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DEVONPORT LOCAL TOURISM ASSOCIATION

a blueprint for tourism stakeholders in the Devonport and Cradle Valley region

Date: May 2008

DEVONPORT LOCAL TOURISM ASSOCIATION a blueprint for tourism stakeholders‌ DATE: May 2008 CONTENTS Acknowledgements

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Process

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Context

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Guiding principles

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Study area

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Potential outcomes

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The plan

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Organisational structures

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David Reed and Sarah Lebski

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Acknowledgements

Process

The consultants, David Reed and Sarah Lebski would like to thank those industry stakeholders whose generous contribution enhanced our knowledge and understanding of the project, specifically

The following model for a Devonport tourism industry association is based on desktop research and a series of discussions between the consultants and representatives from local government, Cradle Coast Authority and the local tourism industry. The consultants have also drawn on the results from an industry forum held at The Edgewater Motor Inn in September 2007, attended by more than forty stakeholders.

Ian Waller Wayne Bolton Wolfgang Koch Sue Elliott Ian McCallum Darrin Cunningham Gerald Monson Evonne Ewins Sandra Ayton Bob Vellacott Judy Moore Sue Parravicini Vicki Saunders Karen Phillips (GWT Tourism Assoc.)

Lorraine Green (Heritage Highway Tourism Region Assoc.)

Context ‘In building a sustainable tourism industry no community can work in isolation. While parochialism will continue to exist across any region, all stakeholders need to be mindful of the fact that visitors do not recognize local government boundaries, therefore, intra-regional partnerships are essential’. Rob Tonge, Devonport Strategic Tourism Study, 2001, p.12 Based on stakeholder input, the consultants have decided to deviate from the Brief in several areas. In doing so, we believe that our approach reflects the key objectives; strong industry ‘ownership’ and a sustainable model that will build a resilient and effective tourism association.

The original brief sought a model for the development of a combined Devonport/Latrobe association. However, the consultation process suggested the immediate formation of a Devonport-based association which could provide the model structure for other, smaller tourism groups focusing on issues specific to their respective municipalities – ie. Latrobe, Kentish, Central Coast and possibly Meander Valley. In some instances, for example, the Kentish/Cradle Valley area, there may be existing models; in the case of Latrobe, it is anticipated that a tourism association will be established in the very near future. It is likely that a number of groups

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will evolve over time, and in the absence of robust, industry leadership, they may require some assistance from their Councils and perhaps, Cradle Coast Authority. Ultimately these separate tourism groups may well be subsumed by one, larger organisation.

In any case, the process is likely to be organic.

The consultants are also conscious of the significant contribution to tourism that is facilitated through the various Councils and their officers. It is not our intention to suggest in any way, that an industry association should somehow replace these roles, but rather that all parties should work closely together to achieve a cohesive, strategic and shared vision for industry and community.

It is clear, however that Devonport is already in a position to lead the way, with sufficient stakeholder interest as well as funding and administrative support from The Edgewater Motor Inn guaranteed for the first year of operation.

Guiding principles Industry stakeholders repeated some common themes throughout the consultation process regarding their broad vision for a local tourism association (LTA): the concept of ‘starting small’ or ‘walk before you run’; the need to build credibility; the desire to develop an industry-led association, rather than being beholden to other parties; initially to develop a network of small, locally-focused associations or groups rather than a ‘super’ association; developing a tourism/service culture is the first and most important role of the Devonport association.

Many industry stakeholders consider that marketing should be the highest priority for such an organisation. Given that there are various bodies already involved in promoting the area, it will be important to embrace these existing opportunities, rather than duplicating them.

David Reed and Sarah Lebski

As the Association matures, its members may choose a range of other, complementary marketing activities.

There were some additional, generic points agreed upon: that the success of a tourism association is usually linked to strong leadership provided by a small, highly motivated group; that ‘volunteering’ of administrative activities leads to inaction and therefore a remunerated position is essential, albeit on a part-time basis at the outset; and that local government-led or incubated associations do not seem to provide longevity.

