Yorkshire Tourism Investment Research - Coursework Example

?Yorkshire Tourism Introduction The primary goal of this research project is to enhance the tourism sector in Yorkshire and improve its position as aleading tourist destination within England. Recent investments into the sector by the local government are projected to increase the number of tourists beyond the national average. However, the region has a lot of untapped potential towards offering more quality and increase revenues through a few unexplored avenues. The Yorkshire region is home to some beautiful landscapes and a vast countryside that can offer numerous opportunities for visitors to experience nature (Beeton, 2010). Tapping the tourist element in the rural countryside will also be economically beneficial to the local communities besides providing them a unique opportunity to showcase their tradition and culture. Any development of eco-tourism in coordination with these local communities must however be implemented through a sustainable framework that can ensure long-term growth and prevent any damage to the local environment. Key Drivers and Objectives ‘Rural tourism’ is a relatively new concept in the United Kingdom (UK) whose importance and growth potential were recognized by the government. Grants such as the ‘Yorkshire Forward’ are available to individuals and firms that aspire to develop a tourism related business in the rural parts of Yorkshire. The ‘Yorkshire Forward’ grants are offered through the RDPE (Rural development program for England) (Hall, 2010). The grant program was initiated after an extensive research by the RDPE which sensed the need to enhance the quality of tourist facilities and accommodation available in the rural regions of Yorkshire. Grants can fund up to 50% of the total cost of such projects up to a maximum amount of ?25,000 upon fulfilling a few conditions (Goodall, 2008). The key focus is to improve the standards of serviced accommodation, self-catered hotels and rural pubs by introducing new bedrooms of better quality or upgrading any current facilities that may help the business develop further. Any such initiative must help develop a long-term relationship with customers so that they may prefer to visit again, thereby improving the prospects of the regional economy. From a macroeconomic perspective, the importance of tourism in Yorkshire’s economy cannot be underestimated. The sector contributed over ?5 billion in 2008, with over 90% of the visitors originating from the UK. Amongst these tourists, day visitors contributed around 45% of the revenues while the rest was contributed by staying tourists. International tourists also accounted for ?400 million in revenues (Holman, 2008). The peak season for tourism is summer although trips to the countryside can be organized throughout the year. Another important segment that could prove beneficial for rural tourism is business tourism, which constitutes over a quarter of tourism in Yorkshire. Beeton (2005) says that events such as corporate meetings and conferences can be organized in the countryside and promoted effectively as a low-cost and environment friendly alternative to conventional solutions. There are however several issues and risk factors that must also be evaluated and minimized efficiently to embolden the confidence among tourists regarding rural Yorkshire. While the rural parts enjoy a dense road network in terms of connectivity, accessibility through air is relatively underdeveloped. Improving international connectivity and encouraging tour operators is an important consideration if rural tourism is to become a popular success. Local airports like the Leeds Bradford and Robin Hood must be upgraded as required to cater to domestic and overseas travelers and connectivity from these airports to any part of the Yorkshire region must be improved (Coles, 2008). Occupancy rates in rural Yorkshire are also lower than the regional or national average (at 60% and 82% respectively) (Spencer, 2008). Thus, any promotional initiatives and development projects must consider the aspect of improving the occupancy rates to profitable levels. In the past, the region’s tourism sector was adversely affected by the foot and mouth disease leading to temporary decline in tourist activity. The local administration must assess the vulnerability of travelers, especially those coming from overseas, to such epidemics and have the necessary precautions in place to prevent any panic or outbreak. Cleveland (2008) recommends additional measures to improve the local security must also be undertaken to counter threats like terrorism, arson etc. Regional disparities in economic development within Yorkshire also have a direct influence on the development of the rural tourism sector. Variations in earnings and human development factors must be considered by any research study evaluating the prospects for tourism in the region. Traditionally, the northern part of Yorkshire has