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FINNISH SNOW HOWReykjavik
23.3.2010
Marina Krause
Finland in the beginning of 1990
• The Finnish mark (FIM) over valued
• Price level sky high • Deep recession in
markets• Finns travelling abroad
in thousands• Currency deficit
Help on the way
• Devaluation of FIM autumn 1991• FIM floating 1992• Competition due to recession• Tax on outbound tourism• Pricelevel down• A conciderable increase in money
for marketing and product development
Governmantal funding of the Finnish Tourist Board budget, 1990 - 2000 and 2009 - 2010, at current prices and real terms (2009 prices), in Euros
Year At current prices, In real terms, 2009 pricesmillion euros million euros
1990 11,6 16,11991 13,1 17,41992 15,5 20,11993* 20,7 26,31994 21,5 27,01995 14,0 17,41996 13,1 16,21997 13,1 16,01998 16,0 19,31999 15,5 18,52000 15,8 18,2
:2009 14,8 14,82010 9,8 9,8
* In 1993 Finnair and the Finnish Tourist Board receivedtogether an extra 20 million FIM for marketing purposes.This sum is not included in the tabel above
Source: Finnish Tourist Board and Statitics Finland (indexes)
More money more honey
• Development of Domestic Tourism–Spa culture–Subsidised holidays–Short breaks
• Lapland affordable (1000 FIM/week)
• Workers wellbeing (preventive care)
Marketing campaigns
• Nordic Markets• Central Europe• East and Far East
–New offices and activities in Estonia, Japan, Russia, China, Korea
Global Finland 1993Nord Info GmbHCommaFinnovaETC planning commissionScandinavian Tourist BoardNordiska Turistrådet
Product Development & Seasonality
• SnowBall project – We Finns have the snowhow!
• New winter season , activities Feb-Mar• Product development• Workshops and fam. trips• Print and press• Advertising campaigns
1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 20090
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
WinterSummerTotal
Overnight stays in Finland
CHRISTMAS SEASON
• Touroperators to be bought• Product development together• Hundreds of press people
and PR events• UK – main market• Opening up of other markets• Santa Village and Santa Park
UK Overnights
19931994
19951996
19971998
19992000
20012002
20032004
20052006
20072008
20090
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
WinterSummer
Product Development
• Farm stay; cottages; holiday villages– Standards and quality criterias
• Ministery for Agriculture - evaluation
• Product Manuals• Central booking• Fam. Trips• Joint marketing
Regional Networks
• SUOMA = Association of Regional Tourism organisations
• Co-operation in IT and Product development
• Sales promotion Domestic• Fam. trips and work-shops from abroad
IT
1993 Lotus Notes –internal1994 Market information system (MIS)1995 Promis - professional MIS1995 Relis – research information system
(R&D)1996 Contact Center & CRM World wide distribution
Quality programmes
Training programmesISO 9000Tourism industry’s own standard
What did we learn
• A pulse of money triggers a lot> Tourism was recognized as an industry
> Tourism - quick help? Yes/No > Product development > Seasonality > Co-operation – ministeries, regions,
private/public, states and continents
Where did we go wrong
• Time frame over optimistic• Private / public as long as there is
money?• Years of work to reset mindmap• Long term commitment from all parties
Sören Kirkegaard
Ting tar tid!Tack!