11 Investments
Investments are measured at their fair value.
1.12 Impairment of Financial Assets
As prescribed in the Finance Minister’s Orders, Tourism
Australia has applied the option available under AASB 1 of
adopting AASB 132 and 139 from 1 July 2005 rather than 1
July 2004.
Financial assets are assessed for impairment at each
balance date.
Financial Assets held at Amortised Cost: If there is objective
evidence that an impairment loss has been incurred for
loans and receivables or held to maturity investments held
at amortised cost, the amount of the loss is measured as
the difference between the asset’s carrying amount and the
present value of estimated future cash flows discounted
at the asset’s original effective interest rate. The carrying
amount is reduced by way of an allowance account. The loss
is recognised in profit and loss.
Financial Assets held at Cost: If there is objective evidence
that an impairment loss has been incurred on an unquoted
equity instrument that is not carried at fair value because
it cannot be reliably measured, or a derivative asset that is
linked to and must be settled by delivery of such an unquoted
equity instrument, the amount of the impairment loss is the
difference between the carrying amount of the asset and the
present value of the estimated future cash flows discounted
at the current market rate for similar assets.
Comparative Year: The above policies were not applied for the
comparative year. For receivables, amounts were recognised
and carried at original invoice amount less a provision for
doubtful debts based on an estimate made when collection
of the full amount was no longer probable. Bad debts were
written off as incurred.
Other financial assets carried at cost which were not held
to generate net cash inflows, were assessed for indicators
of impairment. Where such indicators were found to exist,
the recoverable amount of the assets was estimated and
compared to the assets carrying amount and, if less, reduced
to the carrying amount. The reduction was shown as an
impairment loss.
1.13 Trade Creditors
Trade creditors and accruals are recognised at their nominal
amounts, being the amounts at which the liabilities will be
settled. Liabilities are recognised to the extent that the goods
or services have been received (and irrespective of having
been invoiced).
1.14 Contingent Liabilities
Contingent Liabilities and Assets are not recognised in the
Balance Sheet but are discussed in the relevant schedules and
notes. They may arise from uncertainty as to the existence
of a liability or asset, or represent an existing liability or
asset in respect of which settlement is not probable or the
amount cannot be reliably measured. Remote contingencies
are part of this disclosure. Where settlement becomes
probable, a liability or asset is recognised. A liability or asset
is recognised when its existence is confirmed by a future
event, settlement becomes probable (virtually certain
for assets) or reliable measurement becomes possible.
1.15 Acquisition of Assets
Assets are recorded at cost on acquisition except as
stated below. The cost of acquisition includes the fair
value of assets transferred in exchange and liabilities
undertaken. Financial assets are initially measured at their
fair value plus transaction costs where appropriate.
Assets acquired at no cost, or for nominal consideration,
are initially recognised as assets and revenues at their
fair value at the date of acquisition, unless acquired
as a consequence of restructuring of administrative
arrangements. In the latter case, assets are initially
recognised as contributions by owners at the amounts
at which they were recognised in the transferor agency’s
accounts immediately prior to the restructuring.
1.16 Property, Plant and Equipment (PP&E)
Asset Recognition Threshold
Purchases of property, plant and equipment are recognised
initially at cost in the Balance Sheet, except for purchases
costing less than $5,000, which are expensed in the year of
acquisition (other than where they form part of a group of
similar items which are significant in total).
The initial cost of an asset includes an estimate of the cost
of dismantling and removing the item and restoring the site
on which it is located. This is particularly relevant to ‘make
good’ provisions in property leases taken up by Tourism
Australia where there exists an obligation to restore the
property to its original condition. These costs are included in
the value of Tourism Australia’s leasehold improvements with
a corresponding provision for the ‘make good’ taken up.
Revaluations
Basis: Plant and equipment are carried at fair value, being
revalued with sufficient frequency such that the carrying
amount of each asset is not materially different, at reporting
date, from its fair value. Valuations undertaken in each year
are as at 30 June.
Fair values for each class of asset are determined as
shown below:
Asset class
Leasehold improvements
Plant & equipment
Fair value measured at:
Depreciated replacement cost
Depreciated replacement cost
Following initial recognition at cost, valuations are
conducted with sufficient frequency to ensure that the
carrying amounts of assets do not materially vary with the
assets’ fair values as at the reporting date. The regularity
of independent valuations depends upon the volatility of
movements in market values for the relevant assets.
Revaluation adjustments are made on a class basis. Any
revaluation increment is credited to equity under the heading
of asset revaluation reserve except to the extent that it
reverses a previous revaluation decrement of the same asset
class that was previously recognised through profit and loss.
Revaluation decrements for a class of assets are recognised
directly through profit and loss except to the extent that they
reverse a previous revaluation increment for that class.
Any accumulated depreciation as at the revaluation date
is eliminated against the gross carrying amount of the asset
and the asset restated to the revalued amount.
Tourism Australia Annual Report 2005|2006
95
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Depreciation: Depreciable property plant and equipment
assets are written-off to their estimated residual values
over their estimated useful lives to Tourism Australia
using, in all cases, the straight-line method of depreciation.
Leasehold improvements are depreciated on a straightline basis over the lesser of the estimated useful life of
the improvements or the unexpired period of the lease.
