Posts Tagged ‘nz communities’

NZx: a collective difference

Wednesday, August 1, 2018
posted by malcolm

Naumai

A recent night sky experience has led us to reflect on the collective difference in NZ inc. By this we mean what are the unique selling points  and subsequent tourism products of the region or place?

A quick search of night sky tours found at least seven “planetarium” , over fifteen “tours”, and at least 24 local astronomical societies that operate observatories on a few nights each month. We are certainly not decrying our night sky experiences. New Zealand is one of the best places in the world to see the night sky. The fact that the world’s largest Dark Sky Reserve and the world’s only Dark Sky Sanctuary on an island can be found here support this.

Another search could just as easily find different versions of essentially the same product, from zip-lines to jet boat tours, repeated throughout Aotearoa.

We first commented on the wider issue in 2011 and again in 2012.

We are a small country with a wide range of differentiation (landscape, culture, food, wine etc) between regions. Our collective differences are potentially our strength.

One can only hope that the Provincial Growth Fund recognises this when making it’s deliberations.

There are hints that perhaps the rise in international visitor numbers is starting to slow. We must continue to grow, differentiate and create points of difference in our tourism product.

These should be regionally based, unique and reflect the culture and stories of that place. Not simply repeats of a similar experience found elsewhere in the country.

How many night sky experiences do we need?

Ka kite ano

             Owaka in the Catlins, and it’s famous teapot collection

NZx: June 30th cathedral thinking

Monday, July 2, 2018
posted by malcolm

Ata mārie

As we discussed in last months blog the Government has now moved on introducing a proposed visitor levy.

There may not be much debate that such a solution is needed with international visitor arrivals hitting 3.7m last year, and forecast to top 5m by 2024, almost twice the number we welcomed in 2012.

As many of us are aware, such growth has resulted in congested roads, overcrowding at popular destinations, and overloaded sewage and water systems, all putting pressure on local council budgets.

The tourism industry argues that tourism raises (through GST) around $1.47 billion annually. The predicted income from the levy is not a lot (around $ 57-80 million a year)  and is certainly a lot less than the likely investment required to fix issues of around $ 150 million annually.

The issue gets further muddied with a recent report suggesting that on one hand the Government profits to the tune of $2.6b annually, while on the other some local authorities in tourism struggle to maintain essential services to ratepayers and visitors alike.

The muddy waters become even more turbid with bed tax proposals being supported by some large Councils. However these do not appear to be gaining Government support at either local or national levels. This potential source of funds may be resolved later this year when the Productivity Commission reports back on options for local government funding.

The key points of the current visitor levy proposal include:

* Most international visitors entering New Zealand for 12 months or less would be charged a levy, proposed to be between $25 to $35
* There would be some exemptions, most notably Australian citizens and permanent residents and people from most Pacific Island Forum countries
* The levy would be collected through visa fees and via the proposed Electronic Travel Authority process, also under consultation, for citizens of visa waiver countries
* The levy would collect around $57-80 million in its first year, depending on the rate, which will be split between tourism infrastructure and conservation activity.

The consultation on the International Visitor Conservation and Tourism Levy is open until July 15th . As an aside related consultation on the Electronic Travel Authority and fees and levies proposals are also open, find out about  both at MBIE.

It is likely that the proposed levy will come into effect in November.

In our view the levy is somewhat of a smokescreen. The tourism industry more than pays its way through GST and other fees. The $ 2.6 billion raised in this manner could easily be redistributed to fund infrastructure and development needs without the need for a levy or bed taxes.

It’s about cathedral thinking, something that successful governments have failed to build on with the visitor industry.

Decisions should be made now by the Government to invest monies raised by international visitors to facilitate the sustainable future of Aotearoa, particularly in the infrastructure and conservation fields.

Mā te wā

NZx – August 22nd: A social license to operate

Monday, August 21, 2017
posted by malcolm

Naumai

Continued growth in New Zealand tourism is raising questions over it’s social license to operate. As Tourism Aotearoa states ” Tourism will only achieve our Tourism 2025 aspirational goal if we maintain and enhance our social licence to operate. We are encouraging tourism operators to recognise the importance of growing their businesses in a way which balances the economic, social and environmental impacts.”

There is no widely accepted definition of a social license to operate (SLO). However a recent paper by the Sustainable Business Council suggests key attributes include:

a.  a measure of confidence and trust society has in business to behave in a legitimate, transparent, accountable and socially acceptable way;
b. it does not derive from a need for legal or regulatory compliance, instead is deemed to be the foundation for enhancing legitimacy and acquiring future     operational certainty, realising opportunities and lowering risk for the business;
c. an unwritten contract between companies and society for companies to acquire acceptance or approval of their business operations;
d. the terms of a SLO are often project or location specific. Although society as a whole ‘issues’ the SLO, it is usually local communities who are the ‘key arbiter’ of     the terms of the SLO due to their proximity to the company’s activities and associated effects;
 
Tourism New Zealand acknowledges the visitor experience “is affected by the New Zealand community’s own view on tourism – the more the community can understand the benefit of a strong tourism sector, the more likely it is to take a positive view on tourism growth. New Zealand is a long-haul, premium-priced destination with a strong, niche appeal in most overseas markets. We rely on positive brand association and word of mouth to make the most of our unique strengths as a destination. Poor visitor experiences will make it harder to compete with other tourism boards for targeted customers.
 
