Tourism Powers Economic Development
Tourism Powers Economic Development George Zimmermann Chairman, Longwoods International USA [email protected]
Today’s Presentation
1/ ROI Case Study
2/ Halo Magic
Developing a singular brand for tourism and economic development.
Research demonstrates strong lift from destination promotion and visitation on both tourism AND economic development image.
Pure Michigan ROI Case Study
Four Keys to Pure Michigan
A powerful brand that inspires confidence and produces results. ROI data that proves effectiveness. Industry leadership and unity behind the data and the brand. Sufficient budget to promote the brand.
Pre-Pure Michigan Budget Declines
9
$8.0 8
$7.4
Millions
7
$6.4 $5.7
6
$5.7
5
4
3
2001
2002
2003
2004
2005
2005: Rock Bottom
Doing less every year, due to budget cuts. Demoralized, fragmented private sector. Business declines in middle of decade-long Michigan recession.
Ranked 50th in hotel occupancy rate. One bright spot: got first advertising return on investment results for 2004 (Longwoods).
First ROI Data (2004)
MI spent $3.5 million on advertising.
Generated 990,000 trips to state. Those visitors spent $164 million. And paid $11.5 million in state taxes.
MI got $3.27 in taxes for each ad dollar spent. Source: Longwoods ROI and Image Study
2006: Budget Increased to $13.2 Million
We created a new brand for the state:
“Sunrise”
Industry Rallies for Pure Michigan
Pure Michigan Budgets
$30
$29.0 29.00
$28.0 25.00 $25.0 25.00
$25
Millions
$20
$17.5
$15
$17.0
$13.2 13.20
$10 $5.7 $5
$0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
‘Pure Michigan’ Out-of-State ROI Summary
2006 2007 2008 2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016*
Pure Michigan Total * Regional + National
Advertising Investment $6.2M $6.8M $6.4M $12.7M $9.9M $14.3M $13.7M $13.0M $12.4M $12.7M $12.9M
Trips Generated 0.7M 1.3M 1.1M 2.1M 2.0M 3.2M 3.8M 4.1M 4.1M 4.6M 5.0M
New Visitor Spending $188.0M $287.4M $270.3M $624.0M $605.9M $997.4M $1,129.7M $1,237.1M $1,219.4M $1,396.6M $1,532.3M
State Taxes Generated $13.1M $20.1M $18.9M $43.7M $42.4M $69.8M $79.1M $86.6M $85.4M $97.8M $107.3M
ROI $2.11 $2.94 $2.97 $3.44 $4.30 $4.90 $5.76 $6.66 $6.87 $7.67 $8.33
$121M
32M
$9,488.2M
$664.1M
$5.49 12
The Halo Effect: 2014 Tourism Campaign Impact on Michigan's National Tourism Image
Exciting Family Destination Adult Atmosphere Unique Sightseeing Entertainment Popular Affordable Worry Free Sports & Recreation 0
10
20
30
40
Percent Who Strongly Agree
Aware*
Unaware
50
2010 Michigan Governor’s Race
Republican Rick Snyder makes Pure Michigan a campaign issue. He calls for consistent funding at $25 million per year. MichaelFinney
For a campaign created during the previous DEMOCRAT administration!
Snyder Team Cancels “Upper Hand” Campaign
Michael Finney
Michigan 2010 Upper Hand Commercial
Michigan’s Marketing Brand
Michigan’s Marketing Brand
Pure Michigan: Off to the Races
Detroit Tigers
Water
Coke
Agriculture
Kroger
Non-Profits
Tourism Partners Promote the Brand
2014 Pure Michigan Advertising Partners
44 advertising partners in 2014.
Invested $5.7 million in Pure Michigan ads.
$20,000 to $500,000 per partner.
Started with 2 partners @ $230k in 2002.
Monroe MI Partner Radio Ad
Traverse City MI Partner TV Ad
New Standard License Plate
Michigan = Pure Michigan
Pure Michigan Results 2006 – 2016
Generated 32 million out-of-state trips to Michigan. Those visitors spent $9.5 billion at Michigan businesses. They paid $664 million in state taxes on those trips, primarily sales tax.
Cumulative Pure Michigan ROI is $5.49.
