Navigate: Volume 6 Summer 2013 - Deloitte United States · Source: Statistics Canada –...
Transcript of Navigate: Volume 6 Summer 2013 - Deloitte United States · Source: Statistics Canada –...
NavigateNew directions in travel, hospitality and leisure Volume 6 | Summer 2013
In this issue
•Apulseon the tourism industry
•Canadiantraveloutlook
•DigitalMedia best practices in the travelindustry|ImpactofCASL
Special report
•Destinationprofile | Iceland
Navigate
This is the sixth edition of our semi-annual
publication: Navigate. Each issue provides a
pulseontheCanadiantravel,hospitality
andleisureindustryandhighlightsfuture
trends. Each issue also explores a ‘hot’
topicthatishavingsignificantinfluenceon
the industry.
Contributors
Deloitte
DylanCarr
AndrewCheng
MaureenConvery
LorrieKing
Bernice Pao
KristinaValentini
Stephen Yu
TIAC
DavidGoldstein
Ipsos
DavidPierzchala
Contents
1 What’s next?
2 A pulse on the tourism industry
6 Canadian travel outlook
14 Digital Media best practices in the travel industry | Impact of CASL
30 Destination profile | Iceland
36 Methodology
Navigate | Summer 2013 1
Lorrie King David Goldstein
What’s next?
Globalarrivalsreachedamilestonein2012surpassingonebilliontoreach1.035billion.Asia-Pacificwith7%growthwasthetopoverallregionalperformer,whilesub-regionsSouthEastAsia,NorthAfrica,andCentralandEasternEuropeallhad8%growthorhigher.Governmentscontinuetoseetourismasaneffectivedriverofrevenueinaslowgrowthenvironment.CountriessuchasCanadaandtheU.S.arelookingcloselyatcustomsandvisarequirementstoreduceprocessingtimefornewemergingmarketvisitorsandpromotemoreoff-peakseasons.TheU.S.hasalsoincreasedmarketingexpendituresintargetregionsthroughitsBrandUSAinitiative.StrongcurrencyregionssuchasCanadaandemergingmarketsinSouthEastAsiaandLatinAmericacontinuetobetargetsforinternationaltravelmarketsasEurozonevisitorshaveseentheircurrencyfallagainfrom2011levels.
Canada’ssixemergingandtransitionmarketscontinuetheirmarchtowardsalargersliceoftheCanadiantravelmarket.Currentlyrepresenting6%ofarrivals,emergingmarketswillsoonnearthe10%marketshareheldbythetraditionalfourcoremarkets(U.S.retains73%ofarrivals).Emergingmarketscontinuetogrowatratesgreaterthan5%(withtheexceptionofSouthKorea)andcoremarkets(inEurope)continuetoshrink.
OursurveyofCanadiantravellersisshowingapositiveoutlookforbothdomesticleisureandbusinesstravel.25%ofCanadiansintendtotravelmore,while68%suggestthattheyareaslikelyaslastyeartotakeapersonalvacationinthecoming12months.Domesticbusinesstravelintentionsareupas66%oftravellersareaslikelytotakeabusinesstripinthenext12monthscomparedto59%atthispointlastyear.
In this edition of Navigate,weexploretheeffectoftechnologyonmanyaspectsoftheindustry,fromdataanalyticstocrowd-sourcing,whilealsohighlightingtheregulatorychallengestravel,hospitalityandleisurecompaniesface(suchasCanada’snewAnti-SpamLaw).Weemphasizetheimportanceofmaintainingstrongconsistentcommunicationchannelsacrossmediaplatforms,especiallyinthemidstofacrisis.
Our latest ‘hot’ destination is the not always aptly named Iceland. Its climate, mediated by the North Atlanticcurrent,providesoutdoorenthusiastswithplentyofactivitiesforbothsummerandwinter.TheIcelandicpeoplewererecentlyrecognizedbytheWorldEconomicForumasbeingthemostwelcomingtotourists.TocontinueourdigitaltrendwehighlightthecriticallyacclaimedmarketingcampaignsthathelpedputIcelandonthemap(formorethanjustvolcanos).
WehopeyouenjoythislatestSummereditionofNavigateandencourageanyfeedbackorsuggestions.
Sincerely,
Partner and National TravelHospitalityandLeisureLeaderDeloitte
PresidentandChiefExecutiveOfficerTourismIndustryAssociationofCanada(TIAC)
Navigate | Summer 20132
A pulseon the tourism
industry
Navigate | Summer 2013 3
State of the industry
• Globalarrivalshaveincreased3.9%year-over-yearas ofDecember2012whileglobalreceiptsgrewby4%in2012vs.2011.Growthisexpectedtocontinuein2013onlyslightlybelowthe2012level(+3%to+4%)andinlinewithUnitedNationsWorldTradeOrganization(UNWTO)longtermforecast.
• ArrivalstoCanadafromtheU.S.grew2.2%tohelpdrivea1.8%increaseinarrivalsin2012.Canada’sothertravelmarketsgrewslightlywithemergingandtransitonmarketsexhibitinggreaterthan5%growth,whiletransitionalcoremarketscontinuedtodecline.Canada’stourism receipts increased at a reasonable 4.4% for the
12-monthperiodpoweredbynon-U.S.receiptsgrowthof5.8%.
• TheCanadianhospitalitysectorissteadywithrevenueperavailableroom(RevPAR)andaveragedailyrategrowing1.4%and1.7%overthe12-monthperiodtoMarch2013.
• OurApril2013surveyofCanadianleisuretravellerssuggeststhatCanadians’intentionstotraveltotheU.S.andwithinCanadaforthenext12monthshaveincreased relative to the previous period.
