From analysis to action: Increasing impact of tourism research on - PDF document

From analysis to action: Increasing impact of tourism research on policy makers? Jonathan Mitchell (ODI); Le Chi Phuc (MCG); Shaun Mann (World Bank); Kate Lloyd-Williams (IFC) ODI Tourism Event: Pathways to Prosperity? Mainstreaming pro-poor approaches in tourism, 15 June 2007 The problem with traditional approaches…. Type of tourism policy Research method Often good at: Often bad at: study Typical Tourism Master Large and well- Excellent source of Rarely include adequate Plan (i.e. Gambia resourced consultancy primary data, strong link treatment of inter- Tourism Master Plan) team. Large-scale to tourism policy (i.e. sectoral linkages and primary data collection marketing, arrivals, etc) impact of tourism on over considerable time affecting mainstream poverty. Mixed record of period tourism implementation impact. Typical academic Innovative policy Relevant and analytical Rarely have any signi fi cant impact on research project relevant with rigorous approach method and data (i.e. policy makers. CGE modelling) Typical research study Researchers collecting Careful analysis, Addressing key policy (i.e. Luang Prabang and limited primary data. independent fi ndings, issues or involving local Gambia tourism value Normally done on a generating quick results stakeholders in chain studies) shoe-string, tends to research process. Poor avoid mainstream implementation impact tourism record

New ideas to increase the impact of tourism analysis on policy • Initiatives putting: – P People back into the policy- development process (Da Nang, Vietnam) – P Pro-poor tourism policy- makers back into the policy process (Northern Ethiopia) – P Policy-relevant data at the heart of tourist policy development (Cambodia) From analysis to action: A case study from Da Nang, Central Vietnam Le Chi Phuc (Management Consultants Group) • Participatory tourism value chain analysis exercise • Under EU Vietnam Private Sector Support Programme • In Da Nang, the biggest city in Central Vietnam • Research team includes Da Nang’s tourism stakeholders and external consultants

What we know about increasing impact of tourism on the poor in Vietnam? Current Three scenarios for 2012 situation – ‘ ‘Nightmare scenario’ • Extrapolates recent downward trends in international and domestic tourist demand to 2012 ($31m per year). – ‘ ‘Harness the beach’ scenario Beach & stay another day • Stems the decline in tourism by 2012 allowing major proposals for beach Harness the resorts to go ahead ($61m in 2012). beach 2012 – ‘Harness the beach and stay ‘ another day’ scenario Nightmare • Models the impact of both harnessing scenario 2012 the beach and increasing the current length of stay for tourists by one day ($95m in 2012). What is the link between analysis and action in Vietnam? • For private sector decision-makers there is strong link between analysis and action during the study process • Reasons for the dramatic change in public sector land-supply policy are not clear, but coincided with the highly participatory research process 09 th Nov 15-16 th Nov 17 th Nov onwards HypothesisWor *Advance Info *Organisation Surveys Presentation Preparation: Results- Way-forward Workshop Workshop Kick-off Workshop: kshop Event Implementation Interviews Diagnosis + Mini-workshops Proposals Nov 6 th – Nov 18th (2 weeks fieldwork) Tourism VCA - Project (Nov 06 – Apr 07)

From analysis to action: A case study from Northern Ethiopia -Shaun Mann (World Bank) • African governments are interested in pro-poor tourism strategy • Unique leisure attraction is Northern Historic Route • Weak supply chains restrict participation in tourist economy • Need to improve sector management, planning and co- ordination capabilities • Improve tourist infrastructure • Link tourism activities and poverty reduction strategies • Improve demand for tourism to Ethiopia What we know about increasing impact of tourism on the poor in Northern Ethiopia? How costs are allocated in a standard 12-day high • The importance season package offered by UK -based Tour Operator of local suppliers is shown by ‘bad practice’ in Ethiopia (Red circle highlights area of out-of pocket expenditure)

