Day Visits Results worshop

NWDA Day VisitorsVolume & Value Survey workshop : 

NWDA Day VisitorsVolume & Value Survey workshop November 2008 Crawford Christie Arkenford

Outline : 

Outline Tourism Day Trips are: a massive source of revenue to the local economy much more complex than research has tended to present selling the day might need to reflect this truth? Understanding the Market Better Who does what? Activities by region, party and ArkLeisure segment Who spends on what? Spend by region, party and ArkLeisure segment So What?

By volume : 

By volume VFR dominates 29% of all trips Leisure activities; exploration, hobbies attractions 30% Entertainment; Meals, nights out,18% Events, matches etc 9% ‘Special’ shopping 6%

By Value : 

By Value Massive VFR volume means it is also the greatest single source of spend Special shopping – small volume major spend Leisure activities – together generate £2,155M Entertainment - £1,229M Events matches etc £691

Incidence of events by purpose of trip : 

Incidence of events by purpose of trip 61% of all day trips to the NW involve a food or drink ‘event’ Only 84% of ‘shopping trips’ record a shopping event, and 26% of VFR trips involved shopping Lots of people visit tourist attractions as an ‘incidental’ part of their day out Trip Purposes by Incidence Rates of Selected Events

Understanding what people do : 

Understanding what people do Trip Choices are dependent on What’s available to do (both actually and perceived) Who is doing it – circumstance of trip What attracts them – what do they want? So What’s available – dependent on the regional stock of events/ venues Who is doing it – party composition – what shall we do with granny? What attracts them – ArkLeisure segment

Who does what? Regional Activities : 

Who does what? Regional Activities VFR is the dominant purpose in 4 of the 5 regions driven by high resident populations. Manchester and Merseyside attract the majority of night out and sports events More rural regions attract more exploration and leisure activity

Who does what? Trip circumstances : 

Who does what? Trip circumstances Who you are going with will modify your plans: VFR dominates; individuals (returning home/ visiting girl friends etc) and other family focused groups Kids are taken to attractions Friends meet for a night out

Who does what? Understanding what attracts people : 

Who does what? Understanding what attracts people The ArkLeisure® Segmentation Used by NWDA driving Mersey Partnership Marketing Based on concept that delivering appropriate quality is the key to success: similar to psychometric approaches as based on people’s core values the values that will influence the style and type of experience people prefer But has an additional practical component – ‘willingness to pay’ the aspects of a service or product people value It allocates all UK residents into one of 8 value segments and (ArkLeisure) 43 value and life stage based residential zones (ArkZone)

The UK Domestic Marketplace : 

The UK Domestic Marketplace Source: ArkLeisureTM Marketing Segmentation

The segments in greater detail : 

The segments in greater detail

A Market Map for Attractions : 

A Market Map for Attractions There are clear clusters of interest Pretty heritage Harder history and education Wildlife Amusement Art There powerful divide between heritage/’culture’ and amusement/ entertainment This division explains 85% of people’s attraction preferences Every attraction needs to think how its marketing relates to this dimension Market Map of UK Attractions People who would Personally consider the attraction their kind of thing Source: Arkenford Research based on data collected for a consortium of ALVA destinations

Who is Coming through the Gates : 

Who is Coming through the Gates By comparing the size and activity of each segment with their interest in attractions we can estimate the expected profile for each type of attraction The size of the ‘HighStreet’ segment means they should be catered for in every kind of attraction. ‘Discoverers’ make up 20% of museums and wildlife audiences ‘Functionals’ although a small group are significant to Art Galleries

Who does what? ArkLeisure Segments in NW : 

Who does what? ArkLeisure Segments in NW Style Hounds and Cosmopolitans are far more active than any other group they are over represented in every activity. Particularly for entertainment More traditional groups favour general days out, leisure activities (walking, cycling etc) and special events. Followers make up a far higher proportion of a sports crowd than a special event crowd

Understanding what people spend : 

Understanding what people spend Dependent on What they are doing Who is doing it - circumstance What attracts them – what do they want? So What’s available – dependent on the regional stock of events/ venues What attracts them – ArkLeisure segment Who is doing it – party composition – what shall we do with granny?

What is the value of nights out? : 

Value of VFR (£000s) Value of nights out (£000s) VFR 55.1m trips to the region throughout the year Each person spending £18.58 Annual value = £1,023.8m Shopping & Food and drink generate largest revenue streams for VFR trips Nights Out 16m trips to the region throughout the year Each person spending £39.39 Annual value = £630.2m Food and drink naturally generates largest revenue streams for a night out Visitor Attractions 20.6m trips to the region throughout the year Each person spending £29.51 Annual value = £607.1m More even spread of spend compared to other types of trip Food and drink and shopping still dominate Value of trip to visitor attraction (£000s) What is the value of nights out?

Value by Region : 

Value by Region There are two typologies by region – Manchester and Cheshire have strong retail offers The other regions take more food and drink revenue Lancashire has highest proportion of recreational spend – driven by Blackpool seafront.

Average spend by destination : 

Average spend by destination Shopping is top revenue earner in 4 out of the 5 regions Higher spenders: Shopping in Gtr Manchester and Cumbria Leisure activities in Cumbria Nightlife and attractions in Mersyside

Value by Travel Group : 

Value by Travel Group Couples and adult groups are generating the greatest income Couples on shopping Adult groups on food and drink (nights out) Shopping tends to be the biggest income generator in the other categories – bar tours

Which segments are the most lucrative? : 

Which segments are the most lucrative? The more active segments also tend to be the highest spenders Style Hounds enjoy man made entertainment, shopping spend is almost double other groups. Traditionals spend more than most on a general day out (they enjoy service)

Value by ArkLeisure market : 

Value by ArkLeisure market The activity and spending of Cosmopolitans results in their contributing a third of all spending in almost every sector Style Hounds spend a lot especially on shoppinf but are a smaller group Traditionals a significant proportion of their day trip money on shopping, but very differently Discoverers spend proportionately more than anyone other group on food and drink

Where do they spend: Shopping : 

Where do they spend: Shopping Spend per trip is highest in the Malls, And also higher per trip in Outlet stores and retail parks also Areas where browsing is common obtain a lower spend per trip – eg the markets

Where do they Eat and Drink : 

Where do they Eat and Drink Bars/ Pubs important source of income Over 40% of all refreshments served 2nd highest spend per head

So What? : 

So What?

How Can this assist Day visit planners : 

How Can this assist Day visit planners Know what the current market is doing in your region Know who is coming Know what they want to do Know what they are likely to spend and on what Spot other opportunities Catering for everyone is not about ‘lowest common denominator’ but differentiating your offer and targeting it at who wants to know

What Customers are looking for in a day out : 

What Customers are looking for in a day out Adding the experiences customers are looking for to explains what people are expecting from each kind of attraction. Pretty Heritage is associated with Nostalgia Peace and relaxation Education Wildlife with Fascination Entertainment Interaction Out of the ordinary Market Map of UK Attractions Source: Arkenford Research based on data collected for a consortium of ALVA destinations

How can the Insight be Used : 

How can the Insight be Used Selling Safari Parks to Discoverers needs to combine The expectation of the attraction Fascination Entertainment Interaction Out of the ordinary With the values of the customer segment Independence of mind and action Interest in new options and ideas Looking for new experiences Opportunities to learn Evaluate and buy on personally defined value

Magazine preferences : 

Magazine preferences Style Hounds are only interested in lifestyle and gossip mags More general and functional titles attract more conventional segments