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Premier-Ranked TouristDestinations Framework

Executive Summary

City of Hamilton

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Short-Term (2006-2007)1 Recommendation: That Hamilton develop a strategic

tourism plan.

Background: The need to develop a strategic tourismplan was also identified in the tourism cluster withinthe Economic Development plan that was approvedby Hamilton City Council in 2004. The strategictourism plan should consider three key issues:

a) Access to Tourism Markets – Located half-waybetween our country’s top two tourist destinations– Toronto and Niagara Falls – Hamilton’s proximityto those markets, to the traffic between them, andto the tourism gateways each represents is anopportunity that would be the envy of almost everycommunity in Canada. As Hamilton develops itstourism plan, leveraging these markets will be critical to any success the City achieves.

b) Leveraging Hamilton’s unique geography as a

tourism asset – It is clear that Hamilton will notmaximize its tourism sector until it maximizes theattractive potential of its natural surroundings.There is a need to make linkages between currentprograms/offerings (ex.Hamilton Harbour, LakeOntario, Hamilton Con-servation Authority, RBG,Cootes Paradise, theNiagara Escarpment,trails, waterfront andwaterfalls) to identifyappropriate cluster andpackaging opportunities.

c) While developing the strategic tourism plan, the

marketing focus should be on Hamilton’s strength,

which is “niche attractions”– Other options includeHamilton developing its current weakness (massmarket attractions) into a strength or Hamilton pursuing a plan that attempts to accomplish both.

2 Recommendation: That Tourism Hamilton gather

more customer data to define better who

Hamilton’s tourism customer is and will be in the

future. The surveyinstrument shouldgather core informa-tion including what thetourism customer’sneeds are and whatthe customer’s level of satisfaction is withthe tourism experienceoffered in Hamilton.

3 Recommendation: That Tourism Hamilton act as

the “broker” to help foster partnerships within the

local tourism industry. Beginning in Q1 of 2006, theBoard of Directors will host regular meetings oftheir sectors. Communication within Hamilton’stourism industry is identified in Tourism Hamilton’s2003-2007 Business Plan as a “key issue”, anddeveloping partnerships is consistent with address-ing this issue.

4 Recommendation: That Tourism Hamilton advo-

cate a multi-prong strategy be undertaken to

address “downtown friendliness” to help

Hamilton’s urban tourism. The strategy shouldaddress safety and cleanliness of the downtowncore, including working with the Downtown TaskForce on Safety & Cleanliness (originated fromTourism Hamilton Board of Directors resolution);(2006-2007) Tourism customer service training pro-gramme for taxi industry and transit; (2006-2007)build on Downtown Ambassador Program; moveforward with recommendation in “Review ofTourist Information Centres” report (approved byTourism Board, Winter 2005); and encourage theCity to fully implement the Downtown SecondaryPlan and Downtown Transportation Plan.

Long-Term (2008 – Beyond)5 Recommendation: That Tourism Hamilton work with

the local tourism industry in developing packages

that provide value-added and leverage current

visitation levels. To address the issue of “visitorspending”, Tourism Hamilton to work with partners(through networking sessions) to help research“best practices” and other “like” offerings in simi-lar communities to get a sense of realistic (higher)pricing that is available to them and developsaleable packages for Hamilton businesses.

6 Recommendation: That Tourism Hamilton analyze

the customer data to fully determine the Visiting

Friends and Relatives (VFR) market, its opportunities

and how to include promotions for the VFR market

while maintaining focus on external tourism mar-

kets. Stakeholders identified the importance of theVFR market, which is supported statistically as animportant market for Hamilton.

7 Recommendation: That Tourism Hamilton continue

its emphasis on travel media relations, undertake

more effective marketing and act on the recom-

mendations outlined in the “Report on Tourist

Information Centres” which calls for construction of

gateway information centres and enhanced e-mar-

keting capacities to proactively promote Hamilton’s

tourism experiences. Hamilton is consistentlyranked as a “pleasant surprise” indicating that thecity’s story needs to be positioned more effectivelyand consistently. Hamilton’s image as a tourist destination is identified as the top issue in TourismHamilton’s 2003-2007 Business Plan, and this issueis consistent with Hamilton’s image perception.

