© La Mano Del Mono

The Impact of the Market Ready Tourism Model

8 August 2024
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Adventure and experiential tourism is a constantly growing sector that, with proper management, can generate significant impacts on the well-being of local communities and the regeneration of their natural areas. However, we face considerable systemic barriers: over 85% of experience providers in Mexico are not prepared to connect with this market.

In this scenario, the Market Ready Tourism model emerged in 2014, co-created in partnership with the Indigenous Tourism Association of Canada, Small Planet, AMT Marketing, and La Mano del Mono as a catalytic model to guide adventure and experiential tourism companies and destinations to be ready and connected with markets, promoting the sustainability of the sector. To date, the Market Ready tools have strengthened more than 650 companies operating in 100 natural areas in over 15 countries. However, it is important to recognize that this positive impact would not be possible without the hard work and commitment of the communities who have been the authors of their own development and sustainability in their ventures.

Local Companies, Global Impacts

In this article, we explore the impact achieved by local companies that have participated in the "Sustainable Destinations Cultivation and Market Ready" strengthening program. The impact measurement was carried out in partnership with Alterna, a leading organization in Central America in promoting social businesses, researching their markets, and the impact measurement learning community comprised of: Credicampo (El Salvador), Cunori-ProMipyme (Guatemala), Filantropis (Guatemala), La Mano del Mono (Mexico), Plan International (Guatemala), ASOREMI (Guatemala), and Centro de Derecho de Mujeres (Honduras).

Market Ready Tourism Impact Methodology

Companies from Guatemala, Honduras, and Mexico, strengthened with the Market Ready Tourism (MRT) model, participated voluntarily in a process of evaluating the impacts generated by each of them. During this study, we also investigated how the model contributed, or not, to the occurrence of these impacts. This measurement allows us to recognize both the direct impact of the companies and the indirect impact of the model. The participating companies are transitioning from a “visitor ready” profile to a “market ready” profile based on the profiles of the Market Ready Tourism Model.

The measurement process was carried out through virtual sessions, phone calls and a follow-up channel via WhatsApp during the months of January, February and March of 2024. 

In 2022, 20 companies joined the measurement. By 2023, the number of companies called increased to 41, highlighting a notable increase in the percentage of interest in knowing their impact. In addition, it is important to note that 88% of these participating companies are currently operating, and more than 85% indicated that they do so formally, i.e. they have a legal status.  

Jobs Driven by Companies after the Sustainable Destinations Cultivation and Market Ready Tourism

A comparative analysis was conducted on the job opportunities generated by companies in 2022 and 2023. These results reflected the growth of the sector and the evolution in employment practices.

In 2022, the 20 participating companies created a total of 324 jobs. Of these, 32% were female employment, indicating that approximately 104 women were employed by the group of companies. However, only 18% of the jobs had legal benefits, which equals about 58 jobs with formal benefits. Additionally, 66% of the positions were under verbal contracts, indicating that about 214 workers did not have written contracts, implying informal working conditions.

In 2023, with the significant increase in the number of participating companies (65), the total monitored jobs grew significantly, reaching 534 people. However, jobs with legal benefits remained constant, suggesting that despite the growth in the number of positions, a smaller proportion of these were formalized with legal benefits. This means each company generated an average of 8 formal jobs.

It is important to highlight that despite the challenges, there was a significant change in the nature of the work as full-time jobs increased by 20% in 2023 compared to 2022, accompanied by a 20% decrease in part-time jobs. This change indicates progress towards more stable positions and potentially better working conditions, highlighting a positive aspect alongside the persistent informality in the sector.

"La Mano del Mono has supported us with several courses for growth and I have nothing but gratitude for the community projects." – Expediciones Amatlatzcas

Women in the Workforce

One of the most outstanding achievements is the significant increase in female employability. In 2022, 32% of the workforce in participating companies was comprised of women. By 2023, this percentage increased significantly to 45%, reflecting the commitment of the Market Ready model and the companies to drive gender equity in tourism. This increase in women's participation in the companies' workforce after participating in Market Ready Destination Cultures is evidence of the positive and lasting impact of the training and market connection initiatives driven by the model.

To achieve this progress, specific activities designed to integrate and enhance female participation in specialized training were implemented. Selection criteria were established that favored the inclusion of women and facilitated the attendance of workshop participants by offering childcare services so that they could bring their children. In addition, female participation in the workshops was closely monitored to ensure equality of voice and opportunity.

In the analysis of female employment within the participating companies, a strong presence of women in leadership roles was observed. A significant percentage of this female workforce, approximately 75%, occupies managerial positions, indicating that women are not only starting businesses but also taking on leadership roles within them. This data highlights the presence of women in business leadership roles, reflecting growing gender equity in the business environment. Prior to this measurement, the primary roles of women were in cooking and crafts.

