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Fans spend up large during quarter-finals weekend

Tuesday 11 October 2011, 4:22PM

By Eleven \ PR

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Auckland and Wellington, hosts of the four RWC quarter-final matches over the weekend, reaped the rewards of rugby fans’ commiserations and celebrations, with over $4.7m in foreign tourist spending compared to the same three days in 2010 (Friday – Sunday).

The capital city received the RWC boost that has eluded it so far, with an extra $1.9m (+192 per cent) spent via foreign cards during the quarter-finals weekend.

This extra foreign tourist spending would have been a big factor behind the extra 20.4 per cent spent at pubs, clubs and restaurants in Wellington over the weekend, including a surge on Sunday when hospitality spending was up 43.7 per cent. Payments to accommodation merchants through the Paymark network were up only modestly (+5.6 per cent), suggesting that rugby fans pre-paid for a lot of their hotels and motels.

Car rentals in Wellington were also up strongly over the three-day period (+7.9 per cent), and clothing stores had a boost on Sunday, with a 28.8 per cent increase processed through Paymark’s network.

Paymark Head of Sales and Marketing, Paul Whiston, says that the extra spending in the nation’s capital comes on the back of weeks of slow growth for the region.

“The Wellington region ranked low for total spending growth through Paymark during September and has remained weak in early October. Between Friday and Sunday, it’s fair to say that Cup fans added a much appreciated boost to the capital’s economy,” says Whiston.

At the other end of the island, spending in Auckland/Northland on foreign cards was up 66 per cent, or $2.8m for the same three days. During this time an extra $2.0m was spent on hospitality, which peaked the day of the All Blacks/Pumas game, up 20.2 per cent. Accommodation in the city of sails was also up 10.8 per cent, over the three days.

The quarter-final spend-up pushed the total foreign card spending through Paymark’s network for the Cup to date to $172.7m, up $46.9m on the same period last year.

Total spending through Paymark outside fuel, car rental, accommodation and hospitality was also stronger in Auckland this past weekend, up 9.0 per cent, including strong clothing spend on Sunday, up 22.6 per cent.

Paul Whiston says that as the foreign card spending figures have emerged over the past week or so, it has become clear that hospitality has been the big winner but tourists are spending their money on things outside pubs, clubs, rental cars, and accommodation.

“Combined car rental, accommodation and hospitality spending for the Cup to date is up $25.9m, mostly due to Hospitality (+$21.1m). Accommodation spending through Paymark was actually down (-$1.5m), which tells us that the bulk of it has been pre-paid and won’t be reflected in our data. What this shows is that there has been a lot of room for spending on other things.

“However, general spending patterns are still modest – perhaps while the tourists are making the most of the Cup’s hospitality, Kiwis are continuing to keep a close eye on their dollars,” concludes Whiston.