Docstoc

Slide 1 - Massachusetts Office of Travel and Tourism - Its all here

Document Sample
Slide 1 - Massachusetts Office of Travel and Tourism - Its all here Powered By Docstoc
					Tony D’Agostino, Research Director – MOTT



          March 27, 2009
Today’s Topics

   Direct Economic Impact
       2007 spending, state & local taxes, multiplier, market share



   International Visitation
       Visits to MA in CY2007, CY2008 to U.S. up despite down Q4



   Domestic Visitation and Profile
       MA, MOTT targets, and O/N outperform national average



   International surveys
       Canada, U.K., and Germany… market insights



   Domestic surveys
       Effective messaging and traveler intentions
Definition…..


 Traveler = travel 50+ miles one way or stay overnight
   Direct Economic Impact of Travel to MA, CY2007
                        (millions)

                           Domestic   International     Total


Public Transportation      $4,393       $232           $4,625

Auto Transportation         1,909         25           1,933

Lodging                     2,857        642           3,499

Foodservice                 2,548        328           2,876
Entertainment &
  Recreation                 769         149            918

General Retail Trade         871         423           1,294
Total                     $13,347     $1,798          $15,145
 % increase over 2006        6.0%       11.1%           6.6%
      Total Economic impact of travel to MA
…2007 Multiplier Impact

                                     Indirect &
Impact Measure              Direct     Induced       Total

Expenditures (millions)   $15,145     $8,959      $24,104


Earnings (millions)        $3,583     $3,265       $6,847


Employment (thousands)       128           84        212
Tax Impact in MA, CY2007
  ……..ONE BILLION $$


                            $355
 $588                        million

  million




            State   Local
      MA market share of total U.S. expenditures,
                        Calendar Years 2000-2007

                 Drop after 9/11…………………………….On the upswing
     3

    2.5


%    2
                                                                  Domestic
    1.5
                                                                  International

     1

    0.5

     0
          2000   2001   2002   2003   2004   2005   2006   2007
      International visitation
MA specific in CY2007

MA specific visitation not available for
 CY2008

Review U.S. CY2008 international
 visitation for insights into possible
 MA trends
             International Visits to Massachusetts, CY2007


Canada                              604,000
Overseas                           1,171,000
  United Kingdom                     243,000

  Germany                             85,000

  Japan                               64,000

  Ireland                             48,000

  France                              47,000

  Italy                               41,000

  Netherlands                         28,000



   Source:DOC, OTTI
             International travel to U.S., CY2008
                         Month-by-month percent change in visits to U.S.
                                 (Canada and Western Europe)

 30
 25
 20
 15
%10                                                                         Canada


  5                                                                         W/Europe

  0
  -5        J       F M A M             J     J      A S   O N D
 -10                                        months
                                                                             CY08
 -15                                                                       averages
       Strong start….4$ Gas……...Global economic downturn……….…...Canada +7%, W/E +12%
  Source: Dept of Commerce, OTTI
              Domestic Visitation
   Visits down 8% across the U.S.
    Just over 1B down to 940M

   MA (-7%) outperforming U.S.
    averages
    18.5M down to 17.4M

   MOTT Target DMAs…even better (-4.5%)
    NY, Boston/Springfield, Hartford, Albany, Providence


   Overnights (where the $$ are) to MA down
    significantly less than day trips
    Down 4.5% v. down 11%
        Domestic Visits to MA, CY07 v. CY08
                 (U.S. Visits Down 8%)
       20
       18             Down
                       7%
Million16
       14
       12
       10                                                CY2007
        8                                     Down 11%
                                                         CY2008
        6
        4
        2
        0
             Total           MOTT     Other
             Visits          Target
                             DMAs
Domestic Visitor Volume % Change, U.S. v. MA
                  From CY2007 to CY2008

             0

        %    -2

             -4

 U.S.        -6
 MASS        -8

            -10
            -12
                  Total     Overnights Day Trips
                  Visits
Domestic Visitors to MA Origin: Top States, CY2008
                                    Visits

 Massachusetts                     5,300,000

 New York                          2,500,000

 Connecticut                       1,740,000

 New Hampshire                       886,000

 Rhode Island                        804,000

 Maine                               683,000

 New Jersey                          640,000

 California                          578,000

 Florida                             550,000
       Domestic Visitors to MA: Primary Trip Activities
               Percentage change from CY2007 to CY2008

