Survey Outcomes AlgalBloom:tourismbusinessimpact(October2025)
This survey aimed to understand the ongoing impact of the Algal Bloom on tourism businesses in South Australia, with questions about current and future impact.
The survey was open Monday 27 October to Thursday 30 October. 78 responses were received.
Overview of key findings
• Material but uneven impacts: On average, businesses report a 37% current downturn and anticipate 47% (average) over summer; however, impacts vary widely by region, product type, and customer mix. The estimated financial impact of the bloom will increase over the warmer months to an average of $50,500, up from a current average of $36,000.
• Perception is a major driver: Misinformation and generalised messaging about the bloom appear to depress demand even for those locations where conditions are currently good, or there is no history of the bloom.
• Fishing bag limits effects are mixed: Many marine oriented and fishing-adjacent operators (ie retail, caravan parks) expect negative flow-on effects from bag-limit changes. Others with low fishing market dependence expect little to no effect.
• Relief and incentives help at the margin: Voucher programs are repeatedly cited as useful demand stimulus. Grant eligibility rules limit access for some smaller or newer operators.
Current impact: August to October 2025
Downturn: Average reported downturn 37% on same period last year, with results ranging from 0% to 100%. 56% of respondents have experienced a downturn of 30% or greater.
Estimated financial loss: Most have recorded losses in lower to mid ranges, with 24% experiencing losses of up to $5,000, 33% experiencing losses in the $6,000 -$30,000 range and 24% $31,000 - $60,000. One respondent has experienced a loss in the $300,000 - $350,000 range, while one has reported a financial loss in that exceeds $1 million.
Algal Bloom Grant
89% have not applied for a Small Business Support Grant. Reasons for ‘no’ frequently mention ineligibility (eg GST registration, new businesses unable to provide comparative data, thresholds), process/administration effort or not meeting the 30% downturn requirement.
A few reported they are either planning to apply in coming months or have received fisheries/aquaculture support.
p 08 8231 3085| e info@ticsa.com.au
TiCSA: Tourism Industry Council South Australia
5 Pirie Street, Adelaide South Australia 5000 GPO Box 2071, Adelaide South Australia 5001 | www.ticsa.com.au | www.trusttheticksa.com.au ABN. 64 992 585 804
Future Impact: November 2025 – April 2026
60% of businesses that take bookings are receiving cancellations.
The predicted downturn and financial impact of cancellations is expected to exceed downturn and financial loss experienced to date.
62% of businesses predict this downturn will be 30% or greater when compared to the same period last year. While the average predicted downturn is 47%, 40% of businesses are preparing for a downturn of at least 70%.
For 40% of businesses the financial impact will be at least $50,0000, with 11% estimating a hit of $100,000 or more. One larger, beachside accommodation has forecast a financial impact of $500,000.
Recreational fishing bag limits
The survey asked respondents to indicate if the new bag limits for recreational fishing will have an impact on their business. While a number of respondents indicated that the fishing market is not a significant driver for their business, 41% of respondents believe they will be impacted by the policy. Redistribution of visitors to areas with looser limits and value-for-money concerns for casual/holiday fishers were some of the reasons cited for impact.
Guest/Customer perception challenges
Tourism businesses are being challenged by guest and customer perceptions and questions about the algal bloom. The top concerns of guests/visitors are:
• Safety for swimming/in-water activities (54%)
• Negative health impacts (49%)
• Walking on/along the beach (35%)
• Not good fishing (31%)
• No other reason to visit beyond beach/water (25%)
• Distress about marine life (24%)
• Smell/visual amenity (11%) and boating enjoyment (8%) were among concern less commonly raised.
• 6% reported no concerns.
Additional insights
We invited respondents to share additional information with us about the how the algal bloom is impacting their business. The key themes of this feedback:
Perception vs. reality: Many report reputational damage from media/social media and state-wide generalisations, including confusion when their local waters are clear; some cite signage/apps giving mixed signals (eg PIRSA signs, Beachsafe app).
p 08 8231 3085| e info@ticsa.com.au
TiCSA: Tourism Industry Council South Australia
5 Pirie Street, Adelaide South Australia 5000 GPO Box 2071, Adelaide South Australia 5001 | www.ticsa.com.au | www.trusttheticksa.com.au ABN. 64 992 585 804
Regional variation: A number of unaffected or less affected coastal towns will experience cancellations due to the state-wide narrative. A few operators report good conditions or even strong/stable bookings. Demand drivers: Several note school/tour cancellations and multiday coastal tours with zero bookings, others highlight cost-of-living compounding effects.
Support measures: Multiple comments say “Coast is Calling” vouchers are helpful in backfilling demand, and stabilising bookings.
Respondent region & business type
Region breakdown: Most responses came from the Fleurieu Peninsula (38%), followed by Yorke Peninsula (13%), Eyre Peninsula (12%), and Limestone Coast (12%); others spread across Adelaide, Kangaroo Island, Murray River Lakes & Coorong and Southern Flinders.
Business type
p 08 8231 3085| e info@ticsa.com.au
TiCSA: Tourism Industry Council South Australia
5 Pirie Street, Adelaide South Australia 5000 GPO Box 2071, Adelaide South Australia 5001 | www.ticsa.com.au | www.trusttheticksa.com.au
ABN. 64 992 585 804