importance of entertainment in tourism industry

What Is the Importance and Role of Entertainment to the Tourism Industry?

By Anna Duncan

The tourism industry plays a vital role in the world’s economy. It contributes to the economic growth of many countries by generating revenue and creating jobs.

Entertainment is an essential part of tourism as it enhances the overall experience of travelers. In this article, we will explore the importance and role of entertainment in the tourism industry.

Importance of Entertainment in Tourism

Entertainment is an important factor that attracts tourists to a destination. People travel for various reasons, but one thing they all have in common is that they want to have a good time. Tourists are always looking for new experiences, and entertainment provides them with just that.

Whether it’s attending a concert, watching a cultural performance, or participating in adventure activities like bungee jumping or white water rafting, tourists seek out entertainment options that enhance their travel experience. In fact, many people plan their trips around entertainment events such as festivals and concerts.

Role of Entertainment in Tourism

Entertainment plays a crucial role in promoting tourism destinations. It helps attract visitors and creates positive word-of-mouth promotion. When tourists have a good time at a particular destination, they are more likely to recommend it to others.

Furthermore, entertainment provides opportunities for local businesses to thrive. Tourists spend money on tickets to shows, dining out at restaurants, shopping for souvenirs, and other activities that contribute to the local economy.

Entertainment also helps preserve culture and heritage. Many destinations offer cultural performances such as traditional dances or music concerts that showcase their unique heritage. By experiencing these performances, tourists gain a better understanding and appreciation of the local culture.

In conclusion, entertainment is an important aspect of tourism as it enhances the overall travel experience for visitors. It plays a crucial role in promoting destinations by attracting visitors and creating positive word-of-mouth promotion.

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What is event tourism and why is it important?

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Event tourism is big business- read on to find out what event tourism is and why it is so important.

What is event tourism?

Types of events, benefits of events tourism, limitations of event tourism, sporting event tourism, music event tourism, entertainment event tourism, business event tourism, the hotel industry, the transport industry, the hospitality industry, the advertising industry, event tourism- further reading.

Event tourism is essentially any tourism that relates to events. Events come in all shapes and sizes- they can be large scale events or small events, private events or public events.

Event tourism can bring a lot of money into the host community, making it a valuable contributor to the tourism economy.

Traditionally, events have always been viewed as being part of the tourism industry, however that has been slowly changing in recent years, with many people recognising the event industry as an industry in its own right. In fact, it has become so separated that many universities now offer event management degrees that are totally separate from travel and tourism !

There are different types of events that happen around the world and these often fall under different types of tourism . I have written a detailed article on the major types of events , but for now, here is a brief breakdown-

• Business events
• Sporting events
• Recreation events
• Local interest events
• Entertainment
• Celebrations
• Social enterprise events
• Conferences
• Promotional events
• Exhibitions

Event tourism is hugely beneficial to the tourism industry because it bring in money!

Events attract people and people spend money- people need a place to stay and somewhere to eat. Events also create jobs- someone needs to build the venues, there needs to be security working on the door and a customer service agent selling tickets. The events industry contributes to many of the jobs in travel and tourism .

Events can also help to put destinations on the world map. You may never have heard of a place before but if they host a big event, especially if it is a global event like the Football World Cup or the Olympics, then people all over the world will learn about the destination! This can often have long lasting effects and can even be a catalyst for the start of a booming travel and tourism industry.

With large amounts of visitors to a destination, however, there are bound to be some negative impacts too. Events can bring many unwanted social impacts of tourism and environmental impacts of tourism . It can also encourage economic leakage in tourism . There are sadly many negative impacts of event tourism as: the increased cost of living, traffic congestion, crowding, crime, property damage, pollution, deterioration of natural, cultural or historical resources and other various forms of discomfort experienced by residents or local businesses.

There are many specific examples of where event tourism has led to negative issues. For example, during the construction of the Olympic village for each 4-yearly Games, there have been many recorded fatalities. 14 people died building the Olympic village for the 2004 games in Athens – and seventy people lost their lives during the construction of the Olympic village for the Russian Winter Olympics. The huge levels of tourism associated with the Games mean that a lot of work goes into ensuring the stadiums, accommodation and fan zones are built to a high standard. However, this doesn’t always correspond with worker safety.

Another example is living in Wimbledon during the tennis championships. Everything about life is made a little bit more difficult due to the heavier-than-normal traffic, the long queues everywhere you go, an inability to book restaurants or access public transport and so on. This overcrowding is typical of event tourism, and it is one of the downsides for people living in areas affected by large events.

Examples of event tourism

There are so many examples of event tourism which we can look at. You can read about some of them below…

With sports, many people support teams or clubs based in or near their hometown – so for league games, sport is unlikely to generate a LOT of tourism , though there will be some. But for cups and championships, as well as large competitions or sports where the same people or teams compete in different places, there will be a lot of tourism generated from fans who are required to travel to watch it live.

Little to no event tourism:

• League and cup matches at home grounds

Large amounts of tourism:

• Cup finals at neutral venues
• International sporting competitions e.g The Olympic and Commonwealth Games
• International championships e.g Wimbledon or the US Open (Golf)
• Sports where the venue changes e.g Formula 1

When it comes to music events, there are also different levels of tourism.

Little to no tourism:

• Tours where the artist is playing in so many cities that generally people won’t need to travel far to see them
• Short tours with only a few locations
• Music festivals e.g Reading and Leeds Festival

Other entertainment events such as Comic Con and other conventions, food shows, flower shows and so on tend to be in one set location each time. This means they generate a lot of tourism as most people will need to travel if they want to attend.

Similarly to entertainment events, business events tend to be in one place. A conference will take place in a specific venue in a specific city, for example, and attendees will need to travel to get there. This obviously generates event tourism as people use transport and book places to stay.

Impacts of event tourism on different industries

The rolling impact of an event touches every part of the tourism industry, which you can read about below through specific examples.

Accommodation is highly in demand for any event. It is usually not just locals who attend an event – unless it is something small-scale like a village fair, which does not generate event tourism per se. But for football games, music festivals and so on, hotels and Airbnbs in the surrounding area get booked up super quickly.

The example I will use here is the Champions League Final in Kyiv in 2018; hotels were like gold dust even before it was decided which two teams would be battling it out for the title. Prices were hiked, and people who had booked before the location of the final was actually confirmed (e.g people who were visiting Kyiv for other reasons) saw their booking cancelled to make way for football fans travelling from Liverpool and Madrid. This was obviously beneficial for hotel owners. It was also beneficial for locals in Kyiv, however, who were able to open up their homes as temporary accommodation for travelling fans.

Transport is affected in that when an event is taking place, there are a lot more people travelling to and within the area via public transport.

If we take the specific example of Oktoberfest in Germany, an annual beer festival, we can see that flight prices to these areas are more expensive in the lead up to it. On top of this, trains within the area are getting booked up already – and smaller local public transport which can’t be booked in advance will see a busier-than-normal time.

It stands to reason that when an event is taking place, people will use public transport especially if there is little or no parking at the venue. Events create congestion, which is one of the negatives discussed earlier in this post. But Oktoberfest also creates a lot of revenue for hotels, bars, restaurants and shops!

Working in hospitality is often a thankless job – and during large events it can be even more difficult as bars, cafes and restaurants fill up with visitors.

Using the specific example of the London Olympics in 2012, there were streams of visitors to the city who each spent an average of around £1300 during the Olympic period. Restaurants, cafes and food outlets were full of tourists ; many wanted quick service, and there were of course foreign languages for the staff to contend with.

All in all, jobs seemed harder during this period but there was not actually an increase in revenue. This article explains how and why the restaurant, hotel and pub industry saw a £55 million loss in revenue during the London Olympics… The Games were, however, a big deal for tourism generally. The ONS stated that visitor numbers were up by 2.63m and visitor spending reached a whopping £1.9 billion. This has had a lasting impact over the past decade with visitor numbers remaining high.

Of course, event tourism brings with it a lot of marketing. When there is an event, it needs to be advertised.

Let’s take, for example, the annual music festival Coachella. This is big business, with visitors coming from worldwide to enjoy seeing their favourite artists in sunny California . Like any festival, however, it needs to be advertised. A lot of their marketing is digital – primarily across Instagram and Twitter. However, this still costs money and people are employed to do this across different levels: from the people who write the Tweets to the staff at Twitter itself. Other marketing like posters, billboards and so on have costs involved too. Whether it’s a page in a magazine or a slogan on the side of a bus, event tourism undoubtedly has a massive impact on the marketing industry.

If you enjoyed this article on event tourism, I am sure that you will love these too-

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• What is special interest tourism and why is it so popular?
• What is alternative tourism and why is it growing so fast?
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Table of Contents

5 Reasons Why Event Management is Important in Tourism

• May 17, 2017

The term “event management” can puzzle some people who have never thought about its meaning and role in modern society. In fact, event management is a widespread activity, which aims at messaging and connecting people.

The management of events can be initiated on both the local and global levels. Wikipedia explains “event management” as management activities to create and organize festivals, conventions, meetings and other large-scale events. However, the area of events is much broader including dates, parties, sports events, meetings, concerts, charity events, conferences and many other types of people’s communication.

Tourism is not a part of event management. It’s a set of activities related to travelling and learning new places, food, traditions, experiences, and people, of course. Currently, the notion of tourism has no limits, because traditional tourism expunged its borders and plunged into learning the world. Now, tourism can be divided into various types of goals such as ordinary travelling, hiking, shopping tourism, sightseeing, spa tourism, food travelling, extreme tourism and many other options.

Although event management and tourism are different notions, it should be mentioned that they are closely aligned with each other. Actually, regardless of the type of tourism you choose, event management will accompany it within the entire period of activity.

Classification of events

You cannot possibly underestimate th e importance of events for tourism. The most popular types of tourism events, regardless of the tourism type, come in a wide range of exciting options. Various types of festivals and events have always existed as significant parts of human society. They are also devised as forms of public display, civic rituals, and collective celebrations, which includes certain tourist events. It is possi ble to distinguish the following four types:

• Mega events
• Hallmark events
• Major events
• Local events

Tourism value of events

In fact, people in all cultures recognise the need to set aside certain times and spaces for communal creativity and celebration. They can successfully achieve that [un1] in terms of tourism and travelling activities as well because the industry opens many ne w horizons and provides opportunities to organise events more often and for diverse and multicultural environments. The role of events in tourism destination development sh ould also be noted.

Events tourism goals

The key tourism goal for events is to attract more tourists (especially in off-peak seasons) to serve as a catalyst for urban renewal and to increase the infrastructure and tourism capacity of the destination to foster a positive destination image, which contributes to general place marketing to animate specific attractions or areas.

How Event Management Affects the Tourism Industry

Events in tourism development produce an in credible impact on the industry as a whole and influence a broad range of human activities: politics, environment, socio-cultural, and other aspects. That’s why, when organising such events, you should consider the possible aftermath for each sphere of human activity as well as the potential positive impacts.

Social and cultural impacts

Tourism and event management are said to have evolved from primitive gatherings of people for agricultural or religious reasons into the more modern type of events—large-scale, corporate and governmental—as well as their long history of attracting tourists and establishing host communities as tourist destinations.

