Building Tourism Tourism Strategy for the Fehmarnbelt region

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1 Building Tourism Tourism Strategy for the Fehmarnbelt region

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3 Tables of Contents Foreword... 3 Executive Summary... 4 Introduction... 8 Analysis Project Catalogue Business-to-Business initiatives Marketing initiatives Transport initiatives Sports initiatives Cultural initiatives Roadmap for the Future Building Tourism Tourism Strategy for the Fehmarnbelt region

4 Foreword A new closeness With the opening of the tunnel across Fehmarn Belt in 2021, Northern Europe embarks on a new adventure. Mobility will dramatically improve, as the around 10 million inhabitants closest to the link will be directly affected. Additionally, millions more will over the years be sporadically affected by the tunnel by experiencing a new and closer corridor linking Central Europe and Scandinavia. The exact effect that this development will have on the surrounding countries and regions is impossible to predict. Other so-called game changing infrastructure projects have taught us that they tend to create activity, growth, and lead to a change in the labor and housing market, sometimes moving the economic center of gravity or adding new economic developments to the already existing. However, knowledge is the primary factor in order to be able to maximize the benefits of improved accessibility. We need to learn about the new opportunities, we need to understand the upcoming new closeness to use it as our new playground, whether it is in our professional life or as tourists, shoppers or cultural consumers. Visiting each other is actually the most educational way of getting to know the new territories, our neighbors and their culture making good use of the new closeness. The partners behind this study therefore hope that the following analysis and project catalogue will be the start of a venture. A venture where we, as one, can educate ourselves, the 8.3 million people living in the STRING geography in Northern Germany, Zealand and Skåne in Sweden, on what our neighbors have to offer and which ventures are available both in the metropolises of Hamburg and Copenhagen and in the smaller cities and countryside of Skåne, Zealand, and Schleswig-Holstein. The second achievement we are hoping for the analysis to result in is to enable the creation of a new competitive tourism product consisting of the whole region; creating a coherent and attractive picture of this new entity, to attract new tourists from all over the world. Both these achievements are desirable: the first one, the internal, will improve mobility across borders, which result in regionalization and economic growth. The second, the international, will convey the image of a new, interesting part of Europe, based on green growth, welfare and security thereby attracting both visitors, investments and companies. It is our hope that the central stakeholders in Sweden, Denmark and Germany will join us in developing the strategies and ideas laid out in the following pages. Building Tourism Tourism Strategy for the Fehmarnbelt region

5 Executive Summary Why develop a tourism strategy? We perceive tourism as a strategic asset for growth and development. Tourism creates more than hotel nights and turnover within the core of the tourism industry. It creates jobs, international awareness, networks and a basis for strategic infrastructure such as airports, arenas and congress centers. Tourism is a value chain product linking numerous business sectors together in order to deliver a comprehensive tourism product to the consumer. When tourism is perceived this way, it becomes clear why this sector is important to the future growth and development of the Fehmarnbelt region. The tourism strategy will ensure, that the region is well prepared to capitalize on the potential tied to the establishment of the fixed link. Ambition: Product Development to Increase Turnover We aim to create a series of new and attractive tourism products based upon the improved accessibility. We do this to increase regional turnover and job creation, while at the same time encouraging the sustainable development in the tourism business of the Fehmarnbelt region. The Fehmarnbelt region is to be known internationally as an attractive, innovative and coherent tourism destination. The Fehmarnbelt region is to be leading within the field of sustainability and green growth an area where the tourism industry shall continue to be first mover. Success Criteria: Initiatives Must Contribute to Growth The tourism strategy inscribes itself in an overall growth agenda, because it shall contribute to: Increase mobility across the region s borders and thereby create integration Expand the common market place to attract more international tourists Act as a catalyst for a common labor market, housing market, trade and services across borders Lift existing regional visions and development plans Develop attractive and coherent stories about the region Strengthen the sense of belonging to the region Create better experiences/tourism products for the region s inhabitants and tourists Raise the awareness of a common cultural heritage among the region s inhabitants Defining the Region: Complexities and Challenges In our definition the Fehmarnbelt region covers Northern Germany, the eastern part of Denmark and southern Sweden. More particularly, the North German sub-states of Hamburg and Schleswig-Holstein, Region Zealand and the Capital Region of Denmark as well as Region Skåne in Sweden. In many ways it s a region of contrasts and opposites, but at the same time it s a region sharing a common history and culture dating back several centuries. It s a region characterized by a Northern European mentality, when it comes to key issues such as welfare, education, democracy and sustainable development. To be honest, the Fehmarnbelt region is, at the moment of writing, perhaps more a political vision than a natural reference point for inhabitants across regional borders. This poses several challenges for a tourism strategy, because it must be able to reach across differences and formulate a collaborative road map for the future, where people increasingly experience a genuine sense of regional belonging not present today. It must also be able to formulate ways of connecting metropolis and countryside into an attractive tourism product that meet the increased demand for such combined experiences. Analyzing the Region: Large upside potential Three major analysis have been carried out: 1. SWOT analysis of each region, combined in a joint SWOT for the whole region 2. Statistical benchmark analysis 3. Stakeholder analysis among 438 tourism stakeholders and partners within the region The major findings from the analysis are: SWOT analysis: The region is an awakening growth destination and the potential for growth is there There is a need for awareness campaigns within the region There is a need for increased infrastructure between the two metropolises Create reason to go for both intraregional and international tourists Tourism product development in areas where the region possesses strong products/ clusters that have a demographic and historical advantage Statistical benchmark analysis: The region has a considerably large tourism industry with 58.8 million bednights and 11.1 million international bednights during 2011 Tourism in the region is growing nicely through the period of Europe s financial crisis (16% from ) The region s tourism industry is slowly becoming more internationalized The intraregional tourism exchange is still at a low level, but has enormous growth potential In a sample of 11 Central-North European cities, Hamburg City is the fastest growing tourism destination Stakeholder analysis: Strong belief in an increased tourism potential for growth once the link has been established Tourism turnover and arrivals are expected to increase in the future Growth is expected particularly in the city break segment and one day visitor 4 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