8 Recommendation: That Economic Development

create and implement an accommodation invest-

ment strategy. Tourism Hamilton’s 2003-2007Business Plan identifies Hamilton’s accommodationinventory as the second key issue, so addressingthis issue is consistent with the Business Plan.

Recommendations

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Introduction

The completion of Hamilton’s Premier-Ranked Tourist Destinations Framework(PRTDF) in November 2005 marks a sig-

nificant accomplishment in the evolution of theCity’s tourism industry.It is, however, just onestep in the complex andon-going process ofenergizing and maximiz-ing tourism in the City.The findings, discussionsand analysis promptedby the PRTDF musttranslate into action in order for the report tohave value. With that in mind, this ExecutiveSummary focuses on the key findings, themesand recommendations identified by the PRTDF.Ultimately, the power of the Framework will be inits ability to inspire action.

The Premier-Ranked TouristDestinations FrameworkThe Ontario Ministry of Tourism & Recreation(OMTR) developed the Premier-Ranked TouristDestinations Framework to help tourism destina-tions across the province define their competitivepositions within the provincial, national andinternational tourism markets. At least eighteenOntario communities are now in various stages ofcompleting the PRTDF. These communitiesrange from well-known tourist areas such asNiagara, Toronto, Muskoka and the ThousandIslands, to communities to which tourism has nottraditionally been a defining characteristic suchas Sarnia/Lambton, Mississauga, Durham and, ofcourse, Hamilton. The PRTDF is an inclusiveprocess, designed to obtain the most current andaccurate information available in the market.

Executed properly, it will be a frank assessment ofHamilton’s current status as a tourist destination.It identifies the City’s tourism attributes, assetsand liabilities, both real and perceived, and givesrise to a number of recommendations and sug-gested courses of action. The value of the PRTDFincreases exponentially, of course, because of itsadoption by numerous communities, thus allow-ing for meaningful comparisons as well as theidentification of common issues and trends.

For all that it is, Hamilton’s Premier-RankedTourist Destinations Framework is not a plan fordeveloping the local tourism market. Instead, it isa critical, even necessary springboard for develop-ing such a plan. It is a catalyst and a resource thatwill define its true value in the planning andimplementation it inspires and informs.

FindingsDefining Hamilton’s Current Tourism StatusThe PRTDF final report captures a broad rangeof quantifiable, qualitative and anecdotal datadesigned to describe Hamilton’s tourism industryas accurately and thoroughly as possible. In fact,the PRTDF representsthe most comprehensiveand insightful analysisever of not just Hamilton’stourism industry, but ofthe tourism sectors ofalmost every Ontariocommunity participatingin the process. The col-lected data provide the platform for fact-based,but subjective ratings on a three-point scale inresponse to almost one hundred different questions.Answers to these questions are all one of YES,ALMOST or NO, representing achievement,progress or challenge, respectively. By far themajority of Hamilton’s answers fall into theALMOST category, reflecting a tourism marketthat has much to be proud of, but much still toaccomplish.

Hamilton’s middle-of-the-road status – reflectedin the predominance of the ALMOST rating – isthe defining characteristic of the PRTDF find-ings. While Hamilton clearly has a number of sig-nificant tourism strengths and weaknesses, thesedo not dominate the local tourism landscape.Hamilton’s tourism industry, in fact, currentlyhas no discernable brand in the marketplace.Instead, the City is in the unique position ofbeing able to shape its own tourism future in anabsence of factors, attractors or influences thatwould force movement in any particular direc-

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tion. This “almost” statusmay seem problematic;it certainly could be. Onthe other hand, it repre-sents a great opportunityfor tourism in the CityHamilton. With thePRTDF as a catalyst,Hamilton’s tourism stake-holders have the ability to affect powerful changeand drive the tourism agenda according to a well-planned and well-informed strategic direction.

