Tuesday, June 4, 2013

Crofters – A Tourism Opportunity

Introduction


Crofting is a term that harkens from the United Kingdom and describes a tradition where by rural residents of Scotland would extend cottages for lease which were located on their properties, for use by urban dwellers from England. Modest accommodation and an escape from the busyness of the city to merely enjoy the serenity of the countryside and what it had to offer, was the hallmark of Croft experience.

It is the perception of the writer that this type of experience will gain in popularity over the coming years; as the startling upward trend in real-estate prices in the lower mainland has attacked affordability for middle income residents, as an ever larger portion of their disposable income is utilised for primary housing. This group, in the absence of capacity to purchase recreational housing, are very likely to avail themselves of a value recreational offering that is similar in nature to the “family” cottage experience or the Crofter experience as aforementioned.

Moreover, the Motorhome, Trailer and Camper (RV) market has traditionally been an activity enjoyed by the middle income strata. The evolution in societal, economic and environmental realities is attacking the viability of the RV market. There are cultural imperatives emerging that render the exuberant use of fossil fuels as unfashionable or irresponsible, while present user groups are less aware of this issue, the young prospective recreationalists are likely to be. The writer believes upward trends in fuel price will, in the longer term, attack the ability of the traditional RV participants to pursue RVing as they do now or did in the past. As these realities evolve, many who use to RV or are contemplating RVs as a means to holiday, will be seeking a viable alternative to enjoy travel and lodging in Canada’s outdoors.

The popularity of less structured holidays, eco-tourism experiences and experiential tourism in general, promises to offer a good market opportunity. It is the writer’s observation that there is opportunity to capitalise on these and any a number of trends to provision what the Europeans refer to as an “autostop” holiday experience. By provisioning solid, athletically pleasing, yet modest accommodations, located in agreeable rural, semi-rural and wilderness settings with a “do it yourself” operational culture indicative of the RV user, outdoor enthusiast and middle income campers; one can satisfy the demand by the mid income demographic for a rewarding and affordable holiday experience.   

Accommodation Profile

Quaint and comfortable, yet practical and durable, are the key design features to satisfy the demands of this market segment. Lodging will be developed to accommodate two couples and four children in a manner that affords the adults privacy and the children “loft” like sleeping quarters.

The decorating theme will be “country cottage”, exterior of, perhaps, shingle siding and cottage roof. The accommodations will be dispersed throughout the market area; however, the buildings will be wholly consistent in appearance and functionality. 

The Crofts will be self-contained, that is to say, all will be “off grid” in capacity with septic systems integral in the building design and gray water being delivered to a rock pit or similar facility.

The water will be provisioned by an onsite “tower” assembly that is filed either by a local water source or by “trucked” water. The tower will offer gravity fed water and be integral in the building design and contribute to the “quaint” aesthetics of the building. The water tower offers unfettered site location, low energy demand on the delivery of water and reduced capital expenditure on site development.

The buildings themselves will be designed and manufactured  in a manner that permits their ready transport, assembly and removal; so as to accommodate seasonal realities and or site viability issues that may arise.

The building operational aspects, stoves, refrigerators, lights etc … will be consistent and as simple as possible; so as to provision simplicity of use and consistent usage knowledge from one site to the next.

The building access, booking, and use records will be all rest on a web bases booking and information system; that is to say, the user will book on line themselves, check themselves in by swiping a card, check themselves out, satisfy their use responsibilities and then their information will be transmitted via “cell network” or directly to Crofters own central information systems. Integral in the building design will be sophisticated electronic systems that provision the proposed user interface and feed building information such as building temperature, water levels etc back Crofters own central office.  

As this offering is presented as a “do it yourself” offering, the building design will have durability and ease of maintenance as the a primary goal. The user’s will be required to return the cottage to standard upon their departure, so it is critical that the facility can accommodate ease of use.  


Customer Profile

The customers sought will need to possess a degree of ownership in the offering, and so the customer relations structure may take the form of a “club” or “mountain equipment co-op” – at least in culture.  The customer will likely be school a teacher, police officer, civil servants, likely the customer base will take on a similar complexion as the British Columbia Auto Association.

The goal is to attract people who appreciate the offering , who are of the middle income bracket and who are responsible. While there are intended to be “disciplinary” mechanisms for miss use, one needs to be selective in clientele to ensure the best possible outcome.

The offering will accommodate the average urban dweller, they will be able to leave home in their family car and find equipped crofts along their journey.

This income strata are shoppers, they have strong affinity to a clear value proposition- so  the product offering has to offer recognisable value. The “do it yourself” theme, in conjunction with simple to use facilities, which are located is agreeable setting proximal to accessible recreation opportunities, promises to present such an offering.

Capital Requirements


Item
Amount
Business Development Capital Requirements
2,500,000
Production Plant
16,250,000
Working Capital
2,500,000
Marketing
500,000
Detailed Business Planning
250,000
Business Structure
250,000

22,250,000





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