RVC 2013, Market Updates: Brazil, Mexico, India, Japan, South Korea
Upcoming SlideShare
Loading in...5
×
 

RVC 2013, Market Updates: Brazil, Mexico, India, Japan, South Korea

on

  • 595 views

Market Update Presentation by Siobhan Chretien: Market Updates: Brazil, Mexico, India, Japan, South Korea at Rendez-Vous Canada 2013 in Ottawa

Market Update Presentation by Siobhan Chretien: Market Updates: Brazil, Mexico, India, Japan, South Korea at Rendez-Vous Canada 2013 in Ottawa

Statistics

Views

Total Views
595
Views on SlideShare
595
Embed Views
0

Actions

Likes
1
Downloads
16
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment
  • A growing economyA fast answer market
  • Students are Canada’sbestadvocates
  • Use thisdrivers as salesarguments to theBraziliansvisiting RVC.
  • The Brazilian trade scenario now: Tour operators found out they need to differentiate themselves to fulfill the new consumer habits needs7 Hundred and 50 thousand Brazilians Low destination awareness More expensive marketing to convert Canada to a Top of mind compared to USA and EuropeLack on seats on direct air accessLack of seats on high seasonNeed of Visa & Bureaucratic Visa Process (5 forms)Only 3 VACs to attend the entire countryFierce competition, particularly from resorts and short-haul destinationsTotal outbound travel growing faster than Canada’s shareNew and many competitor in market all fighting for the same consumers
  • The Brazilian trade scenario now: Tour operators found out they need to differentiate themselves to fulfill the new consumer habits needs7 Hundred and 50 thousand Brazilians Tour Operators willing to differentiate themselves to gain old and new consumers and has strong interest to work with Canada Potential to convert to sales 10 times the actual number of visitors: 750K long haul outbound traveler have indicated strong intent to visit Canada in the next 2 yearsIncreased Air access all yearOnline Visa ProcessStrong Media Exposure through integrated Consumer and MR activities Benchmark positioning CanadaDynamic growth in social media use: more than 80 thousand likes in Facebook with positive and strong interactionCanada was rated by the student travel association as number one for studentsThe country brand means to the Brazilian consumer traveling internationally, quality of life, empathy with Brazilians, natural beauty and safety to travelAlready dream destination vacation among the older and high end traveler (Brazilian population is getting older)
  • <>
  • 27 Braztoamembers (untilapril 22nd)4 nonmembers (Rubi – big groups to final destinationJapanbutwithstronginterestondoingtourism in Canada, Moinhotur – onskiandgolfniche, Personal – Trains, Riviera – skiand4 media vehicles:Trade: Panrotas, Brasilturis, Consumer: UOL & Correio Popular de CampinasTour Operators willing to differentiate themselves to gain old and new consumers and has strong interest to work with Canada Potential to convert to sales 10 times the actual number of visitors: 750K long haul outbound traveler have indicated strong intent to visit Canada in the next 2 yearsIncreased Air access all yearOnline Visa ProcessStrong Media Exposure through integrated Consumer and MR activities Benchmark positioning CanadaDynamic growth in social media use: more than 80 thousand likes in Facebook with positive and strong interactionCanada was rated by the student travel association as number one for studentsThe country brand means to the Brazilian consumer traveling internationally, quality of life, empathy with Brazilians, natural beauty and safety to travelAlready dream destination vacation among the older and high end traveler (Brazilian population is getting older)
  • Entrepreneurs or high level employeesDecision makers or very influentialVery busy, stressed people, specially Sao Paulo’s residentsKnow more than 5 countriesLike to receive very clear information on what are the rules and how they can adapt the rules to their reality (flexibility_Don’t read long textsSell what’s easier and profitable
