NCT PPT Gov Conf 2014 Draft ALL - visitnc365.com · 2014 GOVERNOR’S CONFERENCE ON TOURISM HOW DO THEY KNOW ABOUT NC? • Marketing with Tour Operators • Tradeshows –trade &

2014 GOVERNOR’S CONFERENCE ON TOURISM

International TourismMarketingIT IS FOR YOU!


2012 International Visitation to NCRank Country of

Origin2012

Estimated Visitors

% change from 2011

2012 Total Spent

% change from 2011

Average Spending per Visitor

1 United Kingdom 87,203 +7.0% $34,833,610 +5.1% $3992 China/Hong Kong 33,310 +8.7% $26,251,327 +14.1% $7883 Germany 73,847 +21.0% $24,245,305 +4.1% $3284 Japan 29,902 ‐7.7% $17,890,304 ‐8.1% $5985 Mexico 32,151 ‐24.3% $13,207,069 ‐24.9% $4116 India 29,599 ‐5.8% $12,637,406 ‐14.5% $4277 Brazil 18,960 ‐16.3% $10,142,468 ‐19.6% $5358 France 28,326 +9.3% $9,804,419 +8.7% $3469 Italy 13,945 +5.4% $6,012,719 +5.9% $43110 Switzerland 8,755 ‐11.3% $5,428,100 ‐12.3% $62011 South Korea 10,781 ‐15.0% $5,331,880 ‐15.0% $49512 Australia 11,136 ‐26.1% $4,728,704 ‐24.8% $42513 Sweden 10,857 +16.9% $4,292,964 +24.0% $39514 Ireland 8,693 +5.5% $4,269,881 +8.1% $49115 Venezuela 4,400 ‐8.3% $2,307,373 ‐10.9% $524

TOTAL 669,058 ‐2.1% $314,093,518 +0.7% $469


WHO VISITS AND WHAT DO THEY DO?

Typically 40+ years oldEmpty nesters & well traveled adultsSpeak EnglishLooking for authentic American experience


HOW DO THEY KNOW ABOUT NC?

• Marketing with Tour Operators• Tradeshows – trade & consumer• Consumer Campaigns• Public Relations• Fam Tours• Sales Missions


Canadian TourismCHARMAINE SINGH, CONNECT WORLDWIDE


CANADA AT A GLANCE


PopulationOntario 13,537,994Quebec 8,155,334British Columbia 4,581,978Alberta 4,025,074Manitoba 1,265,015Saskatchewan 1,108,303Nova Scotia 940,789New Brunswick 756,050Newfoundland and Labrador 526,702Prince Edward Island 145,237Northwest Territories 43,537Yukon 36,700Nunavut 35,591Canada 35,158,304

ON, 38.50%

QC, 23.20%

BC, 13%

AB, 11.40%

Percent of Canada’s Population (2013)Canada’s Population (2013)

Source: Statistics Canada


CANADA AT A GLANCE


Western Canada Leading the Growth

Canada at 1.2%

Source: Statistics Canada


CANADA AT A GLANCE


Western Canada Leading the Growth


CANADA AT A GLANCE

Zoomer spending powerZoomers encompass both the Boomers (45‐63) and those who are older – a vast group of more than 14.5M. They account for 44% of the population and control over 70% of Canada's wealth.

Canadian SnowbirdsThe top five snowbird destinations are Florida, Arizona, California, Hawaii and Texas


CANADA AT A GLANCE


Changing Demographics: The Millennials


CANADIAN VISITATION


Over 1 million visitors, 454,000 overnight visits and $134 million in spending


CANADIAN VISITATION

ON, 49.20%

QC, 36.60%

BC, 2.80%

AB, 3.30%

NS, 3.80%

NB, 2.90% NL, 0.90%

PEI, 0.10%MB, 0.10% SK, 0.30%

Visitation by Province (2012)


CANADIAN VISITATION

1st Qtr28%

2nd Qtr35%

3rd Qtr22%

4th Qtr15%

Seasonal Distribution of Canadian Visitors to North Carolina (2012)


CANADIAN VISITATION


CANADIAN VISITATION

Auto74%

Air22%

Bus/Other4%

Mode of Transportation to North Carolina (2012)


CANADIAN VISITATION

45‐7468%

25‐4412%

Other20%

Visitation by Age Groups (2012)


3 THINGS TO REMEMBER WHEN MARKETING

IN CANADA


What is Important?

Owning the drive market – CAA/Motor coach market ( education & resources is key)

Follow up/Relationship based ( timely follow up, execution etc.)

Provide a value‐proposition only found in your region


WHAT DOES SUCCESS LOOK LIKE? 3 SUCCESSFUL

EXAMPLES FROM THE CANADIAN MARKET


Partner with like‐minded brands to obtain the maximum ROI!

Zoomer/Twining’s Tea ‐ Get off the highway campaign: target Canadian snowbirds already traveling south through compelling promotions

National Post‐ target affluent travelers, while showcasing various niche markets (luxury, golf, culinary)

Total Vacations Co‐Operative Campaign‐ B2B and B2C focus‐ entice, educate and incentivize for results!





