Message from the Executive Director, Lynn Minges
INTERNATIONAL MARKETS PLAY KEY ROLE
IN NORTH CAROLINA TOURISM
2005 | INTERNATIONAL UPDATE
north carolina division of tourism, film and sports development
North Carolina welcomes millions of
domestic travelers every year, but luring
international visitors has become a signifi-cant
focus in the Division of Tourism’s
overall effort. Since 1994, when the state
set aside highway funds to help promote
and develop international air service, the
Division has concentrated marketing efforts to strengthen the
state’s position as an international gateway to America.
We market North Carolina’s tourism products in Canada, the
United Kingdom and Germany (which also covers Austria
and Switzerland). Because these markets offer growth and
development opportunities for our already strong domestic
tourism base, we have direct air service from these countries
into our major metropolitan airports.
We also market in these countries because the North Carolina
Department of Commerce actively pursues business, industry
and international trade in these markets. To date, the state has
1,124 international affiliated businesses across the state, with
over $23.1 billion in foreign investment. In the period from
1991-2001 (the most recent data available), North Carolina
ranked 11th in the United States in foreign direct investment.
This bodes well for international travelers who are looking at
North Carolina as their next destination.
Research figures from the Office of Travel and Tourism Indus-tries
(OTTI) show North Carolina ranked 19th in overseas
visitation in 2004 (up from 20th in 2001). North Carolina was
one of only four southeastern states in the top 20 in overseas
visitation (Florida #2, Georgia #13, North Carolina tied with
Virginia at #19). Overseas arrivals were up 21 percent from
2003 to 2004.
Though the United States has lost ground in recent years in
worldwide market share, according to the Travel Industry
Association of America (TIA), a weak dollar overseas is helping
to bring more international visitors to the United States in
2005. International inbound travel is projected to return to
the higher levels enjoyed before September11,2001, with
over 49 million arrivals. Spending by international visitors
is predicted to increase 9.5 percent in 2005, reaching over
$81 billion.
The U.S. Department of Commerce recently announced
3.3 million international visitors traveled to the United States
during June 2005, an increase of eight percent over June
2004. Arrivals were up by almost eight percent year-to-date
as well.
We all know that international visitors to the United States
stay longer (16.3 nights per trip) and spend more ($1,508
DIVISION HIRES NEW
INTERNATIONAL SALES DIRECTOR
Heidi Walters, CHME, joined the Division
in October as International Sales Director.
Her primary duties include the manage-ment
and over-sight of German and
United Kingdom marketing activities for
the Division. Heidi is the immediate past
president of the Carolinas Chapter of
Meeting Professionals International and is a Certified Hospitality
Marketing Executive. Her previous experience includes hotel
sales and management at hotels in Raleigh, marketing experi-ence
with the Warren County Convention & Visitors Bureau
in Lebanon, Ohio and serving as general manager for the
Beck Hospitality Group in Mason, Ohio. Contact Heidi at
hwalters@nccommerce.com or (919) 715-6702.
(Continued on page 5)
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INTERNATIONAL TRAFFIC
INTERNATIONAL STATISTICS
visitnc.com
Fiscal Traffic From Traffic From Traffic From
2004-2005 United Kingdom Germany Canada
July 1,508 visits 916 visits 11,754 visits
August 2,106 visits 1,484 visits 7,044 visits
September 5,444 visits 1,288 visits 6,322 visits
October 6,043 visits 1,661 visits 7,431 visits
November 5,233 visits 1,488 visits 5,975 visits
December 5,419 visits 1,582 visits 4,954 visits
January 7,971 visits 3,111 visits 7,338 visits
February 2,349 visits 1,653 visits 5,128 visits
March 2,959 visits 2,113 visits 6,773 visits
April 3,139 visits 2,400 visits 5,972 visits
May 3,545 visits 2,916 visits 8,266 visits
June 3,469 visits 2,727 visits 7,313 visits
For fiscal year 2004-2005,
new reporting systems were
implemented to monitor
worldwide visitation on
VisitNC.com. International
traffic from the United
Kingdom, Germany and
Canada was consistently
high, supporting ongoing
marketing efforts in these
countries.
In 2004, North Carolina ranked19th in overseas arrivals with more than 305,000 overseas visitors, mostly from
the German-speaking markets (GSM) and the United Kingdom. North Carolina currently has two European gateway
airports with direct daily service: Frankfurt/Charlotte, Munich/Charlotte, London/Charlotte and London/Raleigh.
The Division’s international marketing program includes the development, coordination and implementation of
comprehensive tourism marketing strategies in GSMs and the United Kingdom to support the daily international
flights into North Carolina. The program targets both leisure and group tour sales in the European market through
third-party sellers, travel industry trade suppliers and various consumer promotions.
Canadian Visitor Statistics – Fiscal Year 2004-2005
• North Carolina ranked 19th in Canadian overnight visits and 12th
in total visits (includes day-trippers/pass-throughs).
