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Lao PDR Destination Management Plan: 2016 - 2018 Funded by: Prepared by: In conjunction with: MICT 1 Lao PDR Tourism Destination Management Plan 2016 – 2018 Final 29 th January 2016 Lao PDR

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Lao PDR Destination Management Plan: 2016 - 2018

Funded by:

Prepared by:

In conjunction with:

MICT

1

Lao PDR Tourism Destination

Management Plan 2016 – 2018

Final

29th January 2016 Lao PDR

Na8onal

Lao PDR Destination Management Plan: 2016 - 2018

TableofContents

1. ABBREVIATIONS..........................................................................................................................3

2. DESTINATIONPROFILE.................................................................................................................5

3. VISIONFORTHEDESTINATION,OPPORTUNITIESANDCHALLENGES...........................................103.2SWOTANALYSIS-LAOPDR.................................................................................................................103.3UNIQUESELLINGPROPOSITION&DESTINATIONPOSITIONING:...................................................................13

4. MARKET-BASEDANALYSISOFCURRENTVISITORS......................................................................144.1INTRODUCTION...................................................................................................................................144.2ANALYSISOFSTRATEGICVISITORFLOWS..................................................................................................154.3PRIORITIZATIONOFSTRATEGICVISITORFLOWS........................................................................................224.4OVERALLCONCLUSIONOFANALYSIS......................................................................................................23

5. DESTINATIONACTIONPLAN.......................................................................................................25

6. MONITORINGANDEVALUATION................................................................................................396.1WHYMONITORING&EVALUATION?......................................................................................................396.2THERESULTSFRAMEWORK...................................................................................................................396.3THEMEASUREMENTPLAN....................................................................................................................40

7. REFERENCES...............................................................................................................................52

8. ANNEX.......................................................................................................................................56ANNEX1:DEFINITIONS...............................................................................................................................56ANNEX2:BACKGROUNDTOTHEDESTINATIONMANAGEMENTPLAN.................................................................58ANNEX3:PURPOSEANDUSEOFTHEDESTINATIONMANAGEMENTPLANS.........................................................59ANNEX4:KEYLESSONSLEARNED:THECHALLENGESOFDESTINATIONMANAGEMENT..........................................61ANNEX5:THESIX-STEPAPPROACHTOTHESTGALLENDESTINATIONMANAGEMENTMODEL................................62ANNEX6:LAOPDRTOURISMSTATISTICS......................................................................................................63ANNEX7:LAOPDRTOURISMKEYSOURCEMARKETS:EXISTING&NEW............................................................67ANNEX8:ASEANTOURISMSTRATEGICPLAN–STRATEGICDIRECTIONSANDACTIONS.........................................68ANNEX9:LAOPDR:PROPOSEDDESTINATIONMANAGEMENTNETWORKTASKFORCES.........................................69ANNEX10:LAOPDR:FEEDBACKFROMDMNONDESTINATIONMANAGEMENTPLAN,JAN2016.........................70

Lao PDR Destination Management Plan: 2016 - 2018

1. AbbreviationsADB AsiaDevelopmentBankAEC ASEANEconomicCommunityAFD AgenceFrancaisedeDeveloppementASEAN AssociationSouthEastAsianNationsBAF BusinessAssistanceFacilityBKK BangkokCBT CommunityBasedTourismCHRA ChampasakHotel&RestaurantAssociationCPATA ChampasakAssociationofTravelAgentsCPC CoffeeProducersCooperative,ChampasakProvinceCTBP ChampasakTourismBusinessPromotionProjectDBST DoubleBituminousSurfaceTreatmentforroadsDEPT DepartmentDEV DevelopmentMICT DepartmentInformation,Culture&TourismDMC DestinationManagementCompanyDMN DestinationManagementNetworkDMO DestinationManagementOrganisationEDC Enterprise&DevelopmentConsultantsEMC EmergingMarketsConsultingFIT FullyIndependentTravellerGDP GrossDomesticProductGIS GeographicInformationSystemGiZ DeutscheGesellschaftfürInternationaleZusammenarbeitGM GeneralManagerGMS GreaterMekongSub-regionGOVT GovernmentHNN HimNanNoProtectedAreaKhammouaneHR HumanResourceHRTAA Hotel,RestaurantandtravelAgentAssociation,OudomxayIBA ImportantBirdAreaICBF IntegratedConservationofBiodiversityandForestsINGO InternationalNonGovernmentalOrganisationINTL InternationalIMCT LaosInstituteMarketing,CultureandTourismJICA JapanInternationalCooperationAgencyKHM KhammouaneKL KualaLumpurKOICA KoreanInternationalCooperationAgencyLANITH LaosNationalInstituteofTourism&HospitalityLP LuangPrabang

Lao PDR Destination Management Plan: 2016 - 2018

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LPG LuangPrabangLPHRA LuangPrabangHotel&RestaurantAssociation LPTA LuangPrabangTransportAssociationLPATA LuangPrabangAssociationofTravelAgentsLUXDEV LuxemburgDevelopmentM&E Monitoring&EvaluationMICE Meetings,Incentive,Conference&ExhibitionsMICT MinistryofInformation,Culture&TourismMKT MarketorMarketingMSME MicroSmall&MediumEnterprisesN/A NotApplicableNBCA NaturalBiodiversityConservationAreaNGO NonGovernmentalOrganisationNPA NationalProtectedAreaNTPC NamTheunPowerCompany,LaosNZAID NewZealandInternationalDevelopmentAgencyODX OudomxayOPT OckPopTokPAM ProjectAdministrativeManual(ADBTIIG) PATA PacificAsiaTravelAssociationPDR People’sDemocraticRepublicPIU ProjectImplementationUnitPMC HandicraftProductivity&MarketingCentre,OudomxayPRIVSEC PrivateSectorREF ReferorReferenceSGDM StGallenDestinationModelSME SmallMediumEnterprisesUNESCO TheUnitedNationsEducational,ScientificandCulturalOrganizationTAEC TheTraditionalArtsandEthnologyCentreTIIG TourismInfrastructureforInclusiveGrowthProject,ADBTO TourOperatorToT TrainingofTrainersTRANS TransportTSP TourismStrategicPlanUSD UnitedStatesDollarVTE VientianeWWF WorldWildlifeFundWCS WildlifeConservationSociety

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2. DestinationProfile- LaoPDRiscentrallylocatedintheheartoftheGreaterMekongRegionandSouthEastAsia.- ItisalandlockedcountryborderedbyMyanmarandChinainthenorthwest,Vietnamtothe

east,Cambodiatothesouth,andThailandtothewest.- Tourismisanimportantnationaleconomicsectorthatthegovernmenthasplacedasoneofthe

elevenprioritydevelopmentsectors.- Thecountrybenefitsfromtheadvantagesofitslocation,politicalstabilityaswellasabundant

andrenownednatural,culturalandhistoricaltourismresources.Inaddition,theethnicdiversityandfriendlinessofthelocalpeoplearealsokeyattractionsforvisitors.

- Internationaltouristarrivalshaveincreasedfrom2.5millionin2010toover4.2millionvisitorsin2014–growthof65.5%.MinistryofInformation,CultureandTourism’s(MICT)targetofachieving4.5millioninternationalvisitorsby2020willmorethanlikelybeexceeded1.

- Domestictouristsaccountfor33%ofalltourists.Thesectorisexperiencingminimalgrowthwith2.08millionin2014and2.03millionin2013.

- In2014,thedirectcontributionofTravelandTourismtoGDPwasLAK4,628.4bn(5%oftotalGDP)andisforecasttoriseby8.1%in20152.

- DespiteallofthisgrowthLaostourismcontinuestocompetewithitsregionalcompetitorsfor‘lengthofstay’inthecountry.Laosisconsideredanadd-ondestination:70%ofinternationalvisitorsvisitothercountriesontheirtriptoLaossuchasThailand(60%),Cambodia,ChinaorVietnam(53%)oranotherSouthEastAsianCountry(18%)3.

- 75%ofallinternationalvisitorscomefromThailandandVietnamwithThailandaclearleaderaccountingfor52%ofallinternationalvisitors.AhighpercentageofThaivisitorsareday-trippers(theycometoshop)toVientianefromtheThanalengBorderPostandSavannakhetatFriendshipBridgeII.Bothofthesebordercrossingsaccountfor55%ofallinternationalarrivals.

- DespitethehigharrivalnumbersofThaivisitorstheiractualspendingisextremelylow(27%oftotalreceipts).Theyspendverylittleonaccommodationandtransportduetotheirrelativelyshortaveragelengthofstayyetmoreonfoodandbeveragesandretailtrade.

- TheChinesemarketreflectstrendsgloballywithlargegrowthratesof72%from245,033in2013to422,440in20144.Alotofthesevisitorsarebusinesstouristsfollowedbypackagedtouristsor‘Amateur’travellers(arrivingbyair,busorcarcaravans)5.TheextensivegrowthislargelyduetotheincreasingtraderelationshipsbetweenLaosandChina,therelaxationoftheChinesegovernment’spreviousrestrictionsonoutboundtravel,theintroductionofgovernmentpoliciestoincreaseChineseleisuretimeandtheriseofaChinesemiddleclasswithhigherdisposableincome6.

- TheEuropeanmarket(France,Germany,theUKetc.)isrelativelysmall(121,007arrivalsin2015)–howeveritisanattractivemarketofhighspendersandisaprioritymarketforLaos7.

- BackpackersandbudgettravellershavehistoricallybeenthemajorityofarrivalstoLaos,

1MinistryofInformation,CultureandTourism.2012.LaoPDRTourismStrategy2012–2020.2WorldTravel&TourismCouncil,20153GiZ,20144MICT,2015andMintel,February20145Amateurtraveller=inexperiencedChinesetravellerswhomostlytravelwithgrouptours.Theyhavelimitedbudgetandlimitedpersonal/annualleaveandthusaremostlikelytotravelonpublicholidays.6Mintel,February20147MICT,2015

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accountingfor70%ofallnon-regionalarrivals.LikeThaiDayTrippers,BackpackersarelowvaluevisitorsspendingonaverageUS$23perday.

- ThecountryhasaNationalTourismStrategy(NTS)2012–2020.TheMICTismandatedwithoverseeingimplementationoftheNTS.

- The2005TourismLawprovidesthelegalbasisfortheNTS,settingouttheparametersforcreationofasustainabletourismindustrythatcontributestonationaldevelopmentandinternationalcooperation.

Figure1:TourismMapofLaoPDR

Lao PDR Destination Management Plan: 2016 - 2018

LOCATION: OVERVIEW:Distancesfromkeyareas(km)anddriveorflighttime(Hours) Maintypesoftourismandmostpopularactivities

Toptenmostpopulartouristattractionsordestinations(includingenvironmental&cultural)

ByAir:Domestic:• VientianetoLuangPrabang:45mins(2perday)• VientianetoPakse:1hr15min(2perday)• VientianetoOudomxay:50mins(3timesperweek)• VientianetoLuangNamtha(Trekking&TheGibbonExperience):55mins

• VientianetoSavannakhet:1hour• VientianetoXiengKhouang(PlainofJars):30mins

International:Therearedirectinternationalflightstoandfrom:- Thailand(BangkokandChiangmai)- Vietnam(Hanoi&HoChiMinh)- Cambodia(PhnomPenh&SiamReap)- China(Guangzhou,JingHong,Kunming)- Korea(Seoul&Busan)- Singapore

ByRoad/Overland:• VientianetoLuangPrabang:5hours• VientianetoPakse:viasleeperbus(Highway13)8-12hours

• VientianetoSavannakhet:6.5hours• VientianetoOudomxay:18-20hours• VientianetoKhammouane:6.5hours• VientianetoVangVieng:2hours45mins• VientianetoLuangNamtha:10-11hours

OverlandBorderCrossings:Thereareapproximately17bordercrossingsfromThailand,Vietnam,ChinaandCambodiaintoLaos.ThemostpopulararefromThailand(FriendshipBridge1&II)ByBoat:PrivateBoattripsfrombudgettoluxuryareonoffer.MostdepartfromHuaeiXayandgotoVientianeandLuangPrabang.ChampasakProvincehasvastwaterways(4,000islands)andopportunitiesforboating.

AmixtureofFITsandtourgroups.• ThaiWeekenders(Shopping,Nature&Casino)• ChineseTourGroups(Air&Caravans)• Backpackers(Chilloutandadventure/Eco)• MidmarketThaiHolidayers(Nature&religion)• WesternLargeGroups(8-25pax,seeingonly)• WesternSmallGroups(2-8pax,seeing&doing)• WesternExperientialtravelers(FITs,seeing&doing)• Religioustourism(mainlyThaianddomestic)• MICE(predominantlydomestic&someinternational)

Other:• Local,regionalandinternationaltravelagents• Travel&LifestylemediaincludingTVtravelshows

KeySitesvisitedbyInternationalTourists8:1. KuangSiFalls(LuangPrabang)2. COPEVisitorCentre(Vientiane)3. UNESCOOldQuarter(LuangPrabang)4. TheGibbonExperience(HuayXay,Bokeo)5. KongLorCave(Khammouane)6. UNESCOsiteofWatPhou(Champasak)7. PlainofJars(Phonsavan,XiengKhouang)8. Casino’s(Savannakhet)9. VangVieng(Nature&softadventure)10. 4,000Islands(Champasak)KeySitesvisitedbyDomesticTourists:*Mostdomestictouriststravelonlytovisitfriendsandfamily.Iftheydovisittouristsitestheseareusuallysitesthatarelocatedintheirprovinceofresidence.1. PhaThatLuangGoldenStupa2. SikhottabongFestival&Stupa3. OtherFestivalsinindividualProvinces4. LuangPrabang5. Otherreligioussitesineachprovince

8TopThingstodoLaoPDRTripAdvisor,2015

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GEOGRAPHY: WEATHERPATTERN:Approximatesizeofthedestination(km2)andprinciplephysicalcharacteristics(rivers,hills,baysetc.)LevelofBiodiversity(therangeofdifferentplantandanimalspecies)9,10

Averagesunshinehours,rainfallandseasonaltemperatures

SizeofLaoPDR=236,800km2ofwhich80%ismountainousMEDIUMBiodiversity:Dryevergreenforest:ExtensiveareasinthenorthTropicalmontaneevergreenforest:AlonghighlandareasoftheAnnamiteMountainsandBolavenPlateauLowlandsemi-evergreendipterocarpforest:TheMekongPlainTropicalmontanedeciduousforest:ScatteredareasinthenorthDrydipterocarpforest:SouthernareasMixeddeciduousforest:SouthernareasForestonlimestone:SmallareasintheAnnamiteMountainsPineforest:SmallareasintheAnnamiteMountainsSub-tropicalmontaneforest:Smallareaintheextremenorth.Thereare20declaredNaturalBiodiversityConservationAreasand11proposed.Mostarenowundermanagementwithdonorsupportorinparthavebeengivenonconcessiontotheprivatesector.

TraveltoLaoPDRispossibleatanytimeoftheyear.Climatecanbedividedintwodistinctseasons:i) adryseasonfrommid-Octoberto

Aprilandii) a‘green’rainyseasondominated

bythesouth-westmonsoonwhichbringshighrainfall,highhumidity,andhightemperaturebetweenMayandmid-October.

TemperaturesduringMarch-Mayperiodcanreachthehigh30’s°C,whileathigherelevationsandduringthedryseason'scoolermonthsofDecemberandJanuary,temperaturescandropaslowas15°Candbelow.Annualrainfallis1,300–3,000mm/yr.

TRANSPORTLINKS:Detailsonanyaircarriersbringingvisitorstothedestination

Publictransportfacilitiestoyourdestination

Additionalprivatearrangementsfortransportingvisitorstothedestination

ThaiAirways,LaoAirlines,VietnamAirlines,AirAsia,ChinaEasternAirlinesandBangkokAirways,T’WayCharterFlights(Seoul).

Internationalbusservicesfrom/toVietnam,ThailandandChina.TouristbusesSongthaewsMinibusesTukTuks(locallyonly)Samlor(motorcyclewithsidecar)

CharteraboatoraluxuriousMekongRivercruiseRentacar(withorwithoutadriver)RentamotorbikeRentabicycleCharteratuktukKayaks/canoes

POPULATION:No.ofpermanentresidents11Populationdensity

Seasonality %ofpopulationEmployedintourismrelatedjobs

6.3million(2009)27peopleperkm2

Despitelargepeaksandtroughsexperiencedbysomeprovinces,tourismarrivalsforallofLaosarefairlyeventhroughouttheyear.LowestInternationalVisitorMonth=June232,400HighestInternationalVisitorMonth=Feb384,664RefertoAppendix6forgraphsshowingseasonality.

In2014Tourismdirectlyemployed129,500peopleaccountingfor4.2%ofLaoPDR’stotalemployment12.