A pulse on the tourism industry
Industry snapshot – International
Globaltourismarrivals(2012) 1.035B(+3.9%)
Globaltourismreceipts(2012) $1,074.57B*(+4%)
Canada’sinternationaltraveldeficit(2012) $17.85B(+9.6%)
Industry snapshot – Canada
InternationalarrivalstoCanada–LTMasofDecember2012U.S. 11.9M(+2.2%)Allothercountries 4.5M(+0.9%)
Total 16.3M (+1.8%)
Canadiantourismreceipts–LTMasofDecember2012U.S. $7.243B(+2.4%)Allothercountries $10.107B(+5.8%)
Total $17.350B (+4.4%)
Canadian hospitality metrics
Canadianhospitalitymetrics–LTMasofMarch2013Occupancy rate 54.8%(-0.3%)Revenueperavailableroom(RevPAR) $69.21(+1.4%)Averagedailyrate(ADR) $126.4(+1.7%)
Traveller outlook
Percentageofsurveyrespondentswhoaremoreoraslikelytotraveltoaspecifieddestination forapersonalvacationoverthenext12months**WithinCanada 93%(vs.92%)TotheU.S. 79%(vs.78%)OutsideNorthAmerica 65%(vs.65%)
Percentageofsurveyrespondentswhoaremoreoraslikelytotraveltoaspecifieddestination forbusinesstraveloverthenext12months**WithinCanada 90%(vs.84%)TotheU.S. 72%(vs.73%)OutsideNorthAmerica 64%(vs.62%)
Note:DollarfiguresareinCanadianDollarsSource:UNWTO,StatisticsCanada,STRGlobal,Ipsos;CanadianTourismCommission.July2010–June2012report;OntarioMinistryofTourism/ PKFHotelindustrystatisticsforCanada*Convertedfromoriginalvalueof$1,075BUSDusingBankofCanada’s2012averageexchangerateof1USD=0.9996CAD**Travelleroutlook%inparenthesesrepresentresponsesfromSummer2012Navigatesurvey(April2013–May2013vs.April2012–May2012)
Navigate | Summer 20134
TraveldeficitwidensasCanadianscontinue
to spend more abroad
Canadian tourism receipts (from foreigners), payments (by Canadians abroad) and resulting travel deficit (InCAD$Billions)
Source:StatisticsCanada–InternationalTravelAccount
• Totalinboundtravelreceiptsgrewapproximately4%whilespendingabroad grewalmost7%in2012,causingCanada’sinternationaltraveldeficittoincrease to$17.8billion
• Canada’straveldeficitwiththeU.S.grewby$1.4billiontocloseat$14.5billion, asCanadiansspent7.8%morethanin2011
• ThismaybedrivenbythecontinuedstrengthoftheCanadiandollaraswellasincreasesinpersonaldutyexemptionsannouncedinJune2012
• Americantravellersspentonly2.4%moreinCanadathispastyearinlinewith the 2.2% increase in visits
-$30
-$20
-$10
$0
$10
$20
$30
$40
Receipts Payments Travel deficit
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Navigate | Summer 2013 5
EmergingmarketsfuelCanada’sarrivalsgrowth
Canadian arrivals from key international markets2011 vs. 2012
Source:CanadianTourismCommission–TourismSnapshot
• A2.2%increaseinU.S.arrivalsandan11.2%increaseinemergingmarketarrivalsdroveanoverall1.8%increaseinyear-over-yeararrivals
• China(+18.3%),Mexico(+7.3%),Brazil(+6.4%)andIndia(+5.3%)alongwitharesurgentJapan(7.2%)continuetooffsetlossesinsomeofourcoremarkets
• Australia(+6.5%)wasthesolebrightspotamongtheoverall-1.1%declineincoremarketarrivals
-10%
-5%
0%
5%
10%
15%
20%
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
U.S.
YO
Y G
row
th (
2011 v
s. 2
012)
-10%
-5%
0%
5%
10%
15%
20%
0
100
200
300
400
500
600
700
800
China Mexico Brazil India Japan Australia France Germany U.K. South Korea
Vis
ito
rs t
o C
anad
a (0
00s)
Emerging Core
2011 2012 Growth Decline
Navigate | Summer 20136
Canadian travel
outlook
Navigate | Summer 2013 7
WhereandhowareCanadianstravelling?
Leisure visits in past 12 months
Mix of business and leisure visits in past 12 months
• Youngtravellerscontinuetotakethemostleisuretrips
• 35-44year-oldstookthemosttripscombiningleisurewithbusinesstravelinthepast12months
0
1
2
3
4
5
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
18-24 25-34 35-44 45-54 55+
Number of trips involving overnight stays
Num
ber
of
trip
s
0
1
2
3
4
5
6
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
18-24 25-34 35-44 45-54 55+
Number of trips involving overnight stays
Num
ber
of
trip
s
Navigate | Summer 20138
WhereandhowareCanadianstravelling?
(continued)
Very or somewhat likely to take a vacation to the following destinations over the next 12 months
Basis point change from Winter 2012 survey
(1 to 3/5+ nights)
Canada -/+2
U.S. +3/-
Caribbean -4/+2
Europe (other) -4/-2
France -2/-1
U.K. -2/-1
South America +1/-1
Spain -2/-1
Germany -2/-1
Greece -1/-1
Australia -1/-1
China -1/-1
Africa -1/-1
Middle East -1/-1
Canadiantravellersstatingtheyaresomewhatorverylikelytotakeavacationof5ormorenightshasincreasedcomparedtolastsurvey,whiletheirintentiontotakeashortertripwithinCanadahasnotchanged
• IntentionstotakeashortvacationtotheU.S.haveincreased,likelyduetoastrongCanadiandollar,morefocusedmarketingandincreaseddutyallowancesfortravellersstayinglessthanaweek
• TravellersmaybetappedoutonshortstaysintheCaribbean,butaremoreinterestedinlongerandpotentially more exploratory vacations
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Middle East
Africa
China
Australia
Greece
Germany
Spain
South America
U.K.
France
Europe (Other)
Caribbean
U.S.
Canada
1 to 3 nights 5 or more nights
Navigate | Summer 2013 9
Regionalflavour
What is the likelihood that you will take a vacation for 5 or more nights to the U.S. over the next 12 months?
• WesternCanadiansaremostlikelytovisittheU.S.inthenext 12 months
What is the likelihood that you will take a vacation for 5 or more nights to the U.K., France, Germany, Greece or Spain over the next 12 months?
• OntariansarethemostavidEuro-tripplanners. OntariohasthehighestproportionofrespondentsintendingtovisitU.K.,France,GermanySpainandGreeceinthenext12months.
Ontario
ON
Western Canada
BCAB SK MB
0%
20%
40%
60%
80%
Western Canada
Ontario Quebec AtlanticCanada
% stating somewhat or very likely
0%
5%
10%
15%
20%
Western Canada
Ontario Quebec AtlanticCanada
U.K. France Germany Spain Greece
Navigate | Summer 201310
Regionalflavour
(continued)
Number of leisure trips in the past 12 months (Quebec vs. rest of Canada)
Compared to last year, are you more or less likely to travel to the following destinations for a personal vacation over the next 12 months?
