Improving value points to tourism's future. Moving towards recovery

Pictured (l. to r.) Neil Oliver, Broadcaster; AA Gill, Restaurant Critic; Mary Hanafin, T.D. Minister for Tourism, Culture & Sport; Redmond O'Donoghue, Fáilte Ireland; and Prof Andrew Frew, eTourism

The need for tourism to gear up for eventual global upturn stressed as Fáilte Ireland holds annual conference
 

Minister for Tourism, Culture and Sport, Mary Hanafin T.D., speaking today at the Fáilte Ireland Annual Tourism Conference 2011, “Moving towards Recovery”, held in the Dublin Convention Centre, emphasised the importance of tourism in any national economic recovery. 

Addressing delegates Minister Hanafin said – 

“Tourism is a vitally important industry and creates opportunities for employment and economic activity throughout the country.  Those who are involved in the tourism industry are resilient, having come through many challenges in recent decades and the tourism offering that we are continuing to invest in will help keep attracting new and repeat tourists to our shores. 

“We are at a critical moment in our economic history and the onus is on us to put in place a credible path to recovery through improving competitiveness and addressing our cost base. It is essential that we continue with strong policies and programmes which can accelerate the return to growth in Irish tourism as part of an overall export led recovery in the Irish economy. The World Tourism Organisation is projecting a recovery in international tourism arrivals next year of between 4%-5% and the attractive Irish tourism product, together with our improved value for money, should position us well to capitalise on the business opportunities.”

According to Fáilte Ireland CEO, Shaun Quinn, tourism’s contribution to national recovery must be rooted in market share gains across key overseas markets. Thankfully, this task may be made easier with latest research indicating significantly improved value for money ratings by visitors to Ireland this year.

In recent years the industry had relied heavily on domestic consumer demand. However, with our domestic market now likely to contract, a more concerted and aggressive effort must be directed towards developing international business. In fact, tourism could be an early beneficiary of economic recovery in important source markets such as the United States, Germany and Great Britain.

Though talk of recovery might seem incongruous to some, the conference heard that, compared to other industry sectors, tourism was better positioned to become an early adjuster to improved economic circumstances abroad.

Mr Quinn also stressed -

“Our own research is indicating a growing perception amongst our visitors of greater value to be had here. However, we need to get that perception out to potential future visitors also. During the boom, a view grew abroad that Ireland was an expensive destination of choice. In the last three years greater value has returned and we need to relentlessly hammer that message home to our key markets.

Overall, it is now clear that the tourism sector needs to build on emerging growth in our key overseas markets as well as the growing perception of better value here. We need to actively steer our way to a better business climate and passivity is not an option. There is certainly no point in waiting around aimlessly and hoping that something will turn up or, worse, taking a fatalistic view in the false belief that nothing good will happen. Irish tourism needs to move into a recovery phase in 2011. Recovery may take some time but it needs to start now.”

Mr Quinn pointed to emerging positives in key overseas markets, including encouraging signals from the important German market, and a number of other Euro zone countries which show that those markets look like they will strengthen further in 2011. Confidence in the American economy is improving albeit slowly, and there are also signs that increasing numbers of Americans are prepared to travel again. However, Mr Quinn also noted that British consumers have been through a very tough budget which will weaken demand in Ireland’s biggest overseas market and consumers in Ireland are facing into a similarly tough budget next month. Nevertheless, Mr Quinn emphasised -

“There is growing potential in Europe and North America and, while demand has softened both in Britain and domestically, there is still significant business to be won in these markets next year. What is very clear is that Irish tourism needs to be more savvy, and much more aggressive, in selling its product if it is to win business across all its markets.”

For today’s conference, Fáilte Ireland gathered a panel of distinguished speakers to each bring a particular perspective to how tourism can gear up for recovery. Discussions included a reflection on the current state of Irish consumers, and how they are adjusting their consumption patterns after the upheaval of the past few years as well as a revisiting of some fundamental truths about leisure and entertainment as central elements in the tourism business - and the particular importance of building and maintaining a distinctive sense of place in our tourism destinations. 

Other key topics for examination included the fundamental skills required to promote behaviours that generate profits, and the key role of technology and social media in getting Ireland Inc closer to important potential consumers and closing the sale. Also, on the idea of the recovery itself, the conference explored the basic question – what’s stirring out in those key markets?

(See attached note for a list of speaker biographies for further information)

Opening the conference earlier in the day, Redmond O’Donoghue, Chairman of Fáilte Ireland explained that it was a opportunity to try and peer around the corner, or look over the wall, and get a glimpse of what may lie ahead for Irish tourism. 

“When we consider the challenging economic environment that we are facing into right now, it is important to remember that recovery is achievable. In particular we need to recognise that important sectors of our economy such as tourism have the potential of moving towards growth and expansion in the medium term.  Economic conditions in our source markets are improving, and there are good reasons to expect a bounce in international demand next year. With the right attitude and skills, tourism has a vital role to play in this country’s recovery.”