Political impacts

The emergence of new political powers, capitalism, new products, and new social relations, as well as a new way of modern life, paved the way for more versati le event tourism development and a growing number of cutting-edge events. Nowadays, events can mitigate or aggravate political situ ations, which is another lure for tourists.

Economic impacts

The development of events in the economic sense helped solve the problem of unemployment and had an impact on economic growth, especially in developed market economies. The best example for this is the impact of major sporting events, such as the Olympic Games or World Championships of popular sports, on the economic growth of host countries and tourism.

Environmental impacts

It was during the 20th century tha t tourism hospitality and event management development and all the different types of events reached their peak, approaching what we now consider events. This was caused by the phenomenon of discretionary income, an increase in the purchasing power a nd standards of consumers, which shifted the focus from fundamental to peripheral needs as well as to environmental issues. When certain parts of society reached a certain economic peak, they shifted to a more thoughtful way of life that included alternative energies, wise ecology, and environmental protection. This also made way for the birth of completely new consumer needs, which increased the demand for a specific range of events and tourism.

Strategic planning in event tourism

Today, it is not surprising that apart from the above-mentioned impacts, events also have the power to affect the formation of a destination’s image and can help with promoting, positioning, and branding it across the globe.

The Place of Event Management in the Tourism

Events act as important motivators for tourism. Every year numerous tourists are attracted by various kinds of events throughout a huge variety of destinations around the globe. In short, the development of tourism in a particular destination is directly concerned with the development of event management.

For example, nobody will be interested in visiting a distant island or city, unless some appealing tourism events are arranged at this place. If you look at the destinations that gained popularity in recent times, you’ll find out that the flow of tourists to this place began after the successful event management. Therefore, it’s the trigger to attract visitors and travelers to a particular destination.

Some destinations are visited by tourists only for a special event, for example, to organize a meditation retreat . This relates to annual concerts and festivals when thousands of people head off to a social event like pilgrims. All of you know about Film Festival in Cannes or Bestival in the UK. Every year such social events are the main attraction for tourists.

Why Event Management is Important in Tourism

We’ve already detailed the importance of event management in tourism. Now, let’s talk about the significance of tourism in event management. These two notions are interrelated activities, while tourism is mostly dependent on effective management of events. Let’s introduce one clear example. Niagara Falls is a popular and prominent place to visit. However, the main flow of tourists started as soon as the event managers had begun to arrange tours and cruises across the basin of Niagara River. These activities have led to the development of other entertainments around this destination. Keep in mind that everything has begun, with a simple event.

Events trigger a boost of tourism

This is the major reason why the role of event management in tourism is so important. Tourists and travelers need to understand why they should visit a particular destination. Therefore, event tourism comes to the rescue. What is event tourism? It can be compared with a small stream that turns into a large river when supported by other streams. Regardless of the activities you offer, e.g. organizing incentive trips , they will definitely attract more customers to your destination.

Events in tourism promote customer loyalty

Tourism event management promotes the loyalty of regular customers. Just imagine that your favorite destination for vacation offers some events which you have not experienced before. For this reason, the customers would prefer to remain loyal to the resort or place they usually visit rather than searching for other options.

Stickiness of social events

This point mostly relates to lonely people who need to find a soulmate or friends. The arrangement of various social events promotes communication of people and building new relationships. As a result, a couple, which was created at a particular destination, would be happy to recreate the romantic moments of their first meeting. In this sense, event management benefits for both tourism and society development.

Weddings as a main social event in tourism

A new trend of arranging weddings in some special places is developing. People want to make this special date incredible and unforgettable. The event managers apply all their efforts to meet the requests of the most demanding customers. What can be better than the beginning of the honeymoon, right after the wedding itself? The next day after the ceremony, the newlyweds don’t need to pack belongings and suffer in airports and aeroplanes. They’re already in place, where they want to be. The role of events in tourism is well demonstrated in this particular case.

Multipurpose Tourism

Management of events provides various opportunities for travellers to spend their time without being bored. If you plan your visit to some exotic country, it doesn’t mean that your vacation will be limited to rambling across the sights and historical monuments of the destination. You can diversify your trip with extreme events or any social activities. Thanks in part to event management, you will surely experience a wide array of emotions and experience many new things.

Is Tourism Important for Event Management?

Since we’ve ascertained that tourism depends on event management, the benefits of tourism should also be mentioned. Tourism is the area or industry, where social events can be implemented. All the above-mentioned examples demonstrate the significance of managing events for tourism.

However, the tourism itself is quite important for social activities. The development of tourism and the introduction of new destinations reveals the huge perspectives for the growth of event management. The majority of most social activities, such as festivals, recreational events, etc., have become possible due to the tourists, which travel around the world in search of new impressions and emotions. Naturally, tourism and event management can exist separately, but their consolidation can bring many benefits not only for the development of tourism but also for the development of the economy of countries or cities in total.

Bottom Line

To make a destination attractive for tourism, detailed development plans are required. These plans should focus on the planning of social events in order to achieve the full potential of tourism. Managing events is the activity that deals with developing and planning various kinds of events for that society. A fruitful integration of event management into touristic activities will win success and attract numerous customers to the target destination.  Get started for free and win optimized event planning services for your target industry.

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Event tourism – impact and types.

The tourism world is dynamic and has evolved in many ways, and one of the many changes is the increase in event tourism, now more than ever. Travelers from all age groups are choosing to attend or participate in events to enhance their travel experiences. From sporting events to music festivals, and conference meetings to outstation weddings, tourism events have become an integral part of the industry. 

Event tourism provides travelers with unique and memorable experiences and brings significant economic and social benefits to the host destination. Event tourism can generate revenue for residents, create new job opportunities and promote the local culture and tradition of the destination.

It's time to explore event tourism in more detail. We will talk about the benefits of event tourism for both travelers and destinations, the different types of events that fall under the umbrella of event tourism, and the challenges and opportunities involved in planning and hosting successful events. Whether you're a traveler looking for a new adventure or a destination seeking to boost your tourism industry, this article will provide valuable insights into the exciting world of event tourism.

This valuable and drastically growing segment in tourism is beneficial for both event organizers as well as tourists.

Types of Tourism Events

Types of events in tourism may widely fall into different categories and experiences. 

1. Cultural or Festival Event Tourism Fair

These events include celebrations, exhibitions, and festivals that showcase the culture and traditions of the host destination. Suggested Read:  Diversity of Festivals and Events in Western Australia

2. Sports Event Tourism

Sports Tourism exhibition is one of the fastest-growing tourism in the travel industry. It has been observed that more and more travelers are interested in sports activities or events during their trips. This may or may not be the main objective of travel. Sports events are of different types and varieties and attract participants and spectators—Mega Sports events such as the Olympics, World Cup, NBA, IPL, and many others. Smaller events like marathons, relay races, run for charity and other events also come under this category. Such Tourism also calls for infrastructure development and other economic benefits.

3. Business Events

Business Events tourism, popularly known as MICE( Meetings, Incentives, Conferences, Exhibitions), is a more limited and focused subset of regular tourism. People are still at their job and are getting paid but are doing so away from their workplaces. Such events are good for networking, marketing, and education. Business event tourism, in comparison to conventional tourism, involves a smaller segment of the population, with distinct objectives and extra freedom-of-choice-limiting limitations imposed by the commercial components. Business tourist destinations are far more likely to be locations that have been heavily developed for corporate purposes (cities, industrial regions, etc.). A typical business tourist is wealthier than a typical leisure visitor and are anticipated to spend more money. Suggested Read:  Exploring Business Opportunities, Culture, and Economic Growth in Saudi Arabia's Vision 2030

4. Music and Entertainment Events

Music and Entertainment Event Tourism is the fastest-growing travel trend observed in the new generation. We can see people traveling miles and miles to watch their favorite performers perform live on the stage. Music Tourism is a subset of the vaster category of tourism called cultural and festival tourism, which encompasses travel to observe the festival focusing on the theme of food, beverage, movie, and literature. These festivals include concerts, theater festivals, comedy shows, and other entertainment events.

5. Spiritual and Religious Tourism

These events include pilgrimage, religious festivals and other spiritual gatherings organized around people's religious and spiritual beliefs. Hajj and Umrah are the biggest examples of religious tourism.

6. Travel Trade Shows

Travel trade shows are where suppliers get to meet their buyers on an individual basis. Destinations, accommodations, and attractions are suppliers; travel trade is buyers. Such events are 2 – 3 days long and are most often made up of short appointments with suppliers. These trade shows are also popularly known as travel exhibitions.

Here are some valuable insights into the exciting world of Tourism Events

Economic Benefits

Event tourism can have a significant impact on the economy. It helps generate revenue for businesses such as hotels, restaurants, transportation services, and local vendors. Additionally, events can create job opportunities for residents.

Social Benefits

Events and festival tourism have the potential to bring people together under one shade. Events can be an excellent opportunity for cultural exchange and social intervention. Events can also promote community development, especially in rural areas where tourists can visit during the events to explore the destination's culture.

Environmental Impact

Everything has advantages and disadvantages; thus, there can be good and bad environmental effects. The positive impact of event tourism can include raising environmental awareness, encouraging sustainable behaviors, and supporting local conservation initiatives. In contrast, the negative impact might have increased waste output, energy consumption, and emissions.

Safety and Security

Safety and security are essential considerations for event tourism, as they can impact the experience of attendees, the reputation of the event, and the safety of the local community.

Marketing and Promotion

Marketing and promotions are essential to event tourism as they are the conversation starters. They help to generate awareness and interest to attract attendees and maximize revenue. 

Innovation and Creativity

Incorporating innovation and creativity into event tourism may aid in creating one-of-a-kind and unforgettable experiences that attract tourists to a region. Event planners can create events that stand out and give something unique and intriguing to guests by harnessing technology, sustainable practices, cultural authenticity, and cooperation. Suggested Read:  Types Of Tour Operators

Frequently Asked Questions

Q1. when is world tourism day celebrated.

A1. World Tourism Day is celebrated on every year on 27 September.

Q2. What activities can be done on World Tourism Day?

A2. World Tourism Day Activities include can be:

• Travel without moving: visit the neighborhoods of migrant populations, tasting and learning about various cultures!
• Workshops: Participate in workshops that will help you gain insights into the travel industry.
• Travel Literally: Travel to a destination on your bucket list and post a picture on social media.

Q3. What is event tourism packaging?

A3. There is no physical packaging around a product in tourism packaging. On the other hand, the packaging is the act of putting together the core tourist product with additional services the traveler desires. Then this package is promoted to the target travelers who can easily purchase the curated holiday experience.

Q4. What are the different types of tourism activities?

A4. Cultural tourism, sports events, business events, travel trade shows, music and entertainment, and spiritual journeys are some of the top tourism activities.

Q5. What are the features of event tourism?

A5. Economic benefits, social benefits, environmental impact, safety and security, marketing promotions, innovation and creativity are the features of event tourism.