6 Growth is expected to come primarily from the German source market Future fields of corporation lie within strategic partnerships and joint product development of cross-border products/experiences (e.g. themed tours, packaged tours) Project Catalogue: Internal and External Input The project catalogue consists of 16 initiatives which aim to stimulate tourism in various ways. They are grouped under the categories Business-to-Business, Marketing, Transport, Sports and Culture. Roadmap for the Future: How to Proceed The project initiatives can be seen collectively as a suggested roadmap for future tourism collaboration across the entire Fehmarnbelt region, but here are some additional and more general considerations on how to proceed. Short term focus should be on building relations and gaining experience. The first phase from must focus on establishing a solid foundation for this to happen. Bringing stakeholders closer to each other is a key issue, since this serves multiple purposes. The project catalogue is the result of a process including a series of internal workshops within the tourism organizations and external workshops involving major tourism stakeholders from the regions comprising the Fehmarnbelt region. However, it was a challenge to mobilize stakeholders in the process, perhaps because the topic of the Fehmarnbelt region still lies somewhere in the distant future for most. Previous experience has shown, that early preparation on major infrastructural change secures the best results, which is the motivation behind the strategy. Three general areas aligned with the specific initiatives in the project catalogue must be given special attention: Collaborating: Meet on a regular basis to share knowledge, align strategies and focus areas Learning: Plan and execute test projects with an intraregional scope in order to gain practical experience and mentally prepare inhabitants to become one region Communication: Define our tourism product for the future purpose of communicating more effectively to international press and visitors Initiative 1: Tourism Organization Collaboration One initiative should be highlighted here, since it has a major influence on the other initiatives and is thus considered vital to the realization of the strategy. Today there is no formalized forum, where the tourism organizations from the five regions comprising the Fehmarnbelt region can meet. As a consequence, there is little knowledge about past experiences, existing activities and future strategies across the region. If we are to succeed in developing the Fehmarnbelt region as one tourism destination, the process must begin within the tourism organizations. The collaboration is to function as a platform for knowledge sharing, development of collaborative projects, synchronization of activities and themes etc. It is suggested, that beginning autumn of 2013 representatives from each tourism organization will meet three times annually at alternating locations. 6 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

