Measurement of the Contribution of Tourism to Development at the Local Levels

1 National Tourism Statistics Conference (NTSC)RAVirola/16-17/February/2012 NATIONAL STATISTICAL COORDINATION

BOARD

Measurement of the Contribution of Tourism to

Development at the Local Levels (The Municipality, The City, and The

Province)

Discussion by

Romulo A. Virola, Luzviminda Mitra, Aileen Oliveros &Regina

S. Reyes

National Statistical Coordination Board

National Tourism Statistics Conference (NTSC)16-17 February 2012, Manila Diamond Hotel


BOARD

OUTLINE

I. IntroductionA. Importance of Tourism, Statistics &

Tourism StatisticsB. Institutional partnerships in the

generation of tourism statistics in the Philippines

II. The surveys in Dauis, Iloilo City & CebuA. Best Survey Practices AdoptedB. Some Questions For Similar Future

SurveysIII. The Philippine Tourism Satellite Accounts

(PTSA) & the Three SurveysIV. What next?


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I. INTRODUCTION

Importance of Tourism, Statistics & Tourism Statistics Economic contribution of Tourism is

recognized worldwide

income generation employment generation Investment generation foreign exchange generation

Countries like France, Thailand, thrive on tourism with share to GDP of 6.3% (2006), and 6.7% (2007), respectively


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I. INTRODUCTION

In the Philippines, For the years 2000 to 2010, tourism contributed on the average,

about 5.8 percent to GDP ! Share of TDGVA to total GDP, 2000-2010

5.7%5.7%

5.8%

5.9% 5.9% 5.9%5.8%

5.9%5.9%

5.8%5.9%

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000

9,000,000

10,000,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

In m

illio

n Ph

p

.

5.6%

5.7%

5.8%

5.9%

6.0%

TDGVA GDP % share


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I. INTRODUCTION

In the PhilippinesFor the years 2000-2010, tourism contributed on the average,

about 9.7 per cent to total employment!

Source of basic data: Labor Force Survey, NSO


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I. INTRODUCTION

Importance of Tourism, Statistics & Tourism Statistics However, we have not succeeded in

benefiting from the enormous potential of Tourism

Tourism is now given greater recognition in the PDP as one of the key drivers of our economic growth

The international development community has recognized

The critical role of statistics towards evidence-based decision-making, towards informed decisions, and

That better statistics contribute to better development outcomes


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I. INTRODUCTION

Importance of Tourism, Statistics & Tourism Statistics

To be able to maximize the contribution of tourism to development,

We need Statistics

We need Tourism statistics

We need Tourism statistics at the local level ( in tourist destination areas)


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I. INTRODUCTION

Philippine Statistical System (PSS) A decentralized system - policy-making body, data

producers, users, research and training institutions, and data providers

The PSS is the government-wide system of providing statistical information and services to the public.

Institutional Partnerships


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I. INTRODUCTION

Role of DOT, NSCB, LGUs, Academe, & Policy makers Data Producers:

DOT, NSO, LGUs

Statistical Training, Education and Research Institutions:

SRTC, theAcademe

The policy-making and coordinating body: NSCB

Several statistical coordination mechanisms-IAC-TS

Compiler of GDP and poverty statistics Compiler of Sexy Statistics Spearheads the formulation of the

Philippine Statistical Development Program (PSDP)

Compiler of the Philippine Tourism Satellite Accounts (PTSA) with the DOT



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I. INTRODUCTION

Importance of LGU initiatives in the generation of statistics:

Decentralization has empowered LGUs

LGUs need statistics for local development planning, local policy formulation

LGUs know best what statistics they need to respond to the information requirements of the priority programs in their development agenda

National statistical agencies and national agencies have limited resources



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I. INTRODUCTION

Philippine Statistical Development Program (PSDP)Statistical programs identified in the PSDP 2011 – 2017 for the TOURISM chapter under the Local-level statistics development:

Development of mechanisms to generate local tourism statistics in key/priority tourist destination areas such as the local visitor surveys and improvement of the basic tourism databases of LGUS

Implementation of various statistical coordination mechanisms at the local level such as interagency cooperation among agencies for data sharing, enhancement of Local Governance Performance Management System, and development and publication of a Guidebook for Local Tourism Office Operations

Development of Regional TSAs or TSA in specific tourism destinations


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I. INTRODUCTION


Commend DOT and JICA for spearheading the Visitor Survey at the local levels

Congratulate Dauis, Iloilo City and Cebu for their appreciation of the importance of statistics towards good governance

Look forward to the compilation of the Tourism Satellite Accounts for Dauis, Iloilo City and Cebu


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II. THE SURVEYS IN DAUIS, ILOILO CITY, & CEBU

Tourism from the ground:Visitor survey in a municipality, city

and provinceItems Municipality

of Dauis City of Iloilo Province of Cebu

Objectives • To find out the general characteristics of the visitors to the City/ Municipality;

• What are the attractions of the City/ Municipality;

• What kind of visitors are attracted to the destinations;

• How much do they spend for the travel in the City/Municipality?

