Destinations International Industry Brief

INDUSTRY BRIEF

A CATALYST FOR COMMUNITY VITALITY: Defining the 21 st Century Destination Organization

Defining the 21 st Century Destination Organization | 1

INDUSTRY BRIEF 2024 INDUSTRY BRIEF

Exploring Purpose, Mission and the Power of Destination Promotion

The 21 st Century Destination Organization

The purpose of this industry brief is to define a destination organization. A common definition allows for standardization across different regions, cultures or sectors. This is essential in a global industry such as travel and tourism, where a standardized definition helps to coordinate efforts and policies across borders, languages and time zones. For clarification, when we speak of destination organizations, we refer to Destination Marketing Organizations (DMOs), destination management organizations, convention and visitors bureaus (CVBs), tourism boards, sports commissions and offices that attract film and media productions to a destination. To arrive at this definition, we will discuss the purpose of a destination organization, the mission that fulfills that purpose, the overarching goals that guide that mission, the core values that underpin its success and what a successful community outcome or result looks like. After exploring these five areas, we will have a clear definition of a 21 st century destination organization.

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Background

In February 1896, Detroit Evening Journal newspaper writer Milton J. Carmichael wrote an article about the usefulness of conventions in promoting the city. He suggested that local businesses and civic leaders should band together to promote Detroit as a desirable convention destination. Carmichael based this argument on his observations that during the previous five years, Detroit had built up a reputation as a convention city, with delegates coming to the city from hundreds of miles away. Manufacturers were holding their yearly consultations around Detroit hotels. And all this was done without any effort by the citizens to draw them there and no special attention paid to the visitors after they arrived. They had simply come to Detroit because they wanted to come to Detroit.

with the merchants and people of Detroit. The argument was effective. On February 19, 1896, members of the Chamber of Commerce joined the Detroit Manufacturers Club and met at the Cadillac Hotel to form the Detroit Convention and Businessman’s League. Together, they formed the founding committee of hoteliers, railroad agents, merchants, civic leaders and other interested parties. They defined the new organization’s mission as “hustling for conventions.” Attracting conventions was seen to have a two-fold value. First, there was the money that attendees and organizers spend in the city through the hosting of the convention, and second, there was the advertising value to the city or destination. This would lead to future visitors and assist in the attraction of talent, capital and investment. While Detroit may be recognized as the formal birthplace of the destination organization industry and profession, organized convention and meeting activity had been going on for some time. An increasing number of cities had sent salesmen on the road to promote their destinations. Much of the activity represented local members of various national organizations seeking to bring their national convention to their hometown. But much of it also represented the promotional efforts of local hoteliers, rail agents, retail merchants, realtors and others who recognized the economic benefits of attracting visitors to their city.

The Cadillac Hotel, Detroit at the corner of Washington Boulevard and Michigan Avenue.

Carmichael argued that if the Detroit business community and government tried, they could secure even more conventions, bringing to Detroit thousands and thousands more people from every city in the union. These people would spend millions of dollars

But it was in Detroit that destination promotion first became an industry sector.

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That is where it started. It is where we saw the creation of a legal entity charged with promoting a destination to visitors or meeting attendees. This is where the idea of a destination promotion profession began. Professionals in branding, marketing and communications. Professionals in destination promotion, sales and visitor services. Destination professionals in all the areas that support the branding, marketing, promotion, sales and service efforts. These people make up a destination organization and carry out vital work on behalf of their community. The destination organization has evolved from its early beginnings. While attracting conventions and meetings is still a goal, today’s destination organizations focus

on a wide range of potential visitors, from leisure to business, and on attracting a wide range of events, including social, sporting, film and television. At the heart of these efforts, destination organizations are concerned with attracting attention, visitors and investment by promoting and developing a destination through brand management, strategic marketing, events and meetings sales and visitor engagement. They approach these activities in a way that seeks to create a positive tourism experience for visitors and residents alike, and for current and future generations. “ Source: Ford, Robert C. & Peeper, William C. (2008), Managing Destination Marketing Organizations . Orlando: ForPer Publications Detroit may be recognized as the formal birthplace of the destination organization industry and profession.

