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A migrating business

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Jan, 2007

Getting over the hump of a competitive industry

IT is perhaps a little ironic that a small boutique business on the Tweed Coast has one of the largest 'products' on the market - the southern right humpback whale.

Tweed Snorkelling and Whale Watching owner John Van Blanken has discovered a niche market in an otherwise cluttered environmental industry.

While the whale watching industry on the Gold Coast is more competitive than ever, Mr Van Blanken has tapped into his own slice of it - away from the concentration of other operators.

As scores of southern right humpback whales make their annual migration north from Antarctica, Mr Van Blanken prepares his small, inflatable vessel,

Sacred Spirit
, equipped to accommodate just
10 people.

Wet weather gear and life jackets are supplied as whale watchers sit on bench seats within arm's length of the water.

"It's a rare experience,," enthuses Mr Van Blanken, a former motor mechanic.

"Imagine a 40-tonne humpback whale gliding under the boat, the white of their body reflecting off the water and illuminating the whale like a sacred spirit."

The 35-year-old set up his business - 'the best job in the world' - in June 2005 for around $150,000, equity in the family home used as capital.

During its first year of operation, Tweed Snorkelling and Whale Watching turned over just $23,000.

"It was a risk, but I knew what I wanted to do and set my heart on it," says Mr Van Blanken.

While larger and more established whale watching tour companies draw big dollars from tourist capital in Surfers Paradise, Mr Van Blanken's business is slowly ticking over as the Tweed finds its feet on the Australian eco-tourism landscape.

"We are feeling the pinch, but this is something that I love doing," he says.

"Other operators are dropping their prices, but that's OK - there's always going to be competition in business, but there's enough to share it around.

"I have been working for 15 years on the water, either commercial fishing or charter tours around some of Australia's beautiful coastline, including Airlie Beach, and of course, the Tweed.

"I was involved with a free diving club on the Tweed and recognised a demand for a small snorkelling and whale watching business as there was nobody doing it in the area.

"There were plenty of boats further north setting up, but the Tweed market was open and it has so much to offer.

"It's the first point of contact for Gold Coast people and the whale pods heading north."

Professor of marketing at Griffith University, Professor Bill Merrilees, says Mr Van Blanken's small business plan is a prime example of 'service innovation'.

"This business is not just about niche, but bringing innovation into it," he says.

"The fact that it is not large scale, the size of the boat and the location are all innovative. This is important in small usiness. The niche market is a great way for boutique business to offer a point of difference.

"But a lot of people find a niche, but then don't get innovative - and that can have a negative impact on the business.

"This particular business has been able to create its own market by not competing with the larger companies. It might be small, but it's big enough to own the market."

Professor Merrilees notes that a successful part of any business is research and passion. The steady growth of the tourism sector on the southern Gold Coast, he says, will enable the business to expand and flourish in the future.

"The operator has chosen an area that he obviously loves and that dedication and commitment is paramount," says Professor Merrilees.

"If you enjoy it, you can manage the risk more effectively. It's obviously very important to have an interest in the topic, which is part of the reason why Steve Irwin was so successful in a similar field."

Location is also a significant factor and the working environment plays a pivotal role in retaining enthusiasm and focus.

"I didn't want it to be like all the others, where a whole lot of people are thrown on to a boat. It had to be up close and personal so people could get a real back-to-nature experience," says Mr Van Blanken.

"Basically, I want people to be able to see what I get to see every day. The Tweed is just amazing, so I guess we have invested in a part of one of the most beautiful places on Earth.

"When we are not whale watching up close, we are snorkelling around some of the most amazing islands and idyllic outcrops. That's the office.

"Almost every day is different and something great always happens. Even if we are not turning over large profits, sometimes it's not all about that. It's more about the service that we can provide. The rest will come," he says.


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