Georgian Bay ITT Market Development Industry Workshop"

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February  4,    2014  

Introductions  Name,  Top  International  source    Country  for  your  Business  

2  

G Bay ITT Market Development Workshop Outline"

 

10:00  Welcome  &  Introductions  

10:20  Insights  from  International  Tour  Operators  &  Regional    Tourism  Suppliers  with  Q&A  

11:30  Your  Aha  Moments  -­‐  Small  Groups  Discussion,  Share    with  All  

Noon  Lunch    

 1:00  What  can  we  do  collectively?    Experience  Cluster    Discussions,  Share  with  All  

 2:00  Wrap  Up  and  Next  Steps  

 2:30  Close  Workshop  

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Georgian Bay ITT Market Development Plan"

Objectives:      

o  Establish  qualifying  criteria  for  market-­‐readiness;  based  on  needs  of  international  markets,  CTC  &  OTMPC  Signature  Experience  programs  

o  Assess  awareness  of  G  Bay  region  in  international  markets;  evaluate  current  FIT  &  group  experiences  &  assemble  an  inventory  of  market-­‐ready  travel  trade  operators,  experiences,  destinations  &  itineraries  

o  Determine  whether  the  international  travel  trade  market  represents  a  reasonable  growth  opportunity  (economic  &  tourism  potential)  

 

Georgian Bay ITT Market Development Plan"

Ø  Create  a  3-­‐year  Market  Development  Plan  prioritizing  international  markets  with  greatest  potential  to  deliver  new  visitors  &  revenue  to  the  G  Bay  region      

ü  Strategy  to  focus  on  Travel  Trade  channel      

ü  Current  &  future  market-­‐ready  experiences    

ü  Align  with    the  customer  segments  CTC  &  OTMPC  are  targeting    

ü  Resources  required    

ü  Roles,  opportunities  for  GBDDP  &  stakeholders  to  partner  for  success    

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ITT Market Development Work Plan"

Georgian  Bay  Suppliers  +  International  Tour  Operators  

Themes  Impacting  Market  Development  

Strategy  

Tourism  Asset  +  Product-­‐  Market  Match;  Assess  

Growth  Potential  

Draft  ITT  Market  Development  

Strategy  

Draft  3-­‐year    Market  

Development  Plan  

GBDDP  Review;  Finalize  Market  Development  

Plan  

ITT Initial Market Readiness Criteria"

For  Georgian  Bay  Tourism  Suppliers    ü Must    want  to  increase  international  sales  in  one  or  more  of  

the  priority  markets  

ü Must  be  willing  to  work  with  other  partners  in  the  region  /  marketplace  

ü Must  be  willing  to  invest  resources  (eg.  time,  financial,  manpower)  over  the  long  term  to  develop  international  business  

Building Inbound Tourism to Canada "

How  it  Works…  

Marketing Destination Canada Overseas"

Canadian  Tourism  Commission  ê  

Ontario  Tourism  Marketing  Partnership  Corporation  ê  

Destination  Marketing  Organizations  ê

Travel  Trade  –  Wholesale,  Retail,  Online  ê  

Canada’s  Target  Customers    

International Tourism - Who Typically Does What?"Organization   Role  

 Canadian  Tourism  Commission  

•  Building  awareness  in  11  International  Markets  

•  Research  &  Trends    

•  Engaging  Target  Customers  

•  Media  Relations  

•  Canadian  Signature  Experiences    

 Ontario  Tourism  Marketing  Partnership  Corporation  (OTMPC)  

•  Building  awareness  for  Ontario  in  Canada  &  International  Markets  

•  Research  &  Trends  •  Product  Development  &  Education  with  Travel  

Trade  in  Key  Markets  •  Ontario  Signature  Experiences  •  Media  Relations  

•  Advising  Industry  on  Product-­‐Market  Match  

Organization   Role    Regional  Tourism  Organizations    

•  Product  Development  

•  Industry  Education  &  Skill  Development  

•  Supporting  Domestic  Marketing  

•  Championing  Industry  Partnerships  

 Destination  Marketing  Organizations  

•  Building  Destination  Awareness  

•  Developing  Experience  &  Product  Clusters  

•  Industry  Mentoring  &  Support  

•  Spearheading  Industry  Collaboration  

•  Resources  for  Travel  Trade  

 Individual  Industry  Suppliers  

•  Developing  New  Visitor  Experiences  

•  Delivering  the  Visitor  Experience  

•  Pricing,  Operations,  Marketing  •  Sales,  Contracting  with  Inbound  Canadian  &  

International    Tour  Operators  

International Tourism- Who Typically Does What?"

