Memorandum submitted by Torbay Council
1. The challenges and opportunities for the
domestic and inbound tourism industries, including cheap flights
abroad, and their impact on traditional tourist resorts
Cheap short haul and domestic flights:
Over the last three decades this issue has had
a significant affect on domestic tourism for the English Riviera.
In broad terms the trend towards overseas holidays has resulted
in a long-term decline in numbers of one third (since the peak
in the 1970s). The opportunities resulting from easier access
for inbound visitors (through eg Exeter Airport) are significant
but relatively modest. Improved transport links to the resort
areas could influence this.
Short breaks:
The loss of volume as described above does have
a converse trend with the growth of short breaks. The English
Riviera, as a year round resort, is well placed to take advantage
of this. The product development of the resort and it's services
and facilities will need to better reflect the needs of these
markets. As the resort evolves to meet those needs the marketing
of the resort has a critical role to play.
Quality:
The domestic and overseas markets now have a
world-wide view of quality and service standards. The English
Riviera accommodation comprises a very high proportion of small
and micro operators and this has represented particular challenges
in terms of changing the quality culture. An aggressive NQAS-only
stance has already made a significant impact, however, there remains
a need to continue the drive for quality appropriate for the sustainability
of the resort.
Unitary authority funding:
In the broadest sense, the stresses on UA funding
are negatively affecting both residents and visitors alike, namely:
poor maintenance of facilities, lack of cleanliness in the public
realm and a lack of investment in positive influencers such as
cultural facilities. The conflicting needs of social housing,
the rise of alcohol management issues and general anti-social
behaviour are all significant issues that the authority will struggle
to manage and the negative impacts can be extremely damaging to
the tourism sector.
2. The effectiveness of DCMS and its sponsored
bodies (such as VisitBritain) in supporting the industry
At destination level there is little direct
contact with DCMS. The overall recognition of the value of tourism
to the economy is welcome. Also welcome is the support for quality
drives, recognising that the sustainability of the sector is dependent
on the ability to meet the quality demands of the various markets.
Information regarding opportunities resulting from the Olympics
has been good, although the benefits derived from the Olympics
seem limited.
VisitBritain has come through a period of great
change and now appears to have clearly established roles and priorities.
At destination level we place great emphasis on our direct relationships
with VB and feel that both parties benefit from that relationship.
One worry is that VB's market priorities can appear "over-segmented"
as marketing activity has moved away from more generic messages.
Despite the size of the English Riviera's markets and its significant
opportunities for growth, traditional resorts are battling against
other priorities.
3. The structure and funding of sponsored
bodies in the tourism sector, and the effectiveness of that structure
in promoting the UK both as a whole and in its component parts
At destination level the objectives and priorities
for tourism on the English Riviera (thought to represent one in
three jobs in the area) are very clear. At each level from there
up the focus is diluted and therefore it is thought that 90% of
the success of the resort is dependent on what the Torbay Development
Agency and the private sector can do. From a marketing perspective
the English Riviera needs to be promoted as the English Riviera.
The extent to which the resort benefits from the marketing of
Devon and the marketing of the South West of England is felt to
be very limited. In practice there are examples where strong promotional
partnerships will be more effective but these will not necessarily
be based on any geographical boundaries. From a destination management
point of view, the vast majority of issues are local issues with
local solutions. The exception to this is the development and
delivery of training programmes and the support for managing quality
to recognised national standards.
There may be commonality between strategies
within counties and within regions, however, the ability to deliver
meaningful economic results depend on local ownership, local delivery
and local prioritisation. The benefit of effective county and
regional structures is therefore guidance (eg training), shared
resources (eg IT) and marketing where appropriate for the message
and the market.
4. The effect of the current tax regime (including
VAT and Air Passenger Duty) and proposals for local government
funding (including the "bed tax") upon the industry's
competitiveness
UK holidays are clearly perceived as being expensive,
both by domestic and by overseas customers. There are many factors
that impact on this including minimum wage/living standards, national
perceptions of tourism as a career, property values, exchange
rates etc. The industry therefore already has significant challenges
in remaining competitive in the international market place. For
a destination such as the English Riviera there are of course
significant costs in maintaining facilities for the tourism population—the
resort has 48,000 bedspaces and a resident population of 130,000.
Services include beaches, parks, museums, theatres and promenades.
However, the benefits already received from these customers include
income to maintain facilities that the district would wish to
maintain for their resident population and car parking revenue.
This is in addition to the need to safeguard and create jobs in
an economically deprived area. In summary, the already complex
cost benefit scenario and the need to remain competitive, suggests
that this sector would have great difficulty in overcoming a further
financial challenge. In addition to the financial impact it is
felt that the introduction of a bed tax in particular would be
perceived in a very negative way by all customers and could be
extremely damaging in the short term.
5. What data on tourism would usefully inform
government policy on tourism
Comprehensive data on the economic value of
tourism.
6. The practicality of promoting more environmentally
friendly forms of tourism
Use of cars:
If a long term/cultural shift away from car
use was to occur then this too would influence tourist car use
patterns. This is a national/global issue and not one that can
be significantly influenced just by influencing car use on holiday.
At a local level, destinations can achieve a modest impact on
local car use levels through good development and promotion of
public transport.
Recycling:
The shift towards recycling of domestic waste
has yet to turn into practical resources for small businesses
wishing to encourage and enable their guests to recycle whilst
on holiday. The English Riviera is currently seeking to address
this issue. The issue is therefore predominantly one of practical
facilities and services and promotion through the trade rather
than promotion to the consumer.
7. How to derive maximum benefit for the industry
from the London 2012 Games
The English Riviera has a clear three-pronged
strategy to take full advantage of any opportunities that arise:
— local businesses contracting to supply
during the construction phase;
— bid for training camp status and
long term development of local sporting facilities; and
— visitors to the games top and tailing
their visit to London with tours of other areas and return visits
during the years following the games.
As a destination four hours from London and
one with relatively limited training facilities it is anticipated
that the benefits will be modest.
March 2007
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