Good Morning
Good Morning
Evolution Through Innovation
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TRUTH #1 Investment in tourism makes good economic sense.
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Travel-generated State and local taxes 2,500.00 1,840.00
0 (In millions) Evolution Through Innovation
2005
1,950.20
2009
2010 (projected)
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$27 Billion
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TRUTH #2 leisure Travel is a must.
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ILLINOIS VISITOR VOLUME 80 63.2 60
58.0
40 20 0 (Millions)
Evolution Through Innovation
18.2
Leisure Business 2004
17.2
Leisure Business 2009
TRUTH #3 Collaboration is not an option, it’s a necessity.
Evolution Through Innovation
Evolution Through Innovation
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Evolution Through Innovation
TRUTH #4 Tourism professionals are innovators.
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
CReate the possible service;
Evolution Through Innovation
CReate the possible service; Don’t just create what the
market needs or wants,
Evolution Through Innovation
CReate the possible service; Don’t just create what the
market needs or wants,
create what it
would love. Evolution Through Innovation
TRUTH #5 marketing is a must.
Evolution Through Innovation
Evolution Through Innovation
jennifer
Evolution Through Innovation
Margo
Evolution Through Innovation
Evolution Through Innovation
2011
ILLINOIS EVENTS SPRING | SUMMER
load Scan this QR code to down e. Illinois events to your phon r? From Don’t have a QR code reade n.com your phone, visit www.2dsca
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
State of Tourism Speech Innovations through Evolution March 17, 2011
Good Morning and Happy St. Patrick's Day. It is great to be here and great to be wearing green. Not only is this color representative of Ireland and St. Patrick, but in many cultures it represents money and growth! There are so many people that have worked hard this year. So many to thank. Especially, Governor Pat Quinn. His support and understanding of our industry is greatly appreciated. Director Warren Ribley. What a fantastic director. He also "gets it." Mayor Brad Stephens, without your generous support, we would not be able to have this conference. Mayor, what a great team member you have in Billy Anderson. The Rosemont Bureau is great. A special thanks to Chris Stephens, Grant Bailey and the entire staff at the Donald E Stephens Convention Center. Rosemont has been such a pleasure to work with. Special thanks to the ICCVB Chair, Kim Bless, your leadership in these troubled times have gotten us through the roughest time in our history. 1
I also would like to acknowledge: Maureen Riedy and Bob Navarro, the Chair and Vice Chair of the Conference, Pati Flannery and Gina Speckman the sponsorship chairs ‐‐ and boy did you two do a great job! We exceeded our goal! Maureen Riedy and Daniel Thomas, Great job on the Awards! Bonnie Heimbach, Heather Wilkins, and Johnice Chew, thanks for stepping up to the plate to volunteer your time. Phew, It doesn't take a village, it takes the entire state to put this conference on! Great teamwork. I also urge you to Tweet about the conference. Hash tag #ilgc and Facebook during the conference www.facebook.com/IllinoisTourism. Like us and share your tips on how to get the most out of the conference! We have been through a lot together. Economic meltdowns and budget challenges have made it tough. The Illinois Office of Tourism, also known as IOT, never gave up. That is because everyone in this room knows how important the tourism industry is to the economic health of the state and every community we touch. We are still here, relevant and continue to make a positive difference. As I looked back over the past several years, what has become clear is there are five truths about the tourism industry that do not change. Today, I would like to share them with you. 2
Truth #1 Investment in Tourism Makes Good Economic Sense Even in the bad times, and they have been scary, we continue to have a positive effect on the Illinois economy. Tourism supports almost 300,000 jobs. That is a lot of jobs. I would hate to imagine what it would be like if we didn't do any marketing. We generate taxes that aid to the health and wealth of our state. Our taxes support crucial services such as teachers, firefighters and police. We are 13% of all sales taxes collected in Illinois. That is a lot of money! We also grow our economy by creating business opportunities that only our industry can do. A great example is the wine industry. Who thought 27 years ago, there would be this beautiful spread in American Airlines Magazine, American Way featuring the beauty and success of the Shawnee Wine Trail. This article is the result of Guy Renzaglia planting his first vine at Alto Pass in 1984. That one grape‐vine, grew to 11 other wineries on the Shawnee Wine trail. Out of that grew complimentary businesses. One of those, SI Tours, who takes tourists on a custom tour of the wineries. Their customers love them! That first planting evolved the area into an American Viticulture area. Brainchild of Ted Wiechmann, of Owl Creek Vineyard, getting the AVA designation is huge. A designation shared by Napa Valley. Shawnee, I want to recognize you as one of my special Quantum Leap Awards! To refresh your memory, Quantum Leaps are when someone takes an idea and blows it out to un‐imaginable successes. Like Thomas Edison and the Lightbulb. Come up at the end of the speech to get your award. 3
