Hiking market research and opportunities in Cabo Verde Prepared by the Adventure Travel Trade Association (ATTA) for the World Bank March 2023 © 2023 The World Bank Group 1818 H Street NW Washington, DC 20433 Telephone: 202-473-1000 Internet: www.worldbank.org All rights reserved. This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. Nothing herein shall constitute or be considered to be a limitation upon or waiver of the privileges and immunities of The World Bank, all of which are specifically reserved. Rights and Permissions The material in this work is subject to copyright. Because The World Bank encourages dissemination of its knowledge, this work may be reproduced, in whole or in part, for noncommercial purposes as long as full attribution to this work is given. Any queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; email: pubrights@ worldbank.org. Photos ATTA/Gustavo Timo 2 Foreword Does Cabo Verde have the potential to become a world-class hiking destination? This was the main question the ATTA team of experts had in mind when starting this research report commissioned by the World Bank in the last months of 2022. The approach chosen to find a consistent answer includes a consumer survey, a trade perception survey, a competitor analysis, a site visit including interviews with multiple stakeholders, and an analysis of existing intel and information on the topic. The answer is promising. Internal conditions and external factors tell us that Cabo Verde can become a world-class hiking destination and a reference in sustainable economic development by using adventure travel as a tool. Nevertheless, the challenges to get there are significant. Public and private sectors need to work together and make consistent decisions and smart choices on the journey to sustainable development. The internal conditions are positive. Cabo Verde is a stable and peaceful country, with mild temperatures year-round, an extensive existing trail system throughout the islands, experience with tourism as 25% of its GDP, and easy access to some of the most important global outbound markets. Cabo Verde's public sector is willing to implement supportive public policies for the industry, and the private sector is in many cases export-ready or willing to make the investment to grow. Visitors have a high average stay and high spend and show a high level of satisfaction, especially hiking travelers. Regarding external factors, the post-COVID-19 tourism sector forecast brings a positive outlook, especially for authentic, off-the-beaten-track destinations like Cabo Verde that are currently only known in a few markets (e.g., France and Germany). The hiking market size, although hard to measure with precision, has great potential and moves millions of travelers a year willing to experience a new trail, as can be observed with a competitor's analysis that shows practical examples of how other destinations have become successful within this travel niche. Having had the opportunity to be in Cabo Verde, experience the unique country hospitality "Morabeza," hike the trails, talk to the people, be amazed by the combination of earth and ocean, and its colorful dramatic landscapes, eat the fresh food, based on my almost 3 decades of experience in destination development work, I believe that growth is inevitable. So the question to be answered is, how to grow in a way that is sustainable, ensuring local communities are being prioritized in investment opportunities, job creation, and entrepreneurship, especially for youth and women? Santo Antão can be used as a reference to start answering this question. The island is the main hiking destination in Cabo Verde and still has a lot to grow and work to do on many fronts but 3 can and should be a place to start, as it has been with initiatives from the World Bank and EU, with Projeto Raizes as an example of best practices. Santo Antão has the higher number of accommodations (although not the higher number of rooms) in Cabo Verde, suggesting that small family-owned businesses are an opportunity for entrepreneurship. This foundation can be used by others, for example, restaurants, cafes, shops, rental cars, tours and activities, and craftsmanship, to be developed to enable the tourism value chain to be sustainable. The other elements of this answer include a focus on local farming and agriculture, deepening and diversifying product development, protected areas integration, trail management and monitoring, the complementary experience the islands can offer, and finally another final question: What type of travelers does Cabo Verde want to have? We expect to shed some light on these questions and reflections on how to enable public and private partnerships and smart decision-making for sustainable development in Cabo Verde. Gustavo Fraga Timo Vice President, Product and Destination Development Adventure Travel Trade Association 4 Table of Contents Acknowledgement 6 Acronyms 6 Executive summary 7 Part 1 - Research approach 10 Part 2 - International hiking market and the potential for Cabo Verde 11 Defining the adventure travel sector 11 Hiking: the most popular adventure activity 13 Local economic impact of adventure travel 13 Hiking traveler profile 14 Size and growth projections for the international hiking market 16 European kiking market 17 Global hiking gear & equipment market 18 Identified gaps in the existing data 19 Part 3 - Description of Cabo Verde and Santo Antão 20 Travel industry in Cabo Verde 23 Adventure Travel Development Index 26 Travel sector in Santo Antão 27 Part 4 - Competitor analysis 28 Main competitors and Benchmark in the hiking market: best practices with potential replicability in Cabo Verde 28 Relevant and replicable best practices 42 Part 5 - Feedback from travel trade 44 Part 6 - Feedback from hiking tourists in Cabo Verde 51 Part 7 - Site visit and interviews 58 Part 8 - Conclusions and recommendations 61 Recommendations 62 Recommendations summary table 68 References 71 Appendix A. Interviews 74 Appendix B. Recommendations for adventure tourism, nature and ecotourism thematic fairs for Cabo Verde 2023-2024 75 5 Acknowledgements This report was prepared by Polyana Pugas, Nicolas Caram, Heather Kelly and Gustavo Timo for the Finance, Competitiveness & Innovation Global Practice of the World Bank Group under the leadership of Cristina Navarrete Moreno, Bradley Weiss and Louise Twining-Ward. The team would like to thank Eneida Fernandes, Resident Representative for Cabo Verde, and the Cabo Verde World Bank office for their support and guidance during the field mission. The team would like to express its gratitude for the excellent contributions received from stakeholders in Cabo Verde in the preparation of this report. Acronyms AP Appalachian Trail APC Appalachian Trail Conservancy ATDI Adventure Tourism Development Index ATTA Adventure Travel Trade Association B2B Business to Business transaction B2C Business to Consumer transaction CBI Center for the Promotion of Imports from Developing Countries of the Netherlands DMO Destination Management Organization DOC Department of Conservation of New Zealand EU European Union GW IITS George Washington University International Institute of Tourism Studies HDI Human Development Index IEFP Instituto de Emprego e Formação Profissional INE Instituto Nacional de Estatística of Cabo Verde NPS Net Promoter Score NPS-US National Parks Service of the United States TIA New Zealand’s travel association, Tourism Industry Aotearoa UNWTO United Nations World Tourism Organization WB The World Bank 6 Executive Summary The World Bank, in coordination with the Government of Cabo Verde, has partnered with the Adventure Travel Trade Association (ATTA) to develop a research study about the current status of the adventure tourism sector in Cabo Verde, particularly the hiking segment. The purpose of this research is to understand the potential of Cabo Verde as an adventure travel destination and the island of Santo Antão as a world-class hiking hotspot. The methodology followed a four- pronged approach to incorporate the vision of travelers visiting the country, the trade industry and international tour operators, a technical expert analysis, and secondary research of the hiking sector globally. The analysis provides a roadmap to advise the country's stakeholders in taking the relevant decisions to accelerate the path to achieve this objective. Cabo Verde is currently in the first steps of development to become a globally recognized hiking destination. It has a history of economic success, being an example for other Sub-Saharan countries. The tourism industry is now the biggest economic activity in terms of contribution to GDP, as is common for many island countries. However, most of the visitors are attracted by Cabo Verde’s sun and beach assets. There is much to do if the decision is to expand the adventure travel segment, which has been empirically proven to bring higher returns than mass tourism. This report provides a description of the international hiking market, surveys done to international hiking travelers and global adventure trade, together with an expert site visit to perform interviews with key stakeholders. A primary conclusion is that soft adventure has become the mainstream of adventure tourism, and hiking is the leading soft adventure activity. This context provides an understanding of the potential for Cabo Verde to keep developing and promoting this travel segment. The main findings of this research report translate into a general vision of the future of tourism. Cabo Verde should decide which tourists it wants to attract, having sustainability and inclusive growth as key aspects of this path. The country should look for the coexistence of hiking tourism with sun and beach and cruise tourism. Adventure travel management requires integrating the management of protected areas, innovation, entrepreneurship, job and income generation. Following this route will rapidly contribute to the establishment of economically active populations, especially the youngest on the islands. To ensure this future, Cabo Verde needs to invest in technical assistance and professional training for nationals, members of the diaspora and foreigners. The recommendations consider the following four key initiatives, which are followed by a practical action plan for each of them. Further detail is supported in the recommendations section of this report. 7 Prioriza Key Initiative Action Plan tion A. Caminhos Vicinais is a key strategic asset: governance, 1. An Economic Feasibility Study with International management and funding Benchmarking related to Governance, Management and 1 needs to be addressed and Funding Mechanisms with a 5-25* years’ time frame should be solved for. developed to support the decision making process. 1. A Capacity Building strategy should be developed focusing on product development considering enabling and incentivizing 3 entrepreneurship and employment around Caminhos Vicinais with a focus on youth, women and diaspora citizens. 2. Fostering entrepreneurship around Caminhos Vicinais, B. Product development and focused on entrepreneurs, company owners, managers - 1 sustainable economic ProEmpresa development is a must and should drive 3. Training and qualification of people, focused on entrepreneurship, job 1 professionals, employees, service providers - IEFP creation, and investment 4.Portfolio of Investment Opportunities - Tourism Ministry 2 5. Coordinate two field trips to learn about the experience of the main two hiking destinations that Cabo Verde can learn 3 about. 1.Adopt ISO standards for Adventure Tourism as a reference for Tourism operators: safety, guides, sustainability and customer information - IGQPI 1 These norms should be references for Proempresa and IEFP programs 2. Update legislation and training curriculum for nature and 1 hiking guides - National Government C. Public Policies, Regulations improvement and technical 3. Consider legislation that recognizes the Caminhos Vicinais as standards to support the a heritage of Cabo Verde and can regulate its governance, triad: Caminhos Vicinais, management and financing mechanism - National Government Produtos da Terra e Local bringing the potential following benefits: public (national and 1 Family Owned Farming international) recognition, protection and conservation programs, funding (ongoing and emergency), integration with protected areas management plans, etc. 4. Consider legislation that formalizes an integrated regional development government program for the development of sustainable tourism in the North and South Islands, including 2 ministries and other government bodies ITCV, Proempresa, IEFP, IGQPI, etc. 8 5. Consider legislation to encourage family farming and 3 products from the land - National Government 1. Develop Cabo Verde's brand and marketing plan in 1 Sustainable Tourism - Ongoing with THR consulting 2. Define main target markets. 1 3.Enable action focus on the tourism trade (B2B) - Develop a promotional strategy with a focus on the niche market 1 considering the most important trade shows in each key target market. D. Sustainable travel 3.Enable action focus on the tourism trade (B2B) - Realization 2 branding and marketing of Famtours: Tour Operators/Media/Online Travel Agencies 4. Activate actions for the final consumer (B2C) - Conduct a 1 Campaign with Cabo Verdean Influencers 4. Activate actions for the final consumer (B2C) - Develop a Cabo Verde storytelling project with social media and paid ads 2 distribution 4. Activate actions for the final consumer (B2C) - Sponsor Cabo 3 Verde landing page in relevant media outlets in key markets The journey to become a world-class hiking destination is within reach for a country like Cabo Verde with its natural and cultural heritage. However, focusing on less sustainable economic sectors that provide a lower impact on the country could mean taking longer than necessary. Decision-makers need to assess now how much priority will be given in the next few years to achieving this vision for the future. 9 Part 1 - Research approach The research used a four-angled analysis to better understand the current development status and conditions of the travel sector in Cabo Verde. Additionally, it looked to disentangle what are the main gaps that are preventing Cabo Verde to develop as a world-class hiking destination. These four angles present the vision of the different stakeholders related to Cabo Verde’s tourism sector. The following figure illustrates the research approach. Actionable Plan Figure 1: Four-angle research approach. The four angles consisted of the following: 1. Feedback from hiking tourists in Cabo Verde: A survey was conducted with hiking tourists in Cabo Verde to understand their profiles, interests, travel patterns, activities, satisfaction levels, perceptions, likelihood of returning, and recommendations for improvement. The survey was designed by ATTA and administered by a local firm, with technical guidance and quality control provided by ATTA. The survey was limited to the island of Santo Antão to minimize costs. 2. Secondary research on the international hiking market and competitor analysis: Relevant research, studies, and statistics on the international hiking market were reviewed to provide insights into the demographic profile, travel patterns, expenditures, needs, desired destinations, source markets, and trends of hiking tourists. This research also estimated the overall size and growth projections for the international hiking market. Cabo Verde's primary 10 competitors in the hiking market were identified and benchmarked against Cabo Verde's offering and market positioning. 3. Site visits and interviews: An ATTA expert visited Cabo Verde's primary hiking destinations, including Santo Antão, São Vicente, and Santiago, to evaluate the hiking offering and interview key stakeholders such as the Ministry of Transport and Tourism and the National Tourism Board. Relevant regulations were also reviewed. 4. Feedback from travel trade: A survey was conducted with international tour operators in key markets for Cabo Verde to gain their perceptions of the Cabo Verde hiking tourism offering. The survey included questions about general perceptions, hiking opportunities, commonly sold tours, activities, safety concerns, challenges, and recommendations. Based on the information gathered, ATTA identified key gaps that Cabo Verde must address to improve its hiking segment, such as infrastructure, safety, product development, training, community engagement, policy, statistics/data collection, and marketing/promotion. Recommendations were developed to address these gaps, incorporating best practices from successful international hiking destinations and validated by key stakeholders. The strategy also includes a discussion of environmental and socio-cultural factors, including the sustainability of growth in key hiking islands. Part 2 - International hiking market and the potential for Cabo Verde Defining the adventure travel sector Adventure travel is a type of tourism involving exploration or travel with perceived (and possibly actual) risk, and potentially requiring specialized skills and physical exertion. Adventure tourism has grown in recent decades, as tourists seek different kinds of vacations, but measurement of market size and growth is hampered by the lack of a clear operational definition. According to the U.S.-based Adventure Travel Trade Association (ATTA), adventure travel may be any tourist activity that includes two of the following three components: a physical activity, a cultural exchange or interaction, and engagement with nature. According to Adventure Travel Trade Association (ATTA), adventure travel accounts for a minimum of 30% of global travel. The need for individual, more active, and socially distanced travel during the recovery from the COVID-19 pandemic is strongly present and provides a good environment for the growth of adventure tourism. 