Understanding Drivers of
Industry Change

Efforts to support First Nations tourism are progressing, thanks to strong willingness from involved parties and growing demand from tourism markets.

Demand-Driven Change

The recognition by government and industry that First Nations tourism is critical to the broader tourism sector has been demand-driven. Visitors are increasingly seeking out and purchasing First Nations tourism offerings.

Pre-pandemic data from Tourism Research Australia shows the number of international tourists taking part in at least one First Nations tourism activity, including visiting an Aboriginal site or community, experiencing an Aboriginal art, craft or cultural display, or attending an Aboriginal performance, increased by more than 40% from 2013 to 2017, or by 9% per year on average.

And there is still room for growth. International Indigenous tourism visitors represented 12% of total international visitors to Australia and contributed to 17% of total international tourism expenditure.

“Since COVID we saw Australians really looking inwardly and wanting not just to see but to understand and appreciate the beauty and diversity of Indigenous Culture… I think that will also echo as inbound returns”

Matthew Cameron-Smith, CEO, Voyages Indigenous Tourism Australia

Capturing the increased demand for First Nations tourism will rely on the industry bringing export-ready experiences to market.

Indigenous Tourism Fund

In 2019, the Commonwealth Government announced a $40 million Indigenous Tourism Fund to support the development of new and expanding Indigenous tourism businesses. The details of which were determined through in-depth consultation with Indigenous stakeholders by the National Indigenous Australian Agency (NIAA).

“We want to support Indigenous Australians to take full advantage of the increasing demand for Indigenous tourism experiences. International visitors are increasingly looking for personalised, unique and authentic holiday experiences and nothing could be more unique than Australia’s natural wonders and the oldest continuous living Culture in the world. …”

– Simon Birmingham, Then-Trade, Tourism, and Investment Minister (2019)

The discussion paper for the Indigenous Tourism Fund gives an account of the importance of the First Nations tourism sector, referencing the interest of high-value travellers in having authentic First Nations experiences in Australia and the benefits that First Nations tourism offerings could deliver to regional and remote communities where employment opportunities are limited.

However, the paper described the difficulty faced by operators in getting tourism businesses to be ‘export ready’. It estimated 500 Indigenous tourism businesses were in operation, a relatively small component of the broader tourism industry in Australia. As such, levels of visitor participation in First Nations tourism is less than demand, which continues to increase.

Key barriers identified for the Fund to address:

Lack of specialised business experience
Lack of infrastructure
Complex or lengthy application processes for grants
Difficulty in operating in a seasonal environment
Difficulty in finding trained staff

In 2023, the Fund currently supports a number of initiatives being administered by NIAA, including:

Grants for First Nations Tourism Operators, of up to $50,000 for businesses and $100,000 for community organisations
First Nations Tourism Mentoring Program, administered and designed by PwC’s Indigenous Consulting, Intrepid Travel, and Welcome to Country from mid-2023
Strategic First Nations Tourism Projects, representing co-investment with state and territories
First Nations Participation in Visitor Economy, supported by state and territories and the Australian Trade and Investment Commission

Tourism operators should seek to increase government involvement and investment in order to meet the growing demand from international and domestic visitors.

Industry-Driven Change

The growing appetite for First Nations tourism from travellers coincides with a supply-side shift in mentality and sentiment. Both government and industry are demonstrating a stronger willingness to generate greater empowerment and opportunities for First Nations people, recognising their voice in shaping Australia’s cultural identity. “Queensland’s First Nations peoples have cared for Country for millennia … and it is only in recent years that First Nations voices and contributions within the wider tourism industry have begun to receive the recognition they deserve.”

– Best Practice Guide for Working with First Nations Tourism in Queensland 2022

Progress is being made across states and territories to address supply-side constraints. For example in Queensland, industry and government have made significant progress in creating strategy and governance. In 2019, the Queensland Tourism Industry Council released their First Nations Tourism Plan 2020-2025, which was intended to guide the development and growth of First Nations tourism in Queensland. The plan resulted from extensive consultation with First Nations people and tourism operators, and brought to light the following points:

There is a growing desire to embrace opportunities for First Nations engagement in the tourism industry.
There is agreement on the need to remove barriers that are inhibiting the sustained growth of First Nations tourism in Queensland.
There is acknowledgement of the range of benefits derived from the production and delivery of First Nations tourism experiences.
There is a desire to increase the quantity and quality of First Nations market-ready tourism products in Queensland.

