A study by the New Zealand Institute of Economic Research (NZIER) on the economic and social effects of cruise tourism reveals that the 2023/2024 season generated $5.3 million for the local economy, with cruise tourists spending an estimated $23 to $35 million.
Commissioned by ChristchurchNZ, the report highlights the cruise industry’s positive impact, with 69 percent of local businesses acknowledging its significance to their operations.
Additionally, 68 percent of these businesses described cruise tourism’s influence on their revenue as either ‘positive’ or ‘very positive.’
The industry’s contribution to the local economy is estimated at $5.3 million, with each visitor spending approximately $146 in Christchurch’s central areas.
Overall spending by cruise tourists is estimated to range from $23 to $35 million.
The community, including both businesses and residents, generally perceives cruise tourism as beneficial.
In the NZIER survey, 79 percent of business respondents noted a positive or extremely positive influence from the cruise sector. Many businesses also cited additional benefits beyond revenue, such as generating excitement around products and services (47.4 percent) and bringing in a more diverse customer base (42.1 percent).
Local businesses voiced their gratitude for the positive impact of the cruise season. Juliet Mountfort, owner of the jewelry shop Silver Central at the Cathedral Square market, shared that cruise ships attract customers who might not otherwise visit their store.
Mountfort estimates that from October to April, as much as 60 percent of their business comes from cruise ship passengers.
The number of cruise ships docking in Christchurch has increased since before COVID-19, largely due to the new, dedicated cruise berth. This facility enabled larger vessels to return to Lyttelton in 2022, the first time since the earthquakes.
NZIER’s survey also found that residents had a generally favorable view of the cruise industry. When asked about the latest cruise season, 85 percent expressed a positive or neutral outlook.
Residents in the central city were notably more positive compared to those in Lyttelton and Akaroa, where opinions were more mixed, with 36 percent experiencing both positive and negative impacts.
Another local business, Prime Currency Exchange, has seen benefits from the cruise season as well. Managing Director Ali Alizadah estimated that cruise passengers contribute about 15 to 20 percent of their yearly revenue. “During the cruise season, however, this group makes up over half of our turnover,” he noted.
The report also included feedback from cruise visitors, with 86 percent saying they were ‘likely’ or ‘very likely’ to consider returning to Christchurch.
Tags: New Zealand Institute of Economic Research, NZIER’s survey, cruise tourism