• Find out the total number of visitors to the Island or Province;

• Find out the share of the visitors using AEs in the Island or Province;

• Find out the share of same day visitors

Survey Instruments

Questionnaire Interview

Survey points Accommodation Establishments (AE)

Airport/ Seaport


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Items Municipality of Dauis City of Iloilo Province of Cebu

Method of data

collectionSelf administered Personal

interview

Survey schedule

• January to March (High Season)

• July to September (Low Season)

• September to December - (1st survey)

• November to December – (2nd survey)

September and December; weekdays and weekends

Sample establishme

nts

• 1 Large (60 respondents)

• 1 Medium (40 respondents)

• 1 Small (20 respondents)

• 1 Large• 2 Medium• 1 Small

• 1 Airport• 1 Seaport


and province



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Number of respondents 120 320 Not specified

Reference Period

Real time Real time Real time

Frequency of data collection

Once every three years


and province



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Data items collected

1. Sex;2. Age;3. Residence (Resident,

Domestic, Foreign);4. Number of nights stayed in

the City/ Municipality;5. Number of companions of

the respondent;6. Relationship of companions

to respondent;7. Main purpose of travel;8. Places visited;9. Amount spent during

travel; and10. Number of persons

included in the expenses

1. Place of residence (R,D,F);

2. Completed nights of stay;

3. Main purpose of visit;

4. Amount of expenditure in the province; and

5. Number of persons included in the expenditure


and province



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Appropriate Coordination was done for smooth survey operations (between the municipality[Dauis] and the province)

Questionnaire captures the appropriate data items needed to achieve the survey objectives

Survey tried to capture seasonality of tourism activities (survey rounds conducted in high and low season in Dauis but not in Iloilo City?, Cebu?; during weekdays and weekends in Cebu)


Best Survey Practices Adopted


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Surveys tried to stratify respondents (large, medium and small AE in Dauis and Iloilo City; seaport, airport in Cebu)

Documentation of problems encountered (all three areas)

Formulation of recommendations/future plans (all three areas)


Best Survey Practices Adopted


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Use of different survey approaches ( questionnaire for Dauis and Iloilo City, interview for Cebu; same questionnaire for Dauis and Iloilo City, different for Cebu)

What approach do we use in the municipalities of Cebu? In the province of Bohol?

How will we reconcile data collected by the province with data collected by the municipalities of the province? Will the sum of municipality level estimates equal provincial estimates?

How do we replicate the survey in other municipalities, cities, provinces?


Some Questions for Similar Future Surveys


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Were standard concepts and definitions used?

Consistency of terms and definitions for tourism statistics as approved by NSCB Board

Consistency with international standards (IRTS 2008, 2008 TSA:RMF)

Were enumerators well-trained?

Does the LGU have qualified statisticians?




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Estimation methodology used? (provincial/annual[use of seasonal survey data? in Cebu],2010 estimates for Iloilo City)

Importance of Dissemination of Survey results to stakeholders - Were results presented in fora in the municipality, city, province?




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Submission of Visitor Survey to NSCB Statistical Survey Review & Clearance System (SSRCS)

Complement survey data with data from administrative records

Coordinate with SRTC on training programs

Improve dissemination modes and tools (towards sexier statistics)


Some Suggested Enhancements of Similar Future Surveys


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Review Sampling Design Use of random samples Choice of respondents/AEs Determination of sample size Determination of survey

days/weeks/months Minimize respondents’ burden

On the questionnaire: Appropriate translation ( Filipino, local

language) Inclusion of other questions needed by

the LGU/DOT/TSA (such as on availment of promotion packages)


Some Suggested Enhancements of Similar Future Surveys


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What can we make of the wealth of data from the Visitor Surveys?

How can we make use of this body of information for a more integrated analysis, say, in analyzing the impact or benefits of tourism to the economy of the municipality/ city/ province?

… But what is TSA?

