New tourism funding targets South Island towns beyond the usual hotspots
Thursday, 15 January 2026
The Government has committed to another $459,250 funding to get more visitors - namely Australians - holidaying in the lower South Island.
The fresh funding is the second round of support for “The Southern Way” campaign, drawn from the Regional Tourism Boost Fund to help raise the profile of South Island cities beyond the usual hotspots.
Tourism and hospitality minister Louise Upston announced the funding on Thursday, saying it would help to put the region’s unique experiences on the map for Australian visitors, and promote travel to the destination outside of the peak season.
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Roslyne McKechnie, museum curator and general manager of the South Otago Museum in Balclutha, said any campaign or investment to encourage visitors to visit further South was a welcome move.
While she had never heard of The Southern Way initiative, she said regional businesses and tourism operators outside the South Island’s usual hotspots needed the support.
McKechnie said she would like to see more international visitors to the museum, including Australians. The museum had just 20 Australians visit in the 2023/24 financial year and 27 in the 2024/2025 financial year.
South Otago Museum typically received between 600 and 800 visitors per year.
She said that Queenstown and other popular winter destinations were usually the go‑to spots, but that it would be good to encourage visitors to explore smaller places and travel around the country while they were here.
Running from April to June, The Southern Way campaign brings together tourism agencies Great South, Tourism Waitaki, Enterprise Dunedin, Clutha Development, Tourism Central Otago, Destination Queenstown, and Lake Wanaka Tourism to encourage visitors to take advantage of time-limited travel and accommodation deals, through themed itineraries and packages.
Air New Zealand and the Southern Airport Alliance were previously part of the campaign, which has won recognition in the New Zealand Tourism Awards.
“This is a fantastic example of what can be achieved when our regions work together,” Upton said.
The initiative was supporting local businesses, creating jobs, and “sharing the benefits of tourism across the South”.
“By working together, our regions can offer visitors something truly special, while boosting our economy and strengthening our communities.”
Tourism Central Otago head of destination Anthony Longman previously said the campaign had broken new ground by encouraging visitors to fly into one southern airport and depart from another.
Great South tourism and events general manager Mark Frood has previously described The Southern Way as more than a campaign. “It’s a movement that proves collaboration is our greatest asset. Together, we’re building a resilient, future-focused visitor economy that celebrates the richness of our landscapes, communities, and shared ambition.”
Frood has been contact for further comment.
The Southern Way campaign is one of five initiatives supported in this$3.69 million funding round - aiming to bring more international visitors to regional New Zealand during autumn and early winter.
About $10m in the Regional Tourism Boost fund has been allocated, supporting nine campaigns across New Zealand’s regions. It is part of the Government’s $70m Major Events and Tourism Package, designed to support the recovery and growth of the tourism sector.