11 Figure 2: Definition of Adventure Tourism.1 Physical activity is one of the essential components of adventure travel, which may include activities such as rafting, white water kayaking, sea kayaking, mountain biking, hiking, trekking, canyoning, and mountaineering, among others. Hiking and trekking are of particular interest in this project. Hiking is a long, energetic walk on hiking trails or footpaths through a natural environment for a day or overnight. It typically requires less equipment than trekking, and its duration is usually no longer than two days. It is considered a soft type of adventure activity, but it still requires some physical capacity. Trekking involves a more vigorous walk in a wild natural environment for several days, and it is not necessarily limited to established trails. It requires more equipment than hiking and is considered a longer and more challenging activity. For this project, hiking and trekking are the primary activities to be studied and promoted, and Santo Antão is the main island and destination recognized for its potential to attract adventure travelers. It is worth noting that travelers who are interested in hiking and trekking typically prefer a diverse itinerary that includes other adventure and non-adventure activities. While hiking and trekking can be the main reasons for traveling to a particular destination, they can also be complementary activities to another primary motivator or even planned when visitors are already at the destination. Therefore, for international promotion, a destination like Santo Antão could focus on hiking and trekking as primary activities while also taking advantage of other market positions that the island offers. For instance, it could promote other activities while offering trekking and hiking as complementary activities to those other travel segments. For example, people visiting Cabo Verde for the sun and beach attractions may also enjoy a half-day hike nearby. Similarly, hiking can be 1 https://www.adventuretravel.biz/education/adventure-edu/guide-standards/adventure-travel-guide- qualifications-performance-standard-iii-definitions/ 12 offered as an incentive to stay longer on São Vicente Island, which is known more for its cultural attractions. Hiking: the most popular adventure activity In 2006, ATTA conducted a study to understand the most representative and frequently performed activities in adventure travel. That year, adventure travelers sought out strenuous and thrilling activities involving relevant levels of risk. The most recognized activities were rock and mountain climbing, followed by rafting, trekking, sea and whitewater kayaking, and canoeing. Ten years later, ATTA, along with Outside magazine and East Carolina University, conducted a follow-up study involving over 8,000 people. The results showed a significant change in the type of activities adventure travelers were seeking. Hiking, which was not mentioned in the top five activities in 2006, became the top-ranked activity with 92.3% of adventure travelers participating. It was followed by backpacking, trekking, sea and whitewater kayaking, and rafting. Moreover, respondents also reported hiking as the most frequently participated activity with 45% of mentions. The Adventure Travel Industry Snapshot, published yearly by ATTA, confirms this trend. The 2019 Snapshot, which considered data from the previous year, found that Hiking/Trekking/Walking was the primary adventure activity preferred by specialized tour operators’ clients. The 2022 Snapshot, published three years later, found that hiking and trekking remain the top preferred activity by adventurers, despite the global changes in travelers' preferences due to the COVID-19 pandemic. This shift in preferences over ten years shows that risk is less of a focus in adventure travel. Only 35% of people felt that danger, either real or perceived, was a necessary element for adventure. Softer activities are taking the lead in terms of what adventure travelers most associate with “adventure.” UNWTO notes that hiking and trekking are “one of the most popular ways to experience a destination.” Ultimately, travelers who enjoy hiking activities are a very accurate representative segment of adventure travel in general. Therefore, for the purposes of this research, adventure travelers will often be used as a proxy for hiking and trekking travelers. Local economic impact of adventure travel Adventure travelers and, therefore, hikers, as a highly representative group of adventurers, tend to spend a relatively high proportion of their budget at their destination. A study done by USAID and ATTA (2017) estimates that 65% of revenues coming from adventure travel remains in the destination country, while for mass tourism this figure is only 14% of revenues. The same study found that for every US $100,000 spent by adventure travelers there are 2.6 new jobs for locals, while for every US $100,000 spent by mass tourists there are only 1.5 new 13 jobs. These results show that a country that is looking to increase the economic impact of tourism through a greater contribution to local enterprises, should aim to attract adventurers rather than mass tourists. Adding to this data, ATTA’s 2022 Snapshot report estimates that 70% of the US $2,900 total average trip cost of a person is spent with local suppliers, and an average of US $238 extra is spent per guest on local handicrafts or souvenirs. An additional benefit of attracting adventure travelers is that they have a higher budget in absolute terms, compared to other types of tourists. A total of 96 cruise tourists are able to generate the same revenue that just four adventure travelers generate (World Bank, 2015). Therefore, adventure tourism is a type of tourism that governments should invest in, instead of other types of segments with a lower impact. A country like Cabo Verde that attracts both adventurers and cruisers should take into account this relevant conclusion when deciding the type of tourism that should be promoted locally. Moreover, hiking is a proven profitable private investment. Research conducted by the University of California (Salis & Spoon, ed. 2015) on more than 500 studies from 17 countries shows the great economic impact of investing in hiking and trekking. For every US $1 invested in walking projects, there is a return of US $13. This means that investing in hiking and trekking is not only beneficial for the public sector but also for private enterprises. Hiking traveler profile The main descriptors of the new profile of adventure travelers, who are constantly seeking softer adventures, are the expansion of the travel segment and changes in the main motivators. Decades ago, the niche of adventurers consisted of relatively young men who took exploration trips to places with limited information, seeking activities that involved a higher level of risk in terms of likelihood and consequences of hazards. Nowadays, the segment has expanded widely. Currently, there are more women than men in adventure travel, comprising 57% of adventure tour operators' clients. The demand for adventure travel by women has grown massively in recent years. The type of activities and needs that women prefer tend to be softer than men's preferences. Another group that has been growing among adventure travelers is the elderly. The average age of the segment has increased in the past few decades as older people are looking to engage in outdoor activities. Comparing ATTA's Snapshot reports from 2020 and 2022, with the caveat of a short time frame between them, there are two noticeable differences. First, an increase in the average age of adventure tourists by two years. Second, and even more remarkably, the growth in the share of those over 65 years of age from 2.4% to 11%. Often, elderly groups prefer soft adventure activities such as hiking. Therefore, if more people of this age are joining adventure activities relative to other age groups, it is more likely that hiking will become even more representative as a preferred activity. 14 Figure 3: Average client age from 2019 adventure trips. Source: Snapshot, 2020 Figure 4: Average client age from 2021 adventure trips. Source: Snapshot, 2022 A complementary explanation for the change in the adventure traveler profile is the development of motivations for choosing a destination. Seven years ago, the main motivators for adventure travelers were an expanded worldview, nature and discovery, and unique experiences. More recently, the most frequently declared motivators were new experiences, going off the beaten track, and traveling like a local. These changes in trends reflect a new perspective that is more focused on enjoying local experiences and what the destination can offer that makes it unique from other places, with a focus on local activities. 15 Table 1: Trip duration (days) according to headquarters’ location. Source: Snapshot, 2019 Table 1 shows that the average length of an adventure traveler's trip is almost 9 days. However, this varies according to the region where the trip is taking place, as represented by the headquarters of the tour operator. Trips to Asia tend to last only 7.7 days on average, whereas in Africa, they extend for over 12 days. The reason for this could be that Africa might be a continent where people travel less frequently, so they look to stay for a longer period of time when they do. Adventurers generally travel with one companion and book double occupancy (73%), while 28% prefer to travel solo (Snapshot, 2022). Size and growth projections for the international hiking market Estimating the size of the hiking market is a challenging task. There is no global study that focuses specifically on hikers. Difficulties arise when trying to define who is a hiker and who is not. Travelers often engage in multiple activities when away from home, and they often decide what to do once they reach their destination. Hiking is often combined with cultural, recreational, wellness, natural, or culinary activities, which means that hiking could be either a primary or a secondary activity. One way to attempt to measure the number of hikers is by asking people if they consider themselves hikers or not. One study found that 57.8 million of the 332 million people in the US, or approximately 17.4%, consider themselves active hikers. Extrapolating those numbers to the profile of hikers that visit Cabo Verde – mainly Europeans – it can be estimated that for every 6 Europeans, there is 1 active hiker, estimating a potential market of around 100 million hikers in Europe. Adventure travel is a rapidly growing market. In 2009, it was measured as a US $89 billion global industry. Three years later, in 2012, it was valued at $263 billion, showing a 44% CAGR. In the next five years, it grew 21% annually compounded to reach $683 billion in 2017. As destinations have been emerging from pandemic-related travel restrictions and preparing to receive tourists again, new expectations indicate a rising trend. The estimated market growth for adventure travel between 2022 and 2032 is a 16% CAGR, and the industry may be worth $1.5 trillion by the end of this period. 16 Freedom of travel can help explain the growth rates during the first years of this period. For the rest of the decade, the growth of the market may be explained by increased interest in discovering new places to visit. Additionally, access to travel will return to its previous cost-decreasing trend, allowing millions of new travelers to enter the market, particularly from China and India. As more and more people venture into adventure travel, it is natural that the preferred type of activity for beginners will be soft adventure. In fact, it is estimated that 60% of the market share for adventure tourism is governed by low-risk level activities. A recent study (December 2022) by World Nomads with ATTA showed that people are ready to start traveling again. Results suggest that 2023 will be the year when travel will come back stronger than ever. In fact, 93% of people surveyed, mainly from the US, mentioned that they are already planning one or two trips for 2023. Of those who will travel to do adventure sports and activities – the most frequent reason for traveling with 20% of the answers – 72% plan to go hiking and are looking to trek and explore 'far-flung' destinations. Moreover, for 46% of respondents, the destination they choose needs to provide nature and wildlife experiences, 44% said it needs to have hiking or biking options, and 31% are looking for cultural immersion. It is also worth mentioning from this study, and interesting for Cabo Verde as a hiking destination, that there is a significant increase in people looking to travel to far-away destinations. The time of year when travelers are looking to travel is less marked towards peak season. Since weather is still considered a relevant factor when choosing the destination, a country with a stable climate throughout the year, such as Cabo Verde, will be well-suited to absorb that year-round demand. European hiking market Almost all foreign travelers to Cabo Verde are Europeans, making it crucial to understand their preferences for hiking. The Centre for the Promotion of Imports from Developing Countries (CBI) of the Netherlands Ministry of Foreign Affairs conducted a study in 2021 on the European market potential for walking tourism. They found that Europe is the world leader in sending adventure tourists to other countries and estimated that the continent holds 35% of the global market share for adventure tourism (Future Market Insights Global, 2022). Moreover, the growth rate of European travel is predicted to be higher than the global average at 11.9% annually until 2026. Among all European tour operators offering adventure tourism programs, 80% include hiking as one of their activities. The main source countries of hikers are the United Kingdom, Germany, the Netherlands, France, and Spain, which aligns with the nationality of Cabo Verde's international tourists. However, the country could make a stronger effort to attract travelers from significant markets like the United Kingdom and Spain. According to ATTA's 2020 and 2022 Snapshot reports, hiking and trekking are consistently among the top three most popular activities for adventure travelers from Europe. Therefore, it is expected that most of them will choose to walk at least one trail during their trip, indicating the immense potential market size for Cabo Verde. 17 Recent trends show that European hikers are interested in discovering remote destinations, getting to know the local culture, and learning about the destination's cuisine and history. They are also a type of traveler with a high impact on the local economy while minimizing their environmental effects. Therefore, Cabo Verde should continue to invest in and promote its hiking destinations in European countries. Global hiking gear & equipment market A different approach to try to estimate the expected growth of hiking in the upcoming years is through the growth rate of specialized gear and equipment for the activity, as a possible proxy. According to the Hiking Gear & Equipment: Global Strategic Business Report developed by Research and Markets (2022), the global market for Hiking Gear & Equipment is estimated at US $4.2 billion in the year 2020. Due to COVID-19 restrictions, sales of gear have expanded dramatically. Facing movement limitations, many people were not able to do the activities they were used to and had to try the few possibilities available, one of them being short-distance hikes. New hikers were entering the market and acquiring new equipment. Once restrictions were eased, many of them kept hiking and even started traveling to do so. In particular, the younger population has been driving the demand for hiking gear and equipment. Another factor increasing hiking gear demand is the economic uplift after the crisis. Higher disposable incomes from people looking to “go out” after long quarantines have been rising inclination towards outdoor activities. These trends have been estimated to have a positive effect on hiking gear and equipment purchases, projecting an 8.4% growth over the period 2020-2027, to reach a market size of US $7.3 billion at the end of the period. Figure 5: Global Market for hiking gear and equipment. Source: Research and Markets, 2022. 18 After the COVID-19 pandemic and the travel restrictions that it imposed worldwide, Cabo Verde needs to consider the new trends that tourists are displaying and focus on those that will have a positive impact on the country. Travelers now seek more personalized experiences, particularly with adventure trips. The travel budget is experiencing a relative reduction in accommodation spending while, conversely, increasing in activity spending. Luxury accommodations are being replaced by activity-based accommodations. Many activities are booked before the trips begin, which means that destinations with high-quality and recognized experiences will have a greater effect when choosing the destination. Therefore, one of the investments with the highest return that Cabo Verde can make is to develop and promote its world-class hiking trails in European countries. Identified gaps in the existing data The secondary research on the international hiking market involved gathering, analyzing, and collecting insights from the most relevant sources available. However, despite the constantly expanding knowledge, more specific data is not always collected or published in-depth. Some specific constraints found in terms of gaps in the existing data were as follows. The biggest challenge encountered during the secondary research gathering of data was the availability of sources of information that study the hiking market and traveler profile specifically. Hiking and trekking are just two of many activities that fall under the adventure travel sector. Although they have become the most popular ones in recent years, there are not many destinations that specialize exclusively in hiking. The most common practice is promoting adventure and nature in general. Therefore, there is not much research published that can speak to a global measurement of the hiking market. Moreover, studies regarding adventure travel are still relatively new. This means that even the wider segment of adventurers has limited data on a global scale, but it was found sufficient for the purpose of this research. The strategy used to solve this problem was to use adventure tourism as a proxy for hiking tourism. Thanks to the extensive population of adventurers who practice hiking, it was found to be a reliable approximation. Another challenge encountered was the availability of information about visitor numbers and profiles that travel to specific destinations. There are not many countries, and even fewer regions or particular destinations, that gather and publish demand travel information. This makes it difficult to compare the demand side across different destinations. Finally, Cabo Verde can be recognized as a country with high-standard data availability. There is well-developed information that is frequently updated online. The Instituto Nacional de Estatistica does an important job in making this happen. To keep improving on the deep analysis of the tourism sector in the country, there is wider information that could be gathered in the country. For example, it would be useful to have detailed data on each island's visitor numbers, profile, consumption level, accommodation, and perceptions. This type of information is very useful for 19 a country whose islands attract different segments of travelers. It is also easier than for other countries since it is feasible to identify every single person visiting an island since transportation always requires booking either a maritime or an air ticket. Part 3 - Description of Cabo Verde and Santo Antão The Republic of Cabo Verde is a sovereign state consisting of an archipelago in the Atlantic Ocean, located about 500 kilometers off the west coast of Africa. The country comprises 10 islands of volcanic origin and is part of the Macaronesia region, along with the Azores, Madeira, and Canary Islands. With an area of 4 thousand square kilometers, Cabo Verde has been recognized as one of the best-performing countries in the Sub-Saharan region in terms of both economy and democracy. Cabo Verde has a stable climate with temperatures ranging from 20° C (68° F) to 30° C (86° F) throughout the year, making it an attractive destination for tourists year-round. The island of Santo Antão is particularly noteworthy for its numerous mountains and volcanoes, which create many valleys that divide the north from the south of the island. Image 1: Map of the ten islands of Cabo Verde. Source: Visit Cabo Verde. 