The Irish tourism industry by pengxuebo


									                                                                                                                                                                                                                       in Ireland’s key visitor source markets:
                               Background                                                                                                                                 Who manages tourism                          Britain, France, Germany and the United
                                                                                                                                                                              in Ireland?                              States, availing of Bord Fáilte’s services
                One of the first tourist guide books about                                                                                                                                                             and overseas resources in doing so.
                Ireland, Arthur Young’s Tour of Ireland,                                                                                                              Tourism is very important to the Irish
                was published in 1780. Many beautiful                                                                                                                 economy and this is reflected in the full        The Irish Tourist Industry Confederation
                places were described but if you decided                                                                                                              Ministry status it has. The Department of        (ITIC) represents all major commercial
                to visit you had to cover large distances                                                                                                             Tourism, Sport and Recreation is responsible     tourism interests. The Confederation
                on horseback.                                                                                                                                         for formulating national tourism policies. The   identifies strategic issues affecting tourism,
                                                                                                                                                                      State-sponsored bodies, Bord Fáilte and          communicates the views of the industry to
                When canals were built in the late                                                                                                                    CERT, as executive agencies under the aegis      government, EU, the media and the public.
                eighteenth and early nineteenth centuries,                                                                                                            of the Department, are charged with the
                Ireland acquired its first mass transport                                                                                                             implementation of these policies.                          Stakeholders in
                network. Soon afterwards the roads were                                                                                                                                                                           Irish tourism
                improved and it became possible to travel                                                                                                             s   Bord Fáilte markets the Irish tourism
                by horse and carriage. By the middle of the                                                                                                               product worldwide.                           The main players in any business or industry
                nineteenth century a network of rail lines                                                                                                                                                             are known as stakeholders. Stakeholders are
                criss-crossed the country and in 1936 air                                                                                                             s   CERT provides training for new recruits,     all the different groups of people who are
                travel commenced between Ireland and                                                                                                                      existing employees and managers              affected by how a business is run. Bord Fáilte
                England.                                                                                                                                                  working in the industry.                     works with a diverse range of people and
                                                                                                                                                                                                                       organisations. These groups are affected by

   The          The Irish Tourist Association (ITA), which
                promoted 400 hotels in its first brochure in
                1925, marketed the fledgling Irish Free
                State as a tourist destination. In 1939, Bord
                                                                Carnival Dragon created by Macnas, Galway.

                                                                The World Tourism Organisation (WTO)                         Ireland’s success
                                                                                                                                                                           Bord Fáilte’s Mandate
                                                                                                                                                                      The Government has determined that the
                                                                                                                                                                                                                       the activities of Bord Fáilte, and equally they
                                                                                                                                                                                                                       have a significant influence on what Bord
                                                                                                                                                                                                                       Fáilte does. These stakeholders can be
                                                                                                                                                                                                                       summarised as follows:
                                                                defines a tourist as: A person travelling to and
                Cuartaoíchta na hEireann was established        staying at least one night in a country other       In 1998, for the twelfth consecutive year,        main focus of Bord Fáilte’s activities is to
                by an Act of the Dáil. This organisation took                                                                                                         support Irish tourism and market it              s   Government: Minister for Tourism,
                                                                                                                    foreign-exchange earnings set new records

                                                                than his or her country of usual residence for
                over from the ITA with statutory powers to                                                          for Irish tourism. The land of a thousand         internationally. To achieve this focus Bord          Sport and Recreation; and Oireachtas.
                                                                a period not exceeding 12 months for leisure,
                register and grade hotels and was the                                                               welcomes beamed broadly as £2.3 billion           Fáilte concentrates on three key roles:
                forerunner of Bord Fáilte. In 1955 Bord         business or other purposes. It is evident from                                                                                                         s   Customers: the various tourism product
                                                                this definition that tourists are not just people   flowed into the country. The total number                                                              providers, Irish and overseas tour
                Fáilte Éireann was created under the                                                                of overseas visitors was 5.5 million.             s   marketing Ireland internationally
                Tourist Traffic Act, to develop and promote     who come to Ireland primarily to holiday.                                                                                                                  operators, air and sea carriers.
                tourism in the Republic of Ireland.                                                                 The growth in the Irish tourism industry is       s   helping the Irish tourism industry develop