Zoomer/Twining’s Tea ‐ Get off the highway campaign: target Canadian snowbirds already traveling south through compelling promotions

Objective To bring together like minded brands to promote NorthCarolina as a drive destination

Coverage Canada

Period October to December 2011

Strategy Promote all regions of the state through a contest aroundwinning an ultimate family road trip

Budget $10,000

Collateral Online coverage on 50plus.com, 50plus.com newsletters,Zoomer magazine newsletters, eblasts and social media

Partners Twinings Tea, 50PLUS.com, Hertz, Redtag.ca

Result Over 7,000 entries in total, $99,001 in media value





National Post‐ target affluent travelers, while showcasing various niche markets (luxury, golf, culinary)

Objective Promote the unique and luxury offerings in NorthCarolina

Coverage National

Period April 23 2013- May 31, 2013

Strategy Target the affluent traveler, capturing spring andsummer business.

Budget $10,000

Collateral Print, Digital banners, eblasts, social media

PartnersAirline: Air Canada,State Partners: Biltmore, Ballantyne, Asheville CVB,Visit Charlotte

Result 35,911 contest entries, $112,000 Media Value





Total Vacations Co‐Operative Campaign‐ B2B and B2C focus‐ entice, educate and incentivize for results!

Objective Increase number of overnight visitors during summer to North Carolina

Coverage Canada

Period July 2012 – August 2013

StrategyBuild a co-operative partnership with Total Vacations to capture an increase of overnight visitation versus driving through the state

Budget $15,000

Collateral

2 page spread within the Total Vacations main brochure, monthlyexclusive e-mails to agents, 3 consumer direct e-blasts, 1 monthweb banner advertising Total Vacations platform, participation in3 product launches, 1 Total Vacations agent incentive bookingeach month, promotion on redtag.ca (1 week top banner ad) andincluding of North Carolina and all products included in alldistribution booking engines

Partners Total Vacations

Result Increase of 1600 overnight visitation over same period in 2012

UNITED KINGDOM

Jody Hanson, T&TM

2014 GOVERNOR’S CONFERENCE ON TOURISM 2014 GOVERNOR’S CONFERENCE ON TOURISM

The UK & Ireland 67% of UK nationals have a passport

The population of the UK is 62,642,000

The population of Ireland is 4,581,000

Average annual vacation time is 4 – 6 weeks

Over 45 operators feature North Carolina product and are communicated with by UK office on an annual basis

Growth through singular destination and regional travel marketing both increases and retains market share of product

The vacation is consider a necessity not a luxury and is the second highest annual disposable spend


Distribution chains

There are three chains of distribution

1. Tour operator Retailer Consumer Direct

Retailer2. Tour Operator Consumer Direct

3. Tour Operator Consumer Direct


How and why does the consumer like to buy ?

Through the trade for multiple destination, touring vacations and complicated itineraries e.g. soft adventure, natural history etc.Financial protection with obligatory European bonding when booking two or more components with the trade Trade experts who can research, plan, customise and book itinerariesProtected by law for goods not delivered with regulation for procedures and compensationDirect booking with multiple elements are often more expensive than packaged bookingsThe trade have special agreements and rates for packaging more than one element (FIT)Consumers have the option to purchase direct with the airline, car hire company and hotel

The Consumer


The consumer has significant confidence in editorial across mediums, therefore PR is a powerful tool

Identifying, understanding and becoming familiar enhances the consumer choice of vacation destination

Concise and consistent style of messages

Advertising that is visual, iconic, bespoke creative designed for specific in-market consumption

Popular culture through film, music, celebrity and lifestyle

What influences the consumer ?


International marketing to European visitors As a tourism entity you need to identify the following

Define what you want to sell to the international market

Remember to capitalise on your uniqueness

Establish a hook to attract the target market

Research styles of point of sale materials in market e.g. On-line operators, travel publications, retailers etc.

Get to know your consumers, the look and feel of in market marketing across product for singles, families, groups, niche


How can your product be purchased by the trade – make it easy for them to make the sale by informing them of where and how they can purchase both directly and through a receptive

Using a receptive provides a one stop shop, limited administration, interfacing technology and instant buying gratification

Have descriptions, copy and photography readily available, current with extensive image choices

Be creative with your point of sale material

Upload consumer testimonials from within international markets, actively seek them out with visitors to your area or product

Use sales aids which show people, colour and a cross section of consumer ages


What are Europeans looking for in a vacation ?

Regional travel experiences, so they can tick a shoppinglist of destination “to do’s”

Bespoke tailor-made itineraries with unique client requirements

Auxiliary travel products - soft adventure, unique, experiential, colloquial

Lifestyle vacations aspiring or reflecting a socially perceived standard


Is travel important to the European ?

YES, this is the largest single item of expenditure on their annualbudget !

Consumers are prepared to save and sacrifice for their annual 2-3 week vacation, especially the Baby Boomers

Baby boomers take more time, travel more frequently and further

Baby boomers have a greater disposable income

Demand for luxury product has increased


Consumer perceptions and travel patterns when in the USA ?