More likely
• ComparedtotherestofCanada,Quebecersaremostlikelytotakeatleastoneleisuretripwithmorethanhalftakingonevacationinthepast12months
Less likely
• Comparedtolastyear,QuebecersaremorelikelytotravelabroadandsecondmostlikelytotraveltotheU.S.thananyotherCanadianregion.TheywerealsolesslikelytotravelwithinCanadathaninthepast 12 months
Quebec
QC
1%
57% 28%
7%
5% 1% 1%
0
1
2
3
4
5
6-10
0% 10% 20% 30% 40% 50% 60%
Rest of Canada (%) Quebec respondents (%)
0%
10%
20%
30%
U.S. Overseas
Western Canada Ontario Quebec Atlantic Canada
0%
5%
10%
15%
Within Canada
Western Canada Ontario Quebec Atlantic Canada
Navigate | Summer 2013 11
Regionalflavour
(continued)
• 76%ofAtlanticCanadiansareplanningatripgreaterthan5nightswithinCanadain2013
• AtlanticCanadiansweremostlikelytocombinebusiness trips with leisure travel in the past 12 months
What is the likelihood that you will take a vacation for 5 or more nights within Canada over the next 12 months?
Mix of business and leisure visits in past 12 months
Atlantic Canada
NL
NB
PE
NS
0
10
20
30
40
50
60
70
80
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
Western Canada Ontario Quebec Atlantic Canada
Per
cent
stat
ing
so
mew
hat
or
very
like
ly
0
1
2
3
4
5
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
2013Summer
2012Winter
2012Summer
Western Canada Ontario Quebec Atlantic Canada
Num
ber
of
trip
s
Navigate | Summer 201312
Canadianscontinuetospendmoreoverseas
• Canadianstravellingoverseasspent $399(onaverage)lessontravelcomparedto6monthsago
• Domesticspendingdeclinedmarginallywhilespendingsouthoftheborderincreased 16%
• OntariansweretheonlyregionalgrouptoincreasetheirspendingwithinCanada
• WesternCanadianscontinuedtospendthemostthoughhavefallen12%from ayearago
Average spending on travel in past 12 months
Average spending within Canada
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
Canada U.S. Overseas
Average spending ($): Summer 2013 survey Winter 2012 survey Summer 2012 survey
$0
$500
$1,000
$1,500
$2,000
$2,500
WesternCanada
Ontario Quebec AtlanticCanada
Summer 2013 survey Winter 2012 survey Summer 2012 survey
Navigate | Summer 2013 13
ThemajorityofCanadianschoosedestinationsbasedondesiredclimateor
weatherandseektosavemoneyonlodging,butdifferencesexistbetween
respondentswithchildrenandthenationalaverage
Not including price, what are your three most important decision criteria when selecting one destination over another?
• Householdswithchildrenhad thesametoptwocriteria(climate andaccommodations)astheoverallsurvey, but presence of friends and family,lengthoftravel,andpresenceofattractions were more important criteria forchoosingadestinationthansightseeing,sceneryorculture andheritage
0 20 40 60 80
I have friends orfamily there
Sightseeingopportunities
Accommodations
Climate/weather
Length oftravel/distance
Scenery
Culture and heritage
Presence of attractions(i.e. theme parks,
museums, etc)
% of respondents (with children) % of respondents (total)
Navigate | Summer 201314
Digital media
best practicesin the travel industry
Navigate | Summer 2013 15
Digitalmediacanbeusedtoengagecustomers,
driveinsightfulanalytics,andmanageintimesofcrisis
• Digitalmediaisnolongerrestrictedtoonlycorporatewebsitesasitalsoincludesblogs,photoandvideosharing,micro-blogs,socialnetworking,location-basedservices, and mobile applications.
• Corporationsareincreasinglyallocatingdedicatedstaffandmoneytoleveragethecapabilitiesofsocialmediaininnovativeways.Almost75%ofairlinesplantoincreasetheirsocialmediabudgetin2013.
• 71%ofcompaniesworldwidesaidtheywouldgrowtheirdigitalmarketingbudgetsin2013,upfrom68%in2012.Only20%ofcompaniesareplanningtoincreasetheirtraditionalmarketingbudgetsin2013,comparedto 16% in 2012.
• Thereisagreateropportunityfortravel,hospitalityandleisurecompaniestoleveragedigitalmediaplatformstoincreasecustomerengagement,driveinsightsfromanalytics,andmanagecrisismoments.
Digital media
Customer engagement
Brandmanagement
Data analytics
Crisismanagement
Sources:http://www.aviationweek.com/Blogs.aspx?plckBlogId=Blog:7a78f54e-b3dd-4fa6-ae6e-dff2ffd7bdbb&plck PostId=Blog:7a78f54e-b3dd-4fa6-ae6e-dff2ffd7bdbbPost:0744d4df-12a7-47a0-9320-ccf14a3c37c8http://www.prdaily.com/Main/Articles/Delta_Airlines_tracks_the_pulse_of_its_customers_r_13967.aspxhttp://www.emarketer.com/Article/Online-Offline-Marketing-Budgets-Worldwide-Rise-2013/1009744
Navigate | Summer 201316
Digitalmediaischangingthelandscapeofdataanalyticsfor
travel,hospitalityandleisureorganizations
The four dimensions of Big Data in travel, hospitality and leisure (THL)
1 VolumeTravel data will more than double in the nextfiveyearsasaresultofdigitizedpassengerinformationontickets/reservations,andinformationfrom mobile devices and social media.
2 VarietyDatacomesinawidervariety,suchas transactional,web,text,image,audio,video, blogs,ratingsand‘likes’.
3 VelocityItisnolongersufficientforTHLorganizationstocollectanddisseminatedata–itmustbedoneinreal-time or near real-time.
4 ValueDatamustbeleveragedinsuchawaysoastoimproveinternaloperatingcapabilitiesandcustomerexperience, and drive incremental revenue.
Sources:IDCManufacturingInsightswhitepaper(http://www.slideshare.net/HPenterprise/data-and-analytics-focus-in-the-travel-and-transportation-industry-by-idc-manufacturing-insights);http://www.deloitte.com/view/en_US/us/Services/additional-services/deloitte-analytics-service/4bc6282334daa310VgnVCM3000003456f70aRCRD.htm#;http://img.lightreading.com/evi/pdf/ipsi0911_toc.pdf;http://www.prnewswire.com/news-releases/analytics-makes-a-positive-difference-in-the-recovering-travel-industry-130568863.html;Gartner:AgendaOverviewforAnalytics,BusinessIntelligenceandPerformanceManagement,2013
Big Data represents a largely untapped source of customer, product, and market intelligence for THL organizations
Key stats on data
• 6billionmobilephonesinusetoday,representing 87%oftheworld’spopulation
• 1.2billionmobilewebusersintheworldtoday,representing17%oftheworld’spopulation
• 30billionpiecesofcontentsharedonFacebook every month
• Morethan60billionintelligentdevicesexistintheworld today and is expected to rise to more than 200billionby2015
Navigate | Summer 2013 17
Alotteryandgamingcorporationisabletouseanalyticsto
understand and identify fraudulent behaviours
• DataanalyticscanhelpTHLorganizationsaddressenterpriseriskissuessuchasfraud.