ENDS

For further information please contact:

Alex Connolly
Head of Communications – 086 7966320/01 8847884

Note for editor

Fáilte Ireland, the national tourism development authority, was established in 2003 to guide and promote tourism as a leading indigenous component of the Irish economy.

The tourism and hospitality industry employs an estimated 190,000 people and generates more than €6 billion in revenue a year. 

Speakers at today’s conference included:

• Back to Basics in an Aftershock Society: Olivia O’Leary – TV and Radio Columnist

Olivia O’Leary has presented television and radio programmes for many years for RTE and the British Channels, BBC and ITV. She presents the ‘Between Ourselves’ discussion programme for BBC Radio 4, and does a weekly political column for RTE Radio 1’s Drivetime. Two collections of her radio columns have been published by O’Brien Press. She has co-written, with Dr. Helen Burke, the authorised biography of former President Mary Robinson, published by Hodder and Stoughton.

• Destination Concept – The Importance of Place in Tourism: Neil Oliver – Author and Broadcaster

Neil is an archaeologist, historian, author and broadcaster. Over the past few years Neil has become a familiar face as the lead presenter for the last four series for the BBC’s award-winning Coast programme in which the landscapes, history, natural history, geography and people of Great Britain and Ireland, past and present – are placed centre stage in a continuing voyage of discovery, remembrance and reminiscence.

Neil has also presented A History of Scotland for the BBC which illustrated how Scotland’s story lies at the very heart of the histories of Britain, Europe and much of the wider world. His books include A History of Scotland (2009); Amazing Tales for Making Men out of Boys (2008); Coast From the Air (2007) and Not Forgotten (2005). His other television credits include The History Detectives, for BBC2, as well as Time Team and The Face of Britain, for C4.

• Tourism as Entertainment – Serious Fun in the Restaurant Sector: AA Gill – Restaurant Critic and Writer

AA Gill was born in Edinburgh. He is the TV and restaurant critic for The Sunday Times and is a contributing editor to GQ magazine, Vanity Fair and Australian Gourmet Traveller. His books include two novels, Sap Rising and Starcrossed, two travel books, AA Gill Is Away, and Previous Convictions, as well as The Angry Island and Paper View. he writes regular pieces for The Sunday Times Magazine, for which he has won two Glenfiddich Awards. He lives in London and spends much of his year travelling.  

• Recovery in Source Markets – What’s Stirring Out There? Nico Zenner – President, Brendan Vacations

Nico Zenner has served as President of Brendan Vacations since May 2010. Prior to joining Brendan Vacations, Nico was President of Travel Bound and GTA North America Wholesale. Before going to Travel Bound, he was Executive Vice President of Marketing at Rail Europe Group (White Plains, NY). Prior to Rail Europe, Nico served as Director of Marketing for the Netherlands Board of Tourism in New York.

He spent the first 10 years of his career at Sabena Airlines, where he held various positions, such as Director Worldwide Distribution and Marketing as well as various overseas management positions. He holds a Bachelors Degree in Accounting and Business Management and a Masters Degree in Commerce. Originally from Belgium, Nico has been working in the US for 17 years and is a US citizen.

• Basic Truths – The key to Customers and Profits: Klaus Kobjoll – Hotelier

Klaus Kobjoll is one of the best-known successful private hoteliers in Germany, and is owner and acting Chairman of the “Schindlerhof Klaus Kobjoll GmbH”. Klaus opened the Schindlerhof country inn/hotel in Nuremberg-Boxdorf in 1984 and spent the next six years renovating and expanding the property, focusing in particular on the business and conferencing market. In 1990 he received the coveted award of “German Hotelier of the Year”, and subsequently was awarded the “German Marketing Prize” and the European Quality Award special prize for Outstanding Customer Focus in 2003.

Klaus is noted for his work in quality management through the European Foundation for Quality Management (EFQM). His acknowledged success in areas such as staff development, customer service and product innovation have underpinned his achievement in building the Schindlerhof into an internationally recognised brand in the hotel and conferencing market. Klaus is a regular speaker at tourism conferences and seminars, and he has written six books on staff motivation, marketing, and quality customer service.

• Basic Insights – It’s all about people – but technology gets you closer: Andrew Frew – eTourism Specialist

Professor Andrew Frew is a leading expert in eTourism. He has been active in the hospitality and tourism fields for the past 25 years specialising in the research, application and management implications of information and communication technologies. Currently he holds the Queen Margaret University Professorial Chair in IT and Tourism, and also serves as Director of Research for the School of Business.

Andy is immediate past president of the International Federation of IT & Travel and Tourism (IFITT) and former president of the Hospitality Information Technology Association (HITA), Fellow of the Tourism Society, and Advisory Board member of the Hospitality and Finance Technology Professionals (HFTP). He has had a longstanding industry involvement through advisory and consultancy work with over 100 completed consultancy projects in the past ten years including a variety of European Framework projects. Current research interests include electronic distribution, new media and computer-mediated sustainability.

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