Key InfluencesIf Hamilton’s tourism industry is going to movedecisively in either direction from its currentmiddle-of-the-road status, that move will followthe path defined by two key influencing factorsthat appear repeatedly in the PRTDF: marketaccess, and niche versus mass attractions.

Access to Tourism Markets

Hamilton’s geographic location within theOntario and Canadian tourism markets is both itsgreatest opportunity and its greatest challenge.Located almost exactly half-way between ourcountry’s top two tourist draws – Toronto andNiagara Falls – it is highly unlikely that Hamiltonwill ever rise to match those two markets fortourism activity. However, Hamilton’s proximityto those markets, to the traffic between them,and to the tourism gateways each represents is anopportunity that would be the envy of almostevery community in Canada. As Hamilton developsits tourism strategy, a constant awareness of thismarket will be critical to any success the Cityachieves.

Niche Attractions versus Mass Attractions

The second powerful characteristic of theHamilton tourism market is the discrepancybetween the strength of the City’s ability toattract niche markets and its inability to attractthe mass market with its current roster of attrac-tions. Logically, this situation leads to one ofthree conclusions: Hamilton should focus onmarketing its strength (niche attractions),Hamilton should develop its current weakness(mass market attractions) into a strength, orHamilton should pursue a plan that attempts toaccomplish both. This issue has been and willcontinue to be a focus of almost every Hamilton-based tourism discussion. Ultimately, Hamilton’stourism industry needs to select one of the threeoptions and pursue it aggressively if it hopes todrive positive change in the marketplace.

Points of EmphasisWhile Hamilton’s tourism market status and itstwo key influences link every, or almost everyaspect of the PRTDF, the process also identified anumber of secondary findings or issues – allimportant – with slightly more limited impacts. Anawareness of these issues will be critical to devel-oping an informed andeffective tourism plan.These points of empha-sis vary from collectionsof descriptors of theHamilton tourism mar-ket, to observations ofthe ways tourists react toHamilton’s offerings.

Identifying “Core” and“Supporting” Attractions

The PRTDF identified Hamilton’s core attractors asfalling into five categories (with key examples listed):• Theme Parks • Museums and Galleries • Gaming • Shopping • Outdoor Activities

Supporting attractionsinclude:• Historic Sites • Cultural Attractions • Sport Events and Golf

Unique Geographic/Natural Assets

Hamilton’s geographic assets are significant. TheBay (Hamilton Harbour), Cootes Paradise and theNiagara Escarpment are impressive examples ofCanada’s natural heritage and taken as a group,their proximity and location within the urban envi-ronment make them unique in the marketplace. Asimpressive as these geographic/natural assets are,however, they have not yet had the powerful impacton tourism that they could. The waterfront is in therelatively early stages of what looks to be a dramaticrenaissance, but the escarpment is under-utilized.Optimistically, the escarpment is a prominent fea-ture of several existing and potential projects withthe ability to attract tourism interest. These includethe Bruce Trail, the Hamilton ConservationAuthority’s current lands and new park initiatives, aswell as the significant escarpment-connected hold-ings of the City of Hamilton and the RoyalBotanical Gardens. It is clear that Hamilton will notmaximize its tourism industry until it maximizes theattractive potential of its natural surroundings.

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Tourism Value

The PRTDF found that Hamilton consistentlyoffers value for the tourist dollar. This wouldclearly make Hamilton not just an attractive stag-ing ground for day trips into the more expensivemarkets of Niagara Falls and Toronto, but also anaccessible supplementary tourism option to thosedominant markets. On the other hand,Hamilton’s value proposition translates into lowertourism revenues, resulting in less money toinvest in program enhancement, facility develop-ment and marketing. Part of Hamilton’s tourismstrategy needs to be a well-conceived plan toretain its attractive value proposition whileenhancing the City’s ability to attract up-marketvisitors by offering the type of attractions, accom-modations, shopping and dining that will inspirelonger stays and greater spending.

