The maturity and size of the industry today means that it is better positioned than a whole range of businesses to manage and trade through the complex issues created by the global economic crisis. For many years the prophets of doom and gloom chose the tourist industry as one of the first barometers to go into meltdown when adverse times were forecast or developed.

The Australian tourist industry is a very important and diverse industry that has suffered a range of threats from natural and economic forces over the years and has managed to grow and prosper. We at ARAMA see that the maturity of the industry, together with the expertise in the industry and legislative reform has meant that the sector and we as accommodation managers have greater opportunities to manage changing circumstances and still remain viable and profitable. As business operators we take some degree of comfort in having a contract with our bodies corporate and the structure of the services outlined in the legislation makes the businesses far sounder than many other small business operations.

It is a high profile and positive industry with continuing opportunities through experienced management to ensure that there remains fair returns for all stakeholders especially owners and that the reputation of the industry, to deliver a value for money holiday to remember, remains paramount. Interestingly, a recent survey of our members has indicated that there has been no noticeable diminishment in the number of people who have already booked their regular return holidays, a very positive indicator.

The industry and its key managers are not unfamiliar with the cyclic nature of the economy and have the ability as business people, with some degree of certainty in their businesses, to work hard on behalf of their owner clients and guests to provide short-term holiday services. One important factor is that Australian holiday-makers are being encouraged to holiday locally. The fall in the Australian dollar and economic uncertainty for those who rely on investments has meant overseas holidays are now not as attractive as they have been.

Australians do have a holiday habit and whilst they might be budgeting more carefully during the coming months and year, there remains a very clear indication that the holiday ritual is not being adversely impacted across the board.

The aviation industry continues to remain competitive and while it has reacted by reducing flight numbers, nobody has failed to get a seat to their destination and holiday travel still remains buoyant.

Accommodation managers are continuing to assess their operations and the recent legislative changes in Queensland for example have meant that the business now operates on a 21st century model with accommodation managers having much greater certainty for their business and an ability to make business plans that address the circumstances of the day. The diversity of holiday accommodation products throughout Australia allows tourists, both local and international, the opportunity to get the real value for money deal and to their credits. Governments are more often getting behind the industry by promoting the message of value and opportunity.

As ARAMA is now a national body, we have been working with governments to press the depth and diversity of the industry and its contribution to their economies and the need to give managers certainty.

We are concerned that NSW is considering removing the need for licensing of accommodation managers, as we believe that this is a retrograde step in removing the certainty that owners, investors and visitors currently have with the industry.

Our industry is significantly dependent on discretionary spending and one of the great attractions for holiday-makers is the confidence that they have with responsible and accountable on-site managers. Investors in holiday accommodation products have been encouraged by the checks and balances that a licensing and trust account regime has provided.

From my experience there remain a lot of people who are employed and are still taking their regular holiday. Reports from members indicate that bookings remain sound during the upcoming months. It certainly is not all doom and gloom and like all business operations there is a mixture of positive and negative influences.

My message to the accommodation managers of Australia remains that we are in a people relations business.

Owners, guests, suppliers and tenants are our clients and, as an industry, we need to continue to ensure that our relationships remain positive and friendly with all our stakeholders and clients. Our role is to be able to help people have a good holiday and for owners and investors to benefit through responsible returns and asset growth.

The Australian dollar level and the advertising campaigns pointing out the genuine value of holidaying in Australia is an important current message.

And remember, there is a genuine desire by people in the northern hemisphere to come to Australia to visit and explore. There is a strong message about Australia internationally and it is important that our industry does not lose sight of the longer-term opportunities that come through global tourism.

Middle East and Asian destinations are not slowing down their promotions to an exploring world and it is important that while we deal daily with the short-term issues, the industry continues to grow and the planning for future opportunities must not be put in the ‘too hard basket’ or neglected.

It is a challenging time and we need to work collectively to play our role in growing the opportunities.