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Purpose is an organization’s fundamental reason for being. The purpose is focused on the greater good the organization brings to the community.

Purpose

The purpose addresses an organization’s most fundamental reason for existing. It drives all activities and reflects the long- term impact on the community. The purpose is broad, timeless and focused on the greater good the organization brings to the community. For example, a school’s purpose is to help its community achieve its goals through knowledge, and a hospital’s purpose is to help its community achieve its goals through medicine. Similarly, a destination organization’s purpose is to help its community achieve its goals by promoting the destination. It is not about “heads in beds” (hotels), or seats in restaurants or even return on investment. These are important measures of how well a destination organization is doing its job, but they are not the most important indicators. Destinations International has done a substantial amount of work to get to the heard of what defines the essential role of a destination organization. Destinations International has approached it from a public policy perspective, focusing on the tangible solutions to civic problems that a destination organization can bring to the table. At its core is the need for a community to compete with every other community in the world. In today’s globalized, interconnected world, every community must compete with every other community for its share of the world’s visibility—its share of attention and respect. Every community must compete for its share of the world’s tourists, its share of consumers and its share of available talent. Every community must compete for

its share of the world’s businesses and its share of available capital and investment. Those communities that fail to compete will lose ground and be left behind. We show how the role of a destination organization is to enable its community to compete. Destinations International has approached it from an emotional and values perspective, focusing on less tangible solutions to civic problems with which a destination organization can assist. This approach speaks to the nature of travel as something humans have done since the beginning of time. People travel for the needs of food, water and fresh air. They travel for companionship and community. And people travel to stimulate their brains and answer the practical and existential questions that are at the heart of the need to wonder and wander. It speaks to the role of destination organizations, which serve as a bridge connecting people to places, allowing them to explore, celebrate and appreciate the uniqueness of each community— allowing them to wonder and wander. This cultivates an environment in which a community thrives as an ideal place to visit, live, work, play and invest. Destinations International has also approached the role of travel from a civic-political perspective, articulating a civic rationale for supporting destination organizations. This approach recognizes that any organization living in the civic space must acknowledge and interact within the public political sphere.

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This approach focuses on identifying the key civic assets that a destination organization can bring to the table. It focuses on economic development and job creation, increased tax revenue, community development, quality of life, global competitiveness, leveraging for broader goals and constituent support and engagement.

All of these approaches are based on the premise that a destination organization’s purpose is to help the community achieve its goals by leveraging the power of destination promotion.

A destination organization’s purpose is to help its community achieve its goals by promoting the destination. “

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Mission

The mission of a destination organization articulates how it intends to fulfill its purpose. It outlines immediate objectives, strategic approaches and specific actions to achieve its goals. The mission statement should provide clear guidance on the organization’s priorities, activities and target outcomes. For example, a mission statement for a destination organization

might be: “Our mission is to promote and develop our destination through brand management, strategic marketing, destination stewardship and community engagement. We aim to attract visitors, support local businesses, enhance cultural experiences and foster economic growth, thereby improving the quality of life for our residents.” The core of this statement is to attract attention, visitors and investment by promoting and developing a destination through brand management, strategic marketing, destination stewardship and community engagement. This is the mission of every destination organization. It is how they fulfill their purpose. identified five areas as overarching goals. The first goal is driving quality of life . Tourism enriches the quality of life for local residents. The local community enjoys the same amenities that attract visitors, such as parks, cultural institutions, restaurants and recreational facilities. These investments create quality local amenities that would not be sustainable without visitor spending. Destination organizations also act as cultural stewards, promoting events and initiatives that enhance local culture and foster a sense of community.

The mission of a destination organization articulates how it intends to fulfill its purpose. The mission statement provides clear guidance on the organization’s priorities, activities and desired outcomes.

Overarching Goals

The purpose and mission of destination organizations establish their essential nature and critical role in fostering community, and they communicate the goal of fostering a chain reaction of economic and social benefits that create a thriving community. To understand this, take a closer look at how destination organizations work and how they drive community vitality through their overarching goals. An overarching goal is a primary or ultimate goal that influences and guides other goals and decisions. It can also be a larger goal with subgoals that support it. To find these, we turn to important industry research. In 2024, Destinations International published the report Destination Promotion: A Vehicle for Community Vitality , which clearly

An overarching goal is a primary or ultimate goal that influences and guides other goals and decisions. It can also be a larger goal with sub goals that support it.