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Chapter 6. Events, Culture, Heritage, and Sport (Entertainment)

6.1 Festivals and Events

When travellers enter Canada, there is a good chance they will be asked at the border, “What is the nature of your trip?” Whether the answer is for business, leisure, or visiting friends and relatives, there’s a possibility that travellers will participate in some of the following activities (as listed in the Statistics Canada International Travel Survey):

• Attend a festival or fair, or other cultural events
• Visit a zoo, aquarium, botanical garden, historic site, national park, museum, or art gallery
• Watch sports or participate in gaming

These activities fall under the realm of entertainment as it relates to tourism. Documenting every activity that could be on a tourist’s to-do list would be nearly impossible, for what one traveler would find entertaining, another may not. This chapter focuses on the major components of arts, entertainment, and attractions, including motion pictures, video exhibitions, and wineries; all activities listed under the North American Industry Classification System we learned about in Chapter 1 .

Festival and Major Events Canada (FAME) released a report in 2019 detailing the economic impacts of the 17 largest festivals and events in Quebec, which amounted to a whopping $378 million in tourist spending. Let’s take a closer look at this segment of the sector and its impact across Canada.

The International Dictionary of Event Management defines a festival as a “public celebration that conveys, through a kaleidoscope of activities, certain meanings to participants and spectators” (Goldblatt, 2001, p. 78). Other definitions, including those used by the Ontario Trillium Foundation and the European Union, highlight accessibility to the general public and short duration as key elements that define a festival.

Search “festivals in Canada” online and over 900 million results will appear. To define these activities in the context of tourism, we need to consider two fundamental questions, “Who are these activities aimed at?” and “Why are they being celebrated?”

The broad nature of festivals has lead to the development of classification types. For instance, funding for the federal government’s Building Communities through Arts and Heritage Program is available under three categories, depending on the type of festival:

• Local festivals funding is provided to local groups for recurring festivals that present the work of local artists, artisans, or historical performers.
• Community anniversaries funding is provided to local groups for non-recurring local events and capital projects that commemorate an anniversary of 100 years (or greater, in increments of 25 years).
• Legacy funding is provided to community-initiated capital projects that restore or transform event spaces and places. Eligible projects are those that commemorate a 100th anniversary (or greater, in increments of 25 years) of a significant local historical event or local historical personality.

Funds awarded in BC ranges from $2000 for the Nelson History Theatre Society’s Arts and Heritage Festival in 2012 (Government of Canada, 2014a) to $100,200 for the Vancouver International Film Festival in 2017 (Government of Canada, 2017). In 2017-2018, federal funding from the Canada Arts Presentation Fund, Canada Cultural Spaces Fund, and Canada Cultural Investment Fund resulted in $183 million in infrastructure and program development funds to support organizations that professionally present arts festivals or performing arts series (Government of Canada, 2019).

Spotlight On: International Festivals and Events Association

Founded in 1956 as the Festival Manager’s Association, the International Festivals and Events Association (IFEA) supports professionals who produce and support celebrations for the benefit of their communities. Membership is required to access many of their resources. For more information, visit the International Festivals and Events Association website .

Festivals and events in BC celebrate theatre, dance, film, crafts, visual arts, and more. Just a few examples are Bard on the Beach, Vancouver International Improv Festival, Cornucopia, and the Cowichan Wine and Culinary Festival.

Spotlight On: Cornucopia, Whistler’s Celebration of Wine and Food

For the “epicurious, cornucopia is food + drink unleashed.” Dubbed “so wild you can taste it” this 11-day event showcases tasting events, drink seminars, chef lunches and demos, avant-garde parties and more. For additional information, visit Cornucopia .

An event is a happening at a given place and time, usually of some importance, celebrating or commemorating a special occasion. To help broaden this simple definition, categories have been developed based on the scale of events. These categories, presented in Table 6.1, overlap and are not hard and fast, but help cover a range of events.

Events can be extremely complex projects, which is why, over time, the role of event planners has taken on greater importance. The development of education, training programs, and professional designations such as CMPs (Certified Meeting Planners), CSEP (Certified Special Events Professional), and CMM (Certificate in Meeting Management) has led to increased credibility in this business and demonstrates the importance of the sector to the economy. Furthermore, there are a variety of event management certifications and diplomas offered in BC that enable future event and festival planners to gain specific skills and knowledge within the sector.

Various tasks involved in event planning include:

• Conceptualizing/theming
• Logistics and planning
• Human resource management
• Marketing and public relations
• Budgeting and financial management
• Sponsorship procurement
• Management and evaluation

But events aren’t just for leisure visitors. In fact, the tourism industry has a long history of creating, hosting, and promoting events that draw business travelers. The next section explores meetings, conventions, and incentive travel, also known as MCIT .

(As it relates to tourism) includes attending festivals, events, fairs, spectator sports, zoos, botanical gardens, historic sites, cultural venues, attractions, museums, and galleries.

Public event that features multiple activities in celebration of a culture, an anniversary or historical date, art form, or product (food, timber, etc.).

Organization that supports professionals who produce and support celebrations for the benefit of their respective communities.

A happening at a given place and time, usually of some importance, celebrating or commemorating a special occasion; can include mega-events, special events, hallmark events, festivals, and local community events.

All special events with programming aimed at a business audience.

Introduction to Tourism and Hospitality in BC - 2nd Edition Copyright © 2015, 2020, 2021 by Morgan Westcott and Wendy Anderson, Eds is licensed under a Creative Commons Attribution 4.0 International License , except where otherwise noted.

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Why events are so important to the hospitality industry

Events and conferences are a huge part of the hospitality industry, and are continuing to grow. Whether it be focused on music, sport, learning or luxury, events around the world are generating billions of revenue and changing the way businesses, hospitality organizations and resorts operate.

The growth of the events has been fuelled by a number of factors, not least the emergence of dedicated event listing, management and ticketing sites, such as Eventbrite .

The sector has also experienced major disruption, with non-traditional venues such as co-working spaces, bars and live webinars increasingly offering flexible hosting options.

Add to this the increasing shift in how people are choosing to experience their passions, learn and do business , and you begin to see why the events industry is rapidly expanding.

A booming industry

Meetings, conferences, events and exhibitions are a key driver of tourism destinations across the globe. In the USA, they generate almost one trillion dollars in direct, indirect and induced spending. In Europe, the event industry continues to grow steadily. In Asia, it is booming. As a result, tourist destinations around the world are realizing that events are a vital component in attracting holidaymakers. Without them, they are at risk at losing out.

Events are valuable to more industries than just tourism, however. In music, the company Live Nation has become the market leader. With a revenue of over $8.5 billion, Live Nation owns a range of leading businesses (including Ticketmaster), as well as some of the world’s most popular festivals.

GL Events , WPP and Reed Exhibitions are other examples of the key players in this industry. They actively look to expand, and boast hundreds of offices and thousands of employees. No matter the industry, events are becoming a vital part of their appeal, meaning the desire for employees with the right skills and knowledge is essential.

The importance of events

A company conference, a trade show, a product launch, a music festival, a sport event, a wedding, a fashion show – all of these are examples of business opportunities around which the industry is building its fortune.

Key players in the sport event sector, like the International Olympic Committee , UEFA and Formula One , are focusing more and more on customer service and VIP hospitality, increasing customer satisfaction, revenue and profitability. Conversely, resorts and destinations are creating new events or attracting ones they feel will bring in more revenue.

Gain the skills needed

The world of events needs professionals who have the skills and confidence to identify future opportunities and make events successful.

At Glion, our International Event Management specialization has been designed to provide you with a holistic experience, allowing you to explore the concepts, characteristics and management of local and international events in various locations. Our specialization breaks down the concept of an event, analyzes the motivations and expectations of today’s clients, and gives you the skills you’ll need to deliver successful event experiences.

Our staff, with many years of professional and academic experience, will inspire you to focus on what makes an event successful. Not least, the Glion Event Management Specialization lead, Giovanni Manfredini, who brings his vast experience of marketing, sales and events to the classroom.

“It is very interesting to make the contrast between hospitality and events. When you get to the mechanics of the events themselves, there are multiple approaches by which to organize them and make them successful. Events are very important drivers for the hospitality business” , Giovanni commented.

Learning such event management skills has helped our alumni successfully develop careers in a range of working environments. For example, Sara Verderio now works at luxury fashion company Zegna, Charlotte Grace Anthony is employed at Bespoke Event in London and Nektarios Makris is Vice-President of Business Development at SpotMe.

Glion’s International Event Management specialization is a perfect choice to acquire the skills and competences modern companies seek.

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Universal source of knowledge

What is the importance and role of entertainment to the tourism industry?

Table of Contents

• 1 What is the importance and role of entertainment to the tourism industry?
• 2 Why is entertainment important in hotels?
• 3 What is the role of tourism industry?
• 4 What is entertainment sector in tourism?
• 5 What are the roles and functions of Hospitality Corporation?

The entertainment activities of leisure tourists constitute a significant component of tourism experience. Their analysis is important since it allows tourism marketers to acquire insights and better understanding on tourists’ experience and satisfaction.

What is entertainment in the hospitality industry?

The hospitality and entertainment industry is a service-based super sector that provides recreational activities and offers accommodations to a large volume of patrons[1]. The activities within the industry are segmented into the “arts, entertainment, and recreation” and “accommodations and food services” industries.

What are the main functions of the hospitality industry?

• Customer Service. It’s one accomplishment to have a guest check-in.
• Supervising Maintenance. Any operation that caters to the general public is a liability.
• Coordinating Departmental Tasks.
• Food & Beverage.

Why is entertainment important in hotels?

Value of In-room Entertainment The hospitality industry has known for a long time why in-room entertainment is crucial for building customer loyalty. Hotels were early adopters of various types of in-room amenities, such as cable TV, on-demand movies, and high-speed internet.

How is tourism and hospitality different from other industries?

The difference between the tourism and hospitality industries is that former is a smaller industry that specifically focuses on traveling activities, whereas the latter is a larger industry that encompasses all businesses in which strong and meaningful customer relationships are required.

What are the types of entertainment?

Types of entertainment

• Amusement parks.
• Art exhibits.
• Trade shows.
• Traveling carnivals.
• Travelling exhibition.

What is the role of tourism industry?

Tourism boosts the revenue of the economy, creates thousands of jobs, develops the infrastructures of a country, and plants a sense of cultural exchange between foreigners and citizens. The number of jobs created by tourism in many different areas is significant.

What is the role of hospitality in the hotel industry?

Hotel industry serves as a provider of accommodation to tourists and travelers. Hospitality means to serve the people and reflect the consistent quality and excellence.

What is the role of hospitality and tourism in the economy?

The most important economic feature of activities related to the tourism sector is that they contribute to three high-priority goals of developing countries: the generation of income, employment, and foreign-exchange earnings.

What is entertainment sector in tourism?

Entertainment is a form of activities that take away people’s stress basically come from work or school and give them properly amusement to relax. In tourism industry, entertainment is a very important sector. Tourists would love to visit some specific places such as movie theaters, water park, Carnival and so on.

What makes up the entertainment industry?

The media and entertainment industry consists of film, television, radio and print. These segments include movies, TV shows, radio shows, news, music, newspapers, magazines, and books.

