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Newfoundland and Labrador Product Development Strategy

Newfoundland and Labrador Product Development Strategy

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- 163 -The criteria here are relatively straightforward (again, these are in addition to normalfinancing criteria):o Significantly improves the appeal <strong>and</strong> competitiveness of the property in touristmarketso Encourages extended stays in the areaIn all cases, the upgrading should be of a scope <strong>and</strong> character that it fundamentallytransforms the property in terms of competitiveness.All types of accommodations in all locations in the province would be eligible for upgradingassistance, with the exception of B&Bs that are primarily private residences <strong>and</strong> don’t meetthe ‘professional B&B’ st<strong>and</strong>ards described earlier.In SummaryIn summary, those eligible for development support would include:For New <strong>Development</strong> or Expansiono Multi season resorts <strong>and</strong> lodges meeting the test of dem<strong>and</strong> generatoro Smaller resorts, cottage resorts, lodges, country inns, heritage inns, professional B&Bs<strong>and</strong> unique inns meeting the test of dem<strong>and</strong> influencer <strong>and</strong> located in a designateddestination areao Any accommodation type that fills a gap that is constraining tourism growth in adesignated destination area/regionFor Upgradingo Any accommodation type in any location, except for B&Bs that don’t meet the‘professional B&B’ st<strong>and</strong>ardo A fundamental transformation of the property is requiredExtra credit should be given to projects that fit two or more of the categories, for example, aresort that is a dem<strong>and</strong> generator, dem<strong>and</strong> influencer <strong>and</strong> also fills a gap in the marketplace.Approach to Dealing with Impacts on Competing PropertiesThe approach described below is an attempt to address the negative impact on other operatorsof supporting new accommodations <strong>and</strong> expansions.Determining Whether Competitive Impacts is a Valid or Important IssueFirst of all, it is important to address the question of whether the issue of competitive impactshould be an important consideration in dealing with a particular accommodation project. Itshouldn’t be just that one or more other operators object, or just that there are lowoccupancies in the area. There needs to be a more systematic assessment of this question ineach case.THE ECONOMIC PLANNING GROUP of Canada <strong>Newfoundl<strong>and</strong></strong> & <strong>Labrador</strong> Tourism <strong>Product</strong> <strong>Development</strong>D. W. Knight Associates <strong>Strategy</strong> <strong>and</strong> Accommodation Needs Study

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