Coromandel tourism: review says local tourism operator could make improvements

Hot Water Beach at sunrise on the Coromandel Peninsula. Photo / Tourism New Zealand

A review of Coromandel’s regional tourism organisation, Destination Hauraki-Coromandel (DHC), has revealed the organisation could step up its game in some areas.

DHC is promoting the Coromandel and Hauraki region and its visitor attractions and is funded by the Hauraki and Thames-Coromandel district councils.

The review was undertaken by consultancy firm Martin Jenkins who made multiple recommendations including appointing a new set of at least five directors.

The review, together with a summary by the Hauraki District Council community development adviser, Ariana Tahere, would be discussed at a Hauraki District Council meeting on Wednesday.

In the review’s summary, Tahere said DHC was fulfilling its core purpose, but there was “room for improvement in defining its performance expectations”.

Those improvements included having more specific targets and better defining the role DHC should play in supporting destination management.

Martin Jenkins also recommended the Thames-Coromandel and Hauraki District councils change the DHC trust deed to enable the number of DHC trustees to be increased to a minimum of five to support broader sector representation.

It was also recommended that both councils appoint a new set of at least five directors to the DHC board for the next financial year, based on a “balanced” combination of sector experience and required governance expertise.

The review further outlined options to “enhance the future delivery of destination marketing and management activities”, Tahere said in the summary.

“These options include ... enhancing the current approach, transferring some activities to the council ... and enabling DHC to operate as an independent organisation.”

Destination Hauraki Coromandel general manager Hadley Dryden.

However, the review also said that DHC was performing well “to meet existing key performance indicators and return on investment measures” despite facing challenges including Covid-19, Cyclone Gabrielle and the closure of State Highway 25A that affected its operations.

So, Tahere said, an “enhanced status quo” was the preferred option for the DHC’s future, meaning improving the existing model rather than making any substantive changes.

Tahere said the Thames-Coromandel District Council already endorsed the review recommendations, and the Hauraki District Council should do the same.

“It is important that Hauraki District Council endorse any future work undertaken by the DHC, just as the Thames-Coromandel District Council has done, to ensure aligned efforts in supporting DHCC through the changes ahead and achieving the best possible outcomes for our districts and investments in the future.”

Destination Hauraki Coromandel general manager Hadley Dryden said the organisation had provided all information it could to support the process.

“We have had no problems with the review or the process.”

Lonely Bay is considered a hidden gem in The Coromandel. Photo / Tim Roxborogh

When the Hauraki-Coromandel Post approached Hauraki District Mayor Toby Adams for comment, Adams said he would not comment on the matter until after Wednesday’s meeting.

The review comes as both councils decided to continue their funding for DHC in their draft long-term plans. Other Waikato councils decided to propose cuts to funding for their local tourism organisation, Hamilton & Waikato Tourism.

The Hauraki District Council contributed $136,486 to DHC in 2023-24. The organisation had asked for an increase in funding, but a council spokesperson said the council had to take other cost pressures into account.

The Thames-Coromandel District Council also proposed no changes to the existing budget allocated towards supporting destination marketing and management.

In its draft plan, they suggested contributing $494,000 in 2024, $504,000 in 2025, $514,000 in 2026 and $524,000 in 2027 to DHC.

The review noted that DHC operated on a lower budget provided by local governments compared to other regional tourism operators and could therefore “explore additional funding from private and non-local government sources”.