WELCOMING INTERNATIONAL VISITORS

Transcription

1 WELCOMING INTERNATIONAL VISITORS November 27, st Annual Tourism Summit Presented by Tourism Nova Scotia

2 TODAY S DISCUSSION Why be export-ready Priority overseas market insights Overseas visitor profiles Tourism Nova Scotia s business resources 2

3 PRIORITY OVERSEAS MARKETS United Kingdom Germany China 3

4 WHY BE AN EXPORT TOURISM BUSINESS? International visitors stay longer, spend more Expand your distribution network Opportunity to build repeat business More predictable cash flow Potential product and service expansion Expanded travel periods Risk mitigation 4

5 TRAVEL TRADE-READY BASICS Rates Supply and inventory Booking system and support Year-round support Response times Service level expectations 5

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7 RECEPTIVE TOUR OPERATORS 90% of overseas trade business comes through a receptive tour operator Experts in Atlantic Canada product They are brokers of tourism products and services International Inbound Tour Operators are their clients Locally and nationally based 7

8 EMMA CASHMORE UK MARKET 8

9 UK MARKET HIGHLIGHTS Largest overseas market for Nova Scotia Spend more, stay longer - the average pleasure visitor party from the UK spends $4,400 Visit June-October (higher likelihood to visit in Fall than other markets) TNS targets Authentic Experiencers, Cultural Explorers and Free Spirits NS product match people, touring, relaxation and scenery and landscapes One-half make their travel decision 5 months or more in advance of their NS visit 9

10 UK TRAVELLERS TO CANADA 2017: Canada 800K Nova Scotia 26, : Canada 825K (est.) Nova Scotia 32,100 est. (+22%)

11 GETTING TO NOVA SCOTIA FROM THE UK

12 UK MARKET INSIGHTS 1.5% projected UK GDP growth in % projected UK consumer spending growth The is strong against the CAD$ Brexit has led to political and economic uncertainty Impacts of warmer weather in Britain 73% of Britons took trips overseas in 2017 (+2%) UK outbound to Canada has seen double digit growth Many accolades in influential media publications 12

13 UK MARKET INSIGHTS KEY TRADE ACCOUNTS Travel Trade is an important sales channel for leisure travellers to Nova Scotia Key sellers: Canadian Sky, Barrhead Travel, Independent Traveller, Trailfinders, First Class Holidays +20% growth in 2018 Nova Scotia sales 74 UK based tour operator companies currently selling 258 NS programs through more than 7,000 agencies 31 new Nova Scotia programs/product added in

14 UK MARKET INSIGHTS - MEDIA LANDSCAPE Type: Broadcast (TV/Radio), Print (newspapers/magazines), Online (social media/blogs) Print remains as important as it has ever been. Print and radio perform significantly better for brand building UK s TV landscape evolving rapidly. TV streaming services overtaking subscription Editors preference for authentic experiences - clear trend towards discovery. Journalists who can look under a rock Media exposure 2018 = 1.5 million ($2.6 million) +5.2%. Print is most prominent media channel

15 UK VISITOR PROFILE (CANADA) 15

16 UK VISITOR PROFILE (CANADA) Top 5 barriers UK visitors consider when choosing Canada as travel destination Affordability 40% Competing destinations 20% Too far/too long 18% Exchange rate 15% Weather 12%

17 UK VISITOR PROFILE MOTIVATORS/INFLUENCES Outdoor experiences Cultural experiences Relaxation (de-stress) Gastronomy Wildlife viewing City experiences Influenced by something they heard or read 17

18 UK VISITOR PROFILE NOVA SCOTIA S FIT Scenery/Landscapes/Nature Whale watching, marine life, seabirds, moose Coastal soft adventure hiking, kayaking, parks Local Food, seafood, wineries, breweries, distilleries Halifax urban experience, music, nightlife First Nations Celtic, British/French heritage Short travel time/distance 18

19 UK VISITOR PROFILE Appreciate quality and value for money Will pay more for unique experiential activities Cultural considerations few Millennial market will be important Proud to tell others where they have visited Appreciate a destination that allows them to de-stress 19

20 MAVIS ZHENG- CHINA MARKET 20

21 CHINA MARKET HIGHLIGHTS China is one of Canada s fastest growing tourism markets The average pleasure visitor party from China spends $2,400 TNS targets Authentic Experiencers, Cultural Explorers and Free Spirits NS product match scenery and landscapes, summer outdoor activities, world heritage sites, different experiences than at home, and local food experiences, and seafood 21

