Business Times

Tourism plagued with issues amidst the 2.5 mln arrivals target-BT poll reveals

Tourism in Sri Lanka is plagued with issues, conflicts and disagreements between the private sector and the authorities, a Business Times (BT) poll has agreed. Here are comments from the poll which asked three questions - on whether tourism is facing a crisis, on the need for a proper marketing strategy and whether there is a need to focus more on Asian travellers than western tourism:

Overpricing:

  • Tourist arrivals don't seem to match projections or expectations.
    Judging by the massive discounts being offered by resort type hotels (see any newspaper) hotel rooms don't seem full.
  • The increase in entrance fees to the cultural sites and places of
    interest, plus the newly introduced visa fee, in addition to high hotel rates is making Sri Lanka an expensive destination.The most visited monument in the world - the Eiffel Tower in Paris charges 8 euros whereas Sigiriya, Polonnaruwa and Anuradhapura, each charge 30 euros (in Sri Lankan rupees).
    Crisis:
  • Judging by the recent events it is possible that the industry may face a crisis. There should be an understanding of the importance of marketing Sri Lanka as a destination. Embassy officials (now used to represent Sri Lanka at trade fairs) will not be able to project Sri Lanka as a destination for holiday.
  • Perhaps this is a mild crisis of leadership. But it's not a major issue. Three to five years ago Sri Lanka was not a place to visit due to security reasons owing to various travel restrictions imposed by countries - that was a crisis.
  • This is not a crisis in tourism alone. These issues surface in all sectors when public institutions are not politically neutral and staff are not recruited and promoted on merit. We need a meritocracy system.
    Marketing the
    destination:
  • Consider this: The Sri Lanka Tourism Promotion Bureau doesn't have a professional PR arm and all the PR units overseas have been disbanded and embassies asked to promote tourism.
  • Marketing should be based on the ability to deliver on what you promise and the segment of tourist you are targeting. I think our infrastructure is not ready to cater to all levels of the market and we should not have excessive spending on things we cannot provide at ground level.
  • A big budget and a well-targeted campaign is vital considering themammoth campaigns that countries like Malaysia undertake.
  • To meet the needs of 2.5 million tourists we need to almost double the current inventory within this time frame. The much anticipated investment in mega tourism projects and the influx of international brands hasn't materialized for various reasons (apart from in Colombo which will not to a great extent support the development of leisure tourism). In the short term we need a cohesive marketing plan and consumer awareness campaigns in all primary and emerging markets to continue the present rate of growth in the industry and to mitigate some of the negative publicity generated by the political climate in Sri Lanka.
    Focus on Asia or the West
  • Western tourists have more disposable incomes. But we need to offer them options beyond just the all-inclusive budget vacations that still make up the majority traveller.
  • Given the ongoing economic crisis in the West it might be better to focus on short-haul tourists. Having said that, Sri Lanka may be over-priced for the short-haul tourist. For example, comparable hotel rooms in India are cheaper than in Sri Lanka.
  • Focus should not change at the expense of the Western traveller whostays longer and spends more than the average Asian tourist.
  • While Westerners spend more than Easterners, the future lies with
    travellers from the East.
  • A balanced approach is needed so that if one segment suffers from recession or other issues, the industry can rely on the other segment until normalcy is restored - similar to hotels being sustained by Sri Lankan guests during the difficult years.
  • If Sri Lanka becomes a destination predominantly for Asians, it willsoon be treated as a second rate, cheap and sub-standard country to visit. Target good European markets such as Germany, UK, Scandinavian countries and also emerging economies such as India, Pakistan, China, Russia and ASEAN countries.
  • We need more European tourists for the sustainable growth of the industry as the country is based on cultural and more eco-type tourism.
  • The combination of the Western to Asian ratio in arrivals should
    ideally be a 60-40 % basis.
  • Asia is where there is growth. We need to concentrate and undertake promotions in China, India, Taiwan, Japan, etc.
  • There is no need to differentiate. Sri Lanka has enough diversity to cater to all tastes.
    General:
  • Politicians, planners, developers and citizens need to rise to the challenge of creating a truly responsible, and thus acceptable, tourism industry which brings long-term benefits to residents and tourists alike without compromising the physical and cultural environment of the destination.
  • Long-term advantages and disadvantages of tourism are better understood if economists work more closely with environmentalists as well as specialists in the various humanities.
  • Quantification of the socioeconomic costs and benefits of tourismrequires the joint efforts of sociologists and economists. At present this work is being carried out almost entirely by economists in the Treasury, who are not always in the best position to identify all of the phenomena requiring quantification or the appropriate weightings to apply to each. Whether or not tourism creates greater net benefits to society than other forms of development depends primarily on the nature of the country's economy and what alternative forms of development are practicable.
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