Building South Australia’s sustainable regional tourism model
South Australian Tourism Commission | Regional Tourism Review and Business Case | South Australia, Australia | 2023
Statewide review of regional tourism structures
Co-designed outcome budgeting workshop with decision makers
Cost-benefit analysis undertaken for multiple structural model options
Multi-criteria analysis to assess preferred model and change management framework
Evidence base developed to support South Australian $12.8 billion visitor economy goal
Strategic framework delivered to guide long-term governance and investment
The project needed to deliver a robust, transparent and practical pathway forward for the state’s regional tourism ecosystem.
The Challenge
The South Australian Tourism Commission engaged Sparrowly Group to develop a Regional Tourism Review and Strategic Business Case evaluating the existing structures and examining the future structure of regional tourism delivery across South Australia.
The project required a comprehensive review of potential governance and delivery models, including assessment of feasibility, costs, benefits and risks.
Key challenges included
Evaluating multiple potential models for regional tourism coordination
Balancing statewide strategic objectives with regional needs and capacity
Understanding long-term funding and sustainability implications
Quantifying economic impacts across diverse tourism regions
Aligning structural options to South Australia’s visitor economy target
Ensuring decisions were evidence-based and defensible
The project needed to deliver a robust, transparent and practical pathway forward for the state’s regional tourism ecosystem.
Our Approach
The review focused on four key areas: regional structure management, promotion of regions, product development, and industry capability building. A thorough quantitative and qualitative review of past and current performance and strategic focus across South Australia and a national and global comparative analysis was key to ensuring that a holistic picture was developed prior to the development of future governance and funding models.
For the Business Case, Sparrowly Group began by leveraging the outcomes of the statewide regional tourism review and recommendations previously developed. A central component of the methodology was an outcome budgeting co-design workshop with senior South Australian Tourism Commission decision makers. This workshop enabled a shared understanding of desired outcomes and objectives, forming a clear benchmark for the Business Case.
Our methodology included
Testing the economic costs required to resource each potential model
Analysis of current and future visitation and expenditure trends
Forecasting forward trajectories for each structural option
Detailed social cost-benefit analysis of shortlisted models
Multi-criteria assessment of the preferred model
Stakeholder mapping and governance analysis
Risk and change management planning
This rigorous, staged process ensured that each option was assessed consistently, transparently and in line with government decision-making requirements.
Outcomes and Impact
Key Outcomes
Delivery of a comprehensive Regional Tourism Review and subsequent Strategic Business Case
Clear comparative analysis of multiple regional tourism models
Financial modelling to support sustainable funding decisions
A structured framework to guide regional tourism reform and change
Evidence-based recommendations to inform government investment
Economic and Social Impact
The project provided the South Australian Tourism Commission with a confident, balanced pathway forward for restructuring regional tourism delivery.
As a result of the project:
Decision makers gained a deeper understanding of the benefits and risks of each model
Long-term industry sustainability considerations were embedded into planning
Funding and governance decisions were informed by robust economic analysis
The state gained a clearer roadmap to support regional growth and visitor economy performance
The Business Case has played a key role in shaping a more coordinated, resilient and high-performing regional tourism system for South Australia.
Recommendations from the Review and Business Case are now being implemented across South Australia with tourism zones being introduced.
Services Delivered
“We engaged Sparrowly Group to review South Australia’s regional tourism structures and identify opportunities to strengthen alignment, performance and long-term sustainability. This work laid the foundation for a subsequent Strategic Business Case to guide future investment and governance decisions. Their review brought together deep stakeholder engagement across government, regional tourism organisations and industry, supported by rigorous quantitative and comparative analysis. Building on this, Sparrowly Group facilitated outcome-focused workshops and developed a robust business case assessing alternative structural models, costs, risks and long-term impacts. The work has provided a clear, evidence-based pathway for reform, including an optimal structure, decision-making framework and change management approach now guiding implementation. Sparrowly Group combined independence, strategic insight and technical rigour with a practical understanding of government and industry dynamics, making them a trusted partner in shaping the future of South Australia’s visitor economy.”