Policy making? Promotions and Marketing?Basis for infrastructure planning? Etc.

We do have a tool to do this - the TSA.

III. THE PHILIPPINE TOURISM SATELLITE ACCOUNTS (PTSA) &

THE THREE SURVEYS


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The PTSA Philippine Tourism Satellite Accounts – a set

of tables One of the satellite accounts developed by

the NSCB/DOT to measure the contribution of tourism to the Philippine economy

Provides a comprehensive set of information on tourism that facilitates its analysis in the context of macro-economic accounts

It aims to demonstrate the output of tourism industries vis-a-vis the consumption expenditures of tourists

It explains the impact of tourism through non-monetary indicators such as tourist arrivals, length of stay, types of accommodation and means of transport availed by the tourists


THE THREE SURVEYS


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The PTSA The Philippines thru the DOT and the NSCB

has actively contributed to the international tourism/statistics community in the development of the Tourism Satellite Accounts (TSA)

The Philippines thru the DOT and the NSCB sits on the Technical Advisory Board of the United Nations World Tourism Organization Statistics & TSA Unit (UNWTO)

The NSCB is a member of the Steering Committee of the Committee on Tourism Statistics of the International Statistical Institute (ISI)

The Philippines is recognized worldwide as a pioneer in the development in the TSA


THE THREE SURVEYS


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PTSA Tables Municipality of Dauis City of Iloilo Province of

CebuTable 1. Inbound Tourism Expenditure by Products

• Residence (Foreign); • Completed nights of stay; • Number of companions of

the respondent;• Main purpose of travel; • Amount spent during

travel

• Residence (Foreign);

• Completed nights of stay;

• Main purpose of visit;

• Amount of expenditure in the province

Data items derived from the survey that may be utilized in the local TSAThe

PTSA


THE THREE SURVEYS


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The PTSA


CebuTable 2. Domestic Tourism

Expenditure by Products

• Residence (Domestic); • Completed nights of stay; • Number of companions of


travel

• Residence (Domestic);




Table 3. Outbound Tourism

Expenditure by Products

No data for outbound

Data items derived from the survey that may be utilized in the local TSA


THE THREE SURVEYS


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The PTSA


CebuTable 4.

Internal Tourism Expenditure by

Products

• Residence (Domestic & Foreign);

• Completed nights of stay; • Number of companions of


travel

• Residence (Domestic & Foreign);






THE THREE SURVEYS


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The PTSA


CebuTable 5.

Production Accounts on Tourism

Industries and Other Industries

Not feasible since we only have National Input-Output (IO) tables

Table 6.Total Domestic

Supply and Internal Tourism

Consumption

Not feasible since we only have National Input-Output (IO) tables

Table 7.Total employment in the Philippines and

Employment in Tourism Industries

Not feasible since we only have regional employment, no breakdown for

city/municipality/province



THE THREE SURVEYS


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The PTSA


CebuTable 8.

Tourism gross fixed capital formation of tourism industries

and other industries

Not feasibleNot compiled at the national level

Table 9.Tourism collective consumption by

products and level of government

Not feasibleNot compiled at the national level

Table 10.List of non monetary

indicators

• Visitor arrivals (inbound and domestic)• Average length of stay



THE THREE SURVEYS


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HAS TOURISM Increased the income of the LGU? Increased the income of the local

residents? Increased the income of the low

income groups? Reduced poverty in the locality?

OR HAS TOURISM Only incurred high social cost to the

locality? Only raised mainly the income of the

rich owners of business establishments in the locality?

IV. WHAT NEXT?

First, we need to answer some questions!


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After JICA project, --- what now? Institutionalization

Improvement of the survey design Replication of the survey in other

municipalities/cities/provinces, prioritizing the tourist destination areas

Commitment of the DOT/DBM/LGUs to provide/share funds for the activities

Cost sharing among national and local government agencies.

Development of the TSA for Dauis, Iloilo City, and Cebu

But to do this, we need to recognize the importance of high quality statistics!

IV. WHAT NEXT?


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NeedNeed toto invest invest inin STATISTICS !STATISTICS !

IV. WHAT NEXT?


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And And STATISTICS IS STATISTICS IS MORE FUN IN MORE FUN IN THE PHILIPPINES!THE PHILIPPINES!

IV. WHAT NEXT?


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Maraming Salamat po!

URL: http://www.nscb.gov.phe-mail: [email protected]

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Measurement of the Contribution of Tourism to Development at the Local Levels