Stuart Harrison: Millennium and Copthorne Hotels NZ CEO on their preparations for the growing tourism sector

Some good news for our tourism sector. 

Millennium and Copthorne Hotels have recorded its highest full-year revenue in five years, with a sense 2025 will be strong for travel. 

Current international visitor arrivals still sit at 89% of pre-pandemic levels. 

Chief Executive Stuart Harrison told Mike Hosking they've been holding a 'revive and thrive' strategy. 

He says they've been doing refurbishments and upgrades to position themselves in a strong space for the future. 

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Episode Transcript

Speaker 1 (00:00):
Got some good news for our economy and from our
tourism industry. Millennium Copthorne there's in the hotels have reported
the highest full year revenue in five years. Now there
is a sense that twenty five apparently is looking good
for holidays. CEO Stuart Harrison's with us on this Stuart Morning.

Speaker 2 (00:12):
Good morning.

Speaker 1 (00:13):
Is this specific to your series of hotels or the
industry generally?

Speaker 2 (00:19):
It will be across the industry generally, and I think
it's also related to specific areas within the country.

Speaker 1 (00:26):
Because I'm still seeing eighty nine percent of what we
were in twenty nineteen as far as the rivals are concerned.
So what's going on here that you're doing so well
but we're not back to where we were?

Speaker 2 (00:37):
Yeah, I mean, I think we have been holding to
a strategy which we've referred to as revive and thrive.
So yes, we knowledge we're not going yet, but it
is part and partle of that revive process that we're
going through. So I guess in some ways we're seeing
the opportunity whilst none that are down to actually be
reviving our product, doing refurbishments and refreshments and up grades

(01:00):
and things like that to sort of position ourselves and
I think that's part and parcel of being a to
then seize on those opportunities as they start coming through.

Speaker 1 (01:08):
What's your occupancy rate?

Speaker 2 (01:11):
So we close out the year at around about sixty
six percent across our hotels.

Speaker 1 (01:14):
Is that good?

Speaker 2 (01:16):
Ah? No? Yeah, if you actually look back to sort
of pre COVID days, you know we were up into
sort of about eighty percent level. So it is definitely
a growing perspective that is starting to come through. But yeah,
a long way to go yet.

Speaker 1 (01:31):
And what about your room rate? What have you done
with that?

Speaker 2 (01:34):
Yeah? I mean that has grown over the past few years,
obviously on the back of COVID. Again, that's part of
the revived process that we've been going through.

Speaker 1 (01:44):
And far as the American thing, I'm just trying to
get a vibe around the tourism. I'm seeing the numbers.
America loves us at the moment. Are you seeing that?

Speaker 2 (01:52):
Yes? We are. Yeah, that is definitely one market that
has been delivering for us and coming in and good numbers,
and obviously they seem to enjoy their long stays here
as well, So that's helpful across the country.

Speaker 1 (02:06):
And as far as you're concerned in terms of hotels
is location. The key is at location specific. In other words,
if you're in the right areas, you'll do better than
people who are parked up in the wrong areas.

Speaker 2 (02:16):
Yeah, I mean there's definitely the pockets that are there.
I mean, if you look at it and go, Queen's
Down is a location which has had high demand on
a relatively consistent basis out the other side that you
have in Auckland that was probably gearing itself up for
the convention center to be up and running, and so
you've had a whole lot of hotel inventory that's sort
of come on board. As a result, there is excess

(02:40):
supply as a location.

Speaker 1 (02:42):
And what about this tourism campaign everybody's got to go.
Do you hold hope that this could work or not?

Speaker 2 (02:51):
I'm keen on the fact that some money is actually
being spent in that area. I think we came out
last year and sort of said there needed to be
a concerned effort with locals enjoying local government support being needed.
So it's great to actually see something happening and I
encourage it in that respect, and we would be on board.
I think we all know that Australia is one of

(03:11):
our key marketplaces. So to be able to spend some
money to promote New Zealand and get Australians to come
here and stay, it's a step in the right direction.
Will always be suggesting less would.

Speaker 1 (03:23):
Be more good, and so I appreciate Stuart Stuart Harrison
out of Millennium and Copthorn Hotels this morning. For more
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