Built around an inlet on Lake Wakatipu, a long thin "S"-shaped lake, its neighbouring towns and districts include Arrowtown, Wanaka, Alexandra, and Cromwell. The nearest cities are Dunedin and Invercargill

A resort town, Queenstown is a centre for adventure tourism. Skiing, jet boating, bungy jumping, mountain biking and tramping are all strong promotional themes.

Another reason that people travel to Queenstown is because of its reputation as a wine and food centre. Neighbouring Arrowtown features excellent restaurants and bars, and Queenstown lies close to the centre of a small wine producing region. Pinot noir produced in this area fetches premium prices.

Along with Mount Ruapehu, Queenstown is a centre for snow sports in New Zealand, with people from all over the country and the rest of the world travelling to ski at the four main mountain skifields (Cardrona, Coronet Peak, The Remarkables and Treble Cone).