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S P R I N G / S U M M E R 2 0 1 7
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Blackgang Chine
TECHNOLOGY
Our lives inescapably now incorporate technology which pervades
every experiencewe undertake. From the visitor’s search for attractions
(search engine optimisation being key and price comparison readily
available), to booking it, (online is key, with a website optimised for use
by smart phones and tablets), to finding the attraction, and navigating
around it (audio visual guides, downloaded apps, interactive maps)
and finally to the attractions themselves, technology is taken for
granted as a key component.
To the millennial generation, a high-tech experience is required as
fundamental. Virtual reality 4D displays, geo-tagging and location
based services, web-cams, sound projection, and touch screen
interaction are all now commonplace. Attractions may also be able
to take advantage of technology to analyse visitor flows, monitor,
measure and seek to improve on the experience provided.
And when the day is over the influence of technology does not stop;
interaction with social media through Facebook, Twitter, Instagram,
Blogs, and other social platforms are a key factor in promotion of the
attraction, without doubt now more influential than traditional review
sites or tourist awards. The venue’s response and interaction with
these is as crucial as interaction with strategic and online marketing
to ensure a comprehensive digital strategy for promotion.
COMMUNITY
The influence of community has long been prevalent in tourism. Ethically
funded tourism combined with community based tourism is becoming
popular for more conscientious travellers looking for an authentic
experience, viewed through the eyes of locals.
Crowd funding can now further involve the local community in
tourism and attractions, and has become commonplace. Often
schemes offer kickbacks in return for investment, for example with
free entry or a free night’s stay and the attraction’s operators will gain
not only investment but ideas from investors which otherwise might
be rejected by traditional lenders.
THE RETRO EFFECT
In sharp contrast to the previous comments, is a resurgence in
holidaying within the UK, and escaping technology with back to basics
activities and enjoying ‘the great outdoors’ away from television, games
and mobile phones. Seaside locations are also enjoying a renaissance.
There have been 7 piers sold within the last three years, often offering
good profit margins from concession income and providing a mix of
licensed leisure, traditional amusement arcades, retail and specialist
leisure activities. Farm parks have also enjoyed increased popularity
and earlier this year steam trains were once again in the news.
Multiples have tended to be around 5-8 (20% - 12.5% yields)
on profits for these types of property. Larger assets are often
bolstered by underlying asset value. Historically these have not
shifted significantly, or as significantly as within other sub-markets
of the leisure sector and therefore the key to improving value is
likely to remain in the improvement of sustainable net operating
profit, through keeping up to date, capitalising on visitor spend,
maximising repeat visits and changing with market trends.
So in summary, our prediction for UK visitor attraction trends for the
coming year includes increased spend, increased numbers, greater
community involvement and a split between future proofed high tech
attractions and those which look to the past.