910BiodiversityFactsLaoPDR,GIZ201310Biodiversity&ProtectedAreas,LaoPDR(2013)11LaosCountryProfileUSAID201412Ibid

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VISITORS:Annualvisitornumbers:total&byprincipalmarketorhub132014

Annualarrivalsbytypeoftransport

Averagelengthofstay14,15Averagetouristexpenditure16,17

TOTALVISITORS=6,236,437Domestic=2,077,718(33%oftotalvisitors)International=4,158,719(67%oftotalvisitorsandgrowthof18.22%vs.2013).InternationalVisitorsaresplitby:RegionalVisitors=3,589,875OtherInternationalVisitors=568,844InternationalTouristPrimarySourceMarkets2014:-Thai:2,043,761(49.14%)-0.76%-Vietnam:1,108,332(26.65%)+22.7%-China:422,440(10.16%)+72.4%-Korea:96,085(2.31%)+17.46%-USA:61,460(1.48%)-0.24%-France:52,146(1.25%)-0.51%-Australia:44,964(1.08%)+26.84%-Japan:44,877(1.08%)-7.74%-UK:39,061(0.94%)-6.42%

ByAir:In201470.7%(2,940,294)ofinternationalvisitorsarrivedbyAir18ByRoad/Overland:In201429.3%(1,218,504)ofinternationalvisitorsarrivedbyroad19.

Totalaveragelengthofstayforinternationalvisitorsis4.9days-Regionalvisitors=2days-OtherInternationalvisitors=7.9days.Averageexpenditureperdaypertouristin2014:Internationalvisitors=US$73perdayRegionalvisitors=US$21perday

TOURISMAMMENITIES:Approx.no.ofhotelsandroomsinthedestination20:

Othertypesofaccommodationavailable(andapprox.no.)

Approximatenumberofrestaurants(incl.cafes)

Approximatenumberofbars(nightclubs,pubs,etc.)

TotalHotels&GuestHouses:2,426TotalRooms:44,714AverageOccupancyrate:57%

HotelsGuesthousesHomestaysEcoLodgesCommunityguesthousesTreehouses

1,269 164

Table1:LaoPDRTourismDestinationProfile

13TourismLaos2014StatisticalReportonTourism14EnhancinglinkagesbetweentourismandothersectorsinLaos(UNCTAD,2013)15TourismLaos2014StatisticalReportonTourism16Ibid.172015ChampasakVisitorSurvey18MICT,201519IBID20Ibid

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3. Visionforthedestination,opportunitiesandchallenges3.1 Vision:ThevisionfortourisminLaoPDR(2012–2020)is:

ü Developaleadingsustainabletourismindustrythatcontributestopro-poorlocaleconomicdevelopment.

ü Becomeoneofthepreferredregionalandglobaltourismdestinations.Thenationallevelvisionwillbeachievedby:

a) generatingemploymentandincomeforlocalpeopleb) strengtheningheritageprotectionanddestinationmanagementc) increasingpublic-privatecooperationintourismd) improvingcompliancewithrulesandregulationse) diversifyingtourismproductsandservicesf) improvingthetourismvocationaleducationandtrainingsystem.

ThenationalvisionisconsistentwiththeLaoPDR’sSeventhNationalSocioeconomicDevelopmentPlan(NSEDP)2011–2015,whichsupportssustainableeconomicgrowthandthereductionofpovertyandinequality.ThevisionalsocontributestoregionaleffortstodeveloptheGMScorridoraswellastheASEANTourismStrategicPlan.

3.2SWOTAnalysis-LaoPDRSTRENGTHS- HospitalityofLaospeople- Uniqueculturalheritage:ethnictribes,threeUNESCOworldheritagesites,religiousandpilgrimagesites,adiverserangeoftraditionalhandicraftsandfood.- Anabundanceofnaturalassetswithprotectedareascovering16.3%ofthecountry,rivers,waterfallsandwildlife.- Continuedgrowthinvisitorarrivalsoverthepastfiveyears- Location–centreoftheMekongSub-region- Accessiblefrommanycountriesbyair&road.- Insomekeydestinationsthereisadiverserangeoftourismproductsandservicescateringtomanydifferenttargetaudiences- Significantprivatesectorinvestmentinsomesubdestinationse.g.VientianeandLuangPrabang

WEAKNESSES- Inadequatemarketingbudgetmeanslackofstrategicinternationalmarketingandlowlevelsofdestinationawarenessinternationallye.g.NoclearstrategyonwhoLaosshouldtarget–oneminutethefocusisonChineseandyetthemarketstrategysaysEuropeanmarkets- An‘add-on’destination.Notadestinationinitsownrightlimitingthelengthofstay-predominantlysoldasajointdestinationwithoneortwootherdestinationsi.e.Cambodia,Vietnam&Thailand.- TourisminfrastructureisofpoorqualitycomparedtocompetitorcountriesintheGMSregion.- Thetransportationnetworkisofpoorquality,lackssupplyandoftendoesnotmeetinternationalsafetyandtechnicalstandards.- Domesticflightsareoftenunreliableimpactingtouroperators’confidenceininvestingincertaindestinations.E.g.mountainousregions

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- Lackofregulatoryenforcement:Poorimplementationofinternationaltourismstandardsfortransport,guides,hotels,restaurantsleadstopoorqualityofproducts,servicesandsitesimpactingvisitorsafetyandthedestinationsreputation.- Absenceofresponsibletourismpolicy,standardsandenforcementleadstomanynegativeimpactsoftourism- TourismSMEs(predominantlyfamilyownedandrun)lacktourismexposure,accesstofinanceandexpertisetodeliverproducts&servicesofinternationalstandard- Privatesectortourisminvestment/developmentisoftensupplydrivennotdemanddriven- Veryfewtourismprivatesectortaxesareinvestedbackintothetourismsectorformarketingorsitedevelopment.- PoorqualityandquantityofthecurrentandpotentialtourismworkforceinLaoPDR- Notourismcrisismanagementsystemsimplemented(alreadydevelopedinASEAN)- Lackofdirectairaccess(alllong-haulvisitorshavetocomeviaThailandorVietnam)- Manyofthecountry’s21riverportsalongtheMekongareinneedofanupgradeimpedingexpansionoftherivercruisingsector- Unevenspreadoftourismbenefitse.g.VientianeCapitalreceives43%ofinternationalarrivalsandaccountsfor47%ofaccommodationcapacity21.- Investmentintourismremainslowcomparedtoothersectorsoftheeconomy- Minimalinvestmentin‘last-mile’infrastructurelimitstourismgrowthforsecondarysitesanddestinationse.g.roadconditions- Environmentaldegradationcausedbyinadequatewastemanagement,lackofpublicamenities,andpoordestinationmanagement.- Lackofsupplychainlinkagesbetweentourismandothersectorse.g.about40%oftourismreceipts“leak”backoutofthecountryintheformoftourism-relatedimports22.- WeakinstitutionalsupportfortourismSMEs- Laosisperceivedaspoorvalueformoneybyalotoftouroperatorsincomparisontoitsregionalcompetitors(expensiveincomparison)- Lackofcapacity(technicalskills)andbudgetwithingovernmenttourismdepartments(national&provincial)- Lackofeffectivecoordinationbetweengovernmentdepartmentsthatimpacttourisme.g.immigration,transport,police,culture,health,educationetc.- Lackofcommunicationandcoordinationbetweentheprivatesectorandgovernmentsector.- Human&drugtraffickingcontinuetoremainkeyissuesofthetourismindustry- Poorvisitormanagementsystemsinplaceatkeysitese.g.LuangPrabang- Poorknowledgemanagement–nocentralpointforaccessingtourismstudies,statistics,tourismdocumentsbeyondtheNationalStatisticalreport.- Lackofreliableandeffectivetourismquantitative&qualitativeresearch/data.- Poorfemalerepresentationinthetourismformalsector.Manyareemployedintheinformalsectororinlower-skilledjobspayinglowerwages.- VerylowtourismrevenueamongstkeysourcemarketThailand(andshortstays)- Verylowaveragetourismreceiptspervisitorcomparedtocompetitorsandfullpotentiale.g.US$154pervisitorinLaosvs.$616inCambodiaor$1,390pervisitorinAsiaandthePacific23.- LowleveloftourismrelatedPPPsduetoincompleteregulatoryframework.

21LaoPeople’sDemocraticRepublic:�GreaterMekongSub-regionTourismInfrastructureforInclusiveGrowthProject,ProjectAdministrationManual,June2014.22IBID23LaoPeople’sDemocraticRepublic:�GreaterMekongSub-regionTourismInfrastructureforInclusiveGrowthProject,ProjectAdministrationManual,June2014.

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OPPORTUNTIIES- GeographiclocationandaccessibilitytotheChinawhichistheworld’sfastestgrowingoutboundtravelmarket- Landtransportopportunitiese.g.speedtrainlinkingLaostoChinaanditsotherneighbour- TheGMSregionalstrategyforpromotingtourismlinkageswithneighboringcountries–opportunitiestoworktogethertoovercomekeyissuessuchasseasonality,marketingetc.- PromotingtheGREENseason(offpeak)- Openforeigninvestmentpolicy&investmentincentives- ASEANEconomicCommunityprovidesanopportunitytoattractforeigninvestmentfrombothfinancialinstitutionsandtheprivatesector- AccesstoASEANtourismstandardsandtheASEANMutualrecognition.- SpecialEconomicZonesprovideopportunitiesforinvestmentintourismservicesandfacilities- Domestictourism- Stablepoliticalenvironment(safe&securedestination)- Economyexperiencingpositivegrowth- Arelativelyyoungtourismdestinationthatcanlearnfromthemistakesitskeycompetitorshavemadethusfar.- ManydevelopmentprojectsandpartnerspresentinLaoPDRthatarekeentoassistimprovethetourismindustry(GIZ,Swisscontact,LUXDEV,ADB,AFD,JICA,NZAid,WWF,WCSetc.)- GovernmentOpenVisaPolicy

THREATS- CurrentandfuturepoliticalinstabilityinThailand(includingthepossibilityofTheKingpassing)- Drugandsextourismaswellasriotingintheregionimpactstheregionsreputation- Increasedcompetitionfromglobalandregionalcountriesfortourismvisitors- Global/Asiandeadlyvirusese.g.AvianandSwineFluandEbola- Conflictofinterestse.g.DevelopmentofLaosvs.PreservationandConservationofLaos- IrresponsibleTourism–balanceandconflictsbetweenMassTourismandResponsibleTourism- Lossofculturalheritagee.g.hilltribesandthreatstoUNESCOsiteofLuangPrabang- LaoPDRpolicyandregulatoryimpedimentsthatmakeitdifficulttostartabusiness.Laoscurrentlyranks163outof185countriesassessedintheWorldBank’sDoingBusinessReport,thelowestamongGMScountriesandthesecondlowestinAsiaandthePacific24.- Climatechange(slashandburn)- Deforestationthreateningtourism- DammingofriversreducingwaterlevelsofriversforLuxuryRiverCruising- IncreasingrateofglobalterrorismTable2:LaoPDRTourismDestinationSWOT:Strengths,Weaknesses,OpportunitiesandThreats.

24Ibid.

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3.3UniqueSellingProposition&DestinationPositioning:LaoPDR currentlyuses the tagline ‘simplybeautiful’ aspartof its brand communication. The taglinereferstothebeautyandauthenticityofLaos’landscapes,culturalheritageandpeople.ElementsofLaos’stourismlogo(picturedbelowinFigure2)includetheFrangipani,anationalflowerofLaos,andthesilhouetteoftheiconicThatLuangStupa.TheFrangipaninature,thejoyof lifeandthesincerityoftheLaospeopleandthesilhouetteoftheiconicThatLuangStupasymbolizesthecountry’sBuddhistheritage.Despite having this tagline and logo there has been very little investment (financial and strategicplanning) in bringing this brand expression alive in a consistent and strategic way. The activity plandetails marketing and promotion activities that should focus on a consistent and more strategicapproachtobrandingLaos.Table3belowhighlightsthattheLaostourismbrandisrelativelyunknownand ineffective when compared to its key competitors. Bloom Consulting rank Laos’s tourismdestinationbrand36outof44countriesinAsiaand127outof180globally.

TOURISMDESTINATIONBRANDRANKGLOBALLY(Outof180)

RANKWITHINASIA(Outof44)

Thailand 6 2

Vietnam 57 17

Cambodia 80 22

Laos 127 36

Myanmar 143 39Source:BloomConsulting,CountryTourismBrandRanking2014/1525

Table3:TourismDestinationBrandRanking,2014/15

Figure2belowshowsLaos’keyregionalcompetitorsandtheirtourismlogo’sandtaglines.

Figure2:TourismDestinationLogo’s:LaoPDRanditsdirectcompetitorsinASEAN

25BloomConsultingmeasuretheeffectivenessoftourismdestinationbrandsworldwide.

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4. Market-basedanalysisofcurrentvisitors

4.1Introduction

Whatarevisitorflows?Astrategicvisitorflow(SVF)isaunitofmeasurementthatmapsouthowvisitorsmoveto/fromorwithinadestination.Theyreflectthewaytouristsinteractwithadestination:theattractionsvisited,activitiespursuedandexperienceslived.SVFsconsistofspecifictravellersegmentswithsimilarmotivationsandthatpursuesimilaractivities.Theytendtobelocalized(e.g.canbemapped),significantinnumbers,havetheirowndemand-supplymechanisms,exhibitindividualdynamicsandlifecycles,createbusinessopportunitiesandcanbeanalyzed,managedandcommercialized.SVFsareusedasthebasicunitofanalysisfordestinationmanagement.Whyusingindividualvisitorflowsasmainunitofanalysisisimportant?Usingvisitor flows (SVFs)asamainunitofanalysisensures that thedestination isdevelopedusingademanddrivenapproach rather thana supplydrivenapproach.All toooftendestinationshavebeendefinedandboundbypoliticalandadministrativeborders.Theseborders,moreoftenthannot,donotreflect theway tourists interactwith a destination. Additionally activities of the destination becomemorefocusedonwhatthestakeholders(private&public)thinktheyneedratherthanwhatthevisitoractually needs. The use of SVFs enables the destination to improve the destination and the overallvisitorexperiencebasedonwhatthevisitorsneeds:- Whatdrivesthemtothedestination?- Whatmotivatesthemtocometothedestination?- Whatdotheydowhentheyarrive?- Howmuchdotheyspendandonwhat?- Whendotheycome?Wheredotheycomefrom?- Wheredotheygo?Wheredotheystay?- Wheredotheygotowhileorafterstayingatthedestination?

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4.2AnalysisofStrategicVisitorFlowsThefollowingtableprovidesananalysisofthekeystrategicvisitorflows(SVFs)forLaoPDR.Theseflowsrepresentcommonflowsacrosseachoftheprovincesand account for the key visitor arrivals in Laos. For each flow the table details its characteristics; the motivations that drive the visitor to Lao PDR, theseasonality; the number of tourists in the flow; their estimated average spending per day per person; key people on the demand side that influence theirdecisiontobookaholidaytoLaoPDRandkeypeopleonthesupplysidethatplayaroleintheirvisit.

PrioritisedFlows

Characteristicsofflow(age,nationality,income,fromwheretowhere,whatactivitiesetc.)

Motivationsthatdrivetheirvisit

Whendotheycome Howmanycome

Estimatedspendingperdayperperson(USD)

Keypeopleondemandside

Keypeopleonsupplyside

ExperientialFlow(MidtoupMarket,seeing&doing)

PredominantlyWesternersfromFrance,Germany,UK,Australia,NZandtheUSA(N.Americanmarketinggrowingslowly).ORtheyareexpatslivinginAsiae.g.Bangkok,ChiangMai,Singapore,Hanoietc.Canbecouplesorfamilies.Generallyorganizethetripthemselvesstayinginarangeofaccommodationdependingontheexperienceitdeliverse.g.luxuryhotels,boutiquehotelsguesthousesandHomestays.TendtoavoidlargehotelswherepackagedtouristsstayEngageinsoftadventureaswellasmoreadventurousactivitiese.g.cycling,trekking,raftingetc.Alwayswantingtoexperiencedifferentaspectsofadestinatione.g.ricefarming,weaving,ecotourismexperiences,cookingclasses,communityprojectsetc.Liketoshopinthenightmarketorsomeofthemoreartisanshops.Eatinrestaurantsandalsoonthestreet.Useacombinationoflocaltransporte.g.tuktukbutforlongertripsuseavehicleanddriver.

Thegreatmixofculture,heritageandnature.Authenticity!Holiday–timeoutfromthenorm/stressfulworklife.Nature&landscapesespeciallywaterfallsLiketogetawayfromthecrowdsoftouristsorthemaintouristattractions.TheyliketoexplorelessdiscoveredpartsofLaos.