Depreciation rates (useful lives), residual values
and methods are reviewed at each reporting date and
necessary adjustments are recognised in the current, or
current and future reporting periods, as appropriate.
Depreciation rates applying to each class of depreciable
asset are based on the following useful lives:
Leasehold improvements
Plant and equipment
2006
2005
Lease termLease term
3 to 10 years 3 to 10 years
Impairment: All assets were assessed for impairment at
30 June 2006. Where indications of impairment exist, the
asset’s recoverable amount is estimated and an impairment
adjustment made if the asset’s recoverable amount is less
than its carrying amount.
The recoverable amount of an asset is the higher of its
fair value less costs to sell and its value in use. Value in use
is the present value of the future cash flows expected to be
derived from the asset. Where the future economic benefit
of an asset is not primarily dependent on the asset’s ability
to generate future cash flows, and the asset would be
replaced if Tourism Australia were deprived of the asset, its
value in use is taken to be its depreciated replacement cost.
No indicators of impairment were found for assets at
fair value.
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
1.17 Intangibles
Tourism Australia’s intangibles comprise internally developed
software for internal use. These assets are carried at cost.
Software is amortised on a straight-line basis over its
anticipated useful life. The useful lives of Tourism Australia’s
software are 2 to 5 years (2004/05: 2 to 5 years). The useful
life of trade marks is 10 years.
All software assets were assessed for indications
of impairment as at 30 June 2006.
1.18 Inventories
Inventories held for sale are valued at the lower of cost and
net realisable value. Inventories held for distribution are
measured at the lower of cost and current replacement cost.
Costs incurred in bringing each item of inventory to its
present location and condition are assigned as follows:
>raw materials and stores – purchase cost on a first-in-firstout basis; and
>finished goods and work in progress – cost of direct
materials and labour plus attributable costs that are
capable of being allocated on a reasonable basis.
Inventories acquired at no cost or nominal
consideration are measured at current
replacement cost at the date of acquisition.
1.19 Taxation
Tourism Australia is exempt from all forms of taxation except
fringe benefits tax and the goods and services tax (GST).
Revenues, expenses, assets and liabilities
are recognised net of GST:
>except where the amount of GST incurred is not
recoverable from the Australian Taxation Office; and
>except for receivables and payables.
Tourism Australia was not subject to exemption from any
foreign taxation laws relative to its overseas operations.
Note 2: The Impact of the Transition to AEIFRS from Previous AGAAP
2005
2004
$’000
$’000
14,084
9,714
(226)
(226)
Reconciliation of total equity as presented under previous AGAAP to that under AEIFRS
Total equity under previous AGAAP
Adjustments recognised directly in equity
Initial recognition of make good1
Adjustments to retained earnings:
Borrowing costs2
Amortisation for ‘Makegood’ assets3
Total equity translated to AEIFRS
(64)
(135)
13,659
9,488
Reconciliation of profit or loss as presented under previous AGAAP to AEIFRS
Operating results under previous AGAAP
4,317
Adjustments:
Borrowing costs1
Amortisation for ‘Makegood’ assets3
Prior year profit translated to AEIFRS
(64)
(135)
4,118
The cash flow statement presented under previous AGAAP is equivalent to that prepared under AEIFRS.
1The equity has been adjusted by $226,000 due to the initial recognition of make good assets and make good provision. The amount includes
$131,000 for the accumulated amortisation of estimated make good costs on leased premises up to 1 July 2004 (AASB 116) and $95,000 for the
unwinding of the discount in the make good provision up to 1 July 2004.
2 The operating results has been adjusted by $61,000 due to the unwinding of the discount in the make good provision in 2004-05 (UIG 1).
3 The operating result has been adjusted by $135,000 for amortising the make good assets in 2004-05.
Tourism Australia Annual Report 2005|2006
97
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Note 3: Income
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
2006
2005
$’000
$’000
Note 3: Income (continued)
Revenues
Gains
Note 3A: Revenues from Government
Note 3G: Net Gains / (Losses) from Sale of Assets
Appropriations for outputs
137,823
138,374
Total revenues from government
137,823
138,374
Note 3B: Advertising
Advertising revenue
12,170
10,781
Total advertising revenue
12,170
10,781
2005
$’000
Infrastructure, plant and equipment:
Proceeds from disposal
—
45
Net book value of assets disposed
(6)
(380)
Total net gain from disposal of assets
(6)
(335)
(99)
958
(99)
958
24,348
23,280
Note 3H: Net Foreign Exhange Gains / (Losses)
Non- speculative
Note 3C: Sales of Goods and Services
2006
$’000
Total net foreign exhange gains / (losses)
Goods
104
105
Services
311
1,410
415
1,515
—
—
External entities
104
105
Superannuation
2350
1,825
Total sales of goods
104
105
Leave and other entitlements
838
840
Separation and redundancies
1,592
591
994
1,329
30,122
27,865
Total sales of goods and services
Provision of goods to:
Related entities
Note 4: Operating Expenses
Note 4A: Employee Expenses
Rendering of services to:
Wages and Salaries
Other employee benefits expense
—
—
311
1,410
311
1,410
Industry contributions*
11,647
13,546
Note 4B: Suppliers
Total contributions revenue
11,647
13,546
Goods and services from external entities:
Related entities
External entities
Total rendering of services
Total employee benefits expense
41
39
30,163
27,904
Advertising
67,077
70,956
Promotion and publicity
21,164
18,594
7,879
10,596
Workers’ compensation premiums
Total employee expenses
Note 3D: Contributions Revenue
Note 3E: Interest Revenue
Deposit
Interest on deposits
3,304
3,455
3,304
3,455
Information systems and telecommunications
Research, service fees and travel
Note 3F: Other Revenue
Office sub-tenancies
Films, publications and distribution
631
846
Other revenue
1,954
282
Total other revenue
2,585
1,128
* Industry contributions reflect the actual value of industry support for Tourism Australia’s activities from cash revenue. In addition to
direct revenues from the industry, joint marketing programs were undertaken. Through these programs the industry supplements funds
provided by Tourism Australia for product development, visiting journalists and tactical marketing programs. Due to the nature of the
programs, these funds do not form part of the reported level of industry contributions for Tourism Australia, but are in addition to it.