Even with those Results
Michigan tourism is undermarketed and under-funded
In fact, every destination in America is under-marketed and under-funded, it’s only a question of by how much
We are leaving money and jobs and taxes on the table
Not a single destination is a top 200 U.S. advertiser, not even Las Vegas with a $110 million marketing budget
“Run Government Like a Business”
Las Vegas Tourism Business
$31 billion revenue (visitor spending)
$110 million advertising budget
American Express
$32.8 billion revenue
$2.36 billion U.S. advertising budget (21 times Las Vegas’ budget!)
“Run Government Like a Business”
Michigan Tourism Business
$22.8 billion revenue (visitor spending)
$20 million advertising budget
Progressive Insurance
$20.9 billion revenue
$647 million U.S. advertising budget (32 times MI’s budget)
“Run Government Like a Business”
Nebraska’s Tourism Business
$4.9 billion revenue (visitor spending)
$4 million advertising budget
Mattel Inc.
$5.5 billion revenue
$415 million U.S. advertising budget (100 times NE’s budget!)
It’s About More Than Tourism
“A surge in tourism from visitors outside of Michigan is helping increase demand for vacation houses in the region, where the median home price is about a quarter of that in the Hamptons.” Bloomberg, Sept. 14, 2012
Impact of Destination Campaigns on
Economic Development
The Halo Effect in Psychology
Edward L. Thorndike 1874 - 1949
Method Sample
Recent large-scale online surveys of a representative sample of adults 18+ in advertising markets for seven U.S. states and two CVBs.
Non-residents only included for analysis.
Focus on image lift created by: A.
Tourism ad awareness.
B.
Visiting the destination.
North Dakota
893
Wisconsin
1,336
Ohio
1,006
North Carolina
1,601
New Mexico
6,032
Minnesota
1,698
Michigan
4,022
Portland OR
997
Lake Erie Shores & Islands OH
1,053
TOTAL
18,638
Impact of Michigan’s 2014 Tourism Campaign on State’s Economic Development Image
Base: National Out-of-State Residents
A good place to live
+81%
A good place to start a career
+59%
A good place to start a…
+50%
A good place to attend college
+41%
A good place to purchase a…
+100%
A good place to retire
+79%
0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of North Dakota 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +41%
A good place to live
+100%
A good place to start a career A good place to start a business
+75%
A good place to attend college
+87%
A good place to purchase a vacation home
+89% +75%
A good place to retire 0
10
20
30
40
Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of Wisconsin 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +47%
A good place to live A good place to start a career
+57%
A good place to start a business
+57%
+29%
A good place to attend college A good place to purchase a vacation home
+41% +37%
A good place to retire 0
20 40 Percent Who Strongly Agree
Aware
Unaware
60
Impact of Ohio 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +81%
A good place to live
+59%
A good place to start a career
+50%
A good place to start a business
+41%
A good place to attend college A good place to purchase a vacation home
+100% +79%
A good place to retire 0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of North Carolina 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +20%
A good place to live A good place to start a career
+41%
A good place to start a business
+35%
+15%
A good place to attend college A good place to purchase a vacation home
+32% +19%
A good place to retire 0
20 40 Percent Who Strongly Agree
Aware
Unaware
60
Impact of Minnesota’s 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +47%
A good place to live
A good place to start a career
+57% +82%
A good place to start a business
+63%
A good place to attend college A good place to purchase a vacation home
+83% +90%
A good place to retire 0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of New Mexico 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +84%
A good place to live +154%
A good place to start a career
+133%
A good place to start a business
+141%
A good place to attend college A good place to purchase a vacation home
+107% +76%
A good place to retire 0
10
20 30 40 Percent Who Strongly Agree
Aware
50
Unaware
60
Impact of Portland 2014/2015 Tourism Campaign on City’s Economic Development Image
Base: Advertising Markets +63%
A good place to live
+72%
A good place to start a career A good place to start a business
+100% +69%
A good place to attend college A good place to purchase a vacation home
+129% +115%
A good place to retire 0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of Lake Erie Shores & Islands 2014 Tourism Campaign on Region’s Economic Development Image
Base: Advertising Markets +132%
A good place to live +169%
A good place to start a career A good place to start a business
+161%
A good place to attend college
+104%
A good place to purchase a vacation home
+152%
A good place to retire
+160%
0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of Visitation on Economic Development Image
Impact of Visitation on Michigan Economic Development Image