AllyearroundbutpredominantlyNov–Mar

Unknown US$50++-US$250++perdayperperson.*Guestimate byprovincialworkshopgroups

TripAdvisorWordofmouth-friendsOnlinetravelforumsGuidebooksAirlineMagazinesDestinationwebsites

HotelwebsitesineachdestinationsOTAs(onlinetravelagentse.g.Agoda,booking.com,hotels.cometc)

WesternSmallGroupsExperiential

Groupsof2to8people.PredominantlyfromAustralia,UKorEurope.Ageis35–70travellingingroupsof2to8people.Usuallyonatailormadetour.Spend1to2nightsinVTEand2to3nightsinLuangPrabang.Afterthattheychoosebetween

WantatasteofLaos’culturalheritageandnaturalassetsaswellassomelessdiscoveredpartsofLaos.

EuropeanWinter(Oct-Mar)isthepeakperiod.Adribbleatothertimesoftheyear.

Unknown

Approx.USD150perdayperperson**Guestimate

Friends&FamilyMedia:TravelArticlesinmagazines&newspapersOnlineTravel

Travel Agents orTour Operatorswhodo tailor-madeitineraries in theircountryoforigin

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PrioritisedFlows

Characteristicsofflow(age,nationality,income,fromwheretowhere,whatactivitiesetc.)

Motivationsthatdrivetheirvisit

Whendotheycome Howmanycome

Estimatedspendingperdayperperson(USD)

Keypeopleondemandside

Keypeopleonsupplyside

2to3nightsinNorthernLaosorSouthernLaos.Definitelywanttodomorethanjustsightseeing–alsoloveexperiencing.Liketoexperienceamixtureofculturalheritageandnaturewithsomeadventureorsoftadventure.

ExperienceSEAsia(Cambodia,Laos,Thailand&Vietnam)

Forums/Reviews:TripAdvisorTourOperatorwebsitesthatspecializeinLaosortheregionWebsitesofhotelsproductsorservicesDestinationWebsites

Key SE Asian Touroperators whofeatureLaosAnd VTE basedDMCs. E.g. EXOTravel.

Luxury RiverCruise

Twomainroutes:i) HouaiXay–PakBeng–LP

withsomecontinuingontoVTE.

ii) Pakseto4,000islandsSomemaygoVTE–LPandveryfewgoLP–HouaiXay.LiveontheboatorstayinupmarketaccommodationinVTE,LPorPakseStopinvillagesandlearnaboutlifeontheMekong,loveHandicraftshopping,goodfood(upmarketrestaurants),markets,artgalleriesetc.Ontheboatforanywherebetween2to6nights–andatotalof5daysinLaos.

The Mekong RiverCulturalHeritageLaosCulturalHeritageCruisingenthusiasts

PeaktimeisOct–MarandthenfromJunetoSeptisalittlequieter.BoatsgenerallydonotruninAprilandMaywhentheriveristoolow.

UnknownTherearefivekeycompanies.MekongCruisesNavaMekongMekongRiverCruisesPandawRiverCruises(Newentrant)ShompooMekongCruiseshas3,500peopleperyear.Approx.15,0000peryear.

USD250++ perdayGuestimate byworkshopteam.

LuxuryTravelAgents(bespoketravel)FriendsWebsitesofMekongRivertrips

TravelAgencies thatsell Mekong RiverCruises / Cruises ingeneral.

WesternLarge Group(8 to 25 pax,seeingonly)

Bigger European tour groups of 8 to 25people. Laos included either withThailandorCambodiaorVietnamintheiritinerary.Usuallyspend4to7daysinLaosofa12to14daypackagedtourtotheregion.CombinationsincludeLP+VangVieng

Seeanotherpartoftheworlde.g.LaosandotherMekongcountries.Abreakfromtheireveryday–havea

AllyearroundwithbulkarrivingNov-Mar.

Unknownhoweveritis2ndlargestnonAsianinternationaltouristmarketbehindand

Approx. US$123per day perperson.26

WordofmouthBrochures orwebsite from travelcompaniesAdvertisements innewspapers in theircountryoforigin.

TOs in their countryof origin and someTOsbasedinAsiaorLaose.g.EXOTravel,Diethelmetc.

26ChampasakVisitorSurvey,2015

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PrioritisedFlows

Characteristicsofflow(age,nationality,income,fromwheretowhere,whatactivitiesetc.)

Motivationsthatdrivetheirvisit

Whendotheycome Howmanycome

Estimatedspendingperdayperperson(USD)

Keypeopleondemandside

Keypeopleonsupplyside

OrLP+VTEorLP+PakseThey travel by coach, mini bus, boat(alongtheMekong)andair.They have no time to participate inactivities and are only seeing things i.e.they don’t interact with the destinationand engage in experiential products andservices. They usually eat in the hotelstheystayinexceptmaybelunch.Usually not very adventurous. Enjoy nothavingtothinkastheytravel.

hasslefreeholiday Backpackers.

SouthernLaosWebsite

MICE

1. DomesticMICEPredominantlyLaoscompanies,GovtdepartmentsandINGOs&NGOhavingconferencesandeventsinVTE,LuangPrabang,Pakse,Savannakhet,VangVieng,MuangXayGenerallygroupsof40to200max.Stayamaximumof2nights.2. InternationalMICEMultinationalcompaniesbasedinSingapore,HongKong,KualaLumpur,Bangkok,Hanoi,Shanghai&Beijing.Lookingforhigh-endconference/meetingdestinationsthatoffersomethinguniqueorThaiGovernmentDepartments.Generallygroupsof40to120max.Stay2to3nights.Oftendo½dayor1dayoptionaltripse.g.½daytripstoWatPhouUNESCOsiteortoBolavenPlateau(coffee&waterfalls)orKuangSiWaterfall,UNESCOQuarterLuangPrabangetc.SomeuseMinibusesandsomeuselargecoaches.

Somewheredifferent/beyondthenorm–awayfromtheirofficesProfessional&efficientserviceSecure&safedestinationHigh-endconferenceroom&diningfacilities.

Allyearround.*Opportunitytopromotethelowseason(April–Oct)

UnknownhoweverineachkeydestinationinLaosthereareusuallyonly3to5hotelsthatcandealwithMICEgroupsexceptVTEwherethereisagreaterselectionofhotels.

USD60to200++perpersonperday*Guestimate byprovincialworkshopgroups

CorporateTravelSpecialistsFriends(otherbusinessmenorwomen)ColleaguesinGovernmentDepartmentsConferenceorganizers

CorporateTravelSpecialistsinVTETravelAgentsinVTEHotelwebsitesinLaosCorporateTravelSpecialistsTradeFairsinAsia(thosethatspecialiseinMICEinBangkok,Hanoi,Singaporeetc)

KoreanGroups

Verysimilarbehaviourtothe‘ThaibyAir’segment.Usuallystay4to6nightsinLaos.FlyinfromSeoul&BusantoVTE(1

Laid Back AsianCharmNature

Usually visit in theirwinter(Nov-Mar)

96,085in2014(+17.46%growthfrom2013)

Average USD100perday.Guestimate by LPprovincial

OnlinesitesFriends / word ofmouth

Tour operators inSeoulTouroperatorsinLPandVTE

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PrioritisedFlows

Characteristicsofflow(age,nationality,income,fromwheretowhere,whatactivitiesetc.)

Motivationsthatdrivetheirvisit

Whendotheycome Howmanycome

Estimatedspendingperdayperperson(USD)

Keypeopleondemandside

Keypeopleonsupplyside

night)orLP(2nights)andusuallyincludeVangVieng(2nights)intheirtrip.Come to Laos to enjoy the laid backcharmandalsoenjoythetemples.Referto‘ThaibyAir’flowanalysis.

CulturalHeritage

Accountfor3%ofallinternationalvisitorstoLaos.27

workshopteam.

Thaiweekenders&holidayers

FamilyorsmallgroupsorgovernmentworkersonholidayGroup#1:ArrivebyairfromBangkokorChiangMaitoLPorVTE.EitherdoLPonlyorcombineitwithVangViengorvicaversawithVTEorVangVieng.(UsuallywealthierThai’s)Group#2:ArriveoverlandbyFriendshipBridge1toVTEandgotoVangViengGroup#3:ArriveoverlandbyFriendshipbridge2andgotoSavanVegasCasinoinSavannakhet(usuallymiddleclassThai)KeysitesforGroup#2and#3includewaterfalls,caves,softadventure,temples,shoppingetc.

ReligiousmeritNostalgiccuriosityNatureShoppingGamblinglegally

PeaktimetheycomeisforChineseNewYearinFebandalsoinThaiNewYearinApril.Mostgenerallycomeforweekendsonly(especiallythosecomingbyair)Alsowhentherearepublicholidaysthatmakelongweekends.

UnknownhowevertotalThaitoLaosin2014=2million

UnknownAccommodationspendapprox.USD100++

Onlinechannelsarekeytriggerse.g.TripAdvisor,Pantip.com,Sanook.comandMthai.comandsocialnetworkse.g.Facebooknewsfeedandupdates,adsandreviews.Othersincludefamilyandfriends,personalinterestsinthedestinationsaswellasairticketpromotions.TelevisionDocumentariesorMoviese.g.SabaideeMagazines(articlesonLPbyThaijournalists)Governmentdepartments(whoneedtospendbudgetforyearend)

ThaiTravelAgentssellingLaosAirlinesFree&EasyPackagesThaiGovernmenttravelcompanieswhoorganizeandsellincentivetrips.GuestHouse&HotelOwnersLaosTourOperators&GroundhandlersOnlineTravelAgents

27MICT,2015

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PrioritisedFlows

Characteristicsofflow(age,nationality,income,fromwheretowhere,whatactivitiesetc.)

Motivationsthatdrivetheirvisit

Whendotheycome Howmanycome

Estimatedspendingperdayperperson(USD)

Keypeopleondemandside

Keypeopleonsupplyside

Backpackers

PredominantlyfromAustralia,UK&Europe.StartingtoseesomeKoreanbackpackers.18to29yearsofage.Usuallytravellingtheregion(Cambodia,Thailand&Vietnam)–notjustvisitingLaos.Stayincheapguesthouses,eatstreetfoodandoftenbuyacoffeeordrinkinacafesorrestaurantsthathavegoodfreeWi-Fi.UtilisePublicTransport(Buses)&tuktuks/songthiaws.Sometimeshiremotorbikesorbicycle.Keyactivitiesarewhitewaterrafting,theGibbonExperience,TreeTopExplorers,elephantcamps,ZipLining,trekking,homestays,Waterfalls,cyclingKeydestinationsare:4,000Islands,VangVieng,LuangPrabang,VTE,PakBeng

Seeinganddoingwhilsthavingfun.

Allyearround2014.

UnknownhoweveritisthelargestnonAsianinternationaltouristmarket.

BetweenUSD15toUSD20perdayBudgettouristswillspendaroundUS$4–6eachoncraftsandtransport/excursionsperday28.

Friends&otherbackpackersTripAdvisorBackpackeronlineforumsTravelfish.com

GuestHousesTourismInformationCentresBackpackerwebsitesintheregion

ThaiBusGroups

Arriveinaminibuscaravanorinlargecoaches(largegroupsbetween40to200people).OftenThaibudgettravellersorThaigovernmentworkers(ThaiGovthavebudgetsforpersonaltrips).Group#1(Majority):UsuallycrosstheborderatFriendshipBridge1(VTE).TravelfromBangkok.FirststopVTE,thenVangViengandthenLP.Usuallyspend4to5daysGroup#2:FromNorthernThailand(ChiangMaiandChiangRai)crossoveratHouaiXay.Usuallyspend3to4nightsinLaos.Oudomxay(1night)toLP(2nights)andVangVieng(1or2nights).Group#3:CrosstheborderatChongMekintoChampasak.Stayfor2-3nightsTravelinbigbuses.StayinPakseandin

1. SeesomethingdifferentoutsideofThailand(Sightseeing)

2. Shopping3. ReligiousMerit4. Nature(waterfalls)

MostweekendsallyearroundwithpeaktimesduringThaiNewyear.

UnknownhowevertotalThaitoLaosin2014=2millionCurrentlyunabletosplitthisdownintoflows(Verbalevidencethatthisgroupsnumbersaredownon2013asThaigovtbudgetscut)

UsuallyspendbetweenUS$20andmaxUS$50*perdayTotaltripfromBangkokfor4or5daysreturnwouldcostUSD300or2to3daysUSD200foraroundtrip*Guestimate

Onlinechannelsarekeytriggerse.g.TripAdvisor,Pantip.com,Sanook.comandMthai.comandsocialnetworkse.g.Facebooknewsfeedandupdates,adsandreviews.

ThaitravelagentssellingbustripsfromBangkok,ChiangMaiandChiangRaiHotelOwnersinLaoswhotargettheThaimarket

28Ashley(2006)

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PrioritisedFlows

Characteristicsofflow(age,nationality,income,fromwheretowhere,whatactivitiesetc.)

Motivationsthatdrivetheirvisit

Whendotheycome Howmanycome

Estimatedspendingperdayperperson(USD)

Keypeopleondemandside

Keypeopleonsupplyside

Paksong(SabaideeValleyandBaanE-Turesort)0rDonKhongisland(4,000islands)

ChineseCarCaravans

TwotypesofChinesecaravans:1. Familytrip(2familiespercar=4or5

peoplepercar)2. CarClubsUsuallywealthierChinese(age35to60)whotravelintheirownvehiclesinacaravanof30to100vehicles.Mostbelongtooneofthemany(500++)automobileclubsinChinawhoeveryyearorganizeseveralweek-longroadtripsthroughoutAsia.Willspend1nightinMuangXay&thendriveontoLuangPrabang(2nights)&VangVieng(1-2nights)andeitherreturntothesamewayorheadtoVTEandontoThailandorCambodia.Theyliketoseewaterfalls,UNESCOsiteofLuangPrabang,somesoftadventureactivitiese.g.ElephantrideandZiplining.Theyuserestaurants,toilets,petrolstationsandneedcar-parkingfacilities.TendtostayandeatinChineseownedhotels.

Theylovetakingtheircarsonlongjourneys.Seeingsomething/somewherenew.

ChineseNewYearisthePEAKtime.Whentheyhaveenoughtimeoffworktotravellongdistances.

UnknownEachCaravancanhavebetween30to100carswith2peoplepercar.NationalStatsattheBotenChineseBordercrossingreveal278,228peoplecrossedin2014.What%ofthesearecaravansisunknown.

USD60–100++Guestimatebyprovincialworkshopteams.

AutomobileClubsinGuangzhou,Kunming,etc.Wordofmouth(friendsandothercarenthusiasts)

TourOperatorsinShantou,Kunming,Shanghai,Beijingetc.TouroperatorsownedbyChinesebasedinLP&VTEWebsitesofChineseownedhotelsinLuangPrabang,MuangXayandVTE.

ChineseBigAirGroups

Arrivebyaironapackagedtour.Sometimesairticket&accommodationonly.Usuallyspend3to4nightsinLaoslandingeitherinLPorVTE.Visit3destinations–VTE,LPandVangVieng.Sightseeing&shopping,usuallypackagedholidays.UsuallystayinChineseownedhotelsorsometimesotherhotelsdependingonavailability.Theylovetoeat-mostmeals(notall)areeateninChineseownedrestaurantsTravelincoachesandminibuses.

1.SeesomethingdifferentoutsideofChina(Sightseeing)2.Shopping

ChineseNewYear(February)

UnknownhowevertotalChinesetoLaosin2014=422,44029(+72.41%from’13)CurrentlyunabletosplitthisdownintoChineseBigGroups

UsuallyspendbetweenUS$70andUS$100perdayGuestimatebyworkshopteam.

Theyusuallyconsultuptofivesourcesofinformationbeforetheymakeadecision.- onlinesocial

media- www.daodao.

com- Chinese

TripAdvisor- Wechat

(friends)

ChineseTourOperatorsAirlines:ChinaEasternAirline(Kunming)&LaosAirlinesTravelTradeFairsthattargettheChinesemarkete.g.CITSChinaInternationalTourismConference

29MICT,2015

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PrioritisedFlows

Characteristicsofflow(age,nationality,income,fromwheretowhere,whatactivitiesetc.)

Motivationsthatdrivetheirvisit

Whendotheycome Howmanycome

Estimatedspendingperdayperperson(USD)

Keypeopleondemandside

Keypeopleonsupplyside

- TV- Newspapers- Wordof

Mouth- Magazines- TravelAgents- TravelGuidesWebsitesandmarketingmaterialsofLPtouroperatorsandproduct&serviceprovidersneedtobeintheChineselanguage.TravelmagazinesCCTV(ChineseTVstation)whohavefilmeddocumentariesWordofmouth

Chinesetouristsusuallybookthroughatouroperators.