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organizations preserve and promote local culture by supporting cultural events, festivals and initiatives celebrating the area’s unique heritage. They integrate stories about diverse communities and business owners into their media efforts, fostering pride and community spirit. This commitment builds a unified narrative that resonates with residents and visitors alike, strengthening the community’s vitality. The fourth goal is to support public services . Revenues generated by visitors support essential government services. Taxes collected from visitor spending fund public infrastructure, education and health care, benefiting all residents. Research shows that many residents appreciate that the taxes visitors pay help to offset their own tax bill, fostering greater public support for destination promotion initiatives. Finally, the fifth overarching goal is to grow the overall economy . The economic benefits of destination promotion extend beyond the hospitality sector. Visitor spending generates significant benefits for industries outside the leisure and hospitality sector. On average, visitor spending generates additional business sales equal to nearly 60% of the direct spending. Destination organizations play a leading role in ensuring consistent messaging about the destination that is crucial to economic development. They help promote the area as a desirable place to live, work and invest. By identifying the purpose, mission and overarching goals, the definition of a destination organization begins to form. The next piece is critical to supporting the previous three.

The second goal is to help attract and retain talent . Destination organizations play a critical role in this process. High- quality life amenities, supported by tourism, attract talent. Initiatives led by destination organizations often develop and equip local businesses and entrepreneurs with foundational business skills and provide employee training. The “ Halo Effect ” study by Longwoods International shows that tourism advertising attracts visitors and enhances the destination’s image as a great place to live, work, and invest.

The third overarching goal is to foster culture and community . Destination

Research shows that many residents appreciate that the taxes visitors pay help to offset their own tax bill, fostering greater public support for destination promotion initiatives.

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Core Values

What are the characteristics of a successful destination organization? Identifying these involves understanding that a successful destination organization is built on a foundation of values. These values shape the destination organization

First is passion . Passion is the driving force behind successful destination organizations. It fuels the desire to strengthen the community’s economic position and vitality, providing opportunities for all residents. Passionate professionals promote their destination’s story—its history, culture and community— with authenticity and fervor. The second value is awareness and involves a deep concern and well-informed interest in the history, situation, people and development of the destination. It is critical to foster this awareness within teams and among stakeholders. Understanding and appreciating the unique aspects of the destination helps create marketing strategies that resonate with tourists and locals alike, presenting an accurate and compelling image. The third value is transparency and is about being open and accountable to stakeholders and the public. Proactively sharing information and being open to scrutiny builds trust. Transparent operations ensure that strategies and decisions are understood and supported by the community, fostering a collaborative environment.

and its efforts. Core values are the fundamental beliefs from which an organization operates.

Core values are the fundamental beliefs from which an organization operates. They are important and lasting beliefs or ideals shared and serve as broad guidelines in all situations.

They are important and enduring beliefs or ideals that are shared and serve as broad guidelines in all situations. These values are practical principles that guide daily operations and strategic decisions. By embracing these values, destination organizations can become true catalysts for community vitality. Destinations International has identified nine core values through extensive work with its members.

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The next value is one much talked about today - stewardship . Destination stewardship is about the continuous pursuit of a net positive tourism ecosystem that exists in alignment with shared community values. Simply stated, stewardship is a positive tourism experience for visitors and residents alike, and for current and future generations. Stewardship is about balancing economic development, sustainable tourism and quality of life. As stewards, destination organizations ensure that the benefits of tourism are enjoyed by all residents without compromising the environment or local culture. This includes managing resources wisely and advocating for sustainable practices. Finally, all of these values lead to the final value – relevance , which comes from being closely connected to and involved in what is happening in the destination. Staying attuned to the needs and trends of the community and the broader tourism industry ensures that efforts are impactful and resonate with both residents and visitors. With the addition of the core values, there is only one more aspect of a definition to identify – the community result.