• Lotteryandgamingcorporationisabletousedataanalytics to review 13 years of lottery data to determine the level of insider wins in that period.
• Themethodinvolvesdeterminingdataanomaliesthatwouldidentifypatternsofinappropriatetickettransactions.
Sources:DeloitteAnalytics-SampleCaseStudiesandWinsdeck
18 Navigate|Summer2013
Anairlineisabletoleveragetraditionalandsocialmedia
data to build better customer response teams
• AnalyticscanbeusedintheTHLindustrytoderiveactionableinsightsfromlargeamountsofdatainareassuchascompanyoperations,workforceefficiencyandcustomer satisfaction.
• Forexample,anairlineexecutiveisabletouseadvancedanalyticsandvisualizationtechnologytoaccessreal-timedataonhis/hermobiledevice.
• Theanalyticsoutputsincludeinteractivesummarydashboardsshowing:- Each airport is colour-coded based on company
objectivesandplans;- Performanceagainstthecompany’sfive-yearplan;- Performanceofkeyareassuchascustomerservice,
flightoperations,employees,network,andfinances;- Employee stats, employee recommendations, and
competitorinformation;and- Real-timelisteningonsocialmediachannels
referencingeachairport.
• Inthiscase,theexecutiveisabletoensurethatairlinestaff are able to respond immediately to any potentially harmfulsocialmediasentimentstogreatlyimprovecustomer satisfaction and experience.
• Visualizationplatforms,whichgatherandpresentreal-timeoperationalanddigitalmediadata,effectivelyalloworganizationstounderstandtheirbusinessanddrivedecisionmakinginanentirelynewway.
Analytics can be used in the THL industry to derive actionable insights from large amounts of data in areas such as company operations, workforce efficiency and customer satisfaction
Sources:Descriptionsandphotostakenfrom DeloitteUSAReal-timeAirlineDashboardVideo
http://www.deloitte.com/assets/Dcom-UnitedStates/LocalAssets/Multimedia/us_ba_DeloitteAnalyticsHIVE_AirlinesDashboard_01092013.wmv
Navigate | Summer 2013 19
VailSkiResorts’EpicMixappdrivesengagementand
providesinsightfulanalytics
A versatile and popular application• VailResorts’EpicMixappoffersskiersandridersaseamlesswaytodigitallycaptureandsharetheirmountain experience.
• TheappavailableforiPhoneandAndroidswasdownloaded by more than 40,000 people in 2011 andcontributedto275,000Facebookpostings.
• Theappallowscustomerstotracktheirverticalfeetskied,seelivestatsfromthemountain,usetheirsmartphoneasliftticketsandtoviewtheirphotostakenbyresortphotographers.
Customer engagement and data analytics• Thecustomerexperienceincorporateschatand photosharing,andgamifiesthemountainexperiencethroughintegrationofpoints,levels,andpins.
• Theappprovidestruevaluetothecustomerand, inexchange,thedatacollectedallowsfor insightfulanalytics.
• Dataontheruns/ticket,liftusageandhowthesebehaviourschangebasedonweatherorholidays,providedeepinsightfortargetingcustomersandoptimizingVail’sproductandservicestrategies.
Social media and beyond• InadditiontotheEpicMixapp,Vailalsodrives customerengagementthroughitsFacebook, Twitter,andInstagramsites.Vail’smainwebsite alsoincludesvideos,livewebcamfeeds,images andacompanyblog.
• Announcedin2013,thenextgenerationEpicMixappwillbeEpicMixAcademy,whichwillallowskischoolstudentsofallagestoearndigitalpinsforcompletingcertainskillsorclassesandtracktheirprogress.
Vail Resorts’ EpicMix app offers skiers and riders a seamless way to digitally capture and share their mountain experience
Sources:http://news.vailresorts.com/article_display.cfm?article_id=1181
http://www.digitalbuzzblog.com/vail-resorts-epicmix-photo-rfid-2011/
http://www.enterprisemobilehub.com/blogs/pcalento/ski-resorts-rfid-lift-tickets-and-enterp
http://www.forbes.com/sites/christophersteiner/2012/12/03/the-top-10-ski-resorts-in-the-united-states-for-2013/2/
http://denver.cbslocal.com/2013/03/06/next-generation-of-epicmix-focuses-on-ski-school/
Navigate | Summer 201320
GAdventuresisleveragingcrowdsourcingtobuildtheir
brandanddriveengagement
What is crowdsourcing?• Crowdsourcingistheprocessofgettingideas,workorfundingfromacrowdofpeople.ThisconceptisalreadybeingleveragedintheTHLindustrytobuildcompanybrandimageanddrivecustomerengagement.
G Adventures is using crowdsourcing• TravelcompanyGAdventuresinpartnershipwithThePlaneterraFoundationhaslaunchedacrowdsourcingcampaigncalled‘GProject’tosourceideasthatwillmakeapositiveimpactontheworld,underthecategoriesoffreedom,beauty,knowledgeandcommunity.
• Topideasaredeterminedbyapublicvotewith fourfinalistschosenbyapanelofesteemedjudges. Thefinaliststhenattendthe“SummitintheJungle”(CostaRica)togivea“DragonsDen-type”pitchto threejudges.Thewinnerreceives$25,000tomaketheir idea a reality.
Implications for THL organizations:• Crowdsourcinginitiativessuchasthisbuildbuzzaroundtheorganization,driveengagementacrossmultipledigitalmediaplatforms,andcangenerateincredibleamounts of brand awareness.
Crowdsourcing is the process of getting ideas, work or funding from a crowd of people. This concept is already being leveraged in the THL industry to build company brand image and drive customer engagement.
Sources:http://dailycrowdsource.com/crowdsourcing-basics/what-is-crowdsourcing
http://www.thisisyourplanet.com/
Navigate | Summer 2013 21
The social media channels of a company can be critical in a
moment of crisis
Social media is the direct interface of the company during a moment of crisis• CostaCruises(subsidiaryofCarnivalCorporation&plc)operatesacorporatesitealongwithTwitter,Facebook,YouTubeandacompanyblog.
• ThedemiseofCostaConcordiaonJanuary13,2012resulted in the proliferation of conversations about the crashinthesocialmediaspace,whichamplifiedbetweenJanuary13to16,2012.
• Fora3-4hourperiodonJanuary14,allCostaCruisescorporate sites were inaccessible and social media represented the sole direct interface with the company.
Implications for THL organizations• Organizationsmustreadilyensureastrongsocialmediastrategyinordertolisteneffectivelytodiscussions,analyzetrendsandrespondinaneffectiveandtimelymanner.
