Wendake Hotel‑Museum: responding to market segmentation trends

(Originally published in TOURISM)

He may not be of Aboriginal ancestry, but tourism planner Jacques Drapeau’s well-weighed comments make him the perfect ambassador for the soon-to-be-open Huron Wendat Nation Hotel-Museum, at Wendake, on the outskirts of Québec City. With its 55 rooms, this new 4-star facility on the Saint-Charles River draws both from the Huron Wendat culture, and from the relationship the Huron Wendat are keeping with the rest of the world through nature, spirituality and mythology.

“When we arrive here, we get a sense that the facility is composed of two parts: a tepee‑shaped structure houses the museum, and another connected structure – inspired by a traditional longhouse – where the accommodations, restaurant, and reception area are located. The restaurant can welcome 120 guests and will serve many dishes influenced by Aboriginal culinary traditions. There are also meeting rooms, various foyer areas for special functions and even massage facilities.”

Wood was used extensively as a building material, both inside and outside the establishment. All the facades of the museum and hotel are wood‑clad; the organic material is used decoratively and – as a clearly visible structural feature of the building – tree trunks act as pillars in many instances. There is much stonework as well, integrated with the exterior foundation and used strategically in public areas inside, as well as in floor systems in the bedrooms.

“The natural environment in which we are located permeates all aspects of the hotel experience,” notes Drapeau, whose consultancy was hired to help guide the project. “Instead of being confined to a hotel room, there is a living environment all around for guests to enjoy. Plus, the hotel is adjacent to the “Corridor des Cheminots”, a former railway bed converted into the longest bike route in the Québec City region. On the grounds, there will be medicine‑themed and other types of gardens, hiking trails throughout the woods, and a pond filled with fish for guests to discover.”

The Huron Wendat Nation Hotel‑Museum proudly displays symbols unique to the First Nation, such as the turtle and the snake which are visible in various forms. Even the longhouse‑shaped accommodations complex meanders slightly, to mimic the snake’s movement.

Exactly who is the target market for this evocative new establishment? A clever mix of market segments, explains Jacques Drapeau: “Being a capital city, Québec is home to a good number of head offices, beside federal and provincial government institutions. We believe they will be interested by what is offered here, because we are a little off the beaten path. The advantage of holding meetings and events at Wendake is substantial when one realizes that once they are here, meeting participants are somewhat captive. Yes, people will be able to walk around Wendake, but we are some distance away from the recreational opportunities available in Québec city. Nowadays, organizations aim to rein in meeting participants, because it gets more and more expensive to hold meetings. Instead of hitting downtown at lunch, our guests will be able to go for a short walk in the forest or along the river. This is a competitive advantage that we will highlight when we approach clients in the MC&IT sector,” quips Drapeau.

Because the hotel is on the outskirts of Québec City, the market study demonstrated that in order to succeed, it had to be a higher‑end hotel. Current trends indicated that additional lure was needed, in the form of a minimum four‑star rating.

“We have already started to approach multipliers like wholesalers who are active on the European market, because there are clearly affinities there with the experiences we will offer. Latin America is an emerging market which we believe will yield positive outcomes. In the US, we believe our clients will be interested in a hotel like this for their Québec capital region events. And of particular interest will be the First Nations market. Up until now, First Nations meetings occurred mostly downtown Québec.” Because the Huron‑Wendat Nation is the local host nation, he explains, it would make sense for First Nations to gather at a hotel located on their territory.

“Yet, for our local clients, not only in the corporate sector but also for schools and seniors’ markets, the Hotel‑Museum will be an ideal excursion destination, given that the community‑owned establishment has joint museum‑hotel functions, something which is unique in Canada, and which imparts an innovative character to the operation.”

Because of its mid‑sized capacity, the weddings and family reunions sector is also an attractive one for the property, Drapeau points out. He notes that the hotel‑museum project raised a few eyebrows among its owners at various stages of development: “It is a major undertaking. That was to be expected from the Huron Nation, as it would be of Québec City citizens in general if put in a similar situation. Many questions were asked, but now that the project is completed, and the population is much more aware of the reasons why the hotel is valid project, the focus turns more to the additional visitors it will generate for local businesses, retailers, restaurants, and other services.”

Drapeau predicts there will be unparalleled growth in the community as a result, because up until now, visitors only came to Wendake on a round‑trip from Québec city. From now on, visitors will be able to stay in Wendake.

MC&IT offers opportunities for destinations of all sizes

(Originally published in TOURISM)

The Canadian Tourism Commission’s Dan Melesurgo is the executive director of meetings, conventions and incentive travel sales in the US. TOURISM reached him in Washington to find out how Canadian destinations might take advantage of the in‑market opportunities which are generated through his program, and he notes that the most fundamental task Canada faces in the MC&IT sector is the need to create greater awareness of the country as a meetings destination.

“That always comes up as one of our biggest challenges," he says. "It is something the new brand is certainly addressing, but there is still a perception that Canada is cold and boring, that we are so similar to the US, and that Canada lacks the exotic appeal to make a destination attractive. There is no shortage of positive impressions about us, but these are not at the forefront of our planners’ minds. We are addressing this through all of our national partnerships, effectively bringing out who we are and what we can offer from a meetings perspective.”

Melesurgo notes that one of our strengths is the quality of facilities and services found in Canada. “I know a lot of people and destinations will say that, but I think this is really where we have a competitive advantage. Our research confirms this, and it is something we can definitely pride ourselves on.”

He goes on to set the record straight on Canada’s value for the money in the US: “Even if the dollar is pretty much on par, hotel rates have not increased as they have in the US, so there is still a value attached to meeting in Canada, and this doesn’t even take into account the tax rebate program for foreign meetings and conventions, which is still in place. Another important consideration is the need to drive home the message that attendance tends to be very high (and record‑breaking in many cases) when an organization does choose to hold a meeting in Canada.”

Melesurgo paints an attractive portrait of Canada as a country where there is “a proximity of our large cosmopolitan urban centres to nature and the great outdoors. Vancouver is just one example. If they meet in Vancouver, Stanley Park is at their doorsteps and they are only an hour and a half away from one of the world’s best winter destinations”.

“In the US market, it’s all about awareness, unless you are dealing with an incentive group wanting to be cutting edge and going to a destination no‑one has heard of, thereby earning bragging rights (a small board meeting at Clayoquot Wilderness Resort for example, or around polar bears in Churchill, which are a small but lucrative part of our business.”

But there being only one Vancouver, one Montréal and one Toronto in Canada, Melesurgo believes other lesser‑known destinations have much to gain by understanding where their competitive advantages lie. “If we are talking about Winnipeg, Regina or some of the smaller destinations, you are not going to get the large city‑wide events because you don’t have the required infrastructure in many cases. However, regional or association meetings, or sporting events if you have the sporting facilities, may represent a market you should focus on. It is really important for any destination to take stock of what it can offer; and really match that with segments of the market which make sense for them. You can’t be all things to all people.”

There are the big three or four cities that get a lot of attention in Canada, he goes on, “and we are very mindful of that. Our main goal is getting people to think of the entire country of Canada as a quality alternative to US and other international destinations. We strongly believe that getting somebody to book a meeting in Vancouver or Montreal, initially, is a very positive development because if they enjoy a positive experience, then perhaps we can steer them toward one of our second‑ and third‑tier cities.”

"These smaller cities may not be suited for a 10,000 delegate event, but a place like Halifax could certainly host a smaller committee, board or corporate meeting," he continues. "For this to happen there has to be an investment on the destination’s part.

