LAPLAND - NORTH OF FINLAND Tourism development, strategy and investments. Satu Luiro Tourism Coordinator Regional Council of Lapland

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1 LAPLAND - NORTH OF FINLAND Tourism development, strategy and investments Satu Luiro Tourism Coordinator Regional Council of Lapland

2 Regional Council of Lapland Lapland is one of 19 counties in Finland Every county in Finland has regional council Councils promote the social and economical welfare of the region Budget comes from the municipalities (21) Staff: 50 + The Regional Emergency Service Regional Council of Lapland is responsible for: Coordination of regional development strategy Financing development projects (EU, national) Spatial planning (land use issues) Interest supervision (legislation, EU, etc.) International cooperation

3 Lapland Tourism Strategy Business strategy for tourism since 1990 s Tourism brings welfare to all areas in Lapland Direct economic impacts: 595 million and jobs Strategy is needed to coordinate the development actions and projects Strategy determines vision and goals, and secures sustainable growth Development focus on the biggest tourist resorts In recent years strong investments: Levi, Ylläs, Saariselkä, Pyhä

4 Lapland Tourism Strategy Vision Lapland pure LIFE POWER near you. Lapland is the leading tourism destination for nature and experience tourism in Europe by 2020.

5 Lapland Tourism Strategy : Main themes Region-oriented development Tourism centers as engines for the development Surrounding (rural) areas benefit from the resort s development Reaching critical mass will launch further development, investments, services Developing accessibility Growth from the international markets Product development: boosting demand round the year Tourism marketing on the regional level: Reinforcing the Lapland brand Developing online business

6 Tourism is recovering, but future is still uncertain arrivals, average lenght of stay 2,5 days Change in registered overnights 2010 > % Only 1/3 of all overnights are registered

7 Lapland s main market areas in tourism In 2011 Russian overnights +30 %

8 Funding organisations and their role Regional Council Funding for general development projects, that benefit different (company) networks or areas Both ERDF and ESF funding Centre for Economic Development, Transport and Environment (by short: Ely-Centers) Funding for a single company or small, defined company groups Both ERDF and ESF funding Finnvera State organisation financing SMEs Loans for start, growth and internationalisation of enterprises

9 Ely-Center s funding instruments for businesses Start-up grant Provides for the livelihood of the entrepreneur while starting up the business and establishing its activities Business development aid Business development aid is aimed at improving the long-term competitiveness of SMEs. Focus on industries, tourism and business services. Rural development programme Development aid for businesses in rural areas. Tekes funding Tekes funds innovative research and development projects in companies. Financing inventions Foundation for Finnish Innovations allocates funding for patenting, product development and commercialisation of inventions Energy aid for companies For energy surveys and investments that promote energy conservation and the use of renewable energy sources Transportation aid Reducing transporting costs for manufacturers. Investment aid for rural shops/markets For investments thet improve the services of small rural shops

10 Funding from ERDF and ESF programmes for tourism Tourism projects in the programming period (including business and investment aids) ERDF Number Received / tied total costs EU + State Priority 1: Business 32 Est Priority 2: Innovations and competence Priority 3: Accessibility and operating environments Total ESF Priority 1: Developing labour and companies, entrepreneurship Priority 3: Competence and service systems Priority 4: Cooperation Total ERDF+ ESF TOTAL Source: Regional Council of Lapland Total EU+State funding 39,7 M Share of tourism in total funding appr. 34 %

11 Share of EU-funding in tourism development Construction and development projects in Levi, Ylläs and East-Lapland resorts (Pyhä, Salla, Suomu) in LEVI YLLÄS EAST-LAPLAND Volume, m m m m2 Budgets, total 550 M 440 M 118 M State + EU funding 9,2 M 14 M 15 M Additional state funding 3 M 3 M? State + EU funding, share 2,2 % 3,7 % 12,7 % Private funding, share 97,8 % 96,3 % 87,3 % Role of EU funding is small, but essential Enables projects that would not actualize by private money Removes bottlenecks, i.e. obtacles for tourism development

12 Tourism projects in Lapland by theme,

13 Latest tourism investments in Lapland include e.g. Infrastructure, e.g. Ylläs scenic road

14 Case Ylläs Development of turnover and personnel in Ylläs resort (TOL A-X) Index 2005= / / / / / / / / / /2009 Henkilöstömäärä Source: Assignment study, Regional Council of Finland Liikevaihto The scenic road was opened on the

15 Latest tourism investments in Lapland include Accommodation: Hotels, cottages, igloos etc. Photos: Visitrovaniemi.fi

16 Latest tourism investments in Lapland include eg. Facilities for different activities Photos: Visitrovaniemi.fi

17 Latest tourism investments in Lapland include eg Experiences and places to visit Photos: Visitrovaniemi.fi

18 Future investments in Lapland tourism New village in Ylläs resort including hotels, spas, slopes, lifts, golf course, etc. Koutalaki hotel in Levi Estimated value of investments in next decade: 800 M

19 Koutalaki, Levi Koutalaki, Levi

20 Koutalaki, Levi Koutalaki, Levi

21 Holiday village Kuura in Ylläs

22 Lapland: Attractive region for (foreign) investments Arctic nature and nature phenomena: Northern lights, midnight sun Around the year destination with very different seasons Good infrastructure, stable society, high education in tourism field Land of Santa Claus Christmas product; Santa Claus receives visitors around the year on the Arctic Circle Northern location guarantees winter despite of global warming Sports and activities: Downhill and crosscountry skiing; snowmobile, husky and reindeer safaris, gold panning, trekking, canoeing etc. Professional programme services providers with decades of experience of international tourism Lappish Sámi culture and reindeer husbandry Ideal preconditions for congresses in an inspiring setting Wellness services for relaxing vacation, plenty of shopping possibilities Most resorts easily accessible: no traffic jams, short transfers from airport to resorts Strong destination image, authenticity!

23 Thank you and Welcome to Lapland!

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