H.—2

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a result of such advertising are prone to compare the conditions offered by New Zealand in regard to land settlement with theirs before finally deciding which country is to be their future home. "Tourist Traffic.—Out tourist file shows that during the past season we completed 152 detailed itineraries for parties ranging from one to six persons, in addition to thirty of the ' twenty-days ' itinerary, which were typed in duplicate and given to persons who had decided on making the tour. This does not include the school-teachers, who were supplied with a detailed itinerary on the back of the circular letter sent them. That they took advantage of the trip in large numbers is shown by the fact that one ship alone —the " Marama " (leaving Melbourne on the 16th December —carried no less than eighty teachers ; a large number of others went on other dates (some via Sydney). This represents, of course, only a percentage of the total number of tourists who passed through our hands; but, computing at a yim-v low estimate the amount which would -be spent in the Dominion by those we actually know of, it would represent a sum exceeding .£20,000 as our quota towards the tourist traffic. The southern portion of the South Island being nearest to Victoria, and containing such wonderful mountain and lake scenery, every opportunity has been taken of directing attention to the glories within reach. Most Australians know that New Zealand contains unrivalled wonders, needing little elaboration, but they do not trouble to ascertain what can be accomplished in a given time and at a given price. If more stress be laid on these points the better the results should be. An instance of this was the good returns obtained from the ' Twenty-days for .£2O trip ' to the Southern Lakes, which I did my best to exploit this season. A definite announcement like this holds the attention more than elaborate general advertisements. " Lectures. —I have taken every opportunity to arrange with literary and other societies for illustrated lectures, and am pleased to report that these have proved eminently successful; they have been given in as many suburbs as possible. On every occasion I have been well received, and speakers have expressed themselves as being charmed with the wonders and beauties of our country, in nearly every instance indicating their intention of visiting the Dominion when occasion oilers. Besides my own lectures, 1 have loaned a large assortment of lantern-slides to those making application, and reports that have readied me show that they have been made good use of. " Land Settlement. —Information on this important subject has been disseminated. Letters of introduction to the bands Department have been given to numbers of intending settlers and their dependants from all parts of the Empire. These have taken considerable capital. Naturally, 1 have been unable to obtain even the approximate total, but my monthly reports show specific sums aggregating £17,058 which I know of. "Leading hotels, clubs, steamers, and waiting-rooms have been supplied with itineraries and other illustrated matter, and photographs of New Zealand industries and scenery have been given to State schools throughout Victoria, on condition that they were suitably framed and glazed and hung on the walls. Illustrations taken from the weekly papers have been displayed in front of the agency, and have always attracted interested crowds. These methods, though small in themselves, have proved really effective, considering the small outlay involved." Advertising. The advertising carried on by the Department during the past year has been on the same lines as in previous years, with the exception that greater attention has been paid to the securing of kinematograph pictures. A number of these have been sent to the High Commissioner in Loudon; also to the Melbourne office, where arrangements have been made for their exhibition. In my opinion it will be possible to get better results from the expenditure on advertising by somewhat varying the methods which have been adopted in the past in the preparation and publishing of literature. 1 consider that the publications which have been issued are for the most part too bulky and expensive, both in printing and distribution, for effective circulation. The issue of publications will be greatly simplified in the future by the decision which has been come to of eliminating reference to immigration matters from this Department's work. In my opinion the best advertising method to adopt to increase the tourist traffic is to print small attractive pamphlets which are not expensive to produce nor costly to distribute. By this means a very much greater number of people can be reached at less cost. Another form of advertising which appeals to me greatly is that of inserting interesting illustrated articles in suitable magazines. A good deal of this class of advertising has already been done by the Department, with excellent results. Pamphlets. The following new pamphlets were published during the year: "New Zealand Tourist and Health Resorts, 10,000; " Geyserland," 20,000; "The Marlborough Sounds and Nelson," 3,000. The following were republished: " New Zealand in a Nutshell," 5,000; " New Zealand," 5,000; "Average Prices of Produce," 1,000; "Fifty Years' Progress in New Zealand," 10,000; " Itinerary of Travel in New Zealand," 21,000. Pamphlets and illustrated newspapers to the number of 91,824 were circulated during the year in New Zealand and abroad, also 45,924 post-cards. In addition to the above, 1,000 copies of Cowan's " New Zealand " (souvenir books) were distributed to men of the American fleet while visiting Auckland. 10,037 photographs have been issued during the year, for the purpose of illustrating newspaper articles published abroad, and for exhibiting in shipping offices, steamer-saloons, and other places where they will lie brought Under the notice of travellers. 3,331 lantern-slides have also been issued by the Department for use in connection with lectures delivered in different parts. Exhibitions. The exhibits sent by this Department to the Franco-British Exhibition were of a very comprehensive and interesting character, and included a large number of deer, boar, and goat heads. A splendid display of mounted trout was also made, there being twenty specimens, including Loch