7 3. Introduction Tourism: A Value Chain Product According to UNWTO, tourism comprises the activities of persons traveling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes (source: By applying this definition, we include both same-day tourism and visits of a longer duration. Ambition: Product development to increase turnover The tourism strategy is based upon an ambition to inspire collaboration across the region to achieve great results: We aim to create a series of new and attractive tourism products based upon the improved accessibility created by the establishment of the fixed link. We do this in order to increase regional turnover and job creation, while at the same time encouraging the sustainable development in the tourism business of the Fehmarnbelt region. But there is more to a tourism definition than the above. We perceive tourism as a strategic asset for growth and development. In other words, tourism creates more than hotel nights and turnover within the core of the tourism industry. It creates jobs, international awareness, networks and a basis for strategic infrastructure such as airports, arenas and congress centers. The Fehmarnbelt region is to be known internationally as an attractive, innovative and coherent tourism destination. The Fehmarnbelt region is to be leading within the field of sustainability and green growth an area where the tourism industry shall continue to be first mover. Overall, the tourism strategy is to ensure, that the Fehmarnbelt region will be prepared The important point is that tourism is to be understood as a value chain product linking numerous business sectors together in order to deliver a comprehensive tourism product to the consumer. Tourism is the only completely destination bound industry, since it can t be outsourced or moved elsewhere. It s also an industry returning VAT and other taxes directly to the tourism destination. to act proactively in relation to the intensified international competition for tourists. This will primarily be achieved by strengthening the tourism industry throughout the region via knowledge sharing, dialogue and cooperation leading up to and after the opening of the fixed link in The tourism strategy shall also result in increased regional integration, job creation 1, In the Capital Region of Copenhagen alone, for example, the tourism industry employs 43,000 people and has an annual turnover of 4.4 billion EUR. The consumption from international tourism accounts for 3.4% of the total export from Denmark (source: When tourism is perceived this way, the importance and the effect of the industry is reflected more properly. development of new tourism products and innovative coupling of existing ones. Success Criteria: Initiatives Must Contribute to Growth The tourism strategy inscribes itself in an overall growth agenda, because it shall contribute to: Increase mobility across the region s borders and thereby create integration Expand the common market place to attract more international tourists Figure 1 below illustrates examples of the different interrelated dimensions of tourism: Act as a catalyst for a common labor market, housing market, trade and services across borders FIGURE 1 Lift existing regional visions and development plans Develop attractive and coherent stories about the region Components Business Areas Primary Stakeholders Secondary Stakeholders Strengthen the sense of belonging to the region Create better experiences/tourism products for the region s inhabitants and tourists Transport Shopping Catering Accommodation Facilities (congress centers etc.) Attractions/ experiences Events (culture, sports and science) Cruise City Breaks Family vacations Transport Retail Restaurants Accommodation providers (hotels etc.) Facilities Museums/attractions Service providers (guides, translators etc.) Business and interest organizations Knowledge institutions Companies and a broad context dependent selection of stakeholders with an interest in tourism development Raise the awareness of a common cultural heritage among the region s inhabitants 1) See Analysis chapter and appendix 10 for estimations on future job creation as a result of the establishment of the fixed link in Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

8 Setting the Scene: A Complex Region What is the Fehmarnbelt region? And how does it reflect upon a tourism strategy? Just as we need to define the term tourism, we must briefly portray the region. In our definition the Fehmarnbelt region covers Northern Germany, the eastern part of Denmark and southern Sweden. More particularly, the North German sub-states of Hamburg and Schleswig-Holstein, Region Zealand and the Capital Region of Denmark as well as Region Skåne in Sweden (source: STRING) see Figure 2 below. The Fehmarnbelt region, however, is not to be considered as a fixed entity. In many cases it will reach outside the aforementioned geography, since the effects of the new infrastructure is expected to be noticeable further to the south in Germany and to the north in Scandinavia. Figure 2 terized by a Northern European mentality, when it comes to key issues such as welfare, education, democracy and sustainable development. To be honest, the Fehmarnbelt region is, at the moment of writing, perhaps more a political vision than a natural reference point for inhabitants across regional borders. This poses several challenges for a tourism strategy, because it must be able to reach across differences and formulate a collaborative road map for the future, where people increasingly experience a genuine sense of regional belonging not present today. It must also be able to formulate ways of connecting metropolis and countryside into an attractive tourism product that meet the increased demand for such combined experiences. The catalyst for this process is off course the establishment of the fixed link in the sense that it introduces game changing conditions for travel and interaction, not least within the field of tourism. Outlook: A European Perspective Even though the construction of an 18 km. tunnel connecting the German island of Fehmarn with the Danish island of Lolland is a unique project, it s not the first time once separated destinations have been linked together. Denmark has seen its fair share of infrastructural mega projects in recent years, starting with the Great Belt Bridge in 1998 and the Oresund Bridge connecting Denmark and Sweden in Figure 3 (source: STRING) below illustrates the number of passengers per year in comparison to the ferry crossing between Rødby and Puttgarden: Figure 3 Passengers per year for existing connections 30,000,000 25,000, / ,000,000 15,000,000 PICTURE: STRING 10,000,000 5,000,000 Almost 9 million people live in the region, distributed as 1.2 million in the Swedish part, 2.5 million in the Danish part and 5.2 million in the German part. Hamburg and Copenhagen are the region s largest cities with 1.8 and 1.2 million inhabitants, respectively. Other major cities include Kiel, Lübeck, Rostock, Malmö and Helsingborg. The surrounding and less densely populated parts are comprised of vast coastlines, large agricultural areas and nature, particularly in Sweden. Three different languages, three different currencies and three different legislative systems. In many ways it s a region of contrasts and opposites, but at the same time it s a region sharing a common history and culture dating back several centuries. It s a region charac- 0 Great Belt Öresund Rødby-Puttgarden Source: STRING The number of passengers increased by 369% from the last full year without the Great Belt Bridge, to the first full year with both rail and road traffic on the new fixed link. In 2011 the traffic had reached a 528% raise compared to the situation before the link. On the Oresund Bridge you see an even more dramatic change with an initial growth of 381% the first year, and 1.136% after 10 years. In the same period, the number of passengers crossing the 10 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

