Brand USA. Berlin. Ingredients of Successful Public Private Partnerships Promoting Major Tourist Destinations. March 4, 2015

Transcription

1 Brand USA Ingredients of Successful Public Private Partnerships Promoting Major Tourist Destinations Berlin March 4,

2 Brand USA: The Destination Marketing Organization for the USA Public-Private Partnership: Created by the Travel Promotion Act Signed into law in 2010 Mission: Increase international visitation to the USA in order to fuel the U.S. economy and enhance the image of the United States worldwide Communicate U.S. entry/exit policies and procedures to worldwide travelers Partnerships: 475 U.S. destinations, global tour operators, retailers Consumer marketing, trade outreach, co-op marketing Promote the entirety of the USA (all 50 states, the District of Columbia, and the 5 U.S. territories) 2

3 The Lost Decade 37% 60 Million The United States share of international arrivals dropped 37% (from 17% in 2000 to 12.4% in 2010) Between 2000 and 2010, global travel grew by more than 60 million annually (yet international visitation to the USA was flat) The cost of the United States loss of global market share? 78 million lost visitors $606 billion lost spending $37 billion lost tax revenue 467,000 lost jobs 3 Source: U.S. Travel Association

4 Travel Powers the Economy #1 Services Export 70 million international visitors (spending $181 billion) 8.6 percent of total U.S. exports (the highest since 2001 when it was 8.9 percent) Supports 1.8 million jobs (directly and indirectly) Goal: 100 million visitors and $250 billion by % of GDP $2 trillion in travel and tourism total sales $855.4 billion direct plus $1.1 trillion through other industries $129 billion in federal, state, and local tax revenue International travel and tourism spending growing nearly three times faster than overall GDP growth Million Jobs Supported by Travel (1 in 8) 7.7 million direct plus 6.9 million in other industries Top 10 employer in 48 states and DC

5 Industry Defining Moments March 2010 January 2012 Signing the Travel Promotion Act into Law National Travel and Tourism Strategy May 2014 Presidential Memorandum on Travel and Tourism December 2014 Reauthorization of Federal Funding for Brand USA 5

6 Leadership Roles in the U.S. Travel Industry Brand USA PROMOTE Lead the nation s global marketing effort to increase inbound travel to the U.S. Enhance awareness and the image of the USA as a diverse, exciting, and premier travel destination Create programs and platforms that add and create value for partners and support the National Travel and Tourism Strategy Work with the Federal agencies to develop programs to communicate U.S. entry and security processes and create a welcoming experience for international tourists Travel & Tourism Industry ADVISE Department of Commerce Travel and Tourism Advisory Board Advise and provide policy recommendations to the Secretary of Commerce on issues affecting the U.S. travel industry ADVOCATE As the leading voice of the U.S. travel industry, increase travel to and within the U.S. Advocate for and advance pro-travel policies and remove travel barriers Provide authoritative research and networking opportunities Communicate the positive widespread impact of travel to policy makers and the media Leverage the collective strength of everyone who benefits from travel to grow their business beyond what they can do individually 6

7 Reclaiming Lost Market Share 2010: Launch of Brand USA 7

8 8 A Powerful Force in U.S. Economic Growth

9 9 8 Principles for Successful Public-Private Partnerships

10 FY14 Highlights Partnerships and Funding: Strong and Growing 475 partners through 2014 (up from 89 in 2012 and 339 in 2013) Maximizing the match brought FY14 to a strong close with $130 million in contributions and a 94% partner program retention rate Consumer Campaign: Expanding Consumer campaign in 10 markets expanding to 14 in FY15 Digital and social footprint in 11 languages Programs and Platforms: Increasing and Delivering Value 10 Research significantly expanded to include market profiles, competitive set analysis, predictive, and performance tracking 100 new co-op platforms with more than 200 opportunities (and growing) with 85% directly targeting the consumer Global PR has more than doubled in reach Trade Outreach: Reaching Influential Travel Trade International representation in 20 markets expanding to 25 in FY15 USA pavilions at 24 international shows in FY14 increasing to 30 or more in FY15 Doubling the total number of events, sales missions, road shows, and MegaFams in FY15 Expanding online training platform to 5 additional markets in FY15

11 Objectives & Goals

12 FY 15 Objectives #1: Increase international visitation, spend and market share for the USA #2: Maximize the return on investment of Brand USA s marketing initiatives #3: Support the objectives of the National Travel & Tourism Strategy (100 million visitors in one year to the USA by 2021) #4: Deliver the high value programs and platforms to the industry that generate the highest level of industry support #5: Build and maintain engagement, trust, and advocacy for Brand USA. 12

13 Goals Generate incremental visitation of 1.3 million and incremental spend of $4 billion (results to be reported in March 2016) Support the United States increase in global market share from 13.2% to 13.4% Achieve a Return on Marketing Investment of at least 20:1 Raise $47 million in cash and $70 million in in-kind Maintain a 94% partner program retention rate Maintain 100% compliance with policies and procedures Keep administrative costs to 10% or lower 13

14 Strategies

15 FY15 Strategies Build and Distribute Dynamic Content 15 Engage and inspire travelers through storytelling that emphasizes experience and provides a call to action/booking opportunities Great Outdoors and Urban Excitement (with a focus on culinary) Culinary, Retail, Ski/Golf, Cruising, Road Trips, Attractions, Hotels Expand Market Presence Right Markets, Right Time Build and Leverage Industry Collaboration Harness the collective force of our partners to drive demand Create Value Create strong calls to action and booking opportunities through co-op marketing, trade outreach, and public relations Market the Welcome Work with our federal agency and destination partners to communicate ease of entry and enhance the welcoming experience Drive Results Make market-driven decisions and track results based on sound research and analytics in order to increase incremental visitation, spend, and global market share Operate efficiently and effectively

