’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)

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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 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 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 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 6% 32 40% and so eliminated a partial visitor recovery in 35% 34% 2011. Nevertheless, a working stadium has International guest nights 30% Earthquake Impact on Visitor Attractions Table 2 All NZ been erected and is operational. An impor- Attraction % Visitor Current Future Situation 25% Earthquake Impact on Visitor Attractions Table 2 tant facet of local life has been the establish- Engagement Situation 20% International guest nights Attraction % Visitor Current Future Situation Cathedral Square 80% Closed Major demolitions to take place Combined Canterbury 16% ment of a number of local famers’ markets, Engagement Situation 15% Shopping 71% Retail severely Dependent on central Cathedral Square 80% Closed Major demolitions to take place 10% whose role in recovery is worthy of note. reduced city rebuild 6% 6% 6% Shopping 71% Retail severely Dependent on central 3% 3% 3% 3% Botanic Gardens 67% Operating New visitor centre 5% 1% 2% The attractions sector, particularly in reduced city rebuild 0% 1% 0% Arts Centre 66% Closed Unlikely to open for many years 0% 2% 2% the central city, has also been impactedBotanic Gardens by 67% Operating New visitor centre -1% -1% -1% Chch Cathedral 47% Closed Uncertain future on current site -2% -2% -3% -3% Arts Centre 66% Closed Unlikely to open for many years -5% -4% -3% -5% -5% 0% -5% closures and potential demolition that will Canterbury Museum 39% Re-opened -2% -6% -10% -8% -8% Chch Cathedral 47% Closed Uncertain future on current site -9% severely reduce the quality of the visitor expe- Christchurch Tram 30% Closed Dependent on opening of Canterbury Museum 39% Re-opened central city -15% -15% rience. Table 2 shows the visitorChristchurch appeal of Tram the Antarctic30% CentreClosed 28%DependentOpen on opening ofOpen -20% central city top 10 attractions from previous research and Chch Gondola 24% Closed Anticipated opening late 2012 -25% Antarctic Centre 28% Open Open -24% -24% Punting on Avon 17% Operating Operating -30% -21% an update on their current andChch future Gondola situa- 24% Closed Anticipated opening late 2012 -30% -29% Orana Park Operating Operating -32% -32% Punting on Avon -35% -34% tions following the earthquakes. Air17% Force MuseumOperating OperatingOperating Operating Orana Park Operating Operating -40% -38% -38% Source: Statistics New Willowbank -39% Trend The result is that for the foreseeable future Operating Operating -42% Zealand; analysis by Air Force Museum Chch Art GalleryOperating –OperatingClosed Dependent on completion of -45% Christchurch & Canturbury -46% Christchurch will have significantlyWillowbank fewer Operating Operating repairs (2013) -50% Tourism (CCT). attractions. As identified in theChch framework Art Gallery – Closed Dependent on completion of Sources: Destination Benchmarking Study; Christchurch & Canterbury Marketing (Sleeman, 2001),

Jan 10 Jan 10 Jan 10 Jan 10 Jan 10 Jan 10 Dec 10 Jan 11 11 Feb Mar 11 11 Apr 11 May Jun 11 Jul 11 11 Aug Sep 11 Oct 11 11 Nov Dec 11 Jan 12 12 Feb Mar 12 12 Apr 12 May repairs (2013) above, attractions are the “life blood” of any and CCT tourism-sector update. Note: this data compares growth performance in the same month of previous year Sources: Destination Benchmarking Study; Christchurch & Canterbury Marketing (Sleeman, 2001), and CCT tourism-sector update. 42 | University of Auckland Business Review, Volume 15 No2, 2012 43 Tourism