What is the role of enterentertainment in the hotel industry?

What are the roles and functions of Hospitality Corporation?

What is the role of the accommodation sector in hospitality?

What is the role of the food and beverage sector in hospitality?

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The futures of entertainment dependent cities in a post-COVID world

Journal of Tourism Futures

ISSN : 2055-5911

Article publication date: 6 May 2021

Issue publication date: 30 November 2021

The purpose of this study is to examine post-crisis (COVID) futures for major city destinations that are dependent on live entertainment and tourism. Destinations that live from entertainment and tourism must consider the implications of the pandemic and plan strategies for their future.

Design/methodology/approach

Based on the Manoa School of Future Studies, four scenarios were identified following a review of current literature. These scenarios (alternate futures) were then discussed in two videoconference focus groups by tourism marketing and entertainment expert professionals from five major North American entertainment cities.

Typical tourism responses to crises and disasters do not appear to apply to the current pandemic and entertainment-dependent destinations (EDDs) are not prepared to thrive in any of the potential outcomes.

Originality/value

This is the first study addressing the future of EDDs in a COVID world. This study cannot predict the future, but this study can make some forecasts. It is important for scholars and professionals to work together toward identifying what can be.

• Disaster management
• Destination marketing
• COVID-19 pandemic
• Entertainment tourism

Dubois, L.-E. and Dimanche, F. (2021), "The futures of entertainment dependent cities in a post-COVID world", Journal of Tourism Futures , Vol. 7 No. 3, pp. 364-376. https://doi.org/10.1108/JTF-11-2020-0208

Emerald Publishing Limited

Copyright © 2021, Louis-Etienne Dubois and Frederic Dimanche.

Published in Journal of Tourism Futures . Published by Emerald Publishing Limited. This article is published under the Creative Commons Attribution (CC BY 4.0) licence. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this licence may be seen at http://creativecommons.org/licences/by/4.0/legalcode

Introduction

Despite a few suspected cases in late 2019, the COVID-19 outbreak gained momentum in the early months of 2020. As cases rapidly began to spike, the World Health Organization declared a state of global pandemic in March of that year (WHO, 2020 ). A higher death rate than other known sources of flu, remarkably easy dissemination, unknown long-term effects and lack of available treatment all contributed to drastic government actions to curb the spread of the virus (Imbert, 2020 ).

While COVID-19-related closures were a rational move to contain the pandemic, prevailing standards in industries such as tourism and live entertainment are antithetical to social distancing. Strict restrictions have seriously impaired these industries’ business models and operations, leading many of them to the brink of bankruptcy (Zoltner et al. , 2020 ). The magnitude of these measures’ impact is especially salient to mono-industry destinations that rely heavily on the entertainment sector, many of whom just recovered from the 2008 economic crisis. As crowds become danger zones, the toll on cities such as Las Vegas, Macau and New Orleans but also on a smaller scale, vicinities such as Broadway (NYC) and London’s West End has been simply brutal (Kuznia, 2020 ).

Consistent with entertainment-tourism (Luo and Lam, 2017 ) and arts-related tourism (Hughes, 2013 ) research, we call “entertainment-dependent destinations” (EDDs) these locations whose vitality depends heavily on this single industry (Hughes, 2013 ) and posit that the combined impact of travel and mass-gathering restrictions because of COVID-19 amount to that of a disaster. As such, this article draws from the disaster management literature and examines possible post-pandemic strategies for EDDs. Industry experts’ responses to four alternate images of the future (Dator , 1998, 2019 ) often depart from existing disaster management strategies that appear limited in this particular instance. More importantly, it suggests that the lack of planning combined with the magnitude and nature of the damage incurred leaves EDDs ill-prepared for any of these futures. Theoretical implications and potential disaster management strategies for EDDs are also discussed.

Since the beginning of the COVID-19 pandemic, bans on mass gatherings have most directly impacted live entertainment and performing arts (Canada Council for the Arts, 2020 ; Kuznia, 2020 ). The compounded effect of closed venues and borders, as well as a public aversion for crowds, have resulted in anemic ticket sales, mass layoffs and permanent damage. Travel restrictions and public health guidelines have led to a slew of cancellations as performers were denied entry or forced to quarantine upon return. As a result, many live performance organizations chose to go dormant or bankrupt, thereby creating a ripple effect in the broader entertainment ecosystem (Hissong, 2020 ).

The fear is now that the pandemic’s broader socio-economic impacts are likely to prevent “business as usual” when venues and borders finally re-open. Between employees have moved on to other careers and a global economic depression with record unemployment in many countries (Bremmer, 2020 ), recovery is expected to be a slow, sluggish and non-linear process. In addition to heightened employment insecurity, lingering concerns may also be detrimental for future ticket-sales. Even with proper plans and measures, audiences ever returning is far from granted (Ricciardelli, 2020 ).

Concerts, musicals and magic shows and have long been core products in select entertainment destinations (Luo and Lam, 2017 ), who must now concurrently cope with a seriously hampered tourism industry. Indeed, According, an estimated 90% of the world’s population has been affected by travel restrictions, including border closures, strict quarantine measures and outright bans (Gössling et al. , 2020 ). Limited flights also mean empty hotels and restaurants at destinations. For the first half of 2020 alone, this translated into a US$440bn loss globally ( UNWTO, 2020 ).

Thus, in addition to the entertainment sector’s woes, cities such as Las Vegas have effectively been hit twice over by the crisis. Considering that 48% of visitors normally fly (GLS Research, 2018 ), COVID-19’s intertwined impacts have been unparalleled. Indeed, the unprecedented statewide closure of all “non-essential” businesses, including casinos, hotels and attractions is said to have put 320,000 jobs at risk and could push Nevada’s unemployment rate above 30% (Sayre, 2020 ). Thousands of Las Vegas residents have already lost their jobs following the ban on mass gatherings, pushing local unemployment rate toward 20% (Kirkpatrick and Lee, 2020 ). It is further estimated that each month the Nevada tourism industry is shut down, there are US$4.7bn in economic losses (Komenda, 2020 ). Similarly, Broadway, whose spectators are predominantly tourists, is expected to lose billions ($US), most of it being shouldered by nearby hotels, restaurants and shops (Whitten, 2020 ). Such figures are consistent with Macau’s entertainment scene dire situation during the 2008 economic crisis, which at the time accounted for roughly 90% of the city’s gross domestic product (Chan, 2011 ).

Theoretical background

Arguably, human-made crises, pandemics and natural disasters are common occurrences for the tourism industry and are to be expected. Regardless of the hazard’s predictability, all destinations stand to be impacted and to face negative effects to their economy, infrastructure and population ( Filimonau and De Coteau, 2020 ). As Faulkner (2001) explains, such situations are generally sudden and often induced by external, uncontrollable forces. However, between the Spanish Flu, the severe acute respiratory syndrome (SARS) and the H1N1 influenza, health scares are nothing new and have become almost “normalized” in the tourism community (Hall et al. , 2020 ). While pandemics remain difficult to predict, they might not always be considered as random and unavoidable either. In fact, a flu pandemic was seen as a “crisis waiting to happen” (Page et al. , 2010 ). Thus, in addition to conducting risk assessments and establishing robust contingency ahead of time, destinations should be ready to roll out rapid-response plans, as well as short- and long-term recovery actions when disasters occur (Faulkner, 2001 ).

Given that the present study is future-oriented and that the COVID-19 pandemic has already morphed in a prolonged, “sustained” crisis ( Parsons, 1996 ), research suggests that EDDs ought to focus on efforts to reduce and recover from the impact of the disaster, as well as on implementing measures to prevent future damages. This includes redeploying resources or generating new ones to address urgent needs and restore services, developing communication strategies and working alongside all parties to clean up, repair and reinvest (Faulkner and Vikulov, 2001 ; Ritchie, 2004 ).

Once routine has been re-established, destinations’ attention generally shifts to attempting to attract tourists and regain market shares. For instance, following the Arab Spring uprisings, marketers worked on influencing or replacing the sources that they believe spread negative information about the destination, convincing prospective visitors that some perceptions were not true and constantly reassuring these visitors (Avraham, 2015 ). Similar strategies were deployed in Asia or in New Orleans to combat stereotypes, repair destination image and bring back visitors following crises (Avraham and Ketter, 2017 ; Gotham, 2017 ). In regard to destinations affected by the refugee crisis, perceived security tends to become a stronger predictor for travel while also decreasing the relative importance of a place’s perceived openness (Zenker et al. , 2019 ). Thus, restoring confidence and providing reassurance is a key post-crisis action (Page et al. , 2006 ). This is typically best achieved through close coordination with local stakeholders who must pool resources to put out consistent and impactful communications ( Filimonau and De Coteau, 2020 ).

Destinations impacted by the disaster may also consider targeting unaffected market segments, rolling out aggressive recovery promotions and engaging industry personnel in communication efforts (Campiranon and Scott, 2014 ). Backer and Ritchie (2017) also suggest targeting the “visiting friends and relatives” segment after a crisis, as well as focusing on domestic or nearby travelers, much like the Niagara hoteliers did after the SARS crisis (Jayawardena et al. , 2008 ). However, such strategies come with limitations. For instance, while an influx of Asia and Oceania visitors and “word-of-mouth” from international travelers helped Las Vegas recover after the 2008 crisis (Lim and Won, 2020 ), the borders remained mostly open and the economy experienced a strong rebound.

A year into this pandemic, the situation is grim and the future remains unclear. Conflicting reports, tensions between sanitary, political or economic objectives, re-openings followed by shutdowns: when and how live entertainment and travel can resume, as well as the toll on destinations directly impacted by these industries is still very much unknown. For EDDs already coping with more immediate concerns, planning and rolling out recovery measures has become a very complex task.

Methodology

As the COVID-19 pandemic continues to unfold with no end in sight, exploring the disaster’s impacts and potential recovery strategies using a long-time horizon appears fitting. This research draws from the Manoa School of Future Studies framework, which entails using four generic futures – grow, collapse, discipline, transform – each representing plausible, possible images of things to come (Dator, 1998 , 2019 ). These alternate futures stem from a different set of assumptions regarding seven main driving forces, namely, technology, energy, economics, population, environment, culture and governance. As such, they are not just the work of fiction, but rather informed images.

Such scenarios have often been used by researchers (Page et al. , 2010 ; Postma, 2015 ; Yeoman, 2012 ; Yeoman and McMahon-Beattie, 2005 ), as well as by business and government planners to envision outcomes during uncertain times. We began by conducting a month-long secondary data collection phase on the impact of COVID-19 on the entertainment industry and tourism. From that material, four narratives (see below) were created, each articulating plausible, yet different future outcomes.

We then identified and contacted industry experts or powerful stakeholders (Loi and Pearce, 2012 ), to take part in focus groups to be held in a video-conference mode. Having between six and eight participants is typically sufficient (Krueger and Casey, 2000 ) for focus groups, and purposive sampling is recommended for studies when experts are called to provide relevant information (Morgan, 1988 ). Because the discussions were to happen online, groups were limited to five participants. This situation is also common when dealing with a small population of experts who are difficult to reach and when it is necessary for the topic to be discussed in groups. In this case, “researchers can only convene a small group of between two and five participants” (Nyumba et al. , 2018 , p. 24). In total, 15 experts were invited to participate. All held leadership positions in either the live entertainment business or at destination marketing organizations in five of the major EDDs in North America, namely, Austin, Las Vegas, Nashville, New Orleans and Toronto. Three declined and another three could not make themselves available, resulting in a final sample of nine experts.