20 The largest of the ten islands is Santiago, with 991 km², followed by Santo Antão, with 779 km². It is also the most populated island, housing 62% of the country’s population2 of 561,901 inhabitants.3 Figure 6: Population ages 0-14; 15-64; 65 and above (% of total population). Source: The World Bank. Cabo Verde’s population is aging. As Figure 6 shows, at the beginning of the 1990s, almost half of the people were 15 to 64 years old, and the other half were children 0 to 14 years old. Thirty years later, 68% of the population is 15 to 64 years old, 27% is 14 or less.4 Urban and rural populations are 67.4% and 32.6, respectively.5 Since its independence in 1975, Cabo Verde has witnessed profound economic growth. In 1991, the country started opening to international commerce, soon becoming a free market economy. GDP per capita grew rapidly due to the development of different service-based industries. On the Global Competitive Index–a comprehensive index that captures the microeconomic and macroeconomic foundations of national competitiveness–Cabo Verde received 50,83 points in 2019, and was positioned 112th on the Global Ranking, being part of the top 10 African countries.6 2 INE (2018) 3 Censo 2021 4 https://data.worldbank.org/indicator/SP.POP.1564.TO.ZS?contextual=population-by- age&end=2021&locations=CV&start=1960&view=chart 5 https://www.worldometers.info/demographics/cabo-verde-demographics/ 6 https://datosmacro.expansion.com/estado/indice-competitividad-global 21 The main industries that explain the country’s economy are in the tertiary sector. Tourism has been an important driver of growth, becoming the main economic sector in the country, with a 25% share of GDP.7 Figure 7: Cabo Verde HDI and HDI ranking. Source: developed by the authors, based on Human Development Report As Figure 7 shows, Cabo Verde has been increasing its Human Development Index (HDI) score. HDI is an average of key indicators of human development, measuring the standard of living, years of schooling, and having a long and healthy life. The country raised its HDI from 0.569 points in 2000 up to 0.662 in 2021, with a peak of 0.676 in 2019. It is currently placed 128th in the global HDI ranking.8 Thanks to its positive performance, the UN declared that Cabo Verde was no longer a Least Developed Country, moving it up to the category of Middle-Income Country in 2008. The successful economic development case of Cabo Verde has been highlighted as an example for other African nations. The level of recovery after COVID-19 will tell whether this trend continues. 7 https://www.worldbank.org/en/country/caboverde/overview 8 https://hdr.undp.org/data-center/human-development-index#/indicies/HDI 22 Travel industry in Cabo Verde The travel industry has been growing substantially in Cabo Verde for the last 20 to 30 years, becoming the country’s major economic sector. Due to its relevance, it is now considered a strategic component of Cabo Verde’s socio-economic development model. Tourism represents almost 25% of the country's wealth, providing over 8,000 direct jobs. Figure 8: Annual visits and Nights per visitor for Cabo Verde. Source: developed by the authors, based on Instituto Nacional de Estatistica The number of annual visits from international travelers has steadily increased over the past few decades, as shown in Figure 8. In 2019, the number of visitors reached 819,308, representing a 465% growth in 19 years. The length of stay has also increased, with visitors spending an average of 6.25 nights before the COVID-19 pandemic, a 32.3% increase from 4.6 to 4.9 nights two decades ago. The peak was reached in 2015, with an average of 6.52 nights per visitor.9 Most of the travelers visiting Cabo Verde come from Europe, with France, the UK, Germany, Portugal, the Netherlands, and Belgium being the main outbound market leaders. The most visited islands are Sal (49.5%), Boa Vista (26.9%), and Santiago (11.2%). Furthermore, as shown in Figure 5, around 94% of international tourists arrive at airports located in Sal and Boa Vista. This trend indicates that Cabo Verde is primarily recognized as a sun and beach destination, with 9 Recent data shows that the travel industry in CV is recovering, and that the overall number of travelers in 2022 were above pre-COVID levels (Instituto Nacional de Estatística, 2023). 23 the main attraction being the beaches, and the most common type of accommodation being resort hotels. Figure 9: Distribution of tourists per airport per season. Bars in orange account for high season and blue bars account for low season. Aeroporto Internacional Amilca Cabal is located in Sal island, while Areoporto Intenacional de Aristides Pereira is located in Boa Vista island. Source: Instituto Nacional de Estatistica, IGST, 2019 In fact, in the past years Cabo Verde has been more recognized for its sun and beach type of tourism than for adventure travel. This can be confirmed by analyzing the type of activities people search for when planning a future trip to the country. Using Google trends–a Google tool that shows the most popular search terms in recent years–it is possible to compare two keywords representing both types of tourism. Figure 10: Comparison between searches about beach and hiking in Cabo Verde. Source: Google trends On average, Cabo Verde's beaches are 12 times more popular than Cabo Verde’s hikes. Figure 10 illustrates the relative interest in Google searches for the terms "Cabo Verde Beach" and "Cabo Verde Hiking." A value of 100 on the graph indicates the maximum popularity of a term, while 50 and 0 indicate that a term is half as popular relative to the maximum value, or that there was insufficient data for the term, respectively. The red line shows weekly search scores for beach tourism, while the blue line indicates weekly search scores for hiking, both for the period from 24 January 2018 through January 2023. On average, the score for the country's beaches is 36, while it is only 3 for its hikes. The red line located almost permanently above the blue line shows that Sun and Beach is almost always a more popular type of tourism than Hiking when searching for Cabo Verde's assets. The destination’s global satisfaction from travelers is very high. After their visit, 91% of tourists declare they would recommend the country to their friends and family and only 1% say they would not. Meanwhile, 88% say they would come again and only 3% say they would not. Moreover, for the past 5 years the global evaluation of a stay in Cabo Verde in relation to expectations has been always above 90%, meaning for over 90% of respondents, a visit to Cabo Verde exceeded their expectations.10 Supply has been growing with demand. As shown in Table 2, the number of formal accommodation establishments has increased from 229 to 292 between 2014 and 2021, showing a 27.5% growth. The total number of rooms and beds has increased from 10,839 and 18,188 to 14,648 and 24,156, respectively. 2014 2015 2016 2017 2018 2019 2020 2021 Establishments 229 226 233 275 284 284 124 292 Number of Rooms 10,83 10,62 11,43 12,46 13,18 13,09 2,614 14,64 9 6 5 3 7 2 8 Number of Beds 18,18 18,05 18,38 20,42 21,04 21,05 4,094 24,15 8 5 2 1 6 9 6 Table 2: Evolution of active establishments, rooms, and beds. 2014 - 2021. Source: Inventario Anual de Estabelecimento Hoteleiro (INE, 2021) Santo Antão stands out as the island with the highest number of tourist accommodations, with 69, accounting for 23.6% of the country’s total establishments. It is followed by the islands of Santiago, with 65 establishments, Sao Vicente (56), Sal (32), and Fogo (25) accounting for 22.3%, 19.2%, 11.0% and 8.6% of Cabo Verde’s tourist accommodations, respectively. Notwithstanding, the distribution of beds is relevantly different, where Sal represents 58% of the total bed availability, Boa Vista 21%, Santiago 7%, Sao Vicente 6%, and Santo Antao comes in 5th place. This means that Sal has, predominantly, hotels with a high number of beds, which is consistent with the resort type of accommodations present on the island. On the other hand, San Antão presents mainly small types of accommodation, such as pensions and home residences.11 10 INE, IGST 2021 11 INE, IGST 2021 25 Adventure Travel Development Index The Adventure Travel Trade Association, in collaboration with the George Washington University International Institute of Tourism Studies (GW IITS), developed the Adventure Tourism Development Index (ATDI), a global ranking that assesses the adventure tourism competitiveness of countries worldwide. The ATDI provides two rankings, one for developed countries and another for developing countries. In the 2020 ATDI report, Cabo Verde was ranked #60 among developing countries. This indicates that there is ample room for the country to improve in different areas and enhance its ranking. Much can be learned from other destinations. The ranking comprises 10 pillars that evaluate a country's global adventure status. The ten pillars include Sustainable Development, Safety, Natural Resources, Health, Entrepreneurship, Adventure Resources, Humanitarianism, Infrastructure, Cultural Resources, and Image. When examining Cabo Verde's position in the Index, the country stands out in Adventure Activity Resources and Entrepreneurship, followed by Safety, Sustainable Development, and Image. The areas where Cabo Verde needs to improve further are Health, Humanitarianism, Cultural Resources, and Infrastructure. From another perspective, Cabo Verde is ranked #5 in the Sub-Saharan region, a significant improvement compared to the previous 2018 ATDI report, where it was not ranked at all on this list. On the following Table the scores obtained by Cabo Verde on the 2020 ATDI Pillar Cabo Verde Developing countries scores Average scores Sustainable Development 6.66 6.81 Safety 6.97 5.1 Health 1.47 2.49 Natural Resources 6.11 5.72 Adventure Resources 7.92 7.25 Entrepreneurship 7.17 6.23 Humanitarianism 1.94 2.92 26 Cultural Resources 3.96 4.31 Infrastructure 5.94 5.3 Image 6.31 6.03 Travel sector in Santo Antão The second largest island in size (991 km²) and third in population (8%), Santo Antão is well- known for its mountains, valleys, and the beautiful sceneries that can be found when hiking the more than 200 kilometers of paved walkways. Its southwest section presents arid desert landscapes, while the northern part of the island has more mountains and green vegetation. It is geographically divided into three different municipalities: Porto Novo, Paúl, and Ribeira Grande. The only transport possibility to get to Santo Antão is through a one-hour ferry from Mindelo, on the island of São Vicente, to the city of Porto Novo. The island’s population of 44,000 is mainly dedicated to agriculture, livestock, and fishing. Unemployment is high, especially among women and youth. Tourism is still a developing economic activity within the island. The type of tourism services and accommodations are small establishments, managed by the owners, many times as a second activity during busy seasons. Guesthouses and homestays account for over 90% of the 69 accommodations, while hotels represent 7% with 5 formal establishments. The annual average occupancy rate is 21% (INE, 2018). There are about 396 people directly employed in tourism. The number of accredited guides on the island is 11. Finally, there are 88 registered handicraft providers. The main activities offered are hiking and trekking. The natural attractions on the island make hiking the activity with the highest potential to keep promoting, however, other potential adventure activities that could be offered as complementary services, such as diving, climbing, cycling, or canyoning, are not highly developed yet. The latest data on the number of visitors per island comes from a survey done in 2018 about the statistics for supply and demand for the 10 islands of Cabo Verde. That year 31,206 travelers visited Santo Antão, of which 80% were international visitors. This has meant a growth of almost 13 times the number of visitors Santo Antão had in 2000. The years where the demand expanded most prominently were between 2004 and 2012, rising from 5,509 to 23,763 total visitors in only 8 years. They stay for 3 nights on average. Most of the data describing the visitors to the island from Santo Antão is provided by a research study done by the NGO Raizes developed in 2019 (ISCEE, 2019). Looking at countries of origin, 27 France accounts for one of every two (49.3%) international tourists arriving to the island, while Germany represents 16.1% of total tourists and the Netherlands 10.5%. Over 95% of international visitors are Europeans. More than 45% of the visitors are 55 years or older and almost 20% are 25 to 34 years old. They are more male (55.6%) than female, and they present high levels of education with over 50% of visitors having a postgraduate degree. Just above half of travelers (55.1%) prefer hiring a travel agency or tour operator while 44.9% make their travel arrangements directly. The main reasons to visit Santo Antão are (1) being in contact with nature; (2) getting to know the local culture and traditions; (3) appreciating the landscapes; and (4) hiking and trekking. The main tourism activities practiced are adventure and sports activities (84.5%), while 34.3% also go to the beach and 22.7% visit historic monuments and sites. Some of the international travelers also visit other islands besides Santo Antão and São Vicent–a requirement to get to Santo Antão– such as Santiago (33.9%), Sal (27.9%), and Fogo (17.3%). The National System of Protected Areas in Cabo Verde includes 6 protected areas in Santo Antão, namely, Moroços Natural Park, Protected Landscape of the Pombas, Parque Natural Tope de Coroa, Parque Natural de Cova, Paul and Ribeira da Torre, and the Cruzinha Nature Reserve. Part 4 - Competitor analysis Main competitors and benchmark in the hiking market: best practices with potential replicability in Cabo Verde The objective of this section is to perform a comparative analysis through secondary research of the main destinations that can be considered competitors to Cabo Verde with regard to the hiking market. The analyzed information was collected from research papers, specialized travel websites, destination marketing and communication channels, and travel blogs. Hiking is an adventure activity that can be carried out within any nature destination, either well- structured and developed or not, by practitioners with different profiles and motivations. However, if the interest is to learn from renowned destinations’ best practices, the selection of potential competitors needs to consider countries that present hiking trails and a tourism sector that is already consolidated. Data from the United Nations World Tourism Organization (UNWTO) regarding the most popular destinations for hiking was employed for this purpose. To be considered competitors, two destinations needed to share specific characteristics that travelers assess and value when choosing their next place to visit. Among hiking destinations, relevant factors that hikers evaluate during their travel research include the quality and infrastructure of the walking trails; available tourism services such as accommodation, restaurants, guides; connection with local people and culture; nature and wildlife to be observed; 28 landscapes; distance from origin and ease of access, available information about the hikes; unique highlights; global recognition of the trail, and visiting non-crowded places.12 These factors directly influence travelers’ decision-making when choosing a place to visit. Therefore, they serve as criteria for identifying and selecting potential competitors to Cabo Verde. In addition, a complementary factor considered was the attraction of travelers with the same nationality as visitors from Cabo Verde. In summary, this section aims to conduct a comparative analysis of the main hiking destinations that can be considered competitors to Cabo Verde. The analyzed data was collected from research papers, specialized travel websites, destination marketing and communication channels, and travel blogs. Hiking is a popular adventure activity that can be carried out in any nature destination, either well-structured and developed or not, and by practitioners with different profiles and motivations. To identify potential competitors, countries with well-established hiking trails and a consolidated tourism sector were considered. The UNWTO data on the most popular hiking destinations was also used for this purpose. To be considered competitors, two destinations had to share specific characteristics that hikers assess and value when choosing their next place to visit. These factors include the quality and infrastructure of the walking trails, available tourism services such as accommodation, restaurants, guides, connection with local people and culture, nature and wildlife to be observed, landscapes, distance from origin, ease of access, available information about the hikes, unique highlights, global recognition of the trail, and the opportunity