Tag: destination development

StrategyStrategy planning & execution

The World Bank builds country ownership in the National Tourism Strategy of Georgia

Tourism strategic planning is a comprehensive process for determining what a business or destination should become and the steps needed to achieve that goal. Many times when consultants are hired to create a strategic plan, the plan is at risk of remaining on the shelf and never being fully implemented. Why? Because those most affected by the tourism development plan may not have been fully integrated into the development of the strategy, and may not agree with the ideas. This is an ongoing issue the tourism industry faces, and a difficult one in which to find a solution.

The World Bank and the Georgia National Tourism Administration (GNTA) recognized this problem in the past. As part of the solution, they decided to develop a tourism strategy for the Caucasus nation. The consultants were asked not to lead the development of the strategy, but rather facilitate and guide the GNTA through the strategy development process to ensure it was collaborative and comprehensive as possible.

Between the years 2009 and 2013, Georgia’s international tourism arrivals grew over 300%. This was largely in part to its envious location at the crossroads of Europe, Asia and the Middle East, as well as increasing amounts of exposure in international press as a unique, exciting destination. Georgia is the birth place of wine, has an exquisite culinary tradition, a rich early Christian history, and an abundance of natural assets – including 7 national parks. These attributes – if developed practically – demonstrate a significant strength to the country’s tourism sector within the high-value European marketplace, while improving the industry’s ability to contribute economically.

To keep pace with the increasing demand for tourism in Georgia, additional financing for private and public investments will be necessary. “The joint World Bank and IFC collaboration [in Georgia] focuses on fostering entrepreneurship and access to finance, improving the investment climate, and developing Georgia’s tourism strategy that will determine how to improve the sector’s performance, align implementation priorities and enable job growth.” said Henry Kerali, World Bank Regional Director for the South Caucasus.

Georgia’s tourism development approach has generally been focused on regional advancements rather than a cohesive national-level plan. However, to maximize tourism’s national impact, a national strategy is required that takes into consideration large scale infrastructure and marketing activities that cannot be achieved by the regions alone.

 “The tourism sector currently provides nearly 20 percent of export earnings. The national tourism development strategy is, therefore, an instrument to take full advantage of Georgia’s potential and position it globally as a rich, diversified and high quality destination.” Ahmed Eiweida, Program Leader for Sustainable Development Programs in the South Caucasus.

Where is the Georgia National Tourism Administration now?

With the support of the World Bank, the GNTA produced a 2025 strategic plan that articulates the country’s current position, its vision for the future, and the key activities required in order to get there.
To build buy-in for the strategy, the GNTA led regional workshops, communicated with inter-government committees, issued press events and integrated action plans from other tourism-related sectors. The final document describes how the GNTA and its partners will deliver creative marketing to attract to higher income markets and statistical projections on how the GNTA will achieve a minimum of 5% growth rate over the next 10 years.

Where does Georgia National Tourism want to be in 2025?

The GNTA envisions the country as a premier, year-round, high quality tourism destination – a destination centered on its unique cultural and natural heritage, its world-class customer service, and timeless tradition of hospitality. The GNTA will be at the forefront of tourism competitiveness, through strategic investments in infrastructure, education, marketing, and the development of unique Georgian visitor experiences that appeal to high-value markets around the globe.

How does the GNTA lead the tourism industry to reach it’s vision?

Extensive stakeholder consultation resulted in the identification of 50 priority actions that have been grouped around the following 8 strategic objectives.

1.Respect, enhance, and protect Georgia’s natural and cultural heritage
2. Create unique and authentic visitor experiences centered on those natural and cultural assets
3. Enhance competitiveness, through delivery of world-class visitor services
4. Attract higher spending markets, through increased and more effective marketing and promotion
5. Expand and enhance Georgia’s ability to collect and analyze tourism data and measure industry performance
6. Enhance the business environment, to facilitate increased foreign and domestic investment
7. Expand public and private sector investment in the tourism sector
8. Build partnerships between government, industry, non-governmental organizations, and communities that will be needed to achieve all of the above

What will the challenges be?

Even though the GNTA has completed their strategic plan and found positive monetary incentive to start implementation; the national and regional tourism stakeholders must work as a team to have success. And most importantly, the 2025 strategic plan will only be effective if the GNTA continues to be committed and take ownership of this visionary strategic plan.

This blog post is from  www.solimarinternational.com/resources-page/blog/itemlist/tag/Destination%20Assessment

StrategyTourism marketing

How to Avoid Being Anytown, USA: Part Three

This article is written by Bill Baker, Chief Strategist at Total Destination Marketing, author, speaker, and blogger at “Small City Branding around the world”.