The two 90-min group interviews were conducted online with the experts ( Table 1 ) who received the four scenarios to be discussed prior to their session and were tasked with highlighting disaster management implications and suggesting strategies for each of the futures. One of the researchers led the interviews while the other researcher and the research assistant captured the discussion. The questions probed for impacts and necessary adjustments, not on the likelihood of such outcomes.

Future #1: Show must go on

In this scenario, the pandemic merely turned out to be a blip in the overall upward progress of entertainment, tourism and of humanity in general, much like after the 9/11 attacks or the SARS outbreak. Despite governments’ varying degrees of success in flattening the spread curve, the development of a vaccine proved to be very effective in eradicating the virus and life mostly returned to normal in 2022. By then, administrations had already relaxed restriction measures, although it was not always advisable, as to not damage their economies further or hurt their re-election odds. EDDs continued to grow and thrive as they did for the past decades, further cementing their brands as welcoming locations for tourists seeking unique experiences and world-class entertainment.

Future #2: Lights-Out

In the future, the pandemic brought the end of entertainment as we knew it. The first COVID-19 outbreak was just the beginning; the virus fell into a pattern of mutation, waves and recurrence. Vaccines could not keep up with said mutations, and geopolitical tensions hindered worldwide distribution. Extended distress caused by the economic shock sent global outputs into a tailspin as production and distribution were disrupted, coupled with deep unemployment. Racism and xenophobia became rampant, much like throughout history when infectious diseases became linked with othering. Performing arts became the last of people’s priorities. The prolonged pandemic and border closures dealt a lethal blow to EDDs that relied on both audiences and performers traveling.

Future #3: Less is more

COVID-19 brought renewed attention on the other threats to earth’s habitability, and to the limits of current business models. Sustainability became a priority and the environmental footprint of many sectors, including tourism, was lowered immensely. Activists demanded changes and, through widespread boycott, drove reluctant companies out of business. Along with physical distancing rules, the environment-first mentality made large events, casinos and convention centers antiquated. EDDs, with their perceived artificial nature and meaningless contributions to society, struggled to re-invent themselves. While other futures imply that individuals were unable to travel because of restrictions, this one suggests that staying put actually became a conscious and preferred decision.

Future #4: Bigger is better

The pandemic proved to be a formidable incubator for technologies, creativity and social programs. Such innovations led to significant changes in how entertainment is produced and consumed, as well as to impressive growth and unprecedented demand. Entertainment organizations, and, in turn, EDDs, failed to anticipate not just a recovery, but an acceleration and an evolution in demand. New offerings emerged, catering to an increasingly demanding audience who had grown tired of at-home entertainment. The drop in energy prices further ignited the industry and made travel and touring cheaper. Productions became bigger and flashier, which, in turn, attracted more tourists to EDDs.

Surprisingly, all of the respondents expressed a keen sense of familiarity with each of the very different futures, while also pointing to important distinctions that make the COVID-19 pandemic unique, and consequently much more complicated to cope with using known post-crisis strategies.

Despite the magnitude and length of this disaster, respondents point to a feeling of déjà-vu. For instance, those from New Orleans vividly remember the destination’s remarkable resilience following hurricane Katrina, much like those in Toronto are quick to point out to the SARS episode as evidence that tourism and entertainment can indeed bounce back rapidly. It remains, however, that the COVID-19 pandemic is unique on many levels. As one respondent explains:

[…] what makes this time different is that with Katrina we were isolated. People from outside came to help us. Now everyone is affected, and so we can’t depend on other people to help with recovery (R1).

Thus, even if a sharp economic recovery came to be, respondents note that damages may hinder the reboot for EDDs. Specifically, venues being rendered inadequate, industry workers have moved on to careers in other sectors or lingering audience fears may all lead to a sluggish, if not failed restart.

Thus, respondents suggest that destinations will need to orchestrate public relations efforts as part of their strategy:

In the case of Katrina, workers didn’t even have a place to live anymore. We had to show the world the downtown area wasn’t as damaged as the news said it was. That is what we’re all going to do again. We have to show people what an attraction, restaurant, experience will be like so that people feel comfortable coming back (R2).

Others point that even such a proven strategy has limitations because those targeted by these communications are equally devastated this time around. The ability to resume operations is also believed to be contingent on the size and structure of the local entertainment ecosystems. For instance, while some in the hospitality industry have used this down time to conduct facility upgrades so that they could be ready when demand resumes, those in smaller markets may not have had the time or the resources to pull it together:

Austin was built organically, and in a semi-recent future. Because most businesses are small, on the margins, you’ll find this is a lot more fragile. It would take a lot more finesse to turn that switch back on (R6).

In this scenario, EDDs also expect to face stiff competition as concerts and travel are set to resume all around the same time. This implies that destinations will likely have to spend more on marketing and sanitation measures to reassure prospective guests, as well as to capture their attention. Overcoming people’s hesitation and persistent skepticism will come at a cost, which, again, not every destination may be equally able to afford. Respecting behavioral changes and audience sensitivities will also include rethinking spaces, reducing capacity for venues and hotels, sanitization protocols and replacing traditional touchpoints. Respondents believe that such measures are bound to remain in place for a while and ultimately be used as a marketing tool by many destinations. Indeed, communication strategies about being “healthier than they are” may well become the next tourism arms race for EDDs equally desperate to recoup lost revenues and regain their market shares.

While respondents admittedly struggled to devise potential recovery strategies for EDDs to thrive in such a devastated future, imagining it coming to be was not as hard. In fact, according to a respondent from the Las Vegas entertainment sector, collapse is what they are dealing with now. According to another one: we were already dealing with those problems before the pandemic too: affordability, artists struggling, venues closing. Its an ongoing challenge to maintain this fragile ecosystem (R4). Unsustainable business models, lack of investments in capacity building, evolving competition; some respondents believed that the writing was already on the wall before the current pandemic.

In terms of disaster management strategies in a collapsed ecosystem, one respondent mentioned that the implementation of strict travel “corridors” or “sister cities” partnerships could help bolster economic activity between a few communities deemed safe. As such, in addition to favoring domestic, mainly drive markets, EDDs could establish safe corridors and promote to select markets. In any case, communication efforts and marketing would likely target very different audiences. Gone would be the all-important convention business because of travel and entertainment restrictions, replaced instead by some risk-takers and bargain-hunters looking for cheap thrills and hotel rates.

On the bright side, big convention hotels often located in desirable areas could be repurposed, likely into apartment complexes, hence solving housing problems in many of those popular destinations. Further, because of enviable geographic locations, some EDDs could expect to maintain some level of activity: in Nashville, we have the distinct geographic advantage of being able to market to a 360 radius. We also have significant metropolitan areas within 2 to 4 h drive (R5). Yet, even those destinations could do little to counter the fear of others and an overall lack of appetite for gatherings. It is also believed that urban agglomerations would resist longer because of the size of their local market, whereas secluded areas would be hit the hardest by prolonged travel restrictions.

Interestingly, respondents believe that not everyone would end up complying with strict restrictions and that some form of entertainment would remain, albeit in a more clandestine way. In fact, these kinds of “underground” performances are said to be already taking place, be it in house parties or other private settings. The same goes for travel, where EDDs have been seeing a lot of illegal workarounds. As one respondent explains:

[…] people know too well that if you drive from Florida, avoid highways, you can skip checkpoints and get to Louisiana. People will get around it one way or another. Saying you can’t cross state lines is like saying you can only pee in this part of the pool. Sooner or later, it is bound to leak and infiltrate (R1).

With that being said, clandestine performances and a depressed economy are unlikely to generate disposable income or tax revenues. In fact, it would further play against “struggling artists” who depend on those hospitality jobs to survive. Given EDDs’ reliance on hotel taxes and tourism revenues, services to the population would be greatly affected, raising further concerns on their real and perceived safety, desirability and image.

Most respondents agree that the seeds of a more disciplined world were planted long before the pandemic and were already beginning to change the face of tourism and entertainment. While COVID-19 has encouraged EDDs to be even more mindful and to envision a more restrained approach to growth, talks of a sustainable, environmentally-friendly future predate the crisis.

Implications for such a future are plentiful. For one, respondents believe that entertainment organizations and artists will inevitably have to streamline, if not completely strip down their productions and to go back to much simpler offerings. Shows that are more “raw”, environmentally optimized routes, priority given to the local sourcing of equipment and talent; in a way, this is seen as a welcome departure from computerized voices, glitz and overly large productions that travel with two complete sets of rigs. More sustainable models, such as Branson, Missouri, where artists set up camp and perform outdoor for a few days, could even become the norm. From a financial standpoint, only by reducing these costs can entertainment companies survive with limited audiences. EDDs, however, with high fixed costs and overly large infrastructures to support would likely struggle.

EDDs such as New Orleans that have developed a reputation about local culture, as well as authentic and smaller productions, are more likely to thrive. Likewise, destinations such as Austin with plenty of outdoor venue options are also expected to have an easier time, pushing other EDDs to invest in this type of infrastructure. Yet, this model comes with important limitations. For instance, the weather may not allow for year-round activities, nor may the local population be large enough or interested enough to sustain a sector in which people chose to stay put by choice or because of deterring prices. As one respondent explains, we are not into the Beyoncé type of entertainment. Problem is, the people who are interested in authentic New Orleans music are people who visit the city, not people who live here (R1). The changing nature of work, and what it means for the all-important convention business, is also likely to further impact EDDs’ recovery strategies. Specifically, with more people working from home or from anywhere, some respondents believe that entertainment producers are likely to turn to the countryside and other niche destinations. As one explains, local circus, theatre companies can make a short trek to rural or resort areas, with 2 performers instead of 76 (R8). If this scenario occurs, most respondents admit that finding a new positioning for large EDDs will prove complicated, for convention business can hardly exist without live performance.

A scenario in which demand not only resumes, but explodes, is paradoxically both easy and challenging to imagine for the respondents. Easy, because some of them were already experiencing steep growth before COVID-19 and projecting themselves into a world with more demand and bigger productions feels quite familiar. Yet, challenging for most, as the current situation seems so dire that any talks of growth, let alone of exponential nature, seem frivolous. One strategy that generates consensus is to further develop infrastructure and capacity to meet such pent-up demand. As one respondent explains:

It would take a decade just to secure the workforce to handle this growth. It would also take 10 years for airlines to become stronger, develop routes and airports to be able to move such a volume of people (R5).

The stress on the hospitality sector would be significant, especially given that hotels have had to let go a significant number of workers and would not be able to resume operations at a normal level. The entertainment industry finds itself in a similar situation, in which many employees have moved from their previous employer after being laid off, effectively impacting their post-COVID capacity. Furthermore, because most productions and live performance artists need months to develop, rehearse and set up for opening nights, the fact that entertainment companies have been stalled for months precludes business growth for some time.