22 CHINA MARKET HIGHLIGHTS Population: 1,396 million (2015) Size of Adult: 1,051 million China has 206 airports and building another 66 new airports China s Gateway Cities to Canada Beijing Shanghai Guangzhou Hangzhou Nanjing Qingdao Chengdu Xiamen Shenyang Zhengzhou Kunming

23 CHINESE TRAVELLERS TO CANADA 2017: 672,300 12% increase 2018: continue growing due to more visa application centers CCYT (Canada China Year of Tourism) Increases in direct air capacity

24 GETTING TO NOVA SCOTIA FROM CHINA

25 CHINA MARKET INSIGHTS Economic Growth: Second largest economy in the world after the U.S. with willingness to spend on travel Disposable Incomes: Chinese incomes growing at 10% per year FX Rate: RMB to the U.S. dollar Chinese Desire to Travel: Travel is the most desired leisure pursuit for 56% of middle and upper-class Chinese Willingness to Spend: 19% of disposable incomes spent on travel on average China Outbound Travel Growth: 130M outbound in 2017 Growth: Number of Chinese outbound travellers is projected to more than double in the next 5 years

26 CHINA MARKET INSIGHTS - MOBILE PAYMENT 65% 90% of Chinese visitors used mobile payments for their expenses abroad of people who use mobile payments are likely to spend more Chinese visitors most frequently used mobile payments for shopping and dining while abroad Shopping 63% Dining 62% Attractions 58%

27 CHINA MARKET INSIGHTS - MEDIA LANDSCAPE Newspapers Magazines Over 200 Countless 16 National dailies with circulations of 480,000+ Regional newspapers with circulations of 260, Lifestyle, tourism and fashion magazines Average circulation of 80,000+ Travel Trade Publications 13 TV stations: CCTV is the most competitive mainstream TV, with 98.3% nationwide coverage Major Newswires: China News Service, China News Agency, etc. Daily Broadsheets/Newspapers: Global Times, China Daily, Shanghai Morning Post, Southern Metropolis Daily etc. Weekly Lifestyle Publications: Lifestyle, The Bund, The Weekend, Let s, Traveler Weekly, Grazia, etc. Power Fashion Publications: Vogue, Cosmopolitan, ELLE, GQ, Esquire, Modern Bride etc. Leading Consumer Travel Publications: Condé Nast Traveler, Voyage, National Geographic Traveler, Top Travel, etc. Video Sites: iqiyi, Phoenix, Channel Young, World Traveller etc. Radio stations 11 Travel Trade magazine, circulations of 50, Travel Trade newspaper, circulations of 150,000+

28 CHINA MARKET INSIGHTS - ONLINE TRAVEL LANDSCAPE Baidu s search dominance Owns 25% of Ctrip, Ctrip owns 45% of Qunar and 36% of elong. Owns a rich ecosystem made for the mobile age Tencent owns 15% of elong and is invested in LY.com, Tuniu and Meituan Payment platform and e-commerce scale Fliggy, and also linked with Meituan Reasons for using internet Instant messaging 90.8% News 83.1% Search 80.3% Blogs 72% Video 69.1% Online shopping 56% Travel booking 34.3%

29 China Market Insights WECHAT/WEIBO WeChat China s Facebook and WhatsApp combined Occupation: 80% of the high income earners in China use WeChat Used by 90% of users as a major work communication tool 60% of WeChat users in China are aged between 16 & 35 years of age Weibo China s Facebook and Twitter combined Build brand name. Create awareness to attract fans Pictures and videos can be published in a single post, and each post can contains 140 words, 9 images, videos, emoji, hashtags Widely used by government, media, celebrities, corporates to deliver hottest news

30 CHINA VISITOR PROFILE (CANADA) 30

31 CHINA VISITOR PROFILE Skew female: 61.8% of Chinese travellers are female Younger Demographic: 87% of Chinese outbound travelers are under 40 Well-educated: 67% with a bachelor's degree and 13% with a master s = 80% are highly educated Exploding mobile access

32 CHINA VISITOR PROFILE Top 5 factors Chinese visitors consider when choosing an overseas travel destination Beauty and uniqueness of attractions 56% Safety 47% Easy visa procedures 45% Friendliness of locals to visitors 35% Affordability 34%