to visit non-crowded places. Based on these criteria, the following routes and respective countries were selected for the comparative analysis: Portugal: Rota Vicentina and Azores, Spain: Camino de Santiago de Compostela, New Zealand: Great Walks, United States: Appalachian Trail. The competitive analysis and the selected world-class hikes allow for a comparison between these destinations and Cabo Verde, specifically Santo Antão, its main hiking hotspot. Lessons learned from the geographical conditions, infrastructure, and route characteristics of these destinations can be replicated or adapted in Cabo Verde. Additionally, the governance and management of hiking destinations that have been successful in these territories are highlighted as role models. It is important to note that Cabo Verde has the potential to become a world-class hiking destination, given its geographical, historical, natural, cultural, and gastronomic distinctions. However, achieving this goal requires private and public interventions that attract high-budget and environmentally responsible travelers. Learning from experienced destinations can accelerate the path to success. Portugal 12 ATTA Snapshot (2022) 29 Portugal is widely recognized in Europe for its beaches, gastronomy, and cultural and religious heritage. The country is increasingly positioning itself as one of the main destinations for hiking tourism. Similar aspects can be found when comparing the market positioning that Portugal has been developing in recent years related to its hiking destinations with the current state of hiking routes in Cabo Verde. Particularly interesting is the mix of interests in attracting different tourist segments, unifying activities within the rural and urban context, different themes, nature, and sports. A) Rota Vicentina Portugal has been working for over 15 years to make the Rota Vicentina a world-class hiking and biking trail. The investment has focused on expanding the network of trails and the quality of services provided, along the southwest regions of Portugal. Nowadays, the route is well- positioned as one of the world’s exceptional multi-day hikes. The Rota Vicentina Association is a public and private entity responsible for managing the network of trails and promoting public infrastructure where necessary. Rota Vicentina has become a brand that attracts private investment and expands economic activity throughout the towns and communities connected to the network of partner companies. They also invest in providing high- quality products and services to hikers while being part of a joint model of sustainable development of the trail and regions. Due to its innovative model, Rota Vicentina has become a reference for many similar hiking network projects in other countries. Cabo Verde should closely observe the Rota Vicentina model and promote the involvement of different players from various sectors and levels. The interaction among them will expand the economic returns in Santo Antão, provided there is reciprocity and a complementary system of working together. This is particularly important when planning and implementing tourism promotional campaigns and political strategies, such as tax cuts and revenues, infrastructure investment, and having a system to bring economic returns back to the trail management. Social media and the press are essential for inspiring future visitors to Rota Vicentina. There is a focus on feelings of safety on the routes, high-quality signage, cleanliness, and conservation of the trails and landscape. Travelers express their main interests through social media, including the authenticity of the territory, the preservation of nature and wild areas, the natural beauty of the region, and the connection with local communities. Cabo Verde can attract these types of travelers since most of the motivators expressed by Rota Vicentina's visitors are present in Santo Antão. Rota Vicentina's managers have adopted a segmentation strategy to identify the different trail users and prioritize communications and investment according to their specific needs. Their segmentation considers five personas: Tourist Hiker, Specialist Hiker, Explorer Hiker, Outsider, and Cyclist. These variations in profile identification mean that it is possible to invest in the design 30 of the routes and specific projects that add a higher value to the target public. The creation of the Association for Rota Vicentina has provided an active organization responsible for making this happen. Moreover, the Association looks to broaden the socioeconomic value that local businesses and communities capture. Specific programs aim at supporting local entrepreneurs. Among other roles, the Association has been active in improving the trail's infrastructure, promoting ecotourism activities complementary to the route, and developing specific events to encourage sustainable hiking. Hikers value that the routes are well-established and feature different types of accommodations and other services geared towards hikers. They are fully signposted in both directions, and there is a wide availability of Hikers Guides, maps, and other sources of information to better plan their trip. The placement and location of the trails are also important considerations that hikers take into account when planning their trip. Trails located inside Natural Protected Areas, within forests, mountains, coastlines, or other landscapes away from civilization are of higher value. Recently, connection with communities and representation of local culture has increased hikers' interest during their planning process. Cabo Verde can learn and draw inspiration from Rota Vicentina in various areas of development. Replicating and adapting these factors, which have proven successful for Portugal, can be a positive first step. Both supply and demand sides will benefit, especially if both are part of the decision-making process. A.1 Product development Created in 2013, the Association Rota Vicentina has the main objective of promoting nature tourism and managing the network of paths to enhance the territory's vocation for sustainable tourism. The route welcomes hikers with diverse profiles and from different countries. There is a significant influence from central European countries due to proximity, but also from hikers from other continents, particularly Brazil since they share the language. Among the main source markets, there are 25 different nationalities, with Germany and France as the main inbound markets, in addition to domestic travelers. This is very similar to the nationalities of visitors to Santo Antão, Cabo Verde. 31 Table 3: Country of origin of Rota Vicentina’s hikers. Source: CENSE (2018) The Association Rota Vicentina worked for thirteen years (2007 to 2020) to expand the offer and establish a strong structure for the Route. Recently, there has been a focus on promoting a collaborative network based on a regenerative tourism dynamic, extending the management model to a more participatory system, and making associates and the community co-responsible for some expanding areas of the Route. This way of making local stakeholders responsible for the management of specific treks or sections has resulted in a positive impact on local communities as they receive a financial return for their work and generate a connection with the entire Route's success. The investment is paying off, with direct revenue from hiking tourists estimated to be around €14.722 million per year (around USD $15.8 million). However, it is recognized that the expenditure per hiker is relatively low, with a gross added value representing 55% of the total expenditure and scarce revenue retention. Rota Vicentina is promoting a greater socioeconomic impact through the creation of direct jobs in recreation and leisure, while also acting as an engine for other indirect economic activities in the same local areas. In the Evaluation report on the use and socioeconomic impact of the Vicentine Route (Cense, 2018), the Association identified different motivators that were found relevant to the attraction of tourists to the route. Among other factors, it was highlighted that travelers can get to know the country through the hiking journey, exploring Portugal's history, geography, and culture. An important reason to visit Rota Vicentina was the comfort of the visit, with good weather at any time of the year, high levels of safety and security, proximity to the origin, affordable prices, and friendly people. Curiosity appeared as another important reason. When planning their trip to Rota Vicentina, hikers are searching for authenticity, tradition, gastronomy, genuineness, friendliness of people, and discovering unknown places. Some of these motivators are recognized within the 32 international hiker traveler, and also within the main strengths that Cabo Verde and Santo Antão have to offer. A.2 Positioning The promotion of Rota Vicentina is based on three main concepts: 1. Nature: The search for contact with nature by people who seek to spend more time outdoors and complement practices of nature and health. These visitors are conscious of their environmental impact, and promote the conservation of natural habitats, valuing native fauna, flora, and the geological and geographic characteristics presented along the route. 2. Sea: The route covers the “south coast of western Europe,” which allows travelers to contemplate and enjoy the sea and beaches with extraordinary landscapes, well promoted when reaching potential visitors. Highlights of the route include long stretches of the road by the sea, access to deserted beaches, and iconic landscapes that stand out among other multi-day world-class hikes. 3. The Unknown: A more abstract concept is positioned for future visitors. It leads to discovering something new, being valued as a unique place, and with a low frequency of other hikers. This allows the visitor to experience the place as being the only one there. Thanks to the long-distance trails it is easier to prevent many human encounters, adding to the possibility of greater contact with nature in the wild. A.3 Regulation The entire Rota Vicentina is characterized as an area of socio-environmental interest, and the supply of activities and services in this area must comply with the regulations established by the Associação da Rota Vicentina. To promote responsible behavior among tourists, a signaling system has been implemented along the entire route. This system includes the norms for traveling the route, as well as international technical safety standards for the sector and standardized communication for hikers. This information is presented comprehensively to consumers of the route, ensuring that all travelers understand how to behave during their visit. As the route passes through several protected areas, including the Natural Park of Southwest Alentejano and Costa Vicentina, hikers are subject to the regulations applicable to the conservation of these areas. For example, there are rules for the use of bonfires, camping, and circulation of motor vehicles in protected areas. B) Azores The Azores archipelago is a group of nine Portuguese islands located in the Atlantic Ocean, 1,400 kilometers (870 miles) off the coast of Portugal. The Azores are part of the Macaronesian region, 33 which also includes Cabo Verde, making it an interesting competitor in terms of its geographical position. The islands of the Azores are known for their beautiful landscapes, including coastal, geological, volcanic, and rural contexts. São Miguel, the largest island, has different mountains and volcanoes that form valleys and rivers, offering exceptional geography that can be compared to Cabo Verde's Santo Antão island. These scenarios offer the possibility of a diverse range of adventure activities that are highly rated by hiking travelers. With its idyllic islands of unique beauty, the Azores boast a vast biodiversity that distinguishes it from other island destinations. The archipelago is recognized as the first in the world to obtain an international certification as a sustainable tourist destination and was chosen by National Geographic as one of the best destinations in the nature category for 2023. The recognition of the Azores for its natural beauty and stunning scenery attracts new visitors every year. Therefore, the local government has established a set of regulations that promote sustainable behavior by travelers and suppliers of tourism services. The trail management system presents replicable good practices for a country like Santo Antão, consisting of a socio-environmental plan revised annually that has direct adherence to the SDGs. The Azores is committed to a minimal environmental impact of the trails, as well as the maintenance of a circular economy in the archipelago. Regarding the trails, there are well-established signage and information signs for hikers. Tourism services, including accommodation, guides, and high-quality infrastructure, make it possible to combine hiking itineraries ranging from 1 to 8 days in length. As the Azores have similar geographical characteristics to Cabo Verde, the replicability of these good practices appears highly feasible. Good planning practices and promotional strategies, as well as conservation strategies linked to the SDGs, are highlighted in the Azores and can be replicated in Cabo Verde. B.1 Product Development The Azores Trail is a network of pedestrian paths, spread over 9 islands, that allows visitors to experience the nature, culture, and local encounters that make the Azores a unique destination. Considering historical and geographic conditions, the products and services developed in the archipelago around hiking and adventure travel are characterized by their close contact with nature, people, and the contemplation of landscapes. The trails share a similar background with Cabo Verde, as they originally served as the only path to connect towns and villages within each island. In recent years they have been restored and promoted as attractive hiking routes. Azores Trail highlights its seven best hikes as the Grand Routes, which go from 31 kilometers up to 78 kilometers long, allowing one-day or multi-day hikes and treks. The diversification of the types of services related to hiking tourism allows accommodation, gastronomy, local tours, and 34 guides to be developed. These different services are gathered as tourism products and programs by inbound tour operators and promoted on the Trail’s website. B.2 Promotion The promotion and dissemination of trails and itineraries take place through the websites of tourist agencies, travel apps, and specialized websites. However, what is common in all of them is the call for sustainability. The information is categorized and made available even on the official tourism website, with a description of itineraries, geographical aspects, technical information on the trails, georeferencing, interactive PDFs, and maps of the different routes. The Azores has an exclusive website, linked to government management, that brings together trails in rural and urban areas with the inclusion of historical and gastronomic itineraries. The availability and compilation of tourism agents on the government page help to choose the service and plan the visits. B.3 Regulation Specific environmental legislation and incentives for the local economy are under the purview of the Government of Portugal, and technical regulations for the sector are provided by them. In terms of accessing the Azores archipelago, the local government is responsible for the sales of boat trip services. However, to preserve some pristine areas, access to certain regions is regulated. Spain A) Camino de Santiago de Compostela The natural attractions in Spain are diverse and factors such as climate, culture, gastronomy, as well as the landscape comprising beaches and mountains, are attractive to hiking tourists. As an important economic sector, tourism in Spain receives large investments and expenditures from countries such as the United Kingdom, Germany, France, and Italy. The Camino de Santiago, as is globally known, is considered an important hiking route because it is one of the oldest and most popular in the world. Despite being a route with characteristics aimed at religious pilgrimage, it is sought by different traveler segments who practice trekking and hiking activities and have different types of motivations, not just religious reasons. 