Base: National Out-of-State Residents +100%
A good place to live
+100%
A good place to start a career
+139%
A good place to start a business
+56%
A good place to attend college A good place to purchase a vacation home
+109% +147%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on North Dakota Economic Development Image
Base: Out-of-State Residents
A good place to live
+56% +53%
A good place to start a career
+78%
A good place to start a business
+67%
A good place to attend college A good place to purchase a vacation home
-6% +47%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on Wisconsin Economic Development Image
Base: Out-of-State Residents +47%
A good place to live +15%
A good place to start a career
+39%
A good place to start a business
+73%
A good place to attend college A good place to purchase a vacation home
+104% +20%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on Ohio Economic Development Image
Base: Out-of-State Residents +90%
A good place to live +41%
A good place to start a career
+67%
A good place to start a business
+32%
A good place to attend college A good place to purchase a vacation home
+62% +45%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on Minnesota Economic Development Image
Base: Out-of-State Residents +119%
A good place to live +142%
A good place to start a career
+179%
A good place to start a business
+136%
A good place to attend college A good place to purchase a vacation home
+117% +100%
A good place to retire 0
25 50 Percent Who Strongly Agree
Visited Past Year
75
Not Visited
Impact of Visitation on North Carolina Economic Development Image
Base: Out-of-State Residents +35%
A good place to live +52%
A good place to start a career
+15%
A good place to start a business
+35%
A good place to attend college A good place to purchase a vacation home
+19% +21%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on New Mexico Economic Development Image
Base: Out-of-State Residents +90%
A good place to live A good place to start a career
+175%
A good place to start a business
+168%
A good place to attend college
+151%
A good place to purchase a vacation home
+119%
A good place to retire
+86%
0
20 40 60 Percent Who Strongly Agree
Visited Past Year
80
Not Visited
Impact of Visitation on Portland Economic Development Image
Base: Advertising Markets +42%
A good place to live
+43%
A good place to start a career
+72%
A good place to start a business
+54%
A good place to attend college A good place to purchase a vacation home
+142% +72%
A good place to retire 0
20 40 Percent Who Strongly Agree
Visited
60
Did Not Visit
80
Impact of Visitation on Lake Erie Shores & Islands Economic Development Image
Base: Advertising Markets +71%
A good place to live
+94%
A good place to start a career +150%
A good place to start a business
+141%
A good place to attend college
+120%
A good place to purchase a vacation… A good place to retire
+93%
0
20 40 Percent Who Strongly Agree
Visited Past Year
60
Not Visited
80
The Power Combination Tourism Marketing
Incremental Visitation
“A Good Place to Live”
% Image Lift Across Nine DMOs Advertising
65
Visitation
70
Advertising Plus Visitation
146 0
50
100
150
Percent
200
250
“A Good Place to Start a Career”
% Image Lift Across 9 DMOs Advertising
79
Visitation
77
Advertising Plus Visitation
163 0
50
100
150
Percent
200
250
“A Good Place to Start a Business”
% Image Lift Across Nine DMOs Advertising
79
Visitation
96
Advertising Plus Visitation
194 0
50
100
150
Percent
200
250
“A Good Place to Attend College”
% Image Lift Across Nine DMOs Advertising
66
Visitation
80
Advertising Plus Visitation
143 0
50
100
150
Percent
200
250
“A Good Place to Purchase a Vacation Home” % Image Lift Across Nine DMOs Advertising
90
Visitation
86
Advertising Plus Visitation
201 0
50
100
150
Percent
200
250
“A Good Place to Retire”
% Image Lift Across Nine DMOs Advertising
79
Visitation
69
Advertising Plus Visitation
164 0
50
100
150
Percent
200
250
Andy Levine
“… while tourism marketing has been shown to generate significant economic impact by driving visitation, these results demonstrate the potential long-term benefits for broader economic development.”
Bill Geist, Zeitgeist Consulting
“The jury is in. The verdict is crystal clear.
The visitor-focused advertising of DMOs has a pronounced impact on measures that many community leaders have long said are more important than “tourism.”
Bill Geist, Zeitgeist Consulting
“Destination marketing is crucial to showcasing our communities to far more than visitors but, indeed, to future residents and investors. And, now, no community leader can honestly argue with that.”
In Conclusion
Use ROI research to prove the financial impact of tourism advertising Use HALO research to demonstrate other economic benefits of tourism marketing and visitation Expand tourism branding and marketing to promote economic growth
Tourism Powers Economic Development
George Zimmermann Chairman, Longwoods International USA [email protected]
Today’s Presentation
1/ ROI Case Study
2/ Halo Magic
Developing a singular brand for tourism and economic development.