ChineseBigBusGroups

Spend1nightinMuangXayontheirwaytoLuangPrabang&VangVieng.Alotofretiredcoupleswithsomeyounger(30yearsofage)onpackagedholidays.Travelin45seaterminibusesinacaravanof4or5(i.e.totalgroupsizeis200).UsuallystayinChineseownedhotelsinalldestinations(wherepossible)orsometimesotherhotelsdependingonavailabilityandsize.Mostmeals(notall)areeateninChineseownedrestaurants.LiketoeatandshopforThaiproductsandLaosHerbalmedicine,somewoodenantiques.VisitWaterfalls,templesinLPandenjoysomesoftadventuresuchasElephantrideandZiplining.

1.SeesomethingdifferentoutsideofChina(Sightseeing)2.TransitdestinationonroutetoLuangPrabang.

ChineseNewYear(February)

CurrentstatsdonotsplittheChinesevisitorsbyflow.TotalinternationaltouristscrossingBotenborder2014:250,594

USD70perday???Guestimate

Theyusuallyconsultuptofivesourcesofinformationbeforetheymakeadecision.onlinesocialmediawww.daodao.comChineseTripAdvisorWechat(friends)TVNewspapersWordofMouthMagazinesTravelAgentsTravelGuidesWordofmouth

ChinesetouristsusuallybookthroughatouroperatorinChina.

TravelTradeFairsthattargettheChinesemarkete.g.CITSChinaInternationalTourismConferenceTouroperatorsinOudomxay,LPandVTEwhodealwithChinesetourists.

Table4:LaoPDR:AnalysisofStrategicVisitorFlows

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4.3PrioritizationofStrategicVisitorFlowsThefollowingcriteriawasusedforprioritizingtheStrategicVisitorFlows:

1. Arethenumberofvisitorsfromthisflowsignificantandwhatistheirgrowthpotential?Ø 1.5-3=largervisitornumberswithhighgrowthpotentialØ 0-1.5=smallernumbersofvisitorswithlimitedgrowthpotential

2. Whatistheaveragespendpervisitorperday?Ø 1.5-3=aboveaverage/significantspendperdaye.g.>USD70Ø 0-1.5=belowaverage/smallspendperdaye.g.<USD40

3. DoesthisflowhaveapositivecontributiontoResponsibleTourismi.e.itssocial,environmentalandeconomicimpactsaremorepositivethannegative

Ø 1.5-3=thepositiveimpactsofthisflowaregreaterthanthenegativeimpactsØ 0-1.5=thenegativeimpactsofthisflowaregreaterthanthepositiveimpacts

Table5belowshowsthe12flowsthatwereanalyzedforLaoPDR,highlightingthetop5flows.

Ran

k

FlowScoring1to3

No.ofTouristsAv.Spendpervisitorperday

ContributiontoResponsibleTourism

TotalScoreoutof9

1ExperientialFITs(MidtoUpmarket,seeing&doing)

1 3 3 7

2 WesternSmallGroups(Seeing&doing,2to8pax) 1 2.5 3 6.5

3 LuxuryRiverCruise 1 3 2 6

4 WesternLargeGroups(Onlyseeing,8-25pax) 1.3 2 2.5 5.8

5 MICE 2 2 1.8 5.8

6 KoreanGroups 2 1.5 1.5 5

7 ThaiWeekenders 3 0.5 1 4.5

8 Backpackers 1.5 0.5 2 4

9 ThaiPackagedBusTours 2.7 0.3 0.8 3.8

10 ChineseCarCaravans 1.5 1 1 3.5

11 ChineseTourGroupsbyAir 2.2 0.5 0.5 3.2

12 ChineseBusGroups 2 0.5 0.3 2.8Table5:LaoPDRStrategicVisitorFlowsRanking&PrioritizationScoreCard&Rank

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4.4OverallConclusionofAnalysisThefollowingarekeyconclusionsfromtheLaoPDRVisitorFlowAnalysis:

1. Lowervolume,highvaluevs.highervolume,lowvalue:Laoshastwodistincttypesoftourismemerging:

i) Experiential Tourism = high value but low volume tourism (predominantly westernvisitors)

ii) Mass Tourism = low value but with a high volume of Asian visitors (predominantlyChinese&Thai).

Thenationaltourismstrategyhighlightsthedevelopmentofhighvaluewesternvisitorsasakeypriority however currently there are few signs to show that this is being achieved. Instead‘mass’tourism(i.e.Chinese)isgrowingatarapidrateof+72.4%comparedtonegativegrowthof -1.52% for ‘experiential tourism’ (i.e. Europeans). The risk for Laos is that should thesegrowthratescontinue,masstourismcouldcausethedemiseofLaosasadestinationforhighvalue experiential tourism. Many of the province’s destinations are already experiencingpotential conflict between flows for both types of tourism at key sites. E.g. Chinese or Thaitouristsvs.Smallwesterntourgroups.

2. An ‘add-on’ destination: For almost all visitor flows, 70% of international visitors visit othercountrieson their trip to Laos suchasThailand (60%),Cambodia,ChinaorVietnam (53%)oranotherSouthEastAsianCountry(18%)30.TouroperatorsinoriginatingmarketsrarelysellLaosasa‘stand-alone’destination,packagingitwithothercountriessuchasThailand,CambodiaorVietnam.Laosthereforecompetesforlengthofstayandvisitor-spendwithitsneighbours.ToovercomethisLaosneedstoconsidera)investinginraisingtheawarenessofLaosasastand-alone destination and b) focus on developing experiential products and services that ensurehighvaluetouristsspendmoreduringtheirstay.

3. SkillDevelopment:Allflowsrequirearangeofimprovedskillstobeabletomeetthedemands

ofcurrentandfutureinternationalvisitors,improvetheoverallcompetitivenessofLaoswithinthe region and to achieve its vision of being a sustainable tourism destination. Some of theskillsrequiredinclude:o Hospitalityserviceskills(housekeeping,frontoffice,food&beverage&foodproduction&

hygiene)o Tourguidingskills(content,communication,problemsolvingetc.)o Foreignlanguageskillso Tourism SME business development skills (tourism marketing, business management &

productdevelopment)o ResponsibleTourism(howtoimplementintotourismdestinations,sitesandSMEs)o DestinationManagement (visitormanagement, research & statistics, cultural heritage &

naturalresourcemanagementetc.)

4. Responsible Tourism: The national tourism strategy (2012-2020) sets the vision for Laos tobecomeasustainabletourismdestination.However,beyondthisvision(onpaper)andbeyondtheindividualactionsofafewtourismorganisationstherehasbeenverylittleactiontoensurethisvision isachieved. Theanalysisof flowshighlightedtheurgentneedforLaos tobecomemore proactive in ensuring tourism is developed responsibly. This is particularly highlighted

30GiZ,2014

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withtherapidgrowthofthelowvalue-highvolumeAsianvisitorswhorankparticularlylowintheir responsible tourism behaviour. Additionally the analysis highlighted that the keymotivationformostflowsforcomingtoLaoswasitsnatureandculturalheritage.Withoutclearresponsible tourism criteria and guidelines the destination runs the risk of not being able tosafeguarditskeytourismassetsandensurecommunitiesaroundtheseassetsbenefit.

ThedetailedactionplaninChapter5specifiesactivitiestoaddresstheaboveconclusions.ItalsodetailsactivitiesthatwillassistLaoPDRcapitalizeonitsstrengthsandopportunitiesaswellasovercomeitsweaknessesandthreatshighlightedintheSWOTanalysis.

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5. DestinationActionPlanDestinationManagementActivityPlan,LaoPDR(2016–2018)ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

A. Marketing&PromotionActivities A.1Developa3-yearstrategicmarketingplanforthedestinationtobereviewedevery6months.Note:Thisdocumentshouldnotbealengthytraditionalmarketingplanthatdoesnotgetreadorimplemented.Itshouldbeshort,reflectkeyprioritysegmentsandtourismtrendswithafocusonrealisticactions/activities.àConductaseriesofmarketingworkshopstoobtainbuyinandinputintooverallmarketingplan

1

MarketingTaskforce

Mar 16–Dec18

10,000 -TIIGP-Otherdevelopmentagencies

DestinationMarketingSpecialistInternationalBrandingSpecialists

A.2 Build capacity on brand expression / USPamongststakeholdersàDevelopamanualand/orworkshopsonhowthestakeholders can get involved in the marketing ofLaos/howtheycanusethebrandRefer: Tourism Australia and what they do fortourismSMEs

1

MarketingTaskforce

Mar 18–Dec18

10,000 -TIIGP-Otherdevelopmentagencies

InternationalBrandingSpecialists

A.3 Develop marketing materials in line with thebrandexpression (E.g. brochures, trade fair stands,merchandiseitems) 1

MarketingTaskforce

Aug16–Jan18

50,000 -TIIGP

MarketingCoordinatorBrandingSpecialistsLaobaseddesignexpertise(follow-brandexpressionguidelines)Copywriters

A.4 Develop a newwebsite that is in linewith thebrand expression, relevant to key tourismmarkets 1 Marketing

TaskforceJune 17–Jan18

50,000 -OtherDevelopment

MarketingCoordinatorLaobaseddesignexpertise

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ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

(ExperientialEuropeans,ThaiandChinese?).à Develop different content and adapt languagerelevant to different target audiences / sourcemarketsà Develop business plan for who and how thewebsite will be managed including funding longtermà Research international destination websitesand/orcompetitordestinationwebsites.à Ensure the website has an income generatingcomponente.g.bookingengine,advertisementsetc.àDevelopamediasectiononthewebsiteenablingthe media to download hi & lo res images, pressreleasesetc.Note: It is recommended to use a design companythat has international experience in developingtourism websites. Expensive in the short term butworthitinthelongterm.

Partners-TIIGP

(follow-brandexpressionguidelines)Copywriters

A.5ReviewexistinglibraryofphotosandassesswhatnewpicturesneedtobetakenthatcontinuetogetacrossthedestinationsUSP(inlinewithbrandexpression)

1

MarketingTaskforce

June 17–Jan18

10,000 -TIIGP

Professionalphotographers inLaos with experience inlandscapes,people&events

A.6Developaphotographiccompetitionrelatingtothe destination’s USP (in line with the brandexpression) 1

MarketingTaskforce&TourismMarketingDepartmentMICT

Sept16 2,000 -TIIGP-Otherdevelopmentagencies-MICT

MarketingCoordinator

A.7Developacalendarofevents:festivals,culturalfestivals,religiousholidaysandeventsetc.anddistributeinformationviawebsite,socialmediaandtotravelagents/touroperatorswellinadvance

1

MarketingTaskforce

Jan16 3,000 -MICT CopywriterTranslator (key languages forkeymarkets)Designer

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ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

àBetterplanningandcoordinationoffestivalsandactivitiesbetweenprovincesandnationallevelàEnsurethattouroperatorsareinformedofnationalorprovincialeventswellinadvance.Allocateddateandtime,2yearsaheadfortouroperators.A.8DevelopmobileappsforLaotourism.àDevelopalistofprioritizedappsneeded 1

MarketingTaskforce

Mar 16–Dec18

35,000 -TIIGP

MarketingCoordinatorTourismMobileAppSpecialists

A.9DevelopacomprehensivePRandfamiliarizationprogramme(touroperators,media,travelwriters,bloggers,celebritiesetc.)àConsidercontractinga3rdpartyprofessionalcompanytomanageandimplement(particularlyforMedia)–conductafeasibilityanalysisàEngagealltourismproductandserviceprovidersinkeyprovincesandencouragethemtoparticipateBe clear on what is expected of them over a 12-monthperiod.E.g.donatingXmanyroomnightsorxmanyairtickets

1

MarketingTaskforce

Apr16–Oct16(ongoingannually)

120,000annuallyCosts of 3rdpart companyTBC

- PrivateSector

- MICT- Otherdevelopmentpartners

3rd party professional PRcompany (from abroad withexperience in implementingfamtrips)

A.10IdentifythemostrelevantinternationaltraveltradefairsforkeymarketsandattendàDeveloprelevantmaterials(presskits,images,tradefairstand,brochures,pptpresentations,website,merchandise,entertainment,giveawaysetc)

1

MarketingTaskforce

Depending onwhichtradefairsandwhere

Upto50,000*SomemarketingmaterialcostsincludedinA.3

-TIIGP-Otherdevelopmentagencies-PrivateSector-MICT

ProfessionalStandDesigner&ProducerMarketingCoordinator

A.11Developanationaltravelfairforallprovincestoattendandshowcasetheirtourismproductsand 1 Marketing

TaskforcewMay 16– Sept

10,000(?)** Fee for

-TIIGP-Private

MarketingCoordinatorEventorganizer

Lao PDR Destination Management Plan: 2016 - 2018

28

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

services(opentothepublic)àInviteregionalandlocaltouroperatorsàInvitekeymedia(local,regional&international)

MICT 16 standholders Sector-MICT

A.12LobbyforLaosTourismrepresentativesinkeyEuropeanmarketsabroadàAsan interimactivityprovidekeyLaos’embassypersonnelwith the relevant tools to promote Laosusing revised brand image (Fact Sheet, FAQs.Experiences,CDofimages,PowerPointpresentationetc.)inkeyinternationalsourcemarkets.

2

MarketingTaskforcewMICT

Mar17-ongoing

500 -MICT

MarketingCoordinatorCopywriterLocal designer inline withbrandexpression

A.13DevelopasocialmediaplanforpromotingLaosàAspartofthisplanprovidetrainingworkshopsontheuseofsocialmediatokeymarketingpeople(e.g.SMEsandtourismmarketingdepartments)

2

MarketingTaskforce

May 16– Sept16

5,000 -TIIGP TourismSocialmediaexpert

A.14Marketingresearch:Ref.Statistics 1 Ref.Statistics A.15InvitecelebritiestovisitLaos

3MarketingTaskforce

RefA.8Familiarizationprogramme

B. HospitalitySkillsDevelopmentActivities B.1 Based on the existing training needs analysisreview all the curriculums that are currently beingoffered in Laos andmake necessary improvements(includingincorporatingASEANelements)

1

HospitalitySkillsTaskforce

Mar 16–Dec17

20,000(?) - TIIGP- Otherdevelopmentagencies

- TourismInstitute

- LANITH- SDC/LuxSkills forTourismProgramme

Expertise to adapt / developcurriculum from privatesectorInternational tourismcurriculumexperts(ifneeded)LANITHASEANinput

B.2 Assist developing a national tourism language 1 Hospitality Mar 16 5000(?) -TIIGP ARDA

Lao PDR Destination Management Plan: 2016 - 2018

29

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

curriculum for specific languages needed forimplementationatnationalandprovinciallevels.**BuildonexistingworkofSwisscontact

SkillsTaskforce

–Oct16 - Otherdevelopmentagencies

LanguageprofessionalsLANITHLATALHRAUniversities

B.3Build-upindustrytrainerpool(ToT)forprovincesàMastertrainersforkeycurriculums 1

HospitalitySkillsTaskforce

Mar 16– Mar17

15,000 -TIIGP

LANITHtrainersARDATrainersTourismInstituteLHRA

B.4Assistbuild-upthecapacityofhotel, restaurantand travel agent associations / hospitality taskforcestoorganizetrainingsineachprovince(whereneeded)àcouldbeincludedinToTRefB.3

2

HospitalitySkillsTaskforce

Mar 16– Mar17

5,000 -TIIGP

LANITHTrainersLHRA

B.5Assess thebestway to implementandmonitorservice standards and regulations at a provinciallevelà Consider building up the capacity of hotel &restaurantassociationsandorhospitalitytaskforcesineachprovince 2

HospitalitySkillsTaskforce

Mar 16– Mar17

10,000 -Otherdevelopmentagenciesoperatingineachprovincee.g.GiZ,NZAid,Swisscontact,AFD,Tetraktysetc.-TIIGP

Localorregionalexpertise

C. TourGuideSkillsDevelopmentActivities C.1Conductacomprehensivetrainingneedsanalysisofexistingandnewtourguides(whattypeofguidesareneeded,whattypeoftrainingisneeded)

1

TourGuideTrainingTaskforce

Feb –Mar16

10,000 -TIIGP

InternationalExpertise

C.2Assessallaspectsofthecurrenttourguidecurriculumsandrevisetobeinlinewithindustry 1 TourGuide

TrainingMar 16–Dec17

15,000(?) - TIIGP- MICT

Expertise to adapt / developcurriculum e.g. LANITH or

Lao PDR Destination Management Plan: 2016 - 2018

30

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

needsandwherenecessaryincorporatingASEAN&UNESCOstandardsàreviewcontentàreview&implementdifferenttourguidetraininglevel(beginner,intermediateandadvancedetc.)àincludeskill/competencybasedtraining:communication,problemsolvingetc.àreviewlengthofcoursesàreviewcurrentconditionsrequiredtobecomeatourguidee.g.finishedschoolandoneyearexperienceinatravelagent?

