Selling identity: tourism

Teacher note

• Amber and Aiko - show what can be achieved
• Investing in knowledge
• Tourism from Japan: Prospects, promises, problems:
• Know your customer
• Two way tourism
• Japan wants to be understood
• A "New Zealand Incorporated" approach?

Young Japanese and New Zealanders, participating in the knowledge economy through school exchanges, study abroad programmes, working holidays and other internationalisation opportunities, can foster travel both ways. Kiwi visits to Kansai schools, universities, homestays, world heritage sites and other places in Japan build relationships that can lead to more Japanese visiting New Zealand.

Tourism from Japan is not only important as a job and income source for Kiwis – it also helps internationalize peoples from both countries, and gives them knowledge about each other.

Amber and Aiko - show what can be achieved

Consider Aiko Mizuno. She is from a family in Minoh who travel to many countries. Thanks to Amber Walters, Aiko put New Zealand on her agenda. Amber and Aiko met through the sister city connection between Minoh and Hutt cities, and Amber’s assignment to teach in Minoh schools. Aiko and Amber have gained knowledge of both countries, helped by their understanding of each other. What might Aiko’s commitment to part of her future in the travel industry do for New Zealand’s interest in more tourism from Japan?

Since 1980, when New Zealand received 20,000 visitors from Japan, there had been significant growth in numbers – around 150,000 annually by the end of the century, after which growth has slowed down.

Investing in knowledge

People in New Zealand and Japan - who saw the potential - had invested in knowledge to enable them to build what became an economically significant flow of Japanese, interested in holidays, education, business, friends and family, sport and relaxation in beautiful New Zealand. The 1994 book Tourism from Japan and Tourism New Zealand’s 2006 Japan Market Forum include ideas on making tourism work.

Economic growth in the last decade has focused on the knowledge economy. Many of our leaders work on growth and innovation policies that use knowledge for economic growth in areas of potential.

Conferences about the Knowledge Wave were held early this century in New Zealand – and leaders sought then to rally Kiwis around ideas. http://www.knowledgewave.org.nz/index.php?fpg=home
Prime Minister Helen Clark said her vision seeks for New Zealand to realize its potential, assisted by the government’s growth and innovation programme.

The PM’s vision for New Zealand is to realise its potential as:

1. A birthplace of world changing people and ideas
2. A place where people invest in the future
3. A great place to live, learn, work and do business
4. A land where diversity will be valued and reflected in our national identity.

John Key spoke on the knowledge economy also then, and he later became leader of the National Party. He asked if New Zealanders would be equipped to cope as the knowledge economy rapidly dismantles global barriers. He suspected agriculture and tourism will still be New Zealand’s major export earners, but China will be a more significant market.

Think about what our leaders have been saying about the knowledge economy, and think about the growth and then the slowdown in the important Japan tourism market for New Zealand. When tourism industry leaders met in Tokyo in 2006 at their Japan Market Forum to assess what they could do about the slowdown – they committed themselves to foster new tourism product, and other measures to maintain and develop the market.

Tourism from Japan: Prospects, promises, problems:

The CEO of Tourism New Zealand, George Hickton (whose opinions are heard in the DVD chapter Selling identity: tourism, in Kansai through Kiwi eyes) told the tourism industry representatives at the Japan Market Forum they are being challenged by difficult conditions in Japan, particularly high pricing, exchange rate, slow growth in long haul and destination competition. He called for a unified and co-operative approach to address these challenges.

Consider what the tourism industry’s market research and analysis has shown – and on which we can now build.

http://www.tourismnewzealand.com/tourism_info/market-research/market-guides/japan/japan_home.cfm

Among the highest spenders whilst in New Zealand, Japanese travelers spent an average of NZ$3,511 per person in 2005. New Zealand continues to be a popular destination for older Japanese visitors, with 37% of all visitors aged 55 years or older. Of the younger age groups, 25-35 year old travelers were the most common, accounting for 23% of all Japanese visitors.

Sixty-five percent of Japanese visitors in 2005 traveled to New Zealand mainly for a holiday. 11% of Japanese visitors to New Zealand came to visit friends and family, while business and education were the main purposes for 9% each of visitors.

