One of the key challenges facing the Norwegian tourism sector is its relatively low level of value creation and profitability compared to that of other industries. This is due to factors such as a low share of high value-added tourism products, seasonality and lack of co-operation in and between destinations. Certain destinations also face the challenge of tourism developing in an unsustainable way, with overcrowding becoming a major issue at certain times of the year.
In 2017, the Norwegian Government and Parliament established the following national policy priorities for developing Norwegian tourism: i) establishing sound framework conditions for business activity, ii) developing a sustainable tourism industry, iii) increasing co-operation between stakeholders, iv) continuing to promote Norway as a tourism destination, v) increasing knowledge and expertise in the tourism industry, and vi) improving accessibility to boost competitiveness. The Government has also previously developed a tourism strategy based on agricultural resources (2017), which is now being implemented, focusing on Norway as a destination with unique food experiences.
The Government has recently increased public investments in infrastructure in Norway, focusing on developing safer, more efficient and greener transport systems. In order to improve co-ordination and effectiveness, the structure of Norway’s DMOs has been amended, with the private sector now taking a leading role following principles set out by the Government. Seven new larger entities have been established to secure more reliable and stable financial arrangements, as well as facilitating co-ordination between the local tourism industry and local public authorities.
In 2019, a key policy development was the launch of the cultural tourism strategy. The work was led jointly by the Ministry of Culture and the Ministry of Trade, Industry and Fisheries with input from many other interest groups. This strategy recognises the potential to further combine culture and tourism, and focuses on developing more cultural-based tourism products. With a budget of NOK 16.4 million the goal for the strategy is to strengthen Norway as an attractive cultural destination, resulting in higher added value, reductions in seasonality and more jobs across both sectors. The strategy has four priority policy areas: i) strengthening Co-operation among culture and tourism stakeholders, ii) addressing a need for more knowledge of cultural tourism, iii) developing and adapting cultural tourism products to make Norway more attractive as a destination throughout the year, iv) increasing promotion of the cultural offer to strengthen Norway as a destination.
The Government is also taking steps to mainstream sustainability. This includes the creation of a Sustainable Destination certification scheme, which enhances destination management and aims for long term progress. The sustainability standard is internationally recognised through the Global Sustainable Tourism Council with indicators regularly updated by certified destinations (Box 3.9).