rebuilds. However, recent news of a pos- been significantly compromised by the • Helping travel retailers and consumers to reor- • A New rugby/concert stadium sible Adelaide-Christchurch air service, along earthquakes. Unlike one-off natural events ganise planned visitor trips by utilising accommo- • A cultural performance precinct with a new cul- ...more with Christchurch International Airport’s such as floods and tornadoes, the ongoing dation in locations such as Ashburton, Methven tural centre announcement that it had been granted aftershocks and the consequent destabilisa- and Kaikoura • A green “frame” for a compressed city centre reminiscent special dispensation to open for airlines that tion of the insurance market, have made the • Re-establishing a Christchurch Visitor Informa- An aspect of the plan that has been widely of a post- don’t meet the necessary air trade regula- disaster especially challenging. This context tion Centre—firstly, through an interim site in the acclaimed is the framing of the new city by a tions, offer hope of an early capacity rebuild. brings the additional risk of a loss of recog- Chateau on the Park and then in a new building in “Papa O Otakaro /Avon River Precinct”, intended war zone The physical assets that enable the visi- nition as a viable visitor destination, with a the Botanic Gardens to make the river a central visual focus to the tor industry to operate in the city have also resultant erosion of visitor market-share for • Delivering a message to worldwide media that north and west, with a “green frame” on the east than a visitor been badly damaged, with the area from the the region. In addition, some accommoda- much of Christchurch was still functional and that and south. These lock together a central amenity precinct botanic gardens to the square, in particular, tion providers, retailers and attractions that the South Island remained open for business frame, which along with the designated precincts more reminiscent of a post-war zone than a remain open may not retain their financial • Working with other regional tourism organisa- (convention and performing arts, innovation and visitor precinct. viability, and the loss of skilled staff may tions to develop a marketing campaign for the health), provide the skeleton for an amenity-rich In sum, all elements of the destination cause problems for some operators when Australian market that promoted the South Island destination. However, debate continues about how development frame, save air access, have facilities reopen. as offering some of the world’s best road trips best to integrate a hospitality precinct, including • Helping businesses to better manage their opera- cafés, bars, restaurants and night-clubs, within a The visitor sector earthquake response tions during the recovery period denser commercial and residential central business • Instigating industry workshops to understand district. As noted below, it is this latter step that Like many other organisations, visitor busi- process of planning for the recovery. specific sector issues and identify options for the now holds the key to how the city re-emerges as a nesses were displaced from their operational The focus of the immediate tourism sec- recovery plan destination. bases and many were unable to access es- tor response initiated by CCT, the regional • Preparing a submission in response to the Draft sential records and computer systems from tourism organisation, has included: Central City Plan, based on visitor industry feedback damaged buildings. This compromised the • Assessing the total impact of the earth- • Developing a comprehensive facilitation plan to The long path to recovery ability to respond quickly to the new business quakes on the visitor industry and the enable Akaroa to handle the bulk of the 80 cruise With the large capital works listed above ex- environment. Once it realised that there was greater Christchurch community ships scheduled for summer 2011/12 pected to take five or more years to implement no quick fix the industry, led by Christchurch • Assessing the capability of the visitor in- • Initiating a domestic marketing campaign to fully, the question now is: what needs to be done, & Canterbury Tourism (CCT), began the dustry to host visitors encourage people to visit friends and relatives in Tboth in the short term (immediate visitor flows) T Christchurch and medium term, to reshape Christchurch as a • Preparing a medium-term strategic plan to competitive tourism destination? guide CCT’s priorities over the first three years of We suggest a focus, in the short term, on visi- recovery. This plan has already seen trade missions tors already flowing through the city. Data pre- targeting Australians, who appear to have been sented for the tourism sector plan indicates that reticent to return. there are still a significant number of leisure-based visitors and those visiting friends and relatives. The CCDU plan Casual observations of the city centre sug- The Christchurch Central Recovery Plan, re- gest that most visitors have a genuine interest in leased by the Christchurch Central Development the “stories” of response and recovery. Several Unit (CCDU) on 31 July, 2012, acknowledged that initiatives have already been launched to satisfy tourism was central to the city’s redevelopment. this interest, including the CESMIC /Quakebox, Among the 17 anchor projects it detailed are: an innovative mobile recording studio housed in • A new convention centre (incorporating options a former Tourism New Zealand container. More for two hotels) recently, the City Council began a programme • A new sport complex linked by open space to to celebrate buildings and streets re-opening via the retail sector “pop-up” entertainment and small-scale events.