Likewise, respondents remain wary of potential overtourism, especially, as a lot of them were already nearing that critical stage prior to the pandemic and beginning to experience some of the associated tensions:

Too much of a good thing is possible. We were at that tipping point. We were wondering if the city could manage growth better. How can we spread it out so there’s more people in other areas? It’s a concern, a real issue globally (R6).

Among the possible ways to mitigate a growing influx of entertainment tourists, respondents mentioned working with authorities to regulate licenses for productions but also where and when they are allowed to roll into town. It also involves planning for additional police presence to avoid further exacerbating tensions with locals by trying to push tourists out of the entertainment quarters: after Vegas, let’s encourage them to visit Bryce Canyon. We would need to grow outward. Not just the destination, but surrounding ones too (R8).

Finally, respondents expect large entertainment companies to call all the shots and to only target a few suitable destinations for their productions. In fact, this trend was also being felt before COVID, as per this respondent:

Live Nation and AEG (large entertainment companies) were buying everything and tipping bargaining power in their favor. I don’t think that’s all good, because small destinations can’t compete unless they step up capacity and accommodate them. These companies have to stop, or they risk destroying smaller ecosystems (R7).

In the end, only destinations with suitable capacity or with an ability to scale up are expected to be able to work with these new entertainment giants.

The recovery strategies put forth by the participants draw at times from the disaster management literature, yet also suggest new directions to account for both the magnitude and unique nature of the COVID-19 pandemic. There are very few examples, if any, of times like these where every destination gets impacted at the same time. Thus, unlike other more circumscribed disasters, EDDs cannot expect the same level of external assistance for immediate and long-term recovery. It is not only that tourists and performers cannot reach the destination because it has incurred damage but also that they are unlikely to be able or willing to leave in the first place. The results also point to both new opportunities by drawing attention to market segments prepared to go outside of rules and restrictions, as well as new challenges such as shifting power dynamics between stakeholders. Likewise, typical post-disaster outreach and promotional efforts were seldom imagined to be competing with every other tourism destination also returning to normalcy once the pandemic finally ends, nor to compensate for several months’ worth of negative media coverage. In addition, that does not even factor other pre-existing issues or concurrent, convergent crises of social and political nature that most of these North American cities are dealing with. In short, COVID-19 has proven to be a perfect storm for EDDs, and the actions required to recover from it will need to be equally perfect.

Consistent with the literature, EDDs seem prepared to maintain some of the current measures and to actively communicate on them, including social distancing and sanitization, to project an image of safety and reassure prospective travelers. Likewise, many EDDs appear poised to begin by rolling out promotional campaigns and reboot strategies aimed at local markets, in line with “visiting friends and relatives” initiatives (Backer and Ritchie, 2017 ). However, the results show that geographic considerations can be at times an advantage, at times a disadvantage. EDDs that are centrally located within a densely populated radius are bound to have an easier time catering to the drive market, whereas those in coastal areas find themselves with a smaller pool of potential visitors. Geography also comes into play when contemplating outdoor venues as the EDDs’ latitude is likely to determine the range of options and the seasonality of the entertainment offerings. In addition, it has been argued that local populations may not be as interested in local offerings. The idea of working with twin “safe” cities seemed very interesting and could lead to novel marketing strategies.

Capacity and infrastructure considerations also appear central to the respondents’ strategies. The results show that even in an optimistic scenario, EDDs have experienced – and continue to do so – damage and may not be able to resume operations at full capacity, be it because of personnel attrition or infrastructure being rendered inadequate for new safety requirements. Thus, in this particular instance, the “refurbishing infrastructure” effort (Faulkner, 2001 ) is related to both replenishing human resources and remodeling spaces, as opposed to actual construction or rebuilding. In some cases, it may even include having to deal with excess infrastructure, at times by using it to address pressing local needs. Instances of hotels being used as senior homes or as shelters for the homeless (Labbé, 2020 ) or as remote working spaces (Caillou, 2020 ) suggest that this capacity is already in the process of being relocated toward the local. While venues and hotels have been used in the past as temporary shelters in times of crisis – the New Orleans Superdome during and following hurricane Katrina being a vivid example – a more permanent shift may end up significantly reshaping EDDs.

It is also worth noting how the four futures touched to ongoing or growing concerns among EDDs, which are going to command attention regardless of the pandemic’s outcome. Here again, the existing literature does not always account for destinations’ pre-existing issues and how they are exacerbated or further manifested during disasters. For instance, there appears to be a general unpreparedness or lack of solutions to overtourism and gentrification that either pushes out or prices out locals from entertainment areas, to changes in audiences and tourists’ sensitivities in terms of content and experiences or to shifting power dynamics in the entertainment industry. While the pandemic has furthered exposed these issues, the general consensus among respondents is that simply going back to “normal” is not nearly enough. Perhaps, as Faulkner (2001) argues, this latest disaster will act as a pivotal moment in the development of these EDDs. While it is still too early to say if any of the calls – for more inclusion, more sustainability, etc. – are going to be answered (Hall et al. , 2020 ), certain types of EDDs seem like a better fit for specific outcomes. Specifically, smaller, more “authentic” EDDs appear better equipped to deal with “collapse” and “discipline” futures, while larger, more commercial EDDs should hope for “continued growth” and “transformation” futures.

Implications and conclusion

This study provides EDDs with recovery strategies through an exploration of alternate futures. It also shows the limits of existing models that unfold along discrete stages (Faulkner, 2001 ; Roberts, 1994 ) and generally fails to account for this kind of iterative and all-compassing disasters. From a theoretical standpoint, this calls for the development of disaster management frameworks that are more fluid and compatible with sustained, multi-location and multi-episode disasters.

What happens next remains unpredictable. Butler (2009 , p. 351) once suggested that it “would be unwise to imagine that tourism is going to decline sharply or even significantly in the short-term future” and that it would take “a combination of events or combined government and global action to halt the continued growth of tourism.” Yet, this is exactly what happened: As a result of a pandemic, governments around the world took drastic measures, which, while saving lives, have also resulted in dire economic and social consequences. The depth and length of the current economic downturn is likely to be the key factor shaping the future of tourism and EDDs (Hall et al. , 2020 ). Leadership and direction is hard to come by as the three faces of entertainment – the power brokers, the performers and the audience (Pearce, 2008 , p. 127) – have all been dramatically affected and appear limited in their ability to tackle the situation even in a concerted way. Likewise, EDDs’ tourism stakeholders can only wait on others to lift these restrictions on movement and consumption.

What we do know, however, is that EDDs should continue to implement recovery measures while also preparing for similar reoccurrences and for a range of potential future outcomes. In one way or another, these destinations are going to have to deal with people, infrastructure and communication issues, all of which are bound to converge with concerns from locals over unbridled tourism, sustainability and societal issues, as well as intense competition from potentially every other destination out there. We also note that none of the respondents alluded to counseling or economic diversification as part of their recovery strategies. While the latter can potentially be avoided until the subsequent post-crisis stage, the former can hardly wait and should not be overlooked.

Finally, while certain EDDs appeared better prepared to deal with a given outcome based on their characteristics and development strategy to date, it remains that no destination will come out of the pandemic unchanged. Whatever the “new normal” looks like, EDDs will inevitably have to borrow strategies from each of the four alternate futures. As such, this pandemic should act as a reminder, albeit painful, of the importance for destinations to plan even for seemingly extreme contingencies and to grow resilient in case no one can come to the rescue or at least not soon or for long enough.

List of group-discussion expert participants

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Further reading

Kwon , Y. , Lim , J. and Kim , E. ( 2020 ), “ Diversifying visitor demand and its impact on Las Vegas's tourism industry during recovery from the great recession ”, Regional Science Policy & Practice , Vol. 12 No. 2 , pp. 249 - 266 , doi: 10.1111/rsp3.12216 .

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Rendon , F. ( 2020 ), “ Petition leads to formation of live events coalition to lobby for production, event professionals ”, Pollstar , 20 March , available at: www.pollstar.com/article/petition-leads-to-formation-of-live-events-coalition-to-lobby-for-production-event-professionals-144003

Acknowledgements

The authors wish to acknowledge Isabella Sieira-Dovali, Alysha Pacheco, Mathieu Landy, Jiu Yang and Dr Jim Dator for their input in generating the four futures.

Corresponding author

About the authors.

Louis-Etienne Dubois is based at the School of Creative Industries, Ryerson University, Toronto, Canada. He is an Associate Professor at Ryerson University’s School of Creative Industries and an Associate Researcher at MINES ParisTech’s Center de Gestion Scientifique and director of the Future of Live Entertainment lab. He holds a PhD from HEC Montréal and from MINES ParisTech.

Frederic Dimanche is based at the Ted Rogers School of Hospitality and Tourism Management, Ryerson University, Toronto, Canada. He is the Director of Ted Rogers School of Hospitality and Tourism Management. He obtained his PhD from the University of Oregon and then worked as a Professor in the School of Hotel Restaurant and Tourism Administration at the University of New Orleans.

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3 Reasons Live Entertainment is so Important to the Tourism Industry

The tourism industry (namely resorts, cruise lines and amusement parks) seek to provide memorable experiences for their clients. These businesses aim to provide high quality luxuries that their patrons cannot find on a daily basis in their daily lives. And vacationers are looking for the same things when they're booking these trips.

If people wanted to stay home, not spend money, travel or be pampered, then they would take a "stay-cation." But they don't.

Live entertainment can be a major draw to vacationers, and a large factor in which resort, cruise line or amusement park they choose.

Keep them entertained and keep them happy.

RECOGNITION.

Norwegian Cruise Line just celebrated its 50th year in business in 2016, and although they've seen many successes and failures since launching, the company continues to pave the way for the cruise line industry in many ways (check out this article by the Associated Press; Norwegian Cruise Line Looks Back at 50 Years of Innovation and Challenges ).

Anyway, innovation equals recognition in any field. Since people are always seeking what's new, popular and cutting edge, why not give them live entertainment that is new, popular and cutting edge. Again, this will lead to resorts, cruise lines and amusement parks being sought after specifically for their innovative entertainment. And thus brings media attention and recognition.

The Disney company is another great example. We all know Disney does tourism entertainment well. It dominates when it comes to entertainment in general, and then pair it up with resorts within their amusement parks in popular and tropical locations, and you have yourself a successful travel destination. Not to mention their lavish four-ship fleet, all of which are dripping in Disney entertainment.

One of the major Broadway producing moguls, Ken Davenport, put it wonderfully when he included this in his email blast on April 18, 2017; "Hey . . . just wanted to let you know that the Broadway grosses are up. And I don't mean that they were just posted. I mean they are up. Way up."

If Broadway is selling out seats and bringing well-earned audience members into the theatre, then the rest of the world should feel a little boost in performance art as well.

This, coupled with a growing investment in travel and tourism, is safe to project a healthy interest in theatre while abroad, or tourism entertainment, in the coming years.

