Qantas (ASX: QAN) is taking Tasmanian tourism by storm. The company announced today that it has entered into a $4.35 million joint marketing agreement with the Tasmanian government to put the island state on the top of tourists' "To Do" list.
In addition to appealing to Aussies' sense of adventure, Qantas will market the state's offerings to potential visitors from Britain, Hong Kong, and Singapore. Tasmania is the latest state to add its name to a Qantas tourism agreement. The airline has already penned deals with Western Australia, New South Wales, the Northern Territory, and Queensland, putting its total joint investments at over $60 million for a three-year period.
Foolish takeaway
Tourism deals can be mutually beneficial, and Qantas's joint agreements align its own goal of more travellers with Tasmania's goal of more tourists. Virgin Australia (ASX: VAH) has taken a different tack, and announced today that it would extend its AFL sponsorship for an additional five years on top of the three years already completed. Virgin CEO John Borghetti noted that his company has continued to launch "innovative initiatives" to make the most of its sponsorship, alluding to "tens of thousands" of seats filled by flying AFL fans.
From sports to states, the direct benefit from sponsorships is often difficult to quantify. For Qantas, a $4.3 million tourism deal is small change, and allows the airline to continue its state-by-state tourism takeover. Even at $60 million over three years, the airline has further affirmed its status as "The Australian Airline," a move that could become even more lucrative when combined with its expanded Asia footprint and Oz's serious attack on the country's expensive dollar.
Qantas is setting itself up for growth, but some companies are already at the stage of soaring sustainable sales.The Australian Financial Review says "good quality Australian shares that have a long history of paying dividends are a real alternative to a term deposit." Get "3 Stocks for the Great Dividend Boom" in our special FREE report. Click here now to find out the names, stock symbols, and full research for our three favourite income ideas, all completely free!
More reading
Motley Fool contributor Justin Loiseau has no position in any stocks mentioned in this article. You can follow him on Twitter @TMFJLo.