• Coordinatingconsistentmessagesacrossalldigitalmediaplatformsinanefficientmanneriscriticaltokeepingcustomersup-to-dateandwell-informed,especially in moments of crisis.
Focus of conversations around the Costa Cruises crash Impact of crisis
20%
Decline in bookings by some cruise companies in months following the tragedy.
12%
Decline in pricesof major cruise lines in Europe compared to the year before the tragedy.
14%
Immediate drop in share price after the tragedy on January 13, 2012.
40%
The percentage the share price rebounded from the immediate drop to its high point on December 19, 2012.
Sources:
Graph:http://www.prmoment.com/904/costa-concordia-pr-disaster-and-how-it-hit-social-media.aspx
http://www.slideshare.net/Brendan/costa-concordia-digital-crisis-management-the-first-48-hours
http://business.time.com/2012/03/08/in-the-wake-of-the-costa-concordia-tragedy-cruise-prices-drop-by-12/
http://m.theglobeandmail.com/globe-investor/dont-bet-on-smooth-sailing-for-norwegian/article7341640/?service=mobile(statsonshareprice)
http://money.cnn.com/2013/02/13/investing/carnival-stock/index.html
http://www.thespec.com/living/travel/article/887634--rough-sailing-for-cruise-industry-after-concordia-disaster-carnival-triumph-ordeal
Drawing comparisons with the Titanic
Thoughts and prayers for missing people
Dissuaded from taking a cruise as a result
Criticism/negative impressions of Costa
Shocked by the tragedy
Sharing news of rescue attempts
All other themes
Sharing individual stories from the shipwreck
Sharing news of the crash
Sharing images of wreck
Blaming the captain
0% 5% 10% 15% 20% 5%2
Navigate | Summer 201322
Facebook,YouTubeandTwitterarethemostregularlyused
digitalmediatoolsforCanadiantravellers
Which of the digital media tools do you use regularly for your travel experience?
Canadian travellers use Facebook, YouTube and Twitter most regularly in their travels.
Which of the digital media tools do you find to be the most useful for your travel experience?
Canadian travellers find TripAdvisor, Google Plus+ and Tumblr to be the most useful in their travels.
0% 20% 40% 60% 80% 100%
Tumblr
Yelp
Yahoo Answers
Trip Advisor
Google Plus+
YouTube
Mo
re u
sag
e
Source: Ipsos
0% 20% 40% 60% 80% 100%
YouTube
Yahoo Answers
Yelp
Tumblr
Google Plus+
Trip Advisor
Mo
re u
sefu
l
Source: Ipsos
Navigate | Summer 2013 23
Websitesandblogsaremostoftenusedafteratrip
Which digital media tools do you use during the various phases of your vacation travel experience?
Source: Ipsos
Note:Pre-purchaseincludesreading reviewsandresearchingdestinations.Activitieswhileonatripincludedetermining which attractions or restaurants to visit in the area. Post-tripincludespostingpicturesand writingreviews.
0%
10%
20%
30%
40%
50%
60%
70%
80%
Pre-purchase Activities while on trip Post-trip
Web sites & blogs
Social networking (e.g., Facebook, LinkedIn)
Mobile applications
Micro-blogging (e.g., Twitter, Tumblr)
Photo and video sharing Websites (e.g., YouTube, Flickr, Instagram)
Navigate|Summer201224
Canada’sAnti-Spam
& Legislation the impact on the THL industry
Navigate | Summer 2013 25
Anti-Spam Legislation on the THL industry
Privacyconcernslimitconsumerusageofapplicationsandwebsites,
akeygrowthchannelformanyTHLorganizations
About Canada’s Anti-Spam Legislation (CASL)• IndustryCanadapassedBillC-28–FightingAgainstInternetandWirelessSpamActintolawinDecember2010,alsoknownasCanada’sAnti-SpamLaw(CASL). It is expected to come into full force in 2014, one year afterIndustryCanadafinalizestheregulations.
• AccordingtoarecentDeloittepoll,only13%oforganizationssaytheyunderstandCASLrequirementsandhavebeguntoapplythemtotheirbusinesses.
• CASLwillbethetoughestanti-spamlawintheworldandismuchtougherthanitsU.S.counterpart–CANSPAM.
• Texts,tweets,Facebookpostsandemailswillallfallunder its purview.
• Infact,CASLanditsregulationswillapplytoanyelectronicmessagesentinconnectionwitha‘commercial activity’, even if it is sent without the expectationofmakingaprofit.
• SimplyencouragingparticipationinacommercialactivityisenoughtopotentiallygetcaughtbythisAct.
Canadians want control of their privacy1
Number of respondents
Consumers fear the consequences of using unsecured web sites2
Sources:Deloittepublication,Managing the message, December2012
(1)CanadianMarketingAssociation,April2011(2)DeloitteSocialMediaMarketingChallengesMarketIntelligence,May2011
Industry Canada passed Bill C-28 – Fighting Against Internet and Wireless Spam Act into law in December 2010, also known as Canada’s Anti-Spam Law (CASL). It is expected to come into full force in 2014, one year after Industry Canada finalizes the regulations.
0% 20% 40% 60% 80% 100%
Do not likeadvertising tracking
Do not want to share theirlocation with app owners
Want the choice to opt in orout of targeted mobile ads 85%
77%
74%
0% 10% 20% 30% 40% 50% 60% 70%
Unauthorized access tosocial media accounts
Increase in virus ormalware downloads
Increase in unwantedemails or text messages
Revelation of secrets
Increase in frequencyof internet ads 60%
50%
49%
42%
27%
Navigate | Summer 201326
CASLhasstrictrulesinthreespecificareaswith
serious penalties for non-compliance
Spam
Includes unsolicited commercial emails, includingfalse,misleadingordeceptivesubjectlinesand headers
Spyware Includes the installation ofcomputerprogramsonanother’s computer
Email address Includesharvesting,phishingandpharming of email addresses
Enforcement and risksTheCanadianRadio-TelevisionTelecommunicationsCommission(CRTC),thePrivacyCommissionerofCanada,andtheCompetitionBureauwillallplayaroleinenforcingCASL.Inadditiontosharinginformationamongthemselves,theseagenciescancoordinatewithforeignjurisdictionstopursueviolators.
Organizations that do not comply risk serious penalties• Upto$10 million per violation for corporations• Criminal chargesfororganizationsthatmakefalseormisleadingrepresentationsregardingthesenderorsubjectofacommercialelectronicmessage(CEM)
• Civil chargesenablingbusinessesandconsumerstoseekdamagesof$200perviolation,toamaximumof$1 million per day
• Personal liabilityforcompanyofficersanddirectorswhoknowinglyinfringethelaw
• Vicarious liability for companies whose staff do not comply
• Investigationofspammessages,whichrecipientscansendtoaGovernmentofCanadareportingcentre.Activitiesrelatedtophishing,emailharvestingandtheuseofspyware/malwarewillalsobeinvestigated
According to a recent Deloitte poll, only 22% of organizations have a customer relationship management (CRM) system equipped to handle CASL.