9 Fehmarnbelt using the ferries between Rødby and Puttgarden has not changed. This tells us that fixed links, improved accessibility and of course a lot of behavioral changes, really can make a difference that is hard to imagine in advance. In the case of the Oresund Region there is, however, still some way to go, before the majority of Danish and Swedish inhabitants cross the bridge regularly to make full use of various attractions on the other side. Surely, the generation growing up today will have a more borderless approach to where they work, play and settle down. The impact of such mega projects will first become fully visible many years from now. In 1994 the Channel Tunnel was established as a key element in the transport infrastructure linking Britain and Continental Europe. Here, the development in traffic has not been quite as significant as the examples above. The first full year in operation reported a total of 7.3 million passengers, while 2012 showed a total of 18.2 million passengers. A 249% raise in 18 years. 4. Analysis In this section of the strategy the focus is on the regions current strengths and weaknesses within tourism, the volume of the tourism industry in the region, as well as the expectations of the regions stakeholders to future growth potential in tourism. Three major analysis have been carried out: 1. SWOT analysis of each region, combined in a joint SWOT for the whole region 2. Statistical benchmark analysis 3. Stakeholder analysis among 438 tourism stakeholders and partners within the region The results of the three different analysis have together with a number of workshops with stakeholders, formed the basis for this strategy. Full analysis reports are placed in the appendix. Perhaps what s more important than the figures is the larger impact in terms of creating an integrated region, where labor and leisure segments move freely: Despite the success of the Channel Tunnel in terms of passenger numbers, the English Channel still represents a psychological barrier (partly due to language differences) and the frontier zone has failed to develop as an integrated labor zone (source: The Channel Tunnel: transport patterns and regional impacts, by Thomas P.R. and O Donoghue, D.). To conclude, a game changing improvement of infrastructure such as the fixed link introduces a high potential for increased mobility and interaction across borders forming the basis for economic growth. But cultural, mental and physical barriers must be taken into account and addressed through various concrete initiatives to successfully transform potential into results. In this context, tourism is in many ways the ideal catalyst for such a process. It s a business sector closely linked to positive and personal experiences, which have the power to push our boundaries. Tourism is one of the first and most straight-forward tools that can be implemented to create integration between the inhabitants of the region. Tourism is also one of the initial drivers of the future prosperity of the region as a whole making a collaborative tourism strategy all the more important. Overall, the analysis reports show that the Fehmarnbelt region has a considerable large tourism industry with almost 60 million bednights. The regions tourism product is rich and diverse and holds the potential to be one of Europe s most attractive growth destinations for both leisure and business tourism. Nevertheless, the region also faces a number of weaknesses and challenges that needs to be addressed in order to fulfill this potential. The development in tourism after the fixed link has been established is expected to have a significant positive influence on tourism turnover and job creation. Particularly, if recommendations and initiatives described in this strategy are implemented. Tourism is a very job intensive industry, employing particularly young and unskilled workers. The increased tourism development in the region is expected to reach accumulated approximately 1.5 million extra bednights after the fixed linked has been established, resulting in a turnover of approximately 1.2 billion EUR and a job creation of approximately 12,800 fulltime jobs (see also appendix 10). SWOT analysis The SWOT analysis is based on the five individual SWOT analyses of each of the five sub regions encompassing the Fehmarnbelt region. The SWOT analysis has been divided into four main clusters with the purpose of creating an overview of the main strategic opportunities and challenges the region faces. The main results of the SWOT analysis show that the region is an awakening growth destination; however, there are major challenges that need to be addressed for the potential growth to unfold and for the region to become Northern Europe s most attractive tourism destination. 12 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

