Australia’s holiday and caravan park revenue has reportedly lifted 20% above pre-pandemic levels in the first five months of 2022.,
Quoting new figures from accounting firm BDO and the Caravan Industry Association, the Australian Financial Review reports that all states and territories – apart from the NT market – recorded higher revenue over the first five months of 2022, compared with pre-pandemic 2019.
This came as holiday parks enjoyed a surge in popularity following the traumas of bushfires followed by the Covid pandemic.
The budget accommodation sector reportedly generated $1.12 billion between January and May, a 4% increase on 2021 and substantially higher than the $928 million generated over the first five months of 2019.
There are still plenty of people on the move.
The Australian Financial Review reports that BDO director of business services, Angus Strachan, said the strong demand was a result of holidaymakers looking to escape from the city following numerous lockdowns over the past two years.
“It’s a trend that started after the first lockdowns, with early adopters getting out into the regions, and that’s been followed by more people wanting to head out to nature as COVID-fatigue set in,” Mr Strachan said.
“People have been exposed to holiday parks for the first time over the last two years and that has resulted in some stickiness leading into this year.”
However, higher interest rates and inflationary pressures, especially the cost of petrol, could hit domestic demand over the coming months.
“High fuel prices are likely to turn a lot of caravanners off when they are driving these big, heavy caravans around,” Mr Strachan told the AFR. “There’s still strong demand for travel, but it’s not at the same level of six months ago.”
Mr Strachan said he was hopeful the return of international travellers would balance out the expected drop in domestic demand for holiday parks which ‘we can’t foresee remaining at the same level as we’ve seen over the last couple of years’.
Sean Jenner, the chief executive of Big4 Holiday Parks, said that when times got tough, holiday parks were still an affordable and ‘good value’ option.
“Forward bookings for the next 12 months are looking very positive. There is a good level of confidence in the sector,” Mr Jenner told The Australian Financial Review. “There may be a slowdown at some point, due to cost of living increases, but we have not yet seen that.”
Yes Angus Strachan, you are dead right… High fuel prices = Caravan holiday NO … Lower fuel prices (a lot) = Caravan holiday YES
No longer can we afford expensive park fees and high fuel prices. With cheap deals on cruises and overseas destinations we will take our tourist dollars elsewhere.
Most caravans sold these days seem to be set up mainly for off grid camping so staying in caravan parks is an optional additional expense when traveling.
Higher fuel prices will encourage more travelers to ”free camp”.
Apps like Wikicamps provide all the information travelers need to find & enjoy locations away from expensive caravan parks.
As a caravan park owner, consider the cost of a night in a caravan park say $30 to $50 versus a tank of fuel $150 to $200. Think about spending longer in a park and reduce the daily fuel costs. Caravan parks are often used by free campers to top up water and charge batteries and devices. We have no problem with that. What would happen if caravan parks arent there for that service. Whilst things are picking up we are nowhere near precovid occupancy.
Yes $30 – $35 per night is affordable $50 – $90+ is not, I’m not sure where your park is located however most parks are now charging the later which is unaffordable by a lot of full timers.
Please explain why all the caravan parks on the east coast have 1/4 to 1/3 occupancy at 40 odd dollars a day . If you reduced your prices you would have higher occupancy . I just don’t get it. We are grey nomads 5 1/2 years. We don’t stay at big 4 or ingenia or chain caravan parks. They are too expensive. We are set up for free camping but prefer to support inexpensive caravan parks and showgrounds.
Would two people staying a night really cost you $30 to $50 a night. I dont think so! They may use your washing machine (and pay for it) or even use the one in the van, but water and electicity would not be that dear. They may shower and use electricity to heat the water and shower, electricity to cook a meal,( or use their gas ) and maybe even turn on the heater and TV in the van, but you still would make a profit. I realize your have outgoings but other parks manage on $20 to $25 a night, so why are you so dear.? I know you want to make a profit, but if you lowered your prices I am sure you would get far more clients and your reputation would soon spread. We travellers do communicate and spread the word on good caravan parks. Word of mouth is a valuable resource. Maybe think out it. And remember Daylight Saving reduces your electricity costs as well, outside having happy hour, and maybe using their gas BBQ”s, so less electricity.
we have just come home from a month in the van, staying at caravan parks all the way. With fuel at $150/day then park fees on top of that, it makes it around $200 /day. Most parks inland were at around $35- $50/day, then coastal around $45 – $80/day, it makes it an expensive holiday. We had no trouble finding a park to accomodate us.