Operating lease rentals*
Total supplier expenses
* These comprise minimum lease payments only.
6,573
6,415
18,988
19,122
5,289
4,912
126,970
130,595
Tourism Australia Annual Report 2005|2006
99
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Note 4: Operating Expenses (continued)
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
2006
2005
$’000
$’000
643
540
Australian Dollars
1,349
892
Note 4C: Depreciation and Amortisation
Infrastructure, plant and equipment
Software (includes websites)
Trade mark
Amortisation for makegood
Total depreciation and amortisation
Note 5: Financial Assets
2006
2005
$’000
$’000
20,665
14,794
New Zealand Dollars
117
167
Euro
575
57
Hong Kong Dollars
368
225
8
29
Note 5A: Cash and Cash Equivalents
11
11
225
135
2,228
1,578
The aggregate amounts of depreciation or amortisation expensed during
the reporting period for each class of depreciable asset are as follows:
Korean Won
Japanese Yen
1,480
46
Great Britain Pounds
1,006
1,086
United States Dollars
46
148
Singapore Dollars
18
100
Malaysian Ringgit
109
37
255
218
75
89
Thailand Baht
19
47
Leasehold improvement
269
180
Chinese Yuan
82
27
Amortisation for makegood
225
135
Other
16
—
Motor vehicles
—
4
Cash at bank
24,509
16,763
Other equipment
44
49
Cash on hand
6
5
1,349
892
24,515
16,768
11
11
2,228
1,578
97
64
97
64
Computer equipment
Furniture & fittings
Software
Trade marks
Total depreciation and amortisation
Note 4D: Finance Costs
Unwinding of provision for makegood
Total finance costs expense
Note 4E: Write-down and Impairment of Assets
Provision for bad debts
Write down of inventory
Total write-down of assets
—
37
122
99
122
136
4,944
5,027
4,944
5,027
Note 4F: Other Expenses
Other operating expenses
Total Other Expenses
Total cash and cash equivalents
Tourism Australia Annual Report 2005|2006
101
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Note 5: Financial Assets (continued)
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
2006
2005
$’000
$’000
Goods and services
3,767
5,803
Less Allowance for doubtful debts
(198)
(219)
Fair value
3,569
5,584
Accumulated depreciation
873
596
4,442
6,180
—
1,656
Interest receivable
173
512
Other receivable
240
—
413
2,168
4,855
8,348
Note 5B: Receivables
Deposits and advances
Receivables for goods and services (gross)
Insurance fund receivable
Other receivables
Total receivables (net)
Note 6: Non-Financial Assets
2006
2005
$’000
$’000
2,092
2,070
(1,683)
(1,535)
409
535
Fair value
1,115
986
Accumulated depreciation
(589)
(555)
526
431
1,890
1,427
Accumulated amortisation
(1,051)
(787)
Total leasehold improvements
839
640
1,535
1,393
Note 6A: Infrastructure, Plant and Equipment
Computer and office equipment
Furniture and fittings
Leasehold improvements
Fair value
All receivables for goods and services are with entities external to the entity.
Credit terms are net 30 days (2005: 30 days).
Goods and services (gross) are aged as follows:
Current
3,048
4,586
Fair value
Overdue by:
Less than 30 days
136
330
30 to 60 days
240
618
61 to 90 days
More than 90 days
Leasehold improvements make good
19
130
324
139
719
1,217
(491)
(266)
Total leasehold improvement make good
1,044
1,127
Total Infrastructure, Plant and Equipment
2,818
2,733
Accumulated amortisation
Note 6B: Intangibles
Total goods and services (gross)
3,767
5,803
The allowance for doubtful debts is aged as follows:
— Current
Software and intangible
At cost
13,117
9,394
Accumulated amortisation
(6,816)
(5,513)
6,301
3,881
—
—
Total software and intangible
—
—
Trade marks
Overdue by:
Less than 30 days
30 to 60 days
131
23
At cost
108
108
61 to 90 days
17
57
Accumulated amortisation
(23)
(11)
More than 90 days
50
139
85
97
198
219
6,386
3,978
Total provision for doubtful debts
All receivables are current assets.