• Over 450,000 Canadians spent time in North Carolina either as part of
a day trip or passing through, spending an estimated $5 million.
• Overnight Canadian visitors spent $78.5 million in North Carolina.
• Total Canadian visits to North Carolina from first quarter 2004 to
first quarter 2005 were up 7.5 percent and overnight visits to North
Carolina were up 6.6 percent.
Overseas Visitor Statistics – 2004
• North Carolina’s overseas visitation was up 13 percent from 2003
to 2004.
• The estimated state spending impact for international visitors to
North Carolina in 2004 was $233 million.
• The top six overseas visitor markets were United Kingdom (19.7 percent),
Germany (14.8 percent), Japan (8.5 percent), Italy (5.6 percent), France
(3.9 percent) and the Netherlands (3.9 percent).
– The North Carolina market share for United States visitors from
these countries has increased from 2003 to 2004 with the exception
of France.
• During 2004, overseas visitors spent an average of 22 days in the
United States and 10 nights in North Carolina. Visitors from Japan had
the longest length of stay in the state at 15 nights.
• 60 percent of international visitors to North Carolina indicated the
state was their main destination.
• The main purposes of visits to North Carolina for international travelers
were business (53 percent), friends/relatives (44 percent) and vacation/
holiday (34 percent).
• The most common leisure activities for international visitors to North
Carolina were dining in restaurants (88 percent) and shopping
(82 percent).
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Source: VisitNC.com
INTERNATIONAL PARTNERSHIPS
united kingdom canada
The Division maintained successful partnerships with travel sales representatives in Canada, the Canada provided North Carolina’s highest number of international
visitors. Ease of access via direct air service and highways, high
disposable income and the strengthening of the Canadian dollar
all contributed to tourism growth from Canada.
In 2004, nearly 350,000 Canadians visited North Carolina, an
increase of 13.2 percent. Nearly 75 percent of those visitors came
from the province of Ontario, with the majority of the remaining
25 percent arriving from the province of Quebec.
• North Carolina has 11 daily flights from Canada offered
by US Airways and Air Canada into Charlotte and
Raleigh/Durham gateways.
• 75 percent of visitors arrive from Canada by car.
• 68 percent of Canadian visitors come for holidays.
• Only ten percent of Canadian travelers come for business.
U.K. Market Overview
• Population: 60.4 million (England, Scotland, Ireland, Wales).
• Travel to United States: 4.2 million annually.
• Employees enjoy an average of five weeks paid annual leave.
• Ten percent of the market spends £1,600 (approximately
$2,748) per person on holiday each year.
• Average expenditure in the United States per party/trip is $1,922.
• Average length of stay in the United States is14.5 nights.
• Currency exchange: The pound represents a 50 percent cost
advantage for U.K. travelers versus the United States dollar.
• The U.K. population is getting older, wealthier and more active.
• Online purchasing has more than doubled over the past year.
• Two daily direct flights from London to Raleigh (American
Airlines) and Charlotte (US Airways).
Partnership Opportunities
Consumer Shows
Partners may attend and/or distribute brochures at these
consumer shows:
• Manchester Holiday Show, January 13-15, 2006
• Glasgow Holiday Show, January 20-22, 2006
• Holiday World Dublin, January 26-29, 2006
• Destinations Holiday & Travel Show, London,
February 2-5, 2006
• International Holiday Show, Bournemouth,
February 10-12, 2006
• London Golf Show, April 27-30, 2006
North Carolina U.K. Travel Guide
In response to consumer and trade inquiries, 33,000 North
Carolina Travel Guides are being distributed to travel agents,
tour operators and consumers.
• With 32 pages of comprehensive information on North Carolina tailored
to the U.K. market, the guide provides visitors with all they need to know
for planning a trip to North Carolina, including attractions, airlines, gateways
and other travel and consumer products in the United Kingdom.
Trade Shows
See America Week
London, England – June 19-22, 2006
The largest Visit USA travel event in Great Britain is organized in cooperation
with the Travel Industry Association of America (TIA), the Visit USA Asso-ciation
of the United Kingdom and the U.S. Commercial Service. The sixth
annual “See America Week” U.K. will take place June 19-22, 2006, in Lon-don.
Partners can attend the Visit USA Ball, Media Marketplace and/or the
educational seminars with other North Carolina representatives.
Tour Operator Marketing Programs
• Premier Holidays – North Carolina promotion, targeting travel agents
and consumers.
• Beat the Brochure – Media promotion launching a new North Carolina
product.
• Online Travel Company (OTC) – Online campaign targeting OTC’s
consumer database.
Note: Further opportunities are currently being negotiated. For full details,
please contact Robert Wilson of Hills Balfour at robertwilson@hillsbalfour.com.
Brand Alliance Marketing Campaigns
New consumer awareness campaigns concentrating on brand marketing
will provide access to new market segments (fast-moving consumer goods),
forming partnerships with non-tourism partners and maximizing North
Carolina’s budget. Possible non-tourism partners for film and /or golf
promotions could include Krispy Kreme, Nevada Bob’s Golf, The North
Face, Field & Trek and Metro Café.
