Why tourism planning is important

Tourism planning should be an integral part of any destination’s tourism development in order to achieve the best results and satisfy all stakeholders. It is key to sustainable tourism, and while some destinations plan very effectively, others – often in developing countries with limited resources – struggle to do so.

This article explains what tourism planning is, the basic stages of tourism development planning, its benefits and costs, how to approach tourism policy and planning, and why it matters. It will be useful for tourism businesses, government bodies, tourism workers and students of travel and tourism. For an introduction to the topic, see the different levels of tourism policy and planning.

What is tourism planning?

Tourism development refers to the growth and maintenance of the tourism industry in a given area, and tourism planning is a central part of this.

On a basic level, tourism development involves creating strategies and plans to develop and manage tourism in a destination. A key motivation is usually economic – increasing income, jobs and GDP – but modern tourism planning also aims to protect the environment, benefit local communities and manage visitor numbers.

Tourism development includes many elements, such as developing public-private partnerships, analysing competitors to gain a competitive advantage, ensuring responsible and sustainable development, viewing tourism as an interconnected system and a demand-driven sector, attracting private sector investment, international cooperation, tourism clustering and government involvement. See also the role of the private sector in tourism planning.

According to Williams, cited in Mason (2003):

‘The aim of modern planning is to seek optimal solutions to perceived problems and that it is designed to increase and, hopefully maximise development benefits, which will produce predictable outcomes’.

Getz (1987), cited in Pearce (1989), defines tourism planning as:

“A process, based on research and evaluation, which seeks to optimise the potential contribution of tourism to human welfare and environmental quality.”

Basic stages in tourism development planning

Tourism development planning is complex and there are many variables to consider. There are also different levels of tourism planning and policy. Destinations can learn lessons from others that have succeeded or struggled – for example, the risks of over-dependence on tourism in Egypt, or the measures introduced by cities such as Venice, Barcelona and Amsterdam to tackle overtourism. It is also worthwhile to look at the tourism policies of similar destinations, such as Jamaica’s community tourism policy and Cape Town’s tourism development framework.

Diagram of the six basic stages of tourism development planning

On a basic level, the main stages in tourism development planning are: analysis of previous tourism development; evaluation of the position of tourism in the area, including competition; formulation of relevant tourism policy by government; definition of a development strategy; and the creation of a programme of action, followed by monitoring and review.

Why tourism development planning is important

The benefits of tourism development

Well-planned tourism development brings a range of benefits to stakeholders, for example:

  • Increased income and jobs from tourist spending
  • Preservation of cultural and natural heritage
  • Greater understanding between cultures
  • New infrastructure, such as roads, water and sewage systems, that benefits whole communities

The costs of tourism development

There are also costs that must be considered and planned for, including:

  • The high cost of building and maintaining tourist facilities
  • Destruction of natural habitats to make room for hotels and infrastructure
  • Disrespect for local cultural and social norms, for example through inappropriate dress or behaviour
  • Pollution of the natural environment
  • Overcrowding and rising living costs for local residents

Formulating an approach to tourism policy and planning

Inskeep (1991) outlined six ‘golden rules’ that should be applied when formulating an approach to tourism policy and planning:

Why tourism development planning is important
  1. Goal oriented – clear recognition of tourism’s role in achieving broad national and community goals
  2. Integrative – incorporating tourism policy and planning into mainstream planning for the economy, land use, infrastructure, conservation and the environment
  3. Market driven – planning for tourism development that trades successfully in a competitive global marketplace
  4. Resource driven – developing tourism that builds on the destination’s inherent strengths while protecting and enhancing its existing tourism assets
  5. Consultative – incorporating the wider community’s attitudes, needs and wants to determine what is acceptable to the population
  6. Systematic – drawing on primary and secondary research, including the experiences of other destinations, to support planners

Why tourism planning is important

Tourism planning can make or break a destination. If done well, it can ensure the long-term success of the tourism industry, protect the environment, deliver positive economic outcomes and benefit the local community.

If done badly, tourism development can destroy the very environment or culture that it relies on. It can disrupt local economies, cause inflation and harm local people and businesses. Developing countries are often most vulnerable to these negative impacts, partly because of limited resources, planning capacity and control over foreign investment.

Video: Why tourism planning is important

Why Tourism Planning Is Important

Tourism planning: FAQs

Below are answers to some of the most common questions about tourism planning.

What is tourism planning?

Tourism planning is a process, based on research and evaluation, that aims to optimise tourism’s contribution to human welfare and environmental quality by guiding how tourism develops in a destination.

Why is tourism planning important?

Planning helps destinations maximise the economic, social and environmental benefits of tourism while minimising negative impacts such as overcrowding, pollution and cultural erosion.

What are the stages of tourism planning?

The main stages are analysing previous development, evaluating tourism’s current position and competition, formulating policy, defining a development strategy and creating a programme of action, followed by monitoring.

What are Inskeep’s principles of tourism planning?

Inskeep (1991) suggested that tourism planning should be goal oriented, integrative, market driven, resource driven, consultative and systematic.

Who is involved in tourism planning?

Tourism planning involves governments, local authorities, destination management organisations, private businesses, local communities and other stakeholders.

Further reading

Useful texts on this topic include Tourism Policy and Planning: Yesterday, Today, and Tomorrow (David Edgell and Jason Swanson), Tourism Planning and Destination Marketing (Mark Anthony Camilleri), Leisure, Sport and Tourism, Politics, Policy and Planning (A.J. Veal) and Tourism Planning: Policies, Processes and Relationships (C. Michael Hall). If you found this article helpful, the following posts may also be of interest:

Dr Hayley Stainton

About the author

Dr Hayley Stainton is a tourism academic, examiner and the founder of Tourism Teacher. She has a PhD in tourism and more than 20 years’ experience teaching travel and tourism at school and university level. Read more about Hayley