"Halifax would indeed be a good example," Melesurgo points out. "The city has committed to supporting an organization called the Council of Engineering and Scientific Society Executives (CESSE) which held its annual meeting in Halifax this past summer. It was a record‑breaking meeting in terms of attendance and participating Canadian partners, and there was a logical tie‑in. It was identified that a good number of their member societies might be interested in meeting in Halifax, partly because of the local connection with education, engineering and the scientific communities. So, if there is a strong industry in certain destinations, trying to align yourself with organizations which complement that makes sense.”

Interestingly enough, Saskatoon was a partner with Melesurgo’s group to attend the annual meeting in Halifax. “They saw an opportunity, which they seized. Hopefully, they have done their follow up to see if they can attract business to their destination. It is a definitely a two‑way street in terms of the educational process a destination can undertake to help educate the in‑market sellers on their product and what they have to offer."

“We have to have these conversations and the relationships have to be nurtured between the CTC and the destination, in much the same way these conversations would take place between the destination and the client. And there has to be a commitment to the market, which can be very hard to keep. Our national strategic partnerships with PCMA (Professional Convention Management Association), ASAE (American Society of Association Executives), the Center for Association Leadership, MPI (Meeting Professional International), FICP (Financial Insurance Conference Planners) and Experient are all long‑term relationships. We don’t go into a partnership unless we really see long‑term potential and it must be aligned with our strategy, because you have to be able to build it year after year. If you are in and out of a market, and in and out of a relationship, there will be very little equity, and you will be wasting your financial resources in the end.”

Melesurgo likes to use his own personal experience as an example. “When I first started in this position, I’d never been to Winnipeg. I knew where it was located, but I didn’t know much about the city. I was invited to spend three days in Winnipeg, and my hosts really tried to educate me about the personality of the city and the facilities it has to offer. We talked about our logical connections with our in‑market directors, so they have tried to build their relationship with our mid‑west office and the people based out of Chicago because that was one of the main markets they had identified."

“So the more knowledge we have about these destinations, the better we can influence our clients when we meet with them," he continues. "We can say: ‘hey… did you ever think about taking this out to Moncton, Halifax or Regina, because they have facilities that will meet your needs, and there are some logical tie‑ins with some local industries that fit with your interests.’”

The key is to be realistic, Melesurgo advises. “There are many factors at play; things like air lift and costs will affect whether Québec City or Banff is the right place for a client to hold its meeting. It also depends on the market: Québec City and Banff may be more attractive incentive destinations than Toronto, because of the nature of the destinations and the nature of what clients are looking for when they plan the incentives. On the other hand, Toronto is a large cosmopolitan city which is suited to handling city‑wides or larger type meetings because of the available infrastructure.”

With the Olympics coming up, Melesurgo’s team is planning renewed vigour on the sports tourism front: “We see a wealth of opportunities within the Canadian sports federations community. We are looking at strengthening those relationships so that we can form partnerships and go after some of these sports groups together. The 2010 Games will create great awareness for Canada, therefore we plan to identify the top 50 non‑Olympic organizers and really target them in hopes of bringing their events to Canada. Our eyes are wide open.”

A reader on the business of incentive travel

(Originally published in TOURISM)

“True incentive travel is reward travel,” according to the Canadian Tourism Commission’s Michele Saran. Incentive travel sales is the area Saran looks after out of the Chicago office. “A classic example would be a corporation wanting to entice their top salespeople to achieve sales benchmarks in a given year. So what we try to do at the CTC is make Canada one of the prizes they can win for achieving those benchmarks.”

These prizes can be merchandise and the like, but travel is usually one of the most motivating things to get people to achieve their goals, Saran explains. “So we compete against pretty much the entire world. Our biggest competition is probably places that are sun and sand and perceived as glamourous like Hawaii, the Caribbean and Mexico. But Canada holds its own, and we do pretty well.”

When asked about trends in the incentive travel market, Saran identifies family programs as an emerging product. “People don’t get to spend a lot of time with their spouses and children; The reward then becomes being able to spend more time with the people you care about.”

Saran also notices increasing interest in winter incentives, so there are opportunities for Canada in terms of ski vacations. The hottest activities right now are fishing, by a landslide she says: “I get more calls for fishing than golf and everything else combined. CEOs love to go to the places where no one has gone before – unique lodges that are more difficult to access and are really high end. Spas are super‑hot because spouses are going to go along, and golf probably rounds up in third place.”

It is important to be seen as an attractive incentive locale; to be seen as “unique”, notes Saran: “Examples of this might be Vancouver Island resorts where you go grizzly bear watching and take float planes. This is an area where Canada has a lot to offer; it is about going off the beaten track, and because the Euro is so strong against the US dollar now, Canada – even though Canadian and US dollars are on par – still looks a lot better than Europe. And we are offering them new places they have never heard of before, like Newfoundland and Yukon. Even if it is not 5‑star, it is still exotic enough to make people want to achieve those benchmarks.”

Saran describes her business sector as a bit of a hybrid between leisure and meetings business. “Often, specifically for tax benefits, clients will have the meetings in conjunction with the incentive. Usually they will require a meeting room for half a day in conjunction with the trip. For the most part, it is the (smaller destinations) which benefit from what I do, places like Banff, Victoria, Whistler; those types of places I deal with probably more frequently than the big cities.”

What about places in Canada that are even more off the beaten track? “There has to be a little sex appeal on paper to be able to sell it. If there was a 5‑star fishing lodge in Saskatchewan, absolutely, we could market that way. The fishing places tend to be the 5‑star ones in BC — King Pacific Lodge or Clayoquot wilderness resorts, the Four Seasons of the fishing lodges. Usually, money is not as big an issue. I really don’t have people complaining about rates that much, unlike what some of my colleagues would experience in other markets. They are really looking for the experience.”

How does Saran go about building her end of the incentives business? “I have really great relationships. First and foremost, I deal with companies that are "incentive houses". They are third parties which deal with corporations to put these full incentive programs together. There are incentive houses working with IBM’s salespeople for example, and they will ask them ‘what do you want to achieve during the course of a year?’”

They will put together a whole campaign to inspire these people to achieve those benchmarks, she notes: "Potentially, for example, if they achieve the first benchmark, they will get a little plaque. If they achieve the next one they’ll get their picture in the company newsletter. They’ll put together charts on the wall, so people can monitor their progress; they’ll have computer systems to monitor; they’ll put together a whole package to monitor these people during the course of the year and hopefully Canada will be the Grand Prize. So it is my job to have those great relationships with the incentive houses to keep pushing Canada as that prize.”

Saran developed her knowledge about the incentive sector when she worked with Tourism Toronto “a million years ago,” she says. “I have been doing it for nine years now at the CTC. People don’t tend to move around that much in this business. Some of these incentive houses have been around during my entire career, so you get to know these people really well. Hopefully, when they think of Canada, they think of me! The idea is to always keep Canada top‑of‑mind, so we always get the chance to bid.”

Saran emphasizes that “seeing is believing; initially clients might think Canada is not that sexy, but 85% of the time, when I get them up on a site inspection to see what we are proposing, they tend to book the business.”

Third of Brits spend over 10 hours researching annual holiday

(Originally published in TOURISM)

Here is a bit of insight on how consumers in one of Canada’s key markets go about making their holiday decisions: according to TravelMole’s Bev Fearis, Brits spend almost twice as long planning their annual holiday as they do considering a mortgage.

Fresh data from research which polled over 2,000 UK adults found 36% of Brits spend at least 10 hours selecting their ideal holiday, but only 21% would put the same time into choosing a mortgage. Just 11% would show the same level of commitment when selecting a bank loan.

The research was commissioned by independent personal finance website Fool.co.uk. "Who can blame people for wanting to spend more time planning their holiday than pouring over financial products?" said David Kuo, head of personal finance at Fool.co.uk. "But while a good holiday will recharge your energy levels for a few weeks, healthy finances can boost your bank balance for a lifetime."

