Monday, November 15, 2010

New tourism businesses testing the waters

Capital outlay for infrastructure plus the investment in marketing and personnel and the working capital required while being hit by low seasons leaves many opportunities for great tourism products being left unrealised.  Two large scale Hutt City tourism operations have closed their doors this year but three smaller operators have started up using niche markets to test the waters before they decide whether to take the plunge.

Cruise Ships
The growth of cruise ships coming into Wellington has created a demand for new product.  To meet this demand Hutt City recruited some experienced tourism people to operate tours throughout the cruise season with the possibility of expanding into the full tourism market.  It was easy to see the potential for garden tours, after all, Hutt City was the first garden city in New Zealand.  Jackson Street, Petone was also a given with the local and international media attention this icon is receiving.

The development of the garden and Jackson Street products has been quick and pain free for the operators.  The core products exist and there was not too much more involved other than developing the interpretations of the stories which would be told to their clients.  The cruise ship ground handlers are happy to see nothing more than an A4 summary of the itinerary, content, inclusions and price; so no need for brochure production or even a website although this would be preferable.

The Jackson Street and garden tours are moving into their second season now and their operators are pleased with the results.  This engagement with the cruise market has given them the confidence to expand their operation into the wider tourism market and grow at a rate that is comfortable for them.


Special Interest Groups
Another business set up for a school boy rugby niche is moving into its third year.  An observation that Japan sends hundreds of school boys to New Zealand each year to play and learn more about rugby prompted Rugby & Beyond to set up as a service for them.  The Japanese market has been added to with South Africa, China and more on the way.  Rugby & Beyond are now also going off shore to provide the service to players who can't afford the cost of a team's travel to New Zealand.


Using Regional & Collective Marketing
These fledgling tourism operators have made the most of regional and association marketing to get their foot in the door.  Their RTO and conference bureau want their products to succeed and are only too happy to help keep their story alive and see their products grow.


I would like nothing more than to see major tourism operations open in Hutt City and I will continue to throw positive energy at that - here's our latest new big product http://www.wellingtonadventures.co.nz/  But we will continue to push for the easy entry cruise and special interest markets which are working well to expand our product line up.



David Hancock is the visitor development manager for Hutt City, Wellington, New Zealand and would be delighted to receive comments on this or any other topic.
http://www.huttvalleynz.com/
http://www.facebook.com/HuttCity.Wellington

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