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Christchurch's Shaky Tourism: How to Rebuild a Destination

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Christchurch's Shaky Tourism: How to Rebuild a Destination CHRISTCHURCh’s “SHAKY” MODERN CITIES are TOURISM surprisingly dependent on tourism and competition How to rebuild a among them for tourist destination dollars—both domestically and internationally—can be extreme. New Zealand’s second city, Christchurch, is no exception. In 2009, tourism reportedly earned $2.3 billion and accounted for more than 12 per cent of the region’s employment. Then David Simmons came a series of devastating Ray Sleeman earthquakes that claimed 185 lives and decimated the city’s Creating an iconic attraction is one infrastructure. way to put quake-hit Christchurch back on the tourist map. LENGTH : 13 min (3219 words) 38 | University of Auckland Business Review, Volume 15 No2, 2012 39 Tourism MORE THAN 10,000 earthquakes and aftershocks have radically altered Christchurch’s status as a tourism destination. Two years on, what is being done to recover from one of the world’s largest natural disasters? Can the “Garden City” reassert itself as a highly-desirable Australasian destination with a strong competitive advantage over rivals that have not been the target of natural disasters. WFIRST, WHAT do we mean by “destination”? tion competitiveness and note that the dis- In a general sense a destination is a place to persed geography of Christchurch’s existing Iconic which people have made a specific decision attractions will be inadequate for enabling to travel. This could be as a tourist, for work the city to regain its former standing or ad- first-tier or education or to visit friends. But what are dressing its current default positioning as a attractions the components of a destination? Are there “gateway” rather than as a destination befit- certain qualities that distinguish one place ting its status as New Zealand’s second-larg- must be from another, or is every place a destina- est city. In short, an iconic first-tier attraction tion, with some merely more attractive than must be created to position Christchurch as created to others? an international destination. Underpinning position Perhaps the most common framework for such a long term goal, a fluid set of short- significantly larger than the contributing 2006 and 2010, Christchurch lost at least assessing tourism destination development is term “bridging” initiatives must be devel- centres of Kaikoura (1.38) and Akaroa (1.15). 80,000 international visitors from its top ten Christchurch conceptualisation of “the four As” of tour- oped to hold and attract existing visitors In 2009, the Ministry of Economic De- markets. This equates to an economic loss ism. These are: during the long journey to full recovery. velopment reported that the Canterbury of about $48 million. If the additional losses as an • Attractions (natural, man-made, cultural, visitor sector was a $2.3 billion industry with since the 2011 earthquakes are taken into international festivals/events) a major impact not only in the traditional account, the economic loss totals almost • Accessibility (including air, road and sea The visitor sector, pre-earthquake areas of food and beverage, accommodation $173 million over the five year period. Destination Christchurch destination modes) and attractions and activities, but also on International visitor numbers fell from • Amenities (infrastructure and service, CHRISTCHURCH IS New Zealand’s second- retail, transport and tax (GST). According to 826,052 in the year to March, 2010 to including accommodation that enhances the largest visitor destination after Auckland, and estimates prepared by the Canterbury Earth- 541,461 in 2012 and are only slowly tourist experience) Tis one of six major visitor destinations along quake Recovery Authority (CERA), the visitor recovering. • Ancillary Services (services that provide with Rotorua, Wellington, Queenstown and sector is the region’s third-largest economic Christchurch visitor-attraction portfolio tourist-industry support, including marketing, Dunedin. sector. Statistics such as these have been promotional facilities, and travel agencies) While detailed economic analyses of tour- crucial in supporting the need for a specific BEFORE THE earthquakes, Christchurch had An assessment of Christchurch’s standing ism are hard to come by—in part due to the recovery plan for the city. a broad range of popular attractions, includ- using these criteria gives us a profile of how complexities of the sector—data suggests Though visitor numbers have declined ing Cathedral Square, the Botanic Gardens, its competitiveness has been challenged in that a decade ago tourism accounted for rapidly since the earthquakes, Christchurch the Arts Centre, Christchurch Cathedral, the recent past. In particular, we draw atten- 12 per