A Canadian tourism pioneer

(Originally published in TOURISM)

As Chairman of the Board of the Canadian Tourism Commission (CTC) since 2002, the Honourable Charles Lapointe has made his mark on the organization in charge of selling Canada as a tourist destination to the rest of the world. During his five-year term, he has charted a positive course through the challenges facing the CTC and Canada's tourism industry. TOURISM discussed some of these challenges during a recent interview with Lapointe, whose term of office ended December 1, 2007:

TOURISM: The challenges Canadian tourism industry stakeholders face today, whether in terms of the funding of projects, marketing or human resources, seem to indicate that the industry has a less‑than‑favourable profile. Do you agree with this view?

Lapointe: It is always an uphill battle to convince the private sector to invest in this industry, which creates substantial spin‑offs. At the same time, it is always difficult to convince public players of the significance of tourism as a key industry in terms of revenue generation and job creation in Canada.

Recently, Secretary of State (Small Business and Tourism) Diane Ablonczy announced an additional $26 million to promote Canada for the 2010 Olympic and Paralympic Games. That is a victory. The Government of Canada has also injected funds into promoting the French presence in Canada for the 400th anniversary of Québec City.

I think that, with good projects, sustained efforts should allow us to forge alliances with more private players which will bolster the interest of the authorities in increasing their commitment to the tourism industry. The Massif project in Charlevoix is a very good example with regard to Quebec; the governments of Canada and Quebec are both investing in it, together with a private investor, who is providing over $200 million. As soon as there is a major private investment, projects seem to move forward; this is what happened at Mont Tremblant and Whistler.

TOURISM: Now, let’s talk about CTC achievements during your term. Which ones do you consider particularly noteworthy?

Lapointe: I think our greatest accomplishment was to create a new brand image for Canada. What was exciting was that the exercise took place in a framework that allowed us to consult with all regions of the country from British Columbia to Newfoundland and Labrador, and with some of our key markets. It was very useful for consolidating the ties between the CTC and Canada’s tourism industry. Canada. Keep exploring is a slogan that permeates the CTC's whole strategic approach to supporting the industry, and increasingly all the parties are getting onboard.

The second achievement worth noting is the CTC’s new strategic direction. At the beginning of the second year of my term, the board of directors and all of our committees started carefully reviewing each of our target markets. After long, and sometimes agonizing, discussions, we agreed to cut the number of markets targeted by the CTC from 15 to 8. It was a very difficult decision, because we had established ties with Italy, Holland, Switzerland, Taiwan and Hong Kong. But this turned out to be the right decision in terms of strategy because it gave us a greater impact on the markets that provided the best returns.

The same year, we also made a firm decision to adopt internet communications. This decision does not seem very original at first glance, but it was a decision which had to be made. The fact that strategies could be developed to build a direct relationship with consumers on the internet led us to change course so that the CTC no longer depends solely on the conventional range of print, radio and TV advertising media.

The third achievement, which demands constant effort, is the strengthening of the CTC’s leadership role. We had a number of opportunities to demonstrate our importance during the last five years in the wake of September 11, 2001 and SARS in Toronto, which threatened the prosperity of the tourism industry across the country. During those two crises, I think that the CTC successfully played its unifying role.

TOURISM: Which key element do you consider as basic to this leadership role?

Lapointe: There’s not much wizardry about leadership. It takes a modicum of listening skills and the ability to seek the best from our partners. Leadership also means being able to inspire confidence and encourage people working for you to be the best they can be.

TOURISM: What, in your opinion, are the most urgent challenges facing the CTC at present?

Lapointe: The first challenge, which concerns the entire Canadian industry, is obviously the steady decline in the number of tourists from the US, a phenomenon which may be observed in all regions of Canada. Our largest volume of foreign visitors is from the US, so we are trying a number of things with our partners, focusing on the largest cities because we have realized that the decline is much less for Americans travelling by airplane from California, Washington, Texas, Florida and New York.

In those cases, there was even a slight increase in 2007. We have not found the formula for attracting all of the border areas. However, I believe the CTC’s decision to cease activities in border areas was wise, because Vancouver is already active in Seattle; Toronto and Niagara Falls are active in Buffalo. They are neighbouring destinations: Windsor will be active in Detroit; and Montréal invests in Montpelier, Plattsburgh and Burlington.

Moreover, this allows us to turn our attention to other markets, such as Mexico, France and England, which perform well. The number of visitors from China is increasing. However, China represents another challenge, and I must say that the fact we did not obtain approved destination status in 2007 leaves me very perplexed. It is all the more frustrating because the US has just obtained this highly sought‑after status.

On another level, we are facing much fiercer international competition than before. New tourist destinations are being created. There is currently strong interest in Croatia and Eastern Europe in general. Laos is beginning to open up. These new destinations mean that the tourism pie is being divided into ever‑smaller slices. We must maintain our market shares and showcase Canada’s advantages as a tourist destination. By appealing to the consumer’s imagination and sense of adventure, we may have found the right tool with Canada’s new brand image; however, this will only be confirmed after testing it for around 10 years.

TOURISM: How can the tourism industry prepare itself better for the challenges ahead?

Lapointe: I am not pessimistic at all. There is definitely more work to be done to make the industry more uniform. We are a long way behind the agriculture sector, which has a much stronger lobby than we do. We are all working hard on this. The Hotel Association of Canada, regional hotel associations and the Tourism Industry Association of Canada are involved. But we still have work to do so we can eventually speak with one voice. By that I also mean being able to go into markets – not in a piecemeal way – but as a part of Canada as a whole.

Does adversity encourage us to form alliances? We have already included the importance of the role of non‑traditional partnerships in our priorities for the 2008‑2012 strategy. We would like to focus on them more. I am convinced that, of all the resources at our disposal at this time, non‑traditional partnerships constitute the best means for internationalizing the Canadian tourism industry. It is up to us to build those partnerships..

TOURISM: Thank you, Mr. Lapointe.

Mexico is becoming a high yield market for Canada

We heard recently that the Canadian Tourism Commission’s Mexico office earned a “Best tourism marketing campaign” award in Latin America from Hospitality Sales & Marketing Association International (HSMAI). The campaign (deployed in February 2007) included elements like internet banners, clickable ad words on Google and a CTC website where visitors could enter their name for a chance to win a trip to Canada. What may have gone unnoticed is just how significant a market Mexico is becoming for Canada.

Jorge Morfín is the CTC’s managing director in Mexico. “Canada is becoming a trendy destination,” he says. “There are reports of double‑digit increases every month in the number of passengers coming to Canada. Mexicans really appreciate the landscape, the friendliness and the people of Canada. Mexicans do not require a visa to enter Canada, and the country is perceived as friendlier towards Mexicans than other countries such as the US.”

Hence, Mexicans have been seeing a lot more “Sigue Explorando” (Keep Exploring) lately on billboards, fences and bus wraps. The CTC’s winning campaign in Mexico was inspired by a clever play on contrasts: “Canada: Hotter than you think; Canada: Cooler than you think”.

“Mexicans’ perception is that Canada is cool because of the snow," says Morfín. "We wanted to play with the ‘cool’ and ‘hot’ words to let them know that Canada is hot full of thrills with its indoor activities like shopping, the nightlife of Canadian cities and the fine dining; yet it is equally cool when it comes to activities like the soft adventures visitors can participate in north of the 49th parallel."

For Mexicans, culture, soft adventure, icons such as Niagara Falls or the CN tower and other Canadian icons – like the Canadian Rockies – are important, Morfín continues. Mexicans also enjoy major Canadian cities for the shopping opportunities they offer; they may not come to Canada specifically for shopping, but it is an activity they enjoy once they are here. "Canada is a good place to shop, and Mexicans, on average, spend more than Europeans when they come to Canada; we are good tourists to have over!” quips the CTC's man in Mexico.

