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Lecture 3 - Coggle Diagram
Lecture 3
5 Types Of Attraction Development
Major new developments at
existing attractions
designed to attract more visitors & to tap on new markets
4.
New developments to improve visitor facilities
aimed at encouraging increased secondary spending by visitors
New purpose-built
attractions developed on site
previously used
as attraction
Creation of new
events
/ staging of annual events that move from place to place
New purpose-built
attractions developed on sites
not previously used
as attractions
Development Of Destinations
Stage 2: Embryonic destination - services develop ard single attraction
Stage 3: Single market destination - other attractions designed for same market
Stage 1: Single attraction
Stage 4: Diversified destination - other attractions designed for new markets
Feasibility study
Feasibility Study Objectives
Helping to find optimum
site
in terms of size, terrain, & accessibility
Identifying sources of potential
financial assistance
Forecasting
likely nature & size of targeted market for attraction
Providing useful
marketing
information
Clarifying & refining
the original concept
3 Aspects of a Feasibility Study
Market feasibility
appeal, attractiveness, potential visitor market
1.Who will visit attraction? (visitor profile)
How many people will visit attraction?
Where they will come from?
When will visitors come?
Quantitative research: Provide historical data on visitor no., accommodation type
Qualitative research: Can be primary/ secondary data, used as basis for projections, addresses issues like decision making
Financial feasibility
overall costs, revenue sources, pricing
Covers 2 elements: cost & revenue
Accurate estimation --> determine profitability & ROI
Estimates on cost & revenue --> realistic
E.g. Cost : Capital, staffing, depreciation, administration, cost of goods
E.g. Revenues : Entrance fees, catering, merchandise, parking
Site feasibility
site selection, location, size & area of land, & accessibility
Selection Criteria: Proximity to major centers of population, transport networks, public sector financial assistance, socio-economic profile of catchment area, Size, type, quality, and costs of land
Undertaken prior to development & construction of project
Goal: Assess
potential viability
of
proposed development idea
before it is undertaken
Successful attraction project
Is environmentally
sustainable
Can be built/ developed at proposed
costs
Attract
sufficient customers to be
financially viable
3 Agents Of Attraction Development
Private sector
E.g. MNC interested in a few industries, major leisure companies, SMEs, developers who include leisure as part of mixed-use development
Voluntary sector
E.g. Local charities / trusts
Public sector
E.g. Govt & Statutory boards (eg, STB)
Motivation for Development
Private sector
Diversifying
product portfolio, increasing
market share
, new targeted markets, boost
profit
Voluntary sector
Conservation
of nature or cultural resources,
education
Public sector
Conserve
heritage,
job
creation , facilities, provide
education
, facilitate urban
development
& regeneration
Development Of Visitor Attractions – Terminology
Scale
of development
Scale of attraction development varies dramatically from adding single ride to a theme park to constructing entire new theme park
E.g. USS can accommodate 30,000 visitors per day with many activities available
Time-scale
of development
May vary from a few months to many years
E.g. Chingay parade (annual) --> take few months of preparation
Olympic games (mega event) --> take several years of detailed planning
Factors Influencing Attraction Success
Not all visitor attractions will succeed, are sustainable / will survive
Reasons why ideas not realized: Incomplete feasibility study, funding problems, unfavorable market situation
Reasons why attraction fail: Declining biz, visitor mgt problems, poor mgt
4 factor categories ensure long-term viability of attraction
B. The
product
Easily recognizable & interesting theme
--> Unique features to attract & engage market segments + differentiate frm competitors
Careful & detailed planning
--> Including site selection, feasibility studies (market & financial), park design, environmental impact assessment
Variety
--> Accommodate diff types of visitors, more likely to return if expect smth new on nxt visit (e.g. special events)
Motivated & well-trained staff
--> Translates to high standards of customer service – staff providing efficient & reliable services from the heart
A flexible & simple pricing system + variety of distribution channels
--> Provide several types of tickets to suit visitors’ plans & budgets
C. The
market
Successful attractions are :
Proactive
+
Focus
on identifying new market segments
E.g. Interactive experience : Visitor expect more interactive & participative experience
Environmental & Cultural conservation : ppl now more environmentally aware --> attractions focus on nature & culture --> more popular
Customer trends
awareness
: More demanding + change of preference & taste
A. The
organisation
& its
resources
Strong financial resources and on-going investment --> Maintain/grow visitor attendance & repeat visits ; Building + running attraction involves huge capital investment & on-going funding (maintenance, new attractions)
Strong human resources management team --> Possess skills & knowledge to develop & retain staff ; identifying, recruiting, training & managing qualified employees
Experienced management --> More aware of issues, challenges, & opportunities in development of attraction product ; learnt frm past experience
D. The
mgt
of attraction
Factors that contribute to mgt success of an attraction
Strong
marketing
team --> In market
research
, long-term strategic
planning
Pro-active
management -->
Respond
more quickly & effectively than competitors to
changes in biz environment
Experienced
management -->
Flexible
enough to handle different day-to-day operational challenges
Continuous
monitoring
--> Regularly monitor attraction’s
performance
for continuous
improvements
(operations)
Sensitivity to
market changes
--> Enables mgt to be more effective in
planning
for future
Development process: construction of new buildings & structures for purpose of attracting visitors