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Opportunities aplenty as cruise ships invade the Salish Sea

Tuesday, 08 July 2008 08:58 Mark Kiemele
Opportunities aplenty as cruise ships invade the Salish Sea

 

 

You’ve seen them sailing on the Salish Sea… The huge 2,500 passenger cruise ships bound for Alaska or the 700 passenger ships destined for the Inside Passage. Then there are the ‘pocket’ cruise ships that carry around 100 passengers or the $10 million mega-yachts carrying just a handful of well-heeled passengers.

What these ships have in common is that they are bringing more and more people to our coast; people who are eager to explore everything from our wilderness to our shopping malls and spend money while they do it. Klahowya takes a look at this growing segment of the tourism industry and the opportunities on offer both for First Nations and individual entrepreneurs.

‘The sky’s the limit’
If there’s anyone who is aware of the opportunities in the cruise ship business, it’s probably Robert Duncan, president of Naut’sa mawt Resources Group, the tribal council’s economic development arm.

Duncan had extensive experience with the cruise ship industry from the shore side perspective prior to joining NRG. For the past several months, he has been traveling to cruise ship head offices and destinations – from Vancouver and Seattle to San Francisco and Miami – as part of NRG’s marketing contract with Campbell River Indian Band (CRIB).

CRIB has been working with the City and District of Campbell River and North Central Island Tourism for the past decade to market and develop a cruise ship port for Campbell River in order to attract a share of the growing West Coast cruise ship industry. Duncan’s fact-finding trip to Miami was with representatives from the ports of Vancouver, Victoria, Nanaimo and Prince Rupert.

“These are big ships and the people on them have big wallets,” Duncan said. “The time is right for tribal council nations as well as individual members to take advantage of the business opportunities this offers. But it has to be done right. Companies like Holland America and Norwegian Cruise Line don’t accept anything less than first class.”

Getting the cruise ships to stop at smaller ports like Nanaimo or Powell River is a challenge, but many are seeking attractions outside BC’s two biggest cities.

“Passengers are really attracted to the smaller ports where they can take off for the day to visit local attractions, view wildlife or get in some fishing,” Duncan said. “But one of the challenges is to have excellent ‘shore products’. Once cruise ship’s passengers get their feet on dry land, they’re looking for places to go and things to buy.

“There’s already a big demand out there,” he said. “For example, Prince Rupert has to import vendors to its port in order to satisfy the demand.”

For individual entrepreneurs, Duncan said: “The sky is the limit in terms of how creative you can be. But people have to remember that this is a business and a seasonal business at that.

“It has to be run like any good business. You have to do proper planning and be aware of international security laws, labour laws, insurance and liability issues.”

But for those who do their homework, there are plenty of opportunities.

“The cruise ship business is just one tourism niche,” said Duncan. “But the skills and experience First Nations develop could be applied across the board in other sectors.

“The interesting thing about cruise ship opportunities is that they can give our First Nations seed money and equity. Once you have annual revenues and cash flow, it allows you to leverage your money to achieve many other things.”


NmTC cruising towards training

Naut’sa mawt Tribal Council, Naut’sa mawt Resources Group and Malaspina University-College in Nanaimo have started discussions about setting up a cruise ship industry product development training program for First Nation members in and around ports where the ships call.

Although design and implementation of the program is ongoing at this point, initial discussions centred on potential content of a program which could include tourism product marketing, leadership skill-building, heritage/culture interpretation and small business development.

“The idea is to develop a curriculum specific to the cruise industry but NmTC community members can get some solid training in skills here that can be transferred to many other work areas,” said Robert Duncan of NRG.

Although it’s still early days, Duncan said the group is looking for training dollars that might be available to fund students. As well, courses could be set up to rotate in ports and on campus to better provide students with hands-on training opportunities.

Last year, the Province of British Columbia announced that $5 million was being provided to the Aboriginal Tourism Association of BC (ATBC) to support implementation of the Aboriginal Cultural Tourism Blueprint Strategy, which is focused on the development and marketing of Aboriginal tourism businesses, training and skills development, in addition to fostering community economic development and cultural preservation. There may be a fit between ATBC’s mandate and this training program.

