Fiji Hotel and Tourism Association,3 October 2024 – The Fiji International Visitor Survey (IVS) 2023 release by the Ministry of Tourism and Civil Aviation (MTCA) provides tourism stakeholders including suppliers with insight into visitor trends in many areas of the industry, including accommodation and transport preferences, food and beverage spending, and the popularity of activities and experiences.
It is an eagerly awaited report that has unfortunately taken almost 10 months to get to the industry with its ability to provide incredibly invaluable insights into how visitors experience Fiji, from spending habits to satisfaction levels.
Understanding these key indicators is crucial for keeping Fiji at the forefront of global tourism, allowing us to refine our strategies, tailor our offerings and review declining categories by uplifting our offerings or rethinking marketing efforts.
We recognize this data’s importance as both a litmus test of how we’re doing and when provided early enough, provides the opportunity to improve, adjust and reshape tourism’s product and service offerings while providing a glimpse into visitor behaviour that is actually an outcome of destination, product and service marketing.
These outcomes are responses to creative marketing and advertising, the ease of booking and payment options, online presence, packaging of air travel with hotel and activities, the popularity of particular regions based on accessibility and clustering of related products and services within the same area that create tourism hubs, accessibility to air, marine and land transport and the popularity of nature and community-based activities that have been widely shared on social media platforms.
It also measures service and product satisfaction and tracks changing demands.
While the data is still provisional – part of a Fiji-wide phenomenon of no data, late data or unshared data; it already paints a clear picture of key trends that stakeholders can use to refine future strategies.
Final reviews might tweak some of the figures, but the actionable insights presented are ready for tourism businesses, accommodation providers, and suppliers to analyse and use for future planning.
This report is amongst many others that the industry uses to better understand the evolving needs, changing demands and preferences of our visitors, giving us a chance to anticipate changes and act proactively.
While the survey’s methodology is rigorous, accounting for our major source markets, it acknowledges some limitations when comparing specific metrics to 2022 due to slight differences in the survey periods.
That said, the report is still packed with relevant information for everyone invested in Fiji’s tourism growth and reveals some impressive numbers when it comes to the economic impact of tourism in Fiji while delivering some sobering content on satisfaction levels we can certainly improve.
Nearly 930,000 visitors contributed a staggering 3.22 billion FJD to the economy, making it clear that tourism continues to be a powerhouse for Fiji’s financial well-being.
Of that total, 46% (around 1.48 billion FJD) was spent before visitors even arrived in Fiji, covering things like international airfare and pre-booked accommodation. And before anyone starts fretting about perceived leakage; don’t worry – that money does make its way back here.
It is used for salaries, taxes, licenses and regulatory fees, imported goods, land lease payments, training and reinvesting back into the industry, among other business requirements like repaying bank loans.
The remaining 54% (about 1.74 billion FJD) was spent while they were enjoying everything Fiji has to offer—from hotels and restaurants to local shopping, tours and activities.
What’s particularly interesting is the breakdown of how much visitors are spending per night versus per trip. In 2023, the average visitor spent 404 FJD per night, which is an increase from 376 FJD in 2022.
However, the average total trip spend dropped slightly from 3,572 FJD in 2022 to 3,462 FJD in 2023, which makes sense given that visitors stayed fewer nights on average—8.6 nights in 2023 compared to 9.5 nights in 2022.
But if you consider that more people actually visited the country in 2023, perhaps they couldn’t stay longer which is why more rooms are needed.
Whether it’s premium accommodation or enticing dining and shopping experiences, the data suggests that visitors are ready to spend more on high-quality offerings, even during shorter stays.
Australia continues to lead the charge with nearly half of all visitors (47%) hailing from our large neighbours and while still a strong showing, is slightly down from the 54% share in 2022, signalling a diversification in our visitor base and/or that more countries are open to travel now than they were earlier.
Increasing flight frequencies and destinations from our national airline is also changing this dynamic.
