Tourism is a global industry. It is considered to be the world’s largest economic activity and accounts for about 10% of global GDP (WTTC, 2006).
It makes for a complex industry encompassing a wide range of diverse industry sectors that vary both in nature and in demand. Its complexity is due to its high level of fragmentation and customisation, made up for,
mostly, by small SME’s in different geographical locations, and having perishable, inconsistent and oftentimes intangible products.
A given jurisdiction’s touristic destination characteristics and industry are highly affected by regional and local politics and policies, and are made up of a multidimensional conflation of macro- and micro- product features that are developed and marketed to dynamic and heterogeneous markets.
The destination itself is a product that needs to appeal to a wide range of markets, such as, for example, the Meetings Incentive Conference Events sector, cultural sector, leisure, English Language Sector, Sports, Groups, Individuals, and business travel. It also needs to appeal to and attract people from different geographical locations having their own language, age, race, economic standing, cultural norms, tastes and demands with diverse motivations and purposes to travel and spend their money while doing so.
Moreover, on a macro level, the touristic product is developed, funded, managed and marketed by both private and public sector entities such as government ministries, tourism authorities, hotels, and Destination Marketing Organisations (DMO’s), all having their own ways of dealing with the product, own limitations and resource-based challenges. This sometimes makes it challenging to create the optimal synergy between the stakeholders required to maximise tourism revenues, and the level of understanding between public and private sector stakeholders, all of which are ultimately striving to attain the same goal (i.e. to get the right tourism destination mix from different perspectives) is not always as good as it ought to be for product development to take place in a way that is oriented towards the maximisation of revenue from tourism.
The tourism industry is worth developing and investing in since tourism is lucrative, generates employment, has, in certain sub-sectors, proven to be resilient in recessionary times, and brings about economic benefits which normally outweigh its associated negative features if undertaken sustainably. The following are positive economic impacts that highlight the importance of tourism as an economic activity within a destination:
- Labour intensive – Creation of employment opportunities
- A development agent for isolated, peripheral areas and Small Island Development States
- Source of tax revenues
- Makes the provision of new infrastructure such as roads and electricity supply, which would not have been developed had it not been for tourism, economic
- Stimulation of entrepreneurial activities among locals
- Increase in trade and an important source of foreign currencies
- Tourist Expenditure in a destination results insignificant direct and induced secondary and tertiary benefits to the local economy (the so-called multiplier effect)
Equinox Advisory professionals practice in both public and private tourism industry issues and have strong academic and research experience. This makes the professional advice given by our members one based on an in-depth understanding of the ideal and practical roles of both. In giving advice, we take into account the perspectives, issues, priorities and difficulties facing both public and private sector entities from a practical perspective underlying which is the latest academic research.
At Equinox we offer professional insight and planning tools to strike a balance between tourism development and tourism numbers and keeping the quality and integrity of the tourism destination. We offer solution to the following tourism sectors and areas:
- Destination Development and Marketing
- Cultural and Heritage Tourism
- Tourism Satellite Account
- Prosperity and Development
- Tourism and Environment
- Tourism-related Feasibility Studies
- Disaster and Emergency Planning
- Heritage sites and museums
- Tourism Development for Small Island Developing States
- Spatial Planning, Culture, Tourism and Regeneration
- Health and Wellness Tourism
- Youth Tourism
- Gastronomic Tourism
- Transport Tourism
- Tribal Tourism
- Rural Tourism
- Luxury Tourism
- Film Tourism
- Sports Tourism
- Wine Tourism
- Backpacker Tourism