Visit Rovaniemi CEO Sanna Kärkkäinen concerns over funding cuts to Visit Finland

Sanna Kärkkäinen, the CEO of the travel marketing company Visit Rovaniemi, usually articulates her thoughts with ease. However, she has recently found herself at a loss for words as Business Finland, a key innovation funder, begins negotiations to restructure Visit Finland, the organization responsible for promoting Finland’s tourism. Funding for Visit Finland is set to drop to about half of its previous levels.

Kärkkäinen expressed her astonishment at the severity of the cuts, pointing out that regional marketing budgets typically range from two to three million euros. Now, discussions are focused on managing Finland’s entire tourism marketing efforts with a budget of seven million euros. “This is an extremely tough decision with serious implications,” she remarked, emphasizing that these cuts would affect the entire country.

The budget reductions could lead to the layoff of up to 20 employees. Kärkkäinen noted that this budget is exceptionally small for national marketing when compared to neighboring countries like Sweden, Norway, and Iceland, sending a troubling signal about Finland’s competitive edge.

Cooperation between Visit Finland and Visit Rovaniemi is crucial, especially for promoting tourism in Lapland. Employees stationed abroad are vital for maintaining connections in Asian and European markets. If Visit Finland’s staff are laid off, tourism businesses will have to absorb these responsibilities, ultimately straining municipal finances and affecting local tourism companies.

Although Kärkkäinen acknowledges the necessity for government budget cuts, she feels that halving the international marketing budget is drastic. The long-term impact of these cuts might not be felt immediately but could emerge over the next couple of years as the tourism sector adjusts. With the majority of international visitors from Asia, Europe, and North America, Kärkkäinen and her team are closely monitoring the situation as budget decisions are finalized in the coming months.