                                                                                                                                                                                                                       s   Other official bodies: the EU, RTAs,
                                                                            Global tourism                          ongoing. It is estimated that by 2003 the                                                              Shannon Development, local authorities
                With each new development came a new                         performance                            number of foreign visitors coming to Ireland      s   providing information for decision-              and other local groups.
                wave of tourists. Today Ireland has a                                                               will exceed seven million. Dr James McDaid,           making.
                thriving tourism industry which contributes     The World Tourism Organisation’s figures            Minister for Tourism, Sport and Recreation,                                                        s   Consumers: the actual and potential
                in the region of £3 billion to the economy      indicate that world tourism was worth               writing in an article in The Irish Times on             Bord Fáilte's Mission                          visitors, including the Irish home
                each year.                                      US$445 billion in 1998. In that year 625            18th August 1999 said: “I have described                                                               holidaymaker.

industry                                                        million tourists visited foreign countries.

                                                                Tourists generated US$226 billion in
                                                                                                                    tourism as the Celtic Tiger’s most vigorous
                                                                                                                    cub. I am confident that it will play that role
                                                                                                                    well into the new century.”
                                                                                                                                                                      Bord Fáilte's ambition for the next five years
                                                                                                                                                                      has been summarised in the organisation’s
                                                                                                                                                                      mission statement, as follows:
                                                                                                                                                                                                                       s   Bord Fáilte: Board, management and
                                                                tourism revenue in Europe which                                                                       To advance the development of a sustainable
                                                                represents 51% of world tourism revenue.                                                              and competitive tourism industry by working                                     Fastnet Lighthouse,
                                                                                                                                                                                                                                                            County Cork.
                                                                France was the most popular destination in                                                            with the industry to achieve by 2004
                                                                Europe with more than 70 million tourists                                                             Government targets for revenue, jobs and
                                                                visiting the country in 1998. Spain and the                                                           regional spread.
                                                                United States follow France, each with
                                                                more than 47 million tourists. Ireland was
                                                                                                                                                                      Working in conjunction with Bord Fáilte
                                                                ranked as the 24th most popular tourism                                                               there are regional bodies and a number of
                                                                destination by WTO in 1998.                                                                           other tourism organisations around the
                                                                                                                                                                      country. For example, there are six Regional
                                                                There was an increase of 2.4% in 1998 in                                                              Tourism Authorities (RTAs) and a seventh
                                                                the number of tourist arrivals worldwide                                                              tourism region, Shannon, is administered by
                                                                resulting in an increase in global receipts                                                           Shannon Development. These organisations
                                                                of 2%. Tourist arrivals in Europe increased                                                           provide wide ranging services for visitors and
                                                                                                                                                                      the tourism industry at regional level.
                                                                by 3% in 1998 and receipts grew by 3.6%.
                                                                Ireland outperformed the general trend in                                                             A unique all-Ireland public and private sector
                                                                1998 with an 11% growth in people coming                                                              tourism marketing partnership, Overseas
                                                                to Ireland and an 8% growth in total foreign                                                          Tourism Marketing Initiative (OTMI),
Business 2000   Oysters and Guinness.                           exchange earnings from tourism.                                                                       undertakes consumer marketing campaigns
                                                                                                    visitors are primarily influenced in their choice                                                          growth outside the peak July/August
  Encouraging a sustainable                                                                         of Ireland as a holiday destination by the                                                                 season. Visit the award winning Tourism                                Summary
    approach to Tourism                                                                             quality of the scenery and the sighstseeing                                                                Brand          Ireland          web       site
                                                                                                    opportunities available. Other important                                                                   ( In 1998 it had   Tourism is undoubtedly one of the major
       Development                                                                                  reasons for choosing Ireland are a sense of                                                                an estimated 850,000 enquiries. This was         success stories of the Irish economy.
                                                                                                    discovering a new holiday destination, the                                                                 more than all other enquiry sources combined.    Always resourceful and prepared to try
Part of Bord Fáilte’s mission is to develop                                                         expectation of a restful and relaxing                                                                                                                       new initiatives the tourism industry
                                                                                                    atmosphere and the opportunity to experience
a sustainable tourism industry. Irish
                                                                                                    our unique history and culture. Two thirds of                                                                  Investment in tourism                        partners have rightly been rewarded for
tourism is primarily based on our                                                                   holiday visitors use a car while in Ireland in                                                                                                              the risks taken. The challenges now facing