In 2005, 71% of Japanese visitors were visiting New Zealand for the first time. Over two-thirds (67%) of all Japanese visitors in 2005 indicated – in the International Visitor Survey - that they would like to visit New Zealand again in the future.

http://www.tourismresearch.govt.nz/Datasets/International+Visitor+Survey/

Japanese have predictable, unchanging daily routines amongst the noise, pollution and people of big city environments according to tourism industry opinion. For this reason, Japanese people are looking for time out from stresses, pressures and `rules` of everyday urban life. Japanese travelers have concerns about safety, their ability to speak English, how they will be perceived in a foreign country, and how difficult it is to travel there.
Older travelers and less experienced travelers are particularly concerned about safety. Safety is the largest hindrance to overseas travel and can eliminate countries from consideration. Other impediments include not liking foreign food, anxiety about health and cost.

In the last 30 years Japanese people have been keen to explore the world and have had the money and enterprise to travel at yearly or two yearly intervals. They are perhaps more likely to choose a new destination each than to return to places they have visited before.

The Japan Travel Bureau Foundation 'Opinion Survey of Overseas Travel Preferences' has found that preferred reasons for travel have remained unchanged since 1997. The top two reasons are 'enjoyment of nature and scenery' and 'visiting historical sights and buildings'. These were followed by preferences for 'rest and relaxation`, `local cuisine or favourite food', 'shopping', and 'experiencing different cultures'.

Tourism New Zealand focuses some of its marketing initiatives on attracting the more than seven million senior travelers - known as "Baby Boomers" - who are expected to retire over the next few years, and the 55+ market which is a key part of total arrivals to New Zealand.

Additionally, both the 25-40 year old female market, and education markets play a significant role in the make-up of visitor arrivals to New Zealand.

http://www.tourismresearch.govt.nz/NR/rdonlyres/2CB85B39-ED04-4915-84AD-874C06988E89/19713/NZTourismForecasts20062012NationalReport.pdf

New Zealand National Tourism Forecasts record annual growth of Japanese tourists to New Zealand of 0.2% pa between 1998 and 2005, and estimates growth will be at 1% a year until 2012. The growth since 1998 was from 153,000 to 154,900 – and the 2007 forecasts are for 165,600 by 2012.

The forecasters note Japanese stayed on average 13.3 nights on their visits, and anticipates this will expand by 2012 to 15.1 nights. The forecast Japanese nightly spend in New Zealand is projected to grow from $NZ248 in 2015 to $NZ327 by 2012.

Total annual Japanese tourist expenditure in NZ is projected to be $NZ 815 million – 6.9% up from $NZ512 million in 2005.

Know your customer

Tourism is heavily dependent on knowledge – entrepreneurs need it to link the needs of their markets and their products. Many New Zealanders do work and could work more in the tourism opportunities created by people from Japan, which is the second largest economy in the world.. If the knowledge assembled so far really means Japanese baby boomers are to be a more important New Zealand market, then work should be done on the growth and innovation options.

1. Have we researched what Japanese aged 55+ want, and what we need to do to meet their needs?
2. Do we know how far we can attract them through traditional tourism market channels, and what innovations – such as internet marketing – can deliver?

Tourism New Zealand’s Japan manager, Jason Hill offered his future market perspective to the 2006 Japan Market Forum.

1. How should New Zealand build on his analysis of these future target markets for New Zealand?:
1. Silvers – people aged 60+
2. Baby boomers – people aged 55+
3. Families – people aged 35-55
4. Smart working affluent females – aged 25-40
5. Students

Young Japanese and New Zealanders, participating in the knowledge economy through school exchanges, study abroad programmes, working holidays and other internationalisation opportunities, can foster travel both ways. Kiwi visits to Kansai schools, universities, homestays, world heritage sites and other places in Japan can build relationships that may lead to more Japanese visiting New Zealand.

New Zealanders can research and make decisions on what they think they and others should do to grow and innovate in the Kansai tourism market, to produce what they should offer target markets, and to link potential visitors with what we may offer.

Two way tourism

Two way tourism can foster relationships and understanding – and foster sustainable movement of people and ideas for the benefit of both peoples.

Knowledge suited to planning how to meet the needs of Japanese visitors to New Zealand can be found from looking at how Japanese receive their visitors. For example, in a temple garden our hosts have provided information for the public on the seasons for various flowers.