Navigate | Summer 2013 27
Over80%ofCanadianssaytheyreceiveunsolicited
communicationsfromTHLorganizationswithsomefrequency
Considerations for THL organizations:Whiledigitalmediaisincreasinglycriticaltothesuccess ofTHLorganizations,industryprofessionalsshouldactivelyconsiderthefollowinginanefforttoensurecompliancewithCASL.
1. One year:OnceCASLisenforced,THLorganizationswill have one year to ensure compliance.
2. Consent: Thegeneralruleisthatbusinessesmustobtain express or implied consent from recipients beforesendingacommercialelectronicmessage.
3. Third-parties: Inensuringcompliance,organizationsneedtoconsidertheiraffiliationsandcommunicationswithandthroughthirdpartiesandcustomerdataacquiredthroughthirdparties.
4. Mobile:CompliancetoCASLismoredifficultwithmobilethanitisthroughemailcommunications.
5. Preparation: OrganizationsthattakeproactivemeasurestoensurecompliancetoCASLwillbe inbetterpositiontosucceed.TheCASLreadinessroadmap outlined below can help businesses getstarted.
How often do you receive unsolicited communications from THL organizations?
Source: Ipsos
• OverhalfofCanadianssaytheyreceiveunsolicitedcommunicationsfromTHLorganizationsatleast once a month
• 10%ofCanadianssaytheyreceiveunsolicitedcommunicationsfromTHLorganizationsona daily basis.
Engage Assess Implement Operationalize
EstablishaCASLworkinggrouptorepresentfirm-wideprocessesandpractices.Theworkinggroupmaybecomprisedofrepresentatives from marketing,eventplanning,informationtechnology,legalandprivacy.
Review current practices andidentifythegapsbetweencurrentdigitalcommercial communication practicesandCASLrequirements.
Developimplementationplansbasedonthegapsbetweencurrentdigitalcommercial communication practicesandCASLrequirements.
Appointanindividual (e.g.aPrivacyOfficer, RiskOfficerorMarketingDirector)toberesponsibleformonitoringandmanagingcompliance.Such compliance activities will enable businesses to relyontheduediligencedefense.
Never
Occasionally
Monthly
Weekly
Daily35%
10%
26%
10%19%
Navigate | Summer 201328
Canadiansaremostlikelytowelcomesalesandpromotional
communicationsfromTHLorganizations
How likely are you to welcome communication from THL organizations for the following?
Source: Ipsos
• More than half of Canadiansareverylikelytowelcome sales and promotional communications from THLorganizations
• Almost 60% of Canadiansarenotverylikelyornotlikelyatalltowelcomeschedulednewsletters
• Only a third of CanadianswelcomeupdatesfromTHLorganizationsonwhattheirfriends/networkaredoing
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Not at all likely
Not very likely
Somewhat likely
Very likely
Sales and promotions Scheduled newsletters Request for feedback/reviews
Updates on what your friends/network are doing
Navigate | Summer 2013 29
THLcompaniesarestartingtogetreadyforCASL
• Atravelagencyclientis‘refreshing’customerconsentpriortowhenCASLcomesintoforcetoensuretheagencyhasexpresspermissiontocontinuetosendemailsandothermarketinginformationthroughdigitalchannels(e.g.,Facebookblasts,Twittercampaigns).
• SinceitwillbeanoffenceunderCASLwhenitisinforcetosendanemailtoaprospectiveclientaskingforhisorherpermissiontosendthemmarketingmaterials,anairlineisembarkingnowona‘referafriend’program.Othercompaniesarebuyingmoreprospectlists in 2013 to try and increase their current customer basebeforeCASLisinforce.
• Ahotelcompanyisreviewingitspartnershipagreements(e.g.,contracts)withitsthirdpartiestoensureitcancontinuetoexchangeguestinformationincompliancewithCASLandcontinuetoparticipateinjointmarketinginitiativesthroughemailand social media.
• Atraveltouroperatorisconductingacomprehensivereviewofitsunsubscribelanguageforcustomerswhoreceive e-newsletters to ensure they can easily opt out ofreceivingthesenewslettersthroughtheirmobiledevices if they choose.
“ManyTHLcompaniesuseemailand
otherdigitalchannelstocommunicate
with customers. But no one wants a
$10millionfineundertheActortobe
seenasaspammer.Takingtimeto
understandCASL’sbasicrequirements
nowisworththeeffort.Additionally,
someTHLclientshavetoldusthattheir
CASLcomplianceeffortshavehad
unexpectedbenefits,suchasbeingableto
clean up customer and prospect lists, or
receivingfundingforCRMsystem
enhancements,oracceleratingthe
implementationofadigitalmarketing
campaigntotestdrivecustomer
sentiment around certain products before
CASLisinforce.”
Miyo Yamashita,
Partner,EnterpriseRiskServicesand
ConsumerBusinessTorontoLeader
Navigate | Summer 201330
Destination profile
Iceland
Navigate | Summer 2013 31
Overview: Iceland
• AbankingcollapsefollowedbyavolcaniceruptionbroughttheireofmainlandersonbothsidesoftheAtlantic;however,theresourcefulIcelandicpeoplehaveturned a series of bad news stories into raised awarenessofIcelandasauniqueandpristinetraveldestination.
• ThoselookingformoreinformationabouttheNordicislandwouldlikelystumbleacrossacharmingsocialmediacampaignandstunninglybeautifullandscapes.
• In2000,theannualnumberofvisitorsexceededthetotalresidentpopulationforthefirsttime.Sincethen,tourismhasgrownbyabout7%onaverageeachyear.
• Inthelasttenyears,visitsandforeigntourismconsumptionhavejumped142%spurringthedevelopment of a sophisticated tourism industry.
• WiththehelpofIcelandair(whorecentlyrecordeda2012profitincreaseof22%)theKeflavikairportwelcomed 647,000 visitors in 2012, up 20% from 2011.