landscape, culture, heritage and way of                                                             order to see more of the country.                                                                          In the past ten years it is estimated that £3    the tourism industry are to manage the growth
life and friendliness of our people. The                                                                                                                                                                       billion has been invested in the tourism         of tourism whilst at the same time preserving
challenge is to manage tourism growth so                                                                                                                                                                                                                        our natural resources and environment.
                                                                                                                                                                                                               sector. The European Union made
that it is socially and environmentally                                                                                                                                                                        available over £500 million of this sum in       The continued success of Irish tourism
sustainable, resulting in long-term                                                                                                                                                                            the period 1989 to 1999 inclusive. The EU        depends largely on co-operative endeavour
economic and social benefits.                                                                                                                                                                                  funds were used to develop new products          between the industry private-sector and the
                                                                                                                                                              Marketing Ireland as a                           and to stimulate marketing and                   state agencies. Joint partnership has become
       Economic benefits                                                                                                                                       tourist destination                             training.                                        the defining feature of Government policy in
                                                                         Jaunting cart in Merrion
                                                                                  Square, Dublin.                                                                                                                                                               promoting Ireland as a destination of
Some people find it difficult to imagine
                                                                                                                                                          Persuading overseas tourists to visit Ireland is a   One of the most successful commercial            excellence in international markets.
something that comes into the country as
an export. However, tourists are                         Social benefits                                                                                  complex task. Ireland, as a holiday destination,     visitor attractions is at the old Midleton
                                                                                                                                                          is in competition with almost 60 other               Distillery in County Cork where the
considered by economists to be exports                                                                                                                    destinations, each attracting in excess of a                                                           TASKS AND ACTIVITIES
because they bring foreign currency into      The ‘knock-on’ effect of the increase in                                                                                                                         Jameson Centre traces the age-old art of
                                                                                                                                                          million visitors a year, and all trying to
the country. When a tourist purchases Irish   tourism has occurred in the development                                                                     persuade travellers to sample their attractions.     whiskey making. The Centre is a good
                                              of infrastructure, services and cultural                                                                                                                         example of the type of project that is                 (a) Describe one occasion when you
punts, this purchase is made in foreign
                                                                                                                                                          In 1996 a new approach to marketing the
                                                                                                                                                                                                                                                                1         were a tourist.
currency. Foreign-exchange earnings from      perceptions.                                                                                                                                                     funded by the EU. The distillery was
                                                                                                                                                          island of Ireland was launched. Almost two           restored with the aid of a £750,000                    (b) Mention the place you visited,
tourism amount to 5% of earnings from all                                                                                                                 years of research and work was invested in                                                                      the duration of your stay and the
                                              The facilities set up for tourists are also used      The ideal holiday for some people is                                                                       European Regional Development fund
exports.                                                                                            somewhere sunny with nice beaches and warm            the development of a new brand for Irish                                                                        reason for your visit.
                                              by the Irish people. Ireland now has a choice                                                               tourism. This is called Tourism Brand                grant. It is now one of the top tourist
                                                                                                    oceans. Ireland has a different appeal. People                                                                                                                    (c) Identify the local services you
Tourism goods have a very low import          of airlines, sophisticated ferry services, a                                                                Ireland (TBI) and is a marketing approach            attractions in the South and employs many
                                                                                                    come here because they have a strong interest                                                                                                                         used and list any problems you
content in comparison with other goods,       range of hotels and restaurants, leisure                                                                    which has strengthened Ireland’s position            local people.                                              encountered.
                                                                                                    in the countryside and the scenery. They also         in this highly competitive sector.
                                              facilities, water sports, etc.                        believe that the people are friendly and it is a
so the nett gain to the economy is huge. To
service tourism it is not necessary to                                                              safe place to visit. Most are not disappointed                                                             The Céide Fields visitor centre in                     (a) Describe the tourists that come to
                                              Tourism, which enables us to meet so                  and in fact the holiday is usually better than they
                                                                                                                                                          TBI involves a partnership arrangement
                                                                                                                                                                                                               County Mayo is another example of                2         your part of the country.
import goods as Ireland has the food,                                                                                                                     between the Overseas Tourism Marketing
                                              many people from different countries,                 expected - and this includes the weather!                                                                  investment in a tourism project. The                   (b) Where are they from? Where do they
