Sustainable Pro Poor Tourism The Destination Management Approach

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Sustainable Pro Poor TourismThe Destination
Management Approach

• The Arusha Round Tableon Responsible
  Tourism Partnerships - 3June 2010

Birgit Steck Senior Tourism Advisor Dar es
Salaam, Tanzaniabsteck_at_snvworld.org
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• SNV SPPT is active in 10 African countries, in
  23 destinations
• 33 experienced tourism advisors working on the
  ground
• About 90 program initiatives to make tourism
  work for the poor
• Pro poor income at destinations shall increase
  from 10 to 15

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SNVs starting point in Tanzania
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Tanzania
Tourist arrivals and receipts
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Comparing tourism revenue tothe poor in
different destinations
ITC/ODI, 2009
SPPT - The Destination Management Approach
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SPPT Principles

• Any kind of tourism can benefit the poor.
• Tourism is a driver for local development.
• Strengthen the performance of the overall tourism
  sector at national and destination-level
  (increasing the overall size of the tourism
  cake).
• Increase opportunities for the poor to benefit
  (more) from tourism by enhancing linkages into
  the local economy (increasing the slice of the
  tourist cake for the poor).

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Increasing the tourism cake
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Increasing the slice for the poor
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SNV Tanzania programmatic areas in SPPT

• Work at national and destination level
• Adopt two complementary approaches--Destination
  Management (DMA) and --Value Chain Analysis
  Development (VCA/D)
• 5 programmatic areas-----DMA Serengeti-----DMA
  Tanga-Pangani-----DMA Zanzibar
• -----Tanzania Cultural Tourism Program and
  -----Policy Dialogue for enabling the SPPT
  environment

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Zanzibar Tourism Value Chain Analysis

• TOURISM
• MORE VALUE
• FOR ZANZIBAR

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TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis OBJECTIVES

• To measure the financial flows from the tourism
  industry accruing to the poor in Zanzibar
• To suggest and prioritise interventions based on
  this analysis

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TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
METHODOLOGY Tourism Value Chain Analysis in
Zanzibar

• Measures where tourism revenue is flowing
  throughout the tourism industry
• Measures the direct financial impacts on the
  poor who are defined prior to the research
• Analyses the barriers for the poor in engaging
  in earning tourism revenue
• Suggests interventions based on the financial and
  logistical analysis

(PPI - Pro Poor Income)
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TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
MAP OF TOURISM SECTORS FOR THE ACTUAL ANALYSIS
Services
Accommo-dation Providers
Food and Beverage Operations
Tours and excursions
Retail -discretionary out of pocket spending

• Hotel outlets and high end businesses
• Micro enterprises and the informal
  sector
• Internet Cafés
• Provision Stores

• Number and Type
• Costs, Turnover, Profitability
• Employees
• Government
• Revenues

• Independent Restaurants
• Restaurants in Coastal Areas
• Street Vendors
• Linkages to the Food and Beverage
  Sector

• Tour operators
• Dive Operators
• Guides
• Spice Farmers
• Boat Trips- informal sector
• Taxi services

• Hotel shops and high end busin.
• Employment
• Micro enterprises and the informal
  sector
• Souvenir shops
• Painters
• Clothes and material shops
• Wood carvers

Non-tourism, but related sectors
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SUMMARY OF MAIN FINDINGS
Services
Accommo-dation Providers
Food and Beverage Operations
Tours and excursions
Retail -discretionary out of pocket spending

• The total revenue for all sectors under analysis
  is 172 million US
• The total pro poor income from direct linkages to
  tourism in Zanzibar is 10

TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
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Breakdown of Revenue by Sector and PPI
18.8 PPI
27 PPI
Pro-Poor Contribution
47 PPI
? PPI
US 172 million
7.3 PPI
TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
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SUMMARY OF MAIN FINDINGS Breakdown of Revenue by
Sector and Pro-Poor Contribution
Accomm. Hotel Meals Restaurants Retail Tours Excursions Services / other
Revenue(US) 152 million 7.5 million 6.3 million 5.2 million 0.8 million
Total Revenue 88.4 4.4 3.7 3.0 0.5
Pro-Poor Benefit 7.3 47 27 18.8 Not Known
Net Pro-poor benefit 6.5 11.2 million 2.1 3.6 million 1.0 1.7 million 0.6 1.0 million Minimal
TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
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SUMMARY OF MAIN FINDINGS

1. High proportion of tourism revenue is directed
   through the hotel sector low PPI
2. High-end hotels appear to give higher PPI per
   tourist
3. Small individual restaurant sector high PPI
4. Less spent in tours and excursions than on
   retail suggests an under-usage of cultural
   tourism resources
5. SMES retail sector dominated by non-Zanzibaris
   through access to supplies for prominent products
   and prominent locations.

TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
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SUMMARY OF MAIN FINDINGS
6. Informal sector is significant formalisation
in some cases will improve revenue and customer
experience, in others will reduce profitability
through tax. 7. Agricultural linkages hindered
by variety, quality and high seasonality of
produce. 8. Only more wealthy fishers can engage
with tourism but face lack of current market
information and high perishability.
TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis Way forward
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INTERVENTIONS

• Awareness raising on SPPT
• Employment
• Linkages
• SME development

TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
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Way forward in Zanzibar DMACo-ordinate in
interventions by different development partners
and local stakeholders

• Anchor SPPT approach in MKUZA update, tourism
  as lead sector
• All relevant the stakeholders in the government
  involved and plan for MKUZA implementation
  workshop
• - Continue hospitality training for Zanzibaris
• - Work towards a Train the Trainers Program
• Strengthen agricultural linkages and others
• Analyse SMEs and market for their products

SPPT - The Destination Management Approach
TOURISM MORE VALUE FOR ZANZIBAR Tourism Value
Chain Analysis
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Responsible Tourism Certification Schemeand the
SPPT Context

• Within a destination, a common vision needs to be
  developed among all stakeholders as a basis for a
  Destination Management PlanWhere do we want to
  be in (X) years time?
• Ensure the commitment of all stakeholders
• Sustainable Pro Poor Tourism does not necessarily
  need a Certification Scheme, can be a useful
  tool.
• Important to understand Responsible Tourism
  Criteria
• Certification should be started and implemented
  by an independent body.

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• AHSANTENI SANA