What does this mean? We are big business. Many of you in the room have heard me say this over and over, but I think it is always worth repeating. The tourism industry's economic impact is $27 Billion dollars. That rivals Pepsi and ADM. Impressive! So, when you are out talking about our industry, convey this: we add to the wealth of the state. We create jobs. We create new businesses. We fund crucial programs through tax generation ‐‐ we are a big time Conglomerate. The Governor recognizes the importance of our industry by including funding in the FY 12 budget. I know that everyone in this room will show our thanks to the Governor by returning a great ROI for the state. It is important for us to know what is going on nationally. It is a $255 billion dollar a year business. The creation of the Corporation for Travel Promotion is great for us as Illinois is well positioned to take advantage of its marketing efforts. The Corporation will promote the U.S. to the International market to boost our international numbers. We are fortunate to have Diane Shober, Director of tourism for the State of Wyoming with us today. Diane, who sits on the Corporation's board, will talk about her role and how it affects us. We are also lucky that she lived in Chicago for a time. I know that she will keep us top of mind! International Travelers are high value. They stay longer and spend more money. The International traveler spends an average of $2,500 while traveling in the U.S. Though we have been scaled back ‐‐ we continue to have a presence in the UK, Germany, China and Canada. The brightest spot was, Canada which increased by 4%. Our small efforts in supporting trade shows and public relations garnered great gains. Imagine what we could do with an advertising campaign! 4
China is growing. With a grant to the Chicago Convention and Tourism Bureau to market Chicago and Illinois as a leisure destination, China moved from the 9th to the 6th in our list of top overseas markets. And this market is clearly forecast to grow significantly between now and 2015. Thanks to Cathy Domanico and her team who spearhead our efforts. For those of you in the International market, Helen Marano, U.S. Department of Commerce, has some excellent up to date research that will help you with your strategies. Truth #2 Leisure Travel is a must. Why? Because It makes people Happier, More Creative, Healthier, More Productive, Culturally Aware, builds relationships and is Educational, (even when you aren't aware!). The best way for me to talk about this is to take you on an imaginary road trip. You have this great car that can drive itself (not so far off!) The best feature or "APP" is Pandora that customizes your music. You start on Lincoln Highway. You are in awe of its beautiful murals. You subtly become aware that art does not always have to be in a museum. Your next stop is Ottawa on the Illinois River. How did you choose Ottawa? You recently saw this advertisement in a movie theater. That, by the way, increased hits to Ottawa's website by 30%. 5
In this imaginary world, I would like to believe these gentlemen produced this video after they took a trip that stimulated their creativity. The next morning you wake up and continue your trip back to Route 66. You decide to stop in Pontiac. You have heard about Pontiac from Matthew Comer, the UK Illinois Route 66 Ambassador. You checked out his blog and loved hearing about his trip first hand. This promotion, created by IOT, is a great example of collaboration with 30 + partners, and garnered Illinois more than 9 million media impressions that we can track, numerous radio interviews, plus so much more. Pandora begins playing Get Your Kicks on Route 66 and you know it is time to get back on the road. You stop in Springfield and are pleasantly surprised to meet President Lincoln who regales you about stories of his time as a lawyer in the Old State Capital. He talks about his House Divided speech that sends shivers down your spine. You're vaguely aware that Lewis and Clark started their tour of the U.S. in Illinois, but want to learn more, so you set your GPS towards the Meeting of the Great Rivers. You stop at the Lewis and Clark Tower, near where the famous explorers began their road trip to the Louisiana Purchase! The views are incredible. L&C Tower, You too are a recipient of a Quantum leap award While in the neighborhood, you decide to take a quick detour to the Great River Road ‐‐ because you read about it in the National Geographic as one of the top road trips of a life time! And, they were right! 6
This leisure trip leaves you relaxed, happier, healthier. Your relationships are stronger. And, your boss is thrilled that when you return back to work you are more creative and productive than ever before. So much so, your boss is encouraging you to take another vacation! And, you will because you have two more Scenic Byways to see, The Ohio River and The National Road! This road trip is part of the growth in our leisure tourism industry. Take a look at this graph and how leisure is outpacing business travel. The leisure growth is tremendous. Truth #3 Collaboration is not an Option, it is a Necessity. When we partner we are even more successful. Great partnerships are innovative and they evolve into something very special. Moline, Champaign County and Chicago all have agriculture in common. I don't know when the three started talking about collaboration, but collaborate they did! You can now see where corn is grown at Wood & Wood Farm, experience how a combine is assembled at John Deere and hear that crop being traded at the Chicago Board of Trade. In between, there are flying reindeer, a beautiful outfit to be bought, and depending on what time of year, eagles to see soaring over the Mississippi. This started out as an innovative way to attract International businesses ‐ it is now a leisure tour. Congrats to all of you for this unique partnership. The President Reagan Centennial Commission has been very collaborative in its marketing this year with California. Look at these great images! I know that there is still a lot to do, so put on your bucket list for this year to explore the Trail. 7
