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Dáil Éireann debate -
Thursday, 30 Jan 1997

Vol. 474 No. 2

Ceisteanna — Questions. Priority Questions. - Budget Tourism.

David Andrews

Question:

1 Mr. Andrews asked the Minister for Tourism and Trade if he will ensure that specific responsibility is given to an individual to oversee the budget end of the tourism market within his Department and organisations under the aegis of his Department and that this responsibility would include overseeing sports groups, activity groups, backpackers, walkers, cyclists, campers and other categories; the action, if any, he intends taking in this regard; and if he will make a statement on the matter. [2743/97]

My Department's primary function in so far as tourism is concerned is to assist me in determining national tourism policy and development priorities and to monitor implementation of that policy. In all the circumstances, I consider it neither appropriate nor desirable to nominate an individual in my Department to oversee the budget or any other specific end of the tourism market, as suggested in the question. Such matters come within the statutory responsibilities of the State agencies working in co-operation with the tourism industry.

While the question refers to "overseeing" sports groups, activity groups, backpackers, walkers, cyclists, campers etc., I assume it relates to plans to develop and market a niche tourism product in the categories mentioned. There may be concerns that in our efforts to develop Irish tourism we are concentrating exclusively on the higher yield markets at the expense of niche tourism products, particularly those that might be perceived as budget tourism. Such concerns, while understandable, are without foundation.

The development of niche markets is a priority of the Operational Programme for Tourism 1994-99 under its product development and marketing sub-programmes. This is in line with my policy to discourage the development of mass tourism in Ireland which could undermine both the quality of the tourism product and give rise to concerns about our environment and landscape. It is also significant in terms of tackling the problem of seasonality which has beset Irish tourism for years. We are making significant progress in addressing this issue which will not only allay fears about the dangers of mass tourism but will help to make the industry more profitable and help to sustain permanent jobs as distinct from the part-time and seasonal employment traditionally associated with the tourism sector.

To this end, the marketing of Ireland has now moved to a situation where the development of a strong and sustainable brand identity is agreed by all the major partners to be a strategic challenge in the coming years. This newly developed brand image has focused on the specialist markets offering greatest potential and how best to target them. The focus is on the production and marketing of high quality specialist interest holidays.

That is not to say that the budget tourist does not continue to receive attention. Bord Fáilte has been instrumental in establishing product marketing groups which include those involved in cycling and walking promotion and has elevated the status and promotional awareness of such activities. The groups' distinctiveness and success lies in the collaborative efforts of State tourism agencies and their tourism industry partners.

From now on, the niche markets of culture, heritage and activities will be given focus under the umbrella of the mother brand. The greater sophistication in the branding approach has led to a more focused market segmentation, long-term market planning and positioning. It has not in any way sought to undermine the budget tourism market but rather to allow tourism marketing to convey that an Irish holiday is not a transient happening but something with lasting benefits. That is our unique selling proposition.

My question arises from a meeting I had with the Independent Holiday Hostels of Ireland organisation, which represents about 148 hostels in Ireland. It estimates that its sector contributes about £90 million per annum to the economy — not an inconsiderable amount. I am disappointed with the Minister's indication that he will not appoint a person to deal with budget or youth tourism. The IHHI approached Bord Fáilte about the possibility of appointing somebody specifically to deal with budget tourism and, having received one response, has heard nothing since. The Minister should use his considerable influence to urge Bord Fáilte to appoint somebody to have specific responsibility for this market. The young tourists of today will be the high yield spenders of tomorrow. Indeed, they are generally the children of prospective high yield tourists. In that context they should receive specific attention.

I share the Deputy's view that the young visitors will be the return tourists of the future. The Deputy will be aware that the staff in the Department of Tourism and Trade has increased by 300 per cent since it was set up by a Government led by Fianna Fáil. There are about 31 officials dealing with tourism policy.

The money which Bord Fáilte receives is transferred to it from the Department's Vote. I am assured that the promotion of the niche holiday sectors to which the Deputy's question refers is part of the overall presentation of Ireland abroad. The range of advertising and communication being carried out takes that into account. I cannot pinpoint a specific individual in Bord Fáilte who handles this area but I am assured that the sectors in question are not forgotten in the promotion of activities. I take note of the Deputy's point.

The Minister is prevaricating slightly with some "magic speak", as it were. He should address the issue. It is a matter which might be more properly dealt with by way of a motion in the House. The Minister should consult with his officials with a view to assisting the hostels sector by appointing a person to take specific responsibility for this niche market.

I have met a number of people involved with the independent hostels sector. The operational programme, with which I know the Deputy is familiar, under its product development sub-programme makes specific provision for grant aiding activity holiday products, including cycling, walking, hostel and other accommodation on branded walking routes and sports related activities, including golf, adventure and equestrian holidays. These activities do not necessarily fall into the category of budget tourism.

The sub-programme is not specifically for youth or budget tourism. Much of what is eligible for grant aid under the sub-programme cannot be construed as budget tourism. I recently opened a hostel in Gweedore, County Donegal, which is the largest single investment grant aided under the subprogramme in that part of the country. It is not designed specifically for budget tourism but some of the people who will avail of its services and facilities will be in the categories the Deputy mentioned. It has been noticeable in recent years that many of the 700,000 Americans who visit Ireland decide to stay, for example, in Ashford Castle for one week and in hostels or guesthouses for another week.

The categories are not specific and they cannot be lumped together in a budget concept. However, I take the Deputy's point.

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