Canadian Tourism CommissionLes Clefs d’Or CanadaSeptember 14, 2011
The Power of Tourism Growth of global arrivals: 25 million in 1950. 935 million in 2010. 1.6 billion by 2020. In 2010, Canada’s tourism sector contributed: $73.4 billion in revenues to the Canadian economy $29.3 billion to Canada’s GDP $20.1 billion in government taxation revenues. Tourism marketing benefits other sectors, like trade and education. Tourism generates enormous secondary benefits for the economy and the employment of a country.
CTC overview Canada’s national tourism marketing organization (NTO) Investing in 11 countries around the world Headquartered in Vancouver with a regional hub in UK Federal Crown corporationOur visionInspire the world to explore Canada.Our missionHarness Canada’s collective voice to grow export revenues.Our valuesInnovation, Collaboration, Respect
CTC business model Roles-based return on investment (ROI) model: target long-haul, high-spending consumers who tend to spend more and stay longer. Provide leadership with representation in each of our 11 key markets: Traditional/core markets Emerging/transition markets • UK • Brazil • France • China • Germany • India • Australia • Mexico • US (MC&IT, media) • South Korea • Japan
France Germany China UK South Korea India JapanUS Australia Mexico Brazil
Competitive funding levelsTourism marketing organization 2010 base appropriations ($CDN)*Tourism India $248.5 millionTourism Ireland $211.3 millionTourism Australia $147.1 millionTourism Malaysia $128.2 millionLas Vegas Convention & Visitors Authority $119.7 millionSouth Africa Tourism $118.1 millionAtout France $111.5 millionKorea Tourism Organization $94.2 millionTourism New Zealand $88.5 millionBrazil Ministry of Tourism $83.9 millionThe Bahamas Ministry of Tourism $81.8 millionSwitzerland Tourism $80.0 millionCanadian Tourism Commission $77.4 millionHawaii Tourism Authority $73.9 millionCalifornia Travel & Tourism Commission $51.5 millionVisitBritain $48.6 million
Role of destination marketers is transforming Emerging economies are investing heavily in tourism marketing (e.g. India, Turkey). Internationally, progressive NTOs are re-vamping their models to be more efficient (e.g. VisitBritain, Tourism New Zealand, Tourism Australia). Canadian marketing partners (i.e. PMOs and DMOs) are increasingly well-funded. New US Corporation for Travel Promotion is a public-private partnership with the mission of promoting increased international travel to the US.
Canada’s tourism industry performance in 2010 Canadian jobs: Domestic spending: 594,500 $58.5 billion (-1.1% from 2009) (+6.9% from 2009) CTC’s attributable contribution: Total tourism 16,569 spending: $73.4 billion CTC’s attributable (+6.7% from 2009) contribution: $244.2 million Foreign spending: Federal tax $14.9 billion revenues: (+5.7% from 2009) CTC’s attributable $9.4 billion contribution: (+5.8% from 2009) $1.9 billion
Larger competitive set 1950 World 1970 World 1990 World 2010 WorldRANK Share Share Share Share1 USA Italy France France2 Canada Canada USA USA3 Italy France Spain Spain4 France Spain Italy China5 Switzerland USA Hungary Italy6 Ireland Austria Austria UK7 Austria Germany UK Turkey8 Spain 97% Switzerland 75% Mexico 67% Germany 56%9 Germany Yugoslavia Germany Malaysia10 UK UK Canada Mexico11 Norway Hungary Switzerland Austria12 Argentina Czech Greece Ukraine13 Mexico Belgium Portugal Russia14 Netherlands Bulgaria Malaysia Hong Kong15 Denmark Romania Croatia CanadaOther 3% 25% 33% 44%Total 25 million 166 million 703 million 935 millionSource: UNWTO
Long-haul inbound travelRank 1999 20091 US US2 UK France3 France China4 Canada UK5 China Italy6 Germany Canada7 Italy Germany8 Spain Turkey9 Hong Kong Malaysia10 Mexico Hong Kong Source: Tourism Economics
Takeaway 1: Canada has what it takesto compete REPUTATION INSTITUTE COUNTRYREPSM RANKING 2010 WHICH COUNTRY WOULD YOU RECOMMEND TO VISIT THE MOST?
Impact of export tourismSectors 2010 export receipts ($ millions)Motor vehicle manufacturing* 28,125Food manufacturing* 19,936Export tourism 14,806Aerospace products and parts manufacturing* 11,217Basic chemical manufacturing* 9,774Financial services* 6,976Plastic product manufacturing* 6,739Pharmaceutical and medicine manufacturing* 6,171Computer and information services* 4,873Source: Statistics Canada * Denotes Industries in Global Commerce Strategy
How policy impacts tourism businessImpact of implementation of Impact of US government dropping Impact of China grantingnew visa requirements for visa requirement for South Korean Approved DestinationMexican visitors in July 2009 travellers in late 2008 Status to the US in 2009
Summary of Takeaway 1: Canada haswhat it takes to compete Canada is currently punching above its weight class. Canada has a tourism opportunity centered around global growth. Canada’s tourism industry is an industry of the future: no subsidies required. An opportunity to create new wealth and jobs in every community is within reach.