As Chrisopher Luxton, CEO Air New Zealand, recently stated ” The biggest issue the industry faces is its social license to operate.Tourism consumes infrastructure such as transport, accommodation, national parks, and puts particular pressure on places where there are low numbers of residents.  If visitors came to the country and thought it was clean but “broken down” and unable to handle its popularity then they might go home wishing they had gone to Dubrovnik in Croatia to see Game of Thrones sites. “That’s not a place we’d want to be. “If we don’t manage the social and the environmental pieces, the social license to operate as an industry is lost because, frankly, socially Kiwis sit there and say, ‘Yeah, I’m getting jacked off with all these tourists coming through the country and it’s irritating’.”
 
Of course tourism is not the only sector to be involved in this discussion. As Tourism NZ board member Raewyn Idoine says public perceptions of tourism are at a key point and action is needed now so the industry does not go the way of Fonterra. ‘‘Everybody loved farmers until they started polluting streams and rivers and making butter cost too much,’’ she says.  Now Fonterra is funding milk in schools and making expensive PR campaigns with Richie McCaw to improve their image.’’
 
The issues are clear and the current election campaign lightly touches on some of these issues.  At the time of writing no one party has really addressed the potential answers.
 
We will discuss some options to manage tourism’s social license to operate in next month’s post.

Ka kite ano

 

Just what is tourism’s social license to operate in NZ?

 

 

 

 

 

NZx – June 29th: water, water everywhere…..

Wednesday, June 28, 2017
posted by malcolm

Naumai

Water, water everywhere so whats the issue…….?

A recent visit to Waireinga/Bridal Veil Falls, revealed a deeply discoloured waterway, with warning signs about the quality of the water, and danger to swimmers. Standing in the midst of 217 ha Wairēinga Scenic Reserve, surrounded by tawa-dominated forest, watching the water flow over 55 metres basalt cliffs, one wonders how this could happen in New Zealand.

There is good work being done in parts of the catchment. Over 8kms of native planting in an area upstream of the waterfall has been completed as part of a local initiative coordinated by Whaingaroa Harbour Care.

Water is already to be established as a key component of this years elections. A recent survey by Lincoln University (8th Public Perceptions of New Zealand’s Environment) canvassed New Zealander’s views about aspects of the environment .

The worst managed environments were perceived to be rivers, lakes, and groundwater, largely on account of very negative perceptions concerning the management of farm effluent and runoff. In fact, nearly 60 percent of respondents deemed farming to be one of the three main causes of damage to freshwater.

In a separate report,  Our fresh water environment 2017, found nearly three quarters of native freshwater fish species are threatened by or at risk of extinction, as well as a third of native freshwater invertebrates and a third of native freshwater plants.

All of these reports raise the current issues, but also note the lack of data, and that the snapshot doesn’t take into account the slow movement through aquifers – such as those in Canterbury. The real impact on communities in these area may take many years to surface. 

Both New Zealand’s leading export industries, tourism and farming, need to better manage their social license to operate in the environmental space. Water quality, the wider environment and sustainability are discussions (and subsequent actions) that need to form a key part of the this years conversations.

Ka kite ano

                                    Waireinga/Bridal Veil Falls

NZx – May 30th: alternative facts

Tuesday, June 6, 2017
posted by malcolm

Naumai

The recent public debate (which is full of alternative facts) about Auckland’s proposed bed tax highlights the gaps between local and central government funding, and the lack of understanding as to how tourism adds benefits and costs to all aspects of the New Zealand economy.

Many people have a view on the tax but only a few reflect the facts. Tourism Industry Aotearoa, Chief Executive Chris Roberts says the commercial accommodation sector receives just 9% of the total visitor spend in Auckland source (Ministry of Business Innovation and Employment).

“The original targeted rate proposal was for 330 commercial property owners to pay the full cost of Council tourism and event promotion. The cost of that promotion is currently shared by every ratepayer in Auckland, residential and commercial.

“It is still not the fair share that Mayor Goff repeatedly talks about. The small targeted group receives around 7-8% of the total visitor spend in Auckland, and yet is being asked to pay 50% of promotion and event support.”

We note that in 2014 international and domestic visitors spent $ 66 million per day in New Zealand communities. Thats a fact.

Shamubeel Eaqub also believes the plan offers no clear alignment between costs and benefit.  You can read his original article here http://www.stuff.co.nz/business/opinion-analysis/93272191/shamubeel-eaqub-bed-tax-reveals-local-government-flaws

With 2017 being an election year , one assumes there will soon be a large amount of alternative facts in circulation. Tourism will need to make sure it’s voice is united,  clear and more importantly heard.

Ka kite ano 

Naumai

With the focus on the Rugby World Cup it is probably an appropriate time to review just how sustainable many of our tourism communities are. What happens after the hype has died away?

There are parallels between the Cup, a new tourism venture or a new hot destination arriving on the scene with a hiss and a roar. Many precious dollars are spent on marketing and public relations. A year, maybe two or three at the most, and the venture or destination has either gone, disappeared or lost it’s former dominance.

Some ventures or communities even fail to recognise the inherent opportunity in their destination.

Sustainable tourism is all about engaging, measuring, re-inventing and celebrating the integration of a community’s visitor attributes.

While some might argue that NZ should focus on a straight commodity driven economy, we believe tourism is the most sustainable way forward for a small country at the bottom of the world, for a nation literally on the “edge”.

At last a group of us have developed an approach to determine the key elements for developing a sustainable tourism community. This practical framework has been trialed in two destinations and clearly outlines some pathways forward for both. Want to know more – contact us now!

Ka kite ano

Malcolm