By Dan Moore, CEO of Pandion Consulting & Facilitation
By Dan Moore, CEO of Pandion Consulting & Facilitation
In 2008 I started full time helping to build and run the adventure company, Evergreen Escapes (www.evergreenescapes.com). For the prior year I had been flirting with the idea of quitting my day job, a park ranger at a nature park in Seattle, USA, to come on board full time at Evergreen. May of 2008 I finally jumped off the cliff and made it happen. I learned a ton over the next 6 and a half years, and I am very fortunate for the experience I had. While there are no doubts that this was a great move, there are a handful of items I would recommend doing differently if I were to do it all over again. There are three major areas to be aware of: profitability, risk management, and authenticity.
The number one thing I think everyone needs to know about running an adventure company is that it is difficult to make a profit on the outfitting / supplier side. There are lots of costs, and especially if you are in a seasonal destination, it will be difficult to manage cash flow. Many people look at the price tag for a quality adventure experience and they assume someone is making a ton of money. The reality is, running this type of business is not cheap. First, you are paying quite a bit for insurance – not something you want to skimp on. Second, for you to be able to charge a high enough price to make a living, you have to make sure that every experience Isn’t just good, but amazing. Who is primarily responsible for the success of your trip? The guide! He / she is on the front line representing your company, and quality guides are not cheap. Second to the guide are the amenities on your trip. Food may seem like an afterthought, but if you read reviews from top adventure companies, no doubt you will read reviews that talk about incredible food. This is a basic need identified by the researcher Maslow. It is no doubt that spending some extra money getting high quality, and hopefully sustainable, food options will be rewarded. This costs money and requires a bit more logistics. So, to increase profitability it is important to have a clear and conservative budget, price your experiences high enough that you will be able to make money to get through slow periods, and have a product that is quality enough to ask for high prices.
The next recommendation is to be very aware of the risks that go into running an adventure travel company. Yes, people are signing up for your trip because they are excited to be pushed slightly out of their comfort zone, but the irony is they expect everything to be 110% safe and all variables accounted for. This paradox requires you to have your emergency procedures locked in. Evaluate every activity on your trip to determine what risks exist. What is the likelihood that one of those risks will become a reality? If the probability is high and / or the severity is high, then you likely need to come up with a treatment to reduce either the severity or the probability. Once you know what risks exist, you can then build out an Emergency Response Plan to prepare for what you will do when the probability is not in your favor. It is not just enough to have a plan; you need to practice the plan. At least once a year, simulate an emergency and allow your whole staff to go through all the steps they would take to deal with an emergency.
Despite all the preparation you might take to make sure that you never have an emergency, there is enough out of your hands that you will need to have appropriate insurance to cover your operation. Make sure your insurance actually covers the activities you are offering. This is a key mistake that can become a very costly mistake. Be sure to read the policy carefully. Is every activity you provide listed in your policy? Are you confident that there are no exemptions that apply to your operation? The best is to have a broker that is an expert in adventure travel to make sure that you have a professional set of eyes reading your policy.
As stated previously, your number one asset in the field is your guide. It is crucial to provide solid training of your guides and staff both for safety AND quality. From the recently released Adventure Travel Guide Qualifications & Performance Standard: “An Adventure Travel Guide is a guide with a general knowledge of a variety of skill competencies (i.e. interpretive, medical and sustainability) required to facilitate a group of clients through a range of terrains, environments and locales in a safe, manageable and respectable manner.” Making sure your guides have the proper training, and fully understand your companies value proposition is essential to fully harnessing their potential.
Another item to be aware of is to make sure you have addressed specific government requirements, and obtained permission to access the land where your trips will operate on. In the US this is sometimes not thought about until it is too late, and businesses find they are unable to obtain permits for public land. Other parts of the world might have company licenses that are required before you work with the public. These regulations are not always welcomed by our industry, but that doesn’t mean we don’t need to address them.
Finally, I want to encourage everyone involved in tourism to realize that we not only have an opportunity, we have a responsibility to do more than just create a “fun” experience for our guests. The impact of flying people around the globe and inserting them into our communities is not miniscule. What about traveling can change the world? How can we curate the experiences for our guests to create a net positive for our destinations? This is the question that we should face from the inception point of our companies.
I am confident that the adventure tourism industry will not shy away from these bigger picture issues. And I know there will be many passionate individuals that will want to dive in head first to start adventure companies. Let’s work together to make sure we create sustainable businesses that are benefitting the communities we live in, and the industry as a whole.