Next is the value of inclusiveness . Inclusiveness means ensuring that no area or neighborhood, group or segment of people, history, culture or tradition is excluded from an organization’s efforts. The effort to include new perspectives and ideas reflects the diversity of the community. By being inclusive, destination organizations create a positive image of their brand that represents everyone within the community. This sets the stage for the next value, engagement . Engagement involves actively informing and listening to groups within a destination to address issues that affect the well-being and promotion of the community. Creating channels for feedback and participation allows residents to have a say in how the destination is marketed and developed. Engaged communities are more likely to support and advocate for the destination organization and to assist it in its efforts to welcome visitors. Building on the previous two values, the next value is collaboration . Collaboration is the act of working together with stakeholders to produce or create something within a destination. Effective collaboration ensures that all efforts are aligned and resources are used efficiently, resulting in better outcomes for the destination and its residents. The next value is innovation . Innovation involves making changes to established practices by introducing new promotion methods, ideas or products. Destination organizations must be willing to adapt and innovate in order to stay relevant in a competitive marketplace. Embracing innovation makes it possible to offer unique and compelling experiences to visitors, keeping the destination fresh and exciting.

Staying attuned to the needs and trends of the community and the broader tourism industry ensures that efforts are impactful and resonate with both residents and visitors.

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The community result are contributions to the community’s overall well-being, economic health and social fabric. This helps the overall situation or condition of the community.

The Community Result

The community result contributes to the overall well-being, economic health and social fabric of the community as well as helps the overall situation or condition of the community. It focuses on the purpose, the organization’s fundamental reason for being and the greater good the organization brings to the community. Years ago, in a speech at the Destinations International Annual Conference, Board Chair Maura Gast said: “If you build a place where people want to visit we will build a place where people want to live and if we build a place where people want to live we will build a place where people want to work and if we build a place where people want to work we will build a place where business has to be and if we build a place where business has to be we’ll be back to building a place that people have to visit it all starts with

the visit and that visit doesn’t happen without us . ”

Destinations International took this sentiment and created the graphic below that explains the work of a destination organization—depicting that through brand management, place stewardship and investment and promotion and sales, a destination organization helps a community build a place where people want to visit, live, work, play and invest. Destinations International handed this graphic to a blue-ribbon research team of Tourism Economics, Longwoods International, Clarity of Place and MMGY

Download Printable Wheel (available in English, French & Spanish) >>

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NextFactor and asked them to prove it in a report that became Destination Promotion: A Catalyst for Community Vitality . It was from all of these efforts that Destinations International coined the phrase “ The Destination Effect ”. The Destination Effect is what happens when a destination organization transforms a place into a destination—a place where people want to visit, live, work, play and invest. It transforms a place on a map into a vibrant community and destination.

outcome of a destination organization can be identified: a catalyst in creating an environment where a community thrives as an ideal place to visit, live, work, play and invest. With the purpose, mission, overarching goals, core values and community results identified, the definition of a destination organization has taken shape.

With this concept in hand, the community

What is a destination organization?

A destination organization helps the community achieve its goals by harnessing the power of destination promotion. It attracts attention, visitors and investment by promoting and developing a destination through brand management, strategic marketing, destination stewardship and community engagement. It enriches the quality of life for residents, helps attract and retain talent, fosters culture and community, supports public services and grows the overall economy. Its core values are passion, awareness, transparency, inclusiveness, engagement, collaboration, innovation, stewardship and relevance. And through its work, a destination organization becomes a catalyst creating an environment in which a community thrives as an ideal place to visit, live, work, play and invest.

PURPOSE

MISSION

OVERARCHING GOALS

CORE VALUES

RESULT

A destination organization creates The Destination Effect.

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Conclusion

In the 21 st century, destination organizations are much more than tourism promoters. They serve a community purpose. They are the catalysts of community vitality. Their work supports a virtuous cycle that begins with a visit and culminates in a thriving, vibrant community. As communities move forward, it is imperative that destination organizations continue to support and invest in destination promotion through destination organizations. When they are known entities in the community, valued by the residents and empowered by the civic leadership, their success translates into broader community success by creating places where people want to visit, live, work, play and invest. They do this in a manner that creates a positive tourism experience for both visitors and residents as well as for current and future generations.

Be a catalyst in creating an environment where a community thrives as an ideal place to visit, live, work, play and invest. “

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