10 FIGURE 4: Joint SWOT analysis Strengths The tourism product/destination: High diversity of recreational, active and authentic tourism products High diversity of the metropolises and the region in between Thousands of km coastline Rich cultural heritage Cutting edge sustainable and green development Attractive shopping metropolises Rich maritime history and development Booming cruise industry Strong position within event development Safe destinations Infrastructure: Accessibility (CPH a main hub, Öresund Bridge) Intraregional issues: International cross border initiatives (e.g. international bicycle routes, Öresund event strategy) Opportunities The tourism product/destination: Develop and package attractive tourism products Take advantage of the maritime history to create joint activities and to profile the region Develop cross-border events Expand, upgrade and diversify the hotel capacity Expand/develop technical visits Infrastructure: Increase the infrastructure between the 5 regions (e.g. high-speed trains, low-cost direct flights) Intraregional issues: Bridge the mental gap Strengthening of the synergies within the Metropolis Region Hamburg. Create one strong region encompassing the Capital Region of Copenhagen and Region Zealand Weaknesses The tourism product/destination: High dependency on domestic/few source markets High seasonality Fragmentation of tourism products Low quality of accommodation Weak international image as a tourism destination Few internationally well-known landmarks Infrastructure: Lack of traffic and efficient infrastructure between the Danish and German regions Hamburg Airport - not an intercontinental hub Expensive direct flights within the region Intraregional issues: Linguistic and cultural challenges Mental gap/distance Located on the outskirts of Europe Financial/political issues: Limited sponsor market Threats The tourism product/destination: Hamburg has a challenge to internationalize its tourism visitor portfolio Infrastructure: Increase of crude/energy prices Intraregional issues: Increased intraregional competition will threaten the weaker regions Lack of intraregional cooperation Financial/political issues: Lack of financing/sponsorship opportunities Lack of public/political engagement/funding Tourist visitor tax National budget constraints Lack of support from national tourism board for cross border cooperation Awakening growth destination The Fehmarnbelt region is characterized by two strong metropolises and the regions around them. The metropolises and regions surrounding them face different challenges and opportunities. The surrounding regions are facing the risk of visitors just passing through. A major challenge is to exploit the potential for stop-over tourism and create more reasons to go for visitors from the other regions. A current fragmented and highly seasonal tourism product (and in some areas a product of a low standard) further challenges the potential for growth. The motivation for exchange tourism between the two metropolises seems low and is further challenged by lack of efficient infrastructure. There is a need for strong awareness campaigns in both metropolises to bridge the mental gap and to increase interest and exchange tourism. Improved infrastructure (e.g. high-speed trains, low cost airlines) will also heighten the international tourism business potential. The Fehmarnbelt region overall has a weak international image as a tourist destination with few international well-known landmarks. Improving the overall image and internationalizing the tourist visitor portfolio will demand an improvement of the quality of the tourism product. Focus for future product developments should be on tourism products where the region possesses strong products/clusters that have a demographic and historical advantage and an obvious field for close collaboration between tourism partners in the region. This could be (in no order of priority) in the areas of: Health and wellness tourism Event development, using the existing platforms (e.g. food, fashion, music) to create joint/cross-border events Cultural heritage tourism Technical visits, focusing on green growth and sustainability Active tourism, taking advantages of the recreational and nature/wildlife possibilities Culinary tourism, local/regional produce, New Nordic Food To sum up the SWOT analysis there are five key messages: 1. the region is an awakening growth destination and the potential for growth is there 2. There is a need for awareness campaigns within the region 3. There is a need for improved infrastructure between the two metropolises 4. Create reason to go for both regional and international tourists 5. tourism product development in areas where the region possesses strong products/clusters that have a demographic and historical advantage 14 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

11 Statistical benchmark analysis The main results of the statistical analysis show a sizeable, but not very internationalized tourism industry. Tourism in the region is growing, particularly international bednights, however, intraregional tourism is at a surprisingly low level. Benchmarking the Region: Large tourism industry - slowly becoming more internationalized The Fehmarnbelt region has a considerably large tourism industry with 58.8 million bednights and 11.1 million international bednights during Comparing these bednight volumes across Europe, the Fehmarnbelt region lies even ahead of tourism mega destinations like the Canaries, Croatia, London and nations like Denmark and Sweden. Nevertheless, the region s tourism industry is slowly becoming more international in its nationality mix. Looking exclusively at the international bednights, bednights grew 30% in the region and an impressive 49% in the Metropol Region Hamburg alone. Huge potential for intraregional tourism exchange The intraregional tourism within the Fehmarnbelt region is at a surprisingly low level. Only 7% of the bednight volumes in the Fehmarnbelt region stem from the intraregional guests of Danish, German or Swedish origin. This on the other hand indicates an immense growth potential when the fixed link has been established. Figure 7: The Fehmarnbelt region s main source market categories 2011 (pct.) Bednight volumes in millions Figure 5: Tourism bednights in the Fehmarnbelt region benchmarked 2011 (bednight volumes across Europe) Fehmarn Belt Canaries Croatia London Denmark Mallorca Portugal Switzerland Paris Norway Sweden Tenerife Berlin Finland 100% 80% 60% 40% 20% Domestic Domestic Domestic 36 Other int. bednights 17 Intra Regional Domestic 9 12,5 Intra Regional Domestic 7 80,5 Domestic Other int. bednights Intra-regional bednights Domestic bednights Tourism in the Fehmarnbelt region has grown through the period of Europe s financial crisis. Helped by the growth dynamic metropolitan centers of Hamburg and Copenhagen, 0% Metropol Region Hamburg Schleswig Holstein Scania Capital Region Zealand Region Region Copenhagen Region Fehmarn Belt Region the region as a whole increased 16% from Hamburg Metropolitan Region grew The figures of the all Fehmarn Belt regions are percentages of the respective total bednight volumes by 25% and the Capital Region Copenhagen by 19%. Total Fehmarnbelt region Metropol Region Hamburg Capital Region Copenhagen Figure 6: The Fehmarnbelt region s total & international bednight growth indices Benchmarking the Cities: Fastest growing tourism destination In a sample of 11 Central-North European cities, Hamburg City is the fastest growing tourism destination with an average annual total bednights growth rate of 7.2% during the 11 year period Berlin, on the other hand was the city with the highest growth rate of international bednight volumes. Berlin is also the city with highest total and international bednight volumes (22.4 mill bednights) in the 11 city sample, followed my Munich (11.7 mill bednights). Schleswig Holstein Scania Region Figure 8: Total bednight volumes Zealand Compared to other destination the region overall is not very internationalized. During 2011 only 12.5% of all bednights registered are extraregional international bed nights (other bednights from outside the region). With the notable exception of the Capital Region Copenhagen, the tourism industry in the Fehmarnbelt region is rather dependent on the Bednight volumes in millions ,4 Berlin 11,7 Munich 9,8 9,7 9,6 Stockholm Amsterdam Hamburg City 6,2 5,9 Copenhagen City Bussels 3,5 3,5 3,4 Oslo Göteborg Helsinki 1,3 Malmö respective domestic source markets. 16 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