Total software
Total intangibles
Tourism Australia Annual Report 2005|2006
103
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
TABLE A – Reconciliation of the Opening and Closing Balances of Property, Plant and Equipment
TABLE C - Assets under Construction
Item
Buildings
— Leasehold
Improvements
$’000
Plant &
Equipment
$’000
Software &
Intangibles
$’000
Trade Marks
$’000
Accumulated depreciation/
amortisation
Net book value
Gross value at 30 June 2006
—
—
4,049
—
4,049
Gross value at 30 June 2005
163
—
1,715
—
1,878
3,056
9,394
108
15,378
(1,053)
(2,089)
(5,513)
(12)
(8,667)
Note 6: Non-Financial Assets (continuted)
967
3,881
96
6,711
By purchase
468
348
3,769
—
4,585
Makegood asset
142
—
—
—
142
(494)
(374)
(1,349)
(11)
(2,228)
—
(6)
—
—
(6)
Disposals
Finished goods
Inventories held for distribution
1
Less: Provision for diminution in value
3,425
3,207
13,117
108
19,857
Accumulated depreciation/
amortisation
(1,542)
(2,272)
(6,816)
(23)
(10,653)
Net book value at 30 June 2006
1,883
935
6,301
85
9,204
Total other investments2
Total other non-financial assets3
Buildings
— Leasehold
Improvements
$’000
Plant &
Equipment
$’000
Software &
Intangibles
$’000
Trade Marks
$’000
Total
$’000
As at 30 June 2006
Gross value
Accumulated Depreciation/
Amortisation
Net book value
3,425
3,207
—
—
6,632
(1,542)
(2,272)
—
—
(3,814)
1,883
935
—
—
2,818
As at 30 June 2005
Gross value
Accumulated Depreciation/
Amortisation
Net book value
2006
2005
$’000
$’000
16
149
16
149
400
400
(290)
(290)
110
110
792
2,141
792
2,141
Note 6E: Other Non-Financial Assets
Prepayments
TABLE B – Assets at Valuation
Item
Total
$’000
Note 6D: Other Investments
Shares in other company – unlisted (at cost)
As at 30 June 2006
Gross book value
Trade Marks
$’000
Note 6C: Inventories
Additions
Depreciation/
amortisation expense
Software &
Intangibles
$’000
Item
2,820
1,767
Plant &
Equipment
$’000
Total
$’000
As at 1 July 2005
Gross book value
Buildings
— Leasehold
Improvements
$’000
2,820
3,056
—
—
5,876
(1,053)
(2,089)
—
—
(3,142)
1,767
967
—
—
2,734
1 All inventories are current assets.
2Tourism Australia held an 11.9 per cent interest in Australian Tourism Data Warehouse Pty Limited (ATDW), which is carried at cost less
provision for diminution in value. The provision is based on the estimated statement of financial position of ATDW as at 30 June 2006.
ATDW’s principal activity is the development of a database for Australian Tourism Products. The investment is a non-current investment.
3 All other non-financial assets are current assets.
Tourism Australia Annual Report 2005|2006
105
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Note 7: Payables
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
2006
2005
$’000
$’000
14,669
13,388
14,669
13,388
1,365
1,031
30
28
1,395
1,059
Note 7A: Suppliers
Note 9: Cash Flow Reconciliation
2006
2005
$’000
$’000
Cash at year end per Statement of Cash Flows
24,515
16,768
Balance Sheet items comprising above cash: ‘Financial
Assets – Cash and Cash Equivalents’
24,515
16,768
Operating result
3,315
4,118
Depreciation /amortisation
2,228
1,578
99
(958)
6
335
Fixed asset currency translation
—
112
Unwinding of discount for make good provision
97
—
Net write down of non-current assets
—
110
3,493
(3,974)
133
(149)
1,349
(2,147)
94
2,579
1,281
5,483
Reconciliation of cash per Income Statement to Statement of Cash Flows
Trade Creditors
Total supplier payables
1
Note 7B: Other Payables
Revenue received in advance
Other short term liabilities
Total other payables2
1 Settlement is usually made net 30 days.
2 All other payables are current.
Note 8A: Employee Provisions
Leave
Superannuation
Separation and redundancy
Total employee provisions
Net foreign exchange (gains) / losses
Net (gains) / losses on disposal of assets
Note 8: Provisions
Salaries & wages
Reconciliation of operating result to net cash from operating activities:
(Increase) / decrease in net receivables
136
1,802
(Increase) / decrease in inventories
3,251
2,758
(Increase) / decrease in prepayments
9
9
1,267
—
4,663
4,569
Increase / (decrease) in employee provisions
Increase / (decrease) in supplier payables
Increase / (decrease) in other payables
Net cash from / (used by) operating activities
336
(688)
12,431
6,399
2006
2005
Current
3,367
3,304
Non-current
1,296
1,265
Note 10: Director Remuneration
4,663
4,569
The number of directors of Tourism Australia included in
each remuneration band is shown below:
Nil – $14,999
1
1
1,791
1,552
$30,000 – $44,999
6
6
1,791
1,552
$45,000 – $59,999
1
1
$60,000 – $74,999
Note 8B: Other Provisions
Provision for restoration costs
Total other provision
All other provisions are non-current.