  35
  30
% 25
                                                 Family/Friends
  20
                                                 Ent/Rec
  15
                                                 Cultural
  10
                                                         V
   5
   0
        7




                           8
      00




                         00




                                              Behavioral Changes
   Y2




                      Y2
  C




                     C
        Overnight Domestic Visitors to MA: Lodging


Hotel/Motel/Inn                        44%
Private Home                           42%
Condo/Timeshare                         4%
RV/Tent                                 3%
Bed & Breakfast                         2%
Other                                   5%


          Average Overnight stay was 3.3 nights
Domestic Visitors to MA: Transportation Mode

   Own Auto/Truck                     65%

   Airplane                           20%

   Rental Car                          5%

   Camper/RV                           1%

   Train                               3%

   Bus                                 2%

   Ship/Boat                           1%

   Motorcoach                         <1%


           MA is a drive market
      International Market Insights


   Canada, United Kingdom, and
    Germany panel surveys

   Conducted for MOTT by TNS in May CY08
           Canadian Survey Results


• Canadians are familiar with MA
     Identify MA as “a place where I can
      experience history/culture,” “romantic,”
      “has beautiful scenery” and is “close to
      beaches/the sea.”
• Triggers (Reasons to Visit)
     Ease of booking and accessibility… also cite
      visiting friends and family
• Barriers to Visitation
     Pricing
                  UK Survey Results


• MA is family friendly and a good value. A
  place “where I can experience
  history/culture” and “has beautiful scenery”.

• Triggers (Reasons to Visit)
      Wide open spaces and dining hold the greatest appeal


• Barriers to Visitation
      Lack of familiarity….lack of activities they perceive to be
       available are barriers for British travelers.
                  Germany Survey Results

• German travelers… 20% have little or no
  knowledge of the state

• Triggers (Reasons to Visit)
      Pricing is less of a barrier for MA than it is for other
       destinations when it comes to German travelers.

• Barriers to Visitation
      Germans state that MA does not have the activities that
       they are interested in, particularly proximity to the beach…
       lack of familiarity.

• Germans attracted to rural areas/countryside
      More likely to rent an RV/Camper, visit wide open spaces,
       camp out
      Spend more nights in a B&B or private home, have lower
       “dining” activity.
  Key Drivers of Domestic Visitation to MA



Which attributes, if perceptions were improved, would
 have the greatest influence on growing visits?
                             Key Drivers of Visitation to MA
“physically active” and “place to relax” are powerful drivers


        Improving perceptions on “physically
         active” has almost 3x the impact as
          improving on “easily accessible”
                    (177/64 = 2.8)


                          EMPHASIZE/PROMOTE
         177                      169                                                  MONITOR/MAINTAIN

                                                            117
                                                                                        85
                                                                                                                 64



  Is a good place to be   Is a place where I can   Is a good place to travel    Is a place you would    Is an easily accessible
     physically active             relax                with my family         want to go experience    place to take a vacation
                                                                               early American history              ...




     TNS: Key Driver Impact Indices
U.S. Domestic Traveler Intentions
   Two surveys – February and March
    2009

   Intent to travel over next six months
    improving
                        February results/March results


     14%/ (11%) of leisure travelers will not
      travel
      Impacted least:                           Higher income, over 60, w/o children



     7%/ (5%) of business travelers expect
      their business travel to drop
      Minimal impact:                           Higher income business travelers




     Travel v. retirement accounts (age 40-60)
      40% no change, 24% wait                                     and   see, 5% will reduce
        …..and 30% only travel to the bacowsa

Source: TNS, Topical Travel Insights 02 2009 and 03 2009 in red
                       Summary
   Travel and tourism encompasses several industries and a
    tremendous economic engine for MA

   Gas price spikes and global economic downturn have hurt
    travel within and to the U.S.

   MA travel industry has outperformed the U.S. averages in
    2008 - particularly MOTT target DMAs and overnights

   Opportunities to improve product knowledge in
    international target markets and emphasize the perceived
    strengths

   Domestic messaging should improve perceptions of MA as a
    place to relax and be physically active

   Traveler desire to get out and about improving
The end………yeah

				
DOCUMENT INFO