  • Discover if they know your services or products through their RTO, more than 80% of Brazilian travelers arrive in Canada through a trade sale
  • IMaintain your ability to hear and find a solution that fits the market and don’t give up, as results may take months to happen
  • Continued annual growth driving the economy The economy is expected to grow at 6-8%Growing middle-class with high disposable income & desire to travelHighend niche market seeking luxury travel (up to 3 weeks)Potential long-haul outbound travel robust despite economic slowdownNumbers to Canada growing every yearLeisure travel on the rise in both summer and winterFIT / GIT strong Strong affinity to Canada with over 1.2 million people of Indian origin- driving VFR trafficInvestment of Indians in Canada and Canadians in India (4.4 billion, IN investment in Canada)Great market potentialTravel trade drivenLong stay destinationStill an un-explored destinationTapping Tier II Cities VFR trafficNew products / SEC
  • Build relations with Trade Partners: Indian operators place high value on personal relationsSmall tokens as give-awaysInvite them for a mealTill the agent hasn’t built confidence, he will shop aroundTalk about business, make them aware of your product and say how well the India market is doing.Ask about their issues and hear them outMassage their Ego’s, the Indians love it !Walk the “extra-mile” with the Indian agentBusiness could change hands for $5 per head
  • A commitment to the market is paramount and demands that Canadian businesses be flexible & innovative in their business offerings The show doesn’t end here, this is a start to know the Indian Trade and deal with themAttend in market Local events and be present in the India market More Private Sector to visit India (visibility matters) eg FairmontPrepare and give itineraries for 5/7/15/21/30 days and sell packages
  • Key reasons behind Canada’s performance since 2008Value and potential of the market
  • why invest in the market?market outlook, CTC forecasts and what our key trade accounts are seeing for Canada?According to JTB’s 2008 through 2011 reports on Japanese Overseas Travellers, findings suggest that holiday travel is trending away from package tours towards independent travel. While Japan is a market of high Internet use, more than 80% of consumers still predominantly book long-haul travel through a travel agent (includes FIT).Canada needs to re-fresh its image to identify key icons and heavily market these icons as must see now destinations. Our long haul and short haul competition is already practicing this marketing strategy and as a result growing Japanese visitor numbers at a very rapid pace. Currently, the perception of the Japanese traveller is to see Canada when you have retired by coach, cruise and rail. While this is a key market that needs to be and will be maintained through traditional marketing channels, it is also important for Canada to address the FIT travellers aged between 25 and 50 years old who are not considering Canada as a travel destination in the short term. Although Japan is a market of high internet use, long haul travel is still predominantly sourced and booked through a travel agent, making the travel trade our most powerful resource in brand delivery. Like the Japanese traveller’s mindset the travel trade do not position Canada as a destination to see now and therefore, they will be a part of the marketing strategy and re-branding, re-positioning and re-educating of Alberta’s presence in market.The Japanese are also changing their travel patterns, shifting from a preference for group-escorted tours to travelling alone or in parties of two adults. More Japanese travellers are also starting to use the Internet to book their vacations, particularly for short-haul destinations, although growth is being seen for long-haul destinations.
  • Push and Pull Strategy
  • Top 5 tips for suppliers to boost business from your market.

