1. Sustainable Pro Poor Tourism The Destination Management Approach The Arusha Round Table on Responsible Tourism Partnerships - 3June 2010 Birgit Steck Senior Tourism Advisor Dar es Salaam, Tanzania bsteck@snvworld.org

2. The Morning After 2015: SNV in Latin America Page 2 SNV SPPT is active in 10 African countries, in 23 destinations 33 experienced tourism advisors working on the ground About 90 program initiatives to make tourism work for the poor Pro poor income at destinations shall increase from 10 to 15 %

3. SNV‘s starting point in Tanzania

4. The Morning After 2015: SNV in Latin America Page 4 Tanzania Tourist arrivals and receipts

5. Comparing tourism revenue to the poor in different destinations ITC/ODI, 2009 SPPT - The Destination Management Approach

6. SPPT Principles Any kind of tourism can benefit the poor. Any kind of tourism can benefit the poor. Tourism is a driver for local development. Tourism is a driver for local development. Strengthen the performance of the overall tourism sector at national and destination- level (increasing the overall size of the tourism cake). Strengthen the performance of the overall tourism sector at national and destination- level (increasing the overall size of the tourism cake). Increase opportunities for the poor to benefit (more) from tourism by enhancing linkages into the local economy (increasing the slice of the tourist cake for the poor). Increase opportunities for the poor to benefit (more) from tourism by enhancing linkages into the local economy (increasing the slice of the tourist cake for the poor).

7. SPPT - The Destination Management Approach Increasing the tourism cake

8. SPPT - The Destination Management Approach Increasing the slice for the poor

9. SPPT - The Destination Management Approach SNV –Tanzania: programmatic areas in SPPT Work at national and destination level Work at national and destination level Adopt two complementary approaches: --Destination Management (DMA) and --Value Chain Analysis & Development (VCA/D) Adopt two complementary approaches: --Destination Management (DMA) and --Value Chain Analysis & Development (VCA/D) 5 programmatic areas: -----DMA Serengeti -----DMA Tanga-Pangani -----DMA Zanzibar 5 programmatic areas: -----DMA Serengeti -----DMA Tanga-Pangani -----DMA Zanzibar -----Tanzania Cultural Tourism Program and -----Policy Dialogue for enabling the SPPT environment -----Tanzania Cultural Tourism Program and -----Policy Dialogue for enabling the SPPT environment

10. The Morning After 2015: SNV in Latin America Page 10 Zanzibar Tourism Value Chain Analysis TOURISM: MORE VALUE FOR ZANZIBAR

11. SPPT - The Destination Management Approach To measure the financial flows from the tourism industry accruing to the poor’ in Zanzibar To measure the financial flows from the tourism industry accruing to the poor’ in Zanzibar To suggest and prioritise interventions based on this analysis To suggest and prioritise interventions based on this analysis TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis OBJECTIVES

12. SPPT - The Destination Management Approach Measures where tourism revenue is flowing throughout the tourism industry Measures where tourism revenue is flowing throughout the tourism industry Measures the direct financial impacts on ‘the poor’ who are defined prior to the research: Measures the direct financial impacts on ‘the poor’ who are defined prior to the research: Analyses the barriers for the ‘poor’ in engaging in earning tourism revenue Analyses the barriers for the ‘poor’ in engaging in earning tourism revenue Suggests interventions based on the financial and logistical analysis Suggests interventions based on the financial and logistical analysis TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis METHODOLOGY Tourism Value Chain Analysis in Zanzibar: (PPI - Pro Poor Income)

13. SPPT - The Destination Management Approach TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis MAP OF TOURISM SECTORS FOR THE ACTUAL ANALYSIS Services Hotel outlets and high end businesses Micro enterprises and the informal sector Internet Cafés Provision Stores Accommo- dation Providers Food and Beverage Operations Tours and excursions Retail -discretionary out of pocket spending Number and Type Costs, Turnover, Profitability Employees Government Revenues Independent Restaurants Restaurants in Coastal Areas Street Vendors Linkages to the Food and Beverage Sector Tour operators Dive Operators Guides Spice Farmers Boat Trips- informal sector Taxi services Hotel shops and high end busin. Employment Micro enterprises and the informal sector Souvenir shops Painters Clothes and material shops Wood carvers Non-tourism, but related sectors

