Visitation Strategies

Excerpt from the Mt Baw Baw ARMB Strategic Management Plan 2007

Most Accommodation properties in the Resort (approximately 650 beds) are within Club Lodges. There is however a small number of more up market accommodation options available.

There is evidence over the past few years which suggests that the number of people staying over night in the resort has increased.

The main reasons for this trend are likely to include the following:

• family groups are staying;
• a general booking service has provided access; however
• the standard and variety of accommodation within the resort still does not currently meet market demand.

While Ski Club accommodation bookings decline in poor snow years, private self contained accommodation does not change - it is always in demand. It is evident that visitors come for the “experience”, privacy and reconnection with family and friends (snow is not always necessary).

The growth in Green Season visitation has increased the demand for high quality accommodation.

The demand for en-suited, private accommodation cannot currently be met.

Utilisation of existing accommodation

The general public’s access to Ski Club accommodation is available (mostly Midweek), but most clubs use the services of the Accommodation Booking Service which offers Housekeeping / Linen and Lodge Opening and Closing Services.

The majority of the mountain’s Ski Clubs list their beds with the resort’s Central Reservations Service, but only after members have made their bookings . The Reservation System offers prospective visitors with information and booking options to meet visitor needs and budget.

Management encourages Lodges to sacrifice beds in Lodge renovations to include en-suited rooms.

The Hotel has been refurbished and there is strong demand for public use. They are small however and not conducive for family use.

The Small Family Cabins (constructed in 2004) attract strong public demand.

The Resort’s Corporate Duplex cannot meet the demand for VIP and media use.

Opportunities to broaden the resort’s accommodation base

Evidence from other Resorts and the tourism sector in general, suggests that visitors’ accommodation expectations have changed markedly in recent decades.

A number of Lodges are in need of refurbishment to increase their standard and level of use. Others are in a poor state of repair and may be better redeveloped. Refurbishment and redevelopment plans will need to have regard to changing visitor expectations and is an opportunity to diversify the range of accommodation on the mountain.

A number of Lodges have indicated that with the Opening/Closing and Housekeeping / Linen service (user pay) that they are willing to release beds to the Central Reservations Service (all year).

Lodges and the Cascade apartments have indicated that there is the need to access emergency repairs/stores to enable reliability and customer satisfaction. This has now been implemented

The Resort has recently engaged in a “Management to individual lodge” consultation process, to discuss increases in site fees; implications of fire regulations; power connection matters; and the financial and strategic imperatives of the Resort.

The CEO also requested all clubs to provide the Board with feedback on their intentions relating to:

• site development. It is recognised that some Clubs (Lodges) have responded to the need for “hot beds”/made beds available for public rental. It is accepted that early notification of events may gain greater support by Clubs
• improvement and / or expansion to current lodge amenities and design to meet public demand
• willingness to collaborate and participate in the Resort Strategic Direction
• capacity to respond to fire regulations and protection mechanisms
• interest in the Central Booking Service and associated products
• intention to remain active, maximising use of accommodation
• or whether a planned exit from the mountain, is seen as their preferred option.

It is reasonable to say that most Clubs understand that their approach needs to become more ‘commercially responsive’ or they will not be able to survive. Most, (anecdotally) want to survive.

The Resort has also trialled the introduction of “Family Lodges” as another means of broadening accommodation options. The trial of the Family Lodges 2004-2010 seasons has revealed strong demand, achieving high levels of use and financial yield. One has since been sold and continues to gain a good return on investment.

There have been firm enquiries from parties who wish to:

• develop existing sites
• further develop existing sites
• purchase existing Family Lodges
• develop new Family Lodges.

All have been advised of the requirements of the Board for site development, those being:

• development of a sound Business Plan
• payment of an Ingoing Access Fee
• payment of ongoing Site/Bed/Snow Making Levies
• adherence to the 'Hot Bed' Policy
• being part of Resort’s Central Booking Service,
• adherence to the resort’s colour palette and building material choices
• development of the Site/Resort within minimal vegetative disturbance requirements
• recognition of a ‘no snow” guarantee.

A Planning Permit has been obtained, following the Site Environmental Planning assessments of the second stage of the Family Lodges on Tingaringy Crescent.

A Geo Tech study that has been completed on that part of the proposed development, has found no impediment to this proposed development.

Further real estate development is now planned for Lots 4, 5, 7 & 18

All of the required design and planning requirements have been completed and is now open for developer interest. 

A Business Case relating the development of the Family Lodges has been developed over considerable time, demonstrating their potential for success.

It is important that any development be staged, to prevent “flooding of the market” and to retain market demand, as well as ensuring that the process is orderly and well planned.

Actions:

• Continue to consult with Clubs about their Strategic Plans.
• Use information to assist the Board to make decisions on future accommodation forms on Mt Baw Baw.
• Call for Expressions of Interest to:
  • develop existing sites
  • further develop sites (staged)
  • develop new Family Lodges
• Continue to deliver Opening / Closing / Linen and Housekeeping services to support use of Clubs / Family lodges and Apartments.
• Facilitate advice to Clubs regarding insurance and Certification implications (to facilitate the broader community’s access to club accommodation).
• Encourage all clubs to make Unused Beds available to the wider public through the Central Reservations System.
• Continue with a “Central Store” to replace essential emergency accommodation appliances.
• Encourage Clubs to appoint or “employ” a manager to maintain a presence and facilitate access by non members.
• Facilitate the redevelopment / refurbishment of existing lodges to meet market expectations.
• Employ competent “Administration Booking Service Staff”.
• Engage with clubs to encourage them to develop Business / Strategy Plans to respond to multiple issues (fire regulations, contribution to resort development).
• Implement the recommendations of the “Family Lodges” business case assessment.
• Review Resort Accommodation and implement an asset maintenance/improvement plan.
• Provide high quality accommodation for media / strategically important people.
• Establish a resort staff accommodation asset maintenance program, within resource limitations.
• Establish an overall resort building maintenance program, within resource limitations.