Taskforce - UNESCO- Otherdevelopmentagencies

independentconsultantLATAASEANTourismInstituteMICTandMICTUNESCO

C.3DevelopToTprogrammefortourguidetrainers

1

TourGuideTrainingTaskforce

Sept 16–Oct18

15,000 - TIIGP- MICT- UNESCO- Otherdevelopmentagencies

ExistingSeniorGuidesLATALANITHASEANinputTourismInstituteMICTandMICTUNESCO

C.4 Assist in the establishment of National andProvincialTourGuideAssociations(useinternational&ASEANbestpractice) 1

TourGuideTrainingTaskforce

Mar 16– Sept16

1,000 - TIIGP- Otherdevelopmentagencies

Expert on tourismassociationsExistingSeniorGuidesAssistancefromLATA

C.5OncetheGuideAssociationisestablishedassistthembecomeamemberoftheASEANTourGuideAssociation

2

TourGuideTrainingTaskforce

By Dec16

N/A -Selffunded

C.6DevelopanassessmentandreviewsystemforTourGuidestoensurequalityandcontinualupdatingofskills

1

TourGuideTrainingTaskforce

Feb –Mar16

10,000 -TIIGP-Otherdevelopmentagencies

InternationalExpertiseLaosAssociationofTravelGuidesMICT

Lao PDR Destination Management Plan: 2016 - 2018

31

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

LATAC.7Providetrainingtoexistingtourguidesthathavenot had training for a very long time (national andprovincial levels) using revised / upgradedcurriculums

1

TourGuideTrainingTaskforce

June 16–Dec18

10,000 -TIIGP-Otherdevelopmentagencies

InternationalExpertiseLaosAssociationofTravelGuidesMICTLATA

D. ResponsibleTourismActivities D.1 Establish a national policy and criteria forresponsible tourism destination management andbuildcapacitywithinallrelevanttaskforcesàGuidelinesshouldbebrokendownbysectorse.g.Tourism transport, hotels & restaurants, tourguides,touroperators,adventureetc.*Refer toothercountriesandtourismdestinations.E.g.India,Oman,Montenegro**BuildontheworkalreadydonebyGiZonGreenTourism31

1

ResponsibleTourismTaskforce

Mar 16–Dec16

15,000

-TIIGP-Otherdevelopmentagenciese.g.GiZ

ResponsibleTourismExpert;InputfromGiZ,GreenDiscovery,WWF,WCS,FreetheBearsandotherexistingbusinesseswhoarealreadyimplementingRTpolicies.

D.2 Develop an action plan on how to implementandmonitor the responsible tourism criteria (who,how,what?)

1ResponsibleTourismTaskforce

Mar 16–Dec16

Included inD.1

Includedabove

ResponsibleTourismExpert;

D.3 Develop an action plan on how to raiseawareness of responsible tourism nationwideamongsttourismstakeholders

1ResponsibleTourismTaskforce

Mar 16–Dec16

N/A

N/A ResponsibleTourismExpert;

D.4 Develop a national standard and certificationscheme for Greening Laos’ Hospitality Sector(Reducing waste, water and energy consumption,responsible employment and minimizing socialimpacts. (Expand on The Mark or implement anexistinginternationalstandardssuchasTravellife)

2

HospitalityTaskforce&ResponsibleTourismTaskforce

Apr16–Dec18

15,000** May alsoneedadditionalfunding forfirst 6months

- EuropeanCommission-TIIGP

LANITH (Build on The Mark),Travellife Certification, TheTravel Foundation (GreenBusiness Materials), Laobased sustainable tourismbusinessexpertise

31GreenTourisminLaos,GiZ–February2014

Lao PDR Destination Management Plan: 2016 - 2018

32

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

à Find a suitable private sector or developmentfunded organisation who can manage andimplement the scheme in Laos. For example:Managemembership,conducttrainingandmonitorandevaluateallparticipants

ofoperation.

D.5 Develop a clear strategy on managing theirresponsible behaviour of Chinese (and other)tourists.E.g.activitiesandimplementationNote: Do’s & Don’ts in Chinese have already beendeveloped in LP however having a leaflet is notenough as behavior is not changing. Look atcommunicating with Chinese Tour Operatorsensuringtheinformationisgivenbeforetheyarrive,ordevelopingvideosandshowingtheseatkeysitesbefore theyenter the siteor showing themon theTVsinthebusestheyaretravellinginetc.àDevelopguidelinesforprovincestoimplement

1

ResponsibleTourismTaskforce

June –Dec16

10,000 -Otherdevelopmentagenciese.g.WCS,WWFetc.-TIIGP

Lao Based SustainableTourismExpertCopywritersTranslatorsInputfromLATAandLHRA

D.6BuildontheexistingworkofWorldVision“ChildSafeTourismCampaign32”andexpandonthenationalcampaignforChildSafetourism 1

ResponsibleTourismTaskforce

June 16– June17

50,000(?) DevelopmentAgencies e.g.World Visionor UNagencies

ExpertsonChildSafeTourismfromWorldVision

D.7DevelopanationalResponsibleTourismawardsystemNote:BuildontheexampleofSouthAfricaortheglobalResponsibleTourismAwardsintheUK. 3

ResponsibleTourismTaskforce

June18 10,000 DevelopmentAgencyMICT

Expertise on tourism awardprogrammesEventCoordinator

E. TourismResearchActivities E.1ConductanassessmentoftheresearchneedsofthetourismindustryinLaos(bothqualitativeand 1 Statistics

TaskforceFeb 16 –April16

IncludedinD.1or

-Applyforgrantsfrom

International TourismResearch experts e.g. PhD or

32www.childsafetourism.org

Lao PDR Destination Management Plan: 2016 - 2018

33

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

quantitative)anddeveloppriorityactionplane.g.statistics,visitorsurveysfordifferentmarkets,tourismbusinesssurveys,communitysurveys,responsibletourismsurveys,studiesontourismbehaviour,segmentprofiles(Thai,China,Frenchetc.),reportsonglobaltrendsetc.

grantfromuniversity

foreignuniversities-TIIGP

MSc students from keytourism universitiesinternationallysuchasGeorgeWashington-USA,LeedsMet–UK,Birminghametc.** Liaise with AndreasHoffman,AsiaTrails

E.2Assessallmethodologiesusednationallyfortourismresearch(bothqualitativeandquantitativeresearch)andcreateunifiedmethodologiesthatenablescomprehensivebenchmarking/comparativeanalysis.(RefalsotoE.1) 1

StatisticsTaskforce

Feb 16 –April16

15,000orgrantfromuniversity

-Applyforgrantsfromforeignuniversities-BritishEmbassy-TIIGP

International TourismResearch experts e.g. PhD orMSc students from keytourism universitiesinternationally such asBournemouth, GeorgeWashington-USA,LeedsMet–UK,Birminghametc.Collaboration with local Laosuniversities** Liaise with AndreasHoffman,AsiaTrails

E.3Buildcapacitiesofgovernmentdepartmentsandothersinvolvedindatacollection&researchfortourismàProvideguidelinesonimplementingaunifiedmethodologyforvariousstudiese.g.visitororbusinesssurveysàProvidetrainingonbothqualitativeandquantitativeresearchmethods

1

StatisticsTaskforce

Mar 17 –Mar18

20,000 - TIIGP

InternationalTourismResearchexperts

E.5Developactionsforimprovingcommunicationandcoordinationbetweenprovincialandnationallevelstakeholdersonstatisticscollection&researchprojects

1

StatisticsTaskforce

Mar 16 –June16

N/A N/A IndustryAssociationsGovtdepartments

E.6Assesswhatthebestdatamanagement 1 Statistics Mar17 N/A N/A Input from ASEAN or other

Lao PDR Destination Management Plan: 2016 - 2018

34

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

softwareandserverforimprovingtourismdatacollectionwithinMICTstatisticdepartmentanddevelopaproposalforfunding

Taskforce **Fundingwill beneeded forsoftware

Mekongcountries

E.7Developacentralportalwheretourismstakeholderscanaccessreliabledata&marketinginformation(trends,segmentprofilesetc.)onkeysegmentsandsourcemarkets.E.g.notjustMICTstatisticsbutallkeyresearchstudiesconductedbydevelopmentagenciesorprivatesectorassociations.àRefertoTourismResearchAustralia

1

StatisticsTaskforce

Mar 16 –June16

5,000 -OtherDevelopmentagencies-TIIGP

StatisticsCoordinatorInput from all relevantstakeholdersWebdeveloper

F. Transport&AccessibilityActivities F.1 Develop a list of priority actions relating totransport and accessibility including those in thisdocumentandothers

1Transport&AccessibilityTaskforce

Mar 16 –May16

N/A N/A

F.2 National Roads: Regular roadmaintenance andtransparentallocationoffundsforroadconstructionsupportingprioritizedprovincialvisitorflowsabove.** Relevant for those roads that are considerednational level roads vs. provincial or local govt.roads.

1

Transport&AccessibilityTaskforce

Jan 16 –Dec18

? -Govtbudget

N/A

F.3Reviewandrevise(ifneeded)thecurrenttourismtransportationstandardstomeettheneedsofkeytourismmarkets(e.g.minivans,overnightbuses,tuktukdriversetc)àIncorporateASEANstandards&standardsofinternationalTourOperators

1

Transport&AccessibilityTaskforce

Mar 16 –May17

2,000 -TIIGP LocalconsultantLATALHRA

F.4Oncestandardsarereviseddeveloptrainingmaterialsfordriversandtourismtransportproviderstoimprovesafetyandqualitystandards.Workthroughprovincialtransportassociations.

1

Transport&AccessibilityTaskforce

June –Oct16

5,000 -TIIGP LocalconsultantMICT

Lao PDR Destination Management Plan: 2016 - 2018

35

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

àTobeimplementedbytheprovincesviathetaskforcesF.5LobbyforthedevelopmentofdirectinternationalflightstoLaose.g.notviaBKKorHanoi

2

Transport&AccessibilityTaskforce

Mar 16 -ongoing

N/A N/A Workwithkeyairlines

F.6 Develop& implement national tourism signageguidelines for both directional & interpretativesignageàObtain input fromall key stakeholders& followinternationalWorldTourismOrganisationstandardsàConductalauncheventofthesignageà Develop training workshops at a national andprovincial level for all relevant stakeholders whoimplement this type of signage e.g. govtdepartments, concessionaries at sites, hotels,restaurantsetc.

1

Transport&AccessibilityTaskforce

Mar 16 –Mar17

40,000 -TIIGP-WorldBank-Otherdonors

International consultant ontourismsignageGraphic designers for signagesymbols

F.7Improvetheinformationanddisseminationoftheinformationtokeystakeholders(i.e.TourOperators)fromtheDepartmentofImmigration(?)onanychangesinvisasonarrivalsatallaccesspoints(LandandAir)intoLaos

1

Transport&AccessibilityTaskforce

Mar 16 –June16

N/A N/A

F.8 Liaise with Laos Airlines to improvecommunication of flight cancellations that havehugeimpactsontourgroups

1Transport&AccessibilityTaskforce

Mar 16 –June16

N/A N/A

F.9ImprovecommunicationtoTourOperatorsprovidingupdatesonthestatusofnewroadsthatarelinkingdestinations

1

Transport&AccessibilityTaskforce

Mar 16 –June16

N/A N/A

F.10 Develop and disseminate guidelines forprovinces on international standards for disabled 3 Transport&

AccessibilityMar 18 –Dec18

3,000 - A donor ordevelopment

Localconsultant

Lao PDR Destination Management Plan: 2016 - 2018

36

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

people’s access to tourism sites, products andservicesàDrawonASEAN&internationalstandardsàDevelopanimplementationplanàConductatrainingworkshop

TaskforcewithResponsibleTourismTaskforce

agency

F.11AssessifcurrentTourismroadmapneedsimprovingandupdating(?)

2

Transport&AccessibilityTaskforceorMarketingTaskforce

Mar16 ? ?

G. ResourceMobilizationActivities G.1IdentifythepriorityactivitiesandfundingneedsfrombothnationalandprovincialDMNtaskforces.Clarifywhichonesneedassistance.

1

ResourceMobilizationTaskforce

Mar 17 –Dec18

500 -TIIGP-PrivateSectorortaskforces

ResourceMobilizerCoordinator

G.2Identifypotentialpartners,sponsorsandresourcepersonsforallDMNsàIncludealistofnetworkingactivitiesandpeoplefrom

1

ResourceMobilizationTaskforce

Jun 16 –Dec18

500 -TIIGP-PrivateSectorortaskforces

ResourceMobilizerCoordinator

G.3DevelopfundingproposalsforspecificDMPactivities

1ResourceMobilizationTaskforce

April 16ongoing

N/A N/A - Inputfromrelevant industryassociations, companies anddepartments

G.4Providetrainingtosomekeytaskforcesmembersonfundingproposalwriting

1ResourceMobilizationTaskforce

Mar 16 –Aug16

2,000 -TIIGP

ADBexpertise

H. TourismPolicyandRegulationActivities H.1 Identify policy issues which are hinderingtourism development in Laos, in collaborationbetweenpublicandprivatesectorstakeholdersandprovincialtaskforces

1

PolicyTaskforce

Jan – Jun16

N/A N/A

Input from relevant traveltradeassociationsInput from provincial policytaskforces

Lao PDR Destination Management Plan: 2016 - 2018

37

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

H.2Wherenecessarydeveloppaperson keypolicyorregulationchangesneeded 1

PolicyTaskforce

Jun - Aug16

N/A N/A

Input from relevant traveltradeassociationsInput from provincial policytaskforces

H.3Utilizenetworktolobbyandfollowuponpolicyorregulationchange 1

PolicyTaskforce

Ongoing N/A N/A

Utilise the network of theDMN and travel tradeassociations

H.4Developaregulationonchildsafetourism

1

PolicyTaskforce&ResponsibleTourismTaskforce

Mar 16 –May16

N/A N/A Input from World Vision andthe network of theDMNandtraveltradeassociations

I. DestinationManagementNetworkActivities I.1 Organize bi-annual meeting of DestinationManagement Network Board for monitoring ofDestinationManagementPlan 1

DMNsecretariat

Jun/Dec16,17,18

2,000 -TIIGP

Development partnerbackstopping (ADB, GiZ,LUXDEV, JICA, KOICA,Swisscontactetc.)

I.2 Establish taskforces of the DestinationManagementNetwork 1

DMNboard Jan/Feb16 N/A N/A Development partnerbackstopping (ADB, NZ-MICT,Swisscontact,GIZ)

I.3 Backstopping of Destination ManagementNetworkactivities 1

MICTPIU Jan 16 –Dec18

15,000 -TIIGP-NZ-MICT

Development partnerbackstopping (ADB, GiZ,LUXDEV, JICA, KOICA,Swisscontactetc.)&EDC

I.5 Training of government staff and DMN boardmembers in visitor-flow based destinationmanagement.

1MICTPIU Jun/Dec

16,17,182,000 -TIIGP

-NZ-MICTEDC

I.6ExchangevisitwithotherdestinationswiththeirownDMNstructureinLaos 2 MICTPIU Mar17 5,000 -TIIGP

-NZ-MICTDevelopment partnerexpertise

I.7 Ensure that wherever possible all taskforces / 2 MICTPIU Jan 16 – N/A -TIIGP Developmentpartner

Lao PDR Destination Management Plan: 2016 - 2018

38

ActivitiesforNationalLevelDestinationManagementTaskforces

Priority1=high2=med3=low

Lead Timing Resourcesneeded(USD)

Potentialsourceoffunding

AdditionalresourcesneededintermsofHRexpertise(CostfortheHRexpertiseisincludedintheresourceestimates)

DMNareutilizingexistingASEANandGMS tourismresources, research, standards etc. whereverpossibleandapplicable

Dec18 expertiseASEANrepresentativesGMSrepresentativesMICT

I.8Backstoppingandcapacitybuildingoftaskforcesformonitoringandevaluating(M&E)theDMPàAgreementonaunifiedsystemthatcanbeusedfor all tourism taskforces aswell as future tourismprojectsàConduct training workshops for relevanttaskforces/keypeopleresponsibleforM&E

1

MICTPIU Jan 16 –Dec18

2,000 -TIIGP

DevelopmentpartnerexpertiseASEANrepresentativesGMSrepresentativesMICT

1.9 ProvidetrainingtokeytaskforcesandDMNsonsocialmediaandonlinebookingengines

3

MarketingTaskforce

Aug17 5,000 TIIGP OnlineTourismMarketingExpertise

1.10 Workshopamongstpublicstakeholdersonvisaexemptionfortourists

2

MarketingTaskforce

Jun16 1,500 TIIGP

Lao PDR Destination Management Plan: 2016 - 2018

39

6. MonitoringandEvaluation6.1WhyMonitoring&Evaluation?MonitoringandEvaluationisausefulwaytotrackyourdestinationsperformance.ItcanassisttheLaoPDRDMNin:

• Havingimprovedinformationfordecisionmaking• PrioritizationoftheDMPactionplan• Improvingtheapproachtotourismplanning• Identifyingareasthatneedmoreimprovement• MeasuringtheperformanceoftheDMNinimplementingtheDMP• Improving communication & coordination between tourism stakeholders (private and public

sectors)• Enhancingthevisitorexperience• Improvingthesustainabilityofthedestination• Influencingpolicychanges

Laos has relied on a limited range of statistics such as visitor arrival numbers and visitor satisfactionratings tomonitor the destination. These statistics do not tell thewhole story of tourism’s impacts.Collecting data on a broad range of issues relevant to the impact of tourism on the local economy,communities,andtheenvironmentwillhelpyoubuildanaccuratepictureofwhatisreallygoingoninLaos.Itwillalsohelpbuildacompetitivesustainabletourismdestination.