Research demonstrates strong lift from destination promotion and visitation on both tourism AND economic development image.
Pure Michigan ROI Case Study
Four Keys to Pure Michigan
A powerful brand that inspires confidence and produces results. ROI data that proves effectiveness. Industry leadership and unity behind the data and the brand. Sufficient budget to promote the brand.
Pre-Pure Michigan Budget Declines
9
$8.0 8
$7.4
Millions
7
$6.4 $5.7
6
$5.7
5
4
3
2001
2002
2003
2004
2005
2005: Rock Bottom
Doing less every year, due to budget cuts. Demoralized, fragmented private sector. Business declines in middle of decade-long Michigan recession.
Ranked 50th in hotel occupancy rate. One bright spot: got first advertising return on investment results for 2004 (Longwoods).
First ROI Data (2004)
MI spent $3.5 million on advertising.
Generated 990,000 trips to state. Those visitors spent $164 million. And paid $11.5 million in state taxes.
MI got $3.27 in taxes for each ad dollar spent. Source: Longwoods ROI and Image Study
2006: Budget Increased to $13.2 Million
We created a new brand for the state:
“Sunrise”
Industry Rallies for Pure Michigan
Pure Michigan Budgets
$30
$29.0 29.00
$28.0 25.00 $25.0 25.00
$25
Millions
$20
$17.5
$15
$17.0
$13.2 13.20
$10 $5.7 $5
$0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
‘Pure Michigan’ Out-of-State ROI Summary
2006 2007 2008 2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016*
Pure Michigan Total * Regional + National
Advertising Investment $6.2M $6.8M $6.4M $12.7M $9.9M $14.3M $13.7M $13.0M $12.4M $12.7M $12.9M
Trips Generated 0.7M 1.3M 1.1M 2.1M 2.0M 3.2M 3.8M 4.1M 4.1M 4.6M 5.0M
New Visitor Spending $188.0M $287.4M $270.3M $624.0M $605.9M $997.4M $1,129.7M $1,237.1M $1,219.4M $1,396.6M $1,532.3M
State Taxes Generated $13.1M $20.1M $18.9M $43.7M $42.4M $69.8M $79.1M $86.6M $85.4M $97.8M $107.3M
ROI $2.11 $2.94 $2.97 $3.44 $4.30 $4.90 $5.76 $6.66 $6.87 $7.67 $8.33
$121M
32M
$9,488.2M
$664.1M
$5.49 12
The Halo Effect: 2014 Tourism Campaign Impact on Michigan's National Tourism Image
Exciting Family Destination Adult Atmosphere Unique Sightseeing Entertainment Popular Affordable Worry Free Sports & Recreation 0
10
20
30
40
Percent Who Strongly Agree
Aware*
Unaware
50
2010 Michigan Governor’s Race
Republican Rick Snyder makes Pure Michigan a campaign issue. He calls for consistent funding at $25 million per year. MichaelFinney
For a campaign created during the previous DEMOCRAT administration!
Snyder Team Cancels “Upper Hand” Campaign
Michael Finney
Michigan 2010 Upper Hand Commercial
Michigan’s Marketing Brand
Michigan’s Marketing Brand
Pure Michigan: Off to the Races
Detroit Tigers
Water
Coke
Agriculture
Kroger
Non-Profits
Tourism Partners Promote the Brand
2014 Pure Michigan Advertising Partners
44 advertising partners in 2014.
Invested $5.7 million in Pure Michigan ads.
$20,000 to $500,000 per partner.
Started with 2 partners @ $230k in 2002.
Monroe MI Partner Radio Ad
Traverse City MI Partner TV Ad
New Standard License Plate
Michigan = Pure Michigan
Pure Michigan Results 2006 – 2016
Generated 32 million out-of-state trips to Michigan. Those visitors spent $9.5 billion at Michigan businesses. They paid $664 million in state taxes on those trips, primarily sales tax.
Cumulative Pure Michigan ROI is $5.49.
Even with those Results
Michigan tourism is undermarketed and under-funded
In fact, every destination in America is under-marketed and under-funded, it’s only a question of by how much
We are leaving money and jobs and taxes on the table
Not a single destination is a top 200 U.S. advertiser, not even Las Vegas with a $110 million marketing budget
“Run Government Like a Business”
Las Vegas Tourism Business
$31 billion revenue (visitor spending)
$110 million advertising budget
American Express
$32.8 billion revenue
$2.36 billion U.S. advertising budget (21 times Las Vegas’ budget!)