35 In 2017, the Camino de Santigo passed the 300,000 visitors mark in one year. The number of hikers kept growing until 2019, before COVID-19 hit the travel industry, when the Camino de Santiago reached a new record of almost 347,000 pilgrims arriving to Santiago de Compostela, the capital of Galicia Autonomous Community in the northwest of Spain.13 The major countries of origin were France and Portugal.14 These visitors sustain a vast network of small hostels, restaurants, and equipment stores, with benefits spreading over hundreds of kilometers. The pattern is repeated in other countries on the continent. The Camino de Santiago stands out not only for being a consolidated route in terms of infrastructure but also for being a multi-product program that satisfies different destinations and suppliers of tourism services. Since it can be divided into different sections, it attracts visitors with a variety of abilities and time frames, allowing them to return and hike other sections in the future. An interesting promotional feature established by Galicia is the issuance of a certificate to hikers who make the journey, recognizing the different routes undertaken. The "Pilgrim's credential" is a document similar to a passport that the hiker can get stamped at least twice a day at specific points along the Camino de Santiago. This provides an easy way for mass-audience communication by every traveler on the trail. It also promotes the use of local services, since stamps are found in tourist establishments such as museums, restaurants, hostels, and sometimes even public areas or bars. When the last 100 km of the pilgrimage has been completed, it is possible to obtain the so-called “Compostela certificate,” a document issued by the Pilgrim's Office at the Cathedral of Santiago that recognizes the pilgrimage. Another highlight of the Camino de Santiago benchmarking model that is feasible to be replicated by Cabo Verde is a governance model based on strategic management through associative networks of stakeholders. The main objective is to have a planning and management process for the development of the different routes, structuring support, and maintenance infrastructures of trails that follow specific guidelines established by the governance. A.1 Product development The Camino de Santiago presents multiple routes and sections in a network. Among the best- known routes are the French, Portuguese, English, Aragonese, Northern, and Primitive Ways, constituting an interconnection of routes that lead to the city of Santiago de Compostela. There are 10 routes that are specially promoted by the Xunta de Galia, the entity in charge of the 13 https://es.statista.com/ 14 https://www.jn.pt/mundo/caminho-de-santiago-vai-atingir-novo-recorde-em-2019-com-350-mil- peregrinos 36 network’s management. All of them are over 100 kilometers long and add up to 1,000 kilometers and more than a month of walking. The landscape is one of the most appreciated elements of the trail system. It is carefully considered in the structuring of the different parts of the paths, incorporating its elements to provide a unique integrated experience. The trails can be traveled by hiking, bike riding, or horseback riding and there is a special platform to coordinate visitors’ routes, in terms of style, route, total days and kilometers per day, and a calendar to program the whole route. Being a world-recognized trail has meant that a high variety of tour operators and travel agents sell customized tourism programs with different accommodation styles, food services, insurance, and a range of prices, with a strong representation of European countries. A.2 Promotion Spain has made a strong effort to position the Camino de Santiago and attract a diverse group of tourists to the route. There are various services available for hikers looking to walk the trail according to their own pace and style. The route is promoted not only by existing associations of Friends of the Camino de Santiago but also by several websites that offer personalized experiences, helping travelers to choose, plan, organize, and book services before and during their trek. Pilgrims can choose between different stages to walk the Camino de Santiago, ranging from short journeys of 120 km to longer and more challenging routes between 800 and 1,200 km. Along the way, there are various local businesses offering support points for rest, bathing, food and snacks, guides, and medical assistance. The trail network has been so well developed and recognized globally that large companies like Iberia, Spain's leading airline, are involved in promoting it through joint agreements. Spain promotes the Camino de Santiago as a tourism product at different world fairs, with an important presence at the largest Spanish tourism fair, Fitur. A.3 Regulation The Camino de Santiago passes through several cities and municipalities along the route, and each region has its own rules and regulations for the use of the trail and accommodations. These regulations may include restrictions on camping and movement times in urban areas, among other things. Safety regulations include rules for the use of personal protective equipment, rules of movement in certain areas, and other issues related to accident prevention. As the Camino de Santiago is considered a cultural heritage site by UNESCO, the trail is subject to laws and regulations aimed at protecting the cultural and historical heritage of the area. Legal protection includes the conservation of historical monuments, as well as the preservation of the 37 cultural and natural landscape. This means that there are specific rules for the conservation of buildings, monuments, and archaeological sites, as well as for environmental issues such as the use of pesticides, trash removal, and others. In environmental terms, since the Camino de Santiago crosses many protected areas, it is also subject to laws and regulations aimed at protecting the environment and biodiversity of the region. New Zealand A) New Zealand’s Great Walks New Zealand’s world-recognized hikes have been strategically grouped and positioned by the country as the Great Walks. These involve multi-day treks through unparalleled landscapes and can be found on both islands that make up the country. Travelers can explore snowy mountains, volcanoes, native forests, white-sand beaches, dunes, fjords, and lakes, often combining them in a single trail. The Milford Track is arguably New Zealand's most famous hike. Starting in Te Anau, it spans more than 53 kilometers through landscapes of mountains, lakes, valleys, and waterfalls in Fiordland National Park. The regulatory system behind the track establishes controlled access and ensures the safety and conservation of the natural environment, while also laying the groundwork for a sustainable economic model for the future. Access to the park is managed based on local carrying capacity and ecological footprint monitoring along the trail. The impact of visitors is measured and compensated for. Complementary activities to hiking are mainly focused on adventure tourism, with a focus on generating income for local communities, including camping and hut concessions within the National Park. Services are offered through an institutional website that helps visitors connect with providers of tourist experiences. A.1 Product Development For over 30 years, New Zealand has been promoting hiking and trekking through some of the most beautiful landscapes in the country. The Great Walks have been established as a tourism product, offering a selection of world-class trails that attract international travelers looking to explore unique natural areas, wildlife, and rich cultural heritage. Hikers traveling the tracks have the opportunity for direct contact with nature, and added services include activities focused on adventure tourism, such as bird and wildlife watching, boat trips, caving, climbing, diving and snorkeling, fishing, horseback riding, kayaking and canoeing, mountain biking, quad biking, rafting, and others. There are customized products for group and solo travelers, including a special service for female-only groups. 38 One of the highlights of the Great Walks product development is having park rangers as local guides at each campsite or hut, educating visitors by offering public lectures about the natural environment in the area. New Zealand stands out globally due to its investment in environmental protection through the positioning of trails placed in rural areas. High-standard infrastructure in terms of campsites, huts, lodgings, and cottages ensures that high-budget and well-educated visitors prefer these hikes, despite the long distance from the main outbound markets. The government has promoted that the entrance ticket fees to National Parks be invested in the same protected area where the paying tourist visited. That way, promotion and conservation go hand in hand. Controlled access with reservation and capacity distributed between routes are positive norms that allow for a low frequency of visitors. The web platform providing all the information about the routes allows hikers to acquire a standardized, high-quality experience during their research and planning stages. The Great Walks can be found on both islands that make up the country, and travelers can explore snowy mountains, volcanoes, native forests, white-sand beaches, dunes, fjords, and lakes, often combining them in a single trail. A.2 Promotion The travel trade association of New Zealand, Tourism Industry Aotearoa (TIA), has been working closely with the Department of Conservation (DOC) to promote the Great Walks. Thanks to the involvement of the Government in both the conservation and promotion of the trails, the attraction of high-spending hikers has been well managed. The offer of added services is directly linked to the official website, and all information is provided through it. A.3 Regulation New Zealand proudly declares that the Great Walks were developed with zero environmental impact. They are located in natural protected areas and are directly managed by the DOC. There is strict access control, which is released and controlled by the body. The DOC has set an example for many nature-based destinations and countries that promote hiking and adventure travel. The balance between conservation and tourism management can be recognized as one of the first countries to promote sustainable tourism in protected areas. Tourism has provided a source of financing for the conservation of public protected areas, and destinations have learned that the best way to sustain economic revenues is through a well- managed conservation strategy. Moreover, training courses in environmental areas are offered as a model for promoting sustainable education. Regulatory norms have been socially accepted to ensure the protection of the natural environment. Some of them include strict compliance with the specific environmental legislation 39 existing in the territories, as well as the control of access to walks by government management. One strong norm that sustains the environment and is widely accepted and globally recognized is the maximum cap of 90 people per day for the most famous hike in New Zealand, and arguably in the world: the Milford Track. United States A) Appalachian Trail The longest and one of the most iconic trails in the United States is the Appalachian Trail (AT). It goes from Maine to Georgia with over 3,500 kilometers in length, offers different landscapes, and attracts hikers from all over the world. The route passes through several US states, with most of its route concentrated in the state of Virginia. According to the Appalachian Trail Conservancy (ATC), the non-governmental organization in charge of the trail’s protection, more than 3 million visitors pass through the AT each year. The Trail offers hikers a variety of terrains, from easy sections that wind through fields and meadows to steep climbs up rocky ridges. Some hikers do short stretches on weekends and thousands more try to complete the trail within a year, with only 1 in 4 of them managing to complete it due to the challenge it presents. The main highlight that the Appalachian Trail's long history can bring to Cabo Verde is the formation of a multi-stakeholder entity that could support the management of the trail system. A system applied in different world-recognized trails is a Trail System Destination Management Organization (DMO). Its role should be to support the trail system by providing standardized information for travelers, reservations, a structured commercial chain, safety and emergency plans, maintenance of trails, monitoring, and promotion of the trail network. A centralized management organization is also the best way to prioritize necessary investments and develop projects with the highest potential. A.1 Product Development The Appalachian Trail is considered a world-class hike for several reasons. It stretches through some of the most stunning landscapes in the eastern United States, including the White Mountains, the Great Smoky Mountains, and the Blue Ridge Mountains. Visitors can enjoy breathtaking views of waterfalls, forests, mountain ranges, and rivers. The Trail also has a rich history and cultural significance. The Appalachian Trail is divided into long-day hikes and day hikes by state. It has trail services for women's groups, short-term shelter and parking, routes for people with different disabilities, visitor resource areas, and route certification. As it crosses 14 states, this route mixes urban and rural areas, including different National Parks. 40 Thanks to a well-developed system of tourism services, the Trail is easily accessible to hikers with different characteristics and abilities. Users can access the trail via numerous points along the trail, making it possible to resupply and rest when needed. It also allows for transporting provisions and guiding services within the trail. Travelers can find a variety of lodging options along the trail, such as hotels, hostels, cabins, and campgrounds. Transportation services to and from the trail can be easily arranged and are offered by the Appalachian Trail Conservancy, even for resupply or when stopping the hike is necessary. Resupplying is easy as the trail passes near many towns and local communities that are used to providing services for hikers, including guide services that enrich the walk. The ATC also provides educational resources and materials for hikers and visitors. In addition, the trail has a network of volunteers known as "trail angels" who offer various forms of support to hikers, such as giving rides to the trail, offering food and water, and even providing a place to stay. Today, the trail is managed by the National Park Service, Appalachian Trail Conservancy, the US Forest Service, and different state agencies. It is noteworthy that in its formation, the associated states had completed infrastructure in rural areas to serve the different audiences, as their routes over time were already being adapted to serve a greater number of interested and varied travelers. A.2 Promotion The Appalachian Trail was the first route designed for hiking tourism purposes, first conceived in 1921. Over the years, the trail has developed various promotional strategies through a variety of channels and partnerships to attract visitors and promote its unique features. Many towns and communities located near the trail promote it as a tourist destination, offering brochures, maps, and other materials to visitors, as well as organizing events and festivals in places like Damascus, Virginia, and the Appalachian Trail Days festival in Hot Springs, North Carolina. Online, the trail has a strong presence on social media, with many hikers and trail enthusiasts sharing their experiences and photos on specialized hiking platforms such as All Trails and Strava. Multiple guidebooks and maps have been developed over the years, including specific information for different types of adventurers, detailing the trail's routes, landmarks, water sources, and supplies. The Appalachian Trail Conservancy and other organizations have engaged in marketing campaigns to promote the trail, including print and digital ads, social media promotions, and other forms of outreach to potential visitors. The relevance of the Appalachian Trail as a tourist attraction has led to strong involvement by private enterprises. Many businesses located near the trail, such as outfitters, hostels, and restaurants, promote the trail to expand and improve their services to hikers. These businesses often offer discounts to hikers and donate a portion of their profits to support trail maintenance and conservation efforts. 41 The information to hikers about the different routes and trails is carried out through a unified website supported by the National Parks Service, including services and offers of packages for specific groups. A.3 Regulation The Appalachian Trail is managed by the National Parks Service (NPS) of the United States, but over 60% of the route passes through land owned and managed by other federal, state, and local agencies, such as the U.S. Forest Service. Rules and regulations may vary in different areas, but there are comprehensive policies for the entire trail. Conservation norms are consistent along the trail and are enforced by the NPS. It's worth noting that regulations are defined by each of the 87 public agencies involved in the cooperative management system of the trail. These regulations can be found on the Appalachian Trail Conservancy and partner's page. Some permits are required for visitors to use park areas on specific trails, such as the Great Smoky Mountains National Park (North Carolina), Shenandoah National Park (Virginia), and Baxter State Park (Maine). Reservations are required between 7 and 30 days in advance, depending on the park, and the number of visitors is limited. The different coordination among regulatory policies and norms is essential to protect the Appalachian Trail and visitors' experience while ensuring the sovereignty of each tier of public government. Relevant and replicable best practices The following four recommendations consist of the best practices deduced from the competitor analysis that were found relevant to Cabo Verde according to its current development status. ● For Cabo Verde, Caminhos Vicinais is a key strategic asset: governance, management and funding needs to be addressed and solved for. A trail network system needs to have in place a Public-Private coordination to establish common objectives, planning, prioritize areas of investment, and correct implementation. ● Public Policies, Regulations improvement and technical standards to support the triad. Becoming a world-class hiking network requires the destination to ensure quality, sustainability and safety standards, both in the treks and in the services provided. Public policies are needed to promote them, and ensure their implementation. ● Product development and sustainable economic development is a must and should drive entrepreneurship, job creation, and investment. Entrepreneurs need to be economically and technically supported during their early stages. The development of products 42 attached to the trails and the potential services around them are essential to promote a higher economic impact locally. ● Sustainable travel branding and marketing. To attract international hikers Cabo Verde’s trail system requires a strong brand positioning through the design and implementation of a marketing plan. Working with the private sector to segment a target market. The most fragile trails need to have a daily cap of hikers, while all hikes should have information about responsible practices. Trails need to be maintained frequently and a signage system is required to educate visitors on the natural and cultural heritage and to promote tourists’ responsible behavior. With regard to the lessons to be acquired, Cabo Verde would benefit from a field trip to Azores, due to the geographic and location similarities, and from New Zealand’s Great Walks for the great sustainability efforts, public-private coordination and marketing strengths. 