Visitor Spending

In a finding that is clearly linked to tourism value(above) and holding visitor interest (below), thePRTDF reveals that visitor spending in Hamiltonis startlingly below the provincial averages for alltypes of travel. This statistic represents an enor-mous opportunity fortourism in Hamilton.For most tourism areas,attracting visitors andtourists is likely thebiggest challenge inexpanding the market.In Hamilton, however,the tourism industryand the City could experience a significant eco-nomic boost without attracting a single addition-al visitor, simply by increasing visitor spending.Any tourism development strategy should havethat target as one of its primary goals.

Holding Visitor Interest

Hamilton suffers from a lack of a wide range ofmemorable core experiences that would make iteasier to keep people engaged for more than asingle day. The findings of the PRTDF indicatethat visitors to Hamilton can generally experienceeverything they want to without having to stayovernight. This speaks to the niche character ofHamilton’s tourism industry, but also representsan opportunity for the City to have a dramaticimpact by holding visitors’ interest just a littlelonger. By creating and/or marketing tourismofferings that could extend a visitor’s stay by justa few hours, Hamilton could trigger a dramaticincrease in visitor spending, with all of theaccompanying benefits of that change.

Customer Satisfaction

When a Hamilton-based attraction does its ownexit or usage survey, it generally finds that Hamiltonis a friendly and hospitable host. Unfortunately,Hamilton’s tourism industry is simply not conduct-ing enough customer satisfaction evaluation for theresults that do exist to be widely meaningful or forthose results to have a real, informative influenceon any changes within the marketplace. Clearly,gathering more customer satisfaction data needs tobe a priority for both individual tourism stakehold-ers as well as for the industry as a whole.

Market Stability

Hamilton’s tourism market displays an enviable sta-bility. Of course, that also means that Hamilton’stourism market also displays an absence of the rev-enue-driving visitation peaks that most leadingtourism destinations experience. There is no partic-ular time of year, sectoror special event that ismake-or-break for localtourism. This is eitherthe result of or the perpetuating factor in (or more likely, both)Hamilton’s middle-of-the-road tourism identity.

Reason for Travel

As a share of the total provincial tourism market,Hamilton’s friends-and-relatives visitation is doubleits business trip share and four times its pleasure tripshare. This information clearly indicates where theshort-term marketing possibilities lie (VFR tourism),as well as which areas have the greatest long-termgrowth potential (business and pleasure travel).

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Surprising our Visitors

Hamilton seems to be a pleasant surprise toalmost everyone who visits the community. Somepeople may see this as a reflection of a tourismindustry that provides a quality experience, whileothers may think it simply reflects low expecta-

tions. In reality, it is probably a combination ofboth. Travel media coverage of Hamilton is par-ticularly reflective of this phenomenon. Seeheadlines like “Hamilton has way more to offerthan dirty smokestacks” (The Montreal Gazette),“Hamilton: Steeltown’s gritty exterior hides innerbeauty” (The St. Catharines Standard), and“Hamilton: So much more than steel” (TheOttawa Sun). These positive reviews indicateHamilton’s tourism strength, but the surprisedtone indicates a significant problem with percep-tion and identifies the need to create a more magnetic tourism identity.

Developing Partnerships

Partnerships are developing within Hamilton’stourism industry and there are some successes,but at the same time, communication within theindustry also appears to be a frequently-citedweakness. Feedback from focus-group partici-pants on this subject was consistent in identifyingeffective sector partnerships as a high priority,

but feedback was mixed as to the success of thecurrent partnership efforts. Clearly, existing part-nerships need to be enhanced and expandedwhile leaders within Hamilton’s tourism industryneed to make it a priority to work with a partner-ship model on any new initiatives that arise.

Downtown Friendliness

The condition of downtown Hamilton is animpediment to attracting tourism. In this case,perception is reality and, as one participant said,“The perception is that downtown is not safe.Many folks are not comfortable walking east ofJames Street.” Another participant was even moreblunt: “Customers won’t come back because ofwhat they see on the street.” The safety and clean-liness of the downtown core are serious concerns,ones that must be addressed immediately as anecessary step to revitalizing Hamilton’s urbantourism. Even if the downtown were cleaned up,however, its “user-friendliness” needs to beenhanced. Some partici-pants cited the need forenhanced funding forTourism Hamilton so itcould provide improvedand relocated visitor centres and possibly aroving, on-the-street ambassador program. Ideally,informal Hamilton greeters like taxi drivers, busdrivers and hotel staff would also be included in amodified version of the ambassador training.