About Dan Moore:
Dan Moore has over 15 years experience as an entrepreneur, professional adventure guide, and educator. Dan is the CEO of Pandion Consulting & Facilitation, a travel industry consultancy and facilitation company based in Seattle, Washington (USA). Pandion’s mission is to raise the standards, quality, and sustainability of the travel industry. This is accomplished through facilitating community development workshops, designing and delivering industry training, and direct consulting with businesses and destinations. Pandion is respected worldwide for designing cutting edge tourism education products. The team’s vast operations knowledge, including guide training, permitting, sustainability, and staff management is what differentiates Pandion from other consultancies. Dan sits on several non-profit boards, and is a member of the faculty for Adventure EDU, the education and consulting arm of the Adventure Travel Trade Association. He also teaches Ecotourism, Adventure Travel, and Guide Training at Peninsula College in Washington State. Dan is the Chair of the International Adventure Travel Guide Standard.
In October of 2016, Pandion CEO Dan Moore headed to Sarajevo to deliver a 5 day guide training course for guides from Bosnia and Herzegovina, Serbia, Albania, and Montenegro. Here is a report on the training by Aleksandar Draganić:
Click the image above to read the full article.
By Dan Moore, CEO Pandion Consulting & Facilitation
The Adventure Travel Trade Association, an industry trade group headquartered in Washington State, held its annual Adventure Travel World Summit in Puerto Varas, Chile, October 5-9 2015. This is the organization’s 12th Summit, including the first two which were in Washington State, and was the 8th that I have attended. The sold out summit included over 700 delegates from 55 different countries. Delegates included outbound tour operators such as National Geographic Adventure and REI Adventures, inbound suppliers including Seattle’s own Evergreen Escapes, and some of the best-respected travel media such as Outside Magazine, Travel Weekly, and National Geographic.
The theme for this year’s Summit was “Viva la Revolución de la Aventura”. This theme relates to two aspects of the Adventure Travel industry. One, acknowledging the trend that Adventure Travel is one of the fastest growing sectors of the travel industry (growing from $89 Billion in 2010 to $263 billion in 2013*; 4 and 10 travelers choosing adventure*). And two, the efforts made by this industry to address issues of social and environmental sustainability – big challenges for the travel industry.
Speakers included the President of Chile, Michelle Bachelet, celebrity chef Rodolfo Guzman, Canadian Ambassador Tim Martin, and numerous experts from across the travel industry. Sessions included diverse topics such as risk management, conservation travel, adventure travel product development, big data, and indigenous travel. I delivered a presentation on the recently released Adventure Travel Guide Qualification and Performance Standard. Created by 18 professionals from 15 different countries, this standard gives destinations and companies a resource to meet international standards for guides. In addition to the inspirational and educational programming, the Summit is well known for the world-class networking. There are formal sessions, such as the one-day Marketplace (similar to a tradeshow), and the innovative Media Connect, which gives participants a one-on-one opportunity with the top tier travel media in attendance. Plus the coffee breaks, meals, and afterhours were priceless opportunities to share ideas and swap business cards.
For the destination, the Summit is an enormous opportunity to show of the best they have to offer. Attendees got to experience Chile’s adventure offerings on a multi-day Pre-Summit Adventure in places like Patagonia, Easter Island or the Atacama Desert, and on a Day of Adventure activity in the volcanoes and lakes region surrounding Puerto Varas.
Next year the Adventure Travel World Summit will be in Alaska. It is exciting to have the Summit coming home to the United States after traveling the world for the last 10. This will be a great opportunity for Washington State for many reasons. One, many of the international flights, and even some domestic will fly through Seattle opening up the possibility to host familiarization trips and promotions. Two, many of the outbound operators and media will be those that already work with the Western US and will be good contacts for Washington businesses to make. Three, the proximity to Seattle means Washington State delegates will pay less, and travel less to have access to this summit. Who knows, the Summit might be in Australia or India in 2017! Washington State is a robust and diverse destination. It stands very solidly as an Adventure Travel destination due to our diversity of geography, quality outfitters, and solid travel infrastructure. Attending the Adventure Travel World Summit is a great way to ensure we are on the map globally and able to tap into this growing and lucrative segment of the travel industry.
More on the Adventure Travel World Summit 2015:
Video highlights of the Adventure Travel World Summit 2015:
*Outbound travelers from the Americas and Europe – 2013 Adventure Tourism Market Study – Adventure Travel Trade Association and George Washington University Study
Community based tourism (where local communities deliver and benefit from tourism) to indigenous communities is not only a way to increase economic development, it is a way for indigenous communities to finally tell their history themselves. In the case of Quinquén, a Mapuche community in the mountains 8 hours South East from Santiago Chile, their history spans thousands of years and centers around the Araucaria (or Monkey Puzzle) tree.
