2008 UK & EUROPEAN MARKETING UPDATE - · PDF file2008 UK & EUROPEAN MARKETING UPDATE ... involvement of a wider audience? 18 J . Hendry ... Understand the customer profile 2

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J . Hendry – CTO UK, June 2008

2008 UK & EUROPEAN2008 UK & EUROPEAN2008 UK & EUROPEAN

MARKETING UPDATEMARKETING UPDATEMARKETING UPDATE

Annual Caribbean Tourism Summit, Washington DC

21-25 June 2008

Presented by Julia HendryDirector of Marketing UK & Europe

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• Full programme of trade and consumer activities

• Good support from the public and private sector

• New initiatives both online and offline• Good P.R. coverage• First quarter sales positive• Good advance bookings for winter 2008/2009

2008 OFF TO A GOOD START2008 OFF TO A GOOD START

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EUROPEAN VISITOR ARRIVALS EUROPEAN VISITOR ARRIVALS

TO THE CARIBBEAN TO THE CARIBBEAN by source market 2008

Source: CTO Statistics supplied 17 June 2008, the Bahamas Tourist Office, June 2008 and the Cuba Tourist Board [UK & Ireland figures only], June 2008

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50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

UnitedKingdom

France Germany Spain Italy Holland Sweden Other

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EUROPEAN VISITOR ARRIVALS EUROPEAN VISITOR ARRIVALS TO THE CARIBBEANTO THE CARIBBEAN

by Destination 2008

0

100,000

200,000

300,000

400,000

500,000

600,000

DominicanRepublic

Barbados Cuba Jamaica Antigua &Barbuda

St. Lucia Curacao Bahamas Grenada Trinidad &Tobago

Source: CTO Statistics supplied 17 June 2008, the Bahamas Tourist Office, June 2008 and the Cuba Tourist Board [UK & Ireland figures only], June 2008

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CTO – UK & EUROPE2008 SNAPSHOT OF ACTIVITIES

TO DATE

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RELEASED RELEASED -- TWO MAJOR TWO MAJOR PUBLICATIONSPUBLICATIONS

• Distributed to over 50, 000 travel trade and trade and consumer exhibitions in UK & Europe

• Distributed to 1.25 million homes in the U.K. and also trade and consumer exhibitions

Self-financed through advertising

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ORGANISED - EUROPEAN TRADE VISITS

• Attended by 35 public and private sector exhibitors• Attended by 250 trade visitors• First joint Caribbean trade initiative to Russia• Cost effective way for exhibitors to reach wide audience• Time efficient for visitors to gain wide product knowledge and

contacts

Self-financed by exhibitors

Paris, Milan & MoscowParis, Milan & MoscowParis, Milan & Moscow

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RAISED PROFILE RAISED PROFILE –– AT THE MAJOR AT THE MAJOR TRADE & CONSUMER FAIRSTRADE & CONSUMER FAIRS

• Vakantiebeurs, Holland

• BIT, Milan

• FITUR, Madrid

• ITB, Berlin

• TUR, Sweden

• WTM, London

• Dive Shows, London & Birmingham

• Destinations, London

• Holiday World, Dublin

• Holiday and Travel Show, Manchester

• ILTM, Cannes

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FACILITATED FACILITATED -- NETWORKINGNETWORKING

• The Caribbean Ball – The Dorchester Hotel London, a complete sell out.

• Meet the Media Events – informal networking with the press for public and private sector members.

• Chapter Chin Wags – informal networking events attended by all sectors of the industry.

• Golf tournament – competitive networking event attended by all sectors of the industry.

Self-financed by chapter members

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EXPANDED EUROPEAN EXPANDED EUROPEAN COVERAGECOVERAGE

• Introduced new representation in Paris to raise profile in the French, Italian and Spanish source markets.

• Sub contracted representation in Moscow on a project only basis to explore new emerging market.

• Sub contracted representation in Scandinavia on a project only basis to promote the Caribbean in Northern Europe.

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DEVELOPED DEVELOPED -- IMAGE LIBRARYIMAGE LIBRARY

• One stop shop for media and trade for high res Caribbean images.

• All member countries represented.(still awaiting Venezuela, St. Baths, Martinique & Bermuda)

• Search facilitated by theme & destination. • Factsheets on each destination included.• Back office management enables tracking of

visitors, destinations and themes.

