According to the Queensland Tourism Industry Reference Panel, there are big dollars at stake for tourism over the next decade in the run-up to the Olympics, but some serious attention needs to be directed to the sector.

If the industry gets its settings right and achieves a high-growth trajectory, overnight visitor expenditure from both domestic and international visitors would generate an estimated $34 billion a year by 2027 and $44 billion in overnight visitor expenditure a year by 2032, the panel’s report said. 

But there is a catch. After more than $1 billion of taxpayers’ money was spent on the tourism sector during Covid to keep it alive, the industry needed to take a long look at itself and the panel has given the sector an unvarnished appraisal of where it stands and what it needs to do.

It comes down to the simple recommendation that it had to evolve and get with the times.

While the report’s out-of-the-box recommendation of a tourism levy stole the headlines, there were some far more serious issues highlighted.

It pointed out that in 2019, Victoria overtook Queensland in total overnight visitor expenditure for the first time. Pre-Covid, Queensland had an overall occupancy rate of 69 per cent in 2019, one of the lower rates in Australia. 

Market share was falling and there was a heavy reliance on Chinese tourism that may not be there in the future.

Also, to achieve the 2032 goals an additional 3.1 million international airline seats over and above the 2019 supply by 2032 were needed. 

“There is a significant supply gap to be addressed,’’ the panel said.

Airline forward schedules for international inbound to Queensland were at 37.3 per cent of 2019 volumes in June 2022, compared with the global marketplace which was closer to 60–70 per cent of 2019 levels for the same period. 

Even before Covid struck and wrought its havoc, the Queensland tourism industry was struggling and needed a new direction, according to the panel. In effect, beach holidays alone would not cut it anymore. They needed to be layered with other experiences and tourists wanted life-changing holidays.

“Industry told us that visitors are increasingly seeking out experiences that create life‑long memories and help shape or reinforce their sense of identity – trends that have been accelerated by Covid‑19. We believe experience development will be the core platform for Queensland’s future growth,’’ the panel said.

Also, research done for the panel by BDA identified experiences of high importance to Australian travellers with which Queensland had “a low association’’. That meant when travellers thought of those high importance experiences they didn’t think of Queensland as a likely source.

Those areas were good food and wine; history and heritage; distinctive dining and fresh regional produce; great shopping; and arts and culture. You don’t have to read between the lines to see that those experiences are the big dollar ones. 

“These insights, consistent with what we heard from industry during consultation, signpost where investment should be directed,” the panel said. 

“We will need to invest in new experiences that are authentic, uniquely Queensland and ‘cutting‑edge relevant’ if we are to successfully compete. 

“Industry also told us that our core, built assets need investment and improvement to better support the visitor experience. 

“This included a need to refresh our accommodation stock, add accommodation capacity, accelerate the development of in‑destination visitor amenities, improve transport infrastructure and uplift the visual presentation of many destinations.’’

The panel also had research estimating the adventure travel sector to be worth $112 billion globally in 2020 and now projected to be worth 10 times that in 2028 or $1.2 trillion. 

“Despite this trend, Australia has fallen behind, ranking 10th, behind New Zealand (4th) and Canada (7th) in the latest Adventure Tourism Development Index.

“And, in Queensland, we are far from making the most of this opportunity – although our competitor destinations are catching on,’’ the panel said.

While the Olympics should change the game for Queensland it wasn’t guaranteed without significant investment from taxpayers.

Should event funding in Queensland not be increased over a longer period, “New South Wales and Victoria were likely to be in a better position to take advantage of Brisbane 2032 and secure additional content over Queensland’’. 

The panel has also recommended that success not be judged by money alone and that the sector adopts “a balanced scorecard of goals and measures to guide our collective actions and behaviour’’.