Tourism Business, Community and Environment in the Adirondacks

1. Executive Summary

Tourism is one of the leading economic activities in the Adirondack Park and yet little research, planning or public policy has addressed its development. This report provides an in-depth look at Adirondack tourism opportunities from the perspective of 258 business owners in sixteen communities in the central and western Adirondack Park. It comes at a time when communities, regional organizations and state agencies are exploring new approaches to economic development for the Adirondacks. The local business and community-based information contained herein can help to inform and refocus initiatives for tourism planning, community development, business assistance, environmental protection and improving recreation opportunities throughout the Adirondacks.

 

  1. Major Findings

There are eight major findings from this research:

 

    1. Labor market issues are the biggest problem for Adirondack business operators.
    2. Close to one-half of business owners are interested in changing or improving their enterprises. These "motivated" entrepreneurs are especially interested in business assistance on labor issues, the Internet, improved marketing and customer service.
    3. From the perspective of business operators, the high quality of the natural environment is the major tourism strength of the region. Concurrently, they view carrying capacity and recreational user conflicts – especially on lakes and rivers -- as potential problems during the next 5 years.
    4. Business operators in the central and western Adirondack Park have a wealth of ideas and a strong interest in local tourism planning, but do not have the resources to assure broad participation in the development of community tourism plans.
    5. Given the uneven benefits of tourism among communities in the Adirondacks, as well as the lack of regional tourism sesearch and market analysis, business operators see a need to reevaluate community and regional marketing strategies, especially in terms of local images, the natural environment and outdoor recreation.
    6. Business operators perceive a shift in outdoor recreation demand and see significant economic potential in winter outdoor recreation activities.
    7. Business operators place high priority on customer service and a quality product.
    8. There is substantial demand for a number of local and regional transportation improvement projects, such as bicycle trails, public transportation, signage, and shuttle buses to link train stations with attractions and businesses.

1.1.1 Interpretation of Major Findings

Develop Pro-Active Alternatives to Labor Market Issues

Over two thirds (68%) of all the business operators who responded to the survey identified the "availability of qualified labor" as the most significant problem they face. The motivated entrepreneurs who are planning changes for their business even more strongly support that finding: 44 percent of that group report having a "major problem" with finding qualified labor. That was more than twice the percentage responding to the next major obstacle for that group, the 21 percent who said that obtaining business financing is a major problem. Other obstacles to growth include environmental regulations, financing, and marketing. As illuminated during the focus group sessions for this project, the labor issue includes many distinct components, including: the cost of labor, a lack of adequate housing for service workers, colleges starting before Labor Day, health insurance and transportation issues.

Target Assistance to Motivated Entrepreneurs

It is critical that approximately half (47%) of the business operators report they anticipated changing or improving their business within the near future. That group of motivated local entrepreneurs represents an important core of interest and commitment to their respective communities and to the region. About half (55%) of all business operators said their business is their only job, less than half (43%) said their business contributes 50% or more of their family’s gross income, and very few (9%) have previous experience working or owning a tourism business. That group of motivated business operators is relatively "high tech," with close to one-half of the business operators wanting to begin using, or to expand their use, of Internet sales and Internet advertising. An "Internet Web Site" is the most preferred format for business information, scoring higher than newsletters, workshops and on-site assistance. Technical assistance alternatives most preferred by more than 50% of the businesses include: increasing customer satisfaction, having marketing information about Adirondack visitors, and developing marketing strategies for specialty niches.

Focus Planning and Promotion on the Vital Link between Tourism and the Natural Environment

"A chance to see wildlife" and "access to lakes and rivers" rate among the major tourism strengths of the area, among nineteen items listed. Over three-quarters (83%) of the business operators agree that "the environment is a main attraction in the area." In addition, 55% of respondents perceive "better promoting the area’s natural resources" as "very" effective in improving tourism, the second highest rating after "improving the quality of offerings." Business operators in the Cranberry Lake, Long Lake, Indian Lake and Tupper Lake areas tend to highlight better promotion of the area’s natural resources as one of their top two action items. Following closely behind that item was the need for "better local maps showing sights of interest." While 64% think that being located within the Adirondack Park is an asset to the tourism economy, some business owners expressed strong concern over wilderness regulations, with 21% viewing them as a "serious" problem. At the same time, 53% of respondents believe that the "environmental impacts of tourism are a significant issue for local business owners." About one-half (49%) are concerned that noise pollution on lakes and rivers is a "moderate" or "serious" problem. Over fifty percent perceive all seven environmental issues listed in the survey are potential problems within the next five years. The high recognition of the link between tourism and the environment and the concern over the potential environmental impacts of tourism demonstrate the business community’s willingness to participate in public-private partnerships and collaborative activities that promote and protect a high quality outdoor recreation experience in the Adirondacks.

Develop Community and Regional Tourism Research and Planning

Significant demand is identified for tourism research, planning, and policy in the central and western regions of the Adirondacks. Close to three-quarters of the business operators (70%) believe that local tourism planning on both positive and negative attributes would be "somewhat" or "very" effective in improving local tourism economies. Based on key informant discussions with experts in the field, and on the findings of the business survey, little research or information is currently available regarding the number or characteristics of tourists in the Adirondacks. Furthermore, the State of New York does not presently have either a statewide tourism plan or a tourism plan for the Adirondack region. Concurrently, there is strong interest within the business community for tourism research and planning that offers a pro-active approach to enhancing tourism development and anticipating problems or impacts. Business operators are most interested in addressing labor issue problems, tourism marketing effectiveness, changing demand and providing a quality product and improved customer service.