According to a chart called Contribution of Travel and Tourism to World GDP published by the World Travel & Tourism Council in 2014, the tourist economy was already on a slow incline from a little under $6 billion in 2004 to almost $7 billion in 2014. The chart expects the GDP to rise to approximately $11 billion by 2024.

Check out an interesting article from Market Realist on this topic, here .

All of this illustrates why an investment in pioneering tourism entertainment is incredibly important to the hospitality entertainment sectors, like cruise lines, resorts and amusement parks.

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The future of tourism: Bridging the labor gap, enhancing customer experience

As travel resumes and builds momentum, it’s becoming clear that tourism is resilient—there is an enduring desire to travel. Against all odds, international tourism rebounded in 2022: visitor numbers to Europe and the Middle East climbed to around 80 percent of 2019 levels, and the Americas recovered about 65 percent of prepandemic visitors 1 “Tourism set to return to pre-pandemic levels in some regions in 2023,” United Nations World Tourism Organization (UNWTO), January 17, 2023. —a number made more significant because it was reached without travelers from China, which had the world’s largest outbound travel market before the pandemic. 2 “ Outlook for China tourism 2023: Light at the end of the tunnel ,” McKinsey, May 9, 2023.

Recovery and growth are likely to continue. According to estimates from the World Tourism Organization (UNWTO) for 2023, international tourist arrivals could reach 80 to 95 percent of prepandemic levels depending on the extent of the economic slowdown, travel recovery in Asia–Pacific, and geopolitical tensions, among other factors. 3 “Tourism set to return to pre-pandemic levels in some regions in 2023,” United Nations World Tourism Organization (UNWTO), January 17, 2023. Similarly, the World Travel & Tourism Council (WTTC) forecasts that by the end of 2023, nearly half of the 185 countries in which the organization conducts research will have either recovered to prepandemic levels or be within 95 percent of full recovery. 4 “Global travel and tourism catapults into 2023 says WTTC,” World Travel & Tourism Council (WTTC), April 26, 2023.

Longer-term forecasts also point to optimism for the decade ahead. Travel and tourism GDP is predicted to grow, on average, at 5.8 percent a year between 2022 and 2032, outpacing the growth of the overall economy at an expected 2.7 percent a year. 5 Travel & Tourism economic impact 2022 , WTTC, August 2022.

So, is it all systems go for travel and tourism? Not really. The industry continues to face a prolonged and widespread labor shortage. After losing 62 million travel and tourism jobs in 2020, labor supply and demand remain out of balance. 6 “WTTC research reveals Travel & Tourism’s slow recovery is hitting jobs and growth worldwide,” World Travel & Tourism Council, October 6, 2021. Today, in the European Union, 11 percent of tourism jobs are likely to go unfilled; in the United States, that figure is 7 percent. 7 Travel & Tourism economic impact 2022 : Staff shortages, WTTC, August 2022.

There has been an exodus of tourism staff, particularly from customer-facing roles, to other sectors, and there is no sign that the industry will be able to bring all these people back. 8 Travel & Tourism economic impact 2022 : Staff shortages, WTTC, August 2022. Hotels, restaurants, cruises, airports, and airlines face staff shortages that can translate into operational, reputational, and financial difficulties. If unaddressed, these shortages may constrain the industry’s growth trajectory.

The current labor shortage may have its roots in factors related to the nature of work in the industry. Chronic workplace challenges, coupled with the effects of COVID-19, have culminated in an industry struggling to rebuild its workforce. Generally, tourism-related jobs are largely informal, partly due to high seasonality and weak regulation. And conditions such as excessively long working hours, low wages, a high turnover rate, and a lack of social protection tend to be most pronounced in an informal economy. Additionally, shift work, night work, and temporary or part-time employment are common in tourism.

The industry may need to revisit some fundamentals to build a far more sustainable future: either make the industry more attractive to talent (and put conditions in place to retain staff for longer periods) or improve products, services, and processes so that they complement existing staffing needs or solve existing pain points.

One solution could be to build a workforce with the mix of digital and interpersonal skills needed to keep up with travelers’ fast-changing requirements. The industry could make the most of available technology to provide customers with a digitally enhanced experience, resolve staff shortages, and improve working conditions.

Would you like to learn more about our Travel, Logistics & Infrastructure Practice ?

Complementing concierges with chatbots.

The pace of technological change has redefined customer expectations. Technology-driven services are often at customers’ fingertips, with no queues or waiting times. By contrast, the airport and airline disruption widely reported in the press over the summer of 2022 points to customers not receiving this same level of digital innovation when traveling.

Imagine the following travel experience: it’s 2035 and you start your long-awaited honeymoon to a tropical island. A virtual tour operator and a destination travel specialist booked your trip for you; you connected via videoconference to make your plans. Your itinerary was chosen with the support of generative AI , which analyzed your preferences, recommended personalized travel packages, and made real-time adjustments based on your feedback.

Before leaving home, you check in online and QR code your luggage. You travel to the airport by self-driving cab. After dropping off your luggage at the self-service counter, you pass through security and the biometric check. You access the premier lounge with the QR code on the airline’s loyalty card and help yourself to a glass of wine and a sandwich. After your flight, a prebooked, self-driving cab takes you to the resort. No need to check in—that was completed online ahead of time (including picking your room and making sure that the hotel’s virtual concierge arranged for red roses and a bottle of champagne to be delivered).

While your luggage is brought to the room by a baggage robot, your personal digital concierge presents the honeymoon itinerary with all the requested bookings. For the romantic dinner on the first night, you order your food via the restaurant app on the table and settle the bill likewise. So far, you’ve had very little human interaction. But at dinner, the sommelier chats with you in person about the wine. The next day, your sightseeing is made easier by the hotel app and digital guide—and you don’t get lost! With the aid of holographic technology, the virtual tour guide brings historical figures to life and takes your sightseeing experience to a whole new level. Then, as arranged, a local citizen meets you and takes you to their home to enjoy a local family dinner. The trip is seamless, there are no holdups or snags.

This scenario features less human interaction than a traditional trip—but it flows smoothly due to the underlying technology. The human interactions that do take place are authentic, meaningful, and add a special touch to the experience. This may be a far-fetched example, but the essence of the scenario is clear: use technology to ease typical travel pain points such as queues, misunderstandings, or misinformation, and elevate the quality of human interaction.

Travel with less human interaction may be considered a disruptive idea, as many travelers rely on and enjoy the human connection, the “service with a smile.” This will always be the case, but perhaps the time is right to think about bringing a digital experience into the mix. The industry may not need to depend exclusively on human beings to serve its customers. Perhaps the future of travel is physical, but digitally enhanced (and with a smile!).

Digital solutions are on the rise and can help bridge the labor gap

Digital innovation is improving customer experience across multiple industries. Car-sharing apps have overcome service-counter waiting times and endless paperwork that travelers traditionally had to cope with when renting a car. The same applies to time-consuming hotel check-in, check-out, and payment processes that can annoy weary customers. These pain points can be removed. For instance, in China, the Huazhu Hotels Group installed self-check-in kiosks that enable guests to check in or out in under 30 seconds. 9 “Huazhu Group targets lifestyle market opportunities,” ChinaTravelNews, May 27, 2021.

Technology meets hospitality

In 2019, Alibaba opened its FlyZoo Hotel in Huangzhou, described as a “290-room ultra-modern boutique, where technology meets hospitality.” 1 “Chinese e-commerce giant Alibaba has a hotel run almost entirely by robots that can serve food and fetch toiletries—take a look inside,” Business Insider, October 21, 2019; “FlyZoo Hotel: The hotel of the future or just more technology hype?,” Hotel Technology News, March 2019. The hotel was the first of its kind that instead of relying on traditional check-in and key card processes, allowed guests to manage reservations and make payments entirely from a mobile app, to check-in using self-service kiosks, and enter their rooms using facial-recognition technology.

The hotel is run almost entirely by robots that serve food and fetch toiletries and other sundries as needed. Each guest room has a voice-activated smart assistant to help guests with a variety of tasks, from adjusting the temperature, lights, curtains, and the TV to playing music and answering simple questions about the hotel and surroundings.

The hotel was developed by the company’s online travel platform, Fliggy, in tandem with Alibaba’s AI Labs and Alibaba Cloud technology with the goal of “leveraging cutting-edge tech to help transform the hospitality industry, one that keeps the sector current with the digital era we’re living in,” according to the company.

Adoption of some digitally enhanced services was accelerated during the pandemic in the quest for safer, contactless solutions. During the Winter Olympics in Beijing, a restaurant designed to keep physical contact to a minimum used a track system on the ceiling to deliver meals directly from the kitchen to the table. 10 “This Beijing Winter Games restaurant uses ceiling-based tracks,” Trendhunter, January 26, 2022. Customers around the world have become familiar with restaurants using apps to display menus, take orders, and accept payment, as well as hotels using robots to deliver luggage and room service (see sidebar “Technology meets hospitality”). Similarly, theme parks, cinemas, stadiums, and concert halls are deploying digital solutions such as facial recognition to optimize entrance control. Shanghai Disneyland, for example, offers annual pass holders the option to choose facial recognition to facilitate park entry. 11 “Facial recognition park entry,” Shanghai Disney Resort website.

Automation and digitization can also free up staff from attending to repetitive functions that could be handled more efficiently via an app and instead reserve the human touch for roles where staff can add the most value. For instance, technology can help customer-facing staff to provide a more personalized service. By accessing data analytics, frontline staff can have guests’ details and preferences at their fingertips. A trainee can become an experienced concierge in a short time, with the help of technology.

Apps and in-room tech: Unused market potential

According to Skift Research calculations, total revenue generated by guest apps and in-room technology in 2019 was approximately $293 million, including proprietary apps by hotel brands as well as third-party vendors. 1 “Hotel tech benchmark: Guest-facing technology 2022,” Skift Research, November 2022. The relatively low market penetration rate of this kind of tech points to around $2.4 billion in untapped revenue potential (exhibit).

Even though guest-facing technology is available—the kind that can facilitate contactless interactions and offer travelers convenience and personalized service—the industry is only beginning to explore its potential. A report by Skift Research shows that the hotel industry, in particular, has not tapped into tech’s potential. Only 11 percent of hotels and 25 percent of hotel rooms worldwide are supported by a hotel app or use in-room technology, and only 3 percent of hotels offer keyless entry. 12 “Hotel tech benchmark: Guest-facing technology 2022,” Skift Research, November 2022. Of the five types of technology examined (guest apps and in-room tech; virtual concierge; guest messaging and chatbots; digital check-in and kiosks; and keyless entry), all have relatively low market-penetration rates (see sidebar “Apps and in-room tech: Unused market potential”).

While apps, digitization, and new technology may be the answer to offering better customer experience, there is also the possibility that tourism may face competition from technological advances, particularly virtual experiences. Museums, attractions, and historical sites can be made interactive and, in some cases, more lifelike, through AR/VR technology that can enhance the physical travel experience by reconstructing historical places or events.

