Wine Tourism Overview
One of the world’s fastest growing industries is “Wine Tourism”. What is it? How can we best benefit from it?
Firstly, let’s keep it simple. If tourism” is simply the provision of goods and services that attract tourists, then “wine tourism” is the same but has the added influence of wine. Wine tourism is not only associated with cellar door wineries, rather all business that are involved in the wine, tourism and associated industries with the wine region. This includes accommodation houses, tour operators, gift shops, national parks etc.
If the desired outcome of “wine tourism” is attracting more tourists then the real secret to success is having a clear understanding of the needs of your potential customers. Once this is clear you can focus on attracting tourists to our wine regions, improve business and target specific customers to your region.
Queensland has the advantage of already having an established tourism industry. Many wineries don’t appreciate how involved they are in the tourism industry. An area that most regions have identified as important to meeting customer expectations is the need to integrate wine with quality food. There is no question that food plays an important part in adding to a region’s ambience and unique character.
To obtain long-term success, each region needs to focus on really defining their point of differences, rather than trying to out perform another region. Identifying and consistently delivering a unique wine experience is what each region must strive to achieve. This fits well into both Tourism Queensland’s and the Department of State Development strategy to promote regional tourism. Global trends indicate that tourism is one of the most dynamic growth sectors and the demand for a quality experience is rising rapidly.
Irrespective of the way tourism is formally defined, it is first and foremost a ‘people industry’ involving the development and supply of a range of facilities, services and experiences to meet the needs, aspirations and expectations of visitors. Tourism is complex and diverse, involving many different forms of commerce. Most tourism businesses are part of the much larger services industry. At the local and regional level, the industry comprises tourism operators, businesses not directly involved in tourism, local and regional tourism organisations, community groups, residents and local government. By working together destinations have the capacity to attract visitors, satisfy their leisure needs and expectations, and generate economic and other benefits for the whole community.
Competition is fierce, especially from overseas destinations, for domestic and international travellers. Throughout Australia, many innovative products and experiences are being aggressively and professionally promoted offering tourists an ever-increasing range of options. In the highly competitive industry of today there is no room for a poorly planned or half-hearted approach.
Planning is essential for any community or region to develop a sustainable tourism industry and gain maximum return on assets and investment. The first step is the development of a comprehensive regional tourism development plan. It should take into account the product, resources and potential markets, as well as the needs and aspirations of stakeholders including local communities. The plan establishes a vision and strategy for long-term, sustainable tourism growth.
So why develop tourism?
The tourism industry is one of the fastest growing sectors in the Australian economy. Tourism provides communities with an opportunity to display their region’s distinct and unique cultural and natural assets while creating employment and diversifying the regional economy. A diverse economy is one that can cope with the changes experienced in our current environment.
Tourism is an industry like any other and requires sound planning and a firm commitment from the community to make it work. Like all economic activities the benefits of tourism may create social and environmental impacts which need to be managed through a partnership approach and appropriate planning at a local level.
For this reason tourism needs to work in partnership with the other sectors of a regional economy including primary industries, local government and community organisations to name a few. In this way tourism is integrated into the region’s future.
The Benefits of Tourism
In Queensland more people are employed in tourism than in agriculture, forestry, fishing and mining combined. Queensland Treasury estimates that close to 10 % of the workforce, or 135,000 people, are working in tourism. And the outlook is bright: international visitor numbers are expected to double over the next eight years (Tourism Forecasting Council, 1999). Latest figures also show that domestic visitor nights in Queensland have increased by more than 20% over the year to June 1999 (Bureau of Tourism Research, June Quarter 1999). Treasury recognises the importance of the industry to Queensland’s economy. The strength of the State’s services sector continues to be underpinned by tourism and related services which have contributed 7.9% of Gross State Product in 1998-99 (Queensland Treasury, Annual Economic Report 1998-99).
However, the benefits from tourism for local communities go well beyond the direct economic impacts:
Multiplier Effect
Visitors to an area purchase goods and services. This spending injects new dollars into the local economy. A percentage of each new dollar is spent in the community by the recipient and this is spent and re-spent, creating a ‘multiplier effect’. When more tourist dollars enter a local economy and a larger percentage is retained locally, the economic benefit is greater. So, the more a community is self-sufficient (i.e. the resources used by the visitor are produced wholly or substantially by the local community) the greater the ‘multiplier effect’.
Employment Opportunities
Tourism is a labour-intensive industry and creates many job opportunities, especially for young people who are then encouraged to stay in local communities. In the tourism, hospitality and recreation industries alone there are more than 50 categories of employment, and approximately 200 occupations. Job opportunities created by tourism also assist areas experiencing the consequences of structural change.
Diversification
Tourism can provide diversification, strengthening the local economy by making it less reliant on single traditional base, such as agriculture or mining which are subject to commodity price fluctuations. This is particularly significant for rural communities.