Website
A dedicated North Carolina website is being developed for the U.K.
and Irish markets serving as an introduction to the state. Promotional
opportunities will be available through the site and will include:
• Travel trade promotion
• eNewsletters
• Press room
Training Academy
Following the launch of the U.K. and Ireland website, an online training
suite will be introduced, providing a formal training program on North
Carolina for travel agents and tour operators. The academy will feature
ten progressive learning modules. Upon completion of the training, each
participant will be recognized as a North Carolina Specialist. Opportunities
for joint marketing include module sponsorship.
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germany
pan-european programs
United Kingdom and Germany. These partnerships have yielded the following accomplishments:
European Sales Missions
Ireland, Scotland, United Kingdom and Germany
March 10-18, 2006
The North Carolina Department of Commerce will host a week-long
sales mission to Europe. During the state’s mission, the
Division will coordinate sales calls to travel agents/tour operators
and one group event each in the United Kingdom and Germany
featuring the state’s “Top Ten Reasons to Visit North Carolina.”
Travel Industry Association of America (TIA)
International Pow Wow
Orlando, Florida – May 6-10, 2006
TIA’s International Pow Wow is the travel industry’s premier
international marketplace and the largest generator of United States
travel. In just three days of intensive pre-scheduled, computer-generated
business appointments, more than 1,000 United States
travel organizations from every region of the United States repre-senting
all industry category components, and more than 1,500
international and domestic buyers from more than 70 countries,
will conduct business negotiations that will result in the generation
of over $3 billion in future United States travel. At International
Pow Wow, buyers and sellers are able to conduct business that
would otherwise be generated only through an exhaustive number
of around-the-world trips.
Familiarization Tours
The Division will host familiarization tours across the state featuring
destinations, hotels and additional product opportunities for those
interested in the United Kingdom and German-speaking markets.
Partners have the opportunity to be a destination, host hotel or
attraction.
GSM Overview
• Population: 97.9 million. (Germany, Austria, Switzerland)
• Travel to the United States: 1.3 million annually.
• Employees enjoy an average of six weeks paid annual leave.
• South Atlantic region is the region most visited by Germans.
• Average daily spending is $79.
• Average length of stay in the United States is 19.8 nights.
• Despite a stagnating economy, it is estimated that Germany
will constitute the most important source market for outbound
travel by 2010: 12.7 percent of total world tourism.
• The German outbound travel market is the second largest after
the United States.
• Currency exchange: The euro represents an average of 20 percent
cost advantage for Europeans versus the United States dollar.
• Two daily direct flights into Charlotte from Frankfurt (US Airways)
and Munich (Lufthansa).
• Last-minute bookings continue to increase as GSM Internet
users increased to 52 percent in 2004.
Partnership Opportunities
Consumer Shows
Partners may attend and/or distribute brochures at these consumer
shows:
• CMT Stuttgart, January 14-22, 2006
• FESPO Zurich, January 26-29, 2006
• Reisen Hamburg, February 8-12, 2006
• CBR Munich, February 19-22, 2006
Trade Shows
Internationale Tourismus Börse (ITB)
Berlin, Germany – March 8-12, 2006
ITB is the world’s largest tourism fair with more than 45,000 travel
professionals and 140,000 consumers attending. Nearly 90 percent
of exhibitors sign firm contractual agreements at this show. Partners
are welcome to exhibit at the North Carolina booth.
Tour Operator Marketing Programs
• Airtours – Direct mailing with golf equipment manufacturers
(Nike/Wilson) to promote North Carolina as a premier golf
destination.
• CANUSA – Direct mailing with call-to-action and/or brand
alliance marketing campaign focusing on film (with Columbia
TriStar Home Entertainment).
• DERTOUR – Direct mailing with call-to-action and/or consumer
ad promotion.
• FTI – Training for reservation staff/sales force with United Airlines;
direct mail campaign with call-to-action.
• Golfreisen.de – Continue with consumer ad campaign focusing
on golf (including online promotion) and partnering with
Lufthansa.
• Golf promotions with several small golf specialists (e.g., Birdie
Golfreisen, FOMA Reisen and/or Golf Tours St. Andrews).
• Meier’s Weltreisen – Pull-out (two pages) with new North Carolina
product/program, participation at road show and training for
reservation staff/selected travel agents.
• Neckermann – Pull-out (one to two pages) with new North
Carolina product/program to be distributed to consumers.
• Thomas Cook CANUSA – Direct mailing with call-to-action
and/or brand alliance marketing campaign focusing on film.
• Hotelplan/Kuoni/Skytours – Direct mailings with call-to-action
in lucrative Swiss market.
• Online promotions with Expedia.de, Ebookers.de and/or
Lastminute.de.
Brand Alliance Marketing Campaigns
New consumer awareness campaigns, concentrating on brand
marketing as the method, will allow a reach into new market
segments (fast-moving consumer goods), forming partnerships