A Rough Run for Ski Regions

Mt Buller. Credit: Jordan Mountain.

From bush fi res to a pandemic, Gwen Luscombe looks at how Australia’s most popular ski areas are expected to fare this winter season

After an incredibly lean 2020, the Australian ski sector is currently enduring another uncertain season as a result of unpredictable state border closures and lockdowns.

As Australian Ski Areas Association (ASAA) Chief Executive, Colin Hackworth explains “the COVID-19 pandemic has presented incredible challenges not just for the Australian ski industry but globally.

“Unfortunately, the 2020 winter season was disastrous for Australia’s ski resorts, particularly those in Victoria. While the NSW resorts were able to operate with capacity constraints, the Victorian resorts suffered greatly during the lockdown of greater Melbourne. Mount Hotham and Falls Creek operated for only four days. Mount Buller managed to operate somewhat longer but only for regional Victorians. Alpine businesses are on their knees and unable to withstand another season like 2020.”

In a typical (pre-pandemic) year, the Australian ski industry generates $2.4 billion in economic benefit, much of which is generated in regional areas, and employs roughly 23,000 people.

In 2020, it’s estimated that 80-90% of that was lost. A permanent blow which, as Hackworth points out, can’t be “made up”.

ASAA’s members, made up of the ski lifting operators of Australia, has remained committed to supporting government and health advice to protect the community and staff and had been anticipating a busy 2021 season having developed and implemented comprehensive COVID-19 operating plans in compliance with government guidelines. However, the pandemic was just one of several blows to the industry recently, with bushfires and rising insurance costs, the industry has had a rough ride. Victoria’s ski industry in particular has seen enormous premium hikes after it was pummelled by bushfires and the pandemic, further threatening the upcoming season.

In May this year, a report released by Victoria University and the Victoria Tourism Industry Council warned of too many barriers facing the tourism sector’s recovery in the alpine region, including impossible insurance costs. Surveys of 323 Victorian tourism operators showed businesses faced insurance hikes of up to 400% in bushfire-affected areas.

Laurie Blampied, General Manager at Buller Ski Lifts (pictured left), notes “every day in 2020 seemed to bring about a new change or challenge for us as a business and personally.” Buller Ski Lifts has held the ski area lease at Mt Buller since the early 1990s, moving approximately 40,000 skiers each hour across 300 hectares of terrain via a network of 20 lifts during peak operations in the snow season.

Their operations also include a ski and snowboard school, numerous hospitality venues, hotels and accommodation, and retail stores employing roughly 650-700 people each season including instructors, snow makers, lift operators, chefs, hospitality staff, hotel staff, retail staff and office personnel.

Blampied says that the blows to the industry have shown them that when things are at their hardest there are always opportunities to do things in a whole new way, commenting “the impacts of the COVID-19 pandemic were wide and deep to our business and the whole alpine economy in Victoria.

“We are an industry that is familiar with risk and the variables of the weather and snow but to have our guests unable to visit, our resort unable to operate and a global health crisis unfolding, on the heels of a wickedly destructive fire season, it was devastating.”

Mt Buller did what many businesses were forced to do and adapt to make the most of their situation. They put their focus on the green season when states were given a small reprieve on travel restrictions.

Blampied adds “the resort normally welcomes a smaller visitor base to the mountains each ‘green’ season, however during 2020/21 we did see slightly more Victorians travelling intra-state than usual. We had people making bookings to come and walk, ride mountain bike trails and consciously try to support regional tourism while keeping close to home and within state boundaries.

“Visitor patterns over the 2020/21 summer marked the start of a return to some normalcy.”

NSW’s Thredbo region did the same. Home to Australia’s longest ski runs, and several mountain biking and hiking trails in the heart of the famous Kosciuszko National Park, they invested in internal improvements during the 2020 lockdown.

Thredbo Marketing Manager, Caroline Brauer explained “we enhanced the online purchasing experience with significant improvements to the Online Shop, allowing a more streamlined online journey when pre-purchasing Thredbo lift passes, rental and lessons.

“Improvements have also been made to the in-resort guest experience with the introduction of MyThredbo Card Kiosks placed in Thredbo Village and in Jindabyne to allow for 24/7, contactless collection of lift pass cards. After pre-purchasing lift, lesson and rental products online, guests can simply scan their barcode from a printed receipt or mobile phone to collect their cards.”

However, with NSW entering a lockdown immediately before the state’s 2021 winter school holidays, visitation to the Snowy Mountains fell by 70% in a period that had been expected to be at 100% occupancy, with check-ins for the holiday weeks in Jindabyne, Thredbo and Perisher dropping to as low at 30%.

At the time of writing and after enduring six lockdowns, Mt Buller and Mt Stirling are welcoming visitors with resumed lifting operations with 14 lifts expected to turn and a metre of excellent snow cover waiting for skiers and boarders.

Advising that Mt Buller businesses are delighted to get their doors open and welcome visitors into the resort once more, Blampied noted “we feel for our friends in Melbourne doing the hard yards in lockdown but can reassure everyone our team will work hard to keep the ski area humming along safely and we hope to see all of Victoria back for a slide as soon as possible.”

Speaking before the reopening, Blampied “we have a lot of ground to make up (and) our recovery will only really begin once we have people on the snow again.

“Our stakeholders, staff, customers and the local government were incredibly understanding and supportive as we rode through the challenges together. The experience of 2020 has had some silver linings and in some cases, our partnerships are the stronger for it.”

ASAA’s Hackworth says that while the industry has had a delayed recovery, it’s resilient and ready to send a big welcome back, concluding “we have all had no choice but to knuckle down and ride it out as best we can. Effectively losing an entire ski season in Victoria was something I never thought could happen.” Gwen Luscombe is Director of the Ideas Library and a frequent contributor to Australasian Leisure Management on tourism, business events, technology and hospitality.

Mt Kosciuszko Summit Hike - Green Season.

Thredbo Gondola.

Group of skiers at Mt Buller. Credit: Andrew Railton.