Inspiring the World to Explore Canada"

•  Vibrant  cities  on  the  edge  of  nature  

 

•  Personal  journeys  by  land,  water  and  air  

 

•  Active  adventure  among  awe-­‐inspiring  natural  wonders  

 

•  Award-­‐winning  Canadian  local  cuisine  

 

•  Connecting  with  Canadians  

Source:    CTC  Brand  

International Markets: Who are we Targeting?"

CTC Customer Segments (EQ):"

International Travel Trade: Product Distribution"

Canadian  Industry  Suppliers-­‐You  Develop  &  Sell  Experiences,  Services,  &  Itineraries  to  Inbound  &  In-­‐Market  Tour  Operators    

Canadian  Inbound  Tour  Operators    Product  &  Program  Assembly,  Sales,  Marketing,  Customer  Payments,  Operational  Delivery  in  Canada    

In-­‐Market  Tour  Operators    Buy  Product  through  Canadian  Inbound  Operators;  some  Directly  from  Canadian  Industry  Suppliers.    Sell  Product  to  Retail  Travel  Agents  &  Consumers  

Retail  Travel  Agents    Sell  Air  Tickets,  Fly-­‐Drive  Packages,  Escorted  Tours,  Custom  Itineraries  to  Consumers  

í  

è  

î  

è   è  

ITT  Product  Development  +  Distribution  

International Travel Trade: In-Market"

Wholesale  Tour  Operators:      Packaging  &  Selling  Canadian  Experiences  for  Group  &  FIT  Clients    

§  Large  Brands  Selling  Multiple  Global  Destinations  §   Specialist  North  American,  Canada  Operators    §  Niche  Operators  -­‐  Outdoor  Adventure,  Ski,  Fishing  

 

Retail  Travel  Agents:  Selling  Air,  Packages,  Custom  FIT  §  Canada  Specialist  Program  

 

International Travel Trade – Business Cycle"

Product  Planning  begins  12-­‐18  months  out!    

What  does  this  mean  for  Industry  Suppliers?    

§  New  experiences  &  itineraries  introduced  in  April,  for  the  following  year  

 

§  Pricing  for  2015  must  be  confirmed  in  Spring  of  2014    

§  Inventory  for  2015  season  must  be  confirmed  in  Summer  2014,    

 

§  Lag!    From  the  time  product  arrangements  are  confirmed,  it  may  take  2-­‐3  years  before  new  visitors  arrive.  

§  Market  Penetration  can  take  5+  years  

International Travel Trade – Business Cycle"

April-­‐June:    In-­‐Market  Operators  -­‐  New  product  planning,  site  visits,  contracting  for  brochures  launched  the  following  season.    (10-­‐18  months  out)  

March-­‐July:    Inbound  operators  -­‐  planning,  negotiating  pricing,  room  blocks,  site  visits.    Sales  to  in-­‐market  operators.  (10-­‐18  months  out)  

June-­‐October:    In-­‐Market  Operators  -­‐  launch  new  brochures  –  print  &  online.    Marketing  campaigns,  promotions  for  Canada.  

January-­‐March:    Consumers  book  holidays  to  Canada.    *Prime  booking  period.    Second  wave:  April-­‐June.  

International Markets to Canada- Snapshot"

Overnight  Trips  to  Canada  (2012)  

INTERNATIONAL  TRAVEL  TRADE  MARKETS                            

Overnight  Visitors  

Market  Development  

Stage  

Average  Spend  Per  

Traveller  Per  Trip            

%  Consult  TA     %  Book  TA  

US  (leisure)   10,100,000   Mature    $533     34%     ?  UK   597,000   Mature    $1,314     50%     57%*  France   421,800   Mature    $1,256         61%*  Germany   276,600   Mature    $1,506      66%   69%*  China   273,300   Emerging    $1,777      23%   91%  Japan   190,000   Mature    $1,791         >80%  India   162,200   Very  Early    $1,480         >75%  South  Korea   137,300   Emerging    $1,704     80%     69%*  Mexico   131,600   Mid    $1,480         55%*  Brazil   78,300   Mid    $1,941      82%   69%*  