1
1
$170,000 – $179,999
—
1
$330,000 – $349,999
1
1
Total number of directors
10
11
$613,246
$821,465
$61,703
$45,391
$674,949
$866,856
Remuneration received or due and receivable by directors
Aggregate amount of superannuation payments in
connection with the retirement of directors
Total remuneration received or due and receivable by directors
Remuneration includes net increment in accrued recreation leave and long service leave and separation payments where applicable.
Tourism Australia Annual Report 2005|2006
107
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
n/a
14,447
20,568
22,518
14,447
16,064
—
—
—
Total Liabilities
—
Total financial liabilities
—
—
7B
Other payables
16,064
n/a
1,059
1,395
1,059
1,395
—
14,669
—
7A
—
—
—
6,942
—
—
16,763
—
n/a
13,388
14,669
13,388
34,227
39,492
6,185
413
413
22,015
—
—
29,370
22,948
n/a
n/a
n/a
6,180
4,442
6,180
4,442
—
n/a
5.4
5.7
4.4
$’000
$’000
n/a
4.2
2005
2006
2005
2006
2005
—
5B
Trade creditors
245
Financial Liabilities
2005
249
Total Assets
2006
The average staffing levels for Tourism Australia during the year were:
Total financial assets
Note 14: Average Staffing Levels
Other receivables
$60,130
No other services were provided by the Auditor-General during the reporting period.
Financial Assets (Recognised)
$86,798
Remuneration to the Auditor-General for auditing the
financial statements for the reporting period.
The fair value of services provided are:
2006
Notes
2005
Financial Instrument
2006
Note 15A: Interest Rate Risk
Remuneration includes net increment in accrued recreation leave and long service leave. Remuneration relates to
amounts paid to officers who worked during the financial year wholly or mainly within Australia.
Note 13: Remuneration of Auditors
2006
Total
Non-Interest
Bearing
$217,513
Fixed Interest
Rate
—
Floating
Interest Rate
The aggregate amount of separation and redundancy
payments during the year to officers shown above.
5B
$3,316,065
and services (gross)
$4,760,658
The aggregate amount of total remuneration of officers shown above.
Receivables for goods
16
13,941
21
19,555
Total number of officers
—
—
—
2
—
$370,000 – $384,999
—
—
13,941
—
1
19,555
1
$355,000 – $369,999
5A
$340,000 – $354,999
Deposits at call
3
5
1
—
2,500
1
$325,000 – $339,999
5
$310,000 – $324,999
2,500
1
—
—
—
$265,000 – $279,999
—
—
—
1
1
5A
3
$235,000 – $249,999
Cash at bank
$220,000 – $234,999
2,822
1
2,460
—
—
$205,000 – $219,999
—
2
—
2
3
2,822
2
$190,000 – $204,999
2,460
$175,000 – $189,999
5A
2
Cash at bank
2
3
$’000
1
$160,000 – $174,999
$’000
$145,000 – $159,999
$’000
1
$’000
3
$’000
$130,000 – $144,999
The number of officers who received or were due to receive total remuneration
of $130,000 or more:
$’000
2005
2005
2006
2005
Note 12: Executive Remuneration
Note 15: Financial Instruments
2006
Note 11: Related Party Disclosures
Ms Jane Jeffreys is a Tourism Australia Board Member. She is also the Chairman of Adelaide Convention Centre. During the year
Tourism Australia contracted with Adelaide Convention Centre for holding its 2006 trade event. The total value of the contract
was $1,422,000. This transaction was on normal commercial terms and conditions. This interest was appropriately declared
by Tourism Australia Board Member Jane Jeffreys. No other director has entered into material contract with Tourism Australia
since the end of the previous financial year and there were no material contracts involving directors subsisting at year end.
Weighted
Average Effective
Interest Rate
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Tourism Australia Annual Report 2005|2006
109
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Note 15B: Fair Values of Financial
Assets and Liabilities
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
2006
Total carrying
amount
Note 17: Reporting of outcomes
2005
Aggregate net
fair value
Total carrying
amount
Aggregate net
fair value
Financial assets
Note
$’000
$’000
$’000
$’000
Cash at bank
5A
2,460
2,460
2,827
2,827
Deposits at call
5A
19,555
19,555
13,941
13,941
Receivables for goods and services
5B
4,855
4,855
8,348
8,348
Other receivables
6E
792
792
2,141
2,141
27,662
27,662
27,257
27,257
Financial liabilities
Trade creditors
7A
14,669
14,669
13,388
13,388
Other payables
7B
1,395
1,395
1,059
1,059
16,064
16,064
14,447
14,447
Tourism Australia operated in Australia and overseas to
promote tourism to Australia. Its revenues were sourced
primarily within Australia via Parliamentary appropriations
and industry revenues. Tourism Australia’s activities to
promote Australia as an international tourist destination
were primarily focussed overseas with the majority of
expenditures made via Tourism Australia’s international
offices in Europe, Asia, America and New Zealand.
17A: Outcomes of Tourism Australia
Tourism Australia was structured to meet one outcome:
Outcome 1: Tourism Australia seeks to stimulate
sustainable international and domestic demand for an
Australian tourism experience, and to maximise the return
on investment of the tourism and travel industry’s total
marketing effort, as measured by total visitor spend and
dispersal of that spend.
