Tourism: Building Tourism Economies. Tourism Division Alberta Culture and Tourism March 22, 2017
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1 Tourism: Building Tourism Economies Tourism Division Alberta Culture and Tourism March 22, 2017
2 Presentation Order 1. Opening Remarks Noel Ma, Director 2. Destination Development Ashley Kalk, Tourism Dev. Officer 3. Business Development Michael Waddell, Tourism Bus. Dev. Consultant 4. Travel Alberta Shelley Grollmuss, VP Industry Development 5. Town of Sylvan Lake Vicki Kurz, Economic Development Officer 6. Business Development - Michael Waddell 2
3 The Tourism Effect on Economic Development Assists in diversifying local and regional economies through impact on subsectors including: accommodations, hospitality, transportation, professional services, retail, entertainment, culture and recreation. Visitors often leave with an impression that will draw them back as students, workers, investors, business partners, immigrants or advocates. Showcases Alberta to the world positive image in the global marketplace and to Albertan s quality of life. 3
4 Tourism Division Vision Alberta is recognized worldwide for its commitment to environmentally sound practices in growing Alberta s tourism industry to become one of the top economic contributors to the provincial economy. Mandate Contribute to the growth and diversification of Alberta s economy by working with industry, government and other stakeholders to grow Alberta s tourism industry. Budget: $62,056 (16/17 forecast) to $60,787 (17/18 Estimate) 4
5 Tourism Development Priorities 2017 Seasonal Diversification and Product Renewal To attract more visitors, Alberta s established destinations, predominantly in the Rocky Mountains, will need to diversify offerings for all seasons and renew current products. Regional Diversification To create more authentic experiences in lesser known destinations, stronger focus on agri-tourism, cultural attractions, indigenous tourism development and outdoor recreation and nature-based tourism opportunities. 5
6 Tourism Division Two Branches Three Key program Areas = Success 6
7 Destination Development and Visitor Services Branch Economic Developers Alberta Conference Banff Centre March 22, 2017
8
9 Open Farm Days
10 Coaching Pilot Project
11 Open Farm Days
12 Culinary Tourism Event Handbook
13 Visitor Friendly Alberta Program
14 Visitor Friendly Alberta Program
15 Visitor Services Model
16 Visitor Services Innovation Fund
17 Festival and Event Planning Manual
18 Municipal Tourism Reference Guide Project Overview Objective of the project Regulatory considerations Contact: Rebecca Goodenough
19 Funding Support Not-for-profit organizations Up to $100,000 per project (25% matching contribution required) To support destinations in creating or enhancing tourism products or services Excludes marketing and capital costs Examples: Opportunity assessments Tourism strategies Asset inventories
20 Developing Your Destination Partner Lay the groundwork Be authentic Keep it simple Use local resources Remember residents
21 Ashley Kalk Tourism Development Officer
22 Introduction to PRIZM5 Segmentation System Alberta Culture and Tourism
23 PRIZM5 What is it? A segmentation system developed by Environics Analytics in 2007 A database based on geography, demographics, marketplace preferences and psychographics
24 PRIZM5 What is it? Classifies all Canadians into one of 68 lifestyle types or segments Includes segments for: Baby Boomers Millennials Francophone Culturally Diverse groups
25 PRIZM5 nuts and bolts Canada: large and diverse
26 PRIZM5 - Segments and EQ types These 68 segments are clustered into 9 Explorer Quotient (EQ) types for Destination Canada (formerly the CTC): Authentic Experiencers Cultural Explorers Cultural History Buffs Free Spirits Gentle Explorers No Hassle Travellers Personal History Explorers Rejuvenators Virtual Travellers
27 PRIZM5 What is it used for? To help better understand customers and anticipate their behaviour in the marketplace To help businesses focus product development, marketing and sales efforts on their best customers
28 PRIZM5 How to get involved? Collect postal codes from your customers Send postal codes (Excel spreadsheet) to Tourism Research and Evaluation We ll send you reports identifying: Who your customers are Where they live What motivates them How to reach them
29 Resources and Contacts: Tourism Research and Evaluation in Calgary: (403) in Edmonton: (780)
30 Economic Development and Trade: Resilience through Diversification Presentation by Stacey Gellatly, Director Economic Development Programs
31 Ministry of Economic Development and Trade 31
