Saturday, February 27, 2010

Congress Passes Act to Market U.S. to International Tourists

Congress passed a bill this week (to be signed by President Obama as its being supported by the White House) to market the US to international visitors.

Officials in South Florida have been lobbying for the Travel Promotion Act for almost two years. This Act creates a $10 fee charged mostly to European visitors (those foreign travelers who don’t need visas) to fund up to $100 million a year for advertising campaigns and other marketing efforts. The travel industry would provide the other $100 million in joint ad purchases, donated trips for travel writers, and other in-kind contributions.

Foreign visitors account for about half of Miami-Dade's 12 million annual visitors, the biggest share of international tourism among the country's major hotel markets, and for about 20 percent of Broward’s tourism market.

The Commerce Department says foreign arrivals hit a record 58 million in 2008, but the travel industry sees the United States losing market share in the global tourism industry as other countries spend more on promotion.

Many other countries have a cabinet-level tourism ministry and large tourism marketing budgets in competition for travelers. By contrast, the United States has a small tourism office mainly devoted to research and there has not been a national tourism campaign for over ten years when promotions amounted to less than $50 million in a 3-year period.

Local tourism marketing officials feel this is a great opportunity, especially in today’s economy, to bring foreign press here to tout our benefits to the world.
Congrats to all.

Best, Julie Wernick, HSMAInsider

Wednesday, February 24, 2010

What Consumers Are Reading About Travel... - Update

Conde Nast Traveler’s List 2010 with “the best places to stay in the world” as selected by readers of Conde Nast Traveler magazine included some of our HSMAI-South Florida area’s hotels. These included in Palm Beach: The Brazilian Court, The Breakers, Sundy House – Delray; In Miami-Dade: Four Seasons Hotel Miami, Mandarin Oriental Miami, Sagamore Hotel-Miami Beach, The Setai-Miami Beach; and In Southwest Florida: Ritz Carlton and Ritz Carlton Golf Resort-Naples.

Fodor’s Newsletter featured an article on “6 Ways to Save on Your Warm Weather Vacation”. In #2: “Don’t Pay for Stuff You don’t Need”, the editor suggested passing on a large resort if you prefer a low key holiday. In #5: “Simply Pick a Cheaper Place”, they suggested staying a few blocks inland from the beach for lower rates and mentioned this would be true for South Beach and for Fort Lauderdale.

Fodor’s Winter Escape Photo contest: “Show Us Your 80 Degrees” ends on February 28th.

The “Free Your Florida side Sweepstakes” to win a trip for 2 to Florida (plus a chance to win a new Miata convertible) was kicked off in their newsletter the beginning of this month and runs through April 30th. The Delray Beach Marriott and the Key Largo Resort Marriott are the featured hotels.

A Fodor’s article on “Spa Retreats in Paradise” featured The Canyon Ranch Hotel and Spa in Miami as the “splurge” location and The Standard in Miami Beach as the “save” location.

TripAdvisor featured Miami Beach (as #5) in their January “Top 10 Warm Weather Escapes”.

TripAdvisor’s “Travelers’ Choice 2010” list of “Top 10 Trendiest Hotels in the U.S.” included the W Fort Lauderdale as their # 2, with #3 The EPIC Hotel (Miami) and #10 Sense South Beach Hotel (Miami Beach);
and their “Top 10 Spring Break Rental Hotspots” list included Marco Island, FL at #7.

Best, Julie Wernick, HSMAInsider

Friday, February 19, 2010

“Table of Eight” – February 17, 2010 – Part 2

The HSMAI-South Florida chapter’s monthly meeting was held Wednesday. Alfredo Gonzalez, VP of International Tourism, GFLCVB, and Virginia Sheridan, President, M. Silver Associates Public Relations, spoke about international tourism and travel trends. In addition, we heard from Biki Khurana, Managing Director of Condor. The airline will be starting flights between FLL and Frankfurt on May 14th with 540 seats weekly.

In Part 1 of our “Table of Eight” column, I highlighted Alfredo’s remarks. This is a continuation of that first column. (As previously mentioned, comments are from my notes; the presentation slides will be posted on www.hsmaisouthflorida.org under resources.)

After Alfredo spoke, we heard from Biki Khurana about the tourism potential of the German market. Some positives: the favorable exchange rate, fairly strong economy (only 3% down), their love of travel, and their 6 weeks annual vacation time. This market is increasingly using the internet (up to 56%), but most still go to a travel agent to book once they’ve done their research. For this market, it is important to work with the various tour operators (there are 5 big ones as most have consolidated). A recent travel agent survey indicated 82% sell Florida most frequently (50% of people coming to a t.a. book a trip to the U.S). In addition, Biki stressed that we should have a German language website to reach this market.