Tourism Australia’s statutory objectives were to:
>influence people to travel to Australia, including for events;
>influence people travelling to Australia to also travel
throughout Australia;
>influence Australians to travel throughout Australia,
including for events;
>help foster a sustainable tourism industry in Australia; and
>help increase the economic benefits to Australia
from tourism.
Three Output Groups were identified for this outcome:
Output Group 1: Industry and market development
through strategic insights.
Output Group 2: Increased distribution of Australian
tourism product and facilitation of niche, events and regional
tourism growth.
Output Group 3: Consumer travel demand stimulation.
Note 17B : Net Cost of Outcome Delivery
Outcome 1
2006
2005
$’000
$’000
164,629
165,639
415
1,515
415
1,515
Advertising
12,170
10,781
Industry contribution
11,647
13,546
3,304
3,455
—
958
2,585
1,128
29,706
29,868
134,508
134,256
Note 16: Contingent Liabilities and Assets
Tourism Australia has no contingent assets or liabilities, quantifiable or unquantifiable.
Total expenses
Cost recovered from provision of goods and services to the non-government sector
Total costs recovered
Other external revenues
Interest
Net foreign exchange gains
Other
Total other external revenues
Net cost of outcome
—
16
—
102
—
58
—
122
20,525
Net losses from sale of assets
Depreciation and Amortisation
Finance costs
Write-down of assets
Total Operating expenses
1,200
1,962
—
—
48
159
2,262
67
—
—
Interest
Net foreign exchange gains
Other non-taxation revenues
Total operating revenues
Industry contribution
Sale of goods and services
26,210
—
—
Advertising
20,446
23,000
Revenue from Government
17,958
Funded by:
25,135
16,283
Suppliers & Other Expenses
Employees
14,553
$’000
$’000
8,734
2005
2006
Output Group 1
5,792
Operating expenses
Note 17C : Revenues and
Expenses by Output Groups
27,080
360
—
451
9,257
219
89
16,704
17,231
—
—
1,479
—
10,614
5,138
$’000
2006
25,306
216
—
691
11,139
294
556
12,410
28,316
34
—
238
—
21,710
6,334
$’000
2005
Output Group 2
—
—
10,225
21
12,081
37
120,418
2,225
—
2,786
117,283
864
—
2,764
445
102,964
103,161
128
111,853
—
—
126,770
—
—
1,324
97,693
106,872
665
12,836
$’000
2005
19,233
$’000
2006
Output Group 3
—
—
—
—
—
—
—
—
103
—
97
—
6
—
—
$’000
2006
958
—
958
—
—
—
—
—
335
—
—
—
335
—
—
$’000
2005
Non-Specific
167,944
2,585
—
3,304
11,647
415
12,170
137,823
164,629
122
97
2,202
6
132,039
30,163
$’000
2006
27,904
$’000
2005
169,757
1,128
958
3,455
13,546
1,515
10,781
138,374
165,639
136
—
1,578
335
135,686
Total
Tourism Australia Annual Report 2005|2006
111
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Notes to and forming part of the Financial Statements
For the year ended 30 June 2006
Note 18: Appropriations
Balance carried forward
from previous year
Balance carried forward
to next year
Appropriation Receivable
Departmental
Outputs
Loans
Equity
Total
Year ended 30 June
Represented by:
2006
2005
2006
2005
2006
2005
2006
2005
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
—
—
—
—
—
—
—
—
Appropriation Acts 1 and 3
137,823
138,374
—
—
—
549
137,823
138,923
Appropriation Acts 2 and 4
—
—
—
—
—
—
—
—
Available for payment of CRF
137,823
138,374
—
—
—
549
137,823
138,923
Cash payment made out of CRF
137,823
138,374
—
—
—
549
137,823
138,923
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
This table reports on appropriations made by the Parliament of the Consolidated Revenue Fund (CRF) for the payment to Tourism Australia. When
received by Tourism Australia, the payments made are legally the money of Tourism Australia and do not represent any balance remaining in the CRF.
Tourism Australia Annual Report 2005|2006
113
Glossary
AOPAnnual Operating Plan
ADS Approved Destination Status
Index
IMR
ITA
International Media Relations program
Indigenous Tourism Australia
AMEX American Express
IVS
ANTA Australian National Travel Association
JAAG Japan Australia Advisory Group
ASPAussie Specialist Program
JAL
International Visitor Survey
A
Corporate Planning 22, 28, 29
American Express 6, 52, 53, 112
Corporate Services 22, 26, 27
Americas 22, 46, 52
Annual leave accrual 9, 32. See
also annual leave stockpile
Japan Airlines
Annual leave stockpile 28. See
also annual leave accrual
ATC Australian Tourist Commission
JAM Japan Australia Mission
Asia 19, 22, 38, 39, 45, 46,
54, 57, 61, 91, 109, 112
ATDW Australian Tourism Data Warehouse
JATA Japan Association of Travel Agents
ASP 61, 112. See also Aussie
Specialist Program
ATE Australian Tourism Exchange
KPI Key Performance Indicator
ATEC Australia Tourism Export Council
M2006 Melbourne Commonwealth Games 2006
A$ MATTAMalaysian Association of Tour and
Australian Dollar
Travel Agents
DAMA Destination Australia Marketing Alliance
DAP
Destination Australia Partnership
MOU Memorandum of Understanding
DEST Department of Education, Science and Training
NVS
National Visitor Survey
DFAT Department of Foreign Affairs and Trade
PATA Pacific Asia Travel Association
DIMA Department of Immigration and
STOs State and Territory Tourism Organisations
TA Tourism Australia
Multicultural Affairs
ATE 36, 38, 41, 43, 71, 112.