12 Amsterdam, Brussels and Copenhagen City are the most international cities in their Stakeholder analysis bednight mix, which means their share of international bednights versus domestic The stakeholder analysis overall shows a strong belief among stakeholders in increased bednights, are higher than the other cities in the sample. Hamburg City, however, shows tourism potential, resulting in increased tourism arrivals and tourism turnover, once the a very strong dependence on the domestic source market, which is also valid for the fixed link has been implemented. Metropol Region Hamburg. Strong belief in tourism potential for growth Figure 9: International versus domestic bednight-matrix 2011 Almost 2 out of 3 believe in an increased tourism potential. 73% of all the respondents believe the change to infrastructure and accessibility generated by the link has very much * International Bednights share 80% 60% 40% 20% Prague 1=Dublin 3=Salzburg 3=Venice 4=Brussels 5=Budapest AVERAGE = 60% Dubrovnik 1 AVERAGE = 40% 5 Geneva Tallinn Amsterdam London Vienna Zurich Antwerp Florence + Barcelona Lisbon Paris Rome Helsinki 1=Milan 2=Bratislava 1 2 Copenhagen City Madrid Seville Munich + Granada Frankfurt Stockholm Valencia Turin Düsseldorf Berlin 12 Oslo 1=Cologne 2=Stuttgart Nuremberg Gothenburg Hamburg City Dresden potential or some potential for increased market potential to their organization. Particularly the Swedish respondents (90%) believe the fixed link will have an increased market potential. It is also among the Swedish respondents that the strongest sense of belonging is found. Only 39% of all respondents feel that Skåne belongs to the Fehmarnbelt region, however, 80% of the Swedish respondents feel Skåne belongs to the region. Figure 10: Do you believe the link will have an increased market potential for your organization? 0% 10% 20% 30% 40% 50% 60% 70% 80% * percentage share of a city s total bednights Domestic Bednights share Very much potential Some potential 20% 33% 42% 40% 33% 46% 31% 57% To sum up the Statistical benchmark analysis there are five key messages: 1. the region has a considerably large tourism industry with 58.8 million bednights and 11.1 million international bednights during tourism in the region is growing nicely through the period of Europe s financial crisis (16% from ) 3. The region s tourism industry is slowly becoming more internationalized 4. the intraregional tourism exchange is still at a low level but has enormous growth potential 5. in a sample of 11 Central-North European cities, Hamburg City is the fastest growing tourism destination 18% Very little potential 6% 25% 11% 5% No, not at all 3% 6% 5% 4% Don't know 0% 3% 12% 0% 20% 40% 60% 80% All Swedish Danish German n=405 Tourism turnover and arrivals are expected to increase in the future Overall tourism turnover is expected to increase in all predefined tourism segments 2 (except the Cruise segment) both in the coming 2-3 years and once the fixed link has been established in ) The segments are defined as: One day visitors, Nature/ Wildlife, Sea & beach holiday, Event segment, Cruise, City break, Business segment. The highest increase in turnover is expected in the City Break segment, and the One day visitor segment. The least increase in turnover is expected in the Cruise segment followed by the Sea & Beach holiday segment. 18 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