6.2TheResultsFrameworkThe results frameworkbelowdetails the intended impactsandoutcomes for theLaoPDRDestinationManagementPlan (DMP) ifall theproposedactivities in theDestinationActionPlanare implementedoverthenextthreeyears(2016–2018).TheDestinationManagementNetwork(DMN)shouldfamiliarizethemselveswiththisresultsframeworkusing itnotonly toassist themmonitorandevaluate theirprogressbutasa reminderof theiroverallvisionforthedestination.

Lao PDR Destination Management Plan: 2016 - 2018

40

Figure3:LaoPDRTourismDestinationManagementPlanResultsFramework

6.3TheMeasurementPlanThemeasurementplanbelowprovidestheDMNwithaguidelineonwhattomonitortoevaluatetheirprogress and success implementing the DMP. It also gives suggestions on how tomeasure, by who,whenandwho is responsible fordeliveringandoverseeing themeasurement.Themeasurementplanwill require a collaborative stakeholder approach with almost all taskforces having responsibility forcertainindicators.Thedestinationindicatorscanbebrokenupintofourcategorieswitheachcategoryrelatingbacktotheactivityplan:

1. DestinationDevelopmentandManagement2. EconomicImpacts3. SocialandCulturalImpacts4. EnvironmentalImpact

ThesefourindicatorsarebasedontheEuropeanTourismIndicatorSystemforSustainableDestinations.Theindicatorsystemaimstocontributetoimprovingthesustainablemanagementofdestinationsbyprovidingtourismstakeholderswithaneasyandusefulapproachtomeasuringandmonitoring,andenabletourismstakeholderstoshareandbenchmarktheirprogressandperformanceinthefuture.

Arangeofac+vi+es&interven+ons

Beneficiarynetincomesincreased

Improvedtourismpolicies&effec+veexpenditureon

tourismdevelopment

NewtourismMSMEs

aredeveloped

Compe++veSustainableTourismDes+na+on‘BeFerplacesforpeopletolivein&beFerPlacesforpeopletovisit’

TourismSMEsnetincomesare

increased

TourismSMEsemploymorestaff

Incl.women

ProPoorLocalEconomicDevelopment

TourismStakeholdersminimisethe

nega+vesocial&environmental

impactsoftourism

Increaseinvisitorarrivals

Increaseinvisitorspending

Increaseinlengthofstay

Lao PDR Destination Management Plan: 2016 - 2018

41

CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETSDESTINATIONDEVELOPMENTANDMANAGEMENTDestinationManagement(how stakeholdersworktogether)

% of DestinationManagement NetworkCommittee Members whoare satisfied with thefunctioning of theDestination ManagementNetwork

InternalsurveyduringDMNCommitteemeetings(categoriestobegiven:notsatisfied–satisfied–verysatisfied;includingroomforexplanationsandsuggestions)

DMNsecretariat Annually,during DMNCommitteeMeetings

Baseline:0%

Target:2016:30%2017:50%2018:70%

Number of taskforcesestablishedandfunctional

InternalsurveyduringDMNCommitteemeetings(categoriestobegiven:notactive–active–veryactive;includingroomforexplanationsandsuggestions)

DMNsecretariat Annually,during DMNCommitteeMeetings

Baseline:0

Target:2016:32017:52018:7

PercentageoftourismSMEssatisfied with theirinvolvement and theirinfluence in the planninganddevelopmentoftourism

Tourismbusinesssurvey

Statistics taskforce incharge of businessandexitsurvey

Annually, afterhighseason

Baseline:0%

Target:2016:30%2017:50%2018:70%

The DestinationManagementActivityPlanisactivelyusedasthekeytoolfor Tourism Developmentand Management in theDestination

Interviewwithkeystakeholders(MICT,ProvincialGovernmentOffice,CHRA,CPATA)(scaletobeused:0-5)

Statisticstaskforce Annually,beginning ofcalendaryear

Baseline:0

Target:2016:12017:32018:5

The percentage of prioritynumber 1 activities in the

DuringDMNCommitteemeetings

DMN secretariattogether with DMN

Annually,during DMN

Baseline:0%

Lao PDR Destination Management Plan: 2016 - 2018

42

CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETSDestination ManagementActivity Plan that werecompleted or are beingimplemented

committee CommitteeMeetings

Target:2016:70%2017:80%2018:80%

Hasthedestination…a.conductedavisitorsatisfactionsurveythatcoversthekeyvisitorflowsb.sharedfindingswithstakeholdersc.actioninresponsetofindingstaken

DuringDMNCommitteemeetings

Statistics taskforce incharge of businessandexitsurvey

Annually,during DMNCommitteeMeetings

Baseline:a.nob.noc.noTarget:2016:yestoa-c2017:yestoa-c2018:yestoa-c

VisitorSatisfaction(what visitors likeabout thedestination)

Percentage of visitors whowould highly recommendthedestinationtoothers

Exitsurvey(categories to be givenin survey: notrecommend –recommend - highlyrecommend)

Statistics taskforce incharge of businessandexitsurvey

Annuallyduring highseason

Baseline:FirsttimesurveydataTarget:2016:50%2017:70%2018:80%

Percentageofreturnvisitorswithin the last 5 yearsamongst total number ofvisitors

Exitsurvey

Statistics taskforce incharge of businessandexitsurvey

Annuallyduring highseason

Baseline:FirsttimesurveydataTarget: To be set once baselinedataisavailable2016:2017:2018:

Percentage of visitors whoconsider the followingaspects of the destination

Exitsurvey

Statistics taskforce incharge of businessandexitsurvey

Annuallyduring highseason

Baseline:Firsttimesurveydata

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETSeither as ‘good’ or ‘verygood’:- A. Diversity of sites and

attractions- B. Diversity of excursions

andactivities- C. Service quality in

hotelsandrestaurants- D. Hygiene and

cleanliness in hotels andrestaurants

- E.Servicequalityoftravelagents

- F. Service quality of tourguides

- G. Value for money ofattractions, excursions,hotels, restaurants andtouroperators

- E.Communicationskillsinforeign language of hotelandrestaurantstaff

Target: To be set once baselinedataisavailable2016:A.B.…2017:A.B.…2018:A.B.…

DestinationPromotion andReputation(how thedestination ispromoted andvisibleexternally)

Percentage of visitors whoexpressthattheyhaveusedkey promotional andinformation sources for thedestination,suchas(TBDforeachdestination):- Destinationwebsite- Specific destination

brochuresorbooklets

Exitsurvey

Statistics taskforce incharge of businessandexitsurvey

Annuallyduring highseason

Baseline:Firsttimesurveydata

Target:2016:30%2017:40%2018:50%

The number of times thedestination has beenspecifically promoted in

During DMNCommitteemeetings

Statistics taskforce incharge of businessandexitsurvey

Annually,during DMNCommitteeMeetings

Baseline:Firsttimesurveydata

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETSinternationaltradefairs Target:

2016:22017:42018:4

The number of times thedestination has beenspecifically show-cased inthe media (print, televisionorweb-based)

Marketing taskforceregularmonitoring

Marketingtaskforce Regularly, butreportedduring annualDMNCommitteeMeetings

Baseline:Firsttimesurveydata

Target:2016:22017:42018:6

The number offamiliarization trips of touroperators and/or media tothedestinations

Marketing taskforceregularmonitoring

Marketingtaskforce Regularly, butreportedduring annualDMNCommitteeMeetings

Baseline:Firsttimesurveydata

Target:2016:12017:22018:2

ResponsibleTourismManagement

Doesthedestinationhave:a. Policies or guidelines

which supportresponsible tourism inthedestination

b. Human and financialresources allocated tostrengthen responsibletourism (e.g. responsibletourismtaskforce)

c. Concrete measures thatarebeingimplementedtostrengthen responsibletourism

Responsible tourismtaskforcesurvey

Responsible tourismtaskforce

Annually,during DMNCommitteeMeetings

Baseline:FirsttimesurveydataTarget:2016:yestoa-c2017:yestoa-c2018:yestoa-c

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETSPercentageoftourismSMEswith:a. Specific policies for

responsible businessmanagementinplace

b. Staff trained on policiesor specific aspects ofresponsible tourismmanagement

c. Concrete interventionstostrengthen responsiblebusinesspractices

d. A certification label orscheme for responsibletourism

Tourism businesssurvey

Statistics taskforce incharge of businessandexitsurvey

Annually, afterhighseason

Baseline:Firsttimesurveydata

Target:2016:tbd2017:tbd2018:tbd

Percentage of visitors whostated:a. Environmental pollution

being a concern duringtheir stay in thedestination

b. Child safety being aconcern during their stayinthedestination

Exitsurvey

Statistics taskforce incharge of businessandexitsurvey

Annuallyduring highseason

Baseline:Firsttimesurveydata

Target:2016:reductionof10%forbotha and b as compared to prioryear2017:reductionof10%forbotha and b as compared to prioryear2018:reductionof10%forbotha and b as compared to prioryear

ECONOMICIMPACTSTourism Flow(volume & value)atDestination

The number of visitors permonth and year,disaggregatedby country oforigin

MICTstatistics StatisticTaskforceDept.ofImmigration/bordercontrol,airportcontrol,CHRACPATA

Regularly, butannual dataevaluation

Baseline:MICTstatistics

Target:2016:tbd

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETS2017:tbd2018:tbd

Number of prioritizedtourism visitor flows in theDMP with perceivedsatisfactory growthtendencies/vectors

During DMNCommitteemeetings

Statistics taskforce incharge of businessandexitsurvey

Annually,during DMNCommitteeMeetings

Baseline:FirsttimedataTarget:2016:TBD2017:TBD2018:TBD

Average daily spend permainvisitorflow

Exitsurvey

Statistics taskforce incharge of businessandexitsurvey

Annuallyduring highseason

Baseline:FirsttimedataTarget:2016: increase by 20% ascomparedtopreviousyear2017: increase by 20% ascomparedtopreviousyear2018: increase by 20% ascomparedtopreviousyear

Average length of stay permainvisitorflow

Exitsurvey

Statistics taskforce incharge of businessandexitsurvey

Annuallyduring highseason

Baseline:FirsttimedataTarget:2016: increase by 0.5 days ascomparedtopreviousyear2017: increase by 0.5 days ascomparedtopreviousyear2018: increase by 0.5 days ascomparedtopreviousyear

Growth in revenue for thedestinationthroughtourism

MICTstatistics StatisticTaskforce

Regularly, butannual dataevaluation

Baseline:MICTstatistics

Target:2016: +20% as compared toprevious year (depending onoverall growth of economy indestination)2017: +20% as compared topreviousyear

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETS2018: +20% as compared topreviousyear

Enterpriseperformance

Average occupancy rate incommercial accommodationper month and average fortheyear

Tourism businesssurvey

Statistics taskforce incharge of businessandexitsurvey

Annually, afterhighseason

Baseline:Firsttimedata

Target:2016: increase by 20% ascomparedtopreviousyear2017: increase by 15% ascomparedtopreviousyear2018: increase by 5% ascomparedtopreviousyear

Thenumberof…a.hotelsb.restaurantsc.touroperatorsthat have invested intohospitality/tour guidetraining during theassessmentperiod

Tourism businesssurvey

Statistics taskforce incharge of businessandexitsurvey

Annually, afterhighseason

Baseline:Firsttimedata

Target:2016:50%2017:50%2018:50%

PercentageoftourismSMEswho state an improvedbusinessperformance/revenue ascomparedtopreviousyear

Tourism businesssurvey

Statistics taskforce incharge of businessandexitsurvey

Annually, afterhighseason

Baseline:FirsttimedataTarget:2016:50%2017:60%2018:70%

Net growth (newlyregistered–closedbusinesses) in registeredtourismSMEsindestination

MICTstatistics StatisticTaskforce

Regularly, butannual dataevaluation

Baseline:MICTstatistics

Target:2016:+102017:+102018:+10

Employment Direct tourism employmentas percentage (%) of total

MICTstatistics StatisticTaskforce

Regularly, butannual data

Baseline:MICTstatistics

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETSemployment, sexdisaggregated

evaluation

Target:No targets, but more asmeasure of the importance ofthesectorandhowthischangesovertime

Number of directlyemployed people in thetourism sector (full timeequivalent = FTE), sexdisaggregated

MICTstatistics StatisticTaskforce

Regularly, butannual dataevaluation

Baseline:MICTstatistics

Target:No targets, but more asmeasure of the importance ofthesectorandhowthischangesovertimeTarget:No targets, but more asmeasure of the importance ofthesectorandhowthischangesovertime

SOCIALANDCULTURALIMPACTSCommunityImpact

% of community memberswhoperceivetheimpactsoftourism on theircommunitiesaspositive

Communitysurvey

StatisticsTaskforce

Regularly, butannual dataevaluation

Baseline:MICTstatistics

Target:2016:+20%2017:+20%2018:+20%

Number of villages involvedintourism

MICTstatistics StatisticTaskforce

Regularly, butannual dataevaluation

Baseline:MICTstatistics

Target:2016:2newones2017:2newones2018:2newones

Number of registeredtourism SMEs owned bylocalresidents

MICTstatistics StatisticTaskforce

Regularly, butannual dataevaluation

Baseline:MICTstatistics

Target:2016:2newones

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETS2017:2newones2018:2newones

Number of initiativesspecifically aimed atreducing the negativeimpact of tourism on localcommunities (e.g. child safetourism training andcampaign)

Responsible tourismtaskforcesurvey

Responsible tourismtaskforce

Annually,during DMNCommitteeMeetings

Baseline:Firsttimedata

Target:2016:22017:22018:2

ProtectingandEnhancingCulturalHeritage,LocalIdentityandAssets

Percentageof listedculturalheritagesites(atnationalorprovincial level) with anoperational heritagemanagementplan

MICTstatistics StatisticTaskforce

Regularly, butannual dataevaluation

Baseline:MICTstatistics

Target:2016:50%2017:80%2018:100%

Percentage of SMEs whoactively source productslocally

Business survey,districtoffices

StatisticsTaskforce

Regularly, butannual dataevaluation

Baseline:Firsttimesurveydata

Target:2016:+20%2017:+20%2018:+20%

ENVIRONMENTALIMPACTSSolid wastemanagement

Perceived improvement insolid waste managementinfrastructureandservices

Business and exitsurveys

Statisticstaskforce Annually Baseline:FirsttimesurveydataTarget:2016: 10% perceivedimprovement as compared tolastyear2017: 10% perceivedimprovement as compared tolastyear2018: 10% perceivedimprovement as compared tolastyear

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETSNumber of specific policiesor initiatives to reduce, re-use and recycle solid wasteimplemented (e.g. plasticbag policies, new collectionservices, awarenesscampaigns)

Responsible tourismtaskforcesurvey

Responsible tourismtaskforce

Annually,during DMNCommitteeMeetings

Baseline:Firsttimesurveydata

Target:2016:12017:+12018:+2

Water andsanitation

Percentage of tourismtourism businesses andgeneral households withappropriate waste watermanagement practices(according to prevailingregulations)

Business survey;governmentstatistics

Responsible tourismtaskforce

Annually,during DMNCommitteeMeetings

Baseline:Firsttimesurveydata

Target:2016:+10%2017:+20%2018:+20%

Noiseprotection %of tourists of the opinionthat the destination takessufficient measures fornoiseprotection

Business and exitsurveys

Statisticstaskforce Annually Baseline:Firsttimesurveydata

Target:2016:50%2017:60%2018:70%

Energy savingmeasures

%oftourismSMEswhotakeactive measures to saveenergy

Businesssurvey Statisticstaskforce Annually Baseline:FirsttimesurveydataTarget:2016:30%2017:40%2018:50%

Protection ofnaturalassetsandbiodiversity

Number of initiativesspecifically aimed at theprotection of forests andbiodiversityimplemented

During DMNCommitteemeetings

Statistics taskforce incharge of businessandexitsurvey

Annually,during DMNCommitteeMeetings

Baseline:Firsttimesurveydata

Target:2016:22017:+22018:+2

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CRITERIA INDICATOR HOWMEASURED? BYWHO? WHEN? BASELINEANDTARGETSNumber of approvedtourism investmentprojectsposing a threat to thenatural assets and thereputation of thedestination