RVC 2013, Market Updates: Brazil, Mexico, India, Japan, South Korea RVC 2013, Market Updates: Brazil, Mexico, India, Japan, South Korea Presentation Transcript

  • Market UpdatesBrazil, Mexico, India, Japan, S.KoreaSiobhan Chretien, Regional Managing Director
  • UPDATE ON BRAZILSheila Nassar, Account Director - Brazil GSA
  • SteadyGrowth &High SpendTRAVELLER CHARACTERISTICS
  • CHALLENGES Low destination awareness Lack of seasonal and direct air capacity Visa Process Fierce competition Total outbound travel growing faster thanCanada’s share
  • MARKET OPPORTUNITIES Travel Trade keen to sell Canada Strong brand perceptions and travel intentions Increased air access all year Online visa process Strong media exposure Dynamic growth in social media use #1 for students
  • TOP PRIORITIES 20131. Key Account Marketing2. Signature Experiences Collection promotion3. Trade and media integration4. Consumer campaigns with media diversification5. Canada Specialist Program6. Student Market7. B2B marketplaces
  • 2013 MULTI-CHANNEL APPROACHTradeCoop MarketingTraining nationwideCSP developmentFAM TripsTrade fairsPOS materialNew productdevelopment (SEC)Showcase BrazilMediaFam Trips lifestyleFam trips trade mediaReleases all yearPitch storiesConsumerSocial Media channelsConsumer marketingcampaign on print,digital mediaNew website
  • WHO IS ATTENDING RENDEZ-VOUS? Brazilian Tour Operators Associationmembers (Braztoa) Non-Braztoa members Trade Media
  • THINGS TO KEEP IN MIND ABOUT BUYERS Time-stressed Responsible for more than 5 countries Need certainty and flexibility Clear and direct communication a must
  • BUSINESS TIPS Keep your Receptive in the loop Provide relevant sales benefits Show your strengths compared to Canada’sinternational competitors Show how selling your experience will make theirbusiness more profitable Make it Win-Win
  • BUILD THE RELATIONSHIP Start with key accounts that fit your business Focus on good communication Provide relevant information in Portuguese Approach RTOs with special deals for your keyaccounts Stay committed
  • Thank you!Merci beaucoup!Obrigado!
  • UPDATE ON MEXICOJorge Morfin, Managing Director - Mexico
  • THE STORY OF A RESILIENT MARKET140 148 161132169 179202230257161116 125142160/e2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013Total Overnight (,000s)
  •  Overnight revenue from the Mexicanmarket was up nearly 13% in 2011 to$177.3 million Average spend per person: $1,424
  • MARKET OPPORTUNITIES Build confidence in travel agencies to support sales Continue developing joint strategies between theprovinces and the CTC to keep our leading position on themarket Support wholesalers and airlines’ activities Become more creative in positioning the destinationamong potential travelers
  • MARKET OPPORTUNITIES Continue working with the Canadian Embassy tofacilitate the acquisition of visas Reinforce strategies in social networks that willcontribute to a positive communication of thedestination Maintain the privileged position among the media
  • TOP TEN PRIORITIESPartnerableconsumer campaignsIndustry andcorporatecommunications planYoung Adult/StudentdevelopmentAirline and TourOperators Co-opsCanadian SignatureExperiencesB2B MarketplacesCanada SpecialistProgramCanada Receptivesand Tour OperatorsCelebrity/Influencerand broadcast MREmbassy relations
  • HOW TO DO BUSINESS IN MEXICOSECConsumerRTOWholesaler ConsumerRetailer ConsumerOTA Consumer
  • HOW TO DO BUSINESS DURING RVC Start building relations with RTOs Understand your business case Local operators place high value onpersonal relations Materials translated in Spanish are preferred
  • UPDATE ON INDIATina Singh, Account Director – India GSA
  • FIRST THINGS FIRST Canada enjoyed a record132,000 overnight Indian arrivals in 2011 CTC has forecast arrivals growth of 5% in2012 and 2013 2011 revenue: $139 Million (10% growth)
  • SOME FACTSSource: India Market Profile, CTC. 2013
  • WHEN DO THEY VISIT?
  • THE INDIAN TRAVELLER TO CANADA Educated Affluent with desire to travel Age: 35-55+ Seasoned travellers English speaking Want extraordinary experiences Experiential & soft adventure products are appealing Love to shop
  • THE INDIAN MARKET Ranked in top five for % growth potential for outbound travel(10-15%) Growing and affluent middle class has a desire totravel, especially to new destinations like Canada Average stay per trip: 23 nights Experienced, sophisticated travellers with history of long-haultravel UNWTO: estimates 50 million outbound tourists by 2020
  • THE INDIAN MARKET A high-end niche market seeking luxury travel (up to 3 weeks) . Apopular itinerary: cruising plus Rockies using Fairmont Hotels. Metropolitans: Mumbai & Delhi have been main traffic producers butmuch growth is seen from Tier II cities and CTC is expanding itssales network to reach them
  • BUSINESS THROUGHTRADE It is important forReceptives to be in touchwith Indian travel partners Why? 80% of the Indian marketpurchase tickets for internationaltravel through a Travel Agent
