Community Based Tourism
Finding the Euilibrium in the COMCEC Context
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However, the product needs to be presentable and adding value to the mainstream tourism
products with the basic elements present including, clean environment and inviting and
hospitable residents. Although the core of the product that the target visitors need may
already exist, peripheral and auxiliary elements may not be in place and need to be
developed to complete the product (e.g. public water closets, public transportation,
pavement on the side roads etc.). Product development may include cleaning and
beautification of existing elements of the destination product such as streets, parks, and
open areas. It may also require deletion of unsightly and unfitting parts such as rundown
buildings, trash piles and open sewage areas. The addition of necessary elements such as
flower beds, walkways, trees on the streets and more substantial structures such as
information centers may also be needed. In modifying and cleaning the environment, the
unique structure of the living environment, architecture and cultural integrity needs to be
kept in perspective.
Some infrastructure development, such as road construction can be seen as a threat for the
natural and cultural integrity of a CBT destination (e.g. the Peru case). However, the needs
of the locals also need to be considered in evaluating development choices. Development of
a road close to a rainforest may mean reduced wildlife experience for the tourist but it also
means better access to basic life sustenance means such as hospitals, schools, shops for the
locals. Any attempt to stop or delay such basic development from happening will only
generate resentment and resistance in the local community and withdraw their support
tourism development. Therefore, a better approach would be supporting infrastructure
development for the greater good of the community living in the environment.
2.4.3.2. CBT Product Pricing
Different pricing strategies exist to define the right price for CBT products, based on supply
side aspects such as the uniqueness of the product, production costs and expected profits,
demand side aspects such as willingness to pay and price elasticity and other factors such
as substitutability of the product. Also, based on the stage of the product development,
different pricing strategies can be defined for different objectives; market skimming
initially vs. market penetration later. Any of these strategies can be applicable depending
on the CBT destination characteristics, its competitors and external factors, as long as they
are in line with the CBT destination brand and its objectives. To enhance the economic
benefits, prices can be formulated to target high yield market segments. However, lower
yield market segments should not be totally overlooked since they could also be the serious
culture tourists who can provide optimum benefits for CBT destinations. Although
discounts can be viable tactics during the slow season, prices should not be lowered to the
point of compromising quality in perception.
There are clear differences between mass tourism and CBT in pricing. Some pricing
strategies such as all-inclusive packaging that are ubiquitous in some mass tourism
destinations, should never be attempted for CBT due to the inherent conflicts in
philosophy. Nonetheless, some pricing strategies that can never be seen in mass tourism
destinations can be strategic options for CBT destinations. For example, free entrance and