“…The story that emerged from the voices of First Nations peoples across Qld, was a story of excitement, dreams, and aspirations for building a robust, First Nations tourism sector that positions Qld as the number one tourism destination for First Nations tourism experiences in Australia. …”

– Queensland First Nations Tourism Plan 2020-2025

The consultation process also identified the following benefits of this undertaking, which are well-aligned with the goals of other First Nations projects, including Reconciliation and the Uluru Statement from the Heart. They include:

Revitalise and sustain tangible and intangible cultural heritage, language, and traditions to build a sense of pride and belonging for First Nations peoples.
Vehicle for creating business opportunities and sustainable economic activities.
Reconciliation through tourism.
Self-determination and capacity building.
Sustainability and care for country.
Source of diverse employment generation.
Enable visitors to develop an understanding of the unique relationship First Nations people have with our natural environment.
Development of sustainable communities.

“First Nations people are transforming the way tourism operates on their lands and waters. They are putting caring for country and protection of cultural heritage as the primary foundation of tourism operations. They are looking at tourism not only for its economic benefit, but as a mechanism for truth-telling, education, and reconciliation. First Nations are disrupting the tourism sector to ensure that First Nations people, having been historically dispossessed of their lands, are able to now enjoy them, work on them, and then on their terms, share their cultures, the oldest living cultures on earth, with the rest of the world.”

– Best Practice Guide for Working with First Nations Tourism in Queensland 2022

Queensland First Nations Tourism Plan Goals

Recognition and Respect: Promote recognition and respect for First Nations Cultures, stories, connections to and ownership of country while embracing and reflecting the diversity, aspirations and desires of First Nations peoples and communities.
Engagement and Partnerships: Encourage the creation of mutually beneficial and strategic partnerships to grow the First Nations tourism sector.
Strategic Coordination and Structure: Create an entity that gives voice to the First Nations tourism sector and provides advocacy and support.
Training, Skill Development and Jobs: Develop business capability and capacity development for First Nations tourism businesses to ensure the First Nations tourism sector is driven by a skilled workforce and engaged in quality employment that generates sustainable socio-economic outcomes for First Nations individuals and communities.
Authentic Product Development: Develop and deliver authentic, quality First Nations products which are export-ready and meet market demand.
Marketing and Awareness: Position and promote unique, viable, world-class First Nations experiences as must-do experiences while visiting Qld.

Resources

Beyond tourism, the Australian business community has increased its commitment to building a better relationship with First Nations people in Australia, with clearer insight on the wide-ranging benefits this can deliver. This is exemplified by the results of the Business Council Australia’s (BCA) Indigenous Engagement Survey and Good Practice Guide, which helps identify the ways businesses can deliver on the following ambitions:

Drive benefit for all Australians by building a better relationship between Corporate Australia and Indigenous Australians.
Support strategic investment in young Indigenous people by connecting them to education, training, and employment opportunities.
Create a pathway for Indigenous businesses to flourish through partnerships with industry.
Work with Indigenous Australians to prepare for the future workforce and future Australian economy and create a pathway for Indigenous wealth.

The survey showed 98% of participating businesses had an Indigenous engagement plan or strategy in place, which was a substantial increase on previous years. These efforts were more likely to have been driven by the desire to reflect the community in which they operate, assisting Indigenous participation, and expectations of customers and staff. The BCA started the Raising the Bar initiative in 2019 alongside Supply Nation, which to date has successfully supported BCA members in steadily increasing their procurement spend with Indigenous suppliers. They are on track to reach and exceed their target of $3 billion in cumulative influenceable spend on procurement from Indigenous Businesses by 2023-24.