TOURISM & THE CREATIVE ECONOMY: Source of growth and jobs

5th Annual Tourism Policy Workshop

Dromoland, Ireland, 21-23 November 2014

Jane Stacey

Policy Analyst

Statistics

and

Indicators

Tourism

Policy

Horizontal

work &

cooperation

Measuring and

comparing: Tourism

Trends and Policies

Thematic and country reviews (e.g. Italy, Food)

Multi-stakeholder involvement

(e.g. WEF, universities, research centres)

Whole of government OECD

approach: connecting with other

policies

International cooperation (e.g.

UNWTO, ILO, UNEP, APEC, EU )

Tourism Satellite Account

Global forum on tourism statistics

Analysing, and giving

advice: Policy

recommendations &

support for tourism

reforms

Long-term tourism

strategies

OECD’s integrated approach to tourism

Evaluation of policies

Competitiveness indicators

OECD horizontal approach (environment, education, skills, labour,

transport, innovation)

2

Main OECD activities on tourism

• Monitoring tourism policies and measuring performance

• Effective policies for tourism growth

• Quality jobs in tourism

• Transport, mobility and tourism

• Financing approaches to support tourism SMEs

• Large-scale events (trade, sports) and economic development

• National and regional tourism policy reviews

Direct contribution of tourism in OECD-G20

economies

Domestic tourism economy is significant

Inbound

tourism

consumption

22%

Domestic

tourism

consumption

78%

Growing awareness of value and contribution of domestic tourism with countries taking measures to stimulate their domestic market In 6 OECD countries, domestic tourism consumption exceeds 78%:

• Canada • Germany • Japan • Mexico • United Kingdom • United States

OECD-WTO Trade in Value Added

How much does tourism add to economies?

6

Not all tourism expenditures result in domestic value added…

…but their domestic value added share is higher than average

0 -

100 -

%

0 -

100 -

%

Source: Calculated from TiVA and TSA, 2009

Upstream effects of tourism expenditures

On average, 1 € of VA in tourism related industries results in 56 cent VA in upsteam industries, distributed as follows

7 Source: Calculated from TiVA and TSA, 2009

OECD countries play a leading role in the

international tourism economy

• OECD countries account for over half of international tourism arrivals (57%), receipts (59%), expenditure (54%)

• Growth in arrivals to OECD has slowed, growing by +1.9% p.a. between 2008-2012, compared to +2.9% globally

• Growth in receipts to OECD grew by +0.7% p.a. over the same period, compared to +3.4% globally

• EU28 account for around a third of global travel receipts (35%) and expenditure (31%), but arrivals growth is more moderate (+1.5%) than for OECD and world

• Emerging tourism markets, notably Asia Pacific, are driving growth, changing the structure of the global travel market

OECD countries are losing market share – active tourism policies are essential to improve competitiveness and to generate more added value

Creative tourism, a new source of growth & jobs

• Creative industries offer a wide range of opportunities for the growth and development of tourism

• Creative industries include: advertising, animation, architecture, design, film, gastronomy, music, performing arts, software and interactive games, television and radio

• New forms of tourism based on contemporary creativity are emerging, creating new sources of growth and supporting a more innovative approach to tourism

Potential from linking tourism & creative industries

• Increase tourism demand and develop new markets

• Diversify tourism products and enhance experience

• Stimulate innovation, application of new technologies

• Enhance attractiveness, image and quality of destinations

• Extend the ‘reach’ of tourism and the tourism value chain

• Support the creative industries and drive exports

Korea: Culture, creativity and technology

• An integrated approach explicitly recognising the need for convergence between tourism and creative industries

• Korean pop culture contents (known as Hallyu - film, music, fashion, cuisine) has been made available abroad used to improve Korea's image, increase visitor numbers and boost exports

• Economic impact of 'Hallyu tourism' was estimated to be USD 1.5 billion, creating 25,642 jobs in 2010

• Blinking Seoul is a travel application that provides map services, navigation as well as useful and practical information in different languages.

Milan: Innovation and design tourism

• Design used as a stimulus for events and to support place promotion, innovation, product development and experience creation

• Salone Internazionale del Mobile attracted more than 285 000 visitors (60% foreign), and generated an induced spend of EUR 200 million in 2013

• Salone has stimulated other cultural and creative events combined into the Fuorisalone which attracts leisure tourism

• New hospitality design concepts are being developed, re-using urban space in creative ways for tourism – design hotels, pop-up accommodation etc.

Integrated policies needed to capture benefits

• Linkages remain underdeveloped, with few integrated approaches to take advantage of the potential

• Growing use of specific creative industry sectors to attract tourists, but often a ‘silo’ effect

• Creative industries are largely based on intangible content, which generates new challenges compared to tangible culture

• Limited advantage being taken of the full range of technological and innovative potential of the creative industries

Active policies for creative tourism

• Public authorities have an enabling role to play in developing creative tourism, including supporting SMEs, networks and cluster development

• Private sector is leading the development of interesting, engaging creative content to attract visitors – tourism organisations need to be actively involved

• Collaboration between tourism and the creative industries implies a process of knowledge and capacity development to realise mutual benefits

Active policies for creative tourism

• Policies should bring producers and consumers together to co-create value - consumers are actively developing creative experiences and user-generated content

• New technologies and digital media shape and deliver creative content and tourism experiences, as well as connecting elements of the creative value chain

• Branding places and experiences can connect creative activities to destinations, helping to anchor creativity in specific places so tourists visit

To find out more – www.oecd.org/cfe/tourism

http://dotstat.oecd.org/

Publications − Tourism Trends & Policies (2008, 2010, 2012, 2014) − Tourism and the Creative Economy (2014) − Indicators for Measuring Competitiveness in Tourism (2013) − Green Innovation in Tourism (2012) − Food and the Tourism Experience (2012) − Climate Change and Tourism Policy (2011)