Kanata 2007 makes a splash!

The 2007 edition of the Canadian Tourism Commission's Kanata media event and marketplace achieved every objective it set out to accomplish, according to CTC Japan's managing director Simon Pitt: “We had some great feedback, and two things stand out: the media event with over 200 members of the media attending (we had seven partners join us for ‘Come to Canada Night’), and we had a great venue which allowed us to showcase different experiences from around our five focus regions.”

Pitt says the event featured blended teas and hand massages from BC, Anne of Green Gables, shrimp and a quilting experience from PEI, wine from Ontario, maple desserts from Quebec, and country music and Alberta beef for the Icefields Parkway.

“We also had musicians from Northwest Territories and a whole range of experiences along with the new branding of Canada. We shocked a few people in terms of giving a new face to Canada. It wasn’t what they were expecting; Canada is famous for its red and white flag and great nature landscapes which are very important to us, but in terms of creating some excitement about Canada, this new approach and branding is really helping.”

Pitt points out that people can still see the Rockies and Niagara in most of the CTC’s Japanese market promotions, “but the vibrant colours, people, faces and expressions aim to make people look again. Come to Canada Night was also used to launch the ‘Clever Woman’ campaign in Japan, and just from that night alone, we had five offers from members of the media wanting to get involved with the project.”

For a moment that day, Pitt confides, his team wondered if the event would be able to accommodate all the guests because more attended than were anticipated. “We found a venue in a Tokyo’s Roppongi neighbourhood: Honey’s Garden. It is a mixed indoor‑outdoor environment with different floor levels, well‑suited for the Keep Exploring theme. People could work their way around the venue, the stage, different lighting and music and we were able to showcase our new brand and experiential video along with the different components.”

Kanata is CTC Japan’s flagship event for the whole year: two days in Tokyo, one day in Nagoya and two days in Osaka. “About 50 Canadian organizations joined us; we probably met about 120 travel agents and tour operators through the week."

“People like the opportunity to meet people in an efficient way," says Pitt. "The business environment Kanata provides is conducive to that efficiency because doing sales calls in Japan can be arduous work. Giving a high profile to Canada for one week in the year is an efficient model for tour operators and Canadian sellers to do business, while backing that up with good networking events,” explains Pitt.

This was the 18th edition of Kanata, he continues: “Every year it evolves further. One of the things we have concentrated on in the last couple of years is flexibility. We have different accommodation options and different participation levels so we can accommodate as wide an audience as possible, because coming to Japan to do business can be expensive. For first‑time organizations, we still offer a $500 dollar discount, so we really do want to be as inclusive as possible for people promoting Canada in the Japanese marketplace.

CTC‑US launches campaign to promote ski and snowboarding

With the Canadian ski season fast approaching, the Canadian Tourism Commission is kicking off a campaign to entice Americans to stunning Canadian destinations for their next ski and snowboard holiday. Developed by DDB Canada, Tribal DDB Canada, the CTC, and in partnership with the Canadian Destination Ski Consortium, the campaign includes national US print and online advertising and various out-of-home elements in San Francisco, New York, Chicago and Washington, D.C. markets.

“The new campaign communicates that skiing and boarding in Canada is not just one thing, it’s the sum of parts – the hospitality of the people, the amenities at the resorts, the contrast and variety of activities, the culture, the amazing terrain and the abundance of snow – that make Canada the ultimate ski experience,” says Yolaine Dupont, marketing specialist US Leisure Marketing at the CTC.

The creative online ads first reveal snow‑covered peaks and entices users with the line, “See why everyone comes back. Then comes back again. And again.” The ad expands to expose a mountain and trail map that prompts the viewer to fold it up. Once folded, the trails converge and form one of five shapes on the mountain, each representing a different element that makes the Canadian ski or snowboard holiday experience fabulous. A snowflake signifies the excellent snow conditions, a snowman for family fun, a martini glass for the après activities and more.

“The trail map is a creative and interactive way to connect with skiers and encourage them to start planning their next ski vacation to Canada,” says Cosmo Campbell, Creative Director, Tribal DDB Canada, Vancouver. “Not only does the piece communicate the message of amazing ski runs and conditions, but the folded trail map reveals an additional element to the Canadian ski experience for skiers to look forward to in an intriguing way.”

The out‑of‑home and print executions also create intrigue by highlighting various elements of the Canada ski experience by showing arresting images accompanied by questions. For instance in one ad, an inviting outdoor hot tub is shown with the question, “what’s a black diamond run without a hot tub to finish?” In another, a photo of an idyllic cabin blanketed in powder snow with question, “ever experience 5‑star living under 6 feet of snow?”

Targeting avid American skiers and snowboarders, both online and offline elements communicate the positioning statement, “you haven’t skied, until you’ve skied Canada” and direct them to experience a Canadian ski adventure by visiting www.canada.travel/skinow. Developed by the CTC, the site explores ski destinations from the powdery slopes of BC and the pristine high alpine of Alberta's Rocky Mountains to the majestic hills of Québec. Ski travel packages are also available on the site as well helpful travel tips and a ski newsletter. Skiers and boarders can also enter the "Canada Ski Experience of a Lifetime Sweepstakes" for a chance to win a free 12‑night/13‑day Canadian ski vacation for six people at three ski resorts (one in Québec, one in Alberta and one in British Columbia).

The online ads will appear on OnTheSnow.com, TripAdvisor.com and Travelocity.com. The print campaign will appear in Outside Magazine, Travel & Leisure, Departures, Food & Wine and in‑room Fairmont Hotel publications. Both online and offline elements launch in November and will run until April with OMD Vancouver and the CTC responsible for the media buy.

CTC Japan launches its own version of Clever Woman

Tourism marketers draw many of their ideas from successful practices elsewhere in the world. That is precisely what CTC Japan did when it launched its own version of the Clever Woman campaign recently, according to managing director Simon Pitt:

“When we were doing our planning for 2007, the importance of media in our promotions – and the importance of celebrity recommendation – emerged as key considerations. CTC Germany had been running a very successful promotion for some time. We looked at the components of what we understood the Clever Woman promotion to be, and we believed they would meet the needs of the Japanese market if we could find the right way of executing a similar campaign.”

Pitt says his team set about creating its own version of Clever Woman in Japan last spring. Elements like design became very important, getting the right web platform with interlocking components that allowed for the integration of partnerships.

Who would be the right media partners to work with? Which airline and trade partners might benefit from it? Which Japanese celebrity should be brought on board? All these considerations mattered.

“(It all came together) in a trip to Alberta’s Icefields Parkway at the end of August with TV personality Mitsuyo Kusano. After that, the crew went up to Yukon to capture another story. Between early September and October 15, we did all the hard work of incorporating and lighting up the materials, and editing the videos for the launch of the websites.”

In an attempt to leverage media partnerships, Pitt says Clever Woman also brought on board Sotokoto, a leading lifestyle magazine in Japan. “So when we launched on October 15, the December edition of Sotokoto featured six pages of articles and photographs of Mitsuyo Kusano in Alberta. Getting all these integrated components to come together can be a real challenge. For instance, we have HIS, a Japan‑based travel agent partner, working with us; as a result, visitors are drawn to the website, where they can learn about the original tour taken by our featured celebrity. They may book the trip though HIS’s website (which is linked with Clever Woman). Visitors can also take the information and book the trip through retail outlets.”

CTC Japan is working on a number of media projects at the moment, and Simon Pitt is quick to point out that getting more TV exposure matters. “We are working on developing a TV drama and it was through our connections that we were introduced to Mitsuyo Kusano. Her enthusiasm for Canada was contagious; she had been to Banff on a previous Christmas holiday, and she found the experience rewarding. So helping us and coming back during the summer was an attractive proposition for her. She gave us many ideas in terms of the design of the website, and she did write all of her blogging pieces herself.”

