Summary of Research Findings

In the situation where municipalities nationwide are addressing regional revitalization, tourism customer attraction measures to increase visitors such as for sightseeing, workcation, two-base residence, etc. are important measures for municipalities to secure the sources for regional revitalization, in the waning population. On the other hand, the number of tourists has decreased due to COVID-19 crisis, and not many regions have not recovered to the level before COVID.

This research has conducted questionnaire to 258 municipalities nationwide from September to November 2023 and analyzed their policies for customer attraction, the contents addressed, challenges, private companies needed for cooperation, etc.

For the challenges for municipalities to propel the measures to attract customers after COVID-19 crisis (multiple responses for up to three items), the most popular response was “Coordination with tourism associations or DMO*” occupying 31.4%, followed by “Shortage of infrastructure (accommodation, etc.) within the region” that accounted for 23.8%, and “Difficulty in effective promotions to people outside the region” that accounted for 23.2%.

The challenge of “Coordination with tourism associations or DMO” that accounted for about 30% is about not being able to develop a coordinated community within the region and is about many main members of DMO being assigned employees, meaning that they go back to where they belong, which leads to shortage of experts. Meanwhile, because there are some roles that can only be played by tourism associations or DMO such as alignment with various businesses, not a few municipal officials expect them rather than general private companies, because they propel regional tourism.

As for the next most problematic challenge “Fragile traffic infrastructure (inconvenient transportation for visitors) within the region,” many municipalities point out specifically on lack of secondary transportation. Because of insufficiency in public transportation from the railway station, there are many regions where visitors cannot reach the sightseeing spot unless they have their own cars or use rental cars, or forced to wait for the taxi for hours due to shortage of drivers. In many cases bus operation is difficult because of the issues of securing profitability and of road width. These are some problems regarding transportation that municipalities are struggling.

* DMO stands for Destination Marketing/Management Organization and refers to the organization that plays an integrated role in the region with respect to tourism.

Noteworthy Topics

“Transportation Company” and “Major Travel Agency” Are Private Sector Industries Wanted by Municipalities for Cooperation

When asked in this research to municipalities about which private sector industries needed the cooperation, “Transportation (railway, bus companies, etc.)” and “Major travel agency” were the most paid attention, earning 41.6% and 33.1%, respectively.

Municipalities consider transportation companies, especially bus businesses as important, for they can operate some tour buses for travelers to make some journeys within the region or wrapping buses etc. for promotions. Some municipalities need cooperations by private companies not necessarily by existing companies, as they welcome entry by highly independent businesses that do not rely on subsidies or as they face the secondary transportation issue stemming from fixed-route bus being abolished. Therefore, the entry is expected by secondary transportation businesses with feasibility and sustainability.

Major travel agencies are wanted for cooperations on development of travel packages that utilize local resources, as they run travel business needed for selling tours and knowhow for tour planning. In addition, they have abilities to appeal to tourists from in and out of the country and have overseas network (overseas bases and local partnerships) for attracting inbound tourists, as well as the methods that may contribute to promotions and selling tour products that are to be developed. Therefore, major travel agencies are expected for their suggestions on attracting customers in and out of the country.

Research Outline