Dr. Rod Warnick University of Massachusetts at Amherst

Dr. Rod Warnick University of Massachusetts at Amherst Warnick@Isenberg.UMass.edu Dr. David Bojanic University of Texas at San Antonio David.Bojanic@UTSA.edu Guests: Matt Mutti, WIAS Moderator: Phil Pacific, ADC Group, Inc. 2

Great New England Air Show Study conducted in 2008 Sample size -- 3,078 emailed surveys 1,106 completed Response Rate -- adjusted response rate 36% Data Collection Process New Method (Online Survey) Westfield International Air Show Study conducted in 2010 Sample size -- 2,687 emailed surveys 1,140 Response Rate adjusted response rate 42.4% Data Collection Process with both registration and intercepts 3

Economic Impact Study Department of Hospitality & Tourism Management March 31, 2009 Graduate Students: Apurv Mathur & Deepak Ninan Rod Warnick, Ph.D. Chair David Bojanic, Ph.D. Member Atul Sheel, Ph.D. Member

One of the biggest public events in New England; organized over a two-day period Westover Air Reserve Largest Air Reserve Base in the U.S. Home to the largest cargo plane, C-5 Galaxy Air Show has been held at the base for several years GNEAS 2008 Economic Impact Study

To examine, understand and quantify economic impact of the air show on the region To identify the market areas reached by the air show To measure visitors perceptions of the event To create a profile of the visitors to the show To develop a baseline of impact measures for future events in the area GNEAS 2008 Economic Impact Study

The Instruments The Mode The Area of Study CHICOPEE Paper surveys at the show Qualtrics websurvey tool 80 intercepts 3,078 surveys emailed GNEAS 2008 Economic Impact Study Total Sample: 1,106 complete surveys

10 On Site Intercepts vs. Online Registrations Process Incentives for registration and survey completion

Number of Applications for Online Surveys Survey Monkey Qualtrics Advantages Here Cost Factor no mailings or data input Speed of data collection reduced by half from 6-8 to 3-4 weeks Incentives can build response rate Effort to complete point and click All distribution, reminders, thank you s and data managed online 11

12 Online Source: www.surveymonkey.com

13 Online Source: www.qualtrics.com

14 Online Source: www.qualtrics.com

GNEAS 2008 Economic Impact Study

45% 40% 35% 30% 25% 20% 15% 37.15% 40.98% 10% 5% 0% 8.01% 7.68% Newspaper Story Newspaper Ad GNEAS 2008 Economic Impact Study 5.59% 0.58% TV Coverage Mailer Internet Other

60% 57% 50% 40% 30% 32% 20% 10% 0% 5% 6% Interest in aircrafts War Veteran Armed forces personnel GNEAS 2008 Economic Impact Study Entertainment for family

70% 60% 63% 50% 40% 37% 30% 20% 10% 0% YES GNEAS 2008 Economic Impact Study NO

How important is the New England air show to you? How interested are you in the subject of air shows? How frequently do you find yourself thinking about air shows? Scale: 1 to 7 (i.e., Not At All to Extremely Important) Combined ratings on these scales to look at purchase decision involvement How involved with decision? GNEAS 2008 Economic Impact Study

16% 14% 12% 10% 8% 6% 4% 2% 0% 0% 0% 0% 0% 1% 2% 2% 2% 4% 4% 6% 10% 10% 13% 10% 11% 9% 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Not At All Important Extremely Important 7% 8%

40% 38.54% 35% 30% 25% 25.97% 20% 15% 10% 5% 0% 0.18% 5.30% 18.69% 11.32% 0-12 13-24 25-36 37-48 49-60 61+ GNEAS 2008 Economic Impact Study Visitors by Age

80% 70% 68% Visitors by Gender 60% 50% 40% 30% 32% 20% 10% 0% MALE FEMALE

30% 25% 25% 21% 20% 15% 14% 11% 10% 6% 6% 6% 5% 3% 3% 4% 1% 0% Less than 18K 18K to 24,999 25K to 34,999 35K to 49,999 50K to 74,999 75K to 99,999 100K to 124,999 125K to 149,999 150K to 175K 175K to 199,999 200K or more GNEAS 2008 Economic Impact Study