More travellers are coming from the Pacific Islands and Asia, both proportions doubling compared to last year.
And with an expanding reach into new markets, there are exciting opportunities to broaden Fiji’s appeal and create experiences tailored to these growing segments.
This shift towards more concentrated, high-value experiences is clear which means we should be focusing on offering unforgettable, curated experiences that fit into a slightly shorter timeframe that leave lasting impressions.
In the long term, the growing diversity in source markets and the trend toward shorter stays could lead to more opportunities for marketing, product development, and infrastructure investment.
Whether it’s highlighting cultural experiences, adventure tourism, or wellness retreats, Fiji has the chance to attract a wider range of travellers while ensuring that each visit is packed with memorable moments.
For the short term, businesses can look at adjusting their offerings to cater to those ready to immerse themselves in the best of Fiji—even if their holiday isn’t as long as it can be.
When it comes to why visitors are flocking to Fiji, it’s no surprise that holidays and vacations top the list, with a whopping 80% of travellers coming for some much needed relaxation, despite what their home economies are going through.
This dominance of leisure travel underscores Fiji’s reputation as a go-to destination for tropical getaways, with our incredibly successful destination branding providing the strong messaging for nature and culture-connected offerings with our people at the heart of what sets us apart.
Business travellers, conference attendees, and those visiting friends and relatives (VFR) made up smaller yet still significant portions of visitors, each with their own unique behaviours that include conferences spending more to pack in as much as they can for shorter stays and VFR staying longer but spending less per night.
These variations in spending and trip duration highlight the diverse ways in which different groups engage with Fiji’s tourism offerings, impacting everything from accommodation needs, dining preferences and activities they participate in.
Denarau, the Coral Coast, and Nadi continue to be the stars of the show when it comes to visitor hotspots showing air, sea and road connectivity, accessibility to restaurants, shopping and activities can make bigger tourism impacts. But should also be read with the acknowledgement that the bulk of room inventory and the proximity of the international airport is also part of this winning formula.
But there are intriguing shifts in where visitors are choosing to spend their time.
Suva/Tailevu saw a noticeable increase in visitor days, jumping from 7% in 2022 to 13% in 2023, while the Mamanuca Islands saw a slight dip in time spent.
A sign that travellers are looking to explore more of Fiji’s cultural and urban offerings (or there have been more conferences), and that more awareness and marketing of what is available is also taking place.
There are certainly more opportunities to further promote and develop these regions, offering experiences that highlight Fiji’s rich culture, diversity, artistic and retail options.
We are rightly concerned to see satisfaction levels lower than the previous year for value for money and accommodation quality and unless we lift our game in these areas, visitors will vote with their next booking or even choose not to return.
More hotels are being built, while Airbnb and homestay options are mushrooming all over the country to offer visitors more choice.
We would also add that the higher levels of staff turnover from filling gaps when staff leave for labour mobility programs or simply joining new businesses opening in accommodation, transport expansion and activity or experience offerings; also add to service quality requiring more intense focus.
The message is clear – keep up and keep improving or get left behind.
Whether it’s enhancing accessibility, creating new tour offerings, connecting community experiences or upgrading facilities; the right moves could ensure that all of Fiji’s regions continue to increase reasons to travel there.
With the report’s comprehensive analysis of visitor behaviours, spending habits, and preferences, stakeholders can glean actionable intelligence to fine-tune their strategies.
Whether it’s a hotel looking to enhance its services or a tour operator eager to create more compelling packages, the data within this report can guide informed decision making.
We are dedicated to advocating for improvements and innovations that resonate with our visitors’ desires, ensuring that we remain competitive in the global tourism landscape by using these findings and recognizing the potential they hold for our industry.
Fantasha Lockington – CEO, FHTA (Published in the Fiji Times on 3 October 2024)
Fiji Hotel and Tourism Association
The Voice of the Industry