Iceland facts• Population:321,857(Feb2013estimate)
• Capital:Reykjavik(theGreaterReykjavíkAreainthesouth-westaccountsforalmosttwo-thirdsofthecountry’spopulation)
• Governance:Theworld’soldestparliamentarydemocracy(establishedby theVikings)
• Island’sclimateissurprisinglytemperategivenitsnorthernlatitude
- Averagesummertemperatures:10˚Cto13˚C(riseashighas20˚Cto25˚C)
- Averagewintertemperaturesrangefrom0˚Cinthelowlandsto-10˚C inthehighlands
Performance highlights• 2012Arrivalsbyairandsea:672,000(+18.8%YOY)
• OvernightstaysforQ12013areup25.7%,comparedtoQ12012
• Ranked9thinEuropeand16thoverallintheTravel&TourismCompetitivenessIndexconductedbytheWorldEconomicForumin2013
• Ranked1stforattitude of population toward foreign visitorsand5thforquality of the natural environmentintheTravel&TourismCompetitivenessIndexconductedbytheWorldEconomicForumin2013
• Offers9,863roomsin343hotelsandguesthouses;Increaseditshotelsupplyby5.2%andoccupancyrateby4.5%in2011
• 2012winnerofBestinTravelReadersChoiceAwardforcountryandcapitalcity
Sources:WorldEconomicForum–TravelandTourismCompetitiveIndex;StatisticsIceland;IcelandicTouristBoard; KeflavikAirportStatistics(http://www.kefairport.is/English/Shortcuts/Statistics/Passengers-Statistics/2012/)
0
20
40
60
80
100
120
140
Arr
ival
s (0
00s)
Exp
end
iture
s (m
illio
ns)
Pre banking crisis Insolvency Volcano Recovery
0
100
200
300
400
500
600
20112010200920082007200620052004200320022001
Foreign tourism expenditures (ISK) Arrivals
Navigate | Summer 201332
Marketing
• Followingthe2010volcaniceruption,thetourismmarketingcampaignInspiredbyIcelandwonthe2011goldattheEuropeanEffiemarketingcommunicationsawardsfordeliveringthebestresultsfromsocialmedia.
• Thecampaign,knownforitshighparticipationratesfrombothIcelandicpeopleandforeigners,continuestothis day and recently completed an initiative in 2012 callingonpeopletorenameIcelandtobetterrepresentwhat it meant to them.
• Inthreeweeks,morethan10,000peoplerespondedwithsuggestionsthatincludedLavaland,Puffinland,WonderlandandthePromisedLandwithselected‘shortlistwinners’earningtripstovisitIceland.
May – December 2010 campaign impact
73,000 £127.4m 627%
Additionaltourists £2m Return on marketinvestment
Atacostof£2m,thecampaigngeneratedincrementaleconomicbenefitstotheIcelandiceconomyof£127.4mandincreasedvisitornumbers27%againstforecasts.
Culinary/entertainment tourismKnownforitswelcomingpeopleandauthentic communityfeel,severalinnovativemarketingcampaignshaveemergedtobringgreaterattentiontoIceland’sculinaryheritageandartsandmusicscene.
MostrecentlyThe Largest Supper Club in the World was promotedaspartofReykjavik’sFood&FunFestivalwhichjoinsanumberofentertainingcampaignsincludingarovingmobilerestaurantthathosteddinnerpartiesatdramatic sites around the country, and an open-house experienceinwhichthecountry’spresidentencouragedlocalstoopenuptheirhomesandgivetouristsanauthentic Icelandic meal and welcome.
Proportion of visits by season
Marketing winterWithwintercomesshorterdarkerdays,buttheIcelandicTourismBoardisseekingtoglamourizetheshorterdaysasan excuse to relax in the healthy thermal baths and explore the many cultural aspects of Iceland that are often overlookedduringthesummerseason.
Business travelTohelpsmooththedistributionoftravellersthroughouttheyear,corporatetravelisalsobeingtargetedby‘MeetinReykjavik’,theofficialconventionbureauforthe capitalregion.
ThesloganMeet in the middle has been adopted to draw attention to the fact that Iceland is conveniently located forcross-Atlanticmeetings,withfivehourflightsfromeasternNorthAmericancitiesandthreehoursfromCentralEurope.
Sources:EuropeanEffieAwards
http://pursuitist.com/iceland-hosts-the-worlds-largest-supper-club/
http://www.icenews.is/2011/04/06/short-winter-days-could-become-an-iceland-marketing-tool/
http://www.cnn.com/2012/12/21/travel/iceland-business
Winter
Spring
Summer
Autumn13%
49%
17% 21%
Navigate | Summer 2013 33
Tourismmarketingsuccess
Iceland’s presence across several social media platformsisthecharmingvoiceofayoungislandinthemiddleoftheNorthAtlanticwhosimplywantstobeagoodfriend.Theproject,createdbysocialmediaagencyTakkTakkonbehalfoftheIcelandicTouristBoard,putsagreatdealofeffortintocraftingeachresponsetomaintaintheuniquevoiceanddevelop a connection with every conversation
Theprojectrecognizesthateachsocialmediatoolhasitsownstrengthsandweaknesses.Forexample,Facebookhasbeenagreatwaytofindpeoplealready interested in Iceland while Tumblr has been a powerfulwaytoconnectwithyoungpeoplewhomay not be as familiar with Iceland but are more comfortableexpressingthemselvesontheinternet.
TheTourismBoardrecognizestheimportanceofgooddigitalcontentbutproductionispurposelylow-fiandspecificallydesignedtonotfeelliketypicaltouristadvertising.Often,theTourismBoardisjustassuccessfulincuratingexcellentcontentfromothervisitors,savingtheorganizationthecostofproducingexpensive promotional videos.
Iceland wants to be your friend!
Source:TakkTakk
Navigate | Summer 201334
Access
Annual passenger total through Keflavik International Airport
Airline passengers by country of origin
• Duetoitslowpopulationdensity,IcelandisrankedhighlybytheWorldEconomicForumforitstourisminfrastructure,withhighrankingsinairportdensity,presenceofmajorcarrentalcompaniesandhotelrooms per capita.
• Iceland’smaininternationalcarriersIcelandairandWowAiroperateoutofKeflavikInternationalAirport(about50kmsouthwestofReykjavík)whileSAS,Norwegian,EasyjetandPrimeraAiralsoofferscheduledflightsyear-round.MoreflightsareofferedduringthesummermonthsbyLufthansa,GermanWings,andDeltaAirlinesamongothers.
• Icelandairannounceda15%increaseinflightsfor2012includingnewdestinationsintheoutdoors-lovingmarketsofAnchorageandDenver.
• WowAir,afteracquiringIcelandExpress,offersdiscount fares from Europe but plans to expand into the U.S.in2014.
• TheReykjavíkDomesticAirportcannotsupportthesamenumberoflargeaircraftasKeflavikbutisthehubforflyingwithinIcelandtomanyofthemaintownsaswellastoGreenlandandtheFaroeIslands.