"My gratitude for dedicating all your time and effort to providing entrepreneurs with the necessary tools to grow their business." - AdAnna Natural Cosmetics

© La Mano Del Mono

Business Performance and Financing

The Market Ready Tourism model has been crucial in strengthening the business capabilities of the participating companies. In 2022, only 18% of these companies were considered consolidated. By 2023, this percentage had significantly increased to 42%, demonstrating that more companies are achieving greater stability and success in their operations.

This strengthening is also reflected in total sales. In 2023, companies showed an annual growth of 45% in revenue generation compared to 2022 after the cultivation, underscoring the positive impact on their process improvements. However, these data reveal a significant pain point in the sector: while there is an increase in sales, the gross sales amount per company is low. This means that leading nature tourism companies have a high potential for increased sales, but they need better preparation and greater market connection to achieve this.

Environmental and Social Impact

The Market Ready Tourism model has also promoted greater awareness and responsibility in terms of environmental and social impacts. In 2022, 100% of the companies reported implementing practices that generate positive socio-environmental impacts. In 2023, this commitment was maintained, demonstrating an increasing dedication to sustainability and environmental protection. These increases reflect the success of the model in integrating sustainable and responsible practices into business operations, contributing to the well-being of communities and the environment.

The comparative analysis of the Market Ready Tourism model between 2022 and 2023 reveals a notable evolution in its impact and effectiveness. Participants believe that the model supports them in developing their skills and tools to boost their businesses and attract visitors, evaluating the value received from the model with a 4.5 in 2022 and a 4.6 in 2023 (out of 5). The most notable aspect was the significant increase in the likelihood of recommending the program, with a score of 9.37 out of 10 in 2023, compared to 9.00 in 2022. These results suggest greater satisfaction and confidence in the program in its second year of implementation.

“Congratulations to the organizers of the Market Ready Tourism Model (La Mano del Mono) because it is a program aimed at community entrepreneurs, those people from the communities who dare to form a company to improve the quality of life in their town while protecting the environment." - Expediciones Amanalco

Conclusions on the Evolution of the Adventure and Experiential Tourism Sector

In the past 50 years, 50% of Mexico and Latin America's forests have been deforested, mainly due to extractive economies such as livestock, extensive agriculture, or mining. Additionally, 50% of the rural and indigenous population has migrated from their lands due to a lack of economic opportunities. Although the adventure and nature tourism market is growing at a rate of 15% per year, representing a significant opportunity for sustainable development, this opportunity is not being leveraged by local companies, mainly due to a lack of tools and capabilities to access and connect with their potential visitors.

The Market Ready Tourism model and local companies have demonstrated not only strengthening individual business capabilities but also promoting a positive environmental and social impact within their destinations. Moreover, the integration of sustainable practices, gender equity, and social impacts has driven real impacts in their destinations.

This evolution is contextualized within a broader environment of strengthening the adventure and experiential tourism sector. The increase in company participation reflects an increase in business activity and commitment. Additionally, it is encouraging to see that, along with this growth, the presence of women in business and leadership roles has been consistently growing, with women occupying managerial or decision-making positions.

Through the Sustainable Destinations Cultivation and Market Ready program, destination managers (including international cooperation, national and subnational governments, and international NGOs) have found a reliable, cooperative, precise, measurable, replicable, and easy-to-follow model. They have also found the necessary tools and strategic information to invest efficiently in the sector. As a result, nature destinations and their companies have the tools and capabilities to attract visitors and provide high-quality, safe, profitable, and sustainable experiences. This has led to more efficient and significant investment in nature tourism companies, promoting a sustainable economy that contributes to the conservation of natural areas and the well-being of local communities.

Local Companies, Global Impacts

It is crucial to recognize the effort and dedication of the communities driving these companies, as well as strategic partnerships that have strengthened business capabilities, contributing to the regeneration of natural areas and the well-being of local communities. We appreciate the collaboration of key allies such as USFWS, Fundación Azteca, German Cooperation GIZ, USAID, Alterna, Sustentur, Chujum Lab, SECTUR, CONANP, INGUAT, CONAP, and the local companies, demonstrating a growing commitment to the conservation of their biodiversity and the well-being of their communities through adventure and experiential tourism business models in nature destinations. Market Ready Tourism is a reliable, cooperative, precise, measurable, and easy-to-follow model, globally replicable and scalable, driven in Latin America by La Mano del Mono (LMDM) through strategic partnerships.

This article was co-created by Alejo Heymo, Operations Circle Coordinator; Mauricio Miramontes, Alliances Coordinator; and Viviana Vásquez Duque, Communication Leader of La Mano del Mono (LMDM).

© La Mano Del Mono

Contributing members are responsible for the accuracy of content contributed to the Member News section of AdventureTravelNews.

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