Reconcile the Diversity of Tourism Interests with a Cohesive Adirondack Image

Both tourism supply and demand are uneven within the Adirondacks. This research is one of the very few studies to either highlight the views of local business operators in different communities of the Park or to examine the geographical structure of tourism within the Adirondacks. The findings of this study confirm that communities in the Adirondacks have distinct strengths, interests and priorities with regards to tourism. Consequently, tourism planning, marketing and development should explicitly consider the demonstrated diversity of community, geographic and business interests. Just over one-third of business operators (39%) thought that tourism opportunities in the Adirondacks are well promoted. Unfortunately, many communities want to be everything to every interest. During the focus group work especially, it became evident that the tourism stakeholders within communities have different perceptions of how their tourism opportunities should be promoted and marketed. Most identify with Adirondacks, mountains and lakes. Wilderness, beauty, and peace and quiet are among the most common terms mentioned. Many communities also identify history and culture as a part of their identity, but have difficulty determining how to integrate them. While the wide diversity of tourism opportunities is an asset for the region, the lack of a cohesive vision that accommodates that diversity -- both regionally and sub-regionally -- is a barrier to future tourism development, especially for the communities of the central and western Adirondacks.

Enhance and Expand Winter Recreation to Increase Economic Opportunities

After sight-seeing, the activities viewed as making the largest contribution to the area’s tourism economy are snowmobiling, canoeing and kayaking, hiking, cross-country skiing, downhill skiing and observing birds and animals, in that order. A majority of respondents view those six recreation activities as "very important" to their local economies. When asked to indicate those activities with the most economic potential, the business operators selected two top candidates: snowmobiling and cross-country skiing. A closer look at sub-regions within the Adirondacks shows substantial geographic variation in perceived economic opportunities. For example, business operators in the Star Lake, Tupper Lake, and Long Lake communities believe snowmobiling has the greatest economic potential, while the Old Forge and Speculator areas view cross-country skiing as having the greatest potential. Downhill skiing is viewed as having great economic potential in the Speculator and Tupper Lake areas. The preference for winter recreation activities reflects in part the business operators’ preference for an expanded winter tourist season and highlights winter activities that appear to be locally under-developed. Nonetheless, the almost unanimous support of expanded snowmobiling and cross-country skiing point to the importance of a central and western Adirondack initiative to plan, develop and promote those opportunities.

Improve the Quality of Tourism

"Improving the quality of offerings" (shops, lodges, attractions) was identified as the most effective action for improving the tourism economy of the area. There is also strong agreement across the board with two general statements on tourism: "word of mouth advertising is one of the most important forms of advertising for my business" and "a main tourism goal for our community should be to provide a quality experience to our visitors." Also telling were the responses to a question on business support services. Over 50 percent (53%) are "very interested" in assistance on "increasing customer satisfaction," the only one of eight services supported so strongly by respondents. Increasing customer satisfaction is viewed as twice as important as "access to loans and capital" or "preparing a business plan."

Develop New Transportation Links for Tourism, Labor and the Economy

The focus group sessions in numerous communities identified crucial local and regional transportation needs such as local scenic byway promotions, public transportation for visitors, residents, and employees, improved parking at key sites, bicycle enhancements, and shuttle service in select village areas. In addition, directional signage for services was recognized as a major weakness of the tourism infrastructure. The unique transportation needs and tourism opportunities related to the revitalized train lines in the Adirondacks were subjects of concern during the focus group workshops. Planning is needed on moving visitors between the train stations in Thendara and North Creek, and on developing transportation links to attractions, trailheads and businesses. The recent increase in federal transportation funding provides a special opportunity to address such needs within the Adirondacks.

1.2 Recommendations

The following recommendations address how to best implement the findings outlined above.

    1. Recognize that labor issues are a significant deterrent to economic development in the Adirondacks and promote a collaborative approach among communities, regional organizations and state agencies to develop innovate solutions for training, health insurance, wages, job-sharing and public transportation.
    2. Support motivated Adirondack Park entrepreneurs more aggressively with an Internet-based assistance program, in addition to other forms of business assistance, that address their needs as identified in the survey findings.
    3. Establish a community-based tourism planning program that addresses current inequalities in tourism development by assisting communities in assessing their tourism assets, positioning their products in terms of quality and customer service, and in anticipating potential adverse impacts from tourism activity.
    4. Broaden participation by private sector stakeholders in tourism planning through use of advisory panels and annual workshops that bring together business, government and organizations to address regional issues of concern to multiple communities (i.e., canoe routes, snowmobile trail systems, hiking trails, public transportation, environmental interpretation, the railroad, conservation issues, etc.).
    5. Systematically assess regional tourism marketing efforts for the Adirondacks to gauge their effectiveness, and coordinate the findings with changing tourism demand at the State and National levels, especially in terms of outdoor recreation, nature tourism, watchable wildlife and sustainable tourism.

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