Valuing visitors' willingness to pay for a preservation fund: choice experiment approach in UNESCO world heritage site in Melaka, Malaysia

Purpose World heritage sites (WHSs) contribute significantly to preserving local identity and the exponential growth of the local economy through tourism. Therefore, it is important to protect landmarks or areas declared as one of the United Nations Educational, Scientific and Cultural Organization (UNESCO) WHSs so that the structure can be preserved and the legacies of the monuments and cultures can be uplifted and sustained. Therefore, it is crucial to consider the idea of charging a premium for some tourism-related goods and services in order to make them more sustainable. Design/methodology/approach This study utilizes the Choice Experiment (CE) method to evaluate the preferences and willingness to pay (WTP) of visitors at the WHS in Melaka, Malaysia. Through a structured survey and choice modeling approach, we assess visitors' preferences for various site attributes and potential management strategies, enabling us to estimate their WTP for heritage preservation. Findings This paper focuses on assessing the monetary worth visitors associate with preserving a UNESCO WHS in Melaka, Malaysia. The study utilizes a CE methodology to estimate visitors' preferences and their WTP for heritage site preservation. The findings contribute to understanding the economic viability and sustainability of establishing a preservation fund for the site. Overall, this research provides valuable information for decision-makers involved in the preservation and management of cultural heritage sites. Research limitations/implications External Validity: The research focuses specifically on the UNESCO WHS in Melaka, Malaysia. The findings may not be directly applicable to other heritage sites or locations with different cultural, socioeconomic or environmental characteristics. Thus, the generalizability of the study’s results to other contexts might be limited. Practical implications Conservation Fund Design: The research provides valuable insights into visitors' WTP for a preservation fund. These findings can inform policymakers, site managers and relevant stakeholders in designing and implementing effective conservation funding mechanisms for the UNESCO WHS in Melaka. Understanding visitors' preferences and their willingness to contribute financially can help ensure the sustainable preservation of the site. Revenue Generation: By quantifying visitors' WTP, the study offers practical implications for generating revenue for the preservation fund. Policymakers and site managers can leverage this information to establish appropriate pricing strategies, such as entrance fees or voluntary donations, that align with visitors' valuation and support long-term financial sustainability for site conservation. Social implications Enhanced Conservation Efforts: Understanding visitors' WTP can contribute to increased public engagement and awareness regarding the importance of preserving the UNESCO WHS in Melaka. The findings can be used to foster a sense of ownership and responsibility among visitors, encouraging them to actively participate in conservation efforts and advocate for the site’s protection. Stakeholder Collaboration: The research highlights the need for collaboration between various stakeholders, including government agencies, local communities, NGOs and visitors, to ensure the successful preservation of the heritage site. The study’s insights can facilitate dialogue and cooperation among these groups, promoting shared responsibility and effective decision-making processes for the sustainable management of the site. Originality/value The paper brings valuable insights and originality to the field of tourism and heritage preservation. It adds to the discourse on sustainable tourism practices and financial mechanisms to support cultural heritage preservation, offering practical insights for effective site management.