experienced the most economic growth although this trend is declining owing to intense competition from other parts of the region (Swarbrooke, 2007). For instance, west Yorkshire currently receives the largest number of daytime visitors while the eastern and southern parts are relatively underdeveloped in both aspects and offer numerous opportunities for growth (Dale, 2009). Tourism industry in the United Kingdom At the national level, the tourism sector is a vital industry to the economy and consists of over 125,000 businesses (including hotels, restaurants, travels agencies, tour operators etc.) which collectively employ over 2 million people (Swarbrooke, 2007). However, Coles (2008) believes that the organization of public agencies overseeing the development and promotion of tourism in the United Kingdom is rather complex and confusing given the various organizations working to achieve these objectives at the regional, national and international levels. The government’s Department for Culture, Media and Sport (DCMS) oversees the development and regulation of the tourism sector at the national level. The DCMS has merged the British Tourism Authority with the English Tourism Council to create ‘VisitBritain’ to represent the sector at the international level. VisitBritain is also a medium for local businesses to communicate their concerns to the DCMS through appropriate channels and procedures (Hall, 2010). Since its inception in 2003, VisitBritain has gradually evolved into popularizing tourism to both domestic and overseas travelers and maintains separate wings for enforcing quality standards among constituent bodies and agencies. Smith (2009) says that the fulfillment of all guidelines as stated under this ‘National Quality Assurance Standard’ is now mandatory for all tourist agencies in order to be considered for marketing and promotion by VisitBritain and other regional agencies such as the YTB (Yorkshire Tourism Board). The YTB is responsible for strategic development of the Yorkshire region and is categorized as a regional development agency. Factors such as the local economic strategy and tourism prospects are thoroughly evaluated by the YTB to develop specific guidelines for further development. All actions are initially planned and evaluated through the formulation of a Tourism Action Plan. The YTB forecasts that revenues from tourism related activities in Yorkshire will contribute in excess of ?4.5 billion in 2011 and will provide direct and indirect employment to over a tenth of the local population (Beeton, 2010). Tourism sector in Yorkshire In terms of constituent regions, northern Yorkshire has the most well developed tourism market in the region. The towns of York and Harrogate are the top tourist destinations for visitors to the region. In fact, the town of York along with adjoining rural areas was able to attract over 4.5 million visitors in 2009 and contributed over ?320 million to the local economy (Rodgers, 2009). The rural tourism industry in the region provides direct employment to over 10,000 people and supports as many as 3400 related businesses. The coastal parts of the region towards the north and the east are also well developed and consist of several sea resorts. Smith (2009) says that notable towns in this sector are Whitby and Scarborough that are known to attract large volumes of tourists especially during weekends. Similarly, the western part of Yorkshire has good tourist infrastructure and consists of famous towns such as Haworth and Holmfirth that attained recognition and popularity through television. The local economy employs nearly 12,000 people and generates revenues of over ?400 million. However, as mentioned previously, a large part of the tourism industry is concentrated and operates from urban centers. Southern Yorkshire is relatively underdeveloped in the tourism industry although it employs over a tenth of the local workforce. The tourism industry in Yorkshire is largely comprised of tour operators and bureaus that provide tour packages targeting niche customer segments based on adventure, eco-tourism and luxury. These agencies manage all aspects of the package tours ranging from pickup and sightseeing to boarding and lodging services. The latest trend over the past few years has been a shift towards promoting business tourism by marketing local resorts and hotels as venues for events and conferences. Beeton (2010) also notes that many providers have been relying increasingly on ICT (Information and Communication Technologies) such as Internet based branding to enhance their competitiveness and market exposure although the traditional facet of delivering customer-centric services remains intact (Rodgers, 2009). Thus, marketing and promotion of all tourist services is considered an important activity and investment by local tour providers and operators that relies on extensive market research. The local government is extensively involved in developing the regional tourism