Accommodation Selection

One focus group participant said, “There is a lackof hotel rooms in Hamilton, especially rooms thatpeople actually want to stay in.” This assessmentappears accurate. There is clearly a paucity ofhigh-end hotels and few recognizable name-brand

hotels (at every pricelevel) that make peoplefeel instantly comfort-able in choosing theira c c o m m o d a t i o n s .Downtown Hamiltonwas the focus of muchof this feedback, but itapplies to the entire City.Hamilton needs to develop a more complete andrecognizable accommodation menu in order toattract tourism and group tourism in particular(conventions, sport events, etc.).

Insurance Issues

Though the PRTDF questionnaires were not setup to elicit comments or information about therole that insurance plays with tourism stakehold-ers, this issue was an unsolicited topic of discus-sion at almost every focus group. Participants,especially from agritourism, accommodation(particularly bed & breakfast operators), festi-vals/events, outdoor sports, and sport venues,identified the costs and demands of appropriateinsurance as being significant impediments tocreating profitable or sustainable operations.They also noted that the demands insurancecompanies place of these types of organizationsimpede the fostering of both a positive clientexperience, as well as hiring and training staff.Though obviously cost was the significant factor,the demands of insurance companies includingtraining for staff, facility requirements, staff-to-visitor ratios and other non-monetary issues werealso significant concerns. It is clear that address-ing insurance issues in some way – perhaps withconsolidated purchasing or some extended part-nership arrangements – will do a great deal tohelp advance Hamilton’s tourism industry andparticularly its smaller stakeholders.

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Next StepsWhile the “Points of Emphasis” listed in this reportshould inform and enhance any number oftourism-related initiatives, activities and actions,Hamilton’s current “Tourism Status” and the City’stwo “Key Influences” should have the most power-ful impact on the development of any importantlong-term tourism development strategy.

Hamilton’s tourism industry is not currently well-defined. Its strengths and weaknesses are notnumerous or significant enough to outweigh thefact that the dominant feature of the industry isits “middle-of-the-road” character. While thisundefined character presents a challenge current-ly, it is actually an advantage to moving forwardand putting the Premier-Ranked TouristDestinations Framework to work as a foundationdocument for the re-visioning of Hamilton’stourism industry. Though Hamilton lacks a defin-itive tourism brand, that does not mean it cannotdevelop one. In fact, that should be the ultimategoal of any strategic tourism plan for the City.

Using the PRTDF as thelaunching pad, Hamilton’stourism industry shoulddevelop a strategictourism plan that followstwo guiding principles,previously introduced tothis report as the “KeyInfluences.”

Achieve Access to the Nearby Tourism Markets

Hamilton’s tourism strategy should capitalize onits position between Toronto and Niagara Falls.To address this opportunity, the strategy should

include actions as simpleas improving signage on key Niagara Falls-Toronto routes (a com-mon suggestion from thePRTDF focus groups)and tactics as complex ascreating a coordinatedmarketing plan that

includes Hamilton’s neighbouring and more well-known tourist regions.

Of course, penetrating the market on Hamilton’sdoorstep will be impossible if Hamilton cannotdescribe its tourism offerings effectively to thatmarket. This is where the second Key Influencebecomes so important.

Package and Market NicheAttractions, Create MassAttractions, or Both

Hamilton has a number of very strong niche mar-kets that could be enhanced and amplified bybringing to them a specific focus. Packaging andmarketing Hamilton’s attractions in the areas ofmilitary history, galleries and art, natural her-itage, and/or industrial heritage – just to namefour examples – are all strong possibilities identi-fied by multiple participants in the PRTDF. Tohighlight two specific examples, one focus groupparticipant identifiedthe potential in creatingan “Arts Trail” to highlightand market Hamilton’sstrength in that nichesegment. Other respon-dents gravitated towardthe City’s natural her-itage, with water being a

particularly compelling theme. Citing Hamilton’snumerous waterfalls and the city’s revitalizedwaterfront, more than one person suggestedbranding Hamilton as the “City of Moving Water”or something similar.