43 Part 5 - Feedback from travel trade To better understand how Cabo Verde and its hiking product are perceived by the adventure travel trade industry, a survey of buyers (tour operators and travel advisors/agents) was conducted for this project. The methodology and results follow. Methodology ● The survey was developed in the SurveyMonkey web-based platform ● An email with the survey link was delivered to ATTA’s global buyer email list, a total of 3,705 people, on 16 January 2023. ● An additional email with the survey link was sent to ATTA’s partner travel advisor/agent consortium list on 20 January 2023. The email went to 9,269 buyers who are based around the globe and sell adventure trips to Europe, Africa, or the Middle East. ● The survey was live through 1 February 2023. ● 194 respondents started the survey, 132 finished it. ● 56 respondents only answered the “respondent profile” questions, so their responses are excluded from the report. The remaining 6 respondents partially completed the survey; all data received from these respondents is included in the report and n values (number of respondents) are noted for each section. ● 31 respondents currently sell Cabo Verde, the remainder do not. ● Data was cleaned on February 12, 2023 in Excel, and data was analyzed using a combination of Excel and SPSS. Respondent profile N = 138 for this section Respondents were mostly travel advisors/agents and tour operators: Q1: Please select the type of business affiliation that best describes the organization you represent 44 These buyers were primarily located in North America and Europe: Q2: In which region is your organization headquartered? Attractiveness of Cabo Verde’s adventure tourism N = 138 for this section Cabo Verde’s adventure tourism is rated as relatively attractive, but there is room for improvement. When asked how they viewed the overall attractiveness of Cabo Verde’s adventure tourism, respondents gave an average score of 3.55 (out of a maximum of 5). Q3: Please rank the attractiveness of Cabo Verde's adventure tourism overall Competitors to Cabo Verde N = 138 for this section The top three most commonly named competitors to Cabo Verde were the Canary Islands (42 responses), Azores (31 responses), and Madeira (24 responses). (Q4: In your opinion, what are Cabo Verde's 3 main competitors when it comes to adventure travel?) Offering Cabo Verde as a travel destination N = 138 for this section Adventure activities are the most popular reason why respondents would offer Cabo Verde to their clients as a travel destination, followed by culture/tradition and nature. 45 Q5: Why would you offer tours to Cabo Verde in the future? (check all that apply) “Other” reasons given for why respondents would offer Cabo Verde as a travel destination include (direct quotes): ● New destination for well-traveled clients ● It is a lesser known, off the beaten path, hidden gem destination ● Safety ● Photography tours ● Whale watching ● Music ● Unusual destination, not yet heavily traveled by US tours ● A unique destination that not many are aware of ● Beach & sun destination ● Scuba diving ● Walking tours The biggest concerns about offering Cabo Verde as a travel destination are a lack of demand for Cabo Verde from respondents’ clients, not knowing DMCs and local activity companies to work with, and a lack of flight options. 46 Q6: Why would you NOT offer tours to Cabo Verde in the future? (check all that apply) “Other” reasons given for why respondents would not offer Cabo Verde as a travel destination include (direct quotes): ● Flying time and number of flights from the US west coast seems difficult. ● Lack of tourism knowledge ● Not enough marketing, travel trade shows and FAMs ● We would need raise awareness of this destination first ● Lack of info about the destination and sources to confirm info ● Not much there apart from beaches on main islands ● Quality of guides and DMC's needs training ● Don’t know enough about the island ● My ignorance of what Cabo Verde has to offer ● Visa requirements ● There is no name recognition with Cabo Verde. Client education has to happen first. ● I don’t have much information from Cabo Verde to offer ● The destination is so poorly known and few people really understand what is on offer. So, it is a hard destination to sell other than to country collectors and those who are very well traveled. ● Have not heard about travel to Cabo Verde ● For those going for the 1st or 2nd time to Africa, Cabo Verde isn't even in their thoughts - or mine. I do not know anything about the island. There really isn't enough promotion - and I have been an agent for over 40 years. ● From the UK TUI (largest tour operator) has a monopoly on the direct flights and hotel packages which we cannot compete with. Most demand for the destination is for beach relaxation currently. If you create the demand for adventure I could sell it! ● No first hand knowledge on the destination. Will gladly pay for a FAM. ● Lack of knowledge and perception in market ● General Awareness ● Have no knowledge of the destination 47 ● We don't know anything about it and it has never occurred to us ● Personal lack of knowledge about Cabo Verde ● We do not have any information or contact with the tourism office to develop a program Feedback from buyers that currently offer Cabo Verde as a destination N = 31 for this section Client demand for Cabo Verde is below average compared to other destinations that the respondents sell. (Q14: Please rank your clientele’s demand for Cabo Verde as a destination, compared to other similar destinations you offer.) Respondents typically sent fewer than 50 clients to Cabo Verde in 2022, and so far expect their 2023 demand for the destination to be about the same. (Q9: How many clients did you send to Cabo Verde in 2022?, Q10: How do you expect your 2023 demand for Cabo Verde to compare to 2022?) Approximately one-third (35%) of respondents work with a DMC in Cabo Verde, another third (35%) go directly to local providers, and the remaining 29% work through tour operators or do not currently have a partner in Cabo Verde at all. (Q13: Do you work with a DMC in Cabo Verde?) For the survey respondents that do offer Cabo Verde to their clients, it is rated overall as average compared to the other destinations they sell. Cabo Verde is seen as an above-average value for the money, but all other scores given are below average. A lack of international flights is seen as a challenge for Cabo Verde. Q8: Please rate the following aspects of Cabo Verde's adventure tourism from poor to excellent, as they compare to other similar destinations you offer The most popular activities currently offered on respondents’ itineraries to Cabo Verde are soft adventures, activity-based adventures, and cultural-based adventures. 48 Q11: Please select the types of trips that are currently offered on your itineraries in Cabo Verde (select all that apply) “Other” types of trips include (direct quotes): ● All-inclusive hotels ● Beach tourism ● Beach ● Our most recent trips have been custom and FIT trips and not scheduled departures. In the future we hope to be able to include Cabo Verde into our scheduled departures. ● Relaxation ● Kayak, snorkel, cruise ● Scuba diving ● Small group ● Hiking Tours with local guide About half (48%) of the respondents include hiking/trekking on at least one of their itineraries (Q12: Do any of your Cabo Verde itineraries offer hiking/trekking?). These respondents were asked more specifically about how Cabo Verde could improve their hiking product. About half (40%) said more information needs to be made available, and a few mentioned improving trail signage and quality. One responded that Cabo Verde needs “More DMCs offering guided excursions on more islands - it appears only a few islands have a guided tour option,” another recommended that Cabo Verde “Work on flight/ferry providers providing reliable service and timetables,” and another said Cabo Verde needs “more airlines to serve the country.” (Q17: How could Cabo Verde improve their hiking product? Please also include any feedback you've received from clients.) When asked what is most appealing to their clientele about Cabo Verde, many respondents mentioned the beaches and nature. It is seen as a unique and unspoiled “off-the-beaten-path” destination, one that is not yet commercialized. Cabo Verde is relatively unknown especially in the North American market, making it appealing for those looking to try something new. It is seen as affordable, and an excellent mix of culture (especially the music), nature, hikes, food, 49 local experiences, and land- and water-based activities. Hiking was mentioned as a top activity, along with scuba diving and surfing. One respondent said their favorite things about Cabo Verde are, “Island hopping on lesser known islands, hiking and easy interaction with local people. I like to show families the country behind the all inclusive resorts at Sal and Boa Vista.” (Q15: What is most appealing about tourism in Cabo Verde to your clientele/business? Please be specific in terms of activities, nature and cultural offerings.) Promoting Cabo Verde N = 132 for this section To conclude the survey, all respondents (whether or not they currently sell Cabo Verde) were asked what tools and resources would be helpful for them to promote and sell the country. FAM Tours was the overwhelming response, although there is also a high need for connections to quality local DMCs, suppliers, and/or guides. Q18: What tools and resources would be helpful for you to promote & sell Cabo Verde? “Other” responses include (direct quotes): ● Ability to work in partnership to design custom itineraries ● More choice on flights ● Training of guide and DMC/Tour Operators ● Airline & DMC partners with the ability for my clients to pay directly with US Bank relationships vs me having to figure out payment arrangements with new partners ● Social media ● Maps ● More follow-through from land operators ● Promotion by the Cabo Verde Tourist office The survey concluded by asking respondents to enter their email address if they were interested in attending a possible future adventure FAM trip to Cabo Verde. One hundred and twenty (120) respondents entered their email address; this list will be provided separately. 50 Summary of travel trade perceptions of Cabo Verde Overall, tour operators and travel advisors/agents who responded to the survey view Cabo Verde positively, but need more information about the destination. They see it as having high potential for clients looking for a more unique and unspoiled experience that combines the best of activity, nature, and culture. Most respondents did not currently have connections to adventure travel suppliers in Cabo Verde, but there is a very high level of interest in learning more about the destination and what it has to offer adventure travelers. Part 6 - Feedback from hiking tourists in Cabo Verde Methodology ● The survey was developed in the SurveyCTO web-based platform. ● A local firm, MGF, was contracted to survey international hiking tourists who were leaving Santo Antão. ● A pilot field test was conducted on 17 January 2023. 26 complete responses were received. ● On a follow-up team call, MGF suggested adding a yes/no cruise question to the survey; it was agreed that this would be beneficial. All respondents interviewed during the pilot test on 17 January were not in Cabo Verde as part of a cruise, since there was no ship in port. As no other changes were made to the survey instrument, all 26 complete responses were considered valid and are included in the data analysis. ● MGF continued gaining responses through 26 January 2023. It had been determined that a minimum of 250 responses would provide enough information for the scope of this study. 260 responses were gathered in total to allow for any invalid responses. ● One response had a blank “cruise” field due to a technological glitch, but it was decided to keep it in because all other data was valid, and not include it in any cruise yes/no comparisons. ● Data was cleaned on January 26 and 27 in Excel, and data was analyzed using a combination of Excel and SPSS. Respondent Profile Almost half of the respondents were from France (43.5%), with Germany (17.3%) and Netherlands (11.5%) also appearing as popular source markets. 51 Respondents also came from Switzerland (7.7%); United Kingdom (3.8%); Belgium, Portugal, Spain (2.7% each); Canada (1.9%); Italy and Austria (1.2% each); USA, Slovenia, Denmark, Sweden, Poland, Ireland, Russia, and Czech Republic (<1% each). (Q: What is your country of residence?) Respondents were approximately half male (52.3%) and half female (47.7%). (Q: What is your gender?) Half of all respondents (50%) were aged 55 and older: Q: What is your age? Approximately half of those interviewed were traveling as a couple (48.5%), and the rest were traveling as a group, solo, or with family: Q: Who are you traveling with? 52 Approximately 6% of respondents were in Cabo Verde as part of a cruise, and 1% were there to watch the Ocean Race. (Q: Are you in Cabo Verde as part of a cruise?, Q: Are you here for the Ocean Race?). Time in Cabo Verde and Santo Antão On average, respondents were spending 16.5 days in Cabo Verde, 6.3 of which were spent in Santo Antão. Of these 6.3 days in Santo Antão, they spent an average of 5.2 days hiking, meaning it was the activity that consumed most of their time. Q: How many nights are you staying in Cabo Verde? Q: How many nights did you stay in Santo Antão? Q: How many days did you spend hiking (in half-day increments)? Activities in Santo Antão Aligning with this, 100% of respondents indicated that hiking was a primary reason they were in Santo Antão. Enjoying the sun and beach was another primary reason for visiting (12% of respondents); no other primary reason was indicated by more than 1% of respondents. (Q: What were the PRIMARY activities you did in Santo Antão?) As a secondary reason for visiting Santo Antão, visitors said they were interested in the cultural activities (8%) and to experience the culinary aspect of the island (8%). A small percentage (<4% each) also went snorkeling, scuba diving, fishing, biking, wind or kite surfing. (Q: What were the SECONDARY activities you did in Santo Antão?) Hiking in Santo Antão 53 Because 100% of respondents had come to Santo Antão to go hiking, all (n=260) were asked why they came to hike, how they heard about Santo Antão for hiking, and about their hiking experience on the island. Most visitors (69%) came to Santo Antão to see its astonishing landscapes, and half specifically for nature, flora, and fauna. “Other” reasons include to explore, for a documentary, it was unplanned, the climate/weather, and for academic study. Q: Why did you come to Santo Antão to go hiking? The most popular way to hear about the hiking in Santo Antão was through word of mouth (40%), or through social media (33%). Q: How did you hear about hiking in Santo Antão? The majority of respondents (65%) only did self-guided hikes, 22% only did guided hikes, and 13% did both. 54 Q: Did you do guided or self-guided hikes, or both? Feedback on hiking product in Santo Antão The two most popular hikes done by respondents were Rota de Ponta do Sol (done by 75% of respondents) and Rota do Vale (done by 73%). Two respondents could not remember the names of the trails they hiked (marked “other” in the following chart). Q: Which trails did you hike? The next section of the survey asked visitors to rate only the trails that they hiked, on a scale from 1 (very low) to 5 (very high), with 3 being average. The number of respondents for each trail is noted below the trail name. All trails were rated as above average. 55 Q: How would you rate the trails you hiked? To learn more about the specific aspects of the trails in Santo Antão, travelers were then asked generally about their hiking experience on the island, across all the trails they explored, on a scale from 1 (very low) to 5 (very high), with 3 being average. Some respondents were not able or willing to answer these questions; the number of respondents is noted below each aspect. The only aspects rated below a 4 on average were on-the-trail dining, accessibility, information available (e.g., self-guided signs, view/location information), and signage. Q: How would you rate the following components of your hiking experience in Santo Antão? 56 Recommending Cabo Verde’s hiking product Visitors were asked how likely they are to recommend Cabo Verde for hiking to family and friends, using a Net Promotor Score (NPS)-formatted question. Answers were given on a zero-to-ten scale; the Net Promoter Score is the percentage of guests who are promoters (those who scored 9 or 10) minus the percentage who are detractors (those who scored 0 to 6). Q: How likely are you to recommend Cabo Verde for hiking to family and friends? The NPS for Cabo Verde’s hiking product among these respondents was 73%, which is very good. Only 4% of respondents would not recommend hiking in Cabo Verde to their family and friends, and 77% will actively tell others about their experience in a positive way. Final comments and suggestions Lastly, survey respondents were asked an open-ended question about how the hiking experience in Santo Antão could be improved. The top recommendations for improvement were signage on the trails and roads and information made more available in general (online, while visiting the island, etc.), and better cleanliness/trash bins on the trail. Some visitors also mentioned increasing accommodation options, improving rest areas, and increasing places to eat and drink while on the trails. Trail accessibility was also mentioned, especially improving the safety barriers near drop-offs. (Q: How could the hiking experience in Santo Antão be improved?) 57 Part 7 - Site visit and interviews In order to gain perspective and first-hand knowledge of the current state and potential of Cabo Verde’s hiking product, an expert representative of the Adventure Travel Trade Association (ATTA) visited Cabo Verde. The focus of this visit was to experience a sample of the trails being offered, the tourism product experience as a whole, as well as to perform interviews with key public and private sectors stakeholders to understand the state of understanding around the market, public policies, and strengths and weakness of the country related to the topic at hand. During the period of 14-23 January 2023, the site visit included hikes in Santo Antão, São Vicente, and Santiago. Interviews with 15 public and private sector stakeholders were also conducted (see Annex 1). The hikes took place in the following regions: ● Cruzinha - Ponta do Sol - Santo Antão ● Cova - Santo António das Pombas - (Vale do Paul) - Santo Antão ● Tarrafal - Monte Trigo - Santo Antão ● Selada da Baleia/Feijoal Preto (Mato Inglês) - São Vicente ● Santa Luzia/Boca de Lapa - São Vicente ● Trilha das Antenas - Parque Natural da Serra da Malagueta - Santiago Based on the site visit, multiple hikes, and interviews with key stakeholders, a summary of the state of the situation is provided below: 1. Growth is happening and will continue to happen. Deciding and controlling the direction and pace of this growth is key to sustainable development. ● Cabo Verde is an authentic, genuine, hospitable destination with significant space for growth in the adventure travel/hiking market. Santa Antão is still in its beginning stages, and other islands have not started the process yet. ● There is high market demand for groups and individual travelers from French and German-speaking countries, but other markets do not know about Cabo Verde yet. There is significant space for market growth, especially from English-speaking source countries. ● The main challenge is to manage and drive growth in the right direction and at a controlled pace. 2. Two tourism development models are currently coexisting in Cabo Verde: (1) Mass tourism - sun and beach and cruises, and (2) Sustainable tourism - hiking. ● Sal and Boa Vista already have a focus on mass tourism. ● Santo Antão, São Nicolau, Fogo, and Brava are geared toward hiking, particularly Caminos Vicinais. 