Jobs and dollars come with ships
Maritime Strategy International recently did a study that estimated that approximately 40,000 cruise passengers would visit Campbell River each year as a result of the development of its port facilities.
The direct impact of all those people could result in the creation of 100 full-time seasonal jobs and result in $5.4 million in annual spending. And it was estimated that an additional 57 full-time seasonal jobs and $3 million in annual spending would be indirectly generated as a result of cruise ship tourism.


Feeling like an entrepreneur?

Tourism is a growing sector of the economy in coastal BC. Businesses that are created to cater to the seasonal cruise ship industry can also attract local, regional and foreign tourists year-round.

Some of the possibilities include salmon and other sports fishing, whale watching, wildlife tours, downhill or cross-country skiing, kayaking, hiking and cultural tours.


Jobs in the industry
The cruise ship industry is a good place to find a job whether it’s on land or on the water.

  • Entertainment: These positions deal with anything related to passenger entertainment and include host and hostesses, cruise directors and staff, disc jockeys, performers, swimming instructors and shore excursion staff.
  • Service and Hospitality: These are positions in the restaurants, bars, passenger cabins and retail: waiters and waitresses, bar tenders, cabin stewardesses, cooks, bakers, cleaners, gift-shop assistants etc.
  • Personal care: These employees deal with the spa facilities, beauty shops and health care: salon operators, beauticians, medical staff, massage therapists and fitness instructors.
  • Deck and Engine Room: These departments are responsible for maintaining and running the ship.
 

NRG To Help With Campbell River Cruise Terminal

Monday, 12 May 2008 14:29 Mark Kiemele
NRG To Help With Campbell River Cruise Terminal

Campbell River Indian Band will be getting marketing help from Naut’sa mawt Resources Group for work on its Weiwaikum Cruise Ship Terminal.

The deal calls for NRG to develop short and long-term marketing plans for the terminal, which is the only First Nation-owned cruise ship terminal in the world.

Last year it began to serve major cruise lines with visits from four full-sized ships. It hopes to increase that to 30 or more per year by 2015. That will provide a boost to the tourism industry in the north-central part of Vancouver Island and will showcase Campbell River Band’s community to travelers from throughout the world.

NRG president Robert Duncan began working on the project in January as he made visits to cruise line events in Miami and Seattle with San Francisco on his itinerary in February.

“We were honoured to be asked by the Campbell River Indian Band to work with them on a project of such scope,” Duncan said.

“The cruise ship industry is very sophisticated and competitive,” he said. “We had to get started quickly on this because it’s normal for cruise lines to plan their itineraries 18-24 months in advance.

“That means that in order to have success, we need to get engaged with industry leaders as soon as possible in order that we can pursue and secure port calls for 2010 and beyond.”

Duncan said that NRG would also be working locally to highlight the shore excursion program that is now offered to the cruise ship passengers. He said that it was important to know how many passengers could be accommodated in one day, what types of products are available and the costs associated with them.

Reception Made Networking Easy

Monday, 12 May 2008 14:14 Mark Kiemele
Reception Made Networking Easy

NRG hosted another event in early December that brought together NmTC Nations and the business community.

NmTC members, along with business and local government leaders from throughout the Mid-Island area, were invited to a pre-Christmas event at the Coast Bastion that featured a performance by the Tzinquaw dancers from Duncan.

More than 100 people attended the event. For many it was their first introduction to NmTC and its leaders. There was a short formal presentation about NmTC and NRG. But most of the time was spent getting to know one another.

There was lots of good food and most people left with either one of the many door prizes or the information pack about NmTC and NRG.

“It was great to meet so many people at once,” said one person who attended. “I left with a handful of business cards. The next time I call somebody in local government or a business, I’ll be able to put a face to the name.”

ALL PART OF DOING BUSINESS

“Events like these are all a part of doing business,” said NRG president Robert Duncan. “So many business leaders tell me that most of their big deals started out at a social gathering like this… or else at a place like the golf course.

“Our Nations are emerging as real players in the development of economics and planning with our neighbours. There’s no telling where a casual conversation might lead. It could be a partnership or a source of significant income.

“We all just have to get out there and make our presence felt in the larger community,” he said.

Looking Ahead Means You Aren't Looking Back

Monday, 12 May 2008 14:07 Robert Duncan

The coming year is already looking good for Naut’sa mawt Resources Group and its First Nation project partners. In the following article, NRG president Robert Duncan highlights some of the interesting and challenging projects that lie ahead.

Happy New Year everybody. It seems kind of late to be saying that, but it is a new year and I for one am looking forward to ‘08.