Study area The consultants made the following observations which are relevant to the process: Currently there is a groundswell of goodwill and support regarding the development of a local tourism association; local government and industry leaders are particularly motivated and discussions indicated a commonality of purpose. To ensure the continuing engagement of the wider industry however, timing is critical, as it is now more than six months since the initial forum.

The Devonport, Latrobe and Kentish Councils already work well together on marketing Devonport and Cradle Country, however industry buy-in to this particular activity has not eventuated.

There is untapped potential for mutual cooperation and benefit between a new tourism association and other existing organisations in Devonport – ie. the Devonport Chamber of Commerce and Industry and Devonport City Promotions.

Devonport already has the framework for an industry-led tourism association; Latrobe, on the other hand, is not at the same stage. In the consultants’ opinion, the development of a Devonport 4

association appears inevitable and our task is to harness, channel and shape current opportunities.

Devonport is also the major gateway to surrounding visitor zones.

Potential outcomes

If, at this early stage, there is a need to frame an industry response to a significant issue, it could be provided through joint representation reflecting a shared view. It may only involve the Devonport and Latrobe associations for example, until such time as a more substantial and well-resourced structure is in place.

The current level of motivation and engagement from a variety of stakeholders indicates that in the next four years or so, a highly competent tourism association may develop from a number of successful smaller associations; this combined group could enable the industry to ‘speak with one voice’ on a broad range of tourism issues. As such, it would provide a reference point for the range of partnerships which will be crucial to sustainable tourism development.

In the consultants’ view, the Association’s development should focus on building a strong base before attempting a multitude of timeconsuming and more difficult tasks. It would also seem unwise to try and deviate from the stated objective of some tourism operators to start a local association in Devonport. If the key drivers were to immediately extend their involvement to Latrobe or Kentish for example, they may run the risk of ‘falling at the first hurdle’.

Once the Devonport association is in place, it would be desirable to emulate the model in Latrobe and subsequently in other neighbouring municipalities. In other words, Devonport becomes the blueprint with Latrobe following soon after.

Initially and as the smaller, local tourism groups develop, they will remain within a Council-centric framework with their respective Chairs liaising on matters of common interest. This approach should build trust and credibility between the respective Councils and their tourism bodies.

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The plan Stage one For the purposes of this initial draft, the consultants will focus on the following components of a Devonport-based tourism association: Vision Mission Objectives Values Potential structures Vision To develop a successful fraternity of like-minded tourism operators with a view to building and nurturing a highly professional and sustainable tourism industry in the Devonport municipality.

Mission That the Devonport Local Tourism Association in partnership with the Devonport Council strives to build and nurture a service culture that will deliver the best possible visitor experience.

Objectives The following objectives have been divided into three stages, however there is a simple, yet fundamental principle which must permeate the Association to ensure its longevity and success - the ability for all stakeholders to work together towards agreed common goals. In an increasingly competitive tourism market, the concept of acting locally and thinking globally is paramount.

David Reed and Sarah Lebski

Tourism industry development: appropriate skills training and professional development; industry knowledge; accreditation; provide networking opportunities for all industry stakeholders – eg. social functions, famils; and encourage mutual cooperation between businesses – eg. referrals, brochure exchange.

Communication: act as a clear, accurate and representative communication hub for operators, State and local government, Cradle Coast Authority and the broader business community; raise community awareness regarding the value of tourism through positive public relations.

Representation: represent the members’ views in a wider regional context/forum – eg. airport and infrastructure issues, signage, festivals and events; and provide advice to industry partners regarding services and amenities – eg. parking, town beautification, East Devonport tourism facilities.

In short, the Association will need to track what's happening, provide an update to its members and exert appropriate pressure to get the job done!