58 ● Santiago and São Vicente combine urban cultural capitals with hiking trails and beaches. 3. Caminos Vicinais is a unique asset to Cabo Verde for the hiking market. ● The unique history of Caminos Vicinais and its trail system across all the islands makes it a unique asset to Cabo Verde. This is something to be managed wisely. ● Projeto Raizes funded by the EU is a good example of how to start valuing and creating standards, products, and community engagement along its paths. ● Caminos Vicinais needs to be considered through public policies and long-term management solutions, for example, the Destination Management Organization (DMO) described in this report. 4. Santo Antão can serve as an example of Sustainable Economic Development. ● Santo Antão has all the conditions and capabilities to be a demonstrative model for sustainable development, inclusive to the local populations, enabling entrepreneurship, job creation, and economic development. ● The development model applied to Santo Antão and based on lessons learned and market growth should be applied to the other islands with the same potential. 5. To support the population on the less developed islands, entrepreneurship and job creation in Tourism and Community Based Agriculture needs to be a priority. ● The sustainable tourism value chain can bring significant opportunities for small and medium enterprises and local communities to develop businesses creating a positive impact on the local economy and a ripple effect on the willingness to stay, especially for youth and women. ● On this same line, community-based farming values need to be integrated into the sustainable development strategy. First as a vector to adding value to local farms and creating a reason to not leave the land, and second as a strategy to add value to land, to the local products, and to the local economy which will maintain Cabo Verde as an authentic, genuine, and sustainable destination. 6. Inter-Island connectivity (maritime and air) is the main bottleneck for development and diversification. ● A balanced growth in the islands depends on connectivity. This is a major problem to be addressed. 7. The islands can offer complementary experiences. They are diverse and rich in landscapes, culture, food, and experiences. 8. Other Adventure Travel activities, for example, mountain biking, kayaking, and scuba diving are possible but much less scalable. It is important to diversify the activity offering 59 somewhat, but the focus should be on Hiking. 9. Key public policies and regulations should be put in place to enable sustainable economic development related to the Caminos Vicinais, local accommodations, guides licensing, etc. 10. Cabo Verde’s tourism marketing positioning does not currently consider the hiking potential, nor does it speak to this traveler persona. 11. Protected areas management needs to be involved in the development and implementation of the sustainable tourism strategy. All Cabo Verde islands have hiking potential The main conclusion from the site inspection and interviews with multiple stakeholders is that Cabo Verde has significant potential to become an world class hiking destination and spread the benefits of sustainable tourism throughout the country islands. Although hiking tourism is more visible and it is driving the tourism development in Santo Antão the potential to grow and develop in the other islands is clear. One of the main reasons is the presence of the Caminhos Vicinais, the estimated 1000km stoned paved trails system is present in all the islands with different conservation and maintenance levels but they exist and can be leverage to become an asset to drive hikers from around the world to walk, hike, run in the different island that will offer different combinations of products, experiences, comfort levels and attractions. As an example travelers wanting more authentic and original experiences may want to choose to travel do São Nicolau or Brava Islands with less infrastructure and service providers, travelers looking to combine culture or expecting more infrastructure and a diversity in service providers might choose Santiago or São Vicente, and Santo Antão and Fogo can be combined with multiple islands itinerary. The main point is Cabo Verde within all its Islands with its diversity of attractions, cultural identity, morabeza, and Caminhos Vicinais have the potential to become a hiking destination. 60 Part 8 - Conclusions and recommendations Cabo Verde can be seen as a model for other countries in the Sub-Saharan region, for its outstanding human and economic development in recent decades. Its graduation from a Least Developed Country to a Middle-Income Country, in 2008, has been thanks to a strong investment in education and the promotion of strategic industries. With a lack of natural resources due to arduous natural conditions and intense human activity, service-based industries have been the main source of growth. In particular, as is the case in many island countries, tourism has become one of the major economic sectors, if not the biggest. The 819,308 international travelers that arrived to Cabo Verde in 2019 meant an almost 5-fold increase in twenty years. Most of them arrived attracted by the country’s beaches. In fact, the two country’s islands rewarded for their sun and beach tourism, Sal and Boa Vista, are visited by over 75% of tourists and more than 90% of international arrivals are at one of these islands’ airports. However, this type of tourist is grouped into the category of mass tourism, which means that only a small part (14%) of their expenditure stays in the destination. Indeed, even though tourism accounts for 25% of Cabo Verde’s GDP, there are only 8,000 direct tourism jobs. For every 10 new visitors, there is just one new job created. For adventure travel destinations this reaches a 1 to 1 proportion. Hence, the country is facing an important leakage problem. Moreover, mass tourism is also considered a big threat to the environment. To solve this problem, Cabo Verde needs to shift its strategy toward the type of tourism with the greatest potential in terms of cultural, environmental, social, and economic development. Considering the natural, geographical, climate, historical, and cultural characteristics of the country, adventure travel stands out as a unique opportunity for this. With the adventure potential of Cabo Verde, and hiking in particular, the country can become a world-class destination for hiking travelers. This claim is well-supported by the high levels of satisfaction and declared recommendations from past visitors. In particular, Cabo Verde has the chance to begin investing in a certain triumph: its hiking gem Santo Antão. Promoting the development of this island first will allow quick wins, rapid economic returns, and will help convince any remaining doubtful stakeholders. Santo Antão can become a success case and a model for other islands with unparalleled beauty like São Nicolau, Fogo, and Brava. Attracting more adventure travelers will multiply the economic performance of the destinations. This is of greater significance for a country where tourism is so important. Adventurers not only have a much larger budget than mass tourists, but they also spend a higher proportion of it in the destinations, generating more direct jobs. Cabo Verde finds itself in a state of development where it can choose whether to keep expanding mass tourism-related products, with the diminishing returns they are currently bringing. Or, it can 61 take the position of investing in a sector with greater potential according to the country’s endowments for adventure travel. If the latter is adopted, relevant decisions should be taken to move forward on that development road. Recommendations A Possible vision of the future Considering all the fronts this research report has explored, and all the stakeholders of the hiking tourism market, we suggest a desired vision of the future for tourism for Cabo Verde as an inspiration for the next steps toward the sustainable development journey, as well as a set of four key initiatives to focus energy and action. Vision of the Future of Tourism in Cabo Verde ● Decide which tourist Cabo Verde wants to receive with motivations aligned with the destination’s strategy ● Sustainable, Inclusive, Present in North and South Islands ● Coexistence with sun and beach and cruise tourism ● Integrated with the management of protected areas ● Innovation, entrepreneurship, job, and income generation vector ● Contributes to the establishment of economically active populations and especially the youngest on the islands ● It is a viable investment opportunity with technical assistance and professional training for nationals, members of the diaspora and foreigners Key initiatives A. Caminhos Vicinais is a key strategic asset: governance, management and funding needs to be addressed and solved for. ● Destination development strategies should be planned along its paths, within a systems approach - funding, ongoing management, maintenance, monitoring and at some point a reservation system will probably need to be put in place. ● The Caminhos Vicinais can be utilized as a vector for sustainable development, entrepreneurship, job creation, and investment, including tourism service providers and agriculture, farming, and food production, with special attention for Produtos da Terra. ● Projeto Raizes in Santo Antão is a good example to be expanded and replicated. ● A public private partnership should be considered. A combination of funding mechanisms with public and private sector stakeholders involved and with skin in the game. 62 ● The organization should be lean, focused on a few key responsibilities, for example maintenance, signage, monitoring, and not in marketing and promotion. ● A phased solution should be considered, solutions for the demand today will not be good enough for the coming future. Action plan: (Resp.:National Government/ Tourism Ministry) 1. An Economic Feasibility Study with International Benchmarking related to Governance, Management and Funding Mechanisms with a 5-25* years time frame should be developed to support the decision making process. The study should focus on addressing solutions for the 3 key aspects: a. Establish Governance - public-private partnerships are good practice but not the norm. Governance is related to establishing how the Caminhos Vicinais Entity will be formed, is it public, is it private, is it public and private? Defining the statute, the high-level rules on how it will work, how decisions will be made, the capacities and competencies of the boards, the directors, where the funding will come from. b. Define Management - what should the entity do? Maintenance, signage, visitation monitoring (define carrying capacity for now but specially for the coming future) Management is related to the day-to-day operations. With the governance defined and established, an executive team will be hired to execute a budget within a set of rules and processes. Management is making things happen. Governance is defining the rules of how to make things happen. c. Develop Funding Mechanism - What economic model supports the Caminhos Vicinais? Tourist tax (voluntary/mandatory)? Ticket System? Percentage of tourism fund? Combination of public and private funding? *Observation on Economic Feasibility Study timeline: The time range is a decision of the one commissioning the study. The suggestion of a wider range comes from the perspective of the possible changes in demand and the need to create different scenarios for growth and plan for change management with enough time in advance, avoiding overtourism and its negative aspects. A narrower time range could be adopted if aligned with the financial planning culture of Cabo Verde. 63 B. Product development and sustainable economic development is a must and should drive entrepreneurship, job creation, and investment ● Tourism Product Diversification and Deepening: Today Cabo Verde serves the end of the spectrum of European travelers that accept a different level of service in order to have a more authentic, genuine experience. As the demand grows, tourists (not travelers) will come. The Cabo Verde hiking product has to be able to serve the broad spectrum of travelers' and tourists' motivations and interests. A wide range of services needs to be developed, meaning more opportunities for entrepreneurs, job creation, and investment. Moreover, the different islands can offer different experiences (e.g., authentic, luxury) for different types of traveler demands. ● The key to sustainable development in Cabo Verde is enabling the local communities to create, innovate and engage with economic activities that they see as feasible options for their livelihoods. Sustainable Tourism and Agriculture have long value chains formed mainly by micro, small and medium enterprises. Enabling these communities and the private sector to engage and thrive should be the priority number one on the next steps of Cabo Verde stakeholders. ● Produtos da Terra - Product development needs to be considered from another perspective, that related to Cabo Verde’s unique traditional products (Produtos da Terra), for example, the Grogue, the Fogo Wine, the Coffee, the Pano de Terra. These products are hard to find, so they are barely seen or bought by tourists. However, visitors are interested in learning more about, and purchasing, this type of product (this was also mentioned by a few respondents in the visitor survey). Creating projects and programs to support entrepreneurs to invest in the Produtos da Terra, both as it relates to tourism and export, is something to be considered. ● Family-owned farming/agriculture needs to have the same level of value as tourism service providers. The sustainable tourism sector development needs to be integrated with sustainable agriculture development; one will add value and support the other. ● It is important to involve the Instituto de Emprego e Formação Profissional (IEFP) focused on tourism and agriculture careers training and formation, and the PROEMPRESA focused on offering shelf products to support the establishment of tourism and agriculture companies. ● A special mention should be made of the diaspora citizens and their investment capacity. Tourism can be an enticing option for investment and a strategy for returning home with a new purpose and challenge. The initiatives above should definitely consider this target audience. 64 Action plan: 1. A Capacity Building strategy should be developed focusing on product development considering enabling and incentivizing entrepreneurship and employment around Caminhos Vicinais with a focus on youth, women and diaspora citizens. ○ To develop a capacity building strategy further information, consultation and study is needed as for example: Identifying training needs x training offer from existing training programs from ProEmpresa and IEFP related to tourism, hospitality and the services industry. 2. Fostering entrepreneurship around Caminhos Vicinais, focused on entrepreneurs, company owners, managers - ProEmpresa ○ Create programs to support and provide technical assistance to MSMEs around the Caminhos Vicinais. Ex: tour operators and activities, vehicle and equipment rental, bars and restaurants, hotels, small businesses, Grogue production, wine production, agroforestry, etc. ○ Develop and offer benchmarking missions to support the development of a new generation of entrepreneurs especially women and youth. 3. Training and qualification of people, focused on professionals, employees, service providers - IEFP ○ Implement regular professional training programs. Ex.: nature guides, drivers, cooks, waiters, maid, artisans, designers, customer service, etc. ○ Training in various topics such as sustainable travel product development, business management, hospitality, food safety, guide, safety and risk management. 4. Portfolio of Investment Opportunities - Tourism Ministry ○ Develop a list of sustainable investments that can leverage Cabo Verde's Hiking Product. E.g. investment opportunities for accommodation, restaurants, tourism activities, community-based experiences, combining agricultural and tourism experiences. 5. Coordinate two field trips to learn about the experience of the main two hiking destinations that Cabo Verde can learn about. ○ Azores, due to the geographic and location similarities. ○ New Zealand for the great sustainability efforts, public-private coordination and marketing strengths. 