60% 50% 49% 40% 30% 28% 20% 10% 4% 2% 3% 4% 10% 0% Very Dissatisfied Dissatisfied Somewhat Dissatisfied Neutral Somewhat Satisfied Satisfied Very Satisfied GNEAS 2008 Economic Impact Study

Range from 01022 (in miles) Market Areas Reached Frequency Cumulative % 0-64.94 865 77.23 0-129.88 225 97.32 0-194.82 18 98.93 Average distance traveled: 45.14 miles Primary visitors: South and East of 01022 GNEAS 2008 Economic Impact Study

Overnight accommodations 12.51% Local attractions 2.14% Other 2.45% Refreshments at the show 20.95% Transportation 24.97% Clothing or accessories 4.01% Souvenirs or gifts 15.10% Food/drinks before or after the event 17.87% GNEAS 2008 Economic Impact Study *Average spending per group: $98

Total % No Overnight stay Overnight Stay Visitors 60.87% 82.21% 10.83% Local residents 39.13% Overnight stays: 60.87% x 345,000 x 10.83% = 22,743 people Average visitors per group: 2.47 adults and 1.3 child = 3.77 people per group Lodging dollars: 345,000 x ($12.26/3.77) = $1,121,936 GNEAS 2008 Economic Impact Study

Overall Economic Impact: 345,000 x ($98/3.77) x1.5*= $13,452,255 Danger Over-estimating..??? Note 60.8% were visitors or non-locals (210,002) Direct Impact (Excluding local population): 210,002 (Total visitors at the show) x ($98/3.77) (Ave spdg/ pers.) = $5,457,952 Overall Economic Impact (Excluding local population): 210,002 (Total visitors at the show) x ($98/3.77) (Ave. spdg / visitor) x 1.5* = $8,188,255 *Economic multiplier for the region Source MOTT and GSCVB GNEAS 2008 Economic Impact Study

GNEAS 2008 Economic Impact Study

32 Downloaded Data from Qualtrics into Excel and mapped markets for GNEAS

Dot represents visitors from zip codes only. GNEAS 2008 Economic Impact Study

GNEAS 2008 Economic Impact Study Dot represents visitors from zip codes only.

GNEAS 2008 Economic Impact Study Ask open-ended questions wealth of info, of 655 of 1109 (60%) commented many extensively!!

Overall Satisfaction Anything Else -- Other comments

Travel, Parking, Access, and Congestion Issues - Alternative parking and free shuttles - Extend event to three days Alternative and Cross Marketed/Trade-out Promotions - Manage event to ideal visitor management goal - Look for opportunities to improve market penetration GNEAS 2008 Economic Impact Study

First-Time Visitors, Family Activities, Local Attractions - Convert first-time visitors to repeat customers - Attract families to encourage lifelong interest - Cross-market other local attractions Vendor Program and Food/Refreshment Choices - Adaption of wider price points - Additional research on vendor participation GNEAS 2008 Economic Impact Study

Repeat Visitation and Continuous Improvements - Increase awareness of repeat visitation expectations - Reduce unpleasant surprises Relationship with GSCVB - Alternative data collection and event registration - Partner with vendors in information collection GNEAS 2008 Economic Impact Study

Methods to Improve Event Registration - Improve process of driving website registration - Alternative survey instruments: seek broader cross-section of event participation Programs or Incentives for Extended Stays - Package deals with hotels, restaurants, and local attractions GNEAS 2008 Economic Impact Study

Baseline Study Data Here and in Future - Continue economic impact and market analysis at all future events - Convert and enhance this study for ongoing longitudinal study GNEAS 2008 Economic Impact Study

A largely popular event very difficult economic time Visitors making a day trip (45 miles radius) Highly satisfied Likely to return But, there are air show concerns about the logistics A significant economic impact on the region of $13.5 million when reduced for locals, still $8.2 million Opportunities identified for strategic marketing and future improvements lessons learned GNEAS 2008 Economic Impact Study