Source:    CTC      

*Combined  Online  TA  +  Retail    

International  Tour  Operator  Insights      Core  Source  Markets    

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Georgian Bay in Current ITT Product"

§  Total  of  24  In-­‐Market  Tour  Operators  interviewed  to  date    

§  Qualified  by  OTMPC  and/or    CTC  

§  All  sell  Ontario  product    

§  Total  of  9  (of  24)  sell  Georgian  Bay  product    

§  Approximately  25%  of  those  interviewed  are  familiar  with  OTMPC  materials  featuring  itineraries  around  G  Bay  and/or  the  Coastal  Route  

ITT Destination & Product Knowledge"

Destinations  that  In-­‐Market  Tour  Operators  have  visited:    

By  order  of  magnitude        

§  Manitoulin  Island  

§  Parry  Sound  §  Bruce  Peninsula  §  Collingwood/Blue  Mountain  

§  Midland-­‐Penetanguishene  

 

Germany   UK    France   US  Amerika  Unlimited    Global  Dest’ns  –  FIT    *  G  Bay  

Audley  Travel  Global    Dest’ns-­‐Luxury  FIT    

Comptoir  des  Voyages    Global  Destin’s    FIT  Tailor  made  

American  Tours  Int’l    Inc.    N.A.,  Hawaii,  Asia  –  US  based  Receptive    FIT  

Canusa  Touristik  Cda  USA  Specialist  *  G  Bay  

Bridge  and  Wickers      Global  Dest’ns  –  Luxury  FIT    

Collette  Vacations      Global  Dest’ns    Group  bus  tours  

CRD  International    Canada  Specialist  

Canadian  Sky      Canada  Specialist  FIT  

Globus        Global  Dest’ns    Group    

DERtour  Global  Destinations  *G  Bay  

Experience    Holidays      Global  Dest’ns  Tailor  made  FIT    

Road  Scholar  Adventures  in  Lifelong  Learning        Global  Study  Tour  Specialist  

Explorer      Global  Dest’ns  –  FIT    *G  Bay  

Great  Rail  Journeys      Global  Dest’ns  –  Escorted  Rail  tours  

Travel  Dynamics      Global  Cruise  Specialist-­‐Great  Lakes  *  G  Bay  

Gebeco  Lander  Erleben  CDA  USA  Specialist  

North  America  Travel  Service    Cda  USA  Specialist    FIT    *G  Bay  

Scholz  Canada  Tours  Canada  Specialist  Niche  –  RV                  *  G  Bay  

Saga  Holidays-­‐Titan    Travel  Global  Dest’ns    FIT  

Studiosus  Reisen  Global  Dest’ns  Niche-­‐Study  Tours  

Virgin  Holidays    Global  Dest’ns    FIT  –  City  Breaks  

SK  Touristik      Canada  Specialist,  FIT  &  RV    *  G  Bay  

Windows  of  the  World  Travel  Ltd.  Global  Dest’ns-­‐Niche  Specialist      *  G  Bay  

In-­‐Market  Tour  Operators  Interviewed  

Canadian  Inbound  Tour  Operators  Interviewed  

Company   Markets  Covered   Destinations  Jonview  Canada  Inc.   Europe,  Mexico,  S.A.,  Australia,  Japan   Canada,  Ontario,  G.  Bay  

Receptour     Europe,  S.A.,  Central  America     Toronto,  Niagara,  Ottawa  Kingston  

Groupe  Voyages  Quebec   France,  Quebec   Midland  

Terra  Natura  Travel   Spain,  Brazil   Midland,  Toronto,  Niagara  

Perceptions of Demand for Ontario Destinations"

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§  9  of  24  Tour  Operators  have  visited  Georgian  Bay  §  Only  9  actively  selling  Georgian  Bay  §  Regional    Tourism  Suppliers  perceived  Georgian  Bay  as  a  more  top  of  mind  

destination  for    their  guests,  than  what  Tour  Operators  indicated  

Perceptions  of  Ontario  Destinations  In  Demand  &  Visited  In-­‐Market  Tour  Operators     Regional  Tourism  Suppliers  

In  Demand  ON  Destinations  1    Order  by  frequency  mentioned  

Visited  2  ON    

ON  Destinations    Visited      3  Order  by  frequency  mentioned  

Toronto   24   Toronto  

Niagara  Falls   24   Niagara  Falls  

Algonquin   4   Algonquin  

Ottawa   13   Georgian  Bay  

Kingston  &  1000  Islands   9   Ottawa  

Muskoka   1   Muskoka  

Georgian  Bay   9   Northern  Ontario  

1What  destinations  are  most  in  demand  from  your  customers?  3  What  Ontario  destinations  do  your  int’l  customers  visit?  2What  destinations  in  Ontario  have  you  visited?  

