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New Zealand’s tourism recovery is increasing, but there’s a question still sitting beneath the surface: how much visitor spend are we missing at the checkout?
While international arrivals increase, the ability for travellers to pay easily and in familiar ways is becoming a key pressure point, in particularly for the returning Chinese market.
UnionPay International executive vice president Michelle Shao says, “UnionPay has built a strong and well-established presence in New Zealand since entering the market in 2008.”
She says, “Today, acceptance is available at more than 90,000 terminals nationwide, supported by partnerships with all major banks and financial institutions, including ANZ, BNZ, Westpac, ASB, and Windcave.”
Coverage is broad too, around 93% of merchants and 91% of ATMs but not it’s complete.
Michelle says, “The remaining gaps are relatively limited and tend to involve a small number of terminals that are not yet connected to the UnionPay network, often through smaller or non-major acquiring institutions.”
Those gaps, while small on paper, are where friction can creep in.
Michelle says, “From a broader market perspective, the availability of familiar and widely accepted payment options plays an important role in facilitating visitor spend.” She says, “When payment experiences are seamless and consistent, it helps reduce friction at the point of sale and supports a more positive overall travel experience, which can in turn encourage higher engagement and spending.”
Inconsistent acceptance, more common with smaller or independent operators may be where spend quietly slips away.
Michelle says, “Where acceptance is less consistent there may be some impact on transaction convenience, and therefore on the ease with which visitors choose to complete purchases.”
Measuring that lost spend is difficult, but the message is clear.
Michelle says, “While it is difficult to quantify the direct impact, ensuring broad and consistent acceptance helps businesses better capture available demand and optimise conversion of visitor spend.”
For operators, the opportunity isn’t just about turning on a payment option it’s about removing friction across the entire journey.
Michelle says, “The first step is ensuring UnionPay is accepted across all customer touchpoints, from a tour operator’s online booking, through to the in-destination spending.” She says, “Secondly, visibility is just as important as acceptance. Clear signage and communication that UnionPay is accepted helps build confidence and encourages usage.”
Beyond that, there’s wider play at work as Chinese visitation rebuilds.
Michelle says, “Finally, it’s about taking a holistic view of the visitor journey. Chinese travellers want a seamless experience from the booking of their flights, including with partners like Air New Zealand, through to accommodation, dining, and experiences.”
“Operators that remove friction across that entire journey will be best positioned to capture a greater share of this high-value market as it continues to recover.” says Michelle.
