Strengthening Canada’s Indigenous Tourism Sector: Evaluation of the Northern Tourism Recovery Incubator Program

Before the COVID-19 pandemic, the Indigenous tourism sector in Canada was a growing contributor to economic development and job creation. However, the pandemic severely affected this sector, reducing its GDP footprint by 69% in 2020. Although some recovery was seen in 2021, the sector is still far from its pre-pandemic peak. Tourism is particularly vital for Northern Canada, where it not only drives economic growth but also supports Indigenous community development, wellness, cultural preservation and environmental stewardship. Destination Canada has set an ambitious goal to increase tourism revenue from $78.3 billion to $105.1 billion by 2025, with $1.9 billion coming from Indigenous tourism. For its part, the Indigenous Tourism Association of Canada (ITAC) shares the goal of generating $1.9 billion from Indigenous tourism and aims to establish 1,900 Indigenous tourism businesses and create 40,000 Indigenous tourism jobs by 2025.

To revitalize Indigenous tourism in Northern Canada, the NRI program was launched, led by ITAC in partnership with the Diversity Institute at the Ted Rogers School of Management, and funded by the Future Skills Centre. The program aimed to support 100 Northern Indigenous tourism businesses in achieving market readiness. It also sought to provide insights for future policy and program development.

The NRI program had four objectives:

• To support 100 Northern Indigenous tourism businesses in achieving a greater level of market readiness through assessment, in-person learning at the International Indigenous Tourism Conference and targeted business support
• To improve the business offerings so Indigenous business can recover jobs and increase or recover revenues lost because of the COVID-19 pandemic
• To produce insights into program elements and approaches that are most effective
• To inform implications for practices, programs and policies.

The NRI program undertook several initiatives:

• Needs assessments: 103 businesses were recruited for needs assessments, surpassing the target. The assessments focused on aspects such as community engagement, visitor experience, health and safety, sustainable tourism, marketing and business practices. By the program’s end, 57 businesses had received accreditation.
• International Indigenous Tourism Conference: Held in March 2023 in Winnipeg, the conference brought together 76 businesses from the NRI program. Despite logistical challenges, the conference was successful in fostering learning and collaboration.
• Business support: Tailored support, including up to $10,000 in funding, was provided to 52 businesses. This assistance addressed needs identified during assessments, with a focus on digital marketing and business improvements.

The program's effectiveness was assessed through surveys and needs assessments. While the needs assessments provided valuable insights into business readiness, the followup assessments were limited by privacy constraints. The post-program survey, completed by 37 of the 103 participants, revealed high satisfaction, with 76% of respondents likely to recommend ITAC. Participants appreciated the business support, networking opportunities and tailored assistance. However, they also highlighted areas for improvement, such as the need for more individualized support, additional funding and better communication.

Based on the report’s findings, the following recommendations are proposed:

1. Enhance communication and outreach: Improve program awareness through proactive, transparent information dissemination and personalized outreach.
2. Tailor support to diverse needs: Provide more personalized assistance, such as dedicated consultants and individualized development plans.
3. Improve the needs assessment process: Simplify the assessment questionnaire and offer alternative completion methods to capture diverse business needs better.
4. Streamline financial support: Simplify financial support processes, including application and reimbursement procedures, and consider increased funding for travel costs.
5. Address broader business challenges: Offer additional support in financial literacy, business forecasting and employee management to help businesses adapt and build resilience.

The NRI program has made strides in supporting Indigenous tourism businesses in Northern Canada. Its impact on economic recovery, community development and cultural preservation is significant. Continued support and targeted improvements are essential to sustaining and expanding these benefits, ensuring the long-term well-being and development of Indigenous communities, and the sustainable growth of a strong Indigenous tourism sector in Canada’s North.