2. A Buoyant Market
• 92% planning to take a holiday (7+ nights) in 2011 (84% 2009)
• 3/4 - main holiday overseas
• Driven by;
- The young adult market and families
- Possible bounce back from financial pressures
• 2/5 expect to spend more on holidays this year
• 47% are expecting to spend more on their annual holiday
expenditure
• People are considering a broader list of destinations when
planning holidays
Source: BDRC Continental Holiday Reports 2011
3. Perception Challenges
• People at the airport already know where they are going,
why advertise to them?
– 85% of air travellers think about booking their next trip at the airport
• People at the airport are no more valuable than anyone else,
everybody flies, so why don’t I use other media?
– JCDA PAX spend 35% more than average on the cost of a holiday
– Heathrow PAX spend 61% more on the cost of a holiday than average
• I can reach the same people in other formats, why bother with
airports?
– Travellers more adventurous in choosing holiday destinations due to low
cost flights/packages
Source: JCDA Finance Panel; Arriving passengers survey 2007;TGI 2009; CAA
4. Travelistas
Hypothesis: “…there is a group, collectively known as
‘Travelistas’ who because they travel more, influence the
decisions of others and earn more than the average person
are disproportionately valuable for advertisers. You will
find the highest concentration of them in airports, which is
also the best environment to reach them…”
6. Airport advertising offers the highest
concentration
Outdoor advertising formats
seen in the past week…
%
Source: TGI 2011
7. …and thus, the highest index
…but not just in Outdoor…
Index Index
Source: TGI 2011
Editor's Notes
The tourism market is buoyant with over 92% planning to take a holiday (7+ nights) away from home in 2011 (84% in 2009). Almost half will take a main holiday in the UK. Three quarters will take a main holiday overseas. The rise in 2011 is driven by the young adult market and families, a possible bounce back from financial pressures in 2009/2010 felt among these groups. In addition to an increase in holiday taking, there is also an expectation of increased expenditure on holidays in 2011 compared to the past 12 months. 2 in 5 expect to spend more this year. Consumers appear to be broadening their destination repertoire with a consistent increase in the average number of destinations considered since 2009. Consumers appear to be looking beyond typical Eurozone destinations. The internet allows a wider reprtoire of destinations to be offered by operators and agents. The UK is the top destination considered for a main holiday in 2011, followed by Southern European and Mediterranean destinations. USA, Caribbean and the Far East are top of the long haul destinations. The weak Pound and an increase in product has added a number of emerging destinations onto consumers‟ consideration lists. In particular Turkey, Egypt and other North African destinations. There could be a shift away from last minute booking in 2011 and families continue to drive the early bookings. Hotels remain the most common type of accommodation but there is a shift towards the more upmarket end of the hotel market in 2011. 4 and 5* hotels appear to be making up the shortfall of business travellers by cutting their rates. Consumers may be taking advantage of these offers and upgrading. The appeal of the UK continues to increase, particularly among ABs. The „ Floppers‟ appear to be discovering the UK, whereas for Adventurers, and to a lesser degree, the „ Sightseers‟, the UK has always had appeal. Holidays already booked in the UK are up in 2011, as is the proportion of people that are likely to book a UK holiday. The drawbacks of holidays overseas appear to be outweighing the positives of the UK in driving this increased appeal. The frustrations around air travel and exchange rates being the most prominent. The UK appears to be improving the service offered, especially in terms of accommodation, which is adding to the appeal. This is perhaps a reflection of the shift to 4 or 5* hotels as a result of rate-chasing. UK hotels seem to be fighting for custom as business stays decline. Brits appear to be returning to beach destinations with a rise of holidays already booked and likely to be booked in the South West of England and Wales. Consumers also seem to be stretching their attraction memberships by visiting their membership organisation more and other attractions less. The UK continues to be the top destination considered for a main holiday in 2011 followed by Southern European and other Mediterranean destinations. USA, Caribbean and the Far East are top long haul destinations. With considerable capacity in Spain, suppliers have been slashing rates desperate for volume in their Spanish resorts. Spain is now on the consideration list for 1 in 4 consumers compared to 1 in 5 in 2009. Consideration of France is also increasing, albeit to a lesser extend. Is France benefiting from a reluctance to fly? There has been an increase in marketing activity on the speed and ease of booking TGV travel in France, connecting at Lille or Paris with Eurostar. The weak Pound and the increase in product from tour operators to destinations outside the Eurozone have added emerging destinations, such as Egypt, Turkey and North Africa, to many more holiday takers consideration lists. But how will the recent events in Tunisia and Egypt affect consumers‟ perceptions of these destinations? Tour operators appear to be undeterred pushing cut-price holidays to these destinations despite opposition from government advisors. But who will holiday makers follow? Consideration of the Caribbean has risen sharply this year despite the rise in APD. It is noted that the Caribbean has featured strongly in advertising over the past couple of months, in particular from Virgin Holidays. OUT OF SLIDE 1/2 will take a main holiday in the UK Shift away from last minute - families continue to drive early bookings
Best concentrated place to reach them ( ‘ face in a crowd ’ concept)
