The Bottom Rail by Verbal Shredwright
Posted December 01, 2016
DECEMBER 2016 - MAYBE YOU'RE NOT SO BAD
Slow start to the season at your
favorite mountain resorts? Weather not cooperating, slopes late
opening, ski races cancelled, trips postponed? This seems to be
the story somewhere every season. Perhaps that's why ski and
snowboard travelers are looking for other reasons to book a
holiday at their favorite mountains. From early season to spring
conditions resorts lack control over the weather and snowfall,
but are beginning to look for events and activities to
compliment and maintain their reservations base.
Many snow resorts simply take snow
for granted… they almost forget the fundamental rule of the snow
business… "no snow means no business". To that end many
resorts are rethinking their strategies and approach to drawing
and sustaining winter visitors. More and more resorts and
communities are looking at activities and events that do not
depend on snow and can still keep visitors interested when the
snow isn't at its best.
Over the year's mountain resorts,
communities and their economies have been built on real estate.
And the real estate values have been primarily inflated due to
the snow combined with the popularity of skiing and
snowboarding. This is also reflected in the prices of goods and
services during the winter season compared to the other seasons.
As the snow melts so do the number of options and prices.
Further proof can be found by looking no farther then the price
of hotel rooms in the summer compared to winter.
Traditionally mountain resorts and
communities have diminished new events and ideas simply relied
on snow and their brand to bring visitors to the mountains, but
things have changed over the years. Resorts and communities
often scoffed at or treated live music and festivals as a tool
to help increase the dollars they can get from sponsors.
Unfortunately, these funds have been disproportionately spend on
other aspects of events for years, including going into the
pockets of greedy resort partners and event promoters.
The weakness in this dated approach
is now being exposed in more and more resort communities by
changing climate and amplified by social media. Travelers are
more likely to aware of… and share conditions and experiences
and less likely to pay top dollar at resorts with little snow
when they can simply choose another destination with better
conditions. It takes more than a brand name and wealthy second
home owners to bring the big numbers of visitors mountain
resorts and towns are expecting today.
The changing dynamics are forcing
resorts and communities re-examine their status-quo strategies
and approach as they have some tough choices to make.
Maintaining visitor numbers and the resort industry may come
into conflict with real estate investors, property values and
tax revenues. As the winter seasons continue to shrink… one
would have to think eventually someone will realize the value of
their property is declining by these very same forces at the
same time.
Adapting to the evolving environment and economics will not be easy for the Mercedes driving, mansion living, month-long vacation taking event companies, talent buyers and for-profit promoters… by redirecting sponsor investment back into the events maximizes exposure and drives revenues, while creating opportunities for a more diverse menu of events and higher caliber production for locals, visitors and the business community.
Modern approaches to concerts, wine
tasting and food and beer festivals original looked down upon
are now being seen in a different light. Necessity is the mother
of invention and as a result of these seasonal challenges new
ideas and events have been designed are now being deployed to
bring more visitors to the mountains, and not just and after
thought for skiing and snowboarding events. A common sense
approach to sharing responsibilities and sharing revenues
compared to the individual profits at the expense of the
intended benefits to the resort, visitors and community.
If you are looking for more proof
there is an effort to diversify the resort snow portfolio? Look
at the growing investment into zip lines, mountain coasters,
bike trails and other activities at mountain resorts
traditionally known for skiing and snowboarding. It appears they
are hedging their bets toward growing summer and shoulder
seasons, while trying to hold on to as much of the more
lucrative winter business as long as they can. The writing is on
the wall, so now we will see which resorts and communities are
moving forward and which ones are living in the past.