Another option, eitheras a complement to themarketing of bundledniche attractions or asan alternative, is thatHamilton could developa sentinel, truly premier-ranked tourist attractionthat will reach acrossmarket segments and attract a mass audience. Of course, this type of attraction does not mate-rialize often and would, almost by definition,require an investment of a scale not previouslyseen in the Hamilton tourism industry. Anytourism development strategy, however, shouldallow for the possibility of establishing such an attraction and incorporate the process andinfrastructure required to keep aware of opportu-nities and, for example, to bid for any sentinelattractions that arrive, for lack of a better term,on the open market.

A Plan Made of Concrete Actions

Regardless of the specifics, the key next step is tocreate a plan for developing and enhancingHamilton’s tourism offerings, tourism service andtourism brand. That plan should reflect the contents and findings of the Premier-RankedTourist Destinations Framework and it should distill to specific actions that are measurable anddeliver, or at least test, strategies designed to capitalize on the incredible potential inherent inthe Hamilton tourism market.

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Conclusion The Premier-Ranked Tourist DestinationsFramework asked for a commitment from thestakeholders in the Hamilton tourism industry. Inasking for their participation, the authors of thisreport entered into an informal contract to delivera report that reflects the findings and input fromthe stakeholders, but also inspires action. Thataction is the critical next step that will validate overa year’s worth of work. Hamilton’s Premier-RankedTourist Destinations Framework will only find itsvalue in the activity it inspires and informs.

Just as the PRTDF authors have an obligation toHamilton’s tourism industry, so do the stakehold-er participants have an obligation to themselves.Hamilton’s tourism industry has a responsibility

to participate in the development of a plan to putthe PRTDF to its best and most influential use.Hamilton has great tourism potential, that muchis clear in the findings of this report. The comple-tion of the Premier-Ranked Tourist DestinationsFramework is simply one step in the long processto capitalize on that potential. The real workbegins now.

AppendixMethodology and ProcessThis Executive Summarycaptures and highlightsthe key findings, conclu-sions and recommenda-tions of the Framework,but by no means doesthis brief documentencompass the scope ofthe comprehensive report.For a full analysis of each question and issue ref-erenced here, as well as an exhaustive record offeedback provided and resources consulted,please refer to the complete PRTDF document.

Under the guidance of the Tourism HamiltonBoard of Directors, which served as the steeringcommittee for this project, one senior member ofthe Tourism Hamilton staff worked full-time onthe PRTDF for sixteen months. Her efforts were augmented by numerous temporary staff, as wellas significant commitments from TourismHamilton’s executive director and other membersof the permanent staff team. The coordinator’score project, and the foundation of the PRTDF,was a broad-based, inclusive information-gatheringprocess that incorporated both written surveys

and in-person focus groups. Tourism Hamiltonsent out 1,383 surveys to tourism industry stake-holders. Each market segment received a cus-tomized survey designed to elicit the informationthat would be most meaningful to that particular type of tourism-related activity. The 367responses (a 27% response rate that came as theresult of significant follow-up by the key staffleads and leadership volunteers) fell into sixteensub-sectors, each of which then gathered for anin-person focus group to allow for interaction andelaboration beyond the confines of the question-naires. Participating stakeholders were all includ-ed in one of the following market segments:• Accommodation• Accommodation – Bed & Breakfast• Agritourism• Convention /Banquet Facilities• Festival and Events• Art /Cultural Organizations (For-Profit)• Art /Cultural Organizations (Not-For-Profit)• Golf• Heritage Sites• Indoor Attractions• Outdoor Sports,

Parks and Attractions• Restaurants• Shopping• Sports Venues /Events• Transportation• Travel Trade

Tourism Hamilton gratefully acknowledges the generous support of the Ministry of

Tourism & Recreation and Service Canada.