(Insert article about centennial) The Illinois Office of Tourism collaborates with you on a daily basis. The co‐op is just one of the many examples. It is a successful way for all of us to pool our resources. The Fall/Winter Madden co‐op that went into 17 key feeder markets generated 650,000 inquiries! Incredible! Co‐ops are so successful, we will continue to do them. We are working on the FY12 plan. I am very excited as we will be incorporating social media into the co‐op that will create even more inquiries! The JWT and Maxus team will have "office " hours during the networking lunch. Please stop by and give them your input so that we can have the most successful co‐op program ever! What a great way we work with you to extend your marketing reach. Truth #4 Tourism Professionals Are Innovators. Everyone in this room has had to innovate. Not just because of the budget challenges we've faced, but because we are naturally innovative and early adopters of new marketing techniques. The biggest, and it continues to grow, is Social Media. We did not invent it, but boy have we adapted to it. Mobile technology is exploding in the travel industry. How travelers are using it to gain information is only going to rise. A recent survey by Destination Analysts, Inc. found that more than 56% of travelers used their mobile devices before they left home to access travel information. 8
During their trip 74% use it to gain information. I would love to see what Alexander Graham Bell would think about his invention today. Talk about evolution! Be sure to catch Jim Rudny's session on Social Media where he will update you on the latest techniques. One of our biggest challenges has been how do we inform travelers in a compelling way of just what is off our main highways. We know that an added hour on a trip can result in huge returns. I am pleased to announce that we figured it out! We are in the process of developing an Illinois App that will debut this summer. It won’t just be a mobile Web site, but it will be what I like to call it, A Personal Tour Guide In Your Pocket! Margot and Jennifer (they still are our target audience) will be able to plan their trip and share it on Twitter and/or Facebook. But, the neat thing is while on the road, they can search by interest and find attractions or restaurants that encourage them to stay longer! Our customized database ITIMS, will fuel this incredible travel tool. So, it is even more important than ever for you to keep up with entering all of your information on a timely basis Innovation doesn't stop at marketing; we need to be innovative in our development efforts as well. The creativity that went into the glass balconies, aka The Ledge updated the 37 year old attraction in ways no one could have imagined. Not to be outdone, who new you could skate in the Sky! Great idea John Hancock Observatory. 9
These are excellent examples of evolving a product through innovation. Randy Stancik will be participating in the Innovative Marketing in Motion break out session. Stop by to hear him and others share ideas. You don't have to be a large attraction to gain attention. This past year, Lincoln, Illinois' own covered wagon received national coverage when it was named by the Guinness Book of World Records, The Largest Covered Wagon in the world. And they received accolades in Reader's Digest! One last fun innovation. Abraham Lincoln at your wedding? Not so far fetched, Knot Magazine just named the ALPLM one of the top wedding venues in the nation. Congratulations to all of you for a creative adaptive use of a venue! It is important that everyone in this room realizes that we are poised for something special! We have to begin today to take advantage of this new economy. The time is right to begin implementing those creative ideas and strategies that have long been placed on the back burner. As Director Ribley mentioned, the biggest opportunity we have for growing our industry is coming from the Governor's investment in High Speed Rail. Not only will it improve the routes we have now, plans are under way to expand. Imagine the possibilities. In a few short years it will be quicker and easier to get to your towns. What can your town do to capitalize on high speed rail? Perhaps it could be a destination resort and spa. Perhaps it could be History comes alive held year round? What about a Hydroplane to get you up and down the Mississippi River? And how about we give Iowa and Wisconsin a run for their money….. 10
Not only are we competing against our neighboring states for visitors, we are also competing against the all inclusive trips like cruises. What if we began thinking about ourselves as one big land cruise? What luxuries can we offer to compete head to head with them? For one thing, shouldn't we be getting in on the conversation with IDOT on the development of the trains? Could they offer local cuisine? Could each seat have a personal video screen that promotes your communities? I know that Eileen Mackevich, the President of the Lincoln Museum is already creating programming for today's trains. What could IOT help you do for tomorrow’s trains? Do we work with hotels just off the line to pick up their guests in a luxury vehicle with a bottle of water and, hmmm a cookie? Or, to play to your local strengths, is it a horse drawn buggy? Or a Deere Combine? Or the newest car by Mitsubishi? A bit outlandish yes, attention getting and setting us apart from the competition, a must. If we begin offering these types of "easy luxury" all over the state, imagine how our reputation would grow. Evolution through small innovations...... We have always been innovative. Illinois as a destination has been recognized in numerous National publications such as Frommer's, Forbes and Bon Appétit. This past November, Internationally known, Michelin produced its first ever Chicago guide! And the search engine Bing, recently named Galena as one of America's prettiest towns. We need to leverage this attention and figure out ways to update and enhance our existing products to attract new customers and compel a lapsed customer to return. 11