“Run Government Like a Business”
Michigan Tourism Business
$22.8 billion revenue (visitor spending)
$20 million advertising budget
Progressive Insurance
$20.9 billion revenue
$647 million U.S. advertising budget (32 times MI’s budget)
“Run Government Like a Business”
Nebraska’s Tourism Business
$4.9 billion revenue (visitor spending)
$4 million advertising budget
Mattel Inc.
$5.5 billion revenue
$415 million U.S. advertising budget (100 times NE’s budget!)
It’s About More Than Tourism
“A surge in tourism from visitors outside of Michigan is helping increase demand for vacation houses in the region, where the median home price is about a quarter of that in the Hamptons.” Bloomberg, Sept. 14, 2012
Impact of Destination Campaigns on
Economic Development
The Halo Effect in Psychology
Edward L. Thorndike 1874 - 1949
Method Sample
Recent large-scale online surveys of a representative sample of adults 18+ in advertising markets for seven U.S. states and two CVBs.
Non-residents only included for analysis.
Focus on image lift created by: A.
Tourism ad awareness.
B.
Visiting the destination.
North Dakota
893
Wisconsin
1,336
Ohio
1,006
North Carolina
1,601
New Mexico
6,032
Minnesota
1,698
Michigan
4,022
Portland OR
997
Lake Erie Shores & Islands OH
1,053
TOTAL
18,638
Impact of Michigan’s 2014 Tourism Campaign on State’s Economic Development Image
Base: National Out-of-State Residents
A good place to live
+81%
A good place to start a career
+59%
A good place to start a…
+50%
A good place to attend college
+41%
A good place to purchase a…
+100%
A good place to retire
+79%
0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of North Dakota 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +41%
A good place to live
+100%
A good place to start a career A good place to start a business
+75%
A good place to attend college
+87%
A good place to purchase a vacation home
+89% +75%
A good place to retire 0
10
20
30
40
Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of Wisconsin 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +47%
A good place to live A good place to start a career
+57%
A good place to start a business
+57%
+29%
A good place to attend college A good place to purchase a vacation home
+41% +37%
A good place to retire 0
20 40 Percent Who Strongly Agree
Aware
Unaware
60
Impact of Ohio 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +81%
A good place to live
+59%
A good place to start a career
+50%
A good place to start a business
+41%
A good place to attend college A good place to purchase a vacation home
+100% +79%
A good place to retire 0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of North Carolina 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +20%
A good place to live A good place to start a career
+41%
A good place to start a business
+35%
+15%
A good place to attend college A good place to purchase a vacation home
+32% +19%
A good place to retire 0
20 40 Percent Who Strongly Agree
Aware
Unaware
60
Impact of Minnesota’s 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +47%
A good place to live
A good place to start a career
+57% +82%
A good place to start a business
+63%
A good place to attend college A good place to purchase a vacation home
+83% +90%
A good place to retire 0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of New Mexico 2014 Tourism Campaign on State’s Economic Development Image
Base: Out-of-State Residents +84%
A good place to live +154%
A good place to start a career
+133%
A good place to start a business
+141%
A good place to attend college A good place to purchase a vacation home
+107% +76%
A good place to retire 0
10
20 30 40 Percent Who Strongly Agree
Aware
50
Unaware
60
Impact of Portland 2014/2015 Tourism Campaign on City’s Economic Development Image
Base: Advertising Markets +63%
A good place to live
+72%
A good place to start a career A good place to start a business
+100% +69%
A good place to attend college A good place to purchase a vacation home
+129% +115%
A good place to retire 0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of Lake Erie Shores & Islands 2014 Tourism Campaign on Region’s Economic Development Image
Base: Advertising Markets +132%
A good place to live +169%
A good place to start a career A good place to start a business
+161%
A good place to attend college
+104%
A good place to purchase a vacation home
+152%
A good place to retire
+160%
0
10
20 30 40 Percent Who Strongly Agree
Aware
Unaware
50
60
Impact of Visitation on Economic Development Image
Impact of Visitation on Michigan Economic Development Image
Base: National Out-of-State Residents +100%
A good place to live
+100%
A good place to start a career
+139%
A good place to start a business
+56%
A good place to attend college A good place to purchase a vacation home