What are the policy issues in Northern Ethiopia? • W Why are local linkages so weak in • Recommendations for increasing R Ethiopia? local supply linkages in Ethiopia? – There’s not much to spend money on! – Improved access to handicrafts: train I (visitor surveys show average ‘loss’ of producers, enterprise support and US$15 per visitor day = US$3.1m in craft market and cooperative outlet 2004) – Support local tourism enterprise & S – Crafts are of low value and quality supplies: hotels to audit and link with local suppliers of food and craft; – Dif fi cult to use credit cards and change support viable agriculture on cash outside few top-end hotels (each potential new supplies tourist would spend US$100 more = US$10m in hard currency in 2004) – S Strengthen informal tourism service provision: support guide association, – Lack of interpretation and guiding skills upgrade quality of cheaper hotels – Few facilities at sites for tourists and food outlets, provide cultural to linger (e.g. events and services in town information, shops, – R Replace begging with a system for banks, places to eat philanthropy, support to former- or stay) beggars and skills training Creating tourism impact at scale in Cambodia - Kate Lloyd-Williams, (IFC) • T heory vs. Reality – T he link between T ourism and poverty reduction is viewed as a moral imperative… – But in reality is a practical vaccuum… ..

The policy challenges we face • Strategic sector for poverty reduction • What does success look like? • What can governments do? • What can private sector do? • Impact at scale? • Contribution today? • Benchmarking … and gaps • Siem Reap – a good start… Detail matters for policy choices Pro-poor impact ($) per tourist per day $6.00 Other $5.00 Shopping Spa / massage $4.00 Casino $3.00 Excursions / tours Entrance fees $2.00 Guides $1.00 Meals and snacks, Drinks, Tips $0.00 K orean Groups Japanese Groups Accommodation $5.42 $5.42 $5.65 $5.65

Case Study: Siem Reap today • 1.16 m visitors (2006) • $300 m Est. tourist spend (2006) • $15 m direct pro-poor impact (5%) • 30-55,000 jobs – direct and indirect* • T ourism or subsistence rice farming… • > 47% hotel staff surveyed from poor/ very poor background** • Pro-poor impact low for all segments – driven by volumes • Reached Angkor carrying capacity? Source: *MoT Cambodia; **IFC 2007 Difference in yield highlights policy options Japan Group Japan Group 300 300 Korean Korean Japan FIT Japan FIT 250 250 Group Group Luang Korea Group Korea Group Prabang 200 200 USA FIT USA FIT 150 150 No. of Visitors No. of Visitors China Group China Group (,000) (,000) 100 100 Japan Japan GT GT US 50 50 Luang Luang Prabang Prabang $0 $0 $2 $2 $4 $4 $6 $6 $8 $8 $10 $10 Bubble size: PPI $ / Visitor / day PPI $ / Visitor / day Total PPI pa Y ield Y ield

Siem Reap: Underperforming on Pro-poor impact Destination Visitors Revenues in Pro-Poor PPI % destination impact Siem Reap 1.16m $300m $15m 5% Gambia* 11,000 $44m $7m 16% Luang 125,000 $23m $6m 27% Prabang* DaNang* 500,000 $42m $10m 26% Sour c e: ODI Sur veys 2006 Our Goal: Informed decisions A business case, (with tradeoffs) for interventions for informed policy decision making High High 1. Policy Constraints e.g. airline, visa 1 1 3 3 2. “Stay Another Day” Potential Potential Impact Impact 5 5 3. Links to Tour Ops in 4 4 $ / Jobs $ / Jobs high yield markets 4. Siem Reap Agric. 2 2 Linkages program Low Low Easy / Low Cost Easy / Low Cost Hard / Expensive Hard / Expensive 5. New infrastructure e.g. airport, roads Cost / Risks to deliver results Cost / Risks to deliver results

From analysis to action: key lessons • Explore i innovative approaches to increase implementation impact • Researchers should engage with policy-makers & others to s strengthen link between research & policy • Obtain detailed and policy-relevant data • Present results in an accessible form that highlights c choices • L ocal o ownership & robust a analysis are both important Questions and answers