65 C. Public Policies, Regulations improvement and technical standards to support the triad: Caminhos Vicinais, Produtos da Terra e Local Family Owned Farming ● Sustainable tourism development demands different government stakeholders to take action and in a coordinated and articulated manner provide resources, expertise and inputs. From the interview with key stakeholders we understood that a coordinated and formal involvement of the different stakeholders needs to be put in place to give direction to efforts and make them happen. As an example the involvement of ProEmpresa and IEFP in training and capacity building for sustainable tourism-related topics or IGQPI in technical standards related to Adventure Travel needs to be discussed and formalized. In our experience in developing nations, a way to formalize and articulate the engagement of different government institutions is to have a government program agreed by all parties that usually is recognized in some level of legislation, by law or executive decision. ● Public policies to support the development of Products da Terra quality, considering labels and certification efforts (Sebrae - Brazilian Small and Medium Enterprises Agency might be a good support for this). ● Public policies to support the development of Family-owned farming/agriculture, considering training, special taxation, and cooperatives creation. ● Public policies to support the formal - national and international - recognition of Caminhos Vicinais as world heritage patrimony and its potential role in sustainable economic development. ● Public policies to support the development of the tourism niche market for guides, tours operators and service providers Action plan:* 1. Adopt ISO standards for Adventure Tourism as a reference for Tourism operators: safety, guides, sustainability and customer information - IGQPI These norms should be references for Proempresa and IEFP programs 2. Update legislation and training curriculum for nature and hiking guides - National Government 3. Consider legislation that recognizes the Caminhos Vicinais as a heritage of Cabo Verde and can regulate its governance, management and financing mechanism - National Government bringing the potential following benefits: public (national and international) recognition, protection and conservation programs, funding (ongoing and emergency), integration with protected areas management plans, etc. 4. Consider legislation that formalizes an integrated regional development government program for the development of sustainable tourism in the North and South Islands, including ministries and other government bodies ITCV, Proempresa, IEFP, IGQPI, etc. 66 5. Consider legislation to encourage family farming and products from the land - National Government D. Sustainable travel branding and marketing ● Cabo Verde is not currently known as a sustainable travel destination. This Market Research focused on hiking can be an important input on the current branding and marketing strategy to position Cabo Verde in the Adventure Travel Hiking Market. ● Cabo Verde is an international long-haul destination. A 3-year-long branding, marketing, and promotional strategy should be designed to position Cabo Verde in the sustainable tourism market focused on the key outbound markets in the adventure tourism/hiking tourism niche. ● the hiking market research could serve as an important input into the new national tourism brand that is currently being developed Action plan: (Resp.: ITCV) 1. Develop Cabo Verde's brand and marketing plan in Sustainable Tourism - Ongoing with THR consulting 2. Define main target markets. ○ Suggestion for the short term: Maintain: French and German speaking markets Grow: English speaking markets 3. Enable action focus on the tourism trade (B2B) - Focus on the specialized market ○ Develop a promotional strategy with a focus on the niche market considering the most important trade shows in each key target market. See example in table below and in Annex 2 - Recomendações de Feiras Temáticas Turismo de Aventura, Natureza e Ecoturismo para Cabo Verde 2023-2024 Market Event Type German ITB Berlin Massive French Top Resa Massive Great Britain Adventure Travel Specialized/Thematic/Ni Network che North America AdventureElevate North Specialized/Thematic/Ni America che Global Adventure Travel Trade Specialized/Thematic/Ni Association che 67 Table 4: B2B Trade Show to be Considered ○ Realization of Famtours: Tour Operators/Media/Online Travel Agencies 4. Activate actions for the final consumer - B2C ○ Develop a Cabo Verde storytelling project with social media and paid ads distribution - carry out the production of videos, photos and stories of sustainable tourism in Cabo Verde ○ Conduct a Campaign with Cabo Verdean Influencers ○ Sponsor Cabo Verde landing page in relevant media outlets in key markets as an example: ■ North American/Global Adventure.Travel (ATTA) ■ German/Global Outdoor Active ■ Australia/Global World Nomads ■ French/Global Evaneos ■ Great Britain/Global Wanderlust Recommendations summary table In order to support the understanding and implementation of the action plan we have organized the suggested actions from each key initiative and proposed action in the summary table below. We have also added the level of priority that should be considered for each action, being 1 - highest priority and 3 - lowest priority. Prioriz Key Initiative Action Plan ation A. Caminhos Vicinais is a key strategic asset: governance, management and 1. An Economic Feasibility Study with International Benchmarking 1 funding needs to be related to Governance, Management and Funding Mechanisms with a addressed and solved 5-25* years time frame should be developed to support the decision for. making process. B. Product 1. A Capacity Building strategy should be developed focusing on development and product development considering enabling and incentivizing 3 sustainable economic entrepreneurship and employment around Caminhos Vicinais with a development is a must focus on youth, women and diaspora citizens. and should drive 2. Fostering entrepreneurship around Caminhos Vicinais, focused on entrepreneurship, job 1 entrepreneurs, company owners, managers - ProEmpresa 68 creation, and 3. Training and qualification of people, focused on professionals, 1 investment employees, service providers - IEFP 4.Portfolio of Investment Opportunities - Tourism Ministry 2 5. Coordinate two field trips to learn about the experience of the main 3 two hiking destinations that Cabo Verde can learn about. 1.Adopt ISO standards for Adventure Tourism as a reference for Tourism operators: safety, guides, sustainability and customer 1 information - IGQPI These norms should be references for Proempresa and IEFP programs 2. Update legislation and training curriculum for nature and hiking 1 guides - National Government C. Public Policies, Regulations 3. Consider legislation that recognizes the Caminhos Vicinais as a improvement and heritage of Cabo Verde and can regulate its governance, management technical standards to and financing mechanism - National Government bringing the potential 1 support the triad: following benefits: public (national and international) recognition, Caminhos Vicinais, protection and conservation programs, funding (ongoing and Produtos da Terra e emergency), integration with protected areas management plans, etc. Local Family Owned Farming 4. Consider legislation that formalizes an integrated regional development government program for the development of sustainable 2 tourism in the North and South Islands, including ministries and other government bodies ITCV, Proempresa, IEFP, IGQPI, etc. 5. Consider legislation to encourage family farming and products from 3 the land - National Government 1. Develop Cabo Verde's brand and marketing plan in Sustainable 1 Tourism - Ongoing with THR consulting 2. Define main target markets. 1 3.Enable action focus on the tourism trade (B2B) - Develop a promotional strategy with a focus on the niche market considering the 1 D. Sustainable travel most important trade shows in each key target market. branding and marketing 3.Enable action focus on the tourism trade (B2B) - Realization of 2 Famtours: Tour Operators/Media/Online Travel Agencies 4. Activate actions for the final consumer (B2C) - Conduct a Campaign 1 with Cabo Verdean Influencers 4. Activate actions for the final consumer (B2C) - Develop a Cabo 2 Verde storytelling project with social media and paid ads distribution 69 4. Activate actions for the final consumer (B2C) - Sponsor Cabo Verde 3 landing page in relevant media outlets in key markets 70 References Adventure Travel Trade Association, East Carolina University & Outside Magazine (2016). North American adventure travelers: seeking personal growth, new destinations, and immersive culture. updated 2017 Adventure Travel Trade Association (2019) Adventure Travel Trends Snapshot. Data from 2018. Adventure Travel Trade Association (2021) Adventure Travel Trends Snapshot. Data from 2019. Adventure Travel Trade Association (2022) Adventure Travel Industry Snapshot. Data from 2021. Banco Mundial (2018). “República de Cabo Verde: Ajustando o Modelo de Desenvolvimento para revitalizar o Crescimento e Fortalecer a Inclusão Social.” Center for Environmental and Sustainability Research – CENSE (2018). Evaluation Report of the Use and Socioeconomic Impact of the Vicentine Route. East Carolina University, Outside magazine and Adventure Travel Trade Association (2016). “North American Adventure Travelers: Seeking Personal Growth, New Destinations and Immersive Culture”. Published in 2017 . Ferreira Couto, C. (2010). Incerteza, adaptabilidade e inovação na sociedade rural da Ilha de Santiago de Cabo Verde, Lisbon: Fundação Galouste Gulbenkian. Hoyng, J., Schaars, D. and Werensteijn, M. Wandelnet (2021). De waarde van wandelen. Kenniscentrum Sport & Bewegen, and Wandelnet. Future Market Insights Global and Consulting Pvt. Ltd. (2022). Global Adventure Tourism Industry worth Over 3/5th contribution by Soft Tourism: Future Market Insights, Inc. INE (2010). Resumo das projecções demográficas da população por concelho, 2010 a 2030. Praia. Instituto Nacional de Estatística, 2010. INE (2017). Evolución de las estadísticas de turismo según islas INE (2018). Produto Interno Bruto por Ilha, ano 2016. Praia, 28 de Setembro. Instituto Nacional de Estatística, 2018. INE (2019). Estatísticas do Turismo – Inquérito aos Gastos e Satisfação dos Turistas. Instituto Nacional de Estatística- IGST, 2019 71 INE (2021). Inquérito aos gastos e satisfação dos turistas 2021. Instituto Nacional de Estatística - IGST, 2021. 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List of websites visited https://www.britannica.com/place/Cabo-Verde https://www.cbi.eu/market-information/tourism/walking-tourism/market-potential https://data.worldbank.org/indicator/SP.POP.1564.TO.ZS?contextual=population-by- age&end=2021&locations=CV&start=1960&view=chart 72 https://hdr.undp.org/data-center/human-development-index#/indicies/HDI https://www.metoffice.gov.uk/weather/travel/holiday-weather/africa/cape-verde https://www.projectuntethered.com/hiking-statistics/ https://skift.com/2022/08/29/tourist-destinations-face-dilemma-switching-from-quantity-to- quality-visitor-strategies/ https://skift.com/2023/01/10/india-becoming-the-new-china-in-the-reordering-of-asia-travel/ https://www.travelandleisure.com/trip-ideas/adventure-travel/hiking-most-popular-outdoor- activity https://www.travelweekly.com/Travel-News/Tour-Operators/Study-reveals-shifts-in-adventure- travelers-preferences https://www.visit-caboverde.com/en/about-cabo-verde/geography-and-geology https://www.worldbank.org/en/country/caboverde/overview https://www.worldometers.info/demographics/cabo-verde-demographics/ https://www.worldnomads.com/in-the-news/media-releases/2023-travel-trends https://www.visitazores.com/ https://rotavicentina.com/trilhos-pedestres/ https://www.newzealand.com/us/walking-and-hiking/ https://appalachiantrail.org/explore/hike-the-a-t/thru-hiking/permits-regulations/ 73 Appendix A. Interviews # Organization Name and position Location Date 1 Roteiro SA - Service Provider Ailton Silva - Guide, Santo Antao Jan, 15 Owner 2 Free Lance Guide Unildo Pires Gomes - Santo Antao Jan, 17 Binga 3 Nobai - Inbound Tour Operator Théo Laudrey, owner Santo Antao Jan, 17 4 Tourism Council, Municipality of Valter Silva, Council Santo Antao Jan, 18 Porto Novo Representative 5 ADPM/ Projeto Raízes Liam de la Torre, Head of Santo Antao Jan, 18 Communications 6 Simple Consulting Solene Silva, Consultant, Santo Antao Jan, 18 owner 7 Instituto de Turismo de Cabo Joel Barbosa, Tourism Santo Antao Jan, 18 Verde Expert 8 North Islands Chamber of Gil Costa, President São Vicente Jan, 19 Commerce 9 North Islands Chamber of Jose Lopes, Tourism and São Vicente Jan, 19 Commerce Business Expert 1 Aventura Inbound Tour Operator Lena Ehlrich São Vicente Jan, 19 0 1 Ministério de Turismo e Dr. Carlos Jorge Duarte São Vicente Jan, 21 1 Transportes (MTT) - Instituto de Santos, Minister of Turismo de Cabo Verde Tourism and Transport 1 Tourism Fund Manuel Ribeiro, Head Santiago Jan, 23 2 1 Tourism Fund Pedro Santana, Consultant Santiago Jan 23 3 1 Vista Verde Inbound Tour Madalena Rodrigues, Santiago Jan, 23 4 Operator Manager Santiago 74 1 Guides Association São Vicente Rubem Moura, President Virtual Jan, 23 5 Appendix B. Recommendations for adventure tourism, nature and ecotourism thematic fairs for Cabo Verde 2023-2024 The following includes some key recommendations for thematic fairs related to the ecotourism, adventure tourism and nature tourism segments for the next 12 months in target markets: English (focus on the United States, Canada and the United Kingdom), French and German language speakers . The selected events stand out in the mentioned markets and should be considered as an integrated participation strategy considering the following topics: • the key messaging, images, products and representatives of the country must know the offer of adventure tourism and be able to speak in the same language as the markets visited, being a combination of representatives of the public and private sector • The planning must consider the set of events for the destination to be recognized by the market and create confidence • The planning must consider multi-year participation with a hair regularity at least 3 years in a row to give consistency and place Cabo Verde and its products on the platform of the international market and our specialized means of communication Among the selected events, ATTA is the organizer of some or has a relationship with the organizers and can support Cabo Verde in the initial contacts. 2023 May AdventureElevate North America – Portland, Maine, EUA Organizer: ATTA 75 Focus markets: Buyers in United States and Canada Summary: AdventureELEVATE is an annual three-day education and networking conference that brings together thought leaders and professionals from the adventure travel community to gain inspiration and regionally focused insights into the trends that shape our industry or the whole year. Like our popular Adventure Travel World Summit or ELEVATE offers a perfect combination of high-value speakers, simultaneous sessions on technology, marketing and operations, as well as a unique opportunity to experience for the first time some of the adventures that our host destination has to offer. 300 participants with a focus on the B2B market of North America are expected. It is the main event of the adventure tourism market in North America. June https://www.ispo.com/en/outdoor Organizer: ISPO Focus Market: German language and Central Europe markets Summary: Event with focus on equipment for outdoor activities. It could be an option for Cabo Verde to innovate in its international presence with other few competing destinations. The following description of the concept of the event on the organizer's site: Discover trends. Experiment or be free. Together, we open new paths with brands focused on the future, we discover new trends and innovations and we exchange ideas on ecological and social responsibility. From June 04 to 06, 2023, the OutDoor by ISPO offers the complete experience free for three days at the MOC Event and Order Center in Munich. Be present when it is time to open new paths together. Adventure Elevate Near East – 13-15 October 2023 Organizer: ATTA Focus Market: Buyer market USA and Europe - English speaking Summary: 200 to 250 participants are expected. Being about 50 buyers and international press. It is a good opportunity for Cape Verde to get to know competing destinations, assess whether it is interested in organizing such an event in Cabo Verde and whether it is a prominent African destination in the Middle East and North Africa. September Adventure Travel World Summit Organizer; ATTA 76 Focus Market: Global with a focus on North America and Canada. Summary: Each year, representatives from the adventure travel industry gather at the Adventure Travel World Summit (ATWS) to talk business, get inspired and enjoy a decidedly adventurous destination anywhere in the world. Produced by the Adventure Travel Trade Association, the Summit is for tour operators, adventure travel writers and influencers, tourism boards, equipment partners and industry partners. More than just a conference, the Summit is a global gathering of an industry that works hard and plays, offering in-depth educational content, renowned speakers and endless networking opportunities - both structured and offsite - including an operator MARKETPLACE tourism with a globally diverse group of companies and destinations; and a MediaConnect session where delegates can pitch story ideas to more than 40 international travel writers and editors. The main adventure tourism event in the world, it gathers around 800 participants, more than 100 of which are international buyers. October https://www.cyclesummit.com/ Organizer: Cycle Summit Focus Market: Europeu Summary: Event focused on bicycle tourism but with participants offering hiking activities as well. Since 2009, once a year international tour operators (buyer and seller) meet to meet, network, start new cooperation and business, and share ideas and products. 2024 February https://www.adventuretravelnetworking.com/ Organizer: Pru Goudie Focus Market: UK Resumo: Adventure Travel Networking (ATN) promotes adventure travel and positive impact experiences. It is a platform for the adventure travel trade to find and form valuable business partnerships with like-minded companies around the world and empower the adventure travel industry for the better. The next ATN Conference & Marketplace will take place on the 27th and 29th of February 2024 - one week before ITB 2024. This will be held as a hybrid event with a VIRTUAL supplier/buyer market on Tuesday 27th of February with pre-scheduled meetings, followed by a LIVE conference on Thursday, February 29th, with podcast options available. 77 Over 250 members of the travel industry join this event, including UK adventure tour operators, overseas suppliers, DMCs, Tourist Boards, emerging markets, exclusive accommodation providers, trade associations, industry influential speakers and leading relevant travel media. March https://www.randonnee.org/ Organizer: lpons@expocinq.fr Focus Market: French Resumo: Pedestrian trails, cycle paths, equestrian trails, water courses by canoe, gastronomic circuits... The Salon du Randonneur is the unmissable annual meeting to define the itinerary that suits you best, a stone's throw from home or on the other side of the world. Come meet and talk to our exhibitors who will be able to guide both beginners and the most experienced on the path to their happiness “in the open air. 78 79