hotels, staff, etc to hand within the                                                                                                                     Initiative (OTMI), Bord Fáilte and the
                                              broadens our outlook. It deepens our pride                                                                                                                       Office of Public Works (OPW)                               stay? What do they do in your area?
country. This explains why the import                                                                                                                     Northern Ireland Tourist Board. It has
                                              in our own country by seeing it through               Many people come to Ireland because they                                                                   undertook the work on a visitor centre.                (c) Do you know of any problems they
content is low. Ireland earned £2.3 billion                                                                                                               demonstrated how beneficial it is to get both
                                              the eyes of the stranger, and listening to his        can fish, cycle, ride horses, play golf or            public and private sectors working together.         The result is a blend of modern                            have, or complaints they make,
from foreign visitors in 1998. Irish people   or her praise of its landscape and culture.           cruise inland waterways. The fact that                                                                                                                                about their visit?
taking trips in Ireland spent an additional                                                                                                                                                                    architecture and ancient history showing
                                                                                                    Ireland cannot guarantee good weather is              The aim of TBI is to increase tourism                how the local people were farming in the
£751 million. So in total tourism is                                                                not a deterrent as tourists are not coming                                                                                                                         Outline the benefits of tourism to
currently a £3 billion industry.                     Ireland as a tourist                                                                                 revenue, spread the benefits of tourism              area at the time when the Egyptian               3      Ireland.
                                                         destination                                primarily for sunshine.                               throughout the country and achieve greater           Pyramids were being built.
It is estimated that government earned                                                                                                                                                                                                                                Make a note of how you would allocate
                                              A total of 5.5 million overseas tourists                                                                                                                         It is not just historic attractions that have    4     your spending money on holiday. Then
revenue of £1.5 billion in 1998 through                                                                                                                                                                        been developed. Investment has also taken
                                              visited Ireland in 1998. The largest group                                                                                                                                                                        compare your list with how the typical tourist
taxation of tourism expenditure, of which                                                                                                                                                                      place in the full range of tourism products.
                                              was from Britain where 3.2 million (58%                                                                                                                                                                           spends their money. What do you notice? What
£1.2 billion came from foreign tourists.                                                                                                                                                                       For example, new conference and leisure          sort of things do you take for granted that a
                                              of all tourists) packed their suitcases to
For every pound spent by these tourists,      visit Ireland. Another 1.3 million (23%)                                                                                                                         facilities attached to hotels have been          tourist has to pay for?
57p eventually finds its way into the         came from Mainland Europe, and North                                                                                                                             built. This type of investment helps to
Exchequer through VAT, excise duty,           America accounted for 858,000 (15%). A                                                                                                                           extend the tourist season beyond the                  Explain how the government has
PAYE, etc.                                    further 124,000 tourists came from
                                                                                                                                                                                                                                                                5    encouraged the growth of the travel
                                                                                                                                                                                                               summer months.
                                              Australia and New Zealand.                                                                                                                                                                                        and tourism industry.
One of the main impacts on the economy                                                                                                                                                                         While much of this development has been
                                              The typical visitor spends most of his or her                                                                                                                                                                            Identify how local areas have benefited
is the new employment generated by
                                              budget on food, drink, and accommodation.
                                                                                                                                                                                                               made possible by the provision of grants         6      from investment in tourism.
tourism. Jobs supported by tourism                                                                                                                                                                             this is not always the case. For instance,
                                              The rest of the money goes on shopping,
expenditure have increased by a dramatic                                                                                                                                                                       many new hotels, particularly in Dublin,                Briefly explain the reasons why Ireland is
                                              sightseeing, entertainment and transport.                                                                                                                                                                         7
87% from 68,000 to 127,000 between                                                                                                                                                                             have been built recently without                        such a popular destination for tourists.
1988 and 1998. Tourism now supports           Of the 5.5 million tourists who visited Ireland                                                                                                                  depending on grants. This has occurred as            While every effort has been made to ensure the accuracy of
8.2% of jobs in the economy, or more than     in 1998, 2.1 million came mainly for a holiday.                                                                                                                  a result of the continued growth in tourism        information contained in this case study, no liability shall attach
                                                                                                                                                                                                                                                                 to either The Irish Times Ltd or Woodgrange Consultants Ltd for
one in twelve.                                Research by Bord Fáilte shows that holiday            The Tour de France 1998 in Ireland.                                                                        business.                                                     any errors or omissions in this case study.

      Business 2000

To top