I MUST suggest a book! It is called: Innovation in the Service Industry By Eric Holter. Eric says: “Create the possible service; don’t just create what the market needs or wants. Create what it would love.” Think about it: Fed Ex – fast enough is never fast enough Disney World’s – fun enough is never fun enough McDonald's ‐‐ Well, you are just going to have to wait for the Keynote address on Friday morning when John Lewicki speaks on the really cool things they are doing. Plus, this afternoon's interactive panel on the Outlook for the Tourism Industry should be fantastic. A great way for you to meet the new CCTB President Don Welsh and get Grant DePorter's marketing secrets! Truth #5 Marketing Is A Must That old saying, If You Build it They Will Come, really isn't true. With so many messages thrown at us each day, you have to market and market creatively and consistently to get above the noise. That is what we have been doing. Did you know that when IOT's advertising campaign is in full swing, bookings of room nights go up and in many cases so does revpar? We also have been evolving our Website by really listening to our customers. We have a lot of customer data and by analyzing it we can continue to target our audience in the most creative and cost effective way. 12
Last year we found through OUR research about Jennifer, a bit younger, that has similar interests as Margot. By making some small changes, we can now speak to both, thus widening our audience. Our research showed that seeing is believing, So, we took the list of the getaways and put pictures to them, thus the Evolution of enjoyillinois from one or two main images to what we now lovingly call the Quilt. The Spring Quilt, allows us to do several things. One is to easily highlight the many spring deals visitors to enjoyillinois, can take advantage of. Another request was a need for a "digestible" calendar of events that gives consumers the highlights of fabulous offerings throughout the state. In addition, we have incorporated a Qr code so consumers can now download the entire calendar or just by region to their smart phones. Traveling with children is growing in popularity. Recognizing this, we created KidVentures several years ago. Research indicates that this is only going to get more popular, so we have updated KidVentures to add more content to capitalize on this trend. We are thrilled to announce a new collaboration with Midwest Living. The "Magnificent Give Away Getaway" which will appear in Midwest Living's May/June magazine. A creative partnership where readers will get to enter to win 3 fantastic giveaways around the state. Dinner on the Ledge, a behind the scenes tour at the Lincoln Museum, or a suite at Key Lime Cove in Lake County. By the way, Key Lime Cove was just named one of Budget Travels top 10 Water Parks in the U.S. And we have been innovative in our International promotions as well. Because seeing is believing also resonates with our overseas visitors, 13
we have added modified TV spots across 270 cinema screens in the UK reaching a captive audience of nearly 1 million. Because of the tremendous response, we plan to do this again this spring/summer. Mirroring our domestic trends, when we are advertising in the UK and Germany, traffic to IOTs international sites gochicago is 5 times greater! Germany continues to be a top market for us. Coverage, such as this one in America Journal showed the beauty of our state. I would also like to thank Dorothy Coyle and her staff for taking on the International PR during our budget challenges. They have done a great job in representing Chicago and Illinois to keep us top of mind! And, I couldn't resist, but taking advantage of a situation can yield great results. Just 80,000 hits on Rockford's Web site in 3 days. How Great! I also urge you to look for growing segments. Multi‐cultural marketing will grow in importance as the face of our country changes. We are already working to capture those travelers. This past year we trans‐ culturated the Springfield and Rockford sites into Spanish. We will continue to expand our efforts. Look at what we have done in these challenging times. We should all be proud of our hard work. The economy is a bit brighter, so now is the time to plan for the future. This months Travel Monitor, Suzanne Cook notes that travel will be up. What are you going to do to be ready to capture that future customer? My vision is that because we were innovative, creative, collaborative in everything we do ‐‐ and this includes marketing and product development, we will be known as the most healthy, happy, educated, 14
creative and culturally sophisticated state in the union. This will translate into every business that wants a US headquarters to consider Illinois. Let me re‐phrase ‐ Tourism drives economic wealth and if we are collaborative we can drive it higher than predicted. I look forward to working with you over the next few years to make major projects happen in Illinois. I say it every year, the IOT staff works hard to make YOU SUCCESSFUL. Please stand up and let's give them a round of applause! I talked a lot this morning about partnership. And, there is no better partnership than the one we have with JWT. In the most difficult year we have ever known in our state, they stood with us, hand in hand. JWT staff, please stand! As the Director mentioned, we will have our full funding for the upcoming spring/summer campaign. That campaign was so successful last year, in driving visits to our web site and in increasing our hotel motel tax 9%. The Power of Marketing. And though we are being frugal and using the same TV ads as last year, they still speak to the beauty of our State. It always takes my breath away when I see this ad. We are a gorgeous state with UNIQUE and DISTINCTLY Illinois offerings! Lincoln once said, "Innovation distinguishes between a leader and a follower." I know that Illinois is a Leader, Let's make our most famous Illinoisan proud. Thanks and enjoy the conference. ### 15
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
TRUTH #1 Investment in tourism makes good economic sense.