There are many reasons why even well-meaning cities can end up being bland and uninteresting. The most common causes are that they lack bold vision, belief in themselves and don’t have a focus on their distinctive points of difference. On many occasions it’s because they try to be all things to all people and lack the will to stand for one thing around which they can build a competitive advantage. They may also be neglecting their natural, heritage or cultural assets. To get beyond this state takes vision, some good old-fashioned guts and stop trying to please and appease local interest groups.

Great place brands thrive when there is a touch of tension derived from making a stand around a singular brand concept that resonates strongly with customers and that competitors can’t easily match. It may sound simple, but achieving this takes courage, leadership and imagination – and a great amount of selfless teamwork.

Dare to be Different

To avoid the Anytown, USA syndrome a city cannot present itself as all things to all people, or claim that they “have it all” or are “the center of it all”. These platitudes simply dilute any competitive edge and the city ends standing for nothing and being a weak imitation of other places.

We rarely conduct a Brand Retreat or focus group for a community when someone doesn’t say, “This is the best place to live, work and play”. Further, many residents advocate that it should be the city tagline.

While researching for “Destination Branding for Small Cities” I Googled the term, “a great place to live, work and play” and variations thereof. I found over 4 million results. So if you are considering joining the masses in building a community brand based on being “a great place to live, work and play”, you have simply identified an entry level ticket to play the game. There are tens of thousands of places in the USA and even more around the world that can match that claim. You simply have to dig deeper to uncover the heart and soul of your city and what will help it stand out and be valued.

It is easy for residents to overlook the appearance of their streets, the absence of trees, the poor lighting, trash and bad signage that may have evolved over the years. Visitors, however, are much less forgiving. When attention has been paid to the aesthetics of a place, including preserving or enhancing its natural qualities and environments, the city gains the reputation as a “special place” or a “fun place to hangout”, and this goes a long way toward supporting its brand identity.

City Image Boosts Economic Development

Tourism is now one of the key drivers of the American economy. It’s a leading employer in communities across the country, and a highly efficient revenue generator for state and local governments. States and cities are increasingly treating their travel promotion budgets like strategic investments that will be rewarded with more visitors, more jobs and higher tax revenues. But gaining these rewards means not being seen as Anytown, USA.

When city leaders recognize that there is a direct link between their city’s image and reputation and its attractiveness as a place to visit, live, and invest it is off to a good start. If a city isn’t attracting more income, talented people, new residents and investment then it is slowly dying.

A 2015 landmark study by Oxford Economics analyzed the tourism performance of more than 200 U.S. cities over 23 years and found widespread economic benefits from those actively promoting tourism. The study clearly showed a direct link between marketing expenditure of destination marketing organizations (DMOs) and long-term economic growth.

This post is from http://citybranding.typepad.com/

Marketing 3.0StrategyStrategy planning & executionTourism marketing

Disney “Commandments” = Great Learning for Cities and Downtowns

This article is written by Bill Baker, Chief Strategist at Total Destination Marketing, author, speaker, and blogger at “Small City Branding around the world”.

I once came across the informal guidelines that have inspired and guided generations of Disney Imagineers as they design and manage the Disney theme parks and guest experiences. These guidelines are based on the original insights that Walt Disney used when he built Disneyland in 1955.  But it was Marty Sklar who documented these principles and called them “Mickey’s Ten Commandments: Ten Things You Can’t Forget When You Design a Theme Park”. Sklar was one of the unsung heroes of Disney. He joined Disney one month before Disneyland opened, and until his retirement in 2009 directed the Imagineers using these Commandments.

The Commandments are very simple and the principles can be applied to many situations related to tourism development, branding and marketing, urban planning and visitor experience management.

  1. Know your audience – Don’t bore people, talk down to them, or lose them by assuming that they know what you know.
  2. Wear your guest’s shoes – Insist that designers, staff, and your board members experience your facility as visitors as often as possible.
  3. Organize the flow of people and ideas – Use good storytelling techniques, tell good stories not lectures, lay out your exhibit with a clear logic.
  4. Create a ‘weenie’ – Lead visitors from one area to another by creating visual magnets and giving visitors rewards for making the journey.
  5. Communicate with visual literacy – Make good use of all the non-verbal ways of communication – color, shape, form, texture.
  6. Avoid overload – Resist the temptation to tell too much, to have too many objects, don’t force people to swallow more than they can digest, try to stimulate and provide guidance to those who want more.
  7. Tell one story at a time – If you have a lot of information divide it into distinct, logical, organized stories. People can absorb and retain information more clearly if the path to the next concept is clear and logical.
  8. Avoid contradiction – Clear institutional identity helps give you the competitive edge. The public needs to know who you are and what differentiates you from other institutions they may have seen. (Yes, Walt Disney was advocating the principles of branding long before they were applied to places.)
  9. For every ounce of treatment, provide a ton of fun – How do you woo people from all other temptations? Give people plenty of opportunity to enjoy themselves by emphasizing ways that let them participate in the experience and by making your environment rich and appealing to all of the senses.
  10. Keep it up – Never underestimate the importance of cleanliness and routine maintenance,
    people expect to get a good show every time, people will comment more on a broken and dirty environment.

