Part 1 - Shire of Ashburton
Part 1 - Shire of Ashburton
Part 1 - Shire of Ashburton
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<strong>Shire</strong> <strong>of</strong> <strong>Ashburton</strong> Tourism Strategy<br />
January 2011<br />
local operator undertake the service (booking commissions retained by the VC). A regular passenger service<br />
to the National Park would work to alleviate vehicle and parking congestion in the NP, encourage greater<br />
extended stay and expenditure in Tom Price, provide additional income to the VC, and position Tom Price<br />
as the main service town for Karijini. This service could also be utilised by the Department <strong>of</strong> Environment<br />
and Conservation and management <strong>of</strong> the Karijini Eco Retreat.<br />
Recommendation 1: Investigate the opportunity to establish a regular passenger transport service (bus<br />
service not tour) operating during the peak visitor season between Tom Price and the Karijini NP.<br />
Souvenir sales make up the large proportion <strong>of</strong> the Tom Price VC revenue and the <strong>Shire</strong> is to be<br />
congratulated for refocusing commercial activities upon leveraging merchandising opportunities in‐store.<br />
As per 2009/10 <strong>Shire</strong> VC financial reports souvenir sales have averaged around $13,600 per month with<br />
cost <strong>of</strong> goods expenses at $9,850 per month, or an average markup <strong>of</strong> around 38% (assuming opening and<br />
closing stocks levels over the 10 month period are roughly similar). There appears an opportunity to<br />
improve this average markup in line with a budgeted markup around 60%.<br />
Recommendation 2: Management <strong>of</strong> the Tom Price Visitor Centre to focus upon improving gross margins<br />
across all souvenir and merchandising lines with the aim <strong>of</strong> achieving an average sale markup <strong>of</strong> at least<br />
60% on cost <strong>of</strong> goods purchased.<br />
Interestingly, commission revenue from accommodation bookings was negligible for the 12 month period<br />
being less than $100. Typically, visitor centres representing destinations with a large accommodation base<br />
can generate significant revenue commissions by promoting and taking bookings for local accommodation<br />
received from visitor enquiries. Many <strong>of</strong> these VCs now utilise an online booking system called “Bookeasy”.<br />
Visitors can book accommodation and tours online 24 hrs per day or telephone the visitor centres directly<br />
during business hours.<br />
To date, Tom Price has a limited number <strong>of</strong> local accommodation operators and the seasonal tourism<br />
markets must compete with the more consistent mining and associated contractor market sources. This<br />
lack <strong>of</strong> room capacity has hindered the ability <strong>of</strong> the Visitor Centre to perform a more active role as a local<br />
accommodation booking agent.<br />
A larger range <strong>of</strong> local accommodation operators is therefore required and this should be a goal <strong>of</strong><br />
successful long term tourism development. The establishment <strong>of</strong> the Karijini Eco Retreat is a good example<br />
<strong>of</strong> the new investment in additional accommodation required.<br />
The planned “tourism lodge” development within the Tom Price town centre is another project that will be<br />
important. As new accommodation capacity is added to the Tom Price and Karijini destination the Tom<br />
Price Visitor Centre should investigate including an online accommodation booking agency facility such as<br />
“Bookeasy” to their operations.<br />
Recommendation 3: Management <strong>of</strong> the Tom Price Visitor Centre to encourage more investment in local<br />
tourist accommodation capacity and once achieved investigate opportunity to establish an effective<br />
accommodation booking service.<br />
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