Virginia Sheridan talked about changes since her last presentation at the October GFLCVB’s marketing meeting. She noted that even experts disagree on whether we were or are still in a recession or a depression. Overall there is a general feeling of a more positive outlook for 2010. There’s some good news, but still facing some problems (tight credit; high unemployment; less time off; shorter vacations, et al). 2009 was bad for all areas of travel especially the airline industry (and hotel occupancies were down 55%).
What is the 2010 outlook? More/lot of the same; recovery in 3 to 4 years; consumer spending is stabilizing; ancillary fees are increasing which people are adjusting to in the airline industry (but don’t like in the hotel industry – creating more “shopping around”).

Some good news: some small increases in domestic/biz/leisure travel; increased travel from Brazil(Latin America);Luxury travel has increased some 5-8%;gas prices will not have much of an impact; Destinations catering to luxury vacationers will see an end to visitor declines; More “escapism” travel.

Here are some of the top tourism trends mentioned by Virginia: social groups; celebrations; hospitality industry incentives, e.g. credits, discounts, etc.; low cost airlines attracting the biz travelers; average number of hotel nights may increase; unpredictable booking cycles making it harder to forecast; consumers taking the deal – value is the #1 factor in travel; “Perkonomics” – rewarding your best customers differently than your other customers as loyalty programs become more customized; the growing importance of “doing the right thing” – social and environmental responsibility.

As buzz words come and go, we always hear them first from Virginia. Back a couple years ago, at another of her presentations, we learned the word “mancation” (and you can read about this in one of my old columns) which then became as popular (and overused) as the later phrase “staycation”. So keep your ears open for the “new normal” and for “perkonomics”, as I’m sure you’ll begin to see both these terms every where in the near future. Thanks Virginia for bringing us up to date.

Just a reminder: Send in your news for inclusion in the next “Around Town” column. Best, Julie Wernick, HSMAInsider.

Thursday, February 18, 2010

“Table of Eight” – February 17, 2010 – Part 1

The HSMAI-South Florida chapter’s February meeting was held yesterday at the Design Center of The Americas in Dania Beach, FL. A crowd of about 100 people were in attendance to hear speakers Alfredo Gonzalez, VP of International Tourism, Great Fort Lauderdale CVB, and Virginia Sheridan, President, M. Silver Associates Public Relations, speak on international tourism and review trends for our industry. In addition, we heard from DCOTA about the facility as well as from Condor who will be introducing new nonstop flights from Fort Lauderdale to Frankfurt, Germany beginning May 14th.

It was so nice to see some “old” friends as well as a lot of new faces in attendance. A portion of monies from the monthly raffle were designated from this meeting for the UNICEF Children’s Fund for children in Haiti. What a wonderful idea! A surprise drawing awarded two airline tickets on Condor to Frankfurt. Congrats to Bruno Perez (RevParGuru) on his raffle win.

Alfredo highlighted ten megatrends in International Tourism. He talked about its 1) Growth: Travel is a “right”, a necessity. 2) Energy Demand: With no other alternatives to jet fuel in the near future, airline pricing will continue to be a concern. 3) Rising Climate of Fear: Some people are making decisions based on this; triggered by the news media; more people are just adapting v.v. their travel decisions. 4) Participant Economy: Consumers are in the drivers’ seat. What do consumers want/feel? 5) Experiential economy: Consumers have “live your life” attitude; they have the basics; now they are willing to pay more for experiences than possessions. 6) Socio-Demographic Disparities: Social behavior is changing attitudes; aging population is now “hip”. 7) Urbanization: By 2020, 60% are living in a city. (Need to travel to “escape”) 8) Mobility: Traveling further and farther and more often. Decisions to travel (even in Europe) made by women. Wider use of Internet/multiple channels. 9) Global Warming – most not concerned, but… 10) Sustainability: going green becoming important and changing the way they buy travel. . (Comments are from my notes; presentation slides will be on the chapter’s website: http://www.hsmaisouthflorida.org/ under resources.)

In addition, Alfredo discussed consumer trends in Europe. What has changed in the last ten years? One of the main differences was the increased use of the internet. He mentioned the importance of not just dealing with tour operators, alone, as in certain markets consumer buying online has increased to about 50% and up. Knowing your market is important as not all behave the same (Sweden, e.g. 93% do their research online and 48% actually buy online; In Italy, however, only 17% actually buy online). There are new consumers: active seniors, extended family groups, cosmopolitan consumers, and the affluent.