• Roadsinthesouth-westarewell-maintained,howevermany of the mountain roads and interior of Iceland are impassableinthewinterandrequire4-wheeldrive.Busservicecanbeinconvenientandlengthytoreachdestinations around the country.
• Inasummer2011internetsurveybytheIcelandicTourist Board, 46% of international visitors rented a car totravel,37%tookregularbusroutesand36%tookorganisedtourroutes.
• Bysea,thereisaferrywhichoperatesbetweenDenmarkandeasternSeyðisfjörður.It’spopularityhasfallen19%to12,505visitorsin2011(from15,356in2007).
• CruiseshippassengerstoIcelandhaveincreasedfrom27,000passengersin2000toapproximately66,000in2011,growingapproximately9.3%peryear.95%ofvesselsthatvisitIcelandberthinReykjavik.
Sources:http://www.cnn.com/2012/12/14/travel/iceland-tourism-grimsson– CNNstoryquoted
http://www.businesswire.com/news/home/20121017006019/en/Record-Traffic-Continues-Iceland-Tourism
http://www.icelandreview.com/icelandreview/daily_news/Iceland%E2%80%99s_Wow_Air_Sets_Its_Sights_on_US_Market_0_398600.news.aspx
KeflavikAirportStatistics http://www.kefairport.is/English/Shortcuts/Statistics/Passengers-Statistics/2012/
Icelandic Tourist Board
0
2,000
4,000
20122011201020092008200720062005
Pass
eng
ers
(00
0s)
1,8162,019
Annual passenger traffic
2,1821,991
1,6581,791
2,112
2,380
Other countries
Canada
Sweden
France
Denmark
Norway
Germany
U.K.
U.S.
Iceland
36%21%
2%
9%9%
6%5%
4%
4%
4%
Navigate | Summer 2013 35
Product
• Inanefforttomaintainconsistentlyhighserviceandenvironmentalstandards,theVAKINNqualityassuranceorganizationwasintroducedbytheIcelandicTouristBoard in 2012 as a service for the tourism industry. Only tourismoperatorsmeetingtheVAKINN´ScomprehensiveassessmentcriteriawillearntherighttocarryIceland’sofficialqualitylabel.Anaccommodationratingsystemalreadyinplacewillbereplacedbythenew system in 2013.
• Iceland’soffthebeatenpathcredentialscontinuetobeamajordrawforhikersandoutdoorenthusiasts,whilealsoattractinginternationaltouristswithnicheofferingssuchashorsebackridingtours,helicopterandheli-skiingtours,andbicycleandmotorbiketours.
• NatureandsceneryisconsideredIceland’stopstrengthby international travellers, but many arts and music festivalsincludingDesignMarch,ReykjavikFashionFestival,ReykjavikArtFestival,LÓKALtheatrefestival,aswellasinternationalfilmandliteraryfestivalsareattractingmoreculturaltravellers.
• Icelandhasbeenconsideredgoodvalueformoneysince its currency devaluation, but as the country’s economy recovers the tourism product becomes less affordable.From2011to2013,Icelanddropped40placesontheWEF’sTravelandTourismCompetitivenessReporttoa121strankingforpricecompetitiveness.
• VisitorsgenerallypaidISK90,055(USD$774)fortheirairfare/cruiseshipticket.Thoseonpackagetourscommonlypaid$2,134forthetrip.Packagesoftenincludedaccommodation(90.7%),flight/cruiseshiptickets(67.5%),sightseeingtours(57.2%),andarentalcar(26.4%).
Included in package tour (%)
What are Iceland’s strengths in the tourism industry?
0%
20%
40%
60%
80%
100%
Accommodation Flight/Cruise tickets
Sightseeingtours
Rental car
0% 10% 20% 30% 40% 50% 60% 70% 80%
English/other languageswidely spoken
Unique/exotic/exclusive
Accessibility andinfrastructure
Signage and information
Service quality
Culture and history
Activities
People and hospitality
Nature and scenery 72%
31%
12%
11%
9%
9%
9%
8%
7%
36 Navigate|Summer2013
MethodologyDeloitte’s Travel, Hospitality & Leisure team and the
Tourism Industry Association of Canada (TIAC) research
and identify key travel trends across the Canadian and
global marketplaces.
In March 2013, we conducted an online survey, which
polled 1,155 Canadians aged 18 to 65+, to gauge their
insights on future travel trends.
Navigate | Summer 2013 37
The survey panel (travellers)
Gender
Male 48%
Female 52%
Age
18 – 24 6%
25 – 34 22%
35 – 44 10%
45 – 54 29%
55 – 64 22%
65+ 11%
Geography
Western Canada 26%
Ontario 33%
Quebec 21%
Atlantic Canada 6%
Household income
Under $50,000 22%
$50,000 – $99,999 35%
$100,000 – $149,999 20%
$150,000 – $199,999 4%
$200,000+ 2%
Undisclosed 17%
Total respondents 1,155
13-3385
Deloitte,oneofCanada’sleadingprofessionalservicesfirms,providesaudit,tax,consulting,andfinancialadvisoryservices.DeloitteLLP,anOntariolimitedliabilitypartnership,istheCanadianmemberfirmofDeloitteToucheTohmatsuLimited.DeloitteoperatesinQuebecasDeloittes.e.n.c.r.l.,aQuebeclimited liability partnership.
DeloittereferstooneormoreofDeloitteToucheTohmatsuLimited,aUKprivatecompanylimitedbyguarantee,anditsnetworkofmemberfirms,eachofwhichisalegallyseparateandindependententity.Pleaseseewww.deloitte.com/aboutforadetaileddescriptionofthelegalstructureofDeloitteToucheTohmatsuLimitedanditsmemberfirms.
DeloitteistheleadingprofessionalservicesfirmprovidingsolutionstotheTravel,Hospitality&Leisureindustry.
TheTourismIndustryAssociationofCanada(TIAC)isthenationalprivate-sectoradvocateforCanada’s$66.9billiontourismsector.ItperformsauniqueandpivotalroleinensuringtheCanadianbusinessandpolicyenvironmentworksfortourismbycommunicatingitsimportancetoCanadians,advocatingpositivemeasures,andlobbyinggovernmentforaction.
Ipsosisaglobalsurvey-basedmarketresearchcompanythatprovides a fresh perspective on issues and trends of the day. Ownedandmanagedbyresearchprofessionals,Ipsosconducts10millioninterviewsayear,toservemorethan5,000clientsinmore than 100 countries.
Foundedin1975,Ipsosisamongthelargestsurvey-basedresearchfirmsintheworld,withmorethan8,000employeesin60-pluscountriesworld-wide.InNorthAmerica,ithasmorethan 1,700 research professionals and support staff located in 26offices.
©Deloitte&ToucheLLPandaffiliatedentities.