  • DRIVERS OF DESTINATION CHOICE Weather Advocacy / Word of Mouth Experience / New product Opulence: Luxury / Lifestyle Shopping Visiting Friends & Relatives Scenic Beauty Entertainment / Children friendly (Family destination)
  • A GLIMPSE OF 2012
  • MARKET BARRIERS Competition / Big Spends Long-haul destination Air Access / Rising airfares Strict Visa Perception Brand USA Rising Dollar Prices (25%)
  • WHY INVEST IN THE INDIA MARKET Continued annual growth driving the economy Growing middle-class Potential long-haul outbound travel robust High-end niche market seeking luxury travel Canada arrivals growing FIT / GIT strong Strong VFR Deep trade ties
  • 1. Develop and increase number of key accounts2. Launch SEC: Oct 20133. Deliver trade education and marketplaces in Tier I & II cities4. Develop co-op programs with tour operators and CanadaSpecialist training with top-performing agents5. Expand Visa Preferred Agent ProgramMOVING FORWARD: 2013 PRIORITIES
  • MOVING FORWARD: 2013 PRIORITIES6. Further develop media relations to include astronger tour operator call to action7. Road shows / B2B marketplaces8. Leverage dual nation (US) itineraries toovercome direct air access barrier in the short-term
  • HOW TO DO BUSINESS WITH INBUYERS AT RVC Build relations with trade partners Ask about their issues and hear them out Massage their ego’s, Indians love it! Go the “extra-mile” Business could change hands for $5 perhead
  • BEYOND RVC Stay committed and be flexible Maintain a consistent presence Prepare a range of itineraries
  • Merci, Thank you.
  • Update on JapanMaureen Riley, Managing Director - Japan
  • JAPAN BY THE NUMBERS0100,000200,000300,000400,000500,0002005 2006 2007 2008 2009 2010 2011 2012Lehman Shock3/11
  • ARRIVALS IN COMPETITOR DESTINATIONS2006-2011
  • MARKET OPPORTUNITIESTour operator partnerships / Team CanadaIncreased interest in FIT optionsIncreased travel with younger demographicAir accessStrong Media ExposureCreative in positioning of CanadaDynamic growth in social media use
  • INTEGRATED MARKETING ACTIVITIESTradeMediaTradeCampaign• Multi-tiered, fully integratedmedia visits• Social Media• Co-op marketing• Trade Campaigns• New product and marketdevelopment• Enhanced airline partnerships• Tour operator education• Multi-tiered, fully integratedtrade campaign
  • MAXIMIZING RVC ROIFocus on: What does this buyer need? How can I fulfill that need? What makes me unique? Who is this buyer’s RTO? Follow up!!!
  • Thank you!Merci beaucoup!ありがとうございました!
  • SOUTH KOREA UPDATEDon Byun, Managing Director - S. Korea
  • VALUE AND POTENTIAL OF THE MARKETStrong outbound travel market in Korea2007 2011 2012Outlook of Koreans to Canada• Strong leisure driven market• Average spend per person per trip is$1,593 (ranks 3rd after Australia and Brazilamong CTC’s Int’l Markets)• 1.2 M Korean travelers seriously considerholidays in Canada in next 2 yearsSource : CTC’s Annual Report 2011 & GTW 201213.3M13.7MNew Record
  • VISITORS TO CANADA FROM KOREA-50,000100,000150,000200,000250,0002004 2005 2006 2007 2008 2009 2010 2011 2012
  • ARRIVALS IN COMPETITOR DESTINATIONSEurope: Not available-200,000400,000600,000800,0001,000,0001,200,000USA Australia Canada New Zealand2006200720082009201020112012US VISA WaiverNOV 2008
  • KEY TRENDS FOR OUTBOUND TRAVEL IN 2013• Outbound volume continues to grow but mainly to short-hauls with LCC• Huge growth of Low Cost Carriers going overseas (95.6% increase over 2011)• Continuing growth of Foreign Independent Travellers with increasing number ofexperienced travellers and less language barriers• Online travel agents where travellers can individually arrangeflight, hotel, transportation and attractions are booming• Fierce competition among destinations• Influencers : TV, Internet & blog(words of mouth), Product Placement and trendytravel/life guidebooks
  • TOP 3 TIPS TO BOOST BUSINESS•Koreans value personal relationships - Persistent visits help•Best Timing for Sales call - Spring(March-April) or Fall(October-November)Relationship•Learn local business practice•Be flexible with market•Korean translator will bring more effective communicationUnderstand•No invest, no earn: No the attitude to see the results first•At least prepare ‘product information, promotional idea, specialdiscounted rates’ for the business meetings•Develop Korean marketing materialsInvest
  • INTEGRATED MARKETING ACTIVITIESTrip to CanadaWinterFallSummerSpringTradeMediaSocial MediaConsumer• Korean information(website, brochures)• Online Campaign• Travel Exhibition• E-newsletter• Star Blogger Program• Facebook(43K fans)• Twitter• Youtube• Canada Specialist Program• Trade Co-op promotion• Airline Campaign• Market Place• Sales Call• Media Visits (TV & Print)• Media Co-op Promotion• Celebrity Program• Media events• Press Release
  • INTEGRATED MARKETING ACTIVITIESCANADAOnlinecampaignBloggersFacebookPR Activity
  • SHOW TIME: 3 MINVIDEOSample of CTC Korea’s integratedmarket approach