16 Build Dynamic Content: Engage and Inspire Travelers through Storytelling

17 Great Outdoors Campaign The United States of Great Outdoors Content Hub and Social Platform- Fall 2014 Giant Screen Film Launch September 2015 Film premiere events for consumer and trade summer/fall 2015 Multi-channel consumer and trade advertising throughout 2015 Media spin-offs TV series with Travel Channel summer/fall

18 Urban Excitement Great American Food Stories Culinary Guide Phase 2 with in-country promotions United States of. Content Hub + Social platform Multi-Channel Marketing Campaign in Canada, UK and Japan International Food Network 30 chefs, 30 days vignettes air globally in July 2015 Travel Channel Jeni & Olli American Adventures expanded episodes Expo Milano 2015 May1-Oct to 30 million global travelers 18

19 Discover America with Peter Greenberg Produced and hosted by Peter Greenberg, multi- Emmy Award-winning producer and the Travel Editor for CBS News Modeled after Peter s Royal Tour series for public television King of Jordan President of Mexico Prime Minister of New Zealand Prime Minister of Israel In Discover America, Peter will be guided by America s own set of royalty Global stars of film, television, music and sports, who will give Peter the royal tour of their favorite places, journeys and experiences within the states where they were born, raised or live Distribution via Brand USA s international media partners and other platforms 19 Initial season comprised of five 30-minute episodes, each devoted to a single state. Kentucky Alabama South Dakota Texas Arizona

20 Market Presence

21 21

22 Consumer Marketing Plan Expanding to 14 markets that generate 81% of inbound travel to the USA 22 Australia Brazil Canada Chile China France Germany India Japan South Korea Mexico New Zealand Taiwan UK

23 International Representation Expanding to 25 Markets 23

24 Marketing Initiatives in 33 markets combination of consumer campaign, co-op, or trade reaching more than 90% of inbound travel to the USA Australia Brazil Canada Chile China France Germany India Japan South Korea Mexico Taiwan UK Austria Hong Kong Ireland Italy New Zealand Russia Switzerland UAE Argentina Belgium Belize Costa Rica El Salvador Guatemala Honduras Netherlands Nicaragua Singapore Spain Sweden

25 Key Markets: China Novice Traveler Experienced Traveler Packed, multi-city itineraries Guided group tour Midscale/budget hotel Sightseeing/shopping focus FIT (independent) Escape urban intensity Experiential Business/leisure mix 25

26 Key Travel Markets: Europe Steady UK Germany Recovery France Italy Spain Sustained Strength Sweden Norway Denmark 26

27 Key Travel Markets: Neighbors Canada Mexico Defend US market share Prime for off the beaten path Coop centric Dynamic growth pattern Dual approach New/Experienced Travelers 27

28 Industry Collaboration and Value Creation

29 Three Paths to Value Brand USA Originals Affinity Programs Market Specific 29 Deliver compelling content and valuable activation Leverage scale for efficiency Foster partnership and collaboration Create unique opportunities

30 MegaFams Launched largest multi-destination familiarization trip program in the USA in May Agents, 7 Itineraries First of its kind for the USA (multiitinerary/simultaneous familiarization trip) Airline Partners: British Airways, Lufthansa, American Airlines, United Airlines, Qantas, Hawaiian Airlines Serves to inspire and engage agents and keep the USA Top of Mind State/Regional DMOs facilitate itineraries and access to attractions and experiences Provides exposure for partners within the MegaFam advertising campaign and related promotions 30

31 Brand USA Industry Roundtables Provide Feedback, Insight and Strategic Direction Bi- Annual Meetings- January and at IPW 15 Members Each, based on Established Criteria Diverse Representation across Industry Segments CMO Roundtable Partner Programs Roundtable Market Development Roundtable 31

32 Market the Welcome

33 Market the Welcome Arrival Hall Package for Airports, Embassies, and Destinations Out of Home Elements Marketing and Entry Process Materials Video Components distributed via: International arrival halls Partner websites and airport websites Embassy websites; ESTA website; other Federal websites abroad Consular areas of embassies In-flight video DiscoverAmerica.com and TheBrandUSA.com 33

34 Drive Results

35 35 A Powerful Force in U.S. Economic Growth

36 Research & Analytics: Ongoing Activities Performance Metrics Annual ROI study Campaign results, website/social reporting Market and Media Prioritization Using projections and trend analysis to support budget allocation Market Intelligence Primary consumer studies in 12 markets Analysis of acquired data and intelligence (TDM from Tourism Economics, Comscore, MIDT, etc.) Ad and Creative Testing Post wave campaigns Ongoing creative testing Partner Satisfaction and Intelligence Partner surveys and roundtable meetings 36

37 Partnerships = Success CONTRIBUTE CONNECT CO-OP COLLABORATE Support the exponential power of our global campaign with a cash or in-kind contribution Connect with our international representation network the largest in the industry Leverage co-marketing campaigns with Brand USA Collaborate with us on research initiatives or create customized programs 37

38 Thank You! Travel Industry on Twitter TheBrandUSA.com Consumer on Twitter Facebook.com/DiscoverAmerica DiscoverAmerica.com 38