Evolution Through Innovation
Travel-generated State and local taxes 2,500.00 1,840.00
0 (In millions) Evolution Through Innovation
2005
1,950.20
2009
2010 (projected)
Evolution Through Innovation
$27 Billion
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
TRUTH #2 leisure Travel is a must.
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
ILLINOIS VISITOR VOLUME 80 63.2 60
58.0
40 20 0 (Millions)
Evolution Through Innovation
18.2
Leisure Business 2004
17.2
Leisure Business 2009
TRUTH #3 Collaboration is not an option, it’s a necessity.
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
TRUTH #4 Tourism professionals are innovators.
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
CReate the possible service;
Evolution Through Innovation
CReate the possible service; Don’t just create what the
market needs or wants,
Evolution Through Innovation
CReate the possible service; Don’t just create what the
market needs or wants,
create what it
would love. Evolution Through Innovation
TRUTH #5 marketing is a must.
Evolution Through Innovation
Evolution Through Innovation
jennifer
Evolution Through Innovation
Margo
Evolution Through Innovation
Evolution Through Innovation
2011
ILLINOIS EVENTS SPRING | SUMMER
load Scan this QR code to down e. Illinois events to your phon r? From Don’t have a QR code reade n.com your phone, visit www.2dsca
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
Evolution Through Innovation
State of Tourism Speech Innovations through Evolution March 17, 2011
Good Morning and Happy St. Patrick's Day. It is great to be here and great to be wearing green. Not only is this color representative of Ireland and St. Patrick, but in many cultures it represents money and growth! There are so many people that have worked hard this year. So many to thank. Especially, Governor Pat Quinn. His support and understanding of our industry is greatly appreciated. Director Warren Ribley. What a fantastic director. He also "gets it." Mayor Brad Stephens, without your generous support, we would not be able to have this conference. Mayor, what a great team member you have in Billy Anderson. The Rosemont Bureau is great. A special thanks to Chris Stephens, Grant Bailey and the entire staff at the Donald E Stephens Convention Center. Rosemont has been such a pleasure to work with. Special thanks to the ICCVB Chair, Kim Bless, your leadership in these troubled times have gotten us through the roughest time in our history. 1
I also would like to acknowledge: Maureen Riedy and Bob Navarro, the Chair and Vice Chair of the Conference, Pati Flannery and Gina Speckman the sponsorship chairs ‐‐ and boy did you two do a great job! We exceeded our goal! Maureen Riedy and Daniel Thomas, Great job on the Awards! Bonnie Heimbach, Heather Wilkins, and Johnice Chew, thanks for stepping up to the plate to volunteer your time. Phew, It doesn't take a village, it takes the entire state to put this conference on! Great teamwork. I also urge you to Tweet about the conference. Hash tag #ilgc and Facebook during the conference www.facebook.com/IllinoisTourism. Like us and share your tips on how to get the most out of the conference! We have been through a lot together. Economic meltdowns and budget challenges have made it tough. The Illinois Office of Tourism, also known as IOT, never gave up. That is because everyone in this room knows how important the tourism industry is to the economic health of the state and every community we touch. We are still here, relevant and continue to make a positive difference. As I looked back over the past several years, what has become clear is there are five truths about the tourism industry that do not change. Today, I would like to share them with you. 2
Truth #1 Investment in Tourism Makes Good Economic Sense Even in the bad times, and they have been scary, we continue to have a positive effect on the Illinois economy. Tourism supports almost 300,000 jobs. That is a lot of jobs. I would hate to imagine what it would be like if we didn't do any marketing. We generate taxes that aid to the health and wealth of our state. Our taxes support crucial services such as teachers, firefighters and police. We are 13% of all sales taxes collected in Illinois. That is a lot of money! We also grow our economy by creating business opportunities that only our industry can do. A great example is the wine industry. Who thought 27 years ago, there would be this beautiful spread in American Airlines Magazine, American Way featuring the beauty and success of the Shawnee Wine Trail. This article is the result of Guy Renzaglia planting his first vine at Alto Pass in 1984. That one grape‐vine, grew to 11 other wineries on the Shawnee Wine trail. Out of that grew complimentary businesses. One of those, SI Tours, who takes tourists on a custom tour of the wineries. Their customers love them! That first planting evolved the area into an American Viticulture area. Brainchild of Ted Wiechmann, of Owl Creek Vineyard, getting the AVA designation is huge. A designation shared by Napa Valley. Shawnee, I want to recognize you as one of my special Quantum Leap Awards! To refresh your memory, Quantum Leaps are when someone takes an idea and blows it out to un‐imaginable successes. Like Thomas Edison and the Lightbulb. Come up at the end of the speech to get your award. 3