During DMNCommitteemeetings

Statistics taskforce incharge of businessandexitsurvey

Annually,during DMNCommitteeMeetings

Baseline:Firsttimesurveydata

Target:2016:02017:02018:0

Table6:LaosDestinationManagementMeasurementPlan

Lao PDR Destination Management Plan: 2016 - 2018

7. ReferencesAshley,C.(2006)ParticipationbythepoorinLuangPrabangtourismeconomy:Currentearningsandopportunitiesforexpansion.WorkingPaper273.OverseasDevelopmentInstitute,November2011,London,UKAssociationofSoutheastAsianNations(2012)ASEANTourismMarketingStrategy(ATMS)2012–2015.TheASEANSecretariat,Jakarta,Indonesia.March2012.AsiaDevelopmentBank(2010)InvestorsResourceKit.MekongTourismForum.ProducedfortheLaoPeople’sDemocraticRepublicPriorityTourism-RelatedInvestmentProjectFactsheet.Accessedviatheinternetathttp://www.ecotourismlaos.com/downloads/Investors%20Resource%20Kit%20for%20Mekong%20Tourism%20Forum%202010.pdfAsiaDevelopmentBank(2013)InstitutionalAnalysisandArrangementsforO&MofProjectFacilities,GMSTourismInfrastructureforInclusiveGrowthProject(RRPLAO46293-003)Accessedviatheinternetathttp://www.adb.org/sites/default/files/linked-documents/46293-003-sd-04.pdfAsiaDevelopmentBank(2013)TourismDemandAnalysisandForecasts-GMSTourismInfrastructureforInclusiveGrowthProject(RRPLAO46293-003).Accessedviainternetathttp://www.adb.org/sites/default/files/linked-documents/46293-003-sd-02.pdfAsiaDevelopmentBank(2014)ProjectAdministrationManualforLaoPeople’sDemocraticRepublic:GreaterMekongSubregionTourismInfrastructureforInclusiveGrowthProject,June2014.AsiaDevelopmentBank(2014)ReportandRecommendationofthePresidenttotheBoardofDirectors.ProposedLoan-LaoPeople’sDemocraticRepublic:GreaterMekongSubregionTourismInfrastructureforInclusiveGrowthProject,August2014.AsiaDevelopmentBank(2015)TogetherWeDeliver2014:FromKnowledgeandPartnershipstoResults.Chapter10:Cambodia,LaoPDRandVietnam:AwelcomechangeforVisitors.PrintedinthePhilippines,2015.Beritelli,P.&Reinhold,S.&Laesser,C.(2014)TheNewFrontiersofDestinationManagement.JournalofTravelResearch,Edition53,pp403-417,July2014.Beritelli,P.&Reinhold,S.(2015)TheSt.GallenModelforDestinationManagement(SGDM).Apracticalintroductiontotheflow-basedperspective.UniversityofSt.Gallen.Presentation13&14January2015,hotelSternen,Chur,Switzerland.BloomConsulting(2015)CountryBrandRankingTourismEdition2014-2015.Madrid,Spain.Chittaphong,A.(2008)CommunityresponsestoculturalheritageconservationinLuangPrabangcity,LuangPrabangprovince,LaoPDR.ChiangMaiUniversity.

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Cochrane,J.(2008)AsianTourism:GrowthandChange.PublishedbyElsevierUK&TheNetherlands,2008.DepartmentforInformation,CultureandTourism(2014)2014TourismSatisfactionSurvey(Part3)FinalReport.LuangPrabangProvince,November2015.DepartmentforInformation,CultureandTourism(2010)TourismdevelopmentandpromotionstrategyLuangPrabangprovince2011-2020.DeutscheGesellschaftfürInternationaleZusammenarbeit(2014)LaoPDRTourismOverview2014.PresentationbyGiZ,LaosPDR.EuropeanUnion(2013)EuropeanTourismIndicatorSystemforSustainableDestinations.EuropeanCommission.Brussels,Belgium,February2013.

Gujadhur,T.&Rogers,P.(2008)Pro-poortourismandthevalueofheritageinLuangPrabang,LaoPDR.EditedbyLuger,K.,andK.Woehler,Worldheritageandtourismprotectingandusingfromasustainableperspective.Innsbruck,StudienVerlag.

Johnston,J.(2010)ATourismDevelopmentStrategyandActionPlanforPakBengDistrict2011-2015.PreparedbyADB-GMSSustainableTourismDevelopmentProjectinLaoPDR,LaoNationalTourismAuthority.September2010.KiernanK(2013).Thenatureconservation,geotourismandpovertyreductionnexusindevelopingcountries:AcasestudyfromtheLaoPDR.Geoheritage.(5)3:207–225.Kill,A.(2014)GreenTourisminLaos.SubmittedtoDeutscheGesellschaftfürInternationaleZusammenarbeit(GiZ)inFebruary2014.Vientiane,Laos.LaosNationalTourismAuthority(2004)NationalEcotourismStrategy(2005-2010)SummaryDocument.Accessedviatheinternetathttp://www.ecotourismlaos.com/directory/publications/lao_nta_ecotourism_strategy.pdfMinistryofInformation,Culture&Tourism(2015)2014TourismStatisticalReport.MinistryofTourism(2014)CambodiaTourismStatisticalReport2014.StatisticsandTourismInformationDepartment,December2014.Accessedviatheinternetathttp://www.nagacorp.com/eng/ir/tourism/tourism_statistics_201412.pdfMintel(2014)HolidayLifestyles:TravelandTourism-China.MintelReports,February2014.Sirisack,D.&Xayavong,S.etal.(2014)TheCharacteristicsandMotivationsofForeignTouristsWhoVisitLuangPrabangProvince,LaoPDR.InternationalJournalofBusinessandSocialScience.Vol5.No.9.Pp262-275,August2014.SithixayXayavong,S.(2014)TheCharacteristics,MotivationsandSatisfactionofThaiTouristsWhoVisitLuangPrabangProvince,LaoPDR.Accessedviatheinternetathttps://jcwalsh.wordpress.com/2014/01/01/the-characteristics-motivations-and-satisfaction-of-thai-

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tourists-who-visit-luang-prabang-province-lao-pdr/

Southiseng,N.(2006)EffectsofTourismLabourMarkets,LuangPrabang.PaperpresentedaspartofaDoctorofPhilosophyinManagementSchoolofManagementShinawatraUniversity.October2006,LaosPDR.

Stange,J.,Brown,D.&SolimarInternational(2012)TourismDestinationManagement:AchievingSustainableandCompetitiveResults.AnOnlineToolKitandResourceSeries3.USAID,Washington.Accessedontheinternetathttp://www.usaid.gov/sites/default/files/documents/2151/DMOworkbook_130318.pdf.Steiner,T(2014)DMO3inPractice–Fromstrategytogovernance.Chapter10,pp.223-230.TourismandLeisure,Pechlancer,H.&Smerol,E.SpringerFachmedien,Germany.Suntikul,W.(2011)LinkagesBetweenHeritagePolicy,TourismAndBusinessEnterprisesInLuangPrabang.InstituteforTourismStudies,Macao.PaperpresentedatICOMOConference,Paris,November2011.Thompson,T.(2014)TheFutureDMO.Travel2.0ConsultingGroup.Canada.Accessedviatheinternethttp://travel2dot0.com/destinationmarketing/the-future-dmo/onthe18thJanuary2014Thongmala,P.(2010).HeritageSiteasTouristAttractions:ACaseStudyofLuangPrabang,LaoPeople’sDemocraticRepublic.AthesissubmittedinpartialfulfillmentoftherequirementsfortheDegreeofMasterofTourismManagementatLincolnUniversity.Thongmala,P.,Wayakone,S.&Phimmavong,S.(2015)Tourists’AttitudestowardsTourismDevelopmentandHeritagePreservationintheWorldHeritageTownofLuangPrabang,LaoPDRInternationalJournalofBusinessandSocialScience.Vol6.No.8(1).Pp.37to45.,August2015.UnitedNationsConferenceonTradeandDevelopment(2014)EnhancingBackwardLinkagesBetweenTourismandOtherSectorsofLaosPeople’sDemocraticRepublic.Reportpreparedaspartoftheprojecton“Enhancingsustainabletourism,cleanproductionandexportcapacityinLaoPeople’sDemocraticRepublic”.UnitedNationsPublication,Switzerland,November2014.UnitedNationsWorldTourismOrganisations(2011),TourismandPolicyPracticeforGlobalTourism.Barcelona,Spain.Accessedviatheinternetathttp://www.gwu.edu/~iits/Sustainable_Tourism_Online_Learning/Mullis/Policy_Practices_UNWTO_book_feb.pdf.Vilayphone,S.(2010)CurrentStateandDevelopmentofTourisminLuangPrabang.ScientificJournalofNationalUniversityofLaos,Volume4,December.Wild,L.&LaPierre,D.(2011)TourismDevelopment:AchievingSustainableandCompetitiveResults.VolunteersforEconomicGrowthAlliance(VEGA).Washington,UnitedStatesofAmerica.Accessedontheinternetathttp://www.counterpart.org/images/uploads/VEGA%20Tourism%20Development%2012%2015%2011.pdf.

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Otheronlineresources:http://www.tripadvisor.com/Attractions-g293949-Activities-Laos.htmlhttp://sdwebx.worldbank.org/climateportalb/doc/GFDRRCountryProfiles/wb_gfdrr_climate_change_country_profile_for_LAO.pdfhttps://www.giz.de/en/downloads/giz2014-en-10-facts-biodiversity-laos.pdfhttp://www.mekonginfo.org/assets/midocs/0002547-environment-biodiversity-and-protected-areas-lao-p-d-r.pdfhttp://www.mekongtourism.org/index.php/experience-mekong/laos/http://www.tourismlaos.orghttp://www.ecotourismlaos.comhttp://www.laotourismdevelopment.comhttp://country.eiu.com/article.aspx?articleid=1643108948&Country=Laos&topic=Economyhttps://laos.opendevelopmentmekong.nethttp://mekongtourism.org/http://unctad.org/en/PublicationsLibrary/ditcted2014d4_en.pdfhttp://www.asean.org/news/item/tourism-statistics

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8. AnnexAnnex1:DefinitionsTERM DEFINITIONDestination Adestinationcomprisesofoneormorespaces,towhichrelevantnumbersofvisitors

travelandwherevisitorsspendtheirtimeandmoney.AdestinationisdefinedbynumerousStrategicVisitorFlows(SVFs)andnotasoneterritorialareadefinedbypoliticaloradministrativeboundaries.FromtheTOURIST(demand)perspectiveadestinationisanareathatprovidesfacilities,servicesandamenuofattractionsandactivitieswhichallowsaholisticholidayexperienceforastayofacoupleofdaysormore.FromtheINDUSTRY(supply)perspectiveadestinationisalocalityofferingasetofproductsandexperiences,criticallyinfluencedbytheroleandattitudeofinterdependentserviceprovidersandtheirwillingnesstoco-ordinateandco-operate.Source:UniversityofSt.Gallen(2013)

DestinationManagement

Itisaprocessofleading,influencingandcoordinatingtheplanningandmanagementofalltheaspectsofadestinationthatcontributetoavisitor’sexperience,takingaccountoftheneedsofvisitors,localresidents,businessesandtheenvironment.Destinationmanagementincludestheplanning,developmentandmarketingofadestinationaswellashowitismanagedphysically,financially,operationallyandinotherways.Managingtourismdestinationsisanimportantpartofcontrollingtourism'ssocial,environmentalandeconomicimpacts.Destinationmanagementcanincludelanduseplanning,businesspermitsandzoningcontrols,environmentalandotherregulations,businessassociationinitiatives,andahostofothertechniquestoshapethedevelopmentanddailyoperationoftourism-relatedactivities.Noonedestinationisthesameasanother.Thechallengesandopportunitiesforgrowthwillbedifferentandthestakeholderspresent,theirwillingness,capabilityandskillwillvary.Assuchitisnotappropriatetosuggestthataonesizefitsallfordestinationmanagement.Source:AdaptedfromSolimarInternational(2012,)UNEP-DTIE-SustainableTourismProject(2013)

DestinationManagementPlan(DMP)

ADestinationManagementPlanisasharedstatementofintenttomanage,developandpromoteadestinationoverastatedperiodoftime.Itarticulatesboththerolesofthedifferentstakeholders,identifiesclearactionsthattheywillundertakeandtheresourcestheywillallocate.Source:AdaptedfromVisitEngland(2014)

St.GallenModelforDestinationManagement

TheSt.GallenModelforDestinationManagement®(SGDM)isamodelfordestinationplanninganddevelopment.Itprovidesamarket-demand-driven,realistic,andforward-lookingperspectiveonthedevelopmentoftouristdestinations.Themodelenablesdecision-makerstoidentifystrategicvisitorflows(SVF)basedonasix-stepprocedure.Since2013theUniversityofSt.Gallen,Switzerlandhavebeendevelopingthemodelbasedonpracticalexperienceinmorethan30destinationsandthelatestinsightsfromongoingresearchondestinationmanagementandmarketing.Source:UniversityofSt.Gallen(2013)

StrategicVisitorFlows(SVF)

Astrategicvisitorflow(SVF)isaunitofmeasurementthatmapsouthowvisitorsmoveto/fromorwithinadestination.Theyreflectthewaytouristsinteractwithadestination:theattractionsvisited,activitiespursuedandexperienceslived.SVFsconsistofspecific

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travelersegmentswithsimilarmotivationsandthatpursuesimilaractivities.Theytendtobelocalized(e.g.canbemapped),significantinnumbers,havetheirowndemand-supplymechanisms,exhibitindividualdynamicsandlifecycles,createbusinessopportunitiesandcanbeanalyzed,managedandcommercialized.SVFsareusedasthebasicunitofanalysisfordestinationmanagement.Source:DefinitionadaptedfromUniversityofSt.Gallen(2013)

DestinationManagementNetwork(DMN)

ADMNisaworkinggroupmadeupofmanytaskforcesfocusedonimprovingtheoverallmanagementandcompetitivenessofatourismdestination.Itsroleistomotivate,enable,facilitateandadviseacollectionofstrategicvisitorflowswithinandacrossdestinations.TheDMNisnotahierarchicalmanagementorganisation(e.g.CEOrun)butratheragroupthatisnetwork-basedthatcaninfluenceandhelpadestinationdevelop.ADMNiscomposedofrangeparticipants,notnecessarilyfromonedestination.Theycanincludegovernmentagencies,tourismpromotionauthorities,privatesectorassociationsandindividualfirms,tourismandhospitalitytrainingbodies,andNGOs(conservationorganizations,culturalheritagepromotiongroups).�InLaosPDRthereisaDMNatthenationallevelaswellasattheprovinciallevel.Source:DefinitionadaptedfromUniversityofSt.Gallen(2013)

Taskforce Ataskforceconsistsofagroupoflocalizedbusinessesandorganisations(privateandpublic)thataregroupedtogetherbasedonthewayvisitorsinteract/flowwithrelevanttourismattractionsandactivitiesinageographiclocation.Taskforcesarecomposedofparticipantsfromthroughoutthetourismvaluechain,includinggovernmentagencies,tourismpromotionauthorities,privatesectorassociationsandindividualfirms,tourismandhospitalitytrainingbodies,andNGOs(conservationorganizations,culturalheritagepromotiongroups).Theseparticipantscollaboratetoimprovethecompetitivenessofthedestination(visitorflow).Theremaybemanytaskforcesinyourprovincethatrelatetocommonareasacrossallflowse.g.marketing,statistics,infrastructuredevelopment,trainingetc.orareonlyapplicableforanindividualflowe.g.Chompetwalkingtour,ChineseCarCaravans,ExperientialFITsetc.Source:DefinitionadaptedfromUniversityofSt.Gallen(2013)

WhatisResponsibleORSustainableTourism?

“Creatingbetterplacesforpeopletoliveinandbetterplacesforpeopletovisit”

MaximizingthePOSITIVEimpactsoftourismandminimizingtheNEGATIVEimpacts.- Ittakesintoconsiderationthecommunityensuringtheyhaveaccesstothetourism

industryandareactivelyinvolved.- Ittakesintoconsiderationthelocalenvironment–ensuringthatthelocal

environmentisnotdestroyedbytourism.- Anditstakesintoconsiderationtheeconomicbenefitsoftourism–ensuringthatthe

localcommunitygetsomeofthefinancialbenefitoftourism.- Andmostimportantlyitisabouthavingasustainablebusinessthatwillprovideyou

andyourfamilywithanimprovedlivelihoodforthefuture.ResponsibleTourismissometimescalledSustainableTourism.Source:TheCapeTownDeclarationforResponsibleTourismManagement(2002)

UniqueSellingProposition

Theonekeyreasonthataproductorserviceisdifferentfromandbetterthanthatofitscompetitors.Whatmakesyourdestinationstandoutfromthecrowd!