Lessons can be drawn from the stories of Aiko Mizuno and Amber Walters. Kiwi Amber taught Aiko at junior high school in Minoh. Aiko decided to finish her secondary schooling with three years at Nelson Girls College. Her parents, who like touring, considered New Zealand as a destination amongst others. Aiko was accepted to Ritsumeikan University, to follow courses that would prepare her for work as a travel guide. Amber took an assignment at Victoria University of Wellington, where she could assist overseas students, such as groups from Ritsumeikan, keen to improve their English. Amber and Aiko each move with ease around Japan and New Zealand, and with Japanese and New Zealanders.

Two way movement of people can be fostered by developing relationships. The right people can take the hint from people such as Junichi Fujisawa, Mayor of Minoh, who says his city has formed comprehensive agreements between three universities.

“We decided to work together and host various activities together. Maybe your Victoria University of Wellington can be included in this comprehensive agreement. Osaka Gaidai will merge with Osaka University, one of Japan’s largest universities. Your university could be included in this agreement with Hutt” Fujisawa san said in the interview with the team producing Kansai through Kiwi eyes.

Professor Matsuda made comments that matched those of his Mayor when we interviewed him at Osaka Gaidai, Osaka University of Foreign Languages. Mombusho, Japan’s Ministry of Education, wants use of native teachers of English.
Was Professor Matsuda satisfied with their performance?

Japan wants to be understood

Good is not enough. Practice makes perfect. Japanese tend to be timid and shy. So they are more hesitant. At Osaka Gaidai we provide more opportunities to make them speak. Express themselves.
Japan deserves to be heard. It needs to be understood he said., and asked Amber Walters, what did she think was desired.

Amber Walters: Japan does need to be understood. But it is difficult for them to communicate that. I think there was a lot to be gained living in the school community. Consider that four of my Minoh students came to NZ, one to Australia. Local government seems more focused on the costs than the benefits. Benefits are more than bringing English. Some students appreciate the cross cultural experience.

Prof Matsuda: Language learning is a two way street……Language is for enjoyment of life, the essence of democracy.

Anthony Haas. A policy issue. Minoh seems interested in other ways of providing English language services.
Prof Matsuda: I have actively promoted continuing education. The Elder Hostel system, of Boston. Why don’t you propose to Minoh to involve experienced teachers like Amber to give classes, perhaps subsidized by local government, perhaps users paying a small fee. Give them an opportunity to come to your language sessions – and feel the warmth and friendship of your people.
Amber Walters: Yes.
Prof Matsuda: It will require effort and a dedicated person.
Amber Walters: Perhaps an Osaka Gaidai graduate?
Prof Matsuda: I was treated well by my host family in Madisson. I believe in international exchange.

A "New Zealand Incorporated" approach?

As well as effort from dedicated people, New Zealand could do with more entrepreneurship for its Kansai markets.

Think on the perspective of Jason Allen, informed by experience in and beyond the JET programme in Sakai and Osaka. He became one of few New Zealanders providing liaison looking to tie up potential links with people back home. This involves initiating and maintaining and connecting between businesses.

“There is definitely not enough collaboration here – between those who oversee the market on the NZ side to those here who are importing. Those links are here. I think a lot can be done.
“What is being done is being done on a small scale by those people who have a passion for New Zealand product. So they are doing it small scale and on very low budgets.”

So if we had some form of consolidated approach – NZ Inc, basically consolidating using our imagery suggests Jason Allen. “New Zealand’s image is so strong. New Zealand is renowned world wide for its incredible scenery and what it can offer. Not just its scenery, but also the people behind it. The combination of NZ imagery we can pull from back home, and NZ product could be a very powerful sales tool” he says.
People say here, show me the product. They are keen to try. So anything from New Zealand probably will find its market.

“Japanese pick up on fashion or new trends quickly, They also end quickly.
There has been a swing in recent years towards natural products, organic products. LOHAS (an acronym for something like food and living environment lifestyle included). Japanese are aware they live in a highly stress filled society.
“Fads in Japan – trends go up, and down.
The health market will see further growth. It is still in the immature, infancy stage. New Zealand is well positioned to leverage off its attractive scenery and locations.

Victoria University School of Marketing and International Business senior lecturer Dr Tim Beal asks: Do people connect with our imagery?
Jason Allen was surprised at the number of people with a connection to our imagery.
“New Zealand is seen in an incredible favourable light here.
“We need to educate both ourselves and them.
“We need first some consolidation. Some top tier structure under which smaller players can all know they have the security and bounce off it” says Kansai resident Kiwi Jason Allen.

From Anthony Haas, Asia Pacific Economic News service

12 March 2007

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