Travellers to Adelaide benefit from increased competition between international carriers
CWT Solutions Group, the consulting division of Carlson Wagonlit Travel, and CAPA – Centre for Aviation identified that the average ticket price to Adelaide on many key routes has decreased, such as the Adelaide-Singapore route which fell more than 5 per cent year-on-year.
According to the latest Business Travel Pulse report, this trend is set to continue with China Southern increasing frequency on its Adelaide-Guangzhou route and Qatar Airways increasing capacity on its Adelaide-Doha route, both set to launch in December.
Adelaide recently reported 11 per cent growth in international passenger traffic for the fiscal year ending June 2017 to 952,000.
“Adelaide has become extremely well positioned both to attract inbound travellers and the corollary: a high level of frequency and quality one-stop service to and from most major destinations, supporting business travel,” said CAPA executive chairman Peter Harbison.
“The importance of synergies between these two important segments of tourism and business travel cannot be overstated. Adelaide Airport, Adelaide city interests and the South Australian government have cooperated well to make this a reality and with this strong base there is potential for a very solid future.”
The report reveals Adelaide’s hotel occupancy rate increased only slightly year-on-year, while average room rates have remained stable at $195.
CWT Solutions Group director Asia Pacific Richard Johnson said upcoming hotels and the newly upgraded Adelaide Convention Centre will attract more events to the city.
“With growing demand in Adelaide, hotel rates are expected to rise in moderation as suppliers understandably capitalise on the opportunity,” he said. “However, the market will still remain competitive and towards the end of 2018, as more properties start to open, we expect the pressure on hotel capacities should start to ease.
“At the same time, improved facilities such as the upgraded Convention Centre will position Adelaide as a viable alternative for events to cities such as Sydney that are experiencing far greater pressures when it comes to accommodation availability.”