13 One day visitors 1% 9% Nature/Wildlife holiday 1% Sea & Beach holiday Figure 11: State for each sector the expected de-/increase in tourism turnover in your region in 2021 post the fixed link 5% 22% 31% 41% 46% 41% 49% 31% 22% Significant decrease of more than 5% Decrease of between 1 to 5% Future fields of cooperation According to the stakeholders, one of the main fields for future cooperation lies within strategic partnerships and joint product development of cross-border products/experiences. This could be in the field of packaged tours (e.g. nature-based activities, accommodation and food), themed routes (e.g. Viking routes, nature trails, food/gastronomy), and attracting and developing events that have the potential to become cross-border events. Event sector 1% 19% 50% 31% Stay the same Cruise sector 4% 52% 30% 14% To sum up the Stakeholder analysis: City break 1% 8% Business sector (MICE) 1% 19% 45% 53% 46% 27% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Increase between 1 to 5% Significant increase of more than 5% n=383 Tourist arrivals are also expected to increase in the future. Overall tourist arrivals are expected to increase from all source markets 3, once the fixed link has been established. The highest increase in tourist arrivals is expected from the German source market. It is particularly the Danish and Swedish respondents that are expecting an increase in the German market, whilst the German respondents are expecting the highest increase to come from the Danish source market. 1. strong belief in an increased tourism potential for growth once the link has been established 2. Tourism turnover and arrivals are expected to increase in the future 3. Growth is expected particular in the city break segment and one day visitor. 4. Growth is expected to come primarily from the German source market 5. Future fields of corporation lie within strategic partnerships and joint product development of cross-border products/experiences (e.g. themed tours, packaged tours) Figure 12: State for each source market the expected de-/increase in tourist arrivals in your region in 2021 post the fixed link Other markets 33% 47% 19% Significant decrease of more than 5% Swedish 1% 33% 46% 21% Decrease of between 1 to 5% Stay the same Danish 2% 35% 39% 24% Increase between 1 to 5% German 1% 8% 44% 48% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Significant increase of more than 5% n=383 3) The source markets listed are: the German market, the Swedish market, the Danish market, other markets. 20 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

14 5. Project Catalogue As documented in the Analysis chapter, the Fehmarnbelt region has a large potential for tourism growth, particularly when the fixed link vastly improves infrastructure from 2021 onwards. In this chapter we present a catalogue of 16 initiatives, which aim to stimulate tourism in various ways. They are grouped under the categories Business-to-Business, Marketing, Transport, Sports and Culture. The project catalogue is the result of a process including a series of internal workshops within the tourism organizations and external workshops involving major tourism stakeholders from the regions comprising the Fehmarnbelt region. The collective input from all workshops have then been sorted and each initiative has been evaluated with regards to how well it addresses the analysis findings and contributes to the ambition of the strategy. However, it must be mentioned that it was a challenge to mobilize stakeholders in the process, perhaps because the topic of the Fehmarnbelt region still lies somewhere in the distant future for most. As a consequence, there was no workshop in Region Skåne. Previous experience from The Great Belt, The Oresund Bridge and The Channel Tunnel has shown, that early preparation on major infrastructural change secures the best results. This is the motivation behind the strategy, and why tourism development is to be seen as a growing process of testing and improving the tourism product through initiatives. In other words, layers upon layers are added to gradually form a large and professional tourism region, which can increase turnover and employment. It is important to stress, that the initiatives need further research and development, before they can be implemented, but the catalogue point in various directions, where growth potential is located. Time scope: The catalogue must include projects that can be initiated almost immediately and other initiatives with a longer time scope. Some projects are considered low hanging fruits, while others demand a longer period of planning and are perhaps also dependent on the establishment of the fixed link. Target group: Tourism growth can derive from increased intraregional activity, where inhabitants cross regional and/or national borders to experience other parts of the Fehmarnbelt region. Certain projects have this particular focus, while another source of growth is expanding the common market place by attracting more visitors from foreign markets. Geography: The region comprises both metropolis and countryside attractions and it has been an important criteria for this strategy to achieve a balance, where both dimensions are present. As mentioned in the Introduction chapter, it is part of the ambition to formulate projects, where visitors can enjoy both in a seamless manner. Each initiative also has a rough budget consideration, which refers to the following categories: Low cost: 0-50,000 EUR Medium cost: 50, ,000 EUR High cost: > 100,000 EUR One of the first tasks for a Tourism Organization Network (see initiative #1) should be to begin a process of further development and selection of projects. This will ensure, that the strategy becomes operational and that relevant stakeholders take ownership of the content. Each initiative is positioned in relation to three general parameters see figure 13: FIGURe 13 TIME SCOPE TARGET GROUP GEOGRAPHY 22 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