The challenge for a project like this is getting introduced to the right celebrity, and for them to find time slots in their diaries to make it all come together. “We were fortunate with Mitsuyo Kusano,” Pitt gleefully acknowledges. “We wanted people in Japan to be surprised about Canada. Clever Woman is all about lifestyles because there is much interest in healthy lifestyles in Japan. It has allowed us to deliver this program in a market that has been declining for 10 years. We need to try new things and take risks; this is one of the ways we are doing this.”

CTC‑Germany’s Canada Whale Night partnership to close with panache

The Canadian Tourism Commission office in Germany has been working with the Whale and Dolphin Conservation Society and other partners to promote sustainable whale watching in Canada for the last five years. It is time to move on to new initiatives, according to managing director Karl-Heinz Limberg, but not before one last “whale” of a celebration: “We are planning a fundraising event which will take place November 25 at one of Germany’s most impressive outdoor clothing and equipment stores, Globetrotter," says Limberg. "It is perhaps the equivalent of Tilley in Canada, but with tents and backpacks as well; it caters to a very high-end clientele. They have a huge store in Cologne with a water basin and a climbing wall, and this is where our last Whale Night will take place.”

Limberg expects about 800 people to attend, including many print and TV media representatives, celebrities and VIPs. The intent is to raise funds for the organization while also promoting Canada as a whale watching destination which abides by ethical considerations, through practices that minimize the impact of this activity on the whales themselves.

“We want to ensure that people know, if they go to Canada, these principles will not be taken lightly. Whale watching is a very popular product here in Germany. Thanks to Globetrotter and many sponsors who provided prizes for the auction and raffle, the night will be a memorable event indeed.”

These partners include natural cosmetics products maker Logona, an organic food chain, department stores, and even two famous German chefs who will be doing an outdoor cooking show. “Singer Katja Ebstein will be performing with her band for free, which will be a major lure for people," says Limberg. "We are selling tickets for 60 Euros, which could be perceived as expensive, but will ensure we have the audience we are looking for. Most of our Canadian destination partners offering whale watching have bought into the initiative, which means we will be featuring them prominently. There will even be whale scientists from Canada on hand to ensure the evening is as rich as can be for all participants."

CTC‑Germany masters the art of the celeb and media FAM

The cult around celebrities can be a very powerful resource, especially with the right star. The Canadian Tourism Commission’s team in Germany certainly hit the jackpot when it approached well-known singer and actress Katja Ebstein with the idea of using her as a representative of those “best-agers” (she is in her early 60s) who might just find Canada an ideal all-around destination for them.

“We travelled with Katja Ebstein to Nova Scotia last year for 7 days to stage and photograph different experiences in the province,” explains managing director Karl‑Heinz Limberg. “Katja wrote a blog about her journey. As a result the whole initiative was quite successful because FTI (our partner tour operator for this promotion) generated 14 bookings for a brand new best‑ager product.”

This year Katja Ebstein and her husband were taken to Alberta and BC, along with a photographer who closely documented their journey. “When we came back, the photographer sent out a press release with his pictures. So far, we have had six articles published in the German press and many more will follow," says Limberg. "And again, Katja will be writing a blog on this website: www.generationkanada.de. She is an extremely credible celebrity in Germany.”

Limberg notes that 92% of Germans are familiar with her name. An accomplished singer, she is regarded not only as a model, but also as a serious artist. “She has become our tourism ambassador for Canada. Wherever she goes, she promotes Canada. She is really an influence‑multiplier for us.”

He estimates this press trip (just for the photographer) will generate a media value of roughly $300,000. “On top of that, we had a media FAM going to Alberta, with seven journalists who met and interviewed Katja in Calgary; they will also be writing a number of articles about Alberta,” Limberg explains.

In light of its success, Limberg expects this program to continue with other provinces next year. “The province to be featured is either going to be Quebec or Ontario; this depends on the provinces’ willingness to come on board as funding partners,” Limberg quips with a smile, “because we need their support.”

The Rock: sense of place rings true for Canadians

Claude-Jean Harel takes in Cape Spear, Newfoundland and Labrador

(Originally published in TOURISM)

Charlotte Jewczyk, manager of market development and travel trade at Newfoundland and Labrador Tourism, confesses enthusiastically that the domestic market has always been the highest producer for her province. “It is the Maritimes and Ontario, mainly. Lately, however, we have seen growth from Quebec and Western Canada.” More importantly perhaps, Jewczyk has witnessed an increase in expenditure from those markets. “Visitors are coming in and they are seduced by experiences which are a little higher-end. Because there has been significant investment in our accommodations infrastructure at that level, we are getting a higher return from those visitors. We are meeting the demand of sophisticated travellers who want the comforts — hard days and soft nights.”

Jewczyk also notes a sustained increase in cruise activity. “The cruise sector is a promising one for Newfoundland and Labrador, particularly for circumnavigation, because we have 27 ports of call. So cruise itineraries include communities where visitors wouldn’t otherwise be able to get accommodations on land. These are expedition cruises; I know cruise tour operators whose packages for 2008 are already sold out.”

So, why are consumers attracted to these types of experiences? Jewczyk says much of it has to do with the destination’s brand. “Our branding continues to serve travellers who seek enriching, soul-finding experiences. For a number of reasons, Newfoundland and Labrador delivers that in spades. Whether it is an encounter with a taxi driver or the home-made bread, or the fresh air, it is all of those multi-layered experiences they don’t get in the big city which seem to lure them.”

The other thing that speaks to Canadians in particular, according to Jewczyk, is the culture of Newfoundland and Labrador. “It is reflected in our music, artwork and literature. Our books are read more, our artwork is seen more, all of which helps to promote the destination.”

Is there something exotic about Newfoundland and Labrador for Canadian consumers? “Absolutely,” answers Jewczyk. “I think we have come into our own as a mature destination that is off the beaten track. Our research says many clients come because they have always wanted to see Newfoundland and Labrador. Through our meetings and conventions, they are sometimes given an opportunity (through pre- and post-convention tours) to bring additional economic impact to our province.”

She explains how much of this success has to do with being authentic and experiential: “These are things which were given to us by nature, by geography, and by archaeology; (things like) our marine environment, our natural history, our people and our sense of place. There is a wonderful synergy about what Newfoundland and Labrador has to offer; it is a natural progression for us to inspire ourselves from that opportunity.”

And visitors seem to appreciate it. Jewczyk says the average length of stay in the province is between 10 and 12 days. “So we have a good return once somebody decides to come to Newfoundland and Labrador. There is no such thing as an accidental tourist here. Coming here takes a deliberate decision; you don’t just 'drop in' to visit Newfoundland.”

Nova Scotia looks to Ontario and the west for domestic visitors

(Originally published in TOURISM)

Like other Canadian destinations, Nova Scotia is feeling the downturn in the US market. According to John Somers, director of marketing in the tourism division at the Nova Scotia Department of Tourism, Culture & Heritage, “the main culprits include the dollar and the continued reluctance of Americans to travel outside their own country and to Canada.”

He says it has been a year for domestic tourism: “The biggest increases we have seen have been mostly out of Ontario; I believe in the month of July we have seen a 19% increase in road traffic. That is kind of counter-intuitive to us, but we created profile with the “Ceilidh in the Capital” promotion we did in the Ottawa area this year.”

Somers believes the strength of these marketing efforts lies in identifying a target audience aligned with the CTC’s concept of the cultural explorer. “In conversations with our customers, the type of people who are interested in coming to Nova Scotia (particularly from a medium to long-haul market) are people who are genuinely interested in engaging with the destination to which they travel, experiencing the local culture. This is strongly wrapped up in a more conventional view of Nova Scotia’s great outdoor experience; it is that kind of combination which wins the day for us.”