Up until now, tourism, arguably, was one of a few sectors that could not easily be replaced by tech. It was not possible to replicate the physical experience of traveling to another place. With the emerging metaverse , this might change. Travelers could potentially enjoy an event or experience from their sofa without any logistical snags, and without the commitment to traveling to another country for any length of time. For example, Google offers virtual tours of the Pyramids of Meroë in Sudan via an immersive online experience available in a range of languages. 13 Mariam Khaled Dabboussi, “Step into the Meroë pyramids with Google,” Google, May 17, 2022. And a crypto banking group, The BCB Group, has created a metaverse city that includes representations of some of the most visited destinations in the world, such as the Great Wall of China and the Statue of Liberty. According to BCB, the total cost of flights, transfers, and entry for all these landmarks would come to $7,600—while a virtual trip would cost just over $2. 14 “What impact can the Metaverse have on the travel industry?,” Middle East Economy, July 29, 2022.

The metaverse holds potential for business travel, too—the meeting, incentives, conferences, and exhibitions (MICE) sector in particular. Participants could take part in activities in the same immersive space while connecting from anywhere, dramatically reducing travel, venue, catering, and other costs. 15 “ Tourism in the metaverse: Can travel go virtual? ,” McKinsey, May 4, 2023.

The allure and convenience of such digital experiences make offering seamless, customer-centric travel and tourism in the real world all the more pressing.

Three innovations to solve hotel staffing shortages

Is the future contactless.

Given the advances in technology, and the many digital innovations and applications that already exist, there is potential for businesses across the travel and tourism spectrum to cope with labor shortages while improving customer experience. Process automation and digitization can also add to process efficiency. Taken together, a combination of outsourcing, remote work, and digital solutions can help to retain existing staff and reduce dependency on roles that employers are struggling to fill (exhibit).

Depending on the customer service approach and direct contact need, we estimate that the travel and tourism industry would be able to cope with a structural labor shortage of around 10 to 15 percent in the long run by operating more flexibly and increasing digital and automated efficiency—while offering the remaining staff an improved total work package.

Outsourcing and remote work could also help resolve the labor shortage

While COVID-19 pushed organizations in a wide variety of sectors to embrace remote work, there are many hospitality roles that rely on direct physical services that cannot be performed remotely, such as laundry, cleaning, maintenance, and facility management. If faced with staff shortages, these roles could be outsourced to third-party professional service providers, and existing staff could be reskilled to take up new positions.

In McKinsey’s experience, the total service cost of this type of work in a typical hotel can make up 10 percent of total operating costs. Most often, these roles are not guest facing. A professional and digital-based solution might become an integrated part of a third-party service for hotels looking to outsource this type of work.

One of the lessons learned in the aftermath of COVID-19 is that many tourism employees moved to similar positions in other sectors because they were disillusioned by working conditions in the industry . Specialist multisector companies have been able to shuffle their staff away from tourism to other sectors that offer steady employment or more regular working hours compared with the long hours and seasonal nature of work in tourism.

The remaining travel and tourism staff may be looking for more flexibility or the option to work from home. This can be an effective solution for retaining employees. For example, a travel agent with specific destination expertise could work from home or be consulted on an needs basis.

In instances where remote work or outsourcing is not viable, there are other solutions that the hospitality industry can explore to improve operational effectiveness as well as employee satisfaction. A more agile staffing model  can better match available labor with peaks and troughs in daily, or even hourly, demand. This could involve combining similar roles or cross-training staff so that they can switch roles. Redesigned roles could potentially improve employee satisfaction by empowering staff to explore new career paths within the hotel’s operations. Combined roles build skills across disciplines—for example, supporting a housekeeper to train and become proficient in other maintenance areas, or a front-desk associate to build managerial skills.

Where management or ownership is shared across properties, roles could be staffed to cover a network of sites, rather than individual hotels. By applying a combination of these approaches, hotels could reduce the number of staff hours needed to keep operations running at the same standard. 16 “ Three innovations to solve hotel staffing shortages ,” McKinsey, April 3, 2023.

Taken together, operational adjustments combined with greater use of technology could provide the tourism industry with a way of overcoming staffing challenges and giving customers the seamless digitally enhanced experiences they expect in other aspects of daily life.

In an industry facing a labor shortage, there are opportunities for tech innovations that can help travel and tourism businesses do more with less, while ensuring that remaining staff are engaged and motivated to stay in the industry. For travelers, this could mean fewer friendly faces, but more meaningful experiences and interactions.

Urs Binggeli is a senior expert in McKinsey’s Zurich office, Zi Chen is a capabilities and insights specialist in the Shanghai office, Steffen Köpke is a capabilities and insights expert in the Düsseldorf office, and Jackey Yu is a partner in the Hong Kong office.

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Tourism’s Importance for Growth Highlighted in World Economic Outlook Report

• All Regions
• 10 Nov 2023

Tourism has again been identified as a key driver of economic recovery and growth in a new report by the International Monetary Fund (IMF). With UNWTO data pointing to a return to 95% of pre-pandemic tourist numbers by the end of the year in the best case scenario, the IMF report outlines the positive impact the sector’s rapid recovery will have on certain economies worldwide.

According to the World Economic Outlook (WEO) Report , the global economy will grow an estimated 3.0% in 2023 and 2.9% in 2024. While this is higher than previous forecasts, it is nevertheless below the 3.5% rate of growth recorded in 2022, pointing to the continued impacts of the pandemic and Russia's invasion of Ukraine, and from the cost-of-living crisis.

Tourism key sector for growth

The WEO report analyses economic growth in every global region, connecting performance with key sectors, including tourism. Notably, those economies with "large travel and tourism sectors" show strong economic resilience and robust levels of economic activity. More specifically, countries where tourism represents a high percentage of GDP   have recorded faster recovery from the impacts of the pandemic in comparison to economies where tourism is not a significant sector.

As the report Foreword notes: "Strong demand for services has supported service-oriented economies—including important tourism destinations such as France and Spain".

Looking Ahead

The latest outlook from the IMF comes on the back of UNWTO's most recent analysis of the prospects for tourism, at the global and regional levels. Pending the release of the November 2023 World Tourism Barometer , international tourism is on track to reach 80% to 95% of pre-pandemic levels in 2023. Prospects for September-December 2023 point to continued recovery, driven by the still pent-up demand and increased air connectivity particularly in Asia and the Pacific where recovery is still subdued.

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• UNWTO World Tourism Barometer
• IMF World Economic Outlook

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The Role and Importance of Events in Tourism Industry: case study Baku 2015 European Games by Elvina Salimova

In modern tourism, events play an important role. Events are a vital part of human culture as well as one of the most critical aspects of tourism. This is a worldwide phenomenon that is gaining in importance in the event industry. The aim of this paper is to present the roles of events in contemporary tourism and to use Baku 2015 I European Games (BEG 2015) to classify them, determine their tourist importance, and determine their effects and consequences for the host country. Three different research methods were used for the research. Initially, a wide range of literature was reviewed to determine the theoretical part of the study. Then, online surveys and interviews were conducted to collect primary data. With these research methods, all participants answered the questions. BEG 2015 was examined in the context of international events, and its consequences and importance for the host country, Azerbaijan, were determined. In addition, it was found that planning, recruitment of qualified personnel, improvement of transport, and study of tourists' impressions play an important role in the field of tourism. Also, the experts interviewed are very pleased with the benefits of the events to the tourism industry, although some improvements are needed. In general, for the country, which has achieved many successes in the field of tourism in recent years, the holding of events brings positive results in the tourism industry. Keywords: event, tourism, BEG 2015, host country, improvements.

Related Papers

Sonja Zlatanov

Paulo Duarte

In the last decades, the effect of globalization on world tourism has led to increased competition between destinations in search for the optimal positioning. In this scenario events have become an essential element in the tourism development of destinations, attract visitors, encourage investment, improve image and boost the local economy. This article’s main objective is to expand the knowledge of this phenomenon from a theoretical and conceptual viewpoint based on an extensive review of the literature. The findings help to strengthen and synthetize the basic knowledge on events, the influence on destination image and positioning strategies, being valid for both researchers and destination managers.

sonia amrizal

Edited by two leading scholars in the field, this is the first title in a new Routledge Major Works series, Critical Concepts in Tourism. It is a four-volume collection of canonical and cutting-edge research in event tourism. The origins of event tourism as a topic of serious academic interest are comparatively recent. The subject is largely a postwar development which began especially to unfold in the 1970s, not least in response to a growing interest and recognition of the potential value of events to economies, societies, and their cultures, as well as to environmental regeneration. In part, the continued evolution of the subject has arisen from the development of convention and exhibition management as cognate areas but, through time, policy-makers, planners, and destination managers became aware of the potentially significant and wide role of events in specific localities, ranging in scale from the Olympic Games to community festivals. Event tourism is now a vibrant and dynamic field of study and research, and the sheer scale of the growth in its output makes this Routledge collection especially timely. A wide range of social-science journals have published material about event tourism and this new Major Work makes available foundational pieces of scholarship—as well as cutting-edge research—from these disparate, and sometimes less accessible sources, as well as from the leading UK, European, and North American tourism journals, and from other hard-to-find publications. As well as bringing together the key studies and journal articles that have shaped serious thought about event tourism, the collection will be welcomed as the first mapping of an area that to date has lacked an interdisciplinary synthesis. The thematic organization of the collection, together with the editors' introductions and their commentaries on the collected texts, will make sense of the wide range of approaches, theories, and concepts that have informed event tourism, and will review the history of the subject and the rise of its identity and research agenda. It is an essential collection destined to be valued as a vital research resource by all scholars and students of the subject.

Nhat Nguyen

Adina Candrea

Tourism management

Gunka IsmyLova

IAR Consorium

IARCON Journals

The social sub-areas of leisure and tourism not only have similarities in their origins, but also similar motives for pursuing them. The increasing interest of the population in both areas as well as the urge for experiences and adventures and the change from a material-to a post-material-oriented society, finds its satisfaction in leisure time as well as in tourism. Due to the new experience society, events in tourism are becoming more and more important in order to offer something artificial, short-term and special in addition to the permanent, long-term tourist offer. The aim of this study is to make a comprehensive inventory of the relationship between leisure, tourism and events in order t o create recommendations for action. The method used in this study was a review of the relevant literature. In analysing various research findings, it was discovered that in the past, leisure time served to regenerate, to restore one's full working capacity. Today it is the other way round, work and its accompanying wages are needed to finance leisure time and to achieve and maintain economic security. As a result, the use of leisure time becomes the purpose of life, people no longer define themselves exclusively by the job they do and the work they have done, but also seek success and recognition through the experiences they have in their leisure time. People find the self-experience they are looking for in their leisure time. They contribute several elements to the emergence of tourism through their complex and comprehensive synergy. Holidays and travel remain one of the most important leisure activities for citizens. T he experience orientation and the increasingly lifestyle-oriented society point to a positive future for tourism. Due to the new experience society, events are becoming increasingly important in tourism. Events are crowd pullers. T hey are an important touristic and economic factor for cities and regions-but only if they convince through perfectly staged worlds of experience and high entertainment value. Factors that have had an impact on tourism and its development can be summarised as follows: social development and the resulting change in values, the general increase in leisure activities, and the increase in tourism-motivated travel.

Proceedings of the Singidunum International Tourism Conference - Sitcon 2015

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