In suggesting Disney principles and techniques I am not advocating the “Disneyfication” of cities and downtowns. Make no mistake, Disney properties are theme parks. They are not city or community downtowns where residents live, work, study and play. However, Disney locations have raised best practice standards in visitor experience design and consequently provide excellent learning opportunities for ambitious communities.   The genius of Walt Disney never ceases to amaze me, along with lessons from his systems that we can apply to communities everywhere.

This post is from http://citybranding.typepad.com/city-branding/page/2/

Environmental sustainabilityStrategySustainabilityThird sector and social sustainability

Typical challenges in mature destinations (I)

Conviviality between locals and tourists. The most tourist crowded areas are sometimes also residential, and so there are usually many issues related to difficult conviviality between the local residents and the visitors, such as nightlife noise, tourists’ inappropriate behavior, or just a certain invasion of the public spaces and facilities, which are designed for the residents’ use only.

This may be solved with the development of other clusters to spread the tourism flows, and more specifically by regulating nightlife schedules in a way that from a certain time on nightlife entertainment is only allowed in specific areas with no residents, fully dedicated to leisure and entertainment. Further these and other rules concerning the tourists’ behavior should be well communicated through the tourist establishments and agents, and also enforced by local policemen controlling the problematic areas.

Finally, it is essential to control the concentration of accommodation facilities in the most demanded areas, not only by limiting the licenses for hotels and hostels, but also by limiting the allowance of Airbnb offers to a minimum, like 1 room per apartment and 1 apartment by owner, avoiding the proliferation of tourist apartments in the residential buildings. In accordance with the new clusters’ development, the demand for accommodation should be directed to the new clusters, also to help them grow and create demand for their businesses.

Congestion issues in popular areas. Closely related to the previous point, congestion issues are not only affecting the resident’s life, but also the tourists’ experience. Solving the issue for the tourist entails spreading the tourist interest hot spots and constraining visitors’ flows according to carrying capacity and bottle necks’ capacity.

First, the cluster development strategy should create new attractions in clusters other than the most crowded, even changing the location of some attractions from the crowded areas to the new cluster, as long as it is possible. This may be the case of museums or other cultural entertainment facilities. This may be done either through new cluster development or through reconverting existing clusters. Also the new accommodation facilities should be concentrated in the new tourism clusters, both to give them life and discharge the most popular areas from some of the tourism flows.

This new cluster development or reconversion should be complemented with the creation of tourism itineraries encouraging visitors to discover the destination off the beaten track, and the creation of charming transportation systems to move visitors from one place to another, encouraging them somehow to visit the new tourism clusters.

Excessive dominance of tourism businesses in the residential areas. Some residential areas popular among tourists have seen an increase in the percentage of tourism related businesses over the commercial mix, up to an extent that they lack some of the services they used to have close to their homes and many traditional businesses have had to close.

Being more profitable, some tourism businesses take the premises traditionally dedicated to services or products for the residents, up to the point where they barely exist or are too scarce according to the residents demand. The tourism business profitability allows them to pay higher rents than many residents’ oriented businesses and therefore it’s hard for these ones to keep their location. Such kind of business cannibalism obviously goes against the residents’ interest and so it is likely to put those residents against the tourism development.

Many solutions may be implemented to tackle this issue. A special tax for the tourism businesses could be fixed, so as to diminish their profitability after taxes and eventually lower the premises rental prices. The revenues from these taxes should be invested in helping the affected businesses to reconvert or start-up in another location. Another solution, combined with this one, could be the creation of micro-clusters for tourism businesses, allowing them to settle down in certain areas, but preventing them to settle in other areas reserved for the residents’ oriented businesses.

What other challenges are usual in mature destinations?