ITT – How is Georgian Bay Positioned?"

ü  FIT  Fly-­‐Drive  Itineraries  are  in  market  

ü  Interest  in  potential  new  product  that  can  link  to  Toronto  +  Niagara  

GAP:    Knowledge  of  the  region,  product  clusters  &  access  from  Toronto  

ü  High  level  of  interest  to  expand  destination  knowledge  -­‐  FAM  tours,  product  training  etc.  

GAP:    Need  to  build  Consumer  Awareness    

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ü  Georgian  Bay  experiences    align  with  customer  interests  -­‐  define  Signature  Experiences    

GAP:    Lack  of  accommodation  in  proximity  to  some  product  clusters  

ü  Georgian  Bay  needs  to  build  profile  &  awareness  with  Tour  Operators  &  their  customers  –  a  long  term  process  

GAP:    Industry  understanding  of  role  of  Inbound  Operators;  pricing;  allocations;  contracting  &  business  cycle.  

In-Market Tour Operators: Resources"

Product  Knowledge  is  a  Priority  Need  !    

§  Resources  Required  to  Support  Product  Development  &  Sales    

o  FAM  tours  

o  Presence  at  Trade  Shows  –  eg.    Rendez  Vous  Canada,  ITB  

o  Product  Training  -­‐  Workshops  &  Seminars  

o  Product  Development  Trips  

o  New  Itineraries  

30  

Regional  Tourism  Suppliers’  Insight  

31  

Regional Tourism Suppliers Interviewed"§  Sample  of  36  regional  tourism  suppliers  

§  Owners,  operators,  marketing/sales  directors  

§  Represents  6  experience  clusters  around  Georgian  Bay  

§  Interviews  §  30-­‐45  minutes,  focused  on  their  experiences  with  international  markets  

  Regional  Tourism  Suppliers  Interviews  by  Geography  &  Type  Bruce   Grey   Simcoe   Muskoka/  

Parry  Sound  Sudbury   Manitoulin  

Island  

Attractions  e.g.  BPNP  

1   4   3   2   2   1  

Touring    e.g.  Blue  Heron  Tours  

2   2   1   5   1   1  

Accommodations  e.g.  Big  Tub  Harbour  Resort  

4   2   2   1   0   2  

Suppliers: Current International Visitors"

All  suppliers  interviewed  already  host  international  visitors  

§  Larger  attractions  &  accommodation  indicated  1-­‐3%  of  business  is  from  international  markets  

§  Smaller  touring  operators  and  B&B  reported  up  to  50%  of  business  is  from  international  markets  

%  of  International  Visitors  N=36    

<10%   10-­‐24%   >25%  

%  of    Suppliers  Interviewed   ~50%   ~30%   ~20%  

Almost  all  indicated  the  domestic  market  is  prime  focus  of  business  and  where  they    spend  most  of  their  marketing  efforts.  International  would  be  incremental  “top-­‐up”  in  terms  of  sales  and  priority  for  their  business.    

Suppliers: Current International Business"

§  Most  international  visitors  from  US,  Germany,  UK  

§  Emerging  markets  only  at  large  accommodation  

§  Where  tracked,  ITT  is  delivering  small  numbers  of  international  visitors  

0%   10%   20%   30%  

Large  Accommodation  

Huronia  Historic  Parks  

Bruce  Peninsula  National  Park  

Boat  Cruise  

Aboriginal  

Small  Accommodation  

Adventure  Touring  

Estimates  of  International  Visitors  at  7  Sample  Properties  

ITT   International  

Germany,  Netherlands,  France,  US  

Germany,  US  

US,  Germany,  Netherlands,  UK    

UK,  US,  Germany,  India,  South  America,  Mexico  

Germany,  France,  US,  UK  

US,  Germany,  France,  UK,  Netherlands  

US,  Germany,  UK,  France,  Swiss  

Countries  list  in  rank  order  by  suppliers    interviewed  

Tour Operators & Suppliers:Perceptions of What Visitors Want "

