A NSW council has given unanimous approval to a plan to allow ‘dynamic pricing’ at the Shellharbour Beachside Holiday Park.
NRMA Parks and Resorts – which took over management of the park late last year – plans to hike fees by around 15% once occupancy levels at the park reach around 60%.
Shellharbour City Council said it was confident that ‘surge pricing’ would make money for both the NRMA and the council.
Cr Kellie Marsh told the recent council meeting that it was just the way of the world.
“I think for all of us when we go on holidays, if we go anywhere else in peak season we have to pay for it so why should this be any different?” she said. “If this was locals paying for it I probably wouldn’t have the same opinion but it’s people who are choosing to come to Shellharbour and unfortunately you do have to pay for it.”
Cr John Murray agreed, telling the meeting that it was ‘well worth giving it a go’ as people expect to pay higher fees in peak times.
“Most of the things I do that involve going to places like ski resorts you pay a premium for peak times and you get a reduced cost at the lower times,” he said. “And I think if we’re going to look at trying to spread out the usage of the park and get better usage at lower times of the year we need to look at some of these strategies.”
Council officers believe that the ‘sliding scale’ fee system will also encourage holidaymakers to book early, and lead many to seek out cheaper rates in quieter periods
A report to the meeting said the plan would be to display the existing maximum 2020/21 rate, plus 15%, with a footnote explaining that the displayed rate is the maximum tariff payable and the tariffs may attract a discount of up to 15% depending on occupancy levels.
“It is important to note that dynamic pricing can be removed if found to be impacting negatively on booking trends over the medium to long term,” the report said. “Authorised NRMA staff will also have the ability to discount the nightly rate to the minimum level to maximise occupancy rates.”
What a load of bullshit! Caravan parks have been doing it for years .More spent on accomodation less spent in business in area,
The caravan park already has high, low and shoulder season rates which is fine. When I book I would prefer a fixed rate rather than a fluctuation of 15% on these prices. I think this would deter people from what is a very nice caravan park in a prime position (providing the Southerlies aren’t blowing!).
Sounds like they would rather have the park empty out of peak season. Doing a great job of scaring off the grey dollar.
And you wonder why we like free/low cost camping….
Council show their true colours again, money gouging grubs.
This is typical goobleygook from irresponsible councils not to mention the NRMA because reading the article it was them that raised the issue. The stupidity of Councillor Kellie Marsh, “If this was locals paying for it I probably wouldn’t have the same opinion but it’s people who are choosing to come to Shellharbour and unfortunately you do have to pay for it.”. Does this stupid woman understand economics or is it mandatory for councillors to be stupid. Charge more for accommodation and there is less for other businesses or people like myself will just refuse to go there at all meaning nothing for the economy in that area. Ooh well that’s their decision so they have to live with it just so long as the people that vote these morons in see the damage they do to these areas.
This is the start of a new pandemic. Once it happens in one caravan park it won’t take long before it takes hold in all caravan parks. No wonder we all want to free camp. The ones using these facilities are mostly the grey nomads with not much money and they are the ones being kicked around.
We live in WA and travel to Wollongong at least once or twice a year to visit family. Staying at Shellharbour is great been on the water. We support the local businesses and Club. Not any more. This is a joke and not again. Will be letting our friends over here and a caravan club we are in not to use Shellharbour. Councils wake up.
Ugly cash grab designed to increase divides in society. This council plan is not inclusive to all income brackets, and I fail to see how this plan passed the equal opportunity laws.
Will they be displaying the park booking numbers online and at the gate at all times to be transparent?
So many examples of economic greed at present. It’s demeaning for Australia
Im not in favour of price gouging during peak periods. Im not a real fan of Van parks either.
But looking around and taking notice especially along the coastal tourist areas there are a lot of Vans in those parks, most times choccas.
I was in one over the Aussie day weekend. It was a good location so I had to pay a bit more but I enjoyed the area for a short time then its back to bush camping for me.
So I suppose people WILL pay for what they want. Some are more financial so they can stay longer and more regular.
We are all different on the sliding scale for whats suitable. We all have to make do with what we can, when we can.