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Annex2:BackgroundtotheDestinationManagementPlanTravel and tourism continues to play an important role in the economic growth of destinationsthroughoutLaoPDR. Inan increasinglycompetitivenational, regionalandglobalmarketplacewheremore andmore tourism destinations are seeking to attract visitors and in an industry where travelplanning has becomemore complex (individualized and technologically focussed) and driven by thetourist,sustainabledestinationmanagementiskey.Managingtourismdestinationsisalsoanimportantpartofcontrollingtourism'ssocial,environmentaland economic impacts. Destinations that arewellmanaged aremore likely to generate `sustainable’and ‘inclusive’ growth in their local economy, and aremore likely tomaximise the benefits of thatgrowthinlongterm,withadditionalincomeandjobs.Thebest-manageddestinationsarealsolikelytoexcel in attracting new investment, in keeping value-added jobs, in bringing in new talent and instimulating innovation.Greatdestinationsaregreatplacesto liveandworkaswellgreatplacesastovisit.InLaoPDRtheconceptofdestinationmanagementisrelativelynewandthosedestinationswheretheconcept has been trialed (predominantly at a national level) using traditional approaches such asDestination Management Organisation (DMOs) have had limited success in being effective orsustainable.Somekeyreasonsforthisincludeapoortrackrecordofboththeprivateandpublicsectorworking together (lackof trust); anemphasison theownershipbeingby thegovernmentwhooftenlackthefinancialresourcesandcapacitytoimplementthebroadspectrumofrolesandresponsibilitiesputontoaDMO;apoorlydefinedvisionandobjectiveoftheDMO(committee)leadingtomismatchedexpectationsandanassumptionthatinternationalDMOmodelswillworkinLaos.In most cases these working groups / committees have been initiated and funded by internationaldonor organisations. The donor provides both financial, technical and human resources oftenunintentionallyplayingtheroleoftheDMOthemselves.Thisleadstoanunsustainablemodelwherebyattheconclusionofthedonor-fundedproject(usually3to4years)theDMOfailstocontinue.ForafulllistoflessonslearnedinLaoPDRandotherdestinationssimilartoLaoPDRcanbeseeninAnnex4.Inordertomovedestinationmanagementforward inLaoPDR, it iscritical thatthose involved inthetourismindustrydonotcontinuetomakethesamemistakesthathavealreadybeenmade.Adoptingnew thinking and new approaches such as the St. Gallen Model for Destination Management areimportant.The St.GallenModel forDestinationManagement® (SGDM) is amodel for destination planning anddevelopment. It provides a market-driven, realistic, and forward-looking perspective on thedevelopmentoftouristdestinations.Itrecognizesthatnoonedestinationisthesame,thereisnoblueprintfordestinationmanagementanditavoidsdefiningdestinationmanagementbyadministrativeorphysical geographical boundaries (i.e. by provinces). The six-step procedure (Ref. Annex 5) focusesprimarilyonmapping thedestinationbasedon strategic tourist flows (SVFs) i.e. howdo current andpotentialvisitorsflowthroughthedestination.AkeypartoftheSGDMprocessisthedevelopmentofaDestinationManagementNetwork(DMN)andaDestinationManagementPlan(DMP).ADMN is aworking group focused on improving the overallmanagement and competitiveness of atourismdestination. Itsrole istomotivate,enable, facilitateandadviseacollectionoftaskforcesandvisitor flowswithinandacrossdestinations.TheDMN isnotahierarchicalmanagementorganisation

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(e.g. CEO run) but rather a group that is network-based that can influence and help a destinationdevelop.

This LaoPDRDestinationManagementPlanhasbeendevelopedasa resultofa seriesofworkshopsconducted with a wide range of tourism stakeholders by Swisscontact33and funded by the AsiaDevelopmentBankinconjunctionwiththeMinistryofInformation,CultureandTourism.Thisplanisasharedstatementofintentofhowtoplan,promoteandcoordinateLaoPDRasatourismdestinationoverathree-yearperiod34.TheDMPsetsouttheagreedvisionforLaoPDR’spriorityactionareaswithadestinationactionplanandamonitoringandevaluationplanfortheperiod2016–2018.Itarticulatesboth the rolesof thedifferent stakeholders, identifies clear actions that theywill undertakeand theresourcestheywillallocate.TheDMPwillbereviewedonabi-annualbasisbytheDMNandrevisedonanannualbasis.

Annex3:PurposeandUseoftheDestinationManagementPlansThe purpose of this Destination Management Plan (DMP) is to support the planning, coordination,marketingandoverallmanagementofLaoPDRasatourismdestinationoverathreeyearperiod(2016–2018).ThisDMPwillsupportLaoPDR’stourismstakeholdersto:

1. Increase their understanding of tourists in the respective destination i.e. the way a touristinteracts(touristflows)withtheirdestinationandatouristsbehaviour

2. Increasetheirunderstandingofawiderangeofkeytourismstakeholdersandthewaysinwhichtheycanworktogethertopositivelyinfluenceandimprovespecifictourismflows

3. Prioritiseexisting strategicvisitor flows (SVFs) to focusonand identifyappropriate strategiesandactions

4. Identify new potential visitor flows that could be developed and identify the needs andpriorities.

5. Identifycapacityandresourcegapsanddefinewaystotacklethem6. Clarifyrolesandresponsibilitiesofkeystakeholderstoensureanactionorientatedapproachto

theimplementationoftheDMPUltimately,theDMPshallcontributeto:

ü Increasedvisitorspendingandvalueadditioninthedestinationü Reductionofeconomicleakagesawayfromthedestinationü Sustainable and responsible development of tourism in the destination, balancing economic,

socialandenvironmentalbenefitsü Moreinclusivegrowthofthetourismdestinationofferingdecentemploymentforexistingand

new entrants into the tourism industry, in particular the local communities within thedestination.

ThekeypartoftheDMPisanactionplanthatspecifieskeystrategicareasrelatingtoprovincialvisitorflowstofocuson;outlinesactivities,actorsandtheirresponsibilities;andallocatesfinancialresources.

33www.swisscontact.org,LaoPDRandEnterpriseandDevelopmentConsultantswww.edclao.com34ForthisDMPthetimeframeisathree-yearperiodhoweveritcanbeforanyagreedtimeframe.

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Itistobeunderstoodasaflexible,lightandlivinginstrumentthatneedstobereviewedatleastonceannuallyincollaborationwiththeDestinationManagementNetworkboard.Itdoesnotstrivetobeanall-encompassinginstrumentincludingeverysingleactivityrelatedtotourism,butfocusesonstrategicprioritiesthatmakesensefromasustainableandinclusiveeconomicgrowthperspective.The DMP is not designed as a control instrument for the government, but as a tool to coordinateactivities inaflexiblemanner.Nostakeholdershouldeverbeforced intoapartnershiporactionthatrunsagainsthis/herbusinessprinciplesorthatseriouslyhampersthereputationandsustainabilityofthe destination as a responsible tourismdestination. In fact all partnerships and actions should onlyeverfocuson“creatingbetterplacesforpeopletoliveinandbetterplacesforpeopletovisit.”TimelinefortheelaborationandapplicationofthisDMP:

Ø Draftreadyby15thofDecember2015Ø FinalisedandnegotiatedplansbyMarch2016Ø ReviewmeetingofthePlanbyNovember2016Ø ReviewmeetingofthePlanbyNovember2017Ø Reviewmeetingoftheplanandfollow-upplanbyNovember2018

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Annex4:KeyLessonsLearned:TheChallengesofDestinationManagementKeylessonslearnedfromdestinationmanagementinLaoPDRandsimilardestinationsare:

ü Destinationmanagementmodelshavebeenthrustontosomedestinationswithoutrecognizingwherethedestinationisinitslifecycleandthecontextualrelevance.

ü MostDestinationManagementOrganisations(DMOs)orCommitteesarefundedbydonors.Donorprojecttimeframesareoften3to4years,whichinmanyyoungemergingdestinationsisnotlongenoughtodevelopsustainable,andeffectivedestinationmanagementstructures.

ü Manystakeholdersanddonorsbelievethatdestinationmanagementshouldbethemainresponsibilityofthegovernmentandfinancedbythegovernmentbecausethegovernmentdefinesthedestinationsterritorybyitsadministrativeborders.ThisleadstothedevelopmentofgovernmentdesignedandrunDMOswhoarebuiltonweakfoundations–insufficientfundingandinsufficientcapacity.

ü TourismDestinationsandDMOshavegenerallybeendefinedandboundbypoliticalandadministrativeborders.Theseborders,moreoftenthannot,donotreflectthewaytouristsinteractwithadestination.ActivitiesoftheDMObecomemorefocusedonwhatthestakeholders(private&public)thinktheyneedratherthanwhatthevisitoractuallyneedsandenhancingthevisitorsoverallexperienceinthedestination.

ü MostDMOsareprescribedtoomanyrolesandresponsibilitiestoosoon.Theytrytobeeverythingtoeveryoneandarefacedwithchronicmoneyandcapacityshortages.Insmalldestinationswhencommitteesaredevelopedmembersofthesetendtobeassociatedonlyforpowerandprestigeratherthanforthebetterofthedestination.Insomecasesthiscanleadto‘elitecapture’withcertainmembers/stakeholdersparticipatingfortheirownpersonalfinancialgainandnotinvolvingthe“other”keystakeholders.

ü Traditionalheavy,elaborateandtediousplanningprocesseshave,onaverage,yieldedmodest(ifany)results.Atbestmostoftheseprocesseshaveproducedlengthydocuments(marketingplans,destinationstrategies,brandstrategies)thathaveneverbeenimplementedbecausethereisnotthecapacity(financialorhuman)orwilltodoso.

ü Traditionaldestinationmanagementparticipatoryprocessesimplythateverybodyhastoagreeabouteverything.Involvingeveryoneinplanningexercisesandstrivingtoreachasinglecommongoal,visionandmasterplaninmostcasesdoesnotworkandisnotsustainable.Realizingthemotivationsandincentivesofeveryonearedifferentiskey.Moveawayfromcommonownership(theDMObelongstoeverybodyandserveseverybody)toeffectivetransactionsandrelationshipswithworkinggroups.

ü Poolingfundscentrally(e.g.viamembershipfeesortourismtaxes)reducestheaccountabilityoftheDMOresultinginpoorperformanceanddisgruntledmembers.Theaccountability,transparencyandsustainabilityofaDMOisimmeasurablyenhancedwhentheindividualservicesdeliveredbytheDMOarepaidforbyprivateandpublicsectororganisationsthatwillbenefitfromthese.i.e.Feesarecollectedonanactivity-by-activitybasisratherthanpoolingfundscentrally.ThisensurestheDMOisaccountableforeachactivitytheyarepaidtodoandensurestransparencyandbetterlong-termrelationshipsbetweentheDMOandtheircustomers.

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Annex5:TheSix-StepapproachtotheStGallenDestinationManagementModel

Source:UniversityofSt.Gallen,Switzerland.

Step#1

Step#2

Step#3Step#4

Step#5

Step#6

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Annex6:LaoPDRTourismStatistics

Source:MICT,2014

Source:MICT,2014

2,513,028 2,723,5643,330,072

3,779,4904,158,719

-

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

2010 2011 2012 2013 2014

TouristN

umbe

rs

YEARS

LaoPDRTotalTouristArrivals

2010-2014Growthof65.5%from2010to2014

33%

58%

9%

LaoPDRTourism%TotalTourists2014

Domesitc

Regional

InternationalPredominantlyThaiVisitors

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Source:MICT,2014

Source:MICT,2014

Thailand52%

Vietnam28%

China11%

Korea3%

USA=2%

Other=4%

TopInternationalTourismSourceMarketsforLaoPDR,2014

Thailand=52%

Vietnam=28%

China=11%

Korea=3%

USA=2%

France=1%

Australia=1%

Japan=1%

UK=1%

Other

-50,000

100,000150,000200,000250,000300,000350,000400,000450,000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

TouristA

rrivals

Seasonality- TouristArrivals,LaoPDR2013vs2041

2014

2013Opportunitytoevenoutthis

troughintourist

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Source:MICT,2014

Source:LaosTourismOverview,2014–GiZ

1,630,516

1,078,334

535,413 504,049 472,906380,473 378,999

-

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

1,800,000

VisitorNum

bers

Province

LaoPDRHighestReceivingProvincesforInternationalTourists

2014

PredominantlyThaiDayorWeekend

Cambodia LaoPDR Myanmar Thailand Vietnam

2010 2,508,289 2,513,028 310,688 15,936,400 5,049,855

2011 2,881,862 2,723,564 391,176 19,098,323 6,014,032

2012 3,584,307 3,330,072 593,381 22,303,065 6,847,678

2013 4,210,165 3,779,490 900,171 26,735,583 7,572,352

0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

TouristArrivalsinGMSCountries2010-2013

+52%

+20%

+17% +13%

+11%

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Source:ASEAN,2013

0% 20% 40% 60% 80% 100% 120%

BruneiDarussalamLaoPDRMalaysiaMyanmarCambodiaSingaporeIndonesiaThailandVietNam

ThePhilippines

ShareofIntra&ExtraASEANInternationalArrivalsbyASEANCountries2014

Intra-ASEAN

Extra-ASEANLaoPDRIntra=78%Extra=22%

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Annex7:LaoPDRTourismKeySourceMarkets:Existing&New

Source:GreenTourisminLaos,2014

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Annex8:ASEANTourismStrategicPlan–StrategicDirectionsandActions

Source:ASEANTourismStrategicPlan,2013

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Annex9:LaoPDR:ProposedDestinationManagementNetworkTaskforces

Note: Inordertosuccessfully implementtheabovetaskforcesandavoidmistakesmadepreviously inLao PDR with tourism working groups / taskforces it is recommended that the DMN considerimplementing a few key taskforces within the first year to ensure their success. The number oftaskforces that can be implemented within the first year may depend on the skill levels and timecommitmentsoftheirproposedmembers.

LAOPDRDes*na*onManagementNetworkBoard

TaskForce8:ResourceMobiliza/on

TaskForce9:Des/na/onManagementNetwork

TaskForce1:Marke/ngandPromo/on

TaskForce2:HospitalitySkills

TaskForce3:TourGuideTraining

TaskForce4:ResponsibleTourism

TaskForce5:TourismSta/s/cs/Research

TaskForce7:TourismPolicy&Regula/on

TaskForce6:Transport&Accessibility

Proposedmembers:TransportAssocia/on.,LaoAirlines,LATADepartmentofTouristPolice,MICTx1,DepartmentofTransport

Proposedmembers:2xLHRA,2xLATA,1xMICT,2xothergovtdepts.

Proposedmembers:DevelopmentPartner,MrOudet,2xprivatesector,2xgovtMICT,LHRA,LATA**Membersmustbeverywellconnectedwithawidegroupofstakeholders

Proposedmembers:MICTPIU,ASEAN,2xDevelopmentPartners??

Proposedmembers:TourismMarke/ngDepartment(MICT),LHRA,LATA,LaosAirlines,2xOtherprivatesectorwithmarke/ngexper/se

Proposedmembers:LHRA,LANITH,TrainingProviders,IMCT,DevelopmentPartners(LUXDEV,Swisscontact)

Proposedmembers:TourGuides,UNESCO,LATA,2-3xseniorguides,LANITH,TourismManagementDepartment-MICT

Proposedmembers:LHRA,Media,GiZ,NZAid,WWF,GreenDiscovery,AsiaTrails,Culture&TourismIns/tute,TourismDevelopmentDepartment-MICT

Proposedmembers:MICTSta/s/csDept,LHRA,LATA,2xprivatesectormarke/ng&researchexperts

DMNSecretariat

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Annex10:LaoPDR:FeedbackfromDMNonDestinationManagementPlan,Jan2016

§ Keep the existing brand. Focus more on the brand expression among local stakeholders, tourists and public.

§ Create new website: Lao Simply Beautiful, with different content for Chinese and Thai tourists (not only language). International experts/institutions and participation of University of Laos/Institutions/specialists. Potentially collaborate with University of Bournmemouth UK and tourism fund by British Embassy for Laos, through Andreas Hofmann from Asian Trails.

§ Develop mobile apps for Lao tourism. International experts/institutions and participation of University of Laos/ Institutions/specialists

§ Organize photos/pictures contest for the most destinations USP (in line with the brand expression)

§ Design and publish the festivals/events calendars (clear allocate date and time, 2 years ahead for tour operators)

§ Invite famous people to visit Laos/destinations § Training on booking online and online media § Workshop amongst public stakeholders on visa exemption for tourists… § Drafting criteria of responsible tourism § “Conduct a comprehensive training needs analysis” for hospitality skills: Lanith already done § Upgrade tour guide training for tour guides that had the training a long time ago, assessment in

provinces by national level