Perceptions  of  What  Visitors  Want  

Inbound  Tour  Operators      Order  by  frequency  mentioned  

Regional  Tourism  Suppliers      Order  by  frequency  mentioned  

Fall  Foliage   Scenery  &  Views  

Heritage  and  History   Nature  &  Wilderness  

Nature  &  Wilderness     Outdoor  Activities  

Paddling,  Canoeing  &  Boating   Heritage  and  History  

Scenery  &  Views   Aboriginal  Culture  

Aboriginal  Culture   Paddling,  Canoeing  &  Boating  

Festivals  &  Events   Culture  

Outdoor  Activities   Fall  Foliage  

Wine  &  Culinary   Wildlife  Viewing  

35  

Tour  Operators  and  Suppliers  match  quite  well,  but  ranking  differs  

Emerging Themes"

Georgian  Bay  Regional  Tourism  Suppliers        

§  Understanding  how  ITT  works;  implications  for  individual  suppliers  

 

§  Industry  willingness  to  collaborate  is  improving  in  some  areas;  challenging  in  others;    75%  of  suppliers  feel  it  is  limited  today.  

 

§  International  visitors  book  directly  with  some  smaller  regional  tourism  suppliers;    ITT  is  not  always  feasible  

 

§  Limited  tracking  of  international  visitors  vs.  Canadian  newcomers  +  VFR  

 

§  GTA  &  domestic  market  are  #1  priority  –  drive  revenue  &  profit  

Emerging Themes"

In-­‐Market  Tour  Operators  &  Inbound  Operators        

§  Significant  knowledge  gaps  for  Ontario  &  Georgian  Bay  geography  &  product  

 

§  Consumer  awareness:    very  low  for  Ontario;  none  for  Georgian  Bay  

 

§  Need  for  distinct,  market-­‐ready  “Signature”  experiences  to  differentiate  Georgian  Bay  from  rest  of  Ontario  

 

§  Interest  in  potential  for  new  product  that  can  link  with  Toronto,  Niagara,  Ottawa,  Kingston  &  Algonquin  Park  

 

§  Opportunity  to  leverage  City  +  Resort;  City  +  Rural,  Outdoor  experience  combinations  

           

   

Aha  Moments!  

38  

Aha Moments! – Small Group Discussion"§  What  were  your  aha  moments  about  ITT?  

§  Jot  down  four  points  on  worksheets  

§  Share  with  others  at  table  to  pull  out  top  three    

§  Share  with  everyone!  

 

 

Ah-Ha Moments – Participant Observations"

Collaboration  •  Surprised  that  tourism  industry  recognized  more  collaboration  was  

needed    

ITT  -­‐  How  it  works?  •  That's  how  ITT  works  and  it  is  complex!    •  Suddenly  understand  that  “FIT”  means  Foreign  Independent  Travellers  •  ITT  offers  advantages  and  we  need  to  work  collectively  with  others    

Georgian  Bay  Appeal  •  We  have  what  customers  in  international  markets  want  •  But!    We  need  to  increase  ITT’s  knowledge  of  Georgian  Bay    

Ah-Ha Moments – Participant Observations"

Opportunities  

•  Georgian  Bay  region  is  not  known,  although  some  ITT  buyers  have  visited  parts  of  Georgian  Bay  

•  Working  collaboratively  as  product  clusters  to  grow  ITT    

Research  

•  Lack  of  credible  international  visitor  statistics  from  suppliers  at  the  regional  level  

•  Need  benchmarking  &  standardization  tools  

Lunch  Time!    

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What can we do collectively?"

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What could we do collectively? Experience Group Clusters "

§  Focus  on  International  Travel  Trade    

§  Brainstorm  …  What  if???  

§ What  can  we  do  collectively?  §  Based  on  new  insights  about  the  ITT  §  Working  collectively  around  Georgian  Bay  §  Over  the  long-­‐term    

 

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Next  Steps?  

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Footnote"

In-­‐Market  Tour  Operators    Are  International  Tour  Operators  who  sell  Canada  and  Ontario  to  consumers  in  our  source  markets  –  for  example,  U.K.,  Germany,  U.S.A.,  France.    

Canadian  Inbound  Tour  Operators  Are  Tour  Operators  based  in  Canada,  who  assemble  product  that  they  market  and  sell  to  International  Tour  Operators  in  multiple  source  markets.    Also  known  as  Receptive  Tour  Operators.  

Final  Thoughts?  

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