45 PropertyTourism

Passive display boards attached to fences are In its strategy, CERA indicates how suc- nents of destinations. Amenities are literature is anchored around the role also being used to engage the passing visitor. cess will be measured: “Timely development the glue that hold attractions together and significance of core attractions. The one noticeable gap is the lack of a central of visitor attractions that also support quality and these appear to be well catered While it might seem a bold claim, it hospitality site, the establishment of which of life for greater Christchurch residents, with for in the central city—and hopefully now appears that an iconic attraction is fraught with debate around capital costs, increasing visitor numbers and spend”. wider Christchurch—redevelopment needs to be considered in the recov- payback times and leasing arrangements. We advocate a purposeful attempt to find strategies. The gap that is now ap- ery plans. Unfortunately, as the previ- Meanwhile many other areas—Addington and implement a major attraction that has suf- parent is building short-term mobile ous review of Christchurch indicates, and Riccarton in particular—have enjoyed ficient iconic status to both grow the overall attraction foci while the city reopens attractions are often built around pub- significant rejuvenation as social and business New Zealand tourist market and re-direct and establishing a significant attrac- lic resources and managed by public David Simmons is Profes- hubs. tourist flows to Christchurch—and in so doing tion in the longer-term wait for the agencies that do not necessarily see sor of Tourism and Director of Research Strategy at Lincoln We propose a three-stage plan that: clearly position Christchurch as a major tourist rebuild of major public infrastructure. themselves at the heart of the tourist University. He has led a number • Attends to immediate visitors (CCT has al- destination. After all, a number of cities world- experience. of government-funded research ready implemented new marketing initiatives). wide are readily identifiable by their iconic Lessons Learnt Finally, given the broad palette on projects on tourism planning and development in New Zea- Hospitality, events and attractions are also tourist attractions, including Sydney (Opera Tourism is an essential part of re- which tourism operates, in particular land. Internationally, Professor crucial for the anticipated influx of (largely house), Paris (Eiffel Tower), London (Houses of covery and has been signalled as such the wider considerations of access and Simmons has worked on tour- ism development projects for young, male) reconstruction workers Parliament), New York (Statue of Liberty), and in the development plans presented amenities, the tourism sector needs to the United Nations Environment • Re-energises the attractions sector. This is more recently Bilbao (Guggenheim Museum) to date. These plans, however, ad- be much better integrated into both Programme, the United Nations the key to a successful destination and Cornwell (Eden Project). Within New dress long-term strategic investments city planning and disaster planning. Development Programme and the United Nations World • Grows the convention, sports-tourism events Zealand few now doubt the effect of Te Papa and attention must now be directed The real secret appears to lie in Tourism Organisation. He has and general events markets as the major pub- in reshaping tourism in Wellington. toward anchoring a longer-term strat- rebuilding the attractions, amenity been Director of Research for Australia’s Sustainable Tourism lic infrastructure is completed egy and building a necessary bridge and ancillary services in a concerted Cooperative Research Centre. Building a long term strategy of tourism products and experiences and balanced way. Within the mix of [email protected] Re-energising the attractions sector Christchurch is faced with a unique op- during what looks to be a decade or destination competitiveness, access Though a number of attractions will reopen portunity. Most destinations evolve over a more of recovery. remains largely unchallenged but the over the next few years, it is apparent that the considerable time and are based on a loca- Existing residents, workers and move from the current positioning number and range of attractions will be less tion’s unique attractiveness. Today much of new residents need things to do and of a “gateway” to a “destination” than before the earthquakes. While the new this can be measured and mapped and new see, and activities and attractions will require rethinking the attractions initiatives detailed in the Visitor Sector Recov- places can be “chosen” for tourism develop- are at the heart of destination devel- profile, and ongoing attention from ery Plan will assist in the recovery, the reduced ment. The relatively short history of human opment and competitiveness. The tourism managers for a considerable number of attractions will have a dampening settlement and commerce in Christchurch, tourism planning and development time to come. effect on visitor arrivals and the city will be less and the devastating effects of the recent

competitive than previously. earthquakes, have left the city with a unique Ray Sleeman is Director of the The CERA Recovery Strategy for Greater set of challenges and opportunities. Tourism and Leisure Group, a Christchurch (May 2012) states that the Tourism is a fickle industry and competition Christchurch-based tourism con- sultancy. He had a major role in challenge for tourism “is to ensure greater among destinations is fierce. As New Zealand’s key take-outs preparing the Tourism Economic Christchurch continues to act as a gateway second-largest city, Christchurch is fortunate, Recovery Plan following the Tourism earned Christchurch $2.3 billion a year before the earthquakes struck, and it is Christchurch earthquakes. He to the South Island, whilst rebuilding tourism but it needs to be much more than the “gate- an essential component of the city’s recovery. has worked as General Man- and visitor infrastructure and developing as way” to the South Island if tourism is to regain ager of , a destination in its own right”. To grow as a its position as a major regional employer. It Existing attractions alone will be insufficient to rebuild visitor numbers. Christchurch Director of the Christchurch Arts Centre and Christchurch needs to create an iconic new attraction if it is to compete with other international destination Christchurch will require a compel- will take care to rebuild 150 years of slow Festival, and as a tourism destinations.. ling range and scale of visitor attractions to development into a coherent sequence, all management consultant. match the proposed enhancements of the city within a compressed time frame. Christchurch must be repositioned as a destination, rather than relying on its default ray.sleeman@ tourismleisuregroup.co.nz through projects such as the Avon River Park We have singled out attractions as the branding as the “gateway” to the South Island. and others described above. often unacknowledged but essential compo-

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