To be continued... Best, HSMAInsider, Julie Wernick

Wednesday, February 17, 2010

VISIT FLORIDA PUSHES “SHARE A LITTLE SUNSHINE” CAMPAIGN

In Miami Beach on February 16th, Governor Charlie Crist joined more than a hundred Florida tourism industry representatives to re-launch the grassroots ‘Share a Little Sunshine’ campaign. The Governor and VISIT FLORIDA President/CEO Chris Thompson called on all Floridians to help strengthen the state’s economy by sending a personal invitation to out-of-state friends and family, encouraging them to visit Florida.

“Together we can let the world know how great Florida truly is, and help keep our state’s world-class restaurants, resorts, parks, and attractions strong,” said Governor Crist.

In 2008, tourism returned $3.9 billion to Florida in tax revenue and generated $65.2 billion in direct economic impact. The ‘Share a Little Sunshine’ campaign has the potential to increase visitation to the state and raise much-needed sales tax dollars.

On the ‘Share a Little Sunshine’ Web site, www.ShareaLittleSunshine.org, Floridians can select one of several free video invitations or custom e-mail postcards that can be sent to friends and family directly from the site. To encourage Floridians to send invitations, a Florida vacation package will be given away each quarter to someone who sent an invitation through the site.

In addition to the video and invitation components, the integrated campaign is supported by statewide promotions and public service announcements. Through partnerships, the message of ‘Share a Little Sunshine’ appears on TV, radio, and billboards throughout the state. Also, the Governor’s Office of Film and Entertainment, Florida Lottery, Florida Attractions Association, Florida Restaurant and Lodging Association, and Florida State Parks will use the ‘Share a Little Sunshine’ for advertising and promotion. The campaign is on Facebook and Twitter as well.

Tuesday, February 16, 2010

HSMAI HOLDS LODGING CHIEF MARKETING OFFICER ROUNDTABLE

HSMAI hosted its first “Lodging Chief Marketing Officer Roundtable” in conjunction with American Express on February 1 in New York City. The invitation-only event engaged participants in an intimate forum about the “new normal” in lodging.

“The discussion was invaluable and participants shared perspectives on the various recovery scenarios and the short-term and long-term impact of the global economy in their businesses,” said Robert A. Gilbert, president/CEO of HSMAI. “Attendees also had rich dialogue regarding the new normal in media including the role and balance of print and digital.”

Lalia Rach, dean of the Tisch Center for Hospitality Tourism and Sports Management at NYU moderated the roundtable discussion. Professor Jeff Garten, Yale School of Management and an expert on global business strategy, was the keynote speaker and summarized how the global economy and consumer behavior have changed. He forecasted emerging economic trends that will likely impact hospitality and travel.

Jud Linville, president & CEO of American Express, was interviewed to identify his perspectives on “the new normal” as well as its implications on his strategic outlook, American Express brands, and the travel industry.

We are seeing some spending come back from the depressed levels of last year,” said Linville. “We need to help remove friction and help consumers feel more comfortable. They are very attentive now to how and where they spend.”

In addition, a group of industry thought leaders discussed implications of the “new normal” in print, online, and other mediums brands use to connect with consumers and spoke about the evolution of dominant media strategies. They hypothesized about which strategies would be implemented in the next 18 months.

Wednesday, February 10, 2010

VISIT FLORIDA HAS NEW SLOGAN

Visit Florida’s previous slogan, “Shine”, launched in 2007 has been replaced.
DDB Miami, the Visit Florida’s advertising agency, has developed a new integrated marketing campaign with a new tagline: “Your Florida Side”. This theme is aimed at recession-weary consumers.

The new $6.1 million campaign aims to target loyal Florida vacationers who have been here before. They are going to tell these former visitors to “come on back. This is the place you love.” The advertisements highlight the fact that a Florida trip is a central identifying factor of a vacationer’s identity. Look for this new slogan to appear in all their new promotional and marketing efforts.

Tuesday, February 2, 2010

HSMAI HONORS TRAVEL MARKETING EXCELLENCE AT ADRIAN AWARDS

HSMAI presented the winners of its 53rd annual Adrian Awards at the New York Marriott Marquis on Monday, February 1st. The Adrian Awards honor the top companies and individuals in hospitality, travel and tourism advertising, public relations and web marketing. The evening also featured specialty awards from DEPARTURES Magazine, Google, TRAVELCLICK, and TripAdvisor.

The 2010 Adrian Awards received nearly 1,100 entries from around the globe. The prestigious Platinum winners were judged to be the most extraordinary entrants from a selection of 123 Gold winners. Chosen from the Platinum winners, the highest distinction of Best of Show for the divisions of advertising, public relations and web marketing went to:

BEST OF SHOW WINNERS:
Advertising: The San Diego Zoo and their agency M&C Saatchi for their entry that spread the message of conservation of the world’s animals.
Public Relations: Tourism Queensland and their agency Cummins Nitro for the “Best Job in the World” campaign that generated 34,000 candidate applications from 197 countries vying for the position of Island Caretaker, along with worldwide media coverage.
Web Marketing:”Life of a Brown Paper Bag” video by the Albuquerque Convention and Visitors Bureau. The destination took one of its most treasured holiday traditions and added compelling content and humor to create an original holiday greeting video that was shared extensively and generated a tremendous ROI.