See also ATE06; Australian
Tourism Exchange
ATE06 36, 39. See also ATE;
Australian Tourism Exchange
Aussie Enthusiasts 47, 64, 74
Aussie Specialist 54, 56, 57,
58, 59, 60, 61, 65, 67, 73. See
also Aussie Specialists; ASP;
Aussie Specialists Program
Aussie Specialist Program 19,
53, 57, 58, 61, 65, 67, 69, 71,
112. See also Aussie Specialists;
ASP; Aussie Specialist
D
ITA 9, 34, 112. See also Indigenous
Tourism Australia
Italy 39, 51, 69, 70
Japan 6, 11, 16, 28, 30, 39, 42, 44,
46, 51, 62, 63, 69, 91, 112, 114
Strategy and Research 28
Denmark 42, 72
Japan Airlines 30, 62, 63, 112
Sweden 72
Department of Industry, Tourism
and Resources 23, 30, 112
Japan Australia Advisory
Group 62, 112
Switzerland 42, 51, 71
Destination Australia
Marketing Alliance 16, 28, 47,
67, 112. See also DAMA
Japan Australia Mission 39, 63, 112
Destination Australia
Partnership 70, 71, 112
Korea 6, 11, 39, 46, 51, 57, 91, 114
Destination campaign 9,
10, 16, 36, 40, 66, 68
K
L
Latin America 47
Digital Marketing 22, 40, 41
M
Discovery 6, 9, 16, 23, 36, 43, 44
M&C Saatchi 9, 40
E
Malaysia 39, 51, 58, 91, 114
Eastern Europe 47, 74
Managing Director 6, 7, 20, 21, 22
Ecotourism 32, 35
Marketing 22, 40
Emirates 64
Middle East 39
Europe 6, 19, 22, 38, 45,
46, 66, 70, 92, 109
Minister 4, 37, 62
Equal Employment Opportunity
TEA Tourism Events Australia
FIT
Free, Independent Traveller
TFC Tourism Forecasting Committee
australia.com 16, 27, 33, 40, 41, 42,
51, 52, 53, 54, 61, 65, 67, 68, 69, 70, 71
F
Australia Marketing 22, 32
Fairfax 9, 16, 32
National Geographic 6, 9,
16, 23, 36, 43, 44, 53, 69
Australian Experiences 5, 22, 32, 34
Financial Statements 78, 80, 87–111
Netherlands 39, 43, 51, 72, 73
Australian Human Resources
Institute 32. See also Australian
Institute of Human Resources
Food and Wine 35, 59, 60
New Zealand 6, 11, 19, 22, 46,
51, 65, 92, 99, 109, 114
Australian Institute of Human
Resources 9. See also Australian
Human Resources Institute
G
No Leave, No Life 6, 9, 16, 28, 32
G’Day LA 36, 53
Nordic 72
G’Day NZ 65
North America 19, 38, 45
Germany 6, 11, 29, 39, 45,
51, 68, 69, 92, 114
P
Global Programs 9, 40, 43
Partnership Marketing 22, 32, 35
Gulf Countries 5, 22, 39, 46, 51, 64
People and Culture 32, 37
H
Q
Hong Kong 11, 51, 55, 56, 91, 99, 114
Human Resources 21, 27, 37
Qantas 6, 30, 47, 52, 53, 54,
56, 57, 58, 59, 60, 61, 62, 63,
64, 66, 67, 68, 69, 70, 73, 74
I
Queen’s Baton Relay 9, 19, 33, 36
India 5, 6, 39, 51, 56, 57
R
Indigenous 5, 9, 32, 34, 35, 43, 68, 112
Risk and Administration 2, 26
Indigenous Tourism Australia 5,
9, 19, 34, 112. See also ITA
S
FMOs Finance Minister’s Orders
TIEV
Total Inbound Economic Value
GCC TRA Tourism Research Australia
IT&ME Incentive Travel and Meeting Executives Show
TTF Tourism and Transport Forum
IMEX Worldwide Exhibition for Incentive
TTG Travel Trade Gazette
Travel, Meetings and Events
VFR Visiting Friends and Relatives
VJP Visiting Journalists Program
Gulf Cooperative Council
Australian Tourism Exchange 19, 23,
27, 28, 38, 39, 112. See also ATE; ATE06
Aviation 22, 28, 30
B
Backpacker 35
Board 20, 21, 22, 26, 29, 106
C
Canada 4, 34, 42, 51, 52, 92, 114
Carat 9, 40
Cathay Pacific 55, 56, 57, 58, 60, 61
Chairman 4, 5, 20, 21, 22, 80
China 4, 6, 9, 11, 39, 45, 46,
51, 54, 55, 61, 91, 114
South East Asia 74
J
EEO TABEE Team Australia Business Events Educational
South Australian Tourism
Commission 72
DAMA 28, 29, 47, 112. See
also Destination Australia
Marketing Alliance;
Aussie Specialists 53, 54, 56, 57, 60,