What does this mean? We are big business. Many of you in the room have heard me say this over and over, but I think it is always worth repeating. The tourism industry's economic impact is $27 Billion dollars. That rivals Pepsi and ADM. Impressive! So, when you are out talking about our industry, convey this: we add to the wealth of the state. We create jobs. We create new businesses. We fund crucial programs through tax generation ‐‐ we are a big time Conglomerate. The Governor recognizes the importance of our industry by including funding in the FY 12 budget. I know that everyone in this room will show our thanks to the Governor by returning a great ROI for the state. It is important for us to know what is going on nationally. It is a $255 billion dollar a year business. The creation of the Corporation for Travel Promotion is great for us as Illinois is well positioned to take advantage of its marketing efforts. The Corporation will promote the U.S. to the International market to boost our international numbers. We are fortunate to have Diane Shober, Director of tourism for the State of Wyoming with us today. Diane, who sits on the Corporation's board, will talk about her role and how it affects us. We are also lucky that she lived in Chicago for a time. I know that she will keep us top of mind! International Travelers are high value. They stay longer and spend more money. The International traveler spends an average of $2,500 while traveling in the U.S. Though we have been scaled back ‐‐ we continue to have a presence in the UK, Germany, China and Canada. The brightest spot was, Canada which increased by 4%. Our small efforts in supporting trade shows and public relations garnered great gains. Imagine what we could do with an advertising campaign! 4
China is growing. With a grant to the Chicago Convention and Tourism Bureau to market Chicago and Illinois as a leisure destination, China moved from the 9th to the 6th in our list of top overseas markets. And this market is clearly forecast to grow significantly between now and 2015. Thanks to Cathy Domanico and her team who spearhead our efforts. For those of you in the International market, Helen Marano, U.S. Department of Commerce, has some excellent up to date research that will help you with your strategies. Truth #2 Leisure Travel is a must. Why? Because It makes people Happier, More Creative, Healthier, More Productive, Culturally Aware, builds relationships and is Educational, (even when you aren't aware!). The best way for me to talk about this is to take you on an imaginary road trip. You have this great car that can drive itself (not so far off!) The best feature or "APP" is Pandora that customizes your music. You start on Lincoln Highway. You are in awe of its beautiful murals. You subtly become aware that art does not always have to be in a museum. Your next stop is Ottawa on the Illinois River. How did you choose Ottawa? You recently saw this advertisement in a movie theater. That, by the way, increased hits to Ottawa's website by 30%. 5
In this imaginary world, I would like to believe these gentlemen produced this video after they took a trip that stimulated their creativity. The next morning you wake up and continue your trip back to Route 66. You decide to stop in Pontiac. You have heard about Pontiac from Matthew Comer, the UK Illinois Route 66 Ambassador. You checked out his blog and loved hearing about his trip first hand. This promotion, created by IOT, is a great example of collaboration with 30 + partners, and garnered Illinois more than 9 million media impressions that we can track, numerous radio interviews, plus so much more. Pandora begins playing Get Your Kicks on Route 66 and you know it is time to get back on the road. You stop in Springfield and are pleasantly surprised to meet President Lincoln who regales you about stories of his time as a lawyer in the Old State Capital. He talks about his House Divided speech that sends shivers down your spine. You're vaguely aware that Lewis and Clark started their tour of the U.S. in Illinois, but want to learn more, so you set your GPS towards the Meeting of the Great Rivers. You stop at the Lewis and Clark Tower, near where the famous explorers began their road trip to the Louisiana Purchase! The views are incredible. L&C Tower, You too are a recipient of a Quantum leap award While in the neighborhood, you decide to take a quick detour to the Great River Road ‐‐ because you read about it in the National Geographic as one of the top road trips of a life time! And, they were right! 6
This leisure trip leaves you relaxed, happier, healthier. Your relationships are stronger. And, your boss is thrilled that when you return back to work you are more creative and productive than ever before. So much so, your boss is encouraging you to take another vacation! And, you will because you have two more Scenic Byways to see, The Ohio River and The National Road! This road trip is part of the growth in our leisure tourism industry. Take a look at this graph and how leisure is outpacing business travel. The leisure growth is tremendous. Truth #3 Collaboration is not an Option, it is a Necessity. When we partner we are even more successful. Great partnerships are innovative and they evolve into something very special. Moline, Champaign County and Chicago all have agriculture in common. I don't know when the three started talking about collaboration, but collaborate they did! You can now see where corn is grown at Wood & Wood Farm, experience how a combine is assembled at John Deere and hear that crop being traded at the Chicago Board of Trade. In between, there are flying reindeer, a beautiful outfit to be bought, and depending on what time of year, eagles to see soaring over the Mississippi. This started out as an innovative way to attract International businesses ‐ it is now a leisure tour. Congrats to all of you for this unique partnership. The President Reagan Centennial Commission has been very collaborative in its marketing this year with California. Look at these great images! I know that there is still a lot to do, so put on your bucket list for this year to explore the Trail. 7