I had the opportunity to visit this community after attending the Adventure Travel World Summit in Chile, thanks to Juan Ignacio Marambio of Travolution – a Chilean company that connects international travelers to indigenous community based tourism. Juan has been working with the Quinquén community for several years and assisted them in developing a program that shares their story and specificaly their work to save the Araucaria tree from being wiped out.
The Araucaria produces a piñon, or seed, that people in this region have depended on forever as part of their diet. That is why this groups name for themselves is Pehuenche. Pehuén is the Mapudungun (the Mapuche language) word for Araucaria, so they are people of the Araucaria. The Araucaria is sacred and viewed as brothers and sisters.
In the late 70’s and into the 80’s Chile was in the midst of its neo-liberal experiment, where corporations were given lots of power to reap profit from Chile’s vast natural resources. The timber industry expanded rapidly during this time and the ancient Araucaria forests were a prime target. Without any recognition that the land they were clearing was home to communities that have cared for and depended on these trees for millenia, the loggers moved in and spared no tree. After the pain of seeing their sacred tree nearly eliminated from the landscape, the community of Quinquén had enough. In the mid 80’s, with the support and advice of some international conservation organizations, they placed their own bodies on the line. Litterally forcing the logging companies to kill them if they wanted the trees. The military dictatorship sent the army in to do just that, but the Pehuenche people asked the powerful Araucaria trees to bring a snowstorm to stop the military. That night clear skies turned dark and it snowed more than anyone had ever witnessed in one night, and the army was prevented from committing their atrocities. This gave the community and their NGO allies more time to save their remaining forests.
The Araucaria is now a protected species in Chile, but the powers that be have a way to turn this against those that fought to save the tree. First, the loggers, upon leaving the territory committed numerous acts of deliberate sabbotage – felling trees that they had no intention of using, setting forest fires, etc. Additionally, the law says that no part of the Araucaria can be used. So it is officially illegal for Pehuenche people to harvest the Piñon or the downed trees and branches, as they have done for milenia. The final dagger in the gut is that their is no mention of this struggle in the conservation of the Araucaria. The official story is that the governement realized the importance of the tree and decided they should be saved.
Responsible and sustainable tourism is more than just creating economic benefits to communities. It is about giving voices to people whose history has been excluded from history books and whose contributions have the power to inspire future generations to conserve and respect the balance of nature.
Travel Oregon has invited Pandion back to Oregon!
Last February, Pandion designed and delivered a two day workshop in Portland for Oregon guides, outfitters, operators, packers, entrepreneurs and tourism businesses looking to develop or expand upon their outdoor recreation tour product. The workshops attracted 50 participants ranging in experience from about-to-launch to 30 year veterans.
This Fall we will bring the workshop to the adventure hotbeds of Central Oregon (Bend) and Southern Oregon (Ashland). Central Oregon, in the high desert, is well known for world class rock climbing at Smith Rock, Skiing at Mount Batchelor, and rafting the Deschutes River. Southern Oregon’s treasures include the mighty Rogue River, Crater Lake National Park, and the Oregon Redwoods. Existing businesses as well as those still in idea phase will benefit from the scope and breadth of the two day workshop.
These workshops spend time on the unique marketing needs of adventure travel and outdoor recreation businesses, and connect participants to the numerous resources from Travel Oregon. Land managers from BLM, US Forest Service, and National Parks will be on hand to give detailed descriptions of how to obtain commercial use permits and discuss best practices. And just as important is the opportunity to learn from, and network with, diverse businesses from throughout the region.
To learn more and to register click on this LINK. To bring Pandion to your community to conduct similar workshops email info [at] pandion.biz
October 28-29, 2015 in Bend, Oregon
November 18-19, 2015 in Ashland, Oregon
If you are based in Oregon, please consider attending one or both of the upcoming workshops we are conducting in Portland Oregon February 24th and 25th:
WHEN: February 24 & 25, 2015 | 9:00AM – 5:00 PM both days
WHERE: Jupiter Hotel Portland | 800 East Burnside St. Portland, Oregon 97214
RSVP: Here! Registration closes Feb. 20, 2015 and is limited to first 50 registrants
COST: $10 for 2 day registration
DAY 1: FEBRUARY 24
Connecting your business to the world: Understanding and attracting the international and high-value traveler
DAY 2: FEBRUARY 25
Navigating Permitting, and Setting up Successful Operations
Food & Drink:
More information HERE.