Savannakhet Province Long-Term Tourism Development Strategy
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Savannakhet Province Long-Term Tourism Development Strategy Prepared for: SNV, Lao PDR Prepared by: Emerging Markets Consulting Co., Ltd. July 31, 2009 Table of Contents Executive Summary....................................................................................................................4 Acknowledgements....................................................................................................................5 1. Introduction .......................................................................................................................6 2. Research Process ...............................................................................................................6 3. Savannakhet Provincial Profile ..........................................................................................7 3.1. Historical Perspective ............................................................................................7 3.2. Physical Characteristics..........................................................................................8 3.3. Demographic Profile ............................................................................................10 3.4. Economy...............................................................................................................10 4. Savannakhet Province 2009: The Current Situation, Opportunities and Challenges......13 4.1. Overview ..............................................................................................................13 4.2. Tourism Market....................................................................................................14 4.3. Tourism Infrastructure.........................................................................................19 4.4. Tourist Attractions ...............................................................................................26 4.5. SWOT Analysis......................................................................................................31 5. Savannakhet Province: Charting a Path for the Next Decade .........................................32 5.1. Vision....................................................................................................................32 5.2. Tourism Growth Trends – Global to Local ...........................................................32 5.3. Contextualizing Tourism Development ...............................................................33 5.4. Corridor to Route to Destination.........................................................................38 5.5. Savannakhet Province Tourism Development Strategy Goals and Objectives ..39 5.6. Strategic Targets ..................................................................................................40 5.7. Analysis, Forecasts & Impact ...............................................................................41 5.8. Targets: Increasing Visitor/Tourist Volume .........................................................48 5.9. Targets: Increasing Visitor/Tourist Expenditures ................................................48 5.10. Targets: Increasing Visitors/Tourist Length of Stay .............................................50 5.11. Positioning ...........................................................................................................50 5.12. Strategic Actions ..................................................................................................51 5.13. Strategy Matrix ....................................................................................................57 6. Implementation ...............................................................................................................60 7. Performance Evaluation ..................................................................................................61 Appendix A: Savannakhet Province Attractions ......................................................................62 Appendix B: Economic Corridors .............................................................................................65 4/08/2009 Page 2 of 65 List of Figures Figure 1: Select Savannakhet Province Historical Events ..........................................................7 Figure 2: Savannakhet Province GDP per Capita .....................................................................10 Figure 3: Savannakhet Province Agricultural Crops (2007) .....................................................11 Figure 4: Savannakhet Province Natural Resources ................................................................12 Figure 5: Sequencing to Tourism Destination..........................................................................13 Figure 6: Number of Tourist Arrivals .......................................................................................14 Figure 7: International Tourist Arrivals, by Nationality ...........................................................16 Figure 8: Purpose of Visit, by Nationality ................................................................................17 Figure 9: East West Economic Corridor ...................................................................................21 Figure 10: Savannakhet Province Accommodation Options ...................................................22 Figure 11: Savannakhet Province Tourist Arrivals, by Month .................................................25 Figure 12: JICA sponsored Savannakhet Province Tourist Attractions....................................26 Figure 13: Map of Savannakhet Province Tourist Attractions.................................................29 Figure 14: JICA-sponsored Tourist Satisfaction Survey............................................................30 Figure 15: Lao PDR Tourist Arrival Statistics............................................................................33 Figure 16: GMS Economic Corridors........................................................................................36 Figure 17: GMS Priority Tourism Zones ...................................................................................37 Figure 18: Savannakhet Province 3-Staged Development Strategy ........................................38 Figure 19: Timeline: Corridor to Route to Destination............................................................39 Figure 20: Tourism Volume Projections without Strategy Implementation ...........................41 Figure 21: Tourism Volume Projections with Strategy Implementation.................................43 Figure 22: Tourism Expenditures Projections without Strategy Implementation...................44 Figure 23: Tourism Expenditures Projections with Strategy Implementation ........................46 Figure 24: Incremental Impact of Strategy Implementation on Tourist Volumes ..................47 Figure 25: Incremental Impact of Strategy Implementation on Tourist Expenditures ...........47 Figure 26: Strategies / Actions.................................................................................................51 Figure 27: Schedule of Actions for Strategy Implementation .................................................58 4/08/2009 Page 3 of 65 Executive Summary Overview: Savannakhet Province is well positioned to capitalize on a host of factors that could dramatically advance its tourism industry. The development of the East West Economic Corridor, surge in tourist arrivals, growing interconnectedness of the Greater Mekong Subregion, rise in border tourism, and range of natural, cultural and historical tourist attractions in the Province, to name a few, highlight a wealth of largely untapped opportunities. The Savannakhet Province Long-Term Tourism Development Strategy 2010-2020 thus seeks to provide a road map for Savannakhet Province to leverage its internal strengths and to maximize promising external factors. Interwoven throughout the strategy are several guiding principles and recommendations that provide the underpinnings for successful tourism growth and development. These include: • A market-driven approach where Savannakhet Province bases its strategy on the realities of the marketplace; • Market segmentation where Savannakhet Province segments its tourist (customer) base and formulates actions based on reliable market research; • Setting clear targets and metrics, with an emphasis on tourist volume, length of stay and expenditures (noting that pro-poor tourism, social inclusion and sustainability are directly linked); • Marketing and promotional efforts that target source markets, before tourists arrive in Savannakhet Province; • Facilitating incremental change, such as increasing tourist length of stay in hourly increments; and • Transitioning from “Tourism Corridor” to “Tourism Route” to “Tourism Destination.” The strategy was conducted by Emerging Markets Consulting (EMC) in consultation with SNV, Lao PDR and the Savannakhet Provincial Tourism Department (PTD). It involved participation from a range of public and private stakeholders, culminating in a workshop held in Savannakhet Province in June 2009. Structure: A profile of the Province is given to incorporate attributes of Savannakhet Province’s agriculture, economy, history, geography, demographics, and industry into the tourism strategy, where appropriate. This is followed by a detailed assessment of the current tourism situation, opportunities and challenges of the Province. It examines tourism traffic, key market segments and visitor profile assumptions. Tourism infrastructure and products are also