32 Community and Regional Economic Support Program (CARES) $30 million over 2 years to promote long-term economic growth and prosperity in Alberta s communities and regions. Desired outcome include: Entrepreneurship and collaboration SME Supports Diversification Investment and high-value job creation 2nd intake April 1 May 30, 2017; 3rd Fall
33 Community and Regional Economic Support Program Total Applications Received by Project Type Training, 19 Other, 6 Business Incubator, 5 Marketing, 7 Studies and Plans, 47 Minor Infrastructure, 4 33
34 Alberta Investor Tax Credit $90 million over 3 years to encourage investment in nontraditional sectors with strong job creation potential. AITC offers a 30% tax credit to investors who provide capital to Alberta small businesses: Doing research, development or commercialization of new technology, new products or new processes. Engaged in interactive digital media development, video postproduction, visual effects and digital animation, or tourism activities. Eligibility for investors is limited to investors who pay personal or corporate taxes in Alberta and invest in eligible small businesses registered with the AITC program. 3 year program with annual intakes on a first-come, first-served process; and remain open until it has been fully allocated. 34
35 Alberta Investor Tax Credit AITC - Eligible Business Corporations number of applicants Pending Submission 115 Applications Received AITC - Eligible Business Corporations by sector (applications received) Proprietary Technology 4% 6% 5% 85% Digital Media/Video Post-Production Services Tourism Other Tourism related applications include EBCs involved in: Craft brewing, including brew pubs, tasting, and tours. Tour bus operation in Banff National Park. 35
36 Capital Investment Tax Credit $70 million two year program to spur economic diversification and job creation. CITC encourages companies to make timely capital investments by returning a percentage of the company s costs. A non-refundable tax credit valued at 10% of a corporation s eligible capital expenditures, up to $5 million. Available to companies across the province involved in the activities of manufacturing, processing and tourism infrastructure making an investment of $1 million or more. Eligible costs include the purchase of machinery, equipment and buildings that closely align to capital costs allowed under the federal government s Capital Cost Allowance. The first intake has now closed. Dates for the 2nd and 3rd intake will be shared once finalized. 36
37 Capital Investment Tax Credit CITC (first intake closes February 15, 2017) number of applicants CITC - Applications by sector % 20% 5% 21% Agriculture and Food Processing Manufacturing and Processing Oil and Gas % 39% Clean Energy 0 Applications Received Tourism Several tourism applications were received to: Construct new or redevelop existing hotels in high-tourism communities. Develop new family entertainment facilities. Develop new adventure-tourism facilities. 37
38 Thank You! Questions 38
39 WE INSPIRE THE WORLD TO EXPERIENCE ALBERTA
40 ALBERTA S VISITOR ECONOMY Drives more than $8 billion in economic activity Supports 127,000 jobs in Alberta 19,000 tourism businesses 34.7 million person visits
41 THE VISITOR ECONOMY DIRECT BENEFITS Direct travel expenditures Direct travel employment Traveller-generated payroll Traveller-generated taxes INDIRECT & INDUCED BENEFITS Diversifies economy Attracts business Encourages entrepreneurial spirit Generates new payroll Enhances local infrastructure Enhances real estate values DEVELOPMENTAL BENEFITS Neighbourhood revitalization Generates pride in local residents Encourages historic preservation Improves destination image Creates public social activities Aids protection of natural resources
42 There are no forever lines of business.
43 HOW WE MARKET AS TEAM ALBERTA WHERE TRAVEL ALBERTA LEADS Alberta tourism brand stewards International marketing Media Travel Trade MICE WHERE TRAVEL ALBERTA ENABLES Industry-led marketing Shared marketing platforms Industry training & development Experience development SHARED RESPONSIBILITY Regional marketing Maximizing return on investment
44 OUR BEST CUSTOMER Free Spirit Millennials
45 ITS BEEN 6 YEARS SINCE TRAVEL ALBERTA PUT A STAKE IN THE GROUND AND ALIGNED ALBERTA S TOURISM INDUSTRY AROUND GOOSEBUMP MOMENTS AND (remember to breathe)
46 DIFFERENTIATE THE BRAND THROUGH ALBERTANS Focusing on the emotion of travel makes standing out from other destinations difficult. There s a humanity that is missing from the current brand. This will be core to its evolution.
47 What does it mean to be ALBERTAN?
48 BIG-HEARTED MAVERICK IS AN ATTITUDE It s what makes us uniquely Albertan and what sets us apart from every other destination on Earth. We will incorporate this attitude along with the beauty and emotion of the Alberta tourism brand to position Alberta as a unique and desirable place to visit, live and invest.