15 Business-to-Business initiatives 1. Tourism Organization Collaboration The overall purpose is to strengthen network relations between the major tourism organizations across the Fehmarnbelt region. The collaboration is to function as a platform for knowledge sharing, development of collaborative projects, synchronization of activities and themes etc. It is also the purpose to ensure that the strategy becomes operational in the years to come. Geography: The initiative covers the entire region, since meetings have alternating locations. Concrete activities derived from the meetings can either partly or entirely cover the region depending on scope. The primary target group is the key tourism organizations. The secondary target group comprises public and private stakeholders relevant on a project level, i.e. politicians, hotel chains, transport carriers, companies, attractions, etc. A more effective and coordinated approach towards tourism development in the region and the implementation of collaborative projects on a larger scale than previously. Today there is no formalized forum, where the tourism organizations from the five regions comprising the Fehmarnbelt region can meet. As a consequence, there is little knowledge about past experiences, existing activities and future strategies across the region. If we are to succeed in developing the Fehmarnbelt region as one tourism destination, the process must begin within the tourism organizations. Beginning in the autumn of 2013 representatives from each tourism organization will meet three times annually at alternating locations. The responsibility for coordinating and driving this process forward will shift annually between the five regions. Apart from strengthening relations and sharing knowledge, the prime focus is how to collaborate on selected projects, that are aligned with the overall ambitions mentioned in the Introduction chapter. Thus, the implementation of this initiative is vital to the realization of the strategy. Examples of focus areas could be: Creating an event highlight list for the entire region, so each tourist organization can communicate and promote these activities. This should especially include a cultural calendar Producing and sharing articles with Fehmarnbelt relevant topics for existing communication platforms (websites, magazines and newsletters) operated by Scandlines, DSB, Scandic, DB, Femern A/S etc. Running joint marketing campaigns, cross promotion activities and sharing best practice advice regarding marketing activities Working to combine various green/sustainable tourism initiatives into a more coherent impression of the Fehmarnbelt region Initiating a Meet the Customer project focusing on all aspects of easy regional access from a tourist perspective Working on a public/private level to fundraise selected initiatives from the strategy Low cost. Since the initiative primarily contains meetings, the collaboration will have a small budget, which is to be financed by the attending organizations. The first constellation involves the five tourism organizations from each region within the Fehmarnbelt region. Wonderful Copenhagen will act as the first main responsible for the collaboration process in year one. The initiative can be implemented immediately and continue for as long as there is a need. 2. Cross-Border Press Trips The purpose of the organization of cross-border press trips is to create an awareness of the attractions of the Fehmarnbelt region among inhabitants and tourists through releases published by the participating journalists. The aim is to organize common press trips in the Fehmarnbelt region which can involve up to all five tourism organizations: the 3 regions and 2 metropolises. The partners should create different programs for the trips and invite journalists from national media, and, when relevant, also from international media. The target of the press trips is to tell the stories of the Fehmarnbelt region and to stress the common USPs, e.g. the high diversity of recreational, active and authentic tourism products and the high diversity of the metropolises and the region in between. 24 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region

16 Geography: The initiative can cover the entire region, since up to all five partners can be involved in the planning of the press trips. The primary target group is national and international journalists. The secondary target group is intraregional, national and international tourists. It is expected to get good press coverage and thereby call attention to the Fehmarnbelt region. Medium cost. Usually press trips are sponsored by the involved partners. There will arise costs for the transport within the region and for the journey of the journalists. The amount depends on the number of participants on the press trips. Up to all five tourism organizations in the region is responsible for the realization of common press trips. There should be at least two of the partners in order to sustain the cross-border character. The first cross-border press trip can be realized in The initiative can be continued as often and as long as there is a need among the partners. The idea is to develop products that can be offered in addition to a technical visit and to the on-site workers such as: A couple of days in Copenhagen visiting clean-tech companies while sending the rest of the family to Tivoli Sailing out to an off shore wind park and visit an energy independent village in Denmark with a possible overnight stay at a wellness hotel in Northern Germany The best of Southern Sweden/East Denmark and Northern Germany in one week (car round trip) A Viking experience package (whole family) Opera tickets and hotel packages Geography: The project is centered on the area of construction, but since the idea is to include other tourism products, the entire region can be involved. The primary target group is the expat workers including their families and international professional tourists. Expat workers going home telling positive stories about what they experienced (mouth-tomouth is the most reliable marketing). Technical visitors generating a high turnover in the tourism and related industries in the entire Fehmarnbelt region. Medium cost. 3. Technical Visits during Tunnel Construction To develop add-on packages and products to offer professional visitors to extend their stay and thereby raise the awareness among international visitors. The purpose is also promoting a prosperous region that is growing together. Femern A/S should be responsible with support from the tourism organizations, who can also function as matchmakers between tourism stakeholders wanting to profit from this group of visitors, and tour operators handling packaging and selling of the packages. Can be initiated from 2015 onwards. Technical visits can utilize the tourism potential related to the upcoming international awareness among professionals, which are interested in technical aspects of the tunnel construction (there has been a lot of technical visits during the building of the Oresund and the Great Belt bridges). Furthermore there will be over 3,000 on-site workers blue collar workers and engineers living around the construction site. 4. Organizing Familiarization Trips (Fam Trips) Build up knowledge on the products of the Fehmarnbelt region amongst trade contacts (internal and external partners). 26 Building Tourism Tourism Strategy for the Fehmarnbelt region Building Tourism Tourism Strategy for the Fehmarnbelt region