cent of local employment and had a had been losing visitors from traditional Canterbury Museum and Shopping. It is tion to the significance of the emergence of high value-added multiplier (1.98) —more markets for a number of years—even in ad- noteworthy that, as is the case with many iconic attractions in contemporary destina- than double that recorded in Rotorua and vance of the Global Financial Crisis. Between other destinations, the core set of attractions 40 | University of Auckland Business Review, Volume 15 No2, 2012 41 Tourism are public-property resources—and, one a devastating decline in both Christchurch As with all elements of change, there destination. Visitors travel to places to see might add, only tangentially seen as being and South Island tourism. This was high- were both winners and losers. Motel use, for and do things, and they are drawn to attrac- associated with tourism per se. lighted in a number of ways: example, improved by 111,000 guest nights tive settings and landscapes. If that need is In a 2001 benchmarking study by one of • Damage to buildings and the creation of over the same period, as considerable capac- compromised, visitors will stay away. the present authors, Christchurch’s amenity the “Red Zone” resulted in an immediate ity was taken up by contractors involved in The loss of visitors has also had a major features were also generally assessed very 40-50 per cent reduction in available beds, the recovery. impact on other business sectors such as favourably. The study also highlighted the mostly in the CBD Accommodation in both the hotel and retail and food and beverage, and shrink- significance of local amenity design and lo- • Only 13 of 27 hotels, and 15 of 31 back- backpacker sectors suffered the largest age in the visitor sector created a major cal authority operations to a successful tour- packers, remained operational capacity losses due to both building damage risk that international air capacity into ism destination, as indicated in Table 1. • Demand for commercial accommodation and the concentration of properties in the Christchurch International Airport would be in Canterbury reduced by more than one closed “Red Zone”. Whilst reinstatement of further eroded. TransTasman flight capacity million guest nights—an annual reduction lesser-damaged hotels is expected to return has fallen by 15 per cent since the February Post-earthquake status of 33 per cent for the year to December approximately 1,200 beds during the 2012- earthquake and the Christchurch Airport THE FEBRUARY 2011 Christchurch earth- 2011. Most of the decrease in Canterbury 2014 period, this will still leave Christchurch Company has actively repositioned itself quake was the second-deadliest natural commercial guest nights was from the with a 45 per cent deficit of hotel beds rela- and the city as a “Gateway”—a brand that disaster recorded in New Zealand (after the international market (-73 per cent). Hotels tive to the February 2011 position. might take many years to revert as the city P1931 Hawke’s Bay earthquake), and the (-782,000 guest nights) and backpackers Many attractions in the central city that What Did You Like Most About Christchurch? Table 1 Base No: 548 visitors country’s fourth-deadliest disaster of any (-278,000 guest nights) were the biggest were closed are yet to reopen, including What Did You Like Most About Christchurch? Table 1 Attribute Base No: 548 visitors Respondents Per cent Number kind, with 79 nationals from more than 20 losers. The economic loss for Christchurch Christchurch Art Gallery, Christchurch Tram, Attribute Respondents countries among the 185 victims. In the af- was about $235 million Christchurch Arts Centre, Science Alive and City environment—streetscape,Per cent Number landscape, parks and gardens 41% 237 termath, hundreds of visitors were evacuat- • For the convention market, the closure of Christ Church Cathedral. The Arts Centre will City environment—streetscape, landscape, parks and gardensFriendly atmosphere 41% and people 237 28% 154 ed from the city and repatriated overseas or the Christchurch Convention Centre and be out of use for a number of years as will the Friendly atmosphere and peopleWeather/climate 28% 154 13% 73 elsewhere in New Zealand. The immediate eight conference hotels reduced capacity by Christ Church Cathedral which is substantially Weather/climate Buildings and architecture 13% 73 8% 41 impact of the February 2011 earthquake was more than 50 per cent damaged and for which there is no current Buildings and architectureUncrowded and relaxing8% 41 7% 39 Cleanliness of the city 7% 37 rebuild plan. The Rugby World Cup events Uncrowded and relaxing 7% 39 Cleanliness of the city Ease of getting around 7% 37 6% 32 planned for Christchurch were cancelled International Guest Nights All NZ vs Canterbury Figure 1. Ease of getting around
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