
5 minute read
Reason For Optimism
from Hotel SA Dec 2023-Jan 2024
by Boylen
From the CEO
WATCH VIDEO HERE:
A US president once said “the price of freedom is eternal vigilance” –and this rings true for our sector.
While we are going through a relatively settled period post COVID, there is no room for complacency.
As our President, David Basheer, says in his column (see previous pages), there are many issues we work on very publicly for the benefit of members. That is only part of the story. Behind the scenes, the AHA|SA works even harder on issues we want to keep out of the headlines.
However, as we enter the busy Christmas trading period, the current outlook is largely favourable. We are approaching 2024 with an “opportunity mindset”.
Many venues are making a steady recovery from COVID – but State and Federal decision makers also need to remember that our industry suffered losses during that period and most operators are still playing “catch up”.
Another positive aspect to note is that the introduction of major events to the state is providing much needed sugar hits to industry. LIV Golf, Gather Round, Rugby and of course the Matildas added to pre-existing events such as the Fringe, Festival, WOMADelaide and the cricket.
This increased activity is wonderful for our food and beverage offering. It also strengthens our accommodation sector, which is particularly important for the CBD hotel scene that has seen significant development and increased available bed nights.
At the same time it has been pleasing to see that South Australians are continuing to visit the back yard they discovered during border closures. Regional accommodation and pubs, particularly those with a destination experience, are continuing to reap the rewards.
Gaming has also experienced a strong rebound with a significant upgrade of the EGM fleet off the back of the introduction of ticket in ticket out and bank note acceptor technologies. We close out the year with gaming revenue plateauing at a new high.
I look forward to identifying and embracing new opportunities together with industry in 2024.
I know that this will not be without its challenges. Ongoing skills shortages, scarcity of accommodation and the cost of living being just some.
But we should be proud to be part of a state that is now seeing yearon-year growth, stimulation in reinvestment and venue sales and a renewed optimism throughout the industry.
Political Advocacy
During Covid, it sometimes felt as if we had been abandoned by our elected politicians.
Both government and the opposition have been sending the clear message that they understand the importance of hotels and hospitality to the success of South Australia.
Evidence of that was swift parliamentary action to shut the door on a Greens attempt to stop new gas connections in SA.
At the recent President’s Christmas Lunch, the Premier told attendees that one of the contributors to State growth is “undoubtably” hotels.
“The hospitality sector, the tourism sector more broadly, has really punched the lights out.”
He added: “Our challenge in the government is to make sure we’ve got the people to do the work.
“Which is why so much emphasis is going on skills, education and training – something I know also matters to this industry.”
“It would also be naive if not reckless of me, not to acknowledge the fact that there are some people in the community doing it tough.
“Notwithstanding growing wages and full employment, cost of living is going up, inflationary pressures remain, and that has a pinch.
“And that is really where the work that you undertake is so bloody important.
“Pubs have always been a bit of an institution in that they are a glue that keep people together. They are a home for affordable, safe interaction amongst individuals wanting to engage with one another - communicate with each other. Not through a social media platform but over a drink or a nice meal.
“And they are exceptionally accessible to families.
“Yours are more than just businesses. They are social institutions. And that’s why this is an industry that we are so glad as a government to partner with, actively engage with through the AHA.
“It’s a relationship that we thoroughly enjoy and one that we hope continues for many, many years to come.
“… there is new wealth and new opportunity for our State and you are very much a lifeblood of it”.
We look forward to seeing those words continue to be reflected in the actions of government, the opposition and politicians of all persuasions.
Condolences
I took the opportunity at the President’s Lunch to convey our members’ sincere condolences to the Commissioner of Police, Grant Stevens.
Grant was so readily available and prepared to work with, rather than against, our industry during the darkest hours of Covid. He was empathetic and he treated us as people and understood our pain. Now we feel his pain following the loss of his son, Charlie. Our heart goes out to Grant, his wife Emma and their children. We grieve with you.
Thank You
In closing, thank you for your ongoing membership. Our members are our greatest strength and I acknowledge the investment that each of you make every year. Our unity is our strength.
As we embark on this new year, on behalf of AHA|SA I would like to take this opportunity to wish you, your families and staff a Merry Christmas and safe and prosperous New Year.