1. Crisis Communications and Tourism Recovery Strategies for the Maldives Prof Jack Carlsen Curtin Sustainable Tourism Centre, Curtin University, Western Australia Presentation to the BEST IV Conference, University of the West Indies, Jamaica June 16 to 19, 2005

2. Topics Maldives Tourism Pre-Tsunami Impacts of the Tsunami on Maldives Tourism Strategic Response to the Tsunami Short-term strategies Medium-term strategies Long-term strategies Implications for Tourism Destinations in Crisis

4. Maldives in the Tsunami Path

5. Maldives Tourism Pre-Tsunami Tourism contributed about 30 per cent of Maldives Gross Domestic Product (GDP) between 1999 and 2003 and about 40 percent of total taxation revenue Almost 600,000 visitors in 2004; more than a ten-fold increase over the 23 year period with an annual growth rate of above 9 percent. In 2004 66.8% came from 5 main markets — Italy (21.2 percent), United Kingdom (18.7 percent), Germany (11.8 percent), Japan (7.6 percent) and France (7.5 percent)

6. Maldives Tourist Arrivals 1999 - 2004

7. Impact of the Tsunami Impact of the tsunami was severe, with 82 persons dead, 1,313 injured and 26 missing. Of the dead, only three were tourists, out of an estimated 17,000 tourists in the Maldives on December 26th. 10,500 people were displaced by the tsunami, and 100,000 lives were disrupted

8. Impact of the Tsunami 19 of the 87 resorts were also closed due to minor or major damage. Reduced bed capacity by 3,554 beds or 22 percent of the pre-tsunami level of 16,400 beds Total cost of repairs to resorts affected by the tsunami was estimated at USD55.5 million, including repairs to buildings, grounds and island infrastructure Cost in terms of resort operations, including cancelled bookings, staffing and supplies is USD105.3 million Total impact of USD160.8 million

9. Summary Steps to Recovery (adapted from Bierman 2003) 1.Project primary messages 2.Build solidarity messages 3.Set out the facts 4.Form alliances and partnerships 5.Restore confidence 6.Protect profitability 7.Protect branding 8.Offer incentives 9.Publicise positives 10.Report and monitor progress

10. Short-term Strategies (1 -3 months) Stop cancellations due to tsunami Assess market sentiments in major markets Establish media monitoring services in major markets (as MATI did during PR campaign) Develop primary and solidarity messages Reduce risk and uncertainty Implement value-adding strategies Begin summer promotions in Europe, Asian and Oceania markets and surfing segment Obtain funding for Recovery Marketing Strategy Implementation

11. Medium term Strategies (3 to 12 months) Monitor market trends – source markets and market sentiments/intentions. Consider re-branding Revise marketing strategies for 2006 Consolidate new partnerships and alliances Develop destination management capabilities Reputation enhancement through strategic public relations Develop crisis management capabilities Plan for commemorative occasions, dedications, memorials and acknowledgements Review, revise and reflect – learn the lessons

12. Long Term – 1 to 5 years Include tourism crisis management planning in the 3 rd Tourism Master plan process Develop new partnerships and alliances Review existing markets and target new markets Focus on yield, not numbers Implement systems for monitoring the state of the tourism industry – annual destination and market audits Develop systems of communication and co- operation between stakeholders Implement improved education and training

13. Summary and Implications Important to focus marketing strategies on resilient markets Work with airlines and partners to recover markets and grow new markets Monitor length of stay and spend closely to ensure profitability Use media attention to full advantage to relay primary and solidarity messages Consider change in marketing, positioning, branding and strategy