ARTN - News archive 3 (May 2008)

Welcome to the ARTN archived news pages. Here you will find news from the ARTN covering the past twelve months. If you are looking for the latest news please click here.

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News

• The fight to keep the interest in tourism
• Rain for the labour drought
• National Landscapes Update by Bruce Leaver, Parks Australia
• HAVE YOU SEEN …Tourism Research Australia’s reports on domestic tourism in Australia
• 2008 Australian Regional Tourism Convention

 

 

The fight to keep the interest in tourism

 

Experts Predict High Interest Rates Are Here To Stay …But What Does This Mean For Tourism?

BIS Shrapnel has released a report forecasting inflation to remain above three per cent for the rest of 2008, through 2009 and into 2010.

 

BIS Shrapnel’s Long Term Forecasts, February 2008 Update states inflation will continue to be an issue and says the Reserve Bank of Australia (RBA) will be forced to increase interest rates to arrest growth.
Suggesting the "days of low interest rates are over", the BIS Shrapnel report says despite growth slowing initially, inflation will remain above 3 per cent for the next three years, and stay at about 3per cent for the next decade - meaning the central bank will be forced to increase interest rates.


So, what does this mean for tourism? Increased costs for tourism organisations? Will high interest rates dampen consumer demand?


VTIC Chairman Jeremy Johnson says "The interest rate rise will also put further upward pressure on the already historically high Australian dollar, compounding the effect of the current exchange rate on inward-bound tourism.


"Apart from reducing operators’ profit margins and opportunities to borrow for further investment, there are likely to be reductions in discretionary spending among consumers, who will be less likely to spend on a meal or a coffee, a night in a city hotel or a drive to locations in regional Victoria” says Jeremy.
So what is the best way to help tourism businesses through this period of high interest and slow growth? Jeremy Johnson suggests State and Federal Governments have a role in assisting the industry through this period by “underpinning transport and tourism infrastructure, reducing business taxes and charges, [and] coordinating targeted marketing activity”

 



 

link to BIS Shrapnel Report

 

 

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Rain for the labour drought

 

Staff turnover and the labour skills shortage are some of the greatest challenges facing tourism in Australia, and one of the greatest costs to travel businesses. Southern Cross University (SCU) is helping to find solutions to the crisis with an internship program that benefits students, whilst meeting the needs of business.

 

Unlike many internship programs, SCU’s Tourism Management degrees include a five month industry placement as a core component in a student’s final semester. The real advantage of this program is the contribution final year tourism degree candidates can make to businesses within this time, and the experience a five month placement provides for students. Says Janette Davie, General Manager of Pinpoint Travel Group, “It has always been difficult to foster and support young students, and to fit their special training requirements into the longer-term needs of a steadily growing business, but the Southern Cross University internship program does that beautifully.” Janette goes on to comment, “In five months we can expose interns to a variety of roles, so they gain a very good understanding of how the business works and how they might best fit in.”

Pinpoint Travel Group has taken 12 Southern Cross University interns in recent years, offering permanent employment to all but one of them. “The students don’t need to return to university at the end of the year, and this makes for a seamless transition into full-time employment,” says Janette, “It’s a perfect fit if you want to capitalise on the training you have devoted to them.”

“The students that I have employed have been terrific. They were paid junior salaries for the duration of their internship, graduating to a higher salary once retained. As Southern Cross University is a regional university, many were country kids with a great work ethic.”

“In recruiting four or five students at a time we could also send them off together for group training, which is very efficient. By the end of their internship, our interns have received extensive training in product development, database and systems and telephone sales. I wouldn’t hesitate to take interns again because of the positive employment outcomes.”

“The travel industry needs to make a commitment to such collaboration to ensure we invest in the professional development of future industry professionals,” said Janette.

Southern Cross University has sent internship students to fill roles all over the world. To find out how internship students could form part of your successful staffing strategy call Southern Cross University Internship Coordinator, Leanne Baker on 02 66 203927 or email leanne.baker@scu.edu.au

 

 




Southern Cross University interns and now Pinpoint Travel Group employees, reservations supervisor Craig Herbert and product co-ordinator Krystal Dwyer with general manager Janette Davie.

 

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National Landscapes Update by Bruce Leaver, Parks Australia

 

At the Australian Regional Tourism Convention last year Bruce Leaver from Parks Australia presented on the National Landscapes initiative. The program is a Tourism Australia-Parks Australia partnership identifying the top 15 superlative natural experiences to be promoted globally as the nation’s key visitor destinations.  Each National Landscape will be world class and will have its own distinctive brand exemplifying its uniqueness.  This approach will form the basis for sensitive master planning, sustainable facilities, services and marketing.  It will target a type of international visitor with a soft environmental footprint commonly referred to as the ‘experience seeker’.

 

National Landscapes is a milestone project because, although we know that more than half of all international tourists to Australia come to experience nature (68 per cent of international visitors surveyed in 2007 identified experiencing nature as a reason to visit Australia*); there has not been a targeted strategy to identify or market our iconic natural attractions to international tourists until now.

 

Recently the Country Brand Index placed Australian brand recognition on top, for the third time, ahead of the US, UK in third, and France and Italy, in fourth and fifth places. New Zealand was ranked eighth. Australia has fantastic brand recognition overseas - the problem is that this level of recognition is not translated into visits. We are a great place to visit, some day.

 

The National Landscapes initiative hopes to change this. A Committee, which includes representatives from the Australian Tourism Export Council (ATEC), Ecotourism Australia (EA), the World Commission on Protected Areas (WCPA), Indigenous Tourism Australia (ITA) and the Tourism and Transport Forum (TTF), was given the task of identifying iconic landscapes throughout the country. A Landscape is defined by its superlative experience, not its tenure.