As we begin the New Year, we start with a couple of new projects, which, combined with our existing ones, will definitely keep us busy this year.

At Snuneymuxw, we continue to work on the store/office project that has had its share of starts and stops. It’s just one of those things that can and will happen on many a project. We are hopeful that we can sort out some of the issues on that project within the next few weeks. The primary concern is a sufficient equity contribution in order to secure conventional financing for project - an issue many First Nations face, as they look to participate in economic opportunities.
Our newest project is somewhat similar in nature. Tsleil- Waututh has engaged NRG to provide project management services for a new administration building. It will house all its administration offices as well as other First Nation organizations. In addition to a new administration facility, we are also expecting the new building to incorporate a proper council chamber, as the existing facilities do not have one.

The site selection process was the first step in moving this project to its current stage. Then NRG and Tsleil-Waututh executed a ‘Letter of Intent’ once we (NRG) had completed certain tasks at the front end of the project (at no cost to the Nation.) The LOI sets out that the next step in that process is to roll into a project management role on behalf of the TWFN.

Our initial tasks will be to undertake a space-planning exercise with TWFN staff and chief and council. NRG’s Cheryl Williams will be working closely with Tsleil-Waututh and the architect on this part of the project.

Once we have gathered the necessary information to form a concept plan for the facility, we will go back to the staff, chief and council and the community at large to solicit feedback on the plan and revise as necessary. Getting it right, on paper, is always a good thing to do. If changes occur on a project, you always want them to be made while you are still at the paper stage, not when you’re in the ground with the project, where changes become costly… those dreaded ’change orders’, contractors love them for sure.

These are, of course, all elements of developing a project. Good planning and communication between all parties at the front end will ensure that any and all issues are dealt with in a fair and open manner. They will also generate additional support for the project in the long run.

This project, because of its location, will also require construction of an access road and possibly a bridge or two. These additions will complement the comprehensive community planning process in which the Nation is involved. Again, planning for future expansion of the residential development and tying this project into future uses make ultimate sense.

This site will require other necessary services such as water, sewer and other utilities to be brought in. This should be done in such a way that future development in the community could benefit from such services.

This will be a significant project for the Tsleil-Waututh, as well as NRG, and we are ready, able and excited to undertake such a project.

MARKETING A CRUISE SHIP TERMINAL

NRG’s second and most recent project is quite a bit different as it involves marketing. We have been contracted by the Campbell River Indian Band to provide marketing services for the new Weiwaikum cruise ship terminal in Campbell River.

As some may recall, Campbell River was once home for me, so I am very familiar with this project. I was very much a part of the initial planning to develop Campbell River as a port-ofcall for the cruise industry only a few years ago.

Now I have begun in earnest on this project and will have a very aggressive travel schedule for the next few months. Most of the industry contacts are located in the United States. Royal Caribbean (Celebrity), Norwegian and Carnival are all located in Florida while Holland America, Princess Cruises, Crystal, Cruise West and others are located in Los Angeles, Seattle and San Francisco.

This industry is all about building relationships. No matter whom you are dealing with, if you can’t build relationships very well, there will be challenges. Prior to 9/11, this industry did most of its itinerary planning 18 to 24 months out, which simply means their ports-of-call would be determined almost two years ahead of time. This changed after 9/11 but only for a short period. It is now back to the longer time window for determining future ports-of-call.

Last year the Weiwaikum termini saw its first port call with the Regents Seven Seas Mariner a 700-passenger vessel. The Mariner is scheduled for four port calls for the 2008 season. Our focus is to secure port calls from the Mariner as well as others including the larger 2,000 passenger) ships for 2009 and beyond. This means demonstrating to the industry that Campbell River can provide a good experience for their customers and that the port call there can be an economic success for all of the parties involved.

STRATEGIC PLANNING IS THE KEY

As we move forward with these and other projects, NRG always develops a strategic plan that is our guide as we move through various stages of the project.
Strategic planning simply means that we identify all of the issues that need to be dealt with, who undertakes the tasks and the timeframe to compete certain elements of the project. Of course, the all-important element is determining costs as early in the process as possible.

Good planning will make the task of managing a project that much easier. Having said that, we also need to factor unexpected elements into any project How you deal with them is just as or more important than good planning for the expected issues.

That’s all for now. 0-8 will be great!

Cheers,
Robert Duncan,
NRG President