")); wwww.accomnews.co.nz - Reform and review overdue

Sunday, 10 February 2013

Reform and review overdue

The absolutely incredible rise in Local Authority debt in recent years, and the amazing salaries being paid to Local Authority workers, should have been cause enough for reform and review long before this!

Those of us that toil away in the private sector shoulder the one burden that public sector organisations never have to worry about. We have to earn it before we spend it and, if we borrow it, we have to pay it back; and if we don't pay it back we lose our house etc.

Our "friends" in the banking industry (yes, those organisations that gave us that epic "the global financial crisis") create so many barriers and burdens for private sector borrowers, especially those at the smaller end of the company size game, that they are dis-incentivising the private sector from reinvesting etc. All because we can't, unlike Councils, raise the prices and compel the people to pay!

I do believe that Councils need to stop looking at the commercial sector as some sort of money tree, or cash cow, and recognise that working together can create growth. Growth creates jobs and jobs increase the value of the community. Partnerships with the business sector are the ticket. That old acronym TEAM (Together Everyone Achieves More) works; a community is a team; strong leadership, everyone knowing what their role is and complete faith in one's team members creates great teams. I think Councils need to create great commercial teams in their communities to go forward.

I am a bit down on 3rd party booking sites currently. There are some clever players in this field and they have worked out that those that search your property directly can be still be induced to book through their site. They bid for your name and you give them permission to do it! My problem with the overseas booking sites is that the commission we pay them is an import. That money is repatriated off-shore!

People that are looking for you specifically are not aware that they are booking through a commissionable channel when they go to the site at the top of the list. Search your name on Google specifically and see what happens.

I have yet to see a third party site do anything for the New Zealand accommodation sector, other than to try and drive down prices. There is no investment from their income back into this country unlike sites like AA, Jasons, Bookit etc!

I can't believe that RTOs and Government organisations use the 3rd party sites to promote their area; it does somehow seem disloyal and it is counterproductive. I still believe that NZ stands for New Zealand. We need to maximise our investment returns to New Zealand, not subsidise off-shore organisations. If the Local organisations were no good then OK, but we have some great companies in this space here, and they should be supported!

All in all, 2012 won't be as bad as 2011. Earthquakes, ash clouds, Tsunamis, World Cups and elections all in one year took some beating. 2012 will be better!

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