International travellers’ awareness • Travellers are more aware of countries rather than regions or attractions.Source: Global Tourism Watch, Unaided Destination Awareness (Harris/Decima 2010)
CTC is founded on principle of partnerships In 2010, partnership contributions totalled $138.5 million: • CTC-led marketing campaigns: $16.3 million • Partner-led marketing campaigns: $40.7 million • Parallel partnerships: $39.7 million • In-kind partner contributions: $41.8 million
Moving consumers down the path-to-purchase Brand building Tactics conversion
Our marketing channels Direct-to-consumer advertising Increase awareness of Canada as a destination Generate interest in travel to Canada Create a “vacation movie” in the minds of travellers Travel trade promotions Work with our key accounts Train travel agents to sell Canada
Our marketing channels MC&IT Meetings Conventions Incentive travel Media & public relations Events, publications Media stories Social media
Strategic role of meetings & conventions Banff Vancouver Winnipeg Ottawa
US Launch PR Programs / PartnershipsLonely Planet • Online traffic drivers • Custom content – Robert Reid vlog • Lonely Planet social media properties driving traffic to ECLAL • Points of interest content for ECLAL in Spanish & German • Contest featuring ECLALAMEX (Travel + Leisure, Food & Wine, Executive Travel, Departures) • Contest featuring ECLAL, influencers and itineraries • AMEX social media properties driving traffic to ECLAL • Online, print and iPad media
Some Thought Starters for Les Clefs d’Or…• Featured lists created by Les Clefs dOr on Explore Canada Like a Local• Les Clefs d’Or lists can be featured on the homepage or wherever else its relevant• We can badge/identify these lists as well to promote Les Clefs d’Or• Les Clefs d’Or community can comment on spots that interest them as a featured commenter• Les Clefs d’Or endorsed itineraries featured in our marketing efforts and social media cultivation
Global Markets & Estimated Launch Timing • US - Aug 11 • UK - Sept 6 • Germany - Sept 15 • France - Oct 1 • Australia - Nov 9 • Mexico - Dec 21
Summary Summary• CTC is the first NTO to launch a site & app with a robust geo-located, user-generated, itinerary-building tool that can take you from planning to experience.• “The CTC led the way utilizing user-generated content of travel experiences in its campaign work, now they break ground again by placing Canada’s travel brand in the hands of locals and travellers to compel the world to visit Canada.” - Josh Fehr, Creative Director, Tribal DDB Vancouver
Brand Toolkit The Brand Toolkit will help get Canada’s tourism brand working for you. Inside the Brand Toolkit youll find: Information on how we paint a picture with words to inspire travellers to visit Canada now. Ideas on how to incorporate the brand essence into your advertising and promotional materials, using clear, simple, evocative images. How we create images that best express and evoke what Canada offers travellers.
Experiences Toolkit The Experiences Toolkit helps turn tourism products into experiences travellers will keep talking about. Inside the Experiences Toolkit youll find: Key information on turning your product into an experience that customers will keep talking about. Quick diagnostic tools to ensure your product is aligned with travellers’ expectations. Latest travel trends and research insights. Examples of successful practices of several tourism operators in Canada.
Signature ExperiencesCollection What is a Signature Experience? An immersive, hands-on experiential offering that is aligned with Canada’s tourism brand and is unique and differentiated, that engages local people and showcases special places.Currently 48 SEC members, including 8 from BC:• The Inside Passage Coastal Adventure - BC Ferries Vacations• Great Bear Rainforest - Bluewater Adventures• High Flying Summer Adventures - CMH Heli-Skiing & Summer Adventures• Granville Island Market Tour - Edible British Columbia• Eye of the Wind/Adrenaline Adventures - Grouse Mountain• Organic Winery and Bistro - Summerhill Pyramid Winery• Luxury in the Wilderness - Sonora Resort• Canadian Rockies Highlights - Rocky Mountaineer
To wrap up… We are focused on marketing that generates business demand. And Canada has what it takes to compete! We work to provide a partnership framework for the Canada’s national tourism industry behind a strong tourism brand “Canada. Keep Exploring.” We provide tools to help SMEs compete in the international tourism marketplace. We greatly value our important relationship with Canada’s hotel industry. We look forward to continuing to work closely together to inspire the world to explore Canada!