managing change a case study: niagara - okanagan...

PRESENTED BY:

ED BROOKER

NIAGARA COLLEGE

TTRA CANADA CONFERENCE

OCTOBER, 2008

Managing Change A Case Study: Niagara

OVERVIEW2

� Background – Driving down the ‘tourism highway’

� Oops – Road Construction (aka tourism downturn; the excuses)

� Did we miss the signs?

� What are our options?

� Perhaps the options are not the issue – the ‘driver’ is

� Relating all this to tourism research

Ed Brooker, Niagara College 'Managing Change‘, TTRA Canada 2008

BACKGROUND3

� Where have the tourist’s gone?

� They were here last year – they should be here this year!


19901990 20072007

� 703million international travelers

� 898million international travelers

� 6.5% average increase since 1950

� Source: World Tourist Organization

4

Start with Numbers


The Average The Average The AmericasThe Americas

� 6.5% (previous slide) � 2.5% annual growth rate

5

The America’s


Niagara Region6

� Key border crossing

� Key tourism area

� # of Americans coming to Canada dropping

� e.g. 14% drop in January, 2008 (TIAC)

� Same day car trips fell 20.4%

� 3.6 M overnight visitors are coming to NF, NY and 5.1 M to Buffalo but not crossing


The Detour7

� Drop in numbers attributed to various reasons:

� Passport Issues

� Currency Exchange

� Price of Fuel

� Terrorism

� SARs

� The Weather


TALC – An Alternative Explanation8

� Stage 1 – Exploration / Discovery

� Stage 2 – Discovery / Development

� Stage 3 – Development – Beginnings of Mass Tourism

� Stage 4 – Consolidation / Stagnation

� Stage 5 - Decline


Niagara’s Markets9

� Family Market

� Marineland

� Adults

� Casino

� Culinary

� Wineries

� Cultural

� Niagara-on-the-Lake


Niagara Visitor Mix10

Niagara Visitor Mix

0% 20% 40% 60% 80%

Day Visits

Overnight Pleasure

Overnight VFR

Overnight business

Other


Overnight AccommodationSource: Ontario Ministry of Tourism, 2007

11


Various SignalsVarious Signals Niagara’s SituationNiagara’s Situation

� Decline in visitors

� Emerging competition from newer destinations

� Destination no longer fashionable

� Outdated amenities

� New properties developing on periphery

� Diversification to conferences to keep #’s

� From 16 to 12 M

� New Casino’s in NF, NY (different reg’s)

� “It’s not the destination it used to be”

� Offering same

� Great Wolf Lodge

� New Convention Centre planned for 2009

12

Signs – of Maturity


Stoppin’ the slide

Rejuvenation Efforts

13


Longwoods Visitor and Image Study

2008 Study

Focused on the tourism issues facing Niagara

� Overall image compared to competition: “Great place to visit for a vacation

14


Efforts to Collaborate15

� At the Bi-National Level

� Binational Tourism Alliance

� Mayors – Niagara Falls

� At the Regional Level� Branding Niagara


Efforts to Rejuvenate16

� Branding – Econ. Development Initiative

� ‘N’ is...

� A symbol of an authentic place

� Flexible creative platform for communication

� Represents uniqueness

� A quality product, a badge of honour, a unifying force


Potential Guide Book Covers

17


The Flexibility of ‘N”

18


Need to Collaborate19

� Challenges

� STEs

� 12 Municipalities

� 4 key Markets

� Need to collaborate with New York City!


FAMILY BUSINESSES

NEED TO LOOK FURTHER AND DEEPER

20

What about the ‘driver’


How about some entrepreneurship?

� Need more than incremental improvements

21


The Necessary Shift22


Incremental vs. Radical InnovationAdapted from Callot, 2005

23

Adopted from

Flipo (2001)

Existing in the

firm

Not existing in

the firm

Existing on the

market

1

(modification,

adaptation,

revival)

2

(new service for

the firm)

Not existing on

the market

3

(service extended

but adapted to a

new market)

4

(totally new

service)


Market Driven vs. Market DrivingAdapted from Schindehutte, Morris and Kocak, 2008

24

� Market Driven

� Focus on customer

� Competitive positioning

� Market orientation

� Incremental innovation

� Market Driving

� Focus on all industry

participants

� Competition, alliances and

cooperation

� Entrepreneurial

orientation

� Radical / disruptive

innovation


Wrap -up25

� These principles can be applied to various contexts

� Ongoing research into the trigger points of innovation within SMTEs

� Thanks


managing change a case study: niagara - okanagan...

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