 

The Committee identified 26 possible candidates for inclusion in the program including the obvious landmarks, the Great Barrier Reef; World Heritage Rainforests; Kakadu and the Red Centre.  However the program also includes lesser known experiences with huge potential including the Flinders Ranges; Karijini (Pilbara); the Australian Alps; the Great Ocean Road; Kimberley Coast; Tasmanian World Heritage and the Wilderness Coast from Bermagui in NSW to Lakes Entrance in Victoria. 

 

The National Landscapes Committee will only consider and assess candidate areas where there is regional drive, commitment and interest. There are candidate areas currently being advanced by enthusiastic coalitions representing local government, national parks, regional tourism and tourism operators.

It is expected that a list of seven National Landscapes will be announced at amajor tourism conference in June 2008.  These areas have been confirmed as offering experiences of world class significance; have destination branding processes well underway; and have enthusiastic regional coordination arrangements in place.  A number of other candidate areas are at an earlier stage of assessment.

 

Bruce Leaver - Parks Australia

 



 

Mt Warning: An iconic landscape nominated for inclusion in the project.
Image: Robert Charity.

* International Visitor Survey (IVS) 2007

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HAVE YOU SEEN …Tourism Research Australia’s reports on domestic tourism in Australia?

 

Did you know that domestic visitors generated 76 per cent of tourism industry gross domestic product in 2004–05? The domestic tourism industry is vital to the health of the Australian economy both regionally and nationally, yet has been stagnant for a number of years, faring poorly in the face of pressure from competition from international destinations and other consumer products. ‘An Assessment of the Australian Domestic Tourism Market’, a report commissioned by the Department of Tourism Industry and Resources (now DIISR), looks at the state of the domestic tourism industry; drivers of domestic tourism; and also identifies trends that could inform industry in terms of product development and effective marketing to domestic tourists.

 



 

‘Changing Consumer Behaviour: Impact on the Australian Domestic Tourism Market’ is the second stage of the above assessment of domestic tourism. It looks at changes in consumer travel behaviour; motivation to travel in Australia in comparison to travelling internationally or purchasing other items; and the impact of marketing on consumer behaviour – a great report to read prior to financing your marketing campaign. The principal research used is the findings from the Travel Research Centre (TRC) project, Domesticate™ funded by Tourism Research Australia.

 

Domesticate™ was developed to provide key tourism stakeholders with insights into:
• what is preventing Australians from experiencing their own country, and
• what they need to encourage them to do so.


(A workshop on Domesticate will be held on Tuesday 9th September, prior to the Australian Regional Tourism Convention, and will be free to ARTN subscribers. Click here for details).

 

‘Changing Consumer Behaviour: Impact on the Australian Domestic Tourism Market’ highlights the key findings from the Domesticate project. In terms of marketing and information for domestic tourists the report found ‘at different levels, most consumers feel that current marketing efforts do not address their needs.’ For example, respondents felt that the majority of marketing efforts are aimed toward couples, leaving families and adolescents less inclined to travel. A similar response was discovered by travellers from ethnic minorities, highlighting the need to reassess marketing efforts to reach a new generation of consumers.

 



 

‘Through the Looking Glass: The Future of Domestic Tourism in Australia’ is the third of this series. It gives projections and forecasts for domestic tourism, looks at the challenges that need to be addressed and offers strategies to ensure a robust and sustainable future for the domestic tourism industry. 

 



 

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2008 Australian Regional Tourism Convention

 

Plans for this year’s Australian Regional Tourism Convention are progressing well, with teh Convnetion taking place over three and a half days in South Australia’s Barossa region from 9-12 September, at the Novotel Barossa.

‘Taking Tourism Into the Future’ is this year’s overarching theme following the 2007 ARTN Forum which highlighted "future proofing" as a primary concern for the regional tourism industry – how to take the industry into the future, in light of the challenges presented by skills shortages, changing consumer patterns and climate change.

Facilitated workshops and discussion forums will feature prominently this year, providing valuable opportunities for delegates to discuss the issues raised throughout the plenary sessions. Feedback from previous Conventions reveals the workshops are regarded as an important feature of the Convention; providing a real opportunity to share solutions to common issues across all regions. Four concurrent workshops are on offer, and will examine: how to attract and retain calibre staff in the midst of a labour skills shortage; the future of tourism distribution channels; adapting to changing consumer behaviour; and environmental corporate governance. Delegates will be asked to bring along four challenges from their region with the goal of finding solutions through small group discussion.

 

Field trips play an integral role in the Convention program, providing practical examples of discussion topics. Three options will be provided featuring: Food and Wine Tourism, sampling the best of Barossa produce; Sustainable Natural Tourism which journeys into the Murraylands/Riverland; and an Unspoilt Refuge which takes in the natural beauty of Kangaroo Island. (Please note that this final trip will incur an additional fee of $200 to cover costs of a charter flight). Further information is available from the Convention website

Registrations for the 2008 Australian Regional Tourism Convention are now open. Delegate fees are $935 for the full Convention program, including the Welcome Function, Gala Dinner and a field trip. Subscribers to the Australian Regional Tourism Network (ARTN) are eligible for a reduced rate of $825. ARTN subscribers are also eligible to attend the ARTN workshops scheduled for Tuesday 9 September. Non-subcribers are most welcome to attend for $100 per workshop. (see the Convention website for further details).

 

We once again thank Tourism Australia for their continued support as principal sponsor of the Convention, and also thank this years other sponsors which to date include: South Australian Tourism Commission, Southern Cross University, Edge Custom Media, WebPub, Money Direct, Budget Car and Truck Rentals and Southern Cross Ten. If you are interested in sponsoring this event please contact Amanda Shoebridge on Ph: 02 6620 3785 or email amanda.shoebridge@scu.edu.au   

 

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