Is Your Attraction a Benefit or Burden?
On the surface, being a destination will add jobs and bring more money into a community. But at the same time, many attractions also bring significant infrastructure needs and large crowds that can raise quality-of-life issues for community residents. From a community point of view, these factors need to balance in the favor of “worth it.” Otherwise, tension and trouble could be ahead.
Karla Hart of Juneau Cruise Control talks to reporters outside Juneau City Hall on Wednesday, June 2, 2021. The group failed to put three cruise-ship-limiting measures on the local ballot. (James Brooks / ADN)
For examples of what may happen when the “worth it” is questioned, you can look to recent efforts to curb cruise ship activities in port cities like Key West, Florida, and Juneau, Alaska. These cities at the furthest corners of the United States share a few things in common: they’re often swamped with cruise ship tourists and their local economies heavily depend on the tourist trade, but at least some residents feel that the cons of the industry outweigh the pros. In Key West, local voters approved cruise ship restrictions, but those rules are currently being challenged by the state. In Juneau, ballot measure petitions calling for similar measures fell short, but a local “cruise control” organization generated significant debate and publicity along the way.
Another challenge faced by communities that are major tourist destinations, such as Orlando, Florida, Reno, Nevada, and Honolulu, Hawaii, is maintaining enough affordable housing and infrastructure to support thousands of service employees. Unchecked, these situations can cause a ripple of negative repercussions throughout a community, and that in turn could lead to opposition to further development.
Money In vs. Money Out
An attraction may bring money into a community, but how much of it stays there? While attractions will generate tax revenue and some residual business opportunities, different types of attractions will have more or less economic impact from there.
Locally Austin is a great tool, helping residents and visitors discover the small business gems that give Austin its flair.
Local ownership and local employees can provide a tremendous lift to a community, as bigger portions of paychecks and profits cycle back through the community’s economy. At the other extreme, business profits might funnel back to a corporate parent, or employees might disappear during the offseason. While communities derive some benefits from each type of attraction, the level of local investment – and the perception of local investment – can make a big difference in the community’s evaluation of the value proposition. Case in point – Austin, TX, a destination that prides itself on showcasing local businesses and experiences unique to the communities in that city.
Regardless of ownership status or employee base, attractions can make efforts large and small to increase their economic ties to communities. Patronizing other local businesses … holding a job fair at a local school … supporting local nonprofits … any number of activities like these can boost your impact on the local economy. Following our earlier example, Norwegian Cruise Lines went big earlier this year, providing $10 million in economic aid to Alaskan port cities (which might have helped with that whole petition thing).
Is It a Gig or a Career?
Communities will also value attractions differently based on the types of jobs they provide. What are the employment prospects for locals? Is it primarily seasonal work, or are there year-round opportunities? What are the opportunities for advancement? Could a smart and hard-working local employee make a career out of working at your attraction, or are they more likely to move elsewhere?
Attracting, Engaging, and Retaining Seasonal Employees—It Pays to Plan - HRDailyAdvisor.com
The answers to these questions are largely dictated by the nature of an individual attraction, but there are options to consider that can move the needle in the right direction for community economic benefit. For example, could seasonal attractions look to add more offseason activities or other lines of business to retain employees longer each year? Could attractions partner with complementary peak season businesses to negotiate year-round employment for local seasonal employees?
Ultimately, every attraction will have a different economic impact on its community. But, if you’re willing to put on a city planner hat and consider the weights on each side of the “worth it” scale, there are multiple ways to add value and help ensure that mutual benefits are seen and appreciated by all.
Reinvention is more fun with friends. Got a topic you want to see on Destinology?
Email us at destinology@pgav.com or start a conversation on Facebook, Twitter on LinkedIn.
Tap the buttons below.