Tourism 21 - A Strategic Business Plan 1997-2000

Introduction

Tourism 21 has been commissioned by the Minister for Tourism, the Tourism Council of Australia [Tasmania Branch] and Tourism Tasmania as the means to produce a single, comprehensive Strategic Business Plan to generate long term, sustainable tourism growth over a ten year period. The Plan sets targets to be achieved by the year 2006 and provides the direction and blue-print for action over the next three years.

Industry Overview

There are basic characteristics of the Tasmanian tourism industry and its markets that underpin the strategies addressed:

· Tasmania has a small market share in both the domestic and international tourism markets.

· Domestic Australian markets represent the core source of visitors [405,000 visitors] ¹ compared to overseas markets [75,000 visitors] ².

· Tasmania's tourism industry is seasonal, has few large operators and is dependent on air and sea travel.

· The low critical mass of holiday travellers, and the seasonal nature of tourism, severely limits the industry's capacity to generate the yields that will sustain business or justify investing in refurbishing infrastructure, expanding or developing new product.

Tourism as a Growth Industry

The Plan identifies 1300 businesses whose principal activity is servicing visitors and of which 70% employ five or less people. ³

Tourism-related employment in Tasmania grew by 4.9% in the six years to 1995-96. In the same period, retail employment grew by 2.9%, mining fell 11.6%, manufacturing fell 4% and agriculture, forestry and fishing fell 1.1%. ⁴

In recent years, the value of tourism expenditure has been growing at an average 4% per annum in real terms. In 1994 dollars, tourism expenditure by interstate and overseas visitors to Tasmania was $452m ⁵ and by 1996 it was $568m ⁶.

As a comparison, manufacturing contributed $1,242 million to Tasmania's Gross State Product [GSP] in 1993-94, while the combined contribution of agriculture, forestry and fishing was $473 million and that by mining was $137 million ⁷.

Tourism 21 - A Shared Vision

The Tourism 21 vision is to ensure tourism achieves its full potential as a strategic growth industry and becomes a cornerstone of the Tasmanian economy generating income, employment and investment for the benefit of all Tasmanians.

The ten year targets are to:

• double tourism expenditure to more than $1 billion in real terms [1996 dollars]; and

• achieve a minimum of 23,000 jobs for Tasmanians from tourism and related employment.

Strategic Direction to 2000

Tourism 21 has concluded success is dependent upon three critical issues:

1. A Market-Led Industry

2. Sustainable Investment in Quality and Export Ready Experiences and Services

3. An Integrated Industry and Leadership Structure and Strategic Partnerships

Issue 1 - A Market Led Industry

The goal is to re-focus the industry over the next three years to become market-led by researching and targeting the market place and matching Tasmania's competitive strengths and export ready products with the needs and desires of potential customers. This will be achieved through the implementation of strategies to:

· Build Tasmania as the brand and destination

· Research and build Tasmania's markets

· Develop integrated marketing and effective distribution networks

Issue 2 - Sustainable Investment in Quality Export Ready Experiences and Services

The goal is to develop quality, export ready experiences , products and services for customers. This will be achieved through the implementation of strategies to:

· Develop best practice and quality assurance

· Develop industry training and education

· Create an environment for sustainable investment

· Build community support for tourism

Issue 3 - Integrated Industry Structure and Strategic Partnerships

The goal is to have an integrated tourism industry structure which clarifies roles and responsibilities of the key stakeholders and the partnerships that are needed to achieve the efficient and effective implementation of the strategies and actions in the Strategic Business Plan. This will be achieved through the implementation of strategies to:

· Develop a strong leadership structure

· Clarify the roles of other stakeholders

· Develop strategic partnerships

Conclusion

The Tourism 21 vision is to ensure tourism achieves its full potential as a strategic growth industry and becomes a cornerstone of the Tasmanian economy generating income, employment and investment for the benefit of all Tasmanians.

Tourism has the potential to become one of the top two export income earning and employment sectors of the Tasmanian economy over the next ten years. Tourism 21 establishes targets for Tasmania's tourism industry and details strategies that will ensure that the industry achieves its potential for the benefit of all Tasmanians.

Sources:

¹ Tasmanian Visitor Survey, 1994
² ibid
³ Tasmanian Tourism Operators Survey, 1996
⁴ ABS - The Labour Force 6302.0
⁵ Tasmanian Visitor Survey, 1994
⁶ Tasmanian Visitor Survey, 1996
⁷ ABS Catalogue 5220.0