Destination Development and
Institutionalization Strategies
In the OIC Member Countries
19
country or a region within a country, while some cover a group of countries such as the European Travel
Commission, the Caribbean Tourism Organization, and the Asia Pacific Tourism Organization. In the case
of regional tourism organizations (RTOs), some countries impose an organizational structure they need to
follow to receive public funding, while in other countries the choice is left to RTOs to create their own
organizational structures. Public-Private Partnerships are becoming more widespread with more DMOs at
the national, regional and local level adopting that model around the world. Most provincial and local
DMOs in Canada, many state tourism organizations in the United States, and many local DMOs in the UK
have been formed as Public-Private Partnerships.
The legal structure of a DMO affects its decision-making process. DMOs established as private-public
partnerships make it possible for all stakeholders to be represented, which allows for pooling of
knowledge and expertise as well as encouraging cooperation and communication between stakeholders,
which ensures better coordination and avoids duplication of efforts.40 However, the balance of power
between the different actors can affect decision making in Public-Private Partnerships due to the varying
levels of influence of the diverse partners from the tourism industry and government. 41 Public DMOs are
more risk averse and have a slower decision making process as opposed to private DMOs, however, they
have more resources at their disposal as opposed to private DMOs. Public DMOs also take a long term
strategic approach to destination development as opposed to private DMOs who are interested in
exploitation of current market opportunities and increasing sales. 42
The geographic scope of DMOs also varies substantially, which necessitates different level of activities.
National DMOs, which are mostly governmental or public-private partnerships as shown in the case
studies, are responsible for marketing and branding the country as a whole. In Spain, the national DMO
Tour Espana promotes the whole destination while each region and province promote themselves. In
tourism fairs, Tour Espana allocates space to the different regions which in turn allocates space to the
different provinces. So, in that setting, Tour Espana would promote brand Spain, while Andalucia would
promote itself and Granada would do the same.43
Figure 5: DMO Characteristics
Source: DinarStandard
40 Pike, S., & Page, S. J. (2014). Destination Marketing Organizations and destination marketing: A narrative analysis of the literature.
Tourism Management , 41, 202-227. doi:10.1016/j.tourman.2013.09.009
41 Pike, S., & Page, S. J. (2014). Destination Marketing Organizations and destination marketing: A narrative analysis of the literature.
Tourism Management , 41, 202-227. doi:10.1016/j.tourman.2013.09.009
42 Carter, R., & Fabricius, M. (2006). Destination Management – An Overview. UNWTO Conference on “Creating competitive advantage for
your destination”.
43 Interview with team member, Tourism Planning and Development, Patronato Provincial de Toursimo de Granada.
Legal Form
Geographic
Scope
National
Regional
Local
Characteristics
Stakeholders
Activities
Funding
Public
Public-Private Partnership
Governance Models Private