14. SPPT - The Destination Management Approach SUMMARY OF MAIN FINDINGS The total revenue for all sectors under analysis is 172 million US$ The total revenue for all sectors under analysis is 172 million US$ The total pro poor income from direct linkages to tourism in Zanzibar is 10 % The total pro poor income from direct linkages to tourism in Zanzibar is 10 % TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis Services Accommo- dation Providers Food and Beverage Operations Tours and excursions Retail -discretionary out of pocket spending

15. SPPT - The Destination Management Approach Breakdown of Revenue by Sector and PPI TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis Pro-Poor Contribution 7.3 % PPI ? % PPI 18.8 % PPI 27 % PPI 47 % PPI US$ 172 million

16. SPPT - The Destination Management Approach SUMMARY OF MAIN FINDINGS Breakdown of Revenue by Sector and Pro-Poor Contribution TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis Accomm. & Hotel Meals RestaurantsRetail Tours & Excursions Services / other Revenue (US$) 152 million 7.5 million 6.3 million 5.2 million 0.8 million % Total Revenue 88.44.43.73.00.5 % Pro-Poor Benefit 7.3472718.8 Not Known Net Pro-poor benefit 6.5 % 11.2 million 2.1 % 3.6 million 1.0 % 1.7 million 0.6 % 1.0 million Minimal

17. SPPT - The Destination Management Approach SUMMARY OF MAIN FINDINGS TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis 1.High proportion of tourism revenue is directed through the hotel sector – low PPI 2.High-end hotels appear to give higher PPI per tourist 3.Small individual restaurant sector – high PPI 4.Less spent in tours and excursions than on retail– suggests an under-usage of cultural tourism resources 5.SMES retail sector dominated by non- Zanzibaris through access to supplies for prominent products and prominent locations.

18. SPPT - The Destination Management Approach SUMMARY OF MAIN FINDINGS TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis Way forward 6. Informal sector is significant: formalisation in some cases will improve revenue and customer experience, in others will reduce profitability through tax. 7. Agricultural linkages hindered by variety, quality and high seasonality of produce. 8. Only more wealthy fishers can engage with tourism but face lack of current market information and high perishability.

19. SPPT - The Destination Management Approach INTERVENTIONS: TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis Awareness raising on SPPT 1. Employment 2. Linkages 3. SME development

20. SPPT - The Destination Management Approach Way forward in Zanzibar DMA: Co-ordinate in interventions by different development partners and local stakeholders TOURISM: MORE VALUE FOR ZANZIBAR Tourism Value Chain Analysis “Anchor” SPPT approach in MKUZA update, tourism as lead sector All relevant the stakeholders in the government involved and plan for MKUZA implementation workshop 1.- Continue hospitality training for Zanzibaris - Work towards a Train the Trainers Program 1. Strengthen agricultural linkages and others 2. Analyse SMEs and market for their products

21. SPPT - The Destination Management Approach Responsible Tourism Certification Scheme and the SPPT Context Within a destination, a common vision needs to be developed among all stakeholders as a basis for a Destination Management Plan: Where do we want to be in (X) years time? Within a destination, a common vision needs to be developed among all stakeholders as a basis for a Destination Management Plan: Where do we want to be in (X) years time? Ensure the commitment of all stakeholders Ensure the commitment of all stakeholders Sustainable Pro Poor Tourism does not necessarily need a Certification Scheme, can be a useful tool. Sustainable Pro Poor Tourism does not necessarily need a Certification Scheme, can be a useful tool. Important to understand Responsible Tourism Criteria Important to understand Responsible Tourism Criteria Certification should be started and implemented by an independent body. Certification should be started and implemented by an independent body.

22. AHSANTENI SANA