PLATINUM WINNERS:
Advertising (See Agency in Parentheses if applicable) --
Las Vegas Convention and Visitors Authority (R&R Partners); Lindblad Expeditions;
Maine Office of Tourism (Swardlick Marketing Group); Marriott International (McGarry Bowen); Newfoundland and Labrador Tourism (Target Marketing); San Diego Zoo (M&C Saatchi).
Public Relations --
Elite Island Resorts (Pomerantz PR); Fontainebleau Miami Beach (Weber Shandwick);
Hotel Sax Chicago (Zapwater Communications, Inc.); Moroccan National Tourist Office (Spring, O’Brien); Omni Hotels (Weber Shandwick); Pennsylvania Tourism Office (Tierney); Tourism Queensland (Cummins Nitro); VisitScotland Laura Davidson Public Relations).
Web Marketing:
Albuquerque Convention & Visitors Bureau; Dolce Hotels and Resorts; Morgans Hotel Group (ZAAZ); The Bahamas Ministry of Tourism (Weber Shandwick and phearcreative);
Tourism Queensland (Cummins Nitro); Howard Johnson (Berlin Cameron)

HSMAI Adrian Awards Gold Award winners were honored throughout the Gala and displayed during the Gold Award Gallery Reception, presented with partner Expedia Media Solutions, prior to the Gala.

In addition to its Adrian Awards, HSMAI recognized the Top 25 Extraordinary Minds in Sales and Marketing and presented two individuals with the top honor of Lifetime Achievement. The awards recognized the recipients for their significant contributions and lasting impressions on the hospitality and travel industry.

HSMAI's annual Albert E. Koehl Award for advertising and marketing was awarded to Sol Kerzner, Founder, Chairman & CEO, Kerzner International Holdings Limited. The Winthrop W. Grice Award for public relations excellence was bestowed upon Vivian A. Deuschl, Corporate Vice President, Public Relations, The Ritz-Carlton Hotel Company.

A new addition to the Adrian Awards line-up was TripAdvisor’s Travelers' Choice Best Hotels and Brand Awards. Their top brand award went to Ritz-Carlton.
The DEPARTURES Magazine Luxury Marketing Achievement Award was presented to Abercrombie & Kent Residence Club and ISM.
TRAVELCLICK paid tribute to the best integrated eMarketing program in the hotel industry with the eMarketer of the Year award, presented to Joie de Vivre Hospitality.
Google’s Wisdom of the Crowds Award, which recognizes an integrated marketing campaign that today's travelers and HSMAI members choose as the best in its class, went to the San Diego Zoo.

Monday, February 1, 2010

Florida Governor Recommends Tourism Marketing Budget

Governor Crist allocated $25 million in public funding for tourism marketing for the 2010-2011 fiscal year. The budget recommendations were announced on January 29th as VISIT FLORIDA begins its advocacy and education campaign for the 2010 Session in an effort to increase awareness and demonstrate the importance of tourism marketing.

Public investment is needed for VISIT FLORIDA to continue to provide cooperative marketing programs. Tourism marketing is a catalyst to stimulate our economy, a fact proven by the $3.9 billion in total state sales tax revenue returned to the state in 2008.

Tourism marketing is of great importance to our state:
For every $1 in tourism marketing, VISIT FLORIDA generates $55 in tourism spending and more than $3 in new sales tax is collections.
• More than 1 million Floridians are directly employed by Florida’s tourism. That means 85 visitors equals 1 Florida job.
• Tourism provided 21 percent of our total state sales tax in 2008—more than any other industry.

Christopher L. Thompson, VISIT FLORIDA’s President and CEO, released the following statement in response to Governor Crist’s budget recommendations, which includes $25 million in public funding for VISIT FLORIDA’s tourism marketing efforts:
“Governor Crist has been and continues to be a great advocate in helping Florida become the No. 1 travel destination in the world. The tourism industry deeply appreciates Governor Crist’s recognition of tourism’s strong economic impact and return on investment to the Sunshine State with his budget recommendation of $25 million in public funding for tourism marketing.”

“We look forward to continuing to work with the Governor and the legislature in an effort to demonstrate the value tourism brings to every part of Florida through the return of crucial state sales tax revenues and jobs, which benefit all Floridians.”