+109% +147%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on North Dakota Economic Development Image
Base: Out-of-State Residents
A good place to live
+56% +53%
A good place to start a career
+78%
A good place to start a business
+67%
A good place to attend college A good place to purchase a vacation home
-6% +47%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on Wisconsin Economic Development Image
Base: Out-of-State Residents +47%
A good place to live +15%
A good place to start a career
+39%
A good place to start a business
+73%
A good place to attend college A good place to purchase a vacation home
+104% +20%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on Ohio Economic Development Image
Base: Out-of-State Residents +90%
A good place to live +41%
A good place to start a career
+67%
A good place to start a business
+32%
A good place to attend college A good place to purchase a vacation home
+62% +45%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on Minnesota Economic Development Image
Base: Out-of-State Residents +119%
A good place to live +142%
A good place to start a career
+179%
A good place to start a business
+136%
A good place to attend college A good place to purchase a vacation home
+117% +100%
A good place to retire 0
25 50 Percent Who Strongly Agree
Visited Past Year
75
Not Visited
Impact of Visitation on North Carolina Economic Development Image
Base: Out-of-State Residents +35%
A good place to live +52%
A good place to start a career
+15%
A good place to start a business
+35%
A good place to attend college A good place to purchase a vacation home
+19% +21%
A good place to retire 0
20
40
60
Percent Who Strongly Agree
Past 2 Yrs
Never
80
Impact of Visitation on New Mexico Economic Development Image
Base: Out-of-State Residents +90%
A good place to live A good place to start a career
+175%
A good place to start a business
+168%
A good place to attend college
+151%
A good place to purchase a vacation home
+119%
A good place to retire
+86%
0
20 40 60 Percent Who Strongly Agree
Visited Past Year
80
Not Visited
Impact of Visitation on Portland Economic Development Image
Base: Advertising Markets +42%
A good place to live
+43%
A good place to start a career
+72%
A good place to start a business
+54%
A good place to attend college A good place to purchase a vacation home
+142% +72%
A good place to retire 0
20 40 Percent Who Strongly Agree
Visited
60
Did Not Visit
80
Impact of Visitation on Lake Erie Shores & Islands Economic Development Image
Base: Advertising Markets +71%
A good place to live
+94%
A good place to start a career +150%
A good place to start a business
+141%
A good place to attend college
+120%
A good place to purchase a vacation… A good place to retire
+93%
0
20 40 Percent Who Strongly Agree
Visited Past Year
60
Not Visited
80
The Power Combination Tourism Marketing
Incremental Visitation
“A Good Place to Live”
% Image Lift Across Nine DMOs Advertising
65
Visitation
70
Advertising Plus Visitation
146 0
50
100
150
Percent
200
250
“A Good Place to Start a Career”
% Image Lift Across 9 DMOs Advertising
79
Visitation
77
Advertising Plus Visitation
163 0
50
100
150
Percent
200
250
“A Good Place to Start a Business”
% Image Lift Across Nine DMOs Advertising
79
Visitation
96
Advertising Plus Visitation
194 0
50
100
150
Percent
200
250
“A Good Place to Attend College”
% Image Lift Across Nine DMOs Advertising
66
Visitation
80
Advertising Plus Visitation
143 0
50
100
150
Percent
200
250
“A Good Place to Purchase a Vacation Home” % Image Lift Across Nine DMOs Advertising
90
Visitation
86
Advertising Plus Visitation
201 0
50
100
150
Percent
200
250
“A Good Place to Retire”
% Image Lift Across Nine DMOs Advertising
79
Visitation
69
Advertising Plus Visitation
164 0
50
100
150
Percent
200
250
Andy Levine
“… while tourism marketing has been shown to generate significant economic impact by driving visitation, these results demonstrate the potential long-term benefits for broader economic development.”
Bill Geist, Zeitgeist Consulting
“The jury is in. The verdict is crystal clear.
The visitor-focused advertising of DMOs has a pronounced impact on measures that many community leaders have long said are more important than “tourism.”
Bill Geist, Zeitgeist Consulting
“Destination marketing is crucial to showcasing our communities to far more than visitors but, indeed, to future residents and investors. And, now, no community leader can honestly argue with that.”
In Conclusion
Use ROI research to prove the financial impact of tourism advertising Use HALO research to demonstrate other economic benefits of tourism marketing and visitation Expand tourism branding and marketing to promote economic growth
Tourism Powers Economic Development
George Zimmermann Chairman, Longwoods International USA [email protected]