33 CHINA VISITOR PROFILE TRADITIONAL VISITOR Characteristics of the traditional Chinese visitor: Consider a Chinese-speaking guide essential Want a highly organized itinerary Like the safety and convenience of group travel Visit many locations in a short time Usually stay in clean, budget lodgings Prefer to eat only Chinese food Enjoy shopping for luxury consumer goods to bring back home Tend to travel during the national holiday periods 33

34 CHINA VISITOR PROFILE THE FIT TRAVELLER Characteristics of FIT traveller: Language not a barrier to travel, willing to travel where Chinese is not spoken They want freedom to linger at attractions or locations they enjoy Concerned with safety, and food hygiene in particular, and like the details to be taken care of for them when enjoying an experience Prefer unique and luxury lodgings - the accommodation is part of the experience 34

35 CHINA VISITOR PROFILE THE FIT TRAVELLER Characteristics of FIT traveller: Want to have authentic, local experiences, to eat local foods and try local delicacies Also appreciate small comforts from home like congee for breakfast, hot drinking water, and hotel slippers- ultimately, choice is important Instead of returning with luxury purchases, they want to return with experiences they can use as social capital Very likely to document their visit, live-as-it s-happening, on social media 35

36 CHINA VISITOR PROFILE TRAVEL MOTIVATORS Interesting culture Want to have fun experiencing the culture of a destination Historical sites and attractions Want to experience the important, iconic places and attractions and document themselves experiencing it on social media Beautiful, unspoiled nature Most FIT travellers are coming from urban areas with poor air quality 36

37 CHINA VISITOR PROFILE TRAVEL MOTIVATORS Sense of freedom Physically, China is population dense, especially in urban areas Socially, there is a sense of restriction due to the political regime Experiential travel, that emphasizes different areas of local life Interested in local cuisine, culture, history, shopping, nature and social life Drawn to experiences that promise to be authentic, exclusive, or VIP 37

38 CHINA VISITOR PROFILE NOVA SCOTIA S FIT Historical sites and attractions Iconic Nova Scotia landmarks: Peggy s Cove, Bay of Fundy, Cabot Trail Important historical sites: Fortress Louisbourg and Pier 21 UNESCO World Heritage sites: Lunenburg and Southwest Nova Biosphere Reserve Beautiful, unspoiled nature/sense of freedom Purity of the air; clean, unspoiled landscapes; Wide open spaces Freedom to have fun and express your individuality 38

39 CHINA VISITOR PROFILE NOVA SCOTIA S FIT Experiential travel/interesting culture A survey of recent Chinese visitors to Canada indicates that 45% are in the Free Spirit EQ segment. Experiences that appeal to Free Spirits will appeal to FIT Chinese Xin Xian: food is seen in its natural state, caught/picked at the source, and the visitor is involved in the process of sourcing, preparing and cooking it. They expect not just fresh, quality ingredients, they also want amazing flavours Wine tours, especially ice wine 39

40 CHINA VISITOR PROFILE EXPECTATIONS Surnames come first in China Handshake is soft, sometimes bow Have bilingual cards, don t write on them but consider them an extension of yourself Be ready for personal questions that we wouldn t consider asking: How much do you earn? Are you married? Use simple English and speak slowly and clearly Be mindful of authority and personal space Avoid talking politics or religion Good topics: Chinese food, sports or places to visit

41 CHINESE VISITOR PROFILE EXPECTATIONS Learn a few words of Chinese. This shows an interest in your host s language and culture HELLO THANK YOU GOOD-BYE Nihao (knee-how) Xiexie (shye shye) Zài jiàn (dzai jyan)

42 CHINA VISITOR PROFILE PAYMENT EXPECTATIONS Xiexie!

43 PHILIPP GRIMM - GERMAN MARKET 43

44 GERMANY MARKET HIGHLIGHTS Visitation from Germany shows strong growth in recent years Stay longer, spend more - the average pleasure visitor party from Germany spends $4,400 Visit June-October (higher likelihood to visit in Fall than other markets) TNS markets to Authentic Experiencers, Cultural Explorers and Free Spirits Strong NS product match nature based activities, friendly people, culture and heritage, outdoor scenery and landscapes, touring options One-half make their travel decision 5 months or more in advance of their NS visit 44