49 TARGET MARKETS
50 Core Strategy: DEFEND THE ALBERTA MARKET Foster Pride of Place Support Partner Marketing Efforts
51 Core Strategy: DRIVE INTERNATIONAL REVENUES Target High Potential Group, FIT & Business Travellers Extend Reach & Influence Through Partnerships Sustain Direct Air Access
52 Core Strategy: DRIVE NEED PERIOD / REGION VISITATION
53 Core Strategy: GROW THE NUMBER OF ALBERTA TOURISM EXPERIENCES Banff Trail Riders
54 Core Strategy: INCREASE BUSINESS INTELLIGENCE CAPABILITIES OF PARTNERS
55 Core Strategy: PROVIDE KNOWLEDGE LEADERSHIP THROUGH PROGRAMS AND RESOURCES
56 TOURISM IN YOUR COMMUNITY 1. Connect tourism to Alberta's Visitor Economy 2. Take Advantage of Marketing opportunities 3. Stay Connected with Travel Alberta
57 Advancing Economic Development Opportunities in Tourism EDA Pre-Conference Session March 22, 2017
58 Town of Sylvan Lake Tourism Strategy Identified key issues and opportunities Extensive community engagement Identified project alliances and partners A Five Year Plan Adopted by Council as a planning document Strategic Priorities Organization & Communications Tourism Product & Experience Development Tourism Marketing Accessibility & Circulation *Projects or initiatives utilizing Alberta s Tourism Branch services and/or support (human/financial) from Travel Alberta
59 Assess economic impact & value of tourism communicate to residents, stakeholders & investors Organization & Communications Potential Demand for Rural Vacation Experiences in Alberta ATPR 2013 Economic impact assessment completed in 2014 Study parameters and RFP guidance Established the Business Recruitment Team (BRT) A committee of Council established to create a probusiness strategy for attracting commercial and destination products Investment Attraction Policy developed
60 Assess economic impact & value of tourism communicate to residents, stakeholders & investors Organization & Communications Hosted Tourism Branch FAM tour in cooperation with Central Alberta Access Prosperity in August 2016 BRT & Chamber members outlined opportunities and potential for tourism development Four (4) staff from the Branch participated in the ½ day event which included a community orientation Resulting in an invitation to participate in Alberta s Investment & Trade Mission to China
61 Enhancements to existing tourism products/experiences and creation of new tourism products Tourism Product & Experience Development Participated in Alberta EDT Investment & Trade Mission to China in November 2016 Marketing materials were prepared for destination projects and translated into simple Chinese Industry presentations made in Shanghai, Guangzhou & Chengdu for developers interested in Tourism projects off-shore Twelve (12) one-on-one investor meetings were supported by the Tourism Branch and Chinese interpreters One (1) investor expected to visit Sylvan Lake in spring of 2017 ongoing WeChat communications
62 Enhancements to existing tourism products/experiences and creation of new tourism products Conducted a Hospitality Feasibility Study in 2015 Tourism Product & Experience Development Formed a dedicated tourism-focused entity Waterfront Commercial District (WCD) Revitalization Committee in 2016 Chamber sub-committee, administration fee and project funding Undertook Visitor Friendly Assessment summer 2016 for WCD Festival & Event Strategy funding approved, project will end March 2018, Chamber/Town initiative
63 Focused, collective and leveraged tourism marketing puts Sylvan Lake on the must see list Tourism Marketing Travel Alberta support over the past 3 years has included: Website development in partnership with Tourism Red Deer VisitSylvanLake.ca Professional photography that reflects Sylvan Lake s new brand essence Annual advertising and promotion in Calgary and Edmonton markets Chamber/WCD workshops EQ and marketing/ packaging focused in 2017
64 Visitors experience easy access to Sylvan Lake, and information and circulation is clear and efficient Accessibility & Circulation Visitor Friendly Assessment identified the need to improve Sylvan Lake s wayfinding signage Tourism assets, community services, visitor pay parking directional signage in keeping with the new brand Relocation of Visitor Information Centre (VIC) to new multiplex recreational complex Extended hours year round, tourism services kiosk Beach Ambassador Program, MIKE the Bike
65 Enhancements to existing tourism products/experiences and creation of new tourism products Regional Tourism Product & Experience Development Eleven (11) municipalities came together to develop Central Alberta Destination Management Plan (DMP) with funding support Destination Development, Destination Management & Destination Marketing Central Alberta Tourism Alliance (CATA) in 2017 Accommodations Study, CARES funding Customer Service Training, Ministry of Labour (LMP) grant Experience Central Alberta website/database under construction, support from Travel Alberta
66 THANK YOU Vicki Kurz, EDO Town of Sylvan Lake & Chairperson for Central Alberta Tourism Alliance (CATA) x 226
67 Indigenous Tourism Indigenous Tourism Team Tourism Division has a dedicated team supporting Indigenous tourism growth in Alberta Laura McGowan laura.mcgowan@gov.ab.ca Michael Waddell michael.waddell@gov.ab.ca Cody Verbeek cody.verbeek@gov.ab.ca
68 Indigenous Tourism Indigenous Tourism in Alberta
69 Indigenous Tourism Working closely with the Aboriginal Tourism Association of Canada (ATAC) to support Indigenous tourism entrepreneurs. ATAC is an national tourism association tasked with growing Indigenous tourism across Canada and promoting it around the world. Key Alberta initiatives: Asset Inventory and sector research Regional sessions (locations yet to be determined) Indigenous Tourism Entrepreneur Program (ITEP) Alberta Day at the 2017 International Aboriginal Tourism Conference ATAC has also provided direct support to operators through a product development grant program, and a pilot market-ready entrepreneur training program.
70 Indigenous Tourism
71 Tourism Policy and Strategy Branch Michael Waddell
72 Policy & Strategy Unit: Regulatory Advice Provide assistance and information to tourism operators to help navigate provincial land regulatory systems. This includes support for: Understanding options for provincial land (both public land and Alberta Parks) for tourism development Understanding the permitting processes required for tourism ventures 72
73 Policy & Strategy Unit: Branch Initiatives Ensure that tourism is considered in land use planning processes: Regional Plans (Draft NSRP, LARP Review) Land Footprint Management Plans Outdoor Recreation Management Plans PLUZ planning Regulatory Certainty Continued work towards increasing clarity and efficiency of regulatory land approvals 73
74 Thank you! 74
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