(Insert article about centennial) The Illinois Office of Tourism collaborates with you on a daily basis. The co‐op is just one of the many examples. It is a successful way for all of us to pool our resources. The Fall/Winter Madden co‐op that went into 17 key feeder markets generated 650,000 inquiries! Incredible! Co‐ops are so successful, we will continue to do them. We are working on the FY12 plan. I am very excited as we will be incorporating social media into the co‐op that will create even more inquiries! The JWT and Maxus team will have "office " hours during the networking lunch. Please stop by and give them your input so that we can have the most successful co‐op program ever! What a great way we work with you to extend your marketing reach. Truth #4 Tourism Professionals Are Innovators. Everyone in this room has had to innovate. Not just because of the budget challenges we've faced, but because we are naturally innovative and early adopters of new marketing techniques. The biggest, and it continues to grow, is Social Media. We did not invent it, but boy have we adapted to it. Mobile technology is exploding in the travel industry. How travelers are using it to gain information is only going to rise. A recent survey by Destination Analysts, Inc. found that more than 56% of travelers used their mobile devices before they left home to access travel information. 8
During their trip 74% use it to gain information. I would love to see what Alexander Graham Bell would think about his invention today. Talk about evolution! Be sure to catch Jim Rudny's session on Social Media where he will update you on the latest techniques. One of our biggest challenges has been how do we inform travelers in a compelling way of just what is off our main highways. We know that an added hour on a trip can result in huge returns. I am pleased to announce that we figured it out! We are in the process of developing an Illinois App that will debut this summer. It won’t just be a mobile Web site, but it will be what I like to call it, A Personal Tour Guide In Your Pocket! Margot and Jennifer (they still are our target audience) will be able to plan their trip and share it on Twitter and/or Facebook. But, the neat thing is while on the road, they can search by interest and find attractions or restaurants that encourage them to stay longer! Our customized database ITIMS, will fuel this incredible travel tool. So, it is even more important than ever for you to keep up with entering all of your information on a timely basis Innovation doesn't stop at marketing; we need to be innovative in our development efforts as well. The creativity that went into the glass balconies, aka The Ledge updated the 37 year old attraction in ways no one could have imagined. Not to be outdone, who new you could skate in the Sky! Great idea John Hancock Observatory. 9
These are excellent examples of evolving a product through innovation. Randy Stancik will be participating in the Innovative Marketing in Motion break out session. Stop by to hear him and others share ideas. You don't have to be a large attraction to gain attention. This past year, Lincoln, Illinois' own covered wagon received national coverage when it was named by the Guinness Book of World Records, The Largest Covered Wagon in the world. And they received accolades in Reader's Digest! One last fun innovation. Abraham Lincoln at your wedding? Not so far fetched, Knot Magazine just named the ALPLM one of the top wedding venues in the nation. Congratulations to all of you for a creative adaptive use of a venue! It is important that everyone in this room realizes that we are poised for something special! We have to begin today to take advantage of this new economy. The time is right to begin implementing those creative ideas and strategies that have long been placed on the back burner. As Director Ribley mentioned, the biggest opportunity we have for growing our industry is coming from the Governor's investment in High Speed Rail. Not only will it improve the routes we have now, plans are under way to expand. Imagine the possibilities. In a few short years it will be quicker and easier to get to your towns. What can your town do to capitalize on high speed rail? Perhaps it could be a destination resort and spa. Perhaps it could be History comes alive held year round? What about a Hydroplane to get you up and down the Mississippi River? And how about we give Iowa and Wisconsin a run for their money….. 10
Not only are we competing against our neighboring states for visitors, we are also competing against the all inclusive trips like cruises. What if we began thinking about ourselves as one big land cruise? What luxuries can we offer to compete head to head with them? For one thing, shouldn't we be getting in on the conversation with IDOT on the development of the trains? Could they offer local cuisine? Could each seat have a personal video screen that promotes your communities? I know that Eileen Mackevich, the President of the Lincoln Museum is already creating programming for today's trains. What could IOT help you do for tomorrow’s trains? Do we work with hotels just off the line to pick up their guests in a luxury vehicle with a bottle of water and, hmmm a cookie? Or, to play to your local strengths, is it a horse drawn buggy? Or a Deere Combine? Or the newest car by Mitsubishi? A bit outlandish yes, attention getting and setting us apart from the competition, a must. If we begin offering these types of "easy luxury" all over the state, imagine how our reputation would grow. Evolution through small innovations...... We have always been innovative. Illinois as a destination has been recognized in numerous National publications such as Frommer's, Forbes and Bon Appétit. This past November, Internationally known, Michelin produced its first ever Chicago guide! And the search engine Bing, recently named Galena as one of America's prettiest towns. We need to leverage this attention and figure out ways to update and enhance our existing products to attract new customers and compel a lapsed customer to return. 11
