In an increasingly complex tourism sector – with new actors breaking into the scene, rising competition among destinations, technological transformation, new business models, rapidly changing consumer patterns and trends, raising awareness on the need to ensure sustainable tourism in its three dimensions (economic, social and environmental), the need to preserve the welfare of the residents and local communities and ensure a harmonious interaction with the tourist and visitor, etc. – destination management has become essential.
Some considerations around this are not new but are nowadays more relevant than ever:
1. Destination management needs to take a holistic approach that expands beyond destination marketing and embraces all stakeholders operating in the destination under a common goal, building bonds between separate – and sometimes antagonistic – elements for the better management of the destination.
2. No “one-fits-for-all” solution can be applied to all destinations, each one being unique in its features and assets (natural, cultural, etc.), challenges (connectivity,
accessibility, managing visitors’ growth,1 new platform tourism services,2 seasonality, etc.) and priorities (increase number of visitors, become a smart destination, etc.). Each destination will need to adapt the nature and functions of its DMO to these variables and any other in place in the destination.
3. The destination management organization (DMO) should be at the center of the destination and be a leading organizational entity, encompassing the various authorities, stakeholders and professionals, facilitating partnerships towards a collective destination vision. This means bringing together all relevant stakeholders in the destination, as well as local communities, and develop a coherent tourism strategy in pursuit of a common goal: ultimately, the sustainability and competitiveness of the destination.
4. The DMOs should strengthen their internal capacities in three key performance areas:
Strategic leadership, effective execution, and efficient governance.
To achieve the objectives above the following recommendations should be considered:
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DMOs should expand the traditional marketing and promotion focus to become leading organizations with a broader mandate that includes strategic planning, coordination and management of the destination.
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DMOs should increasingly incorporate to their portfolio of responsibilities a variety of additional functions: from the traditional promotion, marketing and branding to strategic planning, formulation and implementation of the destination’s tourism policy, market intelligence, product and business development, digitalization and innovation, monitoring, crisis management, The role of DMOs may vary from initiating to participating, facilitating, partnering, coordinating, executing or managing. DMOs should also avoid overlapping functions and duplication of efforts while helping identify any management gaps that may not being addressed.
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In those areas not falling under or exceeding their scope of competencies, including community and non-governmental actors, DMOs should seek strategic alliances and partnerships beyond the tourism sector to encompass authorities and key stakeholders operating in the destination (public authorities, private actors – i.e. accommodation sector, transport, academia –, NGOs, local community representatives, etc.).
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DMOs, whatever format they take, should be positioned as the legitimate actor and valid interlocutor to lead the way in the destination and represent the destination at all levels. To achieve this, the DMO should fully engage all key public and private tourism stakeholders acting and/or influencing in the destination. Public consultations with relevant stakeholders, NGOs, residents and local communities should be conducted to secure alignment.
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DMOs should take into account that destination management calls for a coordinated joined up management of all the elements that make up a tourism destination which can only be achieved through a permanent and open dialogue policy and coalition of many organizations and interests working towards a common goal, ultimately being the assurance of the competitiveness and sustainability of the tourism destination in the long term.
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DMOs should be able to identify and engage the local industries participating in the tourism value chain and create a favorable framework towards an inclusive tourism growth in order to catalyze the benefits both for the local businesses and the communities/ residents in the destination.
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Each DMO should select the most appropriate governance model (from a public authority to a public/ private partnership model) in response to the needs of the destination and adapt its structure and nature to an adequate legal status according to the laws and regulatory framework of its jurisdiction into account the decentralization level of public administration. The selected governance model should ensure a suitable maneuvering space for the DMO and a degree of independence and transparency based on accountability principles.
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DMOs should align their policies and actions with the 2030 Agenda for Sustainable Development and the Sustainable Development Goals (SDGs). This implies that DMOs have a plan/policy for sustainable tourism that covers key aspects in the environmental, sociocultural and economic fields (i.e. economic viability, local prosperity, etc.) and ensures its compliance. DMOs should also advocate adherence to the SGDs by all relevant stakeholders in the destination.
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DMOs should comply with the UNWTO Global Code of Ethics for Tourism4 and advocate the adherence and compliance of the Code by all tourism stakeholders in their vision and in their performance.
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DMOs should undertake under its realm the transformation of the destination into a smart destination, which contributes to improve the competitiveness and sustainability of destinations in the long term.
Source: UNWTO Guidelines for Institutional Strengthening of Destination Management Organizations (DMOs) – Preparing DMOs for new challenges (UNWTO, 2019)