Somers says research results show that a lot of medium-haul travellers still see Nova Scotia very much as a ‘drive’ destination. However, his department is working with a ‘gateway strategy’ to focus on growing air travel to Nova Scotia. He says his destination doesn't have huge budgets, but continue to put “a fair amount of money” in the US market because it still represents 11% to 12 % of overall non-resident visitors. “No matter what we do,” he says, “at the moment that market seems to be declining for most of Canada. We are trying to fill beds and get people here while exploring the idea of new markets like Western Canada. Of course, Ontario, Quebec and the Maritimes have always been important markets for us, so we are applying efforts there as well.”

Overall numbers are encouraging for Nova Scotia. A year-to-date comparison reveals a 1% increase in visitors for the period between the beginning of January and the end of August, largely attributable to an increase in domestic travellers. Numbers from the US are down 8%, and down 9% from overseas countries, but up 6% from Canada. The three Atlantic Provinces make up more than half the number of visitors to Nova Scotia and 10% of domestic visitors originate from Ontario.

Fourteen per cent of visitors come from Western Canada. “Certainly the economy in Alberta is booming to the extent there is going to be huge disposable income there,” Somers recognizes. “With Alberta's economic boom, there are a lot of people moving back and forth between the Maritimes and Western Canada.”

Bienvenue Québec adjusts to the future

(Originally published in TOURISM)

Organizations which ask themselves which directions they might choose in the future are often well on the way to ensuring their own sustainability. All indications are that Bienvenue Québec and The Association des propriétaires d’autobus du Québec (APAQ) are thriving as a result of this probing approach; this year’s edition of the marketplace included a session where buyers and sellers were asked a series of questions designed by François Chevrier from the École des sciences de la gestion (ESG) at Université du Québec à Montréal (UQÀM):

“There is a will at the APAQ organization (Bienvenue Québec's owner) to allow the event’s formula to evolve,” according to Chevrier. He says APAQ is reviewing the event’s structure and is currently assessing the potential value of implementing additional components. “They have identified through their research the emerging interest in providing an even greater number of networking and knowledge-delivery opportunities for participants.”

APAQ was certainly keen on experimenting at Bienvenue Québec 2007 in Saguenay: it introduced a dynamic new roundtable concept which proved very popular, according to Marilyn Désy, the marketplace’s development and promotion coordinator. “This roundtable activity between sellers and buyers stems from sellers’ need to find out more about who the buyers are. Bienvenue Québec draws some big players, like hotel sector representatives, who know the buyers well. However, what often makes a difference in destination appeal are the small players and attractions that impart flavour to tour operators’ programs.”

During the Francophone Culture Tourism Carrefour, buyers moved around in pairs to 9 roundtables lasting 11 minutes each. Désy says many sellers in the past simply couldn’t afford to participate at Bienvenue Québec. “With this formula, the first day is devoted to francophone product, networking and market knowledge acquisition for marketplace participants in different sessions, while days two and three are regular marketplace days.”

The participating sellers certainly felt there was great value for them in this format. Pierre Derouin is executive director of Le Village Québécois d’Antan in Drummondville: “Because there were several buyers and sellers at the table, there seemed to be more ideas emerging and we received better answers to our questions. I certainly found the exercise useful.”

Julie Bouliane looks after customer service at the Parc national du Saguenay: “This is my first participation at Bienvenue Québec. I have attended other marketplaces in the past where we met our clients one-on-one, and I found it is easier to break the ice in this kind of a format. It prepares us for upcoming appointments; each participant benefited from a bit of time to introduce their activities, and we quickly moved on to asking relevant questions about what buyers are looking for. Within minutes, we had useful answers about offering potentially successful products.”

This sentiment was echoed by Catherine Boulay of ManiganSes, an international puppetry arts festival in Jonquière, who felt this was a less intimidating introduction to the tourism marketplace environment.

As APAQ’s Marilyn Désy notes, without a thorough understanding of buyer needs it is difficult for the sellers to maximize marketplace opportunities. “This type of activity encourages sellers to listen, so they gain a better appreciation for buyers’ business realities.”

Holistic approach to development at Charlevoix

Photo: Marc Archambault / Le Massif

When Daniel Gauthier (of Cirque du Soleil fame) bought the Le Massif ski resort at Charlevoix’s Petite-Rivière-Saint-François in 2002, he soon realized an elaborate development project would be needed to ensure its long-term prosperity. He wanted something that would transform the ski facility into a world-class four-season tourism operation, while preserving the landscape, the regional sense of place and the fabric of surrounding communities.

Diane Laberge is director of communications for Groupe Le Massif: “The concept evolved to include the planned development of a 150-room hotel at historic Filbaie farm, 20 kilometers away at Baie-Saint-Paul, along with a train station at the site providing rail service to shuttle hotel residents back and forth between the ski facility and the hotel.”

The rail shuttle is part of a grander tourist train plan linking downtown Québec City and La Malbaie (home to the Fairmont Manoir Richelieu). “At Baie-Saint-Paul, we plan to create a public plaza, a public market and a 500-seat show lounge,” says Laberge. She says the project will follow principles of sustainability which include the social aspects of development, aiming to provide quality, permanent employment opportunities for local residents: “We hope to bring about the kind of economic renewal that will convince the younger generation which has moved away to study or work, to come back to the region. We are working with local municipalities to create programs to give these people access to home ownership; it is more than a tourism project; it is a project with a genuine mission, a truly humanistic vision.”

The main elements of the project are scheduled to be functional by the summer of 2009, says Laberge, including the development of an aerial lift to take passengers disembarking from the train up to the base of the ski resort.

The project has caught the eye of many investors who have already launched their own development plans compatible with those of Groupe Le Massif. Olivier Lerun, executive director of Villa Marvic (owned by a France-based investment corporation), explains: "We have about 7-million square feet around Le Massif and we are seeking joint ventures to build hotels or hospitality establishments such as spas." The company's first creation is a 7,000 square feet luxury rental home with 200,000 square feet of yard space overlooking the St. Lawrence. Its heating system is geothermal, with windows designed to filter sunlight to minimize the use of air conditioning in the summer.

The Groupe Le Massif is well aware of just how compelling its project is for other developers, given how much the principles of sustainability upon which it is based resonate in consumers’ mind today, says Diane Laberge: “We don’t have all the answers yet. Sustainable development is central to our business model, but it will take us a few years to get there. Like many, we are still learning how it is done.”

Laberge hopes this approach will position Charlevoix as a model of beneficial practices for world tourism, an approach which is music to the ears of François Gariépy of Tourisme Charlevoix. “What is important about this project for the Charlevoix region and the province is that Mr. Gauthier is committed to respecting the fact that Charlevoix is a UNESCO Biosphere Reserve. He is committed to not changing the Charlevoix landscape and he agrees all new construction must not be higher than the tree tops at Le Massif.” Gariépy notes the project even includes using Le Massif as a scientific research park where Canadian advanced technology companies in the fields of sustainable energy will be invited to relocate at Le Massif.

Tourism at Charlevoix is, in itself, a heritage industry, and the new developments reflect that. The tourist train will provide an unparalleled panorama for travellers along the St. Lawrence. It will stop at villages like Les Éboulements and Ste-Irénée along the way, and will go all the way to the Pointe-au-Pic pier where the legendary steam-powered “floating palaces” called White Ships used to come, carrying high society members from New York, Toronto and Montréal at the turn of the last century.

“The project aims to attract Europeans in particular,” Gariépy confides. “We have started to send out feelers, and I am pleased to report we are getting positive responses from Canada as well. People are much more attuned to the spirit of this project than one might have believed initially.”

