Sobara Report
Ontario Competitveness Study: Discovering Ontario: A Report of the Future of Tourism
The session was attended by about 30 representatives from across Grey and Bruce counties, with a few folks from Simcoe and Dufferin in attendance. The Ministry of Tourism still has not formally accepted the Sorbara report, nor has it embraced the report’s overall goal: “Ontario should set its sights on becoming one of the world’s preferred destinations. It has the potential and necessary elements to be a leading global destination. By 2020, Ontario will aim to increase the economic contribution of the sector by doubling tourism receipts.” However, the intent is clearly to move ahead with reforming Ontario’s tourism regions and management. There is a legitimate concern that the report contains many other good recommendations that need to be moved on in addition to the regions, and that the overall goal be set to support the actions taken.
Assistant Deputy Minister of Tourism Michael Kurts attended the session and provided four reasons why regions are being recommended:
- to increase capacity for marketing and development,
- to ensure all players are working together,
- to provide clear roles & responsibilities for regional/provincial/national marketers,
- Ontario needs sustainable organizations in all areas of the province.
- Describing roles and responsibilities of a Destination Marketing and Management Organization.
- Determining criteria for regional boundaries resulting in successful regional tourism management.
- How to move forward to establish a DMMO.
There was good discussion around the three points, with one suggestion to call the Regions “Regional Tourism Organizations” (RTO) rather than Destination Marketing & Management Organizations (DMMO). Some groups felt the regions should just be administrative and supportive to existing DMO’s and not do any marketing, while there was some support for the regions to undertake marketing. There was also some consensus that the regions not add another layer of bureaucracy and spend a lot of money maintaining an office and staff, but should be smaller organizations and be directed by existing DMO’s. Without being too self-serving, there was quite a bit of support and confidence expressed for existing DMO’s. Basically there seemed to be an “if it ain’t broke, don’t fix it” sense at the meeting. Given that this change is coming, is there an opportunity to support the existing system and make it better, without jeopardizing existing working relationships. Suggestions for criteria for determining regional boundaries were listed as: tourism travel patterns, similar product and experiences, areas with well developed attractions and icons. At the close of the meeting, ADM Michael Kurtz did say that they would come back to the industry with their recommendations for further discussion. On behalf of Grey County, the following recommendations are suggested:
Clarify Roles & Responsibilities - We feel it is imperative to clarify the roles and responsibilities of a regional tourism organization with respect to Destination Development and Marketing, and with respect to existing DMO’s before determining regional boundaries. Developing and managing a destination are important considerations in addition to marketing. We are concerned that the Ministry appears to have pre-determined a significant marketing role for the DMMO prior to the consultation process.
Clarification of Funding Model and Available Resources – We understand $40 million will be allocated from the HST, when implemented, for regional marketing across Ontario. However, we also understand existing DMF’s in major centres in Ontario currently raise and spend about $40 million. The Discovering Ontario report references a figure of $100 million in DMF funding in order to have a significant impact on tourism. We are concerned that the funds available from Finance will result in a seriously underfunded regional structure especially outside the major urban areas. There are many other tourism activities that will be subject to the new HST, including campgrounds, skiing, golf courses, spas, that might contribute 3% to regional marketing. We request the Ministry of Tourism clarify regional funding and that if regions are created then funding should be adequate to do the job outlined in the report.
Determination of Regional Boundaries –The consultation session in Owen Sound indicated the regional boundaries cannot be determined until the role of the DMMO has been determined. If the DMMO has a marketing role, the session’s consensus was that regions should be based on common experiences and like-markets. Determination of specific regional boundaries needs to follow clarification of roles and responsibilities for regional tourism organizations and have some regard to funding mechanisms.
