Transcript The-Changing-Group-Market-Columbus

Leisure Group Travel Trends
Capitalizing on the
Shifting Landscape
By Jeff Gayduk, President,
Premier Tourism Marketing
Yesterday’s Group Market
• Seniors
• Students
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Marketing
Today’s Leisure Group Market
• Traditional seniors
• Non-traditional seniors
• Traditional “class trips”
• Non-traditional student & youth – bands, clubs, youth groups
• Niche & Affinity groups
• Religious, ethnic, special interest
• Reunions
• Sports, Outdoor & Adventure
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Senior Market Trends
• Senior group tour business is holding, but not
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easily repeatable
Catalog business is soft nationwide
Custom groups are where the action is
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Marketing
There will always be
a “Senior Group
Travel Market”
No matter what people say,
invariably some will end up like
their parents!
What operators are doing well in
this market?
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Collette – new small group division Explorations
Mayflower – new religious division
Globus – 5 brands under one roof
Road Scholar 8,000 educational tours
U.S. Tours – Fun Me Events – Sports Leisure –
Free Spirit
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Operator comment
We’ve actually increased sales during this recession. Past performance tells you that during tough
times you lower prices to increase volume, but the truth is we have been increasing prices.
Customers are asking for better hotels and meals, for unique events and activities, and they are
willing to pay for that better experience.
There are plenty of groups looking for the lowest price, and there are plenty of tour operators trying
to sell it. To me, the idea of chasing that business is like jumping into a chaotic melee where you
get bumps and bruises, count small change as profit and listen to customers complain over cheap
rooms and bad food. Fortunately, there also plenty of travelers looking for better service. I’m
selling them really great trips because they are demanding it.
In addition we are finding great opportunity with last minute buyers. Both from groups adding extra
passengers and from groups adding late departures.
There are plenty of opportunities in today’s marketplace as long as you open your eyes, answer your
phones, and work harder than your competition.
Robert Cline
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Marketing
Student Market Trends
• Class trips – as the economy weakened, this
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market compressed
Led to consolidation of major players Brightspark
Growth in school bands, choirs, clubs, private
schools and arts & culture youth groups
How about creating music festivals?
Growing trend in religious youth group retreats
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Marketing
Religious
• $18 billion market
• All religious travel is not just a validation of faith
• Men’s Club, Women’s Club, Senior Ministry,
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Youth Ministry, Travel Ministry
Retreats
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Reunions
• Military reunions market shrinks as WWII
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reunions end
Family reunions are a viable source of business
for hotels/resorts during summer
Recession proof – 200k reunions annually
50% meet annually, 21% are over 100 people
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Marketing
Niche & Affinity Groups
• Affinity and special interest groups are growing
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faster than the overall market
Small niche travel clubs and organizations travel
with a specific purpose / event in mind
Transportation mode is irrelevant – bus or Buick
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Marketing
Recap on Market Trends
• Not your father’s group tour market
• Growing population of seniors & super seniors
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assures continued success of this segment –
market will double in 25 years
Business is being cultivated by innovative tour
operators
Strong trends in student, religious and reunions
Entrance of Niche & Affinity Travel Groups is a
game changer
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Marketing
Part II –
Getting Your Niche On…
• New groups are popping up daily
• Likely to NOT use tour operators or travel
agents
• Thirsty for resources
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Marketing
Why is this Happening?
• Affinity groups share common bond or interest,
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regardless of age
People prefer to travel with a purpose and trips are more
enjoyable when everybody “brings something to the
party”
Special experiences can be organized that are not “doable” as individuals – special receptions, private
showings, etc.
It’s cheaper and safer to travel in a group!
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Marketing
How do niche groups differ from
senior groups?
• Perceive themselves as young – no matter what
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their age
View travel as a right, not luxury
Value-oriented, but will spend $$ for unique
experiences
Personal enrichment, flexibility and
independence are key
More frequent trips, shorter duration
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Marketing
Examples of Niche & Affinity Travel Groups
Gardening
Food/Wine
Girlfriends/
Buddies
Social Club
Farm/
Agriculture
Religious
Fundraising/
Cause Based
Military Families Ethnic
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Examples of Affinity & Special
Int. Groups II
Adventure/
Active
Single/
Divorced
Arts & Theater
Birders
Music
Quilters
Gamers
Golf
Dozens of
Others
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Marketing
Case Studies
• Northern Indiana
• Myrtle Beach
• Chicago NW Suburbs
• Branson
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Marketing
Find Your Niche
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What types of groups fit your profile?
Find partners and package with them
Optimize your website so you’re found
Create an integrated marketing plan
Utilize social media tools – Facebook, Linked-In,
Twitter
Don’t be greedy
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Marketing
Part III – Creating a Cohesive
Marketing Plan
• Print advertising is still affective in building brand – positions you as
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the resource in your market
Use editorial/public relations to refine your message
Post card marketing drives prospects to action
Online advertising and Google ad words ads bring targeted traffic
Facebook friends, Linked In Groups and Twitter followers are new
ways to connect with travelers and groups
Your website must promote action, not just look pretty
Collect emails at every chance
Follow up on trade show leads by phone to confirm legitimacy
Rinse / Repeat – rule of 7
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Marketing
You Can’t
• Have one group package
• Have one group web page
• Have one group itinerary
• Be everything to everybody
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Marketing
You Can
• Be unique to a select group of customers
• Focus on your strengths
• Partner where you are weak
• Package to create experiences
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Marketing
In Review
• Senior Group Travelers will always exist so do
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not abandon your marketing efforts to reach
them
Growing trends in special-interest travel
Look for unique market niches to build your
group market business, you’ll be pleasantly
surprised by the results
Copyright 2010, Premier Tourism
Marketing
The Riches are
in the Niches!
Jeff Gayduk, Publisher
[email protected]
www.ptmgroups.com
630.794.0696