What is Experiential Tourism?
The “Canadian Tourism Commission” Toolkit describes it as follows;
“Experiential travel engages visitors in a series of memorable travel activities that are inherently personal. It involves all senses, and makes connections on a physical, emotional, spiritual, social or intellectual level. It is travel designed to engage visitors with the locals, set the stage for conversations, tap the senses and celebrate what is unique in Canada.”
“Joe Diaz, Co-founder Afar Magazine” adds;
“Seeing the sights is no longer enough. Experiential travelers want to venture beyond the beaten tourist paths and dive deeper into authentic local culture, connecting with people from other cultures in deep and meaningful ways …..”
The “Canadian Minister’s Round Table on Parks Canada”comments;
“Experiential tourism is an outgrowth of a global movement toward experiential learning, whereby people create meaning through direct experience.”
How Does Experiential Tourism Increase Value/Revenue?
In the above example, you can see the rise in value as things are done to a commodity. Lets say you pay the grower $3 for a pound of coffee beans. You grind and package them and sell them to a restaurant for $6. The restaurant brews 35 – 8 oz cups per pound and sells them for $1.75 for gross revenue of $61.25.
In recent years along came Starbucks and others that created a new coffee experience. They sell basic coffee for about $2 for a 12 oz cup but, a frappucino will cost you up to $5 per cup. Now they only get about 25 – 12 oz cups per pound but, they average about $3 per cup (estimate for example only) or $75 gross revenue per pound.
So by creating a new coffee experience, Starbucks and others have added significant value to a pound of coffee. Likewise, a new level of value can be developed for tourism. My next article will give an example of that.
(Note the prices and revenues above are based on research but, are not actual representations and are for example purposes only.)