The Great Ocean Road is a regional hotspot in Australian tourism, presenting an exciting opportunity for savvy investors.
The Great Ocean Road begins 90 minutes from Melbourne's city centre, spanning 243 kilometres from Torquay to Allansford. This diverse and dramatic region is home to the world-class surf at Bells Beach and the craggy limestone spires of the 12 Apostles.
The popularity of the Great Ocean Road is highlighted by the fact that the region recieves more visitors than other key areas across Australia, recieving at least 1 million more visitors than the Blue Mountains NSW and over 3 million more visitors than to the Great Barrier Reef QLD.
Great Ocean Road Tourism Growth 2013 - 2017
All visitation - 5.1%*
International visitation 12.4%
Domestic visitation 7.1%
Overnight stays - 5.8%
*This figure includes day trips, representing a lower growth figure and a larger proportion of visitors to the Great Ocean Road.
In the year ending December 2017, 5.3 million visitors stayed overnight in the Great Ocean Road region. Growth in overnight stays has been particularly strong, increasing at an average rate of 5.8% per annum over the past five years, with the growth underpinned by the international segment. However, Avalon is set to become Victoria's second international airport with AirAsia X commencing a twice daily service from Kuala Lumpur to Avalon in early-December 2018. The additional services are expected to cater for an additional 500,000 international passengers, with a focus on the Geelong region and Great Ocean Road attractions.
A range of accommodation can be found along the Great Ocean Road with the most significant being holiday letting, caravan and camping and friends and relatives properties. Together these property types account for more than 74% of nights spent in the region. Hotels and serviced apartments have experienced revenue per available room (RevPar) growth increasing on average by 9.5% per annum. Higher room rates have been the primary driver of growth.
Great Ocean Road: HMSA Historical Trading Performance FY12 to FY16
|FY13||49.27% (-3.8%)||124.87 (0.4%)||61.5 (-3.5%)|
|FY14||50.21% (1.9%)||126.73 (1.5%)||63.6 (3.4%)|
|FY15||52.88% (5.3%)||129.32 (2.0%)||68.4 (7.5%)|
|FY16||53.49% (1.2%)||135.15 (4.5%)||72.3 (5.7%)|
Continued investment into the Great Ocean Road hotel and tourism region is expected against the backdrop of strong visitation numbers and new and improved visitor infrastructure. There is a significant opportunity to capture a share of the 5 million visitors to the area and to entice them to stay overnight.