StrategySustainability

Clustering benefits for sustainability

Cluster based destinations may also have many benefits for sustainability. First, adequate cluster development planning makes it also easier to prevent the tourist flows from overflowing the carrying capacity of the environmentally fragile areas, or having negative impacts on the residents’ lives. The cluster based development plans assess the carrying capacity of all areas to avoid congestion and protect the environmentally fragile points. Then, as long as possible, the Plans should locate the attractions in a way that spreads out the visitors’ flows within the cluster, through controlled itineraries where the flow dimension is monitored and may be constrained. So long as the flows are predictable, it is also easier for the transport and other service operators to offer the adequate services that the tourists need.

Regarding environment sustainability, so long as this is not homogeneous throughout the destination territory, dividing it into clusters is necessary as a part of the process of identification of the critical issues to be managed to ensure sustainability, as these issues are to be different in each destination cluster. Therefore, clustering is a key strategy to manage the destination’s sustainability.

Furthermore, the concentration of activities in specific areas fosters a more efficient development of infrastructures for accessibility (roads, railways, airports, etc.), reducing the negative impacts in the environment to the minimum possible. This also makes the tourism development more cost-efficient for the government, and in some cases, this cost-efficiency affects directly or indirectly the local operators and the visitors.

Cluster based destinations are also more likely to be targeted for research purposes and are easy to study, so long as  they are clearly defined areas. This facilitates gaining knowledge about the key issues that affect the destination’s sustainability. Further, as a part of the cluster infrastructure, it is quite likely that the cluster attracts educational centers, and these attract researchers at the same time, so a virtuous circle is developed in this regard.

Finally, so long as the resources are taken care of, and the activity concentration reinforces competitiveness, this also enhances the economic viability of the tourism development over the long term, ensuring the economic sustainability of the destination.

Do you think of other clustering benefits for sustainability?

StrategyStrategy planning & execution

Cluster based competitive advantages

In line with the origins of cluster development, the combination and cooperation of many resources and operators may result in many types of competitive advantages:

Resource uniqueness: many clusters feature a unique collection of natural or cultural resources. Cases of cultural resources could be the Egyptian Pyramid cluster along the Nile River, or the Maya Pyramid cluster in Yucatan Peninsula. Examples of unique clusters based on natural heritage could be Iceland with its unique combination of volcanos, glaciers and northern lights, or the Tanzanian cluster with Mount Kilimanjaro and the Masai mara safaris.

Experience innovation: some clusters have, beyond competitive natural or cultural resources, a special deed for innovating experiences. Such is the case of Queenstown in New Zealand’s Southern Island, the most innovative destination for adventure tourism activities, where bungee jumping was invented, among many other crazy experiences. Developing unique experiences without unique resources requires building a culture of innovation.

Operators’ cooperation: the good coordination and cooperation among the cluster operators may also be the source of competitive advantage. The case of the Trois Vallées ski area, the largest ski-lift connected ski area in Europe illustrates this type of advantage. This dominion has no unique resources like other areas in the Alps –namely Zermatt-, but the connection between the three valleys offers the best mobility efficiency for skiers who want to enjoy the whole ski dominion, allowing them to enjoy all the ski areas spending the least possible time.

Differentiated product experience: clusters featuring one main product may develop their competitive advantage by creating a unique signature experience, adding an extra value that other cluster rivals do not offer. This is the case, for instance, of the Austrian Tirol for ski holidays, offering a unique “après-ski experience” consisting with traditional Tirolean pubs with local atmosphere and also a world class network of Wellness & Spa facilities. The Ski Resorts’ accommodation facilities are all in old villages, which also give character to the experience.

Dimension: some clusters base their competitiveness in offering the largest amount of facilities or resources for a specific kind of tourism activity. Such is the case of the Golf Cluster in Costa del Sol as a Winter Golf destination in Europe. On the other side of the world, the Australian Great Barrier Reef is the largest coral reef on earth, a paradise for divers. Another example could be Macau, featuring the largest offer of Casinos in Asia.

Variety: many tourists are not only motivated for one type of activity but prefer to enjoy many different experiences during their holidays. Clusters offering a large number of different attractions appeal to an increasing number of tourists. Such is the case of the Costa Brava, offering not only attractive beaches, but also first class gastronomy, unique cultural heritage sites, a Golf cluster, a protected area for diving, Casinos, facilities for skydiving, Wellness, etc.

Price: for certain products, price is sometimes a decisive factor to gain competitiveness, especially in the case of the most standardized ones. As it happens with clusters in other industries, the competition of many operators may result in a price advantage for the tourist, though this is not usually the main reason. This could be the case of Tunisian coast cluster competing with European beach destinations, the Red Sea cluster for diving, etc.

Do you think of other cluster based competitive advantages?