Dalibor Cvitković: Renters realized that renting is not a hobby, but a serious business

The Tourist Board of the Town of Mali Lošinj has been inviting renters to apply for financing programs for various marketing activities for ten years in a row. 

Renters will be co-financed for activities ranging from photography and video production of accommodation facilities, procurement of software for managing family accommodation (booking, etc.), advertising, procurement of certificates for accommodation facilities (eco certificates), purchase of professional literature to education related to business in tourism - everything up to a maximum amount of 150 euros and a maximum of 50% of the total investment costs.

What is interesting and the motive for writing this article is the change in the mindset of renters over the past 10 years, as well as the much wider range of activities through which TZ Mali Lošinj communicates with its renters and supports them to grow together as a destination. 

In a conversation with the director of TZ Mali Lošinj, Dalibor Cvitković, I find out how part of the renters realized in this process that renting is a business, not a hobby, and that everything has changed in the relationship of the renters to the business of managing their accommodation facilities. 

"The competition for renters has been going on for ten years. We first started with the co-financing of promotional materials and photos. We saw that the accommodation itself was not bad, but it was poorly presented. So we went to make renters aware that they should invest more in marketing activities: from the photos themselves, the creation of websites and advertising. What is important to emphasize is that we participate with 50% co-financing, up to a maximum amount of 150 euros per renter. For renters located in the Lošinj archipelago, who are also dislocated, we provide co-financing up to 70% percent. I can say that every year more and more landlords become active and join the co-financing program. How every year we hold a Forum of landlords where we talk to them in direct contact about the current state of the markets, trends, what and where we can strengthen something and what are their needs, we try to monitor all the needs of the renters themselves." pointed out Cvitković.

At the beginning, the focus was on professional photos, today it is no longer important to emphasize the importance of professional photos, and when asked if there has been a change in the needs of renters in these 10 years, Cvitković points out that in the last few years there has been a growing interest in Eco and other certificates, such as and additional education of the renters themselves. 

"The biggest change is in the fact that before renters were present only on OTA platforms, and now they are doing more and more independent advertising, have their own websites, invest in training and education. They also take photos from us to promote the destination, as well as destination certificates. So that some accommodation facilities advertise that the apartment is in Lošinj, which is a TOP 100 green destination in the world.”Says Cvitković.

An excellent example that everyone in the destination must follow, because again, the motive of arrival is the destination, not the bed. That is why it is extremely important that everyone promotes the destination, what to do there, what facilities it offers, because this is the factor that decides the trip. If the guest decides on a destination, then he chooses accommodation according to his preferences.  

"Yes, they combined the destination and the facility, which is great. What we always say is that first the guest chooses Croatia, then Lošinj and only then the accommodation facility. And that's why this synergy with the destination is important.” emphasizes Cvitković.

A much broader cooperation besides education and co-financing of marketing activities

Many tourist destinations hold education for renters every year, and some have a similar co-financing program as Lošinj, but as far as I know, no one has such a comprehensive and continuous program for renters as Lošinj. The renters themselves are somehow left to their own devices at the national level, because they do not have real representatives, i.e. a strong association of renters that would represent this large and important part of our tourism. 

As already mentioned in part, the Public call for application of the financing program for landlords' marketing activities includes many more elements that are co-financed. 

From photography and video production of accommodation facilities, to procurement of software for managing family accommodation (booking, etc.), advertising, foreign language courses, procurement of certificates for accommodation facilities (eco certificates), purchase of professional literature to education related to business in tourism.

And in Lošinj, they didn't stop there. It is about several projects aimed at renters, which form a strategic framework for raising the quality of renters.

"Since before, our citizens have cards for renters where they have discounts of up to 15% in a dozen Lošinj buildings, which are primarily targeted for renovation, such as drugstores, hardware stores and furniture stores. The educations are continuous, every year I have a Renters' Forum where we have an open round table, where representatives of utility companies, parking lots, the city come... so that through an open conversation they can propose any changes or new solutions related to waste disposal and the like. We are the ones who connect renters with all their needs in the destination, i.e. according to the competent services in the city." says Cvitković and adds how they tour the area where they talk directly to the renters, because Lošinj has 14 settlements and 7 smaller inhabited islands, which have different needs.

A first-hand recommendation is always the best recommendation. Renters are the best ambassadors of the destination because they are in direct contact with the guests. 

"We also have an interesting program called "Meet Apsyrtides", otherwise the old name for both the islands of Cres and Lošinj. We started with five trips where we introduced the renters to the attractions and sights of Cres and Lošinj. So the renters went with us to a certain location where the directors of an institution or the head of the center would receive them and introduce them to their activities. Our goal was for the renters to get first-hand information about all localities so that they could later recommend them to guests. I can say that the reactions were excellent. For example, we were in Osor, where the renters could experience a virtual walk with VR glasses through the Osor time machine. That year, we saw that the traffic towards Osor increased, which means that the renters recommended this content to their guests." points out Cvitković.

/ / / Synergy: The mountain transversal Via Apsyrtides is a new tourist product of Lošinj and Cres

/ / / The Osor time machine introduces visitors to the rich past of Osor

As banal as this excursion may seem, it is actually extremely crucial for the destination. The local population, as well as everyone who is directly involved in tourism, especially accommodation providers, must be familiar with their destination and what the destination offers to guests through content. 

It is especially crucial that the stakeholders in tourism themselves see and experience every attraction, content, restaurant, etc., so that they can tell and recommend to guests what to see and experience in the destination from their personal experience. 

We are ambassadors of our tourism, especially accommodation providers who are in direct contact and interaction with guests.

"Every year we do the flower fair "Lošinjski Cvijet" where we have special discounts for renters for seedlings, and we have been giving out seedlings to renters for 10 years. So far, we have distributed more than 10 seedlings to renters, from olives, pomegranates, lavender and the like. This year, we will most likely distribute some citrus fruits - probably lemons. We are talking about about 1000 seedlings, because our goal is for the gardens to be as beautifully decorated as possible, for the garden to contribute to the beauty of the street itself, and the street itself of the place. It is a continuous process of communication and various actions We also have a FB group for renters where everyone shares their information, inquiries and chats together, and where we communicate all the events in the destination, new legal acts, etc... "

Two years ago, TZ Lošinj distributed containers for separable waste (plastic, paper and glass) per accommodation unit, more than 2.500 of them, and last year renters also received eco bags and jugs for serving water guests in apartments under the motto: More jugs, less plastic.

/ / / Jugs with drinking water in Mali Lošinj as an excellent "statement" of an eco-friendly destination

Finally, as a conclusion, Cvitković emphasizes how important it is to be present, to have continuous and open communication with the renters and to listen to the needs of the renters. 

We can't fill someone's apartment, but we can help a lot, emphasizes Cvitković and adds that the change in awareness and proactivity is the biggest change among renters in the last ten years..

"Until now, renters have wondered why they are empty, why the agency is not filling them, what the tourist board is doing... but they realized that they are the most important link here. If they themselves initiate, educate, start more seriously dealing with renting, then they can use some of the tools offered by tourist boards. We can't fill someone's apartment, but we can certainly help, and a lot. To use all our tools, resources, marketing activities... That's why the co-financing is up to 50%, because the renter's contribution is also required. Marketing is an investment, not an expense. Slowly over the years, a good number of landlords realized this and started investing in all processes, which of course resulted in their better occupancy. In any case, some need co-financing, some don't, but the most important thing is that people realized that renting is not a hobby, but a business. And when it's a business, then you have to run it like a business. " concludes Cvitković.