Tourism stewardship: how destination organisations are driving change

Tourism has found itself at a crossroads. The sector faces renewed challenges that are undermining the post-COVID “build-back-better” promise – with many destinations stretched by growing visitor numbers and overcrowding, environmental pressures, and communities once again questioning the value of tourism.  

To meet these challenges, forward-thinking destinations are embracing destination stewardship to balance tourism promotion activities with efforts to preserve and enhance the natural, cultural, and social assets that make each destination unique. It’s no longer just about maximising visitor numbers and dollars; it’s about ensuring tourism delivers long-term value to communities. 

Destination organisations: Leading the charge in the new era of tourism 

Destination organisations can be structured as government entities, private organisations, or public-private partnerships, funded by a mix of sources. Traditionally they are responsible for promoting their destination at national, regional and local levels.    

As the OECD has highlighted, tourism’s future depends on local action, and destination organisations are uniquely positioned to drive this change. A number have evolved into Destination Management Organisations (DMOs), assuming a stewardship role that shapes a tourism industry focused on resilience, inclusivity, and sustainability.

These DMOs are now focussing on building strong partnerships, developing capabilities, enhancing visitor experiences, attracting investment, and delivering sharp marketing that aligns with sustainable growth. However, this can be without clear mandates, or alignment of national, regional or local strategies. 

This expanded DMO remit requires a shift in mindset and transformation in how they are structured and operate, as well as how they are supported by governments and industry. They are the glue that unites stakeholders around a shared vision and have an objective view across the destination’s eco-system.  They must be empowered with the authority and resources to drive meaningful change.  

Tourism doesn’t exist in isolation; the impact of visitation is felt across wider economic, environmental and social systems. DMOs must be thought leaders “at the table”, aligning visitor strategies with broader policy goals, addressing challenges and capitalising on opportunities.  

The DMO’s ability to lead in this evolving landscape depends on building new skills — particularly in leadership, advocacy, stakeholder engagement, systems thinking, and understanding of regulatory frameworks. 

New Zealand’s approach to building destination stewardship 

New Zealand is a long way from many international markets. We are a country of 5 million people where tourism is a major contributor to our prosperity. It’s also deeply connected to our environment, communities, and our national identity.  

Over the last few decades New Zealand’s visitor economy has grown steadily. We also suffer from seasonal fluctuations, labour shortages, and inadequate infrastructure in popular destinations. As a small island nation, New Zealand is particularly vulnerable to climate change and is heavily reliant on aviation for international tourism and trade connections. And, with continued growth, tourism’s social license is being tested, and overtourism is starting to creep into some key locations. 

Prior to COVID-19, the government at the time, recognised the importance of destination management in their National Tourism Strategy, and subsequently, Destination Management Guidelines were developed to guide regions to adopt a more holistic approach in an effort to address emerging challenges.   

While borders were closed, government-funded Destination Management Plans (DMPs) were developed across 30 regions, led by Regional Tourism Organisations (RTOs – equivalent of DMOs) in collaboration with mana whenua (indigenous Māori people), industry and community. Regional Tourism New Zealand (RTNZ – industry body) provided oversight, benchmarking and monitoring.  

Recognising the need for support to meet the expanding RTO role, RTNZ undertook a skills assessment of RTOs, which led to a comprehensive national capability-building programme, Te Ūnga Mai (“to arrive at a deeper place of knowledge”). 

Over three years, Te Ūnga Mai provided RTOs with the best practice knowledge, resources, and mentoring to succeed. The result? A stronger, more capable network of RTOs better equipped to lead a destination stewardship approach.   

Examples of this transition include New Zealand’s most southern region fully integrating tourism within their economic development strategy, and the Great South RTO adding new skills focused on sustainability and climate change.

The Taitokerau Northland region has co-created a DMP with mana whenua, placing people, culture and environment at the centre.  New Zealand’s hero destinations Queenstown and Lake Wanaka have collaborated on a regenerative tourism plan, centred on the community with a bold ambition of achieving net zero by 2030. 

Lessons learned: Key contributors for success 

Destinations thrive when there is an agreed vision and strategy, co-created by both public and private sectors, indigenous peoples and communities.  

Tourism needs to be embedded in broader macroeconomic strategies, acknowledging the impact visitors have across society and systems. This requires enabling policies or legislation which activates responsibilities across the system. The recent groundbreaking legislation for Hawaii is embedding regenerative tourism, thereby creating lasting change. 

DMOs require a clear mandate to act in a broader stewardship capacity.  They must also be fit for purpose, with sufficient capacity, resources, and the right mix of skills to enable effective stewardship that supports a regenerative future.

In summary  

Tourism must shift from growth-driven promotion to stewardship for the sector to effectively navigate the challenges ahead.  

A stewardship approach must also be embedded into the system to sustain the long-term commitment needed to ensure tourism delivers enduring value and resilience for destinations.  

DMOs play a pivotal role in this transformation. As critical change agents, they can drive and shape destinations so that they thrive not only economically, but also socially, culturally, and environmentally.