I MUST suggest a book! It is called: Innovation in the Service Industry By Eric Holter. Eric says: “Create the possible service; don’t just create what the market needs or wants. Create what it would love.” Think about it: Fed Ex – fast enough is never fast enough Disney World’s – fun enough is never fun enough McDonald's ‐‐ Well, you are just going to have to wait for the Keynote address on Friday morning when John Lewicki speaks on the really cool things they are doing. Plus, this afternoon's interactive panel on the Outlook for the Tourism Industry should be fantastic. A great way for you to meet the new CCTB President Don Welsh and get Grant DePorter's marketing secrets! Truth #5 Marketing Is A Must That old saying, If You Build it They Will Come, really isn't true. With so many messages thrown at us each day, you have to market and market creatively and consistently to get above the noise. That is what we have been doing. Did you know that when IOT's advertising campaign is in full swing, bookings of room nights go up and in many cases so does revpar? We also have been evolving our Website by really listening to our customers. We have a lot of customer data and by analyzing it we can continue to target our audience in the most creative and cost effective way. 12
Last year we found through OUR research about Jennifer, a bit younger, that has similar interests as Margot. By making some small changes, we can now speak to both, thus widening our audience. Our research showed that seeing is believing, So, we took the list of the getaways and put pictures to them, thus the Evolution of enjoyillinois from one or two main images to what we now lovingly call the Quilt. The Spring Quilt, allows us to do several things. One is to easily highlight the many spring deals visitors to enjoyillinois, can take advantage of. Another request was a need for a "digestible" calendar of events that gives consumers the highlights of fabulous offerings throughout the state. In addition, we have incorporated a Qr code so consumers can now download the entire calendar or just by region to their smart phones. Traveling with children is growing in popularity. Recognizing this, we created KidVentures several years ago. Research indicates that this is only going to get more popular, so we have updated KidVentures to add more content to capitalize on this trend. We are thrilled to announce a new collaboration with Midwest Living. The "Magnificent Give Away Getaway" which will appear in Midwest Living's May/June magazine. A creative partnership where readers will get to enter to win 3 fantastic giveaways around the state. Dinner on the Ledge, a behind the scenes tour at the Lincoln Museum, or a suite at Key Lime Cove in Lake County. By the way, Key Lime Cove was just named one of Budget Travels top 10 Water Parks in the U.S. And we have been innovative in our International promotions as well. Because seeing is believing also resonates with our overseas visitors, 13
we have added modified TV spots across 270 cinema screens in the UK reaching a captive audience of nearly 1 million. Because of the tremendous response, we plan to do this again this spring/summer. Mirroring our domestic trends, when we are advertising in the UK and Germany, traffic to IOTs international sites gochicago is 5 times greater! Germany continues to be a top market for us. Coverage, such as this one in America Journal showed the beauty of our state. I would also like to thank Dorothy Coyle and her staff for taking on the International PR during our budget challenges. They have done a great job in representing Chicago and Illinois to keep us top of mind! And, I couldn't resist, but taking advantage of a situation can yield great results. Just 80,000 hits on Rockford's Web site in 3 days. How Great! I also urge you to look for growing segments. Multi‐cultural marketing will grow in importance as the face of our country changes. We are already working to capture those travelers. This past year we trans‐ culturated the Springfield and Rockford sites into Spanish. We will continue to expand our efforts. Look at what we have done in these challenging times. We should all be proud of our hard work. The economy is a bit brighter, so now is the time to plan for the future. This months Travel Monitor, Suzanne Cook notes that travel will be up. What are you going to do to be ready to capture that future customer? My vision is that because we were innovative, creative, collaborative in everything we do ‐‐ and this includes marketing and product development, we will be known as the most healthy, happy, educated, 14
creative and culturally sophisticated state in the union. This will translate into every business that wants a US headquarters to consider Illinois. Let me re‐phrase ‐ Tourism drives economic wealth and if we are collaborative we can drive it higher than predicted. I look forward to working with you over the next few years to make major projects happen in Illinois. I say it every year, the IOT staff works hard to make YOU SUCCESSFUL. Please stand up and let's give them a round of applause! I talked a lot this morning about partnership. And, there is no better partnership than the one we have with JWT. In the most difficult year we have ever known in our state, they stood with us, hand in hand. JWT staff, please stand! As the Director mentioned, we will have our full funding for the upcoming spring/summer campaign. That campaign was so successful last year, in driving visits to our web site and in increasing our hotel motel tax 9%. The Power of Marketing. And though we are being frugal and using the same TV ads as last year, they still speak to the beauty of our State. It always takes my breath away when I see this ad. We are a gorgeous state with UNIQUE and DISTINCTLY Illinois offerings! Lincoln once said, "Innovation distinguishes between a leader and a follower." I know that Illinois is a Leader, Let's make our most famous Illinoisan proud. Thanks and enjoy the conference. ### 15