Consumers travelling to the USA feel comfortable and safe

The USA is seen as a diverse country with multiple visiting experiences

Multi centre trips remain a standard option

Single city breaks are less popular

Fly-drive vacation options in the USA are still increasing

Escorted touring product is increasing and participant ages decreasing

RECEPTIVE TOUR

OPERATOR

DOUG KELLOGG, TOURMAPPERS


Advantages Of Welcoming The Foreign Independent Traveler (FIT)


• Shoulder season business• Weekday stays• Spend money! • Cancellations are rare


Advantages For A Tour Operator To Work With A Receptive Operator

• The go‐to person• Knowledge of a particular destination• Organize the program• Negotiate the contracts• Offer a booking engine


Receptive Operator Distribution Schedule

International Tour Operator

Travel Agent

Suppliers

Receptive Operator


Tiered RatesYou take your regular rack rate and provide us with a NET rate

(preferably 30% OFF)

We buy from your property and add 8-10% margin(this is what the Tour Operator is paying us)

VERY IMPORTANT!!!The end price of the package should not be more then your current pricing to transient travelers!

(Why we ask for a 30% NET Rate)

VERY IMPORTANT!!!The end price of the package should not be more then your current pricing to transient travelers!

(Why we ask for a 30% NET Rate)

Tour Operator buys from us and then adds at least a 10% margin

Travel Agent then sells your property to consumer with a 10% margin added


Advantages For A Property To WorkWith TourMappers

• US based company• Provide you with global exposure• Rates have integrity• Password protected booking engine• We take the risk of working with oversea operators• Bring additional revenue


What Do We Need From You?

• Contract with wholesale Net Rates • Room Allotment or Free Sell• High Demand Rates• Direct Billing

• WE ONLY MAKE MONEY IF WE SELL A ROOM OR SERVICE• NEVER CHARGE A MARKETING FEE


How To Break Into The FIT Market

• It takes time!• Do not be disappointed as this is not business for tomorrow• Stick with it as volume does increase over time• Rates need to be set up to 1 ½ years out. • International Tour Operators work on a calendar year of April 1 – March 31• Tiered pricing structure

GERMANY

RITA HILLE, WIECHMANN TOURISM


Almost 100 % of the German, Swiss and Austrian nationals have a passport

The combined population of this market is 97,364,937

Average paid vacation time is 6 weeks

North Carolina product is featured in 32 tour operator programs in catalogues and/or online

Growth through singular destination and regional travel marketing has both increased and retained market share of North Carolina product

As in the UK the German-speaking market considers taking a vacation their right and not a luxury. They take their main vacation during summer and shorter trips in Spring and/or Fall/Winter.

The German-speaking Market

REGIONAL PERSPECTIVE

Liz Bittner, Travel South USA


Founded in 1965 by Southern Governors’

Association to promote, foster, and

encourage travel to and within the Southern States

AlabamaArkansas Georgia

KentuckyLouisiana

Mississippi North CarolinaSouth Carolina

TennesseeVirginia

West Virginia

Founded in 1965 by Southern Governors’

Association to promote, foster, and

encourage travel to and within the Southern States

AlabamaArkansas Georgia

KentuckyLouisiana

Mississippi North CarolinaSouth Carolina

TennesseeVirginia

West Virginia


INTERNATIONAL PROGRAMSTour Operator & Receptive Operators

Trade showsSales missionsAdvertisingDigital Marketing Earned MediaConsumer Promotions

INTERNATIONAL PROGRAMSTour Operator & Receptive Operators

Trade showsSales missionsAdvertisingDigital Marketing Earned MediaConsumer Promotions


Canada, UK, Germany

France, Italy

Australia, Brazil

China, Nordic, Benelux

Japan

Growth Poten

tial

Visitor Volume & Market Maturity

MATURE Co‐Op Markets ‐ Direct to Consumer GROWTH Lead Markets ‐ Direct to Travel TradeDEVELOPING Markets ‐ Limited Outreach on Travel Trade


Extending the Southern Reach

Brand USA Inspiration GuidesEssentially America MagazineRedesign of www.TravelSouthUSA.comWTM-Latin America BrazilAustralia Sales MissionResearch

Extending the Southern Reach

Brand USA Inspiration GuidesEssentially America MagazineRedesign of www.TravelSouthUSA.comWTM-Latin America BrazilAustralia Sales MissionResearch


Brand USA Inspiration Guides550,000 print copies in 16 International Markets30 Million impressions

Brand USA Inspiration Guides550,000 print copies in 16 International Markets30 Million impressions


Overwhelming Success

93 International Tour operators3,200 appointments1:1 Operator/Supplier POD ratio 7 Brand USA Super Fams

Overwhelming Success

93 International Tour operators3,200 appointments1:1 Operator/Supplier POD ratio 7 Brand USA Super Fams


Registration Opens – May 1 Registration Opens – May 1

December 2-5 2014 New Orleans • LouisianaDecember 2-5 2014 New Orleans • Louisiana


Q&A

Documents

NCT PPT Gov Conf 2014 Draft ALL - visitnc365.com · 2014 GOVERNOR’S CONFERENCE ON TOURISM HOW DO THEY KNOW ABOUT NC? • Marketing with Tour Operators • Tradeshows –trade &