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Stage two

Organisational structure: options

It is envisaged that as the Association becomes stronger and more established, it would engage with the Council regarding some more specific and tangible objectives including: marketing; council involvement in tourism; visitor information services; research; and product and industry development.

There are number of options for an organisational structure and choosing the right one needs some clear understanding of relationships and activities with which the LTA may be involved – both now and in the future.

Stage three Given the potential time-frames and variables that may occur in the earlier stages, it would be unrealistic to adopt a prescriptive approach regarding the Association’s role several years from now.

However, there are a number of roles and responsibilities that may be absorbed by such an organisation in due course.

Values Regional cooperation A forum to explore local tourism issues High-level professionalism A local tourism culture A strong link to Council and the broader business community Commitment to a Code of Ethics ∗

In due course, the organisation should hopefully develop a formal relationship with its local Council, ie. Devonport, and it may well seek some funding in the future from State or local government for a number of activities. It needs to be flexible in its operations, its funding mechanisms and its membership base in order to accommodate the inevitable, annual fluctuations.

There are essentially four structural options for a Devonport tourism association: a cooperative; a registered company; an incorporated association; or an unincorporated association.

By process of elimination, a cooperative is not a preferred option; its assets are owned by the collective members, there is an issue of liability by its members and it is complicated for members to leave (and to be paid out) as they are all shareholders.

A registered proprietary limited company is a very versatile vehicle, however the accounting and ASIC reporting structures are quite an imposition, and costly. Company annual returns and audit procedures are expensive, regardless of the size and scale of the company.

TICT’S Code of Ethics (Tourism Accreditation Program) or the more detailed Tourism Alliance Victoria, Members Code of Ethics both provide good examples.

An incorporated association is relatively easy to set up and manage and has the advantage of being sufficiently flexible to enable variations in membership numbers without an overly formal process of administration.

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Given the complexities of both a registered company and a

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cooperative, it is suggested that an incorporated association is more appropriate. (This may apply to the Devonport LTA and/or an umbrella authority under which the LTA may choose to reside.)

It is also worth noting that a number of other Tasmanian regional and local tourism associations have adopted the same administrative arrangements – eg. the Great Western Tiers Tourism Association, the Heritage Highway Tourism Region Association and the Burnie Tourism Association.1 An unincorporated association offers a further option. It is not a legal entity, but merely representative of its members, however for the purposes of the Devonport LTA (and others) it may provide a simple and practical structure initially. (Ultimately the Association may need to become an incorporated organisation, particularly if it wishes to seek government funding.)

Under such an arrangement, the Devonport LTA would be part of an umbrella/ parent organisation that is incorporated, either: as a sub-committee under the auspices of the Cradle Coast Authority (CCA) for an initial twelve-month period (or shorter if considered appropriate); or be hosted by another organisation that may provide this support, such as the Devonport City Council, or the Devonport Chamber of Commerce.

This option has the following implications: CCA would act as an incubator for the first twelve months, providing encouragement and resources. Its continuing involvement could be re-assessed at the end of a prescribed timeframe CCA may enable a funded position to assist the fledgling association CCA would save the need for multiple incorporations; some LTAs may baulk at the perceived complexity of incorporation.

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On the other hand: LTAs may feel that their independence is jeopardised by a close relationship/reliance on CCA There was a stated desire for the Devonport Association to be industry-led Some LTAs may become too dependent and never develop to the stage where they can stand alone.

The two choices Put simply, the steering committee now needs to make a decision about how to progress the development of an LTA for Devonport.

Given the guiding principles stated previously, industry buy-in and administration of an LTA are the keynotes for success An incorporated body is the recommended structure That structure can be achieved independently - or under an umbrella - and the CCA has offered one already Should the steering committee not chose the CCA offer, then other options will be canvassed with the industry Such a structure does not affect the goals, vision and values outlined within this report.

Refer to the attachments for further information (to be provided)

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David Reed and Sarah Lebski

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