Canadian product needs refreshing

(Originally published in TOURISM)

Jonview’s Claire Bessette looks after the group travel segment for Canada, and both group and FIT products for Atlantic Canada. She has gained some valuable insight into what's “in” and what’s “out” in the motorcoach and group sectors, where that which is fashionable always seems to win the day.

“For Europeans, coming to Québec seems not so much in vogue these days, while Asia and Eastern Europe are more alluring. The fact Eastern European countries have opened up is very tempting for European travellers considering a multitude of factors like proximity, jet lag and price competitiveness (especially on air fare), says Bessette. “When we look at Thailand, which suffered as a destination following the tsunami, we see they are doing everything they can to bring tourists back home. This includes offering hard-to-resist products and high quality experiences.”

However Bessette notes that, as destinations go, Quebec is in a bit of a unique situation because of the linguistic dimension which is so rich in opportunities for motorcoach tour operators and suppliers: “I look after the francophone European group market, which includes France, Belgium and Luxembourg. My sense is that suppliers today must be extremely imaginative and inventive. We have to instil in people abroad a longing to come here. We must create the need to visit Québec and Canada now,” she says.

“We are not what we could refer to as an ‘at risk’ destination. There is no rush to come here; 10 years from now, Canada will still be there, as stable as it has ever been,” Bessette continues. “That’s the picture in people’s mind. Whereas in the case of places like China, people might think: ‘I should go to China before things change.’”

Bessette believes Canada is not perceived as exotic at the moment. “This is a perception we must change. We must become exotic, and we need everybody’s help in doing that. The tourism industry is in constant evolution; we must follow market trends. If we don’t, we will die.”

A bright future predicted for Canada’s motor coach sector

(Originally published in TOURISM)

Motor Coach Canada president Brian Crow writes in the November issue of Bus Ride Magazine (to a mainly American audience) that despite many challenges, Canada’s motor coach industry will keep growing.

“Coach operators in Canada face many, if not all, of the same issues US carriers face: low rates; subsidized competition; lack of awareness of the value bus companies add to the transportation system; image in the eyes of the public and government decision makers; taxes and permits; level of ridership; unfair competition from a minority of unsafe operators; operational issues such as congestion in major cities, fuel costs, seat belts, hours of service, CVSA inspections, fires, anti-idling laws; new technology such as GPS, EOBR, onboard cameras, engines, maintenance, parking and access to certain cities and parks. The list is endless.”

The majority of Canadian bus companies are family owned and operate with strong local roots, says Crow, and many began years ago by first providing school bus services, and passing the business down from generation to generation. Several older Canadian bus companies began with a four-horse stagecoach and five family generations later are operating fleets of 400-horsepower motorcoaches. However, the consolidation of the 1990s through today has greatly reduced the number of these family-owned enterprises. The industry is moving from family-owned to corporate-owned.

“While no statistics exist, Motor Coach Canada (MCC) estimates approximately 275 companies operate an estimated 3,000 motorcoaches throughout the Canadian provinces. Scheduled inter-city coach services in Canada had revenues of just under $400 million (Canada), with charter and contract at just over $550 million,” Crow writes.

“Canada experienced a decline in scheduled passenger services similar to the US over the past two to three decades, as low airfares and the love of the car absconded with many former motorcoach passengers.

“Greyhound is the dominant scheduled service carrier in western Canada and Ontario. Coach Canada also operates major scheduled services in Ontario, Quebec and into New York along with charter operations. Orleans Express is the major scheduled carrier in Quebec and Atlantic Canada. In the areas around major cities the scheduled carriers serve a large commuter base as well. Expanding city and regional transit authorities turned many short distance inter-city movements into a transit operation, displacing private carriers to more distant city pairs.”

Crow notes that Japanese tourists discovered Canada in the 1990s and created very significant business for coach operators, but with the devaluing of the Yen in the late 1990s, that business peaked and dropped slightly. He predicts that emerging markets such as China and India may lead to a growth in Canada’s inbound tourism. “If so, this will increase business for coach operators and receptive operators. Mexico and Brazil are growing markets as well but are still showing relatively low numbers. Many indicators suggest the US tour market to Canada will remain flat and well below the levels enjoyed in 2000 and 2001.”

From a charter, perspective growth is inevitable, Crow believes. “Canada just needs all its carriers to adhere to compensable rates to improve their return so they can invest in new coaches and services.

He believes the Canadian bus and tour industry is going to get better. “Canadian operators foresee a renaissance of coach travel as the result of highway and street congestion, cost of fuel, environmental sensitivity, expansion and development of more bus-only lanes, changing demographics, immigration (immigrants generally come from countries where bus travel is preferred and more acceptable), fewer taxpayer dollars available to subsidize rail and public-owned transit, technology (with the coaches themselves, with internet ability to show more people what today’s coaches are like and with how we reach more customers) and owners that will not settle for meager returns on investment.”

Are online agencies losing competitive edge?

(Originally published in TOURISM)

TravelMole's Bev Fearis reports that the balance of power in the online travel market is shifting from online agencies to suppliers, according to PricewaterhouseCoopers LLP.

The consultancy group says over the past 12 months, online travel agents have lost their competitive edge while suppliers have been able to take control of their inventory and make use of high speed broadband internet connections. Airlines and hotels are in a strong position in a market where price and convenience are still the crucial differentiators, the group believes.

Malcolm Preston, partner and travel sector leader explained: "Suppliers are now providing the lowest-cost bookings available on the internet. Those suppliers which have sufficient scale will continue to see more and more bookings made through their own sites. It's the smaller operators that will become the key clients of the aggregators."

Preston says loyalty schemes for hoteliers and reward points for airlines are proving to be very successful and provide the online supplier with another advantage over aggregators. "Aggregators struggle to provide anything significant to ensure customer loyalty. Discounts are one option but this comes directly off the bottom line. If they want to give a free flight, they have to first purchase it from the supplier."

PricewaterhouseCoopers LLP believes all online travel players will need to be more creative in the future, for example expanding into theatre tickets, restaurant bookings and theme park entry for example.

Its findings are published in a new report, called "The Distribution Revolution: the growth of supplier-only sites has been at the expense of the online aggregators".

2008 Business Travel Outlook predicts increase in Canada's travel spend

(Originally published in TOURISM)

Hospitality Trends reports Canadian companies will increase their travel spends by a solid 4.2% next year, while placing greater emphasis on green programs and expressing a stronger interest in the video options of demand management, according to the 2008 Business Travel Outlook.

This analytical white paper was produced jointly by the Association of Corporate Travel Executives (ACTE) and the Conference Board of Canada (CBOC). It formed the basis of a keynote presentation by Alexander Fritsche, Economist for the CBOC, on November 20, 2007, the final day of the ACTE Canada Education Conference in Calgary.

The top three reasons cited for higher travel spending were: a greater number of international trips to destinations other than the US, rising travel prices, and growth in domestic travel. Based on survey responses from 43 major Canadian companies, the report predicted travel managers will face tougher negotiations in 2008 over higher hotel room rates, and to a lesser extent, rental car rates. Corporate airfares for domestic travel and trans-border travel to the US are each expected to edge up by an average of 1.2% over 2007.

"The survey also revealed the growing influence of corporate social responsibility and environmental issues in shaping corporate travel policies. Nearly all the companies interviewed for the report said their organization had embraced corporate social responsibility (CSR) as a corporate goal. This is a remarkable increase from a similar survey conducted two years ago. CSR has been a key ACTE initiative since 2005," notes Hospitality Trends.

"The idea of using video teleconferencing as a travel alternative is also gaining traction in Canada. The motivating factors driving this concept are savings, better technology, and a higher quality of life from the increase in personal time not spent travelling."