Most importantly STAY HAPPY..!
Money grabbing in the purest form. They have prices for seasons, that should be enough. Does the price of bread milk and ice creams go up 15% when the get a little bit busy.
If they get past 66% they should be happy with that.
Bad enough having big 4 etc overcharging now these buggers are getting into the act. Watch for this behaviour to increase.
I am NOT going to book into a caravan park with a ‘variable’ fee. The price quoted on booking is the price I pay as per contract. (1) Not interested in lining greedy caravan park owners pockets (2) when the park is full it is crowded and uncomfortable and the fee should be LOWER given the economy of scale and the relatively lower running cost per head when occupancy rates are high. Another place on my ‘drive on by’ list. Vote with your feet and your wallet and spend your hard earned money somewhere that isnt looking to gouge you … local businesses, we wont be spending money with you either.
Considering there has been no real growth in wages for a long time, super has taken a hit from COVID, retirement funds in banks are getting zero interest and the price of everything is going up, I find this greedy and extremely off putting, I’ll definitely reconsider my holiday plans now!
And they keep telling us to “holiday in our own country”?? But they will gouge you for every cent while you are trying to support all business in the local area. So the council is able to increase their revenue but people cannot afford to spend their money in the local businesses because they had to pay so much for their camp site. Great economics at work here- NOT.
Personally I simply do not do peak times holidays and therefore would never pay the profiteering prices. However, that being said, I simply say, don’t like it go elsewhere.
Then when the park is closed and the land is bought up by greedy developers and assisted by dollar hungry councils and potentially corrupt councilors, then covered in premium priced apartments, DON’T complain.
We book every year for two weeks 12 months ahead. Prices have gone up and up this last few years especially and now potentially another 15% more than whatever the hiked up peak rate will be this Christmas…. seriously expensive way to effectively “camp”, line up for toilets, showers and washing machines. I’d say this is what will happen in caravan parks because we all can’t do much else atm because of Covid. We love it for the social aspect of spending time with friends, have been doing it since we were all kids, but this year was almost $1000 per week to camp!!
To the decision makers of this plan: consider the financial benefit to the Shoalhaven economy before you speak. We grey nomads spend money in the locality over the time we spend stay visiting. I also personally find it offensive that its ok to slug the visitors extra money for wanting to visit you beautiful area, but you would not like to do the same for your residents. Bad choice of comments I think Councellor Marsh and NRMA. I don’t know if this will affect your tourism dollar in the long run but it will certainly hurt a lot of cash strapped people who would love to see your area in the short term.
Bye bye Shellharbour, one less park that will be getting my money
No wonder free camping is taking over from van parks COST !
I’ve been there a couple of times and paid too much then. Any extra charge will have me and I suspect others spending my money elsewhere.
Just another one to avoid as far as we are concerned !
All these communities are crying out to have tourism so as they can recover and money grabbing councillors just see the opportunity to rip us off.
So…..IF we went to Shellharbour we would have less money to spend in town. Won’t be going.
I would go the othe way the fuller the park is the cheaper it gets .That way you will get to 100 % occupancy .ore often
Speak to a Commercial Lawyer … before you implement your plan.
Thank me later.
Funny isn’t it???
Covid and unable to travel outside of the Country, so let’s rip into a price hike and get every cent possible out of the travel boom from our hard working and retired Australians.
Hang your head in Shame !
This park is over priced even at off season. Recently stayed and was so windy and very ordinary waterfront site, not even grass, was dirt and crusher dust……for $64 a night….not good value and won’t be back
local councils need to take into count the money spent by visitors especially grey nomads
Being a regular here for many years and loving the park, regulars, village and the area etc. My gut feel is “it’s all about money”
as is the norm these days
Fees are based on 2 people per site/cabin
Do your sums on a young married couple with 2 or 3 kids over 5yo, at an extra $15 EACH per night = the “NRMA Family Parks” push
Throw in no overseas Covid travel = plenty metro families happy to pay
Get use to noisy kids, noisy scooters etc
Not an easy pill for us old school retirees who’ve worked hard and saved to enjoy these times