2015 SAN DIEGO VISITOR PROFILE
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1 2015 SAN DIEGO VISITOR PROFILE (UPDATED SEPTEMBER 2016)
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3 SAN DIEGO VISITOR PROFILE 6 THE SAN DIEGO VISITOR INDUSTRY In San Diego, the visitor industry is the second largest traded economy behind the research and innovation economy. A traded economy is defined an economy that attracts new outside dollars into a region, which residents are not able to generate themselves, and is thus very valuable to an area s quality of life. In 2015, visitors to San Diego County spent $9.9 billion at San Diego businesses generating $705 million in taxes for governments to spend on resident services and infrastructure. Among the 34.3 million visitors to San Diego County, 50 percent were overnight guests and 50 percent came for the day. Among the overnight guests, 56 percent stayed in hotels compared to 39 percent in private homes and 5 percent in other paid accommodations such as timeshares, vacation rentals, and campgrounds. Due to the development of sharing economy technologies, companies such as Airbnb have been impacting the growth in the other accommodations segment. Visitors who stayed in Other Accommodations grew 6 percent in 2015 compared to about 3 percent annually over the previous three years. The day market is comprised of Mexican day visitors (26%) and Southern California visitors (74%.) Since the downturn during the 2009 recession, San Diego Visitor volume and spending increased modestly in 2010 and then demonstrated strong growth in 2011, and continued growth through San Diego Visitor Volume and Visitor Spending 3
4 THE SAN DIEGO VISITOR PROFILE Hotel visitors have always been the most valuable visitor as they are responsible for more than two-thirds (68%) of all spending, and their spending reaches a greater number of San Diego businesses. San Diego Visitor Spending 2015 San Diego County Visitor Profile The San Diego Visitor Profile Study is a year-long study of the visitor market in San Diego County, and has been conducted for most of the last 30 years, but most recently in The study is an intercept study of about 4,000 visitors at 46 locations, which when combined with a San Diego household survey and many third party data creates the picture of the visitor industry economy. San Diego is a top leisure destination in the U.S., consistently ranking in the top 5 Counties in the U.S. in terms of volume of person-days. The mix of business and leisure visitors varies by visitor length of stay and accommodations. 4
5 THE SAN DIEGO VISITOR PROFILE Visitor Segment Profile Hotel Visitor Profile HOTEL LEISURE HOTEL BUSINESS Visitor Volume Estimate 6.2 million 3.3 million Transportation Personal Vehicle Air Rental car/rv 69% 27% 5% 28% 69% 2% First Visit in 2 years 58% 50% Average Spend Per Person Per Trip $ $1,059 % with Children 34% 3% Median Age Median HH Income $92,400 $141,000 Length of Stay 3.3 nights 3 nights Hotel/Motel Leisure Visitor Activities Profile 5
6 THE SAN DIEGO VISITOR PROFILE Visitor Segment Profile Private Home Leisure Visitors Visitor Volume Estimate PRIVATE HOME LEISURE 6.4 million Transportation Personal Vehicle 50% Air 40% Rental car/rv 4% First Visit in 2 years 48% Average Spend Per Person Per Trip $ % with Children 31% Median Age 29 Median HH Income $53,100 Private Home Visitor Activities 6
7 THE SAN DIEGO VISITOR PROFILE Visitor Segment Profile Day Leisure Visitors Southern California Day Visitors (Excluding Mexico) Mexico Day Visitors Total 12.7 million 4.4 million Transportation Air Personal Vehicle Rental Vehicle 1% 91% 2% 3% 95% 0% First Visit in 2 years 15% 2% Average Group Size % Traveling with Children 34% 28% Median Age of HH Median HH Income $75,700 $70,600 Average Daily Spending Per Person $56 $59 Day Leisure Visitors Activities Southern SoCal Day Visitor California Day Visitors Mexico Day Visitors 7
8 SAN DIEGO VISITOR PROFILE 6 Visitor Residence Southern California is San Diego s largest market for overnight visitors comprising 32 percent or 5.5 million people traveling to stay overnight in San Diego in Arizona is the second biggest origin market with an estimated 2.2 million or 13 percent, and Northern California makes up the third largest market of visitors at 11 percent and an estimated 2 million overnight visitors. While the majority of the leisure travelers reside in the western U.S., business travelers are more likely to be from the Midwest, South Atlantic, and Northeast. LEISURE OVERNIGHT VISITOR PLACE OF RESIDENCE No. CA 11% Other Pacific States 5% Other Mountain States 10% Midwest 5% Northeast 3% All International 11% SoCal 35% Arizona 15% So. Central 4% So. Atlantic 2% BUSINESS OVERNIGHT VISITOR PLACE OF RESIDENCE No. CA 13% Other Pacific States 3% Other Mountain States 7% Midwest 14% Northeast 12% All International 9% SoCal 19% Arizona 6% So. Central 9% So. Atlantic 8% 8
9 SAN DIEGO VISITOR PROFILE 6 SAN DIEGO COUNTY VISITOR PROFILE STUDY TRENDS Longer Term Trends for the Market By 2015 the S.D. visitor industry fully recovered and exceeded the volume of visitors and visitor spending that existed prior to the 2009 economic recession. Specifically hotel visitor spending has grown as a proportion of total spending by all visitors in the market. - 62% of total visitor spend in % of total visitor spend in 2015 S.D. visitors are growing a little older across major market segments of day visitor, overnight visitor, hotel business/meetings visitors, and private home guests. Rising trend of more first time visitors to the San Diego market. First time visitors in 2015 included higher proportion of business travelers (9% in vs 11% in 2015), private home stays (34% in 2013 vs 39% in 2015), and California origin market. First time visitors in 2 years grew from 23% in 2013 to 34% in Fewer visitors here for pleasure/vacation were first time visitors. (52% in 2013 vs 48% in 2015) Economic growth/recovery for the Southern California economy is creating a drive market traffic challenge for San Diego vs 2013 Shifts Following the 2008 recession, the economy did not recover at the same speed for all Americans. Those with higher incomes recovered faster, while lower income households recovered slowly and continue to have difficulty finding and maintaining jobs equivalent to those they held prior to the recession. Overnight Visitors More visitors from California, both from Southern and Northern California More visitors from International Markets, with exception of Canada which declined More air travel and less private car Higher household incomes among hotel guests, lower for private home guests Decrease in length of stay Decrease in visitors with children in group Leisure Hotel Guests Fewer out of Arizona and L.A. County; more out of Riverside and Orange Counties Shorter length of stay from 3.5 vs 3.2 nights Fewer children in the travel group, thus smaller group size Hotel Room Nights decline out of L.A. and Phoenix metro areas More business and less leisure. However, 19.8% of the 3.4 million overnight commercial travelers (i.e., primary purpose convention, meetings, or business) reported that their trip purpose also included pleasure/vacation or visiting friends/relatives. 9
10 Funded in part by the San Diego Tourism Marketing District with City of San Diego Tourism Marketing District assessment funds.
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