The study did confirm that the majority of Canadian organizations continue to recognize the critical role of face-to-face meetings in the way they conduct their business.

Study says gays and lesbians are a "dream market" for tourism

(Originally published in TOURISM)

According to the results of a survey reported in TravelDailyNews (November 20, 2007), lesbians and gay men are a dream market for the tourism industry.

The report says 94.1% of over 6,700 American survey respondents to Community Marketing's 12th Annual LGBT Tourism Study stayed in a hotel at least one night in the last twelve months, with the median respondent staying 14 nights in hotels during that period. A hotel's reputations for gay-friendliness was cited as the top influence for choosing a hotel, followed by location near tourist attractions, location near a gay neighborhood, and free high-speed internet access.

77% of respondents said they shop for hotels and book online, while 29% said they book accommodations by phone or in person through a travel agent or directly with the supplier. 86% of respondents took at least one flight (up slightly from 2006) with a median of six flights in the last 12 months. 81% said they shop and book their flights online.

Other key findings from the study include gay and lesbian interest in adventure travel (41.8%), spa vacations (36.1% ), educational tours (31.6%), culinary trips (29.7%), eco-travel (26.2%) and casinos (22.8%). 25% attended a Gay Pride celebration where they stayed overnight, making it one of the most prominent "gay motivators" for taking a trip.

65% of respondents are gay men, 28% are lesbians, and the remaining 7% identify as bisexual, transgender, queer or intersex. The median age of respondents is 46.

Meeting planners find smaller is more productive

(Originally published in TOURISM)

A report published in TravelMole by David Wilkening finds a majority of meeting planners think small groups are far more productive than larger-scale gatherings, according to a recent poll.

"More than 55% said they believed the biggest advantage of small meetings over large groups is that they are more productive. Second in the poll at 22% was the idea that small meetings are easier to plan with fewer people to keep track of," notes Wilkening.

Small meetings offer other benefits, according to Laurie Sharp, president of California-based Sharp Events. These include the level of creativity, personalization and interaction among attendees.

The survey came out of a webcast themed "Bigger Isn't Always Better: Learn How and Where to do Small to Midsize Meetings Right."

Online leisure and unmanaged business travel continues to grow in USA

(Originally published in TOURISM)

According to PhoCusWright's U.S. Online Travel Overview Seventh Edition, the US online leisure/unmanaged business travel market continues to grow at a pace that far outstrips the overall travel market's rate of growth. The online leisure/unmanaged business travel market will surpass US$94 billion in 2007, over one-third of the total travel market (which includes offline leisure/unmanaged business and on-and offline corporate travel). PhoCusWright expects growth rates will continue to be at or near triple the rate of growth of the entire travel market through 2009. However, growth has slowed, especially at online travel agencies, which have seen their packaging sales come to a near standstill in some cases.

Quebec ski sector faces challenges

(Originally published in TOURISM)

A report by Jean-François Gagnon published in La Tribune says Quebec's ski sector faces serious challenges. A document obtained by Gagnon outlined a presentation to members of a Station Mont-Orford visioning committee by Université du Québec à Montréal (UQAM) Tourism Chair Michel Archambeault, calling attention to the decrease in the number of ski operations in Quebec since the beginning of the 1980s.

Gagnon writes: "There were 116 ski operations during the winter of 1981-1982, and only 99 ten years later. Today, there are only 80 left. There are more cooperatives, municipalities and non-profit organizations running ski operations than there ever were. These account for 50% of facilities still in operation, and that percentage is likely to increase in coming years."

Meanwhile, the number of users of those facilities has not dropped in the last 10 years: "For instance, during 1996-1997, there were 5.9 million cumulative ski/days reported, which is about 500,000 less than there were last winter," Gagnon also notes.

Gagnon reports that Archambeault's presentation explained how factors like aging and climate change might affect the use of ski operations in the future, as will a predicted shorter ski season. To compensate, the organizations which run ski operations will need to look at new snow condition enhancement systems that can perform in higher temperature environments.

"It is estimated that around $80-million will be required to improve Quebec's snow-making systems, and about $100-million are needed to improve the mechanical lift infrastructure," Gagnon writes. "The problem is that current ski operation revenues make this prohibitive."

On a brighter note, Gagnon writes that Quebeckers' environmental consciousness may favour those ski operations which put sustainable operational practices to the forefront. This would have the potential to lure new client segments.

Revisit how you approach the youth market

(Originally published in TOURISM)

Martin Cash of the Winnipeg Free Press writes: "The first clue that you're not cool is when you try to tell young prospective customers that you or your product is cool," and "The next clue is when you try to figure out what's not cool about it."

Cash's article (October 12, 2007; Don't say it's cool; ask them) refers to an address by Doyle Buehler, founder of Winnipeg's myTEGO Inc, given at a meeting of the Advertising Association of Winnipeg. He says many companies have to throw out what they thought they knew about

marketing and go for an emotional approach: "You have to immerse yourself in the youth culture. Get them to describe your product or your service. Listen to what they have to say about your company." Buehler stresses that young people are not impressed by who you are or where you're coming from; they care about how your product will affect them.

Get 'em while they're young

(Originally published in TOURISM)

World Youth Student and Exchange (WYSE) director general David Jones says young travellers of today are the trendsetters of tomorrow.

Quoted by Joachim Fischer in eTurboNews, Jones comments, "we have an opportunity to enrich the value of their travel experiences and promote responsible and sustainable travel habits."

The WYSE met this year in Istanbul for the World Youth and Student Exchange Travel Conference to share market and Industry knowledge, strengthen long-term business relationships, and plan for the future, and network with peers. With a network of over 5,000 locations in 118 countries, WYSE members provide international travel and educational experience for more than 10 million youth and students each year.

According to the eTurboNews article, WYSE unveiled its forecast for this niche market drawiong on survey responses from more than 8,500 young travelers. The study revealed that young independent travelers today average more than seven trips in their lifetime, spending an average of 1,915 euros. The average spending rose to 40% percent since the first research in 2002.

The study also revealed that youth travelers use the internet to book their trips (surged from 10 percent in 2002 to 50 percent in 2007), and that 80 percent use the internet to search for information about their trips.

For young people travel is a way of life, the study revealed. "Very few are deterred by terrorism, natural disasters or epidemics." Australia, the United States and France are the most popular destinations for young travelers, while Thailand, New Zealand and Australia are the most popular destinations for backpackers.

Managing on the heels of crisis: tourism stakeholders move on after tragedy

(Originally published in TOURISM)

Ten years ago, a bus transporting 48 passengers came down the big hill at Les Éboulements in Québec's Charlevoix region. Forty-four people (mostly members of a seniors' club) lost their lives on Thanksgiving Day in 1997 when their vehicle crashed into a ravine. In a recent report published by Québec daily Le Soleil, Sylvain Desmeules describes how 10 years later, this picturesque community which relies on tourism is trying to move on.

This was the deadliest road accident in Canada. It deeply affected not only the local population, but also the tourism industry. Before October 13 1997, group tours accounted for 50% of visitors to nearby Isle-aux-Coudres on the St. Lawrence River, welcoming 800 motorcoaches annually. Today, Desmeules writes, a good year brings in about 400 coaches.

He quotes president of the Société des établissements touristiques de l'Isle-aux-Coudres Pierre Mazière: "The accident on the hill has only heightened the current heavy trend towards a decrease in motorcoach travel."

Desmeules also talked with Éric Fournier who used to run the Charlevoix tourism association. He remembers the panic triggered by the tragedy:

"We were just recovering from Saguenay flood of 1996, and all of a sudden, new negative perceptions about the state of our roads emerged." He recalls there was a wave of booking cancellations. Government authorities went ahead with a co