Improved Facilities for Residents
Growth in tourism results in new and expanded infrastructure, services and facilities which benefit residents, particularly in communities where these developments would otherwise not be viable. Tourism also generates improved financial viability for community-owned facilities such as clubs and sporting venues. In these ways, tourism creates tangible benefits including employment opportunities for the community.
Opportunities for Business
Tourism creates opportunities to establish new products, facilities and services, and expand existing businesses which would not otherwise be sustainable based on the resident population alone.
Preservation of the Environment, Culture and Heritage
Tourism highlights the need for proper management. Through effective policies, planning and research tourism can ensure that the environment, heritage and indigenous culture of an area is preserved. Interpretation of nature-based and heritage product is an important educational vehicle for promoting a better understanding of environmental and heritage values to a diverse population.
A Catalyst for Residential Development
In many places, visitors who initially travelled to particular areas have subsequently become residents, attracted by a better quality of life.
Improved Transport Services
Tourism can stimulate the establishment of new and improved transport services to and within a local area or region.
Educational Opportunities
Tourism can provide expanded opportunities for residents through the introduction of adult education and specialised training courses.
A Broader Social Outlook
Tourism provides the opportunity for residents to interact with other people and cultures and brings new ideas into the community.
The Need to Plan for Tourism
The approach to developing tourism in many areas is often characterised by an ad hoc approach. This approach is usually driven by pressures on the regional tourism organisation from tourism operators, the business community, and in some instances local government, to ‘get out and promote’. As long as the RTO is seen to be out and about promoting, this is perceived to be the answer to developing tourism.
A marketing campaign may very well produce results, but if the tourism infrastructure and product does not meet visitor expectations, then the response will be short lived. Visitors may travel to the area once but never return.
Effective promotion of a region must not only create a desire to visit the area; it must reflect the region’s unique and diverse character. For this reason promotional activities should reflect the region’s current product and be in keeping with the outcomes of a detailed planning phase.
Planning
Planning for tourism does not need to be a onerous task, it will in fact, focus the efforts on those activities which are most likely to have the best outcomes. It is also important to realise that in tourism, many have gone before you and that there are people who can help. The first step in developing a planned approach to tourism is to contact your local and regional tourism organisations and relevant State government agencies.
The solution lies in the preparation of a tourism development plan which establishes a clear path to follow and provides the basis for a marketing plan. This carefully planned approach ensures maximum effectiveness for every dollar invested.
In this context, it is essential that local and regional tourism plans consider other key planning documents such as the State and Federal tourism plans. These will establish the overall framework and structure for the future planning and development of tourism at a broader level. Regional planning exercises can adopt, where appropriate, a consistent approach to key tourism development issues.
While a tourism development plan is a fundamental requirement, it must be recognised that there is a need to work towards this goal over time. Furthermore, regional tourism organisations must initially obtain the necessary financial resources and professional assistance to be able to develop and implement the tourism plan. The Department of State Development can provide assistance and advice for initiating these studies. Private sector professional consulting firms can also assist with research, planning and strategy development at a local, shire and regional level.
A number of regions have prepared regional tourism development strategies and it is essential that councils take these strategies into account in the development of individual and localised tourism plans and policies.
Funding
Benchmarks for the financial support of regional tourism organisations vary according to factors like visitation levels, location, and tourism organisation activity. Local councils are encouraged to seek advice from Tourism Queensland as well as local government authorities in similar regions, to ascertain the appropriate level of financial and other support.
Tourism organisations operated on a voluntary basis in smaller communities should be recognised when considering funding. Financial support from local government to assist local organisations deal with visitor issues can often be the catalyst to develop and sustain business and community support. Financial support may be project and/or event-based, rather than annual funding.
What is a tourism development plan?
A tourism development plan is a joint industry, community and local government undertaking to provide a framework for:
the balanced development of tourism throughout the geographic area covered by the plan;
forward planning by individual sectors of the tourism industry, the community, the regional tourism organisation and local government; and
the preservation of the inherent character of the community and areas of environmental sensitivity;
It ensures the benefits of tourism flow to all sectors of the community and any disadvantages are minimised.
The tourism development plan should be a strategic document, a practical blueprint giving the direction and focus stakeholders need as a basis for decision-making and the development of more detailed individual and/or joint strategies and action programs.
The primary aims of a tourism development plan are:
To establish common objectives for the industry, the community and local government.
To develop strategies designed to achieve the common objectives including priorities and organisational roles.
To develop a time schedule for the implementation of the strategies.
To establish appropriate methods of monitoring progress and performance.
To provide an agreed framework for the sustainable development of regional tourism.
A well researched and prepared tourism development plan must provide the answers to nine key questions:
Who are the stakeholders?
What have we got to offer?
Who are our target markets?
Where are we at this point in time?
Where do we want to be in 12 months / three years / five years?
How do we get there?
When will it be done?
Who will do it?
How will we know if our efforts are achieving success?