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ONE STOP SHOP CARIBBEAN IMAGE LIBRARY

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TRACKING - IMAGE LIBRARY

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BUILDING A DATABASE

• Competitions• Publications• Viral games • Generated approximately 20,000 email

addresses

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EUROPEAN LANGUAGE SITES

FrenchItalian

SpanishDutch

German

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ENCOURAGED FEEDBACK ENCOURAGED FEEDBACK ––

INDUSTRY THINK TANKINDUSTRY THINK TANK(ALL SECTORS)(ALL SECTORS)

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RISING TO THE CHALLENGES IN 2008RISING TO THE CHALLENGES IN 2008

• Strong competition from other destinations

• Economic slowdown• Seasonality• Shorter lead in times• Dollar budgets/resources• Airlift• Leveraging funds• Diverse membership• Reaching all stakeholders• Getting commitment

• How can the Chapter work together to overcome the challenges?

• How can we better leverage our funds, which are eroded by the current exchange rates?

• How can we meet the needs of our diverse membership?

• How can we get the involvement of a wider audience?

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EXERCISE 1EXERCISE 1WHAT WE DIDWHAT WE DID

Brainstorm - Prioritised in order of importance five key areas which the UK Chapter members, both public and private sector believed will have most impact on business in 2008.

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EXERCISE 2EXERCISE 2WHAT WE DIDWHAT WE DID

Brainstorm - Deliver 5 key activities (and how they can be funded) the UK Chapter can introduce into the 2008 Calendar of Activities to address the key challenges. Prioritised in order of importance.

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FEEDBACK – IN ORDER OF IMPORTANCE1. Economy

1. Increased cost of living2. ‘Credit Crunch’

2. Airlift1. Green lobby / Carbon Footprint2. Lack of airlift / sustainability of aircraft schedules

3. Competition1. Perceived value for money2. Awareness of Caribbean region3. Strong promotion of competitor destinations

4. Technology1. Online availability2. Internet marketing capabilities3. Adapting to the growth of e-commerce

5. Late Bookings (last minute)1. ‘Lates’ and reduced pricing – devaluing destinations– Destinations – less ‘exclusive’ to regular visitors

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FEEDBACK1. Brand ‘Caribbean’

1. Need for consistency2. Product differentiation3. Promotion of brand by members in all marketing collateral

2. Research1. Understand the customer profile2. Defined e-commerce strategy3. Training on the internet & in e-commerce

3. Aviation Committee1. Develop an airline committee to support future growth and sustain current airlift2. Airline seminar/conference requested

4. Niche Tourism1. Develop Diaspora Tourism2. VFR Market – targeting third generation, colleges – encourage ‘gap year’ in the Caribbean3. Increase marketing of niches

5. Utilising Celebrity PR’s– Aspirational awareness

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ACTIONBrand Caribbean – Raise profile• Promote usage of logo to members and travel agents; encourage usage in

all promotions• BGB press release on strengthening the brand• Encourage use of celebrity PR (BGB)• Seek out partners to leverage advertising spend

Research• Conduct consumer survey

Ecommerce• Organise ecommerce and web 2 training event for members• Recruitment drive for online members

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ACTION/cont.

Aviation• Increase awareness and participation in routes• Solicit charter airlines for membership• Feedback regional initiatives• Introduce airline sub committee

Niche markets• Develop new niche market supplements and micro sites• Diaspora – work more closely with black press and encourage

membership

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IN CONCLUSION

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CRUISINGCRUISINGQuote: “Anyone who has

previously never considered a cruise has become a prime target for holidaying at sea.”

Quote: “Come on, land resorts, at least give our industry something to worry about.”

Jo RzymowskaRoyal Caribbean Cruise Line

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COMPETITIONCOMPETITION• This year 22 properties will

open in Dubai adding 10, 000 rooms with a further 93, 867 planned by 2016.

• Dubai can become as popular as Florida in the theme park market.

• UK visitor numbers to rise from 700,000 a year to 1.4 million by 2010.

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INCREASED FARES/CUT INCREASED FARES/CUT CAPACITYCAPACITY

• “Fares will rise … and capacity will shrink this winter”.

• “Airfares will rise in line with fuel and it is only a matter of time before that affects demand, say airline bosses”.

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THE ENVIRONMENT & SOCIALLY RESPONSIBLE TRAVEL

• “In 2006, British travellers took over a million responsible holidays (MintelResponsible Tourism Report, January 2007)

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BUDGET

Amount

(‘000s)

0

200

400

600

800

1000

1200 $Budget Exchange Rate £Sterling

$Budget 938 985 840 611 574 606 860

Exchange Rate 1.45 1.56 1.66 1.85 1.8 1.96 2.00

£Sterling 647 631 506 330 318 308 430

2002 2003 2004 2005 2006 2007 2008

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Thank youThank you

from the London from the London

Office RepresentingOffice Representing

UK & EuropeUK & Europe

Documents

2008 UK & EUROPEAN MARKETING UPDATE - · PDF file2008 UK & EUROPEAN MARKETING UPDATE ... involvement of a wider audience? 18 J . Hendry ... Understand the customer profile 2