73, 74. See also Aussie Specialist;
Aussie Specialist Program
DITR Department of Industry, Tourism and Resources
54, 60, 61, 66, 72
Experience Seeker 5, 6, 9, 10, 16,
29, 32, 34, 40, 43, 51, 62, 66
France 39, 42, 45, 51, 67, 68
Minister for Small Business and
Tourism 1, 4, 20, 22, 29, 36, 62, 66, 78
N
Niche 5, 32, 109
Scandinavia 51
Consumer Marketing 22, 40
International Media
Relations 22, 40, 42, 112
Corporate Affairs 2, 22, 32, 36
Ireland 51, 66
Singapore 28, 29, 42, 51,
59, 60, 91, 99, 114
Corporate Governance 20
IT 27
Singapore Airlines 47,
Strategic Insights 22, 28
T
Taiwan 51, 60, 91, 114
TEA 44, 112. See also Tourism
Events Australia
Technology Services 22, 27
Thailand 5, 39, 45, 51, 61, 91, 99, 114
Tourism Events Australia 22,
40, 44, 45, 112. See also TEA
Tourism New South Wales 35, 58,
59, 63
Tourism Queensland 58, 60, 73
Tourism Victoria 59, 60, 63, 64, 66
Tourism Western Australia 35, 64, 72
Trade Events 22, 27, 32, 38, 39
U
UK 11, 22, 114. See
also United Kingdom
Uniquely Australian Invitation 4,
6, 9, 10, 16, 29, 36, 40, 41, 51,
52, 54, 55, 57, 59, 65, 68
United Arab Emirates 64
United Kingdom 4, 6, 19, 30, 39,
42, 45, 46, 51, 66, 92. See also UK
United States of America 5,
6, 19, 30, 39, 42, 45, 51, 52,
53, 99, 114. See also USA
USA 11, 53. See also United
States of America
V
Visiting Journalists Program 16,
28, 42, 52, 53, 54, 60, 61, 63,
65, 67, 68, 70, 71, 72, 112
Y
Young Tourism Ambassadors 9, 33
Tourism Australia Annual Report 2005|2006
Tourism Australia offices
AUSTRALIA
Sydney
Level 18, Darling Park Tower 2
201 Sussex Street
Sydney NSW 2000
Australia
Telephone +61 2 9360 1111
Facsimile +61 2 9331 6469
Canberra
Level 3
11-17 Swanson Plaza
Belconnen ACT 2617
Australia
Telephone +61 2 6228 6100
Facsimile +61 2 6228 6180
Canada
111 Peter Street
Suite 630
Toronto, Ontario M5V 2H1
Canada
Telephone +1 416 408 0549
Facsimile +1 416 408 1013
China
Unit 1501,
15/F, Citigroup Tower
33 Hua Yuan Shi Qiao Road, Lujiazui
PuDong, Shanghai 200120
China
Telephone +86 21 6887 8129
Facsimile +86 21 6887 8133
GERMANY
Neue Mainzer Strasse 22
D 60311
Frankfurt/Main Germany
Telephone +49 69 274 00622
Facsimile +49 69 2740 0640
HONG KONG
Suite 6706
67th Floor Central Plaza
18 Harbour Road
Wanchai Hong Kong
Telephone +852 2802 7700
Facsimile +852 2802 8211
JAPAN
New Otani Garden Court
Building 28F
4-1 Kioi-cho Chiyoda-ku
Tokyo 102-0094 Japan
Telephone +81 3 5214 0720
Facsimile +81 3 5214 0719
KOREA
20th Floor
Youngpoong Building
33 Seorin-dong
Chongro-ku
Seoul 110-752 Korea
Telephone +82 2 399 6500
Facsimile +82 2 399 6507
SINGAPORE
101 Thompson Road
United Square #08-03
Singapore 307591
Telephone +65 6255 4555
Facsimile +65 6253 8431
TAIWAN
Suite 1512, Level 15
333 Keelung Road, Section 1
Taipei Taiwan
Telephone +886 2 2757 7188
Facsimile +886 2 2757 6483
THAILAND
Unit 1614, 16th Floor
River Wing East
Empire Tower
195 South Sathorn Road
Yaanawa Sathorn
Bangkok Thailand 10120
Telephone +66 2 670 0640
Facsimile +66 2 670 0645
MALAYSIA
Suite 12-1
Faber Imperial Court
Jalan Sultan Ismail 50250
Kula Lumpur Malaysia
Telephone +60 3 2611 1148
Facsimile +60 3 2070 4302
UNITED KINGDOM
Australia Centre
Australia House
6th Floor
Melbourne Place/Strand
London UK WC2B 4LG
Telephone +44 20 7438 4601
Facsimile +44 20 7240 6690
NEW ZEALAND
Level 3
125 The Strand
Parnell
Auckland New Zealand
Telephone +64 9 915 2826
Facsimile +64 9 915 2881
UNITED STATES
6100 Centre Drive
Suite 1150
Los Angeles California
United States 90045
Telephone +1 310 695 3200
Facsimile +1 310 695 3201