45 GERMAN TRAVELLERS TO CANADA 2017: Canada - 388K Nova Scotia 13, : Canada 400K (est.) Nova Scotia 15, %

46 GETTING TO NOVA SCOTIA FROM GERMANY

47 MARKET INSIGHTS - GERMANY Population: million (2017) 4 th largest immediate potential market size for Canada overall Immediate market potential for Canada: 5.1 million in the next 2 years (979K for Atlantic Canada) 2% projected consumer spending growth in rd largest outbound market in tourism expenditures with USD $80 billion in 2016 Very strong compared to CAD$ 47

48 GERMANY MARKET INSIGHTS 77.2% of all Germans travelled in 2017 a record high 8.4% of all German traveller holidays in 2017 were longhaul Stationary travel agencies and tour operators remain main sales channel especially for long-haul Canada has a very positive image/safe destination Capacity issues in Western Canada Growing interest in Atlantic provinces 48

49 MARKET INSIGHTS KEY TRADE ACCOUNTS Travel trade is the most important sales channel for leisure travellers to Nova Scotia Key sellers for NS: DER Touristik, TUI and specialist like Canusa, CRD International 35+ major tour operator companies and specialists selling Nova Scotia product through more than 10,000 travel agencies +13% growth in 2018 Nova Scotia sales New Nova Scotia programs/product being added/extended in 2019 Travel brochures still important 49

50 GERMANY MARKET INSIGHTS - MEDIA LANDSCAPE Broad travel-related media landscape (travel section in every newspaper and many magazines) Increased importance of online media/social media for destinations (close to 90% of Germans use the internet daily) Leading social media network is Facebook: 32 million active users (23 million daily), followed by Instagram: 15 million users (Nov/2018) But: Traditional media outlets are still of key importance Germans are among the world s keenest newspaper readers (44.6 million people read a newspaper regularly; print and digital)

51 GERMANY VISITOR PROFILE Average of 30 vacation days/year plus public holidays Average length of stay: 9.5 days in Nova Scotia FIT vs. Group Travellers Many German travellers will visit multiple provinces Willing to pay more for quality 51

52 GERMANY VISITOR PROFILE TRAVEL MOTIVATORS Nature/Beauty Cultural Immersion Relaxation (de-stress) Safety Uncrowded Wildlife Influenced by something they heard or read 52

53 GERMANY VISITOR PROFILE NOVA SCOTIA S FIT Scenery/Landscapes/Nature coastal hiking/parks Wildlife viewing whale watching/moose/eagles Coastal soft adventure kayaking/canoeing Camping/Motorhome travel Uncrowded Authentic Unique experiences 53

54 GERMANY VISITOR PROFILE - EXPECTATIONS Most German travellers speak English No Surprises! Germans like to have all relevant details Important not to over-promise or under-deliver Appreciate authenticity Direct and efficient Consistency is important 54

55 GERMANY VISITOR PROFILE - EXPECTATIONS Unique inns, B&Bs, cottages, lodges preferred Personal and friendly service Cleanliness and well maintained properties and equipment Value for money a 4-star rating needs to deliver Danke! 55

56 TOURISM NOVA SCOTIA BUSINESS RESOURCES 56

57 MARKET DEVELOPMENT Relationships with key accounts Travel trade and media familiarization tours (FAMS) Tradeshows/Marketplaces Proactive client communications Destination training Industry training 57

58 SECTOR DEVELOPMENT Business development guides: 58

59 EXPERIENCE DEVELOPMENT Experience Nova Scotia: A Toolkit: Workbook and planning worksheets help you create, price, and sell a visitor-focused, hands-on tourism experience. World-Class Experience EXCELLerator Program: Participants benefit from one-on-one coaching, research insights, professional development, photo and video production, and more 59

60 RESEARCH Find the latest information about Tourism Nova Scotia s research Visitor Exit Survey 60

61 TRAVEL TRADE READINESS PROGRAM Toolkit Webinars Workshops Mentoring 61

62 STAY CONNECTED Newsletter Sign-up for intouch Twitter LinkedIn Follow Tourism Nova Scotia Website Visit tourismns.ca 62

63 THANK YOU Peter Johnson Manager, Market Development Tourism Nova Scotia P E peter.johnson@novascotia.ca