sector. Regional development agencies such as ‘Yorkshire Forward’ employ a number of tourism officials who devise various marketing and strategic methodologies to develop a specific region or area within Yorkshire (Coles, 2008). Several of these plans are also focused towards the economic development of the target regions. However, the government has not invested into related educational opportunities and the industry seems to accept graduates from even unrelated disciplines. According to Beeton (2010), graduates specializing in skills like informational technology, planning, communication and management have all been hired by local tourist agencies and by governmental agencies themselves to develop comprehensive solutions and strategies using this broad range of skills. The Yorkshire Tourist Board (YTB) is another important agency that collaborated with public and private organizations in developing eco-friendly and sustainable tourism initiatives that can benefit the region in multiple ways. Recently, the YTB launched the ‘Welcome to Yorkshire’ campaign to promote and seek investments for the region’s relatively underdeveloped areas. The YTB claims a 25% jump in the number of leisure and holiday travelers in comparison to the national average of just 12% (Page, 2009). This also resulted in increased revenues of ?7.3 billion into the local economy. The campaign also gained momentum from several prominent awards and governmental support that has helped launch the Yorkshire tourism sector on the international scene. The YTB also launched an 18-month promotion and awareness campaign titled ‘Make Yorkshire Yours’ at a budget of ?1.5 million to promote the rural areas of Yorkshire through television, print media and online mediums (Rodgers, 2009). Through this effort, the YTB hopes to enhance awareness of Yorkshire among potential visitors and stimulate travelers to the region. Proposed project Based on the points described in the preceding sections, it is believed that there is a tremendous potential for developing theme parks in rural areas of Yorkshire. The reasons and factors for considering such a possibility are many. Firstly, Butler (2005) says that the interest among tourists for popular and established theme parks is declining. Secondly, tourists are also seeking beyond a simple day to an amusement park in terms of a unique travel experience to such places. In this context, the primary concern shall be to identify areas within rural Yorkshire that are within an hours drive from major cities in the region. Page (2009) believes that proximity of theme parks to urban areas is important as such places enjoy over 80% of revenues to the industry. In fact, the English Tourist Board had identified during the 1990s that rural regions, along with a strong regional population, offered a unique potential for developing new parks in such areas (Smith, 2009). The proposed research study shall thus examine the prospect of developing a new theme park in rural Yorkshire. The study shall consider various factors such as access to regional transport (proximity to major highways, airports etc.), other parks already present in the region and the coverage provided by local television networks. The location of the theme park shall be determined by taking the distribution of population within the whole of Yorkshire into consideration. Tribe (2007) says that over a tenth of the local population visits a theme park on an annual basis. Thus, selecting an appropriate location is extremely important. Another issue is the development of the brand associated with the theme park. Rodgers (2009) cites examples such as the Alton Towers and the Thorpe Park which are mainly popular as they have cultivated a strong brand image and recognition among the public. Thus, it is necessary to develop a long term and sustainable strategy to market the theme park. Possible options that will be explored are environmental friendliness, innovation and an insight into the unexplored English countryside. Developing a strong brand image is also important for a theme park located in a rural area as attracting the target market becomes an important consideration (Tribe, 2007). The possibility of promoting the theme park as a weekend getaway or intended at providing a short, rejuvenating break to visitors shall be explored. Such analysis also entails the need to explore the development of requisite infrastructure to provide boarding and lodging facilities to incoming visitors, especially during the peak summer months. For example, Disney has explored this market by developing accommodation facilities within its parks that are unique attractions in their own self (Page, 2009). While driving distances may be relatively short in comparison to continental Europe, the large volume of tourists in the UK indicates that much of the visitor population is highly seasonal in nature (Rodgers, 2009). This also raises the possibility that the catchment areas may be