High fuel prices and ridiiculous site fees in Caravan parks are certainly putting off a number of grey nomads and making it far more appealing for free camping. A number of fellow caravanners have sold their vans due to price increases and the number of younger travellers getting into parks and not considering their neighbours with noise levels
Yes I believe the inflationary costs of caravan travel ( tow vehicles, caravans, fuel, caravan park costs … ), and the increase in overseas travel options at discounted travel prices mean there will be more people selling their vans and tow vehicles at premium prices than buying them. The trend I am seeing in sales is more high top end, fully off grid caravans and camper setups.
A lot of caravan parks are now shooting them selves in the foot, some parks are now charging prices that are now at ridiculous proportion especially for full time travelers, unfortunately with fuel costs, caravan parks along the eastern coast are now pricing themselves out of reach for a lot grey nomads, I can understand price’s need adjustment with electricity prices rising, however mostly is seems to be sheer greed.
I’d be interested to know just how c/parks electricity and water bills compare tompre covid . An ensure in a van would use a lot less water for showering and power to heat small amounts of water
Plus a lot of parks aren’t cleaning amenities to the same extent. Less labour costs.
We have a 6 yr old Van with a Swift 500 series Cook Top, no oven. I have a LPG Gas detector which I purchased from Jaycar Electronics. Regardless of the current issue which has not been resolved yet by Swift. I check my Caravan Gas appliances every year for potential gas leaks because we tow them out on some rough roads some times. Copper gas connection pipes are not real good at absorbing “Shock” loading and over time can work loose. Lpg is heavier than air, thus forms in pockets in lower cavities etc. I also check all the connections that allow spanner access under the cooker to make sure they haven’t worked loose in travel. And as a final check with the Has Cylinders turned on at front of Van, check all fittings for leaks under stove with the Gas detector. If all is ok, then I proceed to use my Appliance within the safe operation practices published by the Manufacturer. Hope this helps.
My worry for you would be that in the unlikely event of fire or explosion, you will not be covered by insurance as we have been told not to use the Swift 500 series stoves until the matter is sorted.
The likes of big 4 and others are driving elderly and young families out of what was a affordable holiday. How can they claim good value for well over $100. A night or $200a night for a family. That’s why we are looking for more alternatives.
i’m up in Hervey bay, lots of tourists here, petrol price cost pain is a myth. Coming from Melbourne to Qld I had zero issues getting fuel, no shortages anywhere along our route up north.As long as you can afford it you can get it.Caravan park here at Hervey bay 96% full.90% pensioners here, hardly and kids.Mostly land cruisers and large vans.
I saw on the abc news that the east cost is chockers….
No one cares about fuel prices, it is what it is…
The reason park turnover has gone up is not only to do with increasing number of travellers, it is the outlandish tariffs that parks are charging. An absolute joke!!!!
The Caravan parks Revenue is surging like the price of fuel in this Country. If this is not price gouging than I don’t know what is.!!!!
Yes $30 – $35 per night is affordable $50 – $90+ is not, however most parks are now charging the later which is over kill and this is turning the Grey Nomads away, along with high fuel prices. Free camping or staying at RV parks are more affordable.
We understand that caravan parks have had 2 or more years of tough going. But there has been a large increase in park fees. For most grey nomads it is getting far too expensive, coupled with high fuel costs. $50 a night? No way. Now we do research….free camp, showgrounds, out of large town parks etc. Don’t treat us like fools it will come back to bite you.
What is camping all about? an alternative travelling?, beeing out in nature, bring my bed, tent, van, caravan on a camp site / or today we call it “caravan park” I remember paying 3 Dolars to put a tent up and the park had a toilet and a water supply. Today we pay up to 200 Dolars for more or less the same thing. In some cases we have to help finance jumping cushons gaming rooms and play grounds. So, 1 day camping out there can easaly cost today 2022, 200$ and up to 500$ all up.
Keep in mind, while i pay my camp ground, at the same time i also pay my empty bed at home. Today it requires mostly pre bookings, may be it will be over filled, mostly disapointing with very tight spaces and on top now, extremely expensive. No, no more, i had enough. No wunder so many campers avoid caravan parks and go free camping.
Alternatively i could see camp grounds functioning at show grounds or parks, managed by volonteer care takers and priced for what makes it worth going camping 10-20$. There are a view around proofing that this works. Caravan park businesses will self regulate theire occupancy beeing full in peek school holydays and empty for a big portion of the year because for a long term traveller they are simply too expensive.
No more camping for me, it is simply no more fun this way.
I rather have a nice day out locally with my motor bike, have a nice meal somewhere and feel happyer with a much less empty wallet.