Businesses adjust as students leave

You could almost hear a pin drop in North Dunedin this time of year as thousands of tertiary students head home for the summer break.

Students provide huge economic benefits to the city's local businesses during the year, but many leave after exams in November and December.

But businesses have ways to combat this large loss of customers and workers, Otago Chamber of Commerce chief executive Dougal McGowan says.

About 20,600 students enrolled at the University of Otago this year, more than 2300 at Otago Polytechnic and 160 equivalent full-time students at Aoraki Polytechnic.

A University of Otago spokesman said about 82% of students in their first year of university study came from outside the region.

Mr McGowan said retail was hit hardest but the Christmas rush helped offset that effect.

''That includes food and beverage as people have work functions and Christmas parties,'' he said. Cruise ships visiting the city during summer also weighed in to fill the gap.

More than 65 cruise ships carrying more than 134,000 passengers were scheduled to visit Dunedin between this month and April 2016, according to the Dunedin City Council website.

''The university and polytechnics are hugely vital to the city's economy - they are really big players and really valuable for the city.

''Businesses now have adjusted to those adaptations.''

Hospitality New Zealand Otago branch president Mark Scully said as North Dunedin emptied of students, more of the general population tended to visit its cafes and restaurants, although the area was not as heavily student-populated as it once was.

The number of employees available to hospitality businesses also took a hit during summer.

Mr Scully's restaurant, the Speight's Ale House, usually employed about 20 students part-time during the year.

''We lose about half of those over summer but the ones who stay are looking for full-time work so it balances out.

''Those who choose to stay are rewarded with a decent holiday job.''

Starters Bar owner Jane Bradshaw said her roster was heavily student-based and many left for the summer.

''We have more than 40 students who work for us and I'd say there's about five in Dunedin still,'' Mrs Bradshaw said.

''We just make do with the ones we have got because we like to look after them.''

The loss of business was partly outweighed by hosting functions, she said.

''You just have to try and market yourself to different people.''

- by David Beck 

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