smaller and can also overlap, increasing the level of competition. Strategies to overcome these constraints by developing a unique and distinct theme for the proposed park shall be evaluated. Yorkshire, much like the rest of the country, receives a large number of foreign tourists during the summer vacation. In this context, Smith (2009) believes that existing theme parks have largely restricted themselves to attracting the local population. This provides a good opportunity to develop a new market for the proposed park by popularizing it as a rural holiday destination besides developing a transportation infrastructure that can ferry tourists between the park and local airports and railway stations. Ways to promote the nature and cultural identity of rural Yorkshire and include them as part of the theme park’s attractions shall be explored. Thus, the proposed theme park shall cater to both domestic and foreign tourists. Selecting a location that is close to local population centers and accessible by road and air are necessary to develop a strong customer base. While local visitors would consist largely of day-trip visitors, foreign tourists would mostly prefer a longer stay at the theme park and surrounding areas. Thus, every effort will be made to attract all types of visitors to the proposed theme park in rural Yorkshire. Thus, the primary objectives of the proposed research study are stated as follows: Identify the prospects of developing a theme park in rural Yorkshire based at promoting the local culture, environment and region. Determine the most appropriate location of the proposed theme park based on relevant factors and constraints as stated above. Establish the range of services and facilities that can be provided at the theme park based on available budget, customer preferences, estimated tourist volumes and local regulations. Develop strategies to attract both domestic and foreign tourists to the proposed theme park. Develop ways to develop the brand image of the theme park within the target customer segments. Research methodology The proposed study aims to develop a thorough and well-researched business plan that can provide detailed information to the stakeholders over the feasibility of developing a theme park in rural Yorkshire. The study will achieve this using information sourced from both primary and secondary sources of information. Primary sources of information refer to data collected through interviews and surveys and thus reflect the latest information in the target subject area. Secondary sources refer to information collected from literary sources like books, journals and magazine articles. Interviews will be organized with tourist operators in Yorkshire and the local administration to understand their diverse viewpoints on the proposed business opportunity. Analyzing information from secondary sources is helpful in corroborating the inferences obtained from primary sources with the outcomes from previous studies, thereby ensuring that the conclusions of the study are realistic and conform to trends in the local industry. Thus, the proposed methodology is structured to develop the most comprehensive and qualitative conclusions based on information from diverse sources (Swarbrooke, 2007). Timescale Task Duration Project analysis 10 days Secondary research 10 days Development of business proposal 15 days Corrections & Improvements 10 days Promotion among project stakeholders 15 days Total 60 days Budget Task Estimated budget Secondary research – subscriptions ?1000 Travel – interviews & surveys ?2000 Stationary & computer ?500 Promotional material – reports ?500 Miscellaneous ?1000 Total ?5000 References 1. Beeton (2005), Film-induced tourism. Channel View Publications. 2. Beeton (2010), Protecting And Preserving Our Heritage: Written Evidence. The Stationary Office. 3. Butler (2005), Tourism development: issues for a vulnerable industry. Channel View Publications. 4. Cleveland (2008), Tourism in Yorkshire. London: Routledge. 5. Coles (2008), International business and tourism: global issues, contemporary interactions. London: Taylor & Francis. 6. Dale (2009), BTEC National Travel and Tourism. Heinemann. 7. Goodall (2008), Marketing in the tourism industry: the promotion of destination regions. London: Routledge. 8. Hall (2010), Community development through tourism. New York: Landlinks Press. 9. Holman (2008), Yorkshire Miscellany. New York: Wiley. 10. Page (2009), Tourism Management: Managing for Change. New York: Butterworth-Heinemann. 11. Rodgers (2009), Travel and tourism: advanced. London: Routlege. 12. Smith (2009), Issues in Cultural Tourism Studies. London: Taylor & Francis. 13. Spencer (2008), Regional spatial strategy for Yorkshire and the Humber to 2016: based on selective review of RPG12. The Stationary Office. 14. Swarbrooke (2007), Consumer behaviour in tourism. New York: Butterworth-Heinemann. 15. Tribe (2007), Developments in tourism research, Volume 7. Elsevier. Read More