Sustainable Tourism Development a Tour Operator Perspective
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1 Sustainable Tourism Development a Tour Operator Perspective Bruno Bisig General Manager Kontiki Reisen Helsinki, 14th November 2017 Version F02_Kontiki-Prasentation-Englisch_
2 Agenda 1. Introduction 2. Trends / Needs 3. Stackholder dialogue / values 4. Example Kontiki 5. Reason why 6. Next steps 7. Q&A Version F02_Kontiki-Prasentation-Englisch_
3 HOW WE UNDERSTAND SUSTAINABLE TOURISM Environment Balancing the use of environmental resources and the economic benefits of tourism Balancing the use of environmental resources and changes to the social/community values of those environmental resources Economic Balancing economic growth and development and the impacts of development on community/social values Social
4 SUSTAINABLE DESTINATION MANAGEMENT Demonstrate sustainable Destination Management Sustainable tourism strategy Tourism management organisation Tourism seasonality management Maximize social and economic benefits to the host community and minimize its negative impacts Economic benefit for local communities Local career opportunities / create all year round jobs Local satisfaction Maximize benefits to communities, visitors and cultural heritage, and minimize its negative impacts Attraction protection Visitor management plans Protection of community properties and rights Maximize benefits to the environment and minimize negative impacts Environmental assessment Ecosystem protection Waste management Greenhouse gas reduction Local transportation Conserving biodiversity and landscapes
5 SUSTAINABILITY MATCHES DIFFERENT MEGA TRENDS (source: Demand for responsible tourism products
6 AND WHAT DOES IT MEAN FOR TOURISM? (SOURCE: GOTTLIEB DUTTWEILER INSTITUT, UNWTO) Traditional Travellers Dine in Search for sun&fun Taking photos Inexperienced Limited information Group Homogenous Here today, gone tomorrow New Travellers Try local cuisine Search for experience Taking part Experienced Unlimited information Indivdual Hybrid See and enjoy but don t destroy
7 AND WHAT DOES IT MEAN FOR TOURISM? (SOURCE: GOTTLIEB DUTTWEILER INSTITUT, UNWTO) Traditional Travellers Dine in Search for sun&fun Taking photos Inexperienced Limited information Group Homogenous Here today, gone tomorrow New Travellers Try local cuisine Search for experience Taking part Experienced Unlimited information Indivdual Hybrid See and enjoy but don t destroy
8 SUSTAINABILITY IS AT THE CORE OF KONTIKIS VISION Our Vision: World leading Tour Operator in sustainable Tourism for the northern Countries Kontiki is a specialized Tour Operator for Finland, Norway, Sweden, Iceland, Arctic/Antarctic Founded 1979 in Switzerland Full time employees: 70 Annual customers: ~ Since 2015: REWE / DER 8
9 SUSTAINABILITY IS AT THE CORE OF KONTIKIS MISSION Our Mission: Kontiki is creating lifetime experiences which touches the soul Our clear value proposition: nature, silence, culture and space Our customer segments: nature observers, culture seekers, active engager 9
10 CRITERIA CATALOGUE FOR SUSTAINABLE PRODUCTS Transport Direct, flights offsetting On the ground as ecologically as possible Partner agency Locally well-anchored Committed to the Kontiki values Accommodation Smaller/family-owned accommodations Larger accomm. with label Excursions Real/authentic Transmitting cultural and ecological diversity Tour guide Local Building bridges between cultures Customer information Well prepared Background knowledge
11 KONTIKI AS A SUSTAINABLE COMPANY OUR FOCUS Management Guiding principles Stakeholder dialogue Monitoring KPI and continuous improvement Travel products Development of a criteria catalogue Product development - Authentic Label Destination development, > Implement e.g. new Luosto divisional structure (K1) > Accelerate e-business transformation Employees Fair salary, working > Develop hourswinning service models (style) Create all year round jobs Create carrier opportunities in the destinations Community involvement Support for projects with a strong link to our destinations
12 PARTNERSHIPS AS AN IMPORTANT SUCCESS FACTOR
13 KONTIKI FULLSERVICE-RESTAURANT 13
14 REASON WHY: TOURISM IS LIKE FIRE: YOU CAN COOK YOUR DINNER ON IT, BUT IT CAN BURN DOWN YOUR HOUSE. (ASIAN SAYING)
15 REASON WHY: TOURISM IS LIKE FIRE: YOU CAN COOK YOUR DINNER ON IT, BUT IT CAN BURN DOWN YOUR HOUSE. (ASIAN SAYING) Ø No rules & regulation for tourism development Ø No common values Ø Short term thinking Ø Particular interests / egoism Ø Strategy not based on customer experience and no customer focus Þ Uncontrolled development Þ Poor customer experience Þ Not profitable in the long term
16 COMPETITION WITHIN NORDICS / FINLAND ROOM FOR IMPROVEMENT = POTENTIAL FOR UNKNOWN REGIONS Saariselkä Levi Do better be different! Rovaniemi Äkäslompolo
17 COLLABORATION ALONG THE VALUE CHAIN IS NEEDED Common values Customers Suppliers Tour Operator (local) Investors Politics Visit Boards Expect clear value proposition Develop authentic experiences and use sustainability labels Marketing and selling products sharing common values Foster dialogue between business and politics and markets Define and enforce rules & regulations for development Expect legal certainty and clear future values in the destination
18 NEXT STEPS - RECOMMENDATION Management Defining Vision / Mission along Finnland s Tourism strategy Define relevant Stakeholder dialogue Defining common values in your area Define Guiding principles (markets / development) Defining KPI and Monitoring > Implement new divisional structure (K1) Travel products Development > of Accelerate a criteria catalogue e-business for transformation sustainable tourism (destination > Develop certification) winning service models (style) Define Label Certification Product development new products Define continuous improvement process Community Involvement / politics Change rules and regulations to secure the development (and your longterm values)
19 REASON WHY: WHAT IS THE RETURN OF INVESTMENT (ROI) Ø Authentic customer experience Ø Customers feel welcomed /mouth-to mouth promotion Ø Long term attractiveness of destination Ø Product innovation Ø International competitive advantage Ø Protect resources and safe costs Ø All year round jobs Ø Income for communities and increased taxes
20 REASON WHY: INCREASING CUSTOMER EXPECTATION Consumer expectations 22% of travelers indicated that sustainability is within the top three factors when booking a holiday (Kuoni survey 2011) Almost 50% would be willing to pay more for sustainable products In Germany 43% of the travelers would like to receive more information about sustainable tourism The average growth of sustainable tour operators is about 9% - the mainstream market is growing by 1% only (Bank Sarasin) BUT: Most of the customers do not actively ask for sustainable products they expect from us to make it easy for them and provide them with the relevant information. 20
21 NOT ONLY IN TOURISM THIS PARADIGMSHIFT NEEDS TO BE ANTICIPATED OTHER INDUSTRIES ARE DOING THIS ALREADY
22 THANK YOU Q&A 22
23 CONTACT DETAILS Contact Details: Bruno Bisig, Managing Director Kontiki Anita Stauffer, Head of Product Emma Arvidsson, Project Manager Corporate Responsibility Matthias Leisinger, Project Manager Corporate Responsibility
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