43 Keep costs low.. Intercepts and registration process lots of lessons here Online survey techniques (Qualtrics or Survey Monkey) Survey time for online process improved analysis Map/Segment Markets know who are visitors.. GeoBatch and Google Maps Note Travel Time and Distance Segment markets if possible value to sponsors Economic Impact.. Measure overall economic significance and adjust accordingly Get accurate visitor counts -- critical Remove locals and get multipliers from local EDC or CVB -- if possible measure costs associated with event

44 Major Report 63 page report and data

EIS and Market Analysis Study

Two day event (August 21 st and 22 nd ) held at the Barnes Air National Guard Base in Westfield, MA Semi-Annual event with off years hosted at the Westover Air Reserve Base (Great New England Air Show) Approximately 268,000 attendees (including media event) 35 aviation performances & 28 static displays, corporate vendor and sponsor booths Visitors traveled on average 55.82 miles one-way Focus on highlighting the capabilities of the US military and the service men and women of the Massachusetts Air National Guard Important event to the Western Massachusetts area

Diverse marketing mix with materials dispersed throughout the region- New York, Connecticut, Massachusetts Mediums used- print and billboard advertisements (including toll booths), television and radio ads, press releases, public service announcements, interviews, web sites, social media

Goal: measure market profiles, event experience, economic significance and impact (EIS) and a market analysis of the attendees and non-attendees Built upon framework of survey and EIS study of the Great New England Air Show (GNEAS) Data collected via online survey - ten sections Topics addressed: media usage, travel size, expenditures, motivations to attend, air show involvement, event experience of activities, entertainment and amenities, demographics

However, not just another EIS and Market Study.. Research standpoint wanted to explore other components of how to more effectively use the EIS to examine concepts and theory Examine further some issues specific to EIS Locals vs. Non-Locals and the shopping area Marketing concepts involvement theory Untapped markets VFF with Locals Looking for methods to improve EIS process

Used the works of Crompton (2006) and Stynes (1998) to review the EIS method John L. Crompton. 2006. Economic Impact Studies: Instruments for Political Shenanigans? Journal of Travel Research, 45 (1): 67-82. J.L Crompton, S. Lee and T.J. Shuster. 2001. A Guide for Undertaking Economic Impact Studies: The Springfest Example. Journal of Travel Research, 40 (1), 79-87. Daniel Stynes. 1992. Economic Impacts of Tourism. East Lansing, MI: Michigan State University, Department of Recreation, Parks and Tourism Paid special attention to some of the weaknesses of EIS studies as noted by these authors and others

Three waves of collection for online surveys as well as on-site intercepts Initial response rate of 42.4%, 1,140 fully complete Adjusted response rate 46.1%, 1,240, some partially complete surveys included for analysis Survey Type Number Emailed Number Started Number Completed Web Site 1,788 866 790 Registration On-Site Intercepts 569 215 199 Add Late 330 163 151 Registration Totals 2,687 1,244 1,140*

Methodology Notable differences from this study over the EIS for GNEAS: More event focus More detailed EIS analysis Concentrated on differentiating locals and non-locals or visitors Explored measures of the VFF (Visiting family and friends market) Examined a variety of market segments- Involvement, Frequency and Travel Distance Examined event experiences and outcomes in detail Examine non-visitors in this study why not attending

Two measures used in this study: 1. Economic Significance determined by assessing direct expenditures by group and individuals 2. Economic Impact Measures - determined using a standard output multiplier provided by the Massachusetts Office of Travel and Tourism for Pioneer Valley area and Westfield/Springfield Metro area Both measures developed by Stynes and Crompton and associates over time

Economic Significance and Impact Direct expenditures include 8 items: 1. Refreshments purchased at show 2. Food and drink before and after in area 3. Souvenirs or gifts at show 4. Clothing or accessories for event 5. Transportation (Ex. gas, tolls, rental car, etc.) 6. Local attractions attended/visited in area 7. Overnight accommodations 8. Other Any other items used in the facilitation of the air show experience

Economic Significance and Impact

Visitation to the Pioneer Valley- In the past and propensity to return in the future Non-Attendees reasons for non-attendance and interest in air shows Event experience (Extensively explored) Activities and Entertainment Amenities Experience and Enjoyment Satisfaction and Behavioral Intentions Desired Outcomes

Distribution of Respondents: Demographic Profile of Respondents:

Three segments defined: Involvement, Frequency of Attendance, Travel Distance

The WIAS Market Area: Target Area of Marketing Program

Cluster Map of Markets for WIAS: All Registered Participants and Survey Respondents

Multi-State View of Cluster Markets for WIAS

Multi-State View of Non-Local Markets for WIAS

Visitation to Pioneer Valley

Amount of Expenditures by Category for WIAS $2.73, 2% $20.56, 16% $5.87, 5% $25.45, 20% Refreshments purchased while at the air show event Food or drinks purchased before or after the event Souvenirs or gifts $29.24, 23% $21.20, 17% Clothing or accessories specifically for the event Transportation (e.g. gas, tolls, rental car, etc.) $5.70, 5% $15.27, 12% Local attractions (e.g. Six Flags, Basketball Hall of Fame, etc.) Overnight accommodations (e.g. hotel, motel, bed & breakfast) total in each o...-other Average Total Expenditure: $126.00

Overall Economic Impact: Attendance: 206,685 (estimated non-locals attendance at WIAS w/ removal of locals & regional visitors) 206,685 x $36.17 (Average spending per visitor) x 1.52 = $11,362,728 (Direct & Indirect Economic Output Impact) Note Did not measure economic costs of community/base

Major Findings and Outcomes/Lessons Learned: Overall Economic Impact: $11,362,728 (Adjusted).still need to consider COST FACTORS.. WIAS critical to revenue generation in the area attracting visitors from beyond the immediate event area (83% -- non-locals) -- note improved economy Family oriented event enforcing the competencies and abilities of the military, overall a positive experience for those who attended (wide appeal) 85% of attendees and non-attendees more than likely to return in the future (highlights the importance of this event to local area)

Important was expenditures by different groups note the differences by groups -- note market segments Teased out another market worth considering the VFF market.. While not large, 12-13% of locals, do spend more and are larger groups overall Other items explored involvement theory and travel times more involved, different outcomes. Benchmarked exp. -- $98/grp ( 08) to $126/grp ( 10) Measurement techniques use Qualtrics and how to tally expenditures based on different question structure Improved mapping and cluster techniques improved along with data collection techniques

Recommendations: Travel, Parking, Access, and Congestion - Engineering or logistics study - Additional parking, free shuttles Promotional Strategy - Air Show experience - Support of the military - Entertainment value and importance

86 180,000 visitors and 300,000 cars in 20-mile backup on Mass Pike (I-90)

Recommendations: Cross Marketed/Trade-out Promotions - Manage event to ideal visitor goal - Analysis of potential Markets First-Time Visitors, Family Activities, and Local Attractions - Extension of event - Off-site events

Recommendations: Restroom Amenity Issue - Observe other large size events - Reexamine visitor to restroom ratio - Ensure periodic cleaning Food Vendor Program Choice - Place vendor prices online - Consider/review outside food policy

Recommendations: Repeat Visitation and Continuous Improvements - Informed decisions about schedule and teams - First-time visitor suggestions/recommendations - Rest, viewing, and photo areas Enhance Relationship with GSCVB - Alternative data collection and registration - Work with vendors in information collection

Recommendations: Improve Event Registration -Encourage visitors from related sites -Develop survey instruments -Use Military Personnel to Collect Email Addresses Programs or Incentives for Extended Stays - Package deals with local attractions (e.g. New England Air Museum, Basketball Hall of Fame)

Booth Method Staff Intercept Method 91 Military Staff Intercept Method (email addresses only)

Recommendations: Develop Baseline Study Data - Continue economic impact and market analysis in all future events Expand Show Length - Alleviates congestion - Expands economic impact - Alleviates possible weather issues

93 Generated Report Action Plan Major Matt Mutti

94 Comments from Galaxy Committee -- Don Ferrell

Questions??

96 1. Keep costs low use local university graduate students 2. Use Online survey tools (i.e. Qualtrics or Survey Monkey 3. Use an online registration and military intercept method 4. Use quality EIS measurement instruments/questions 5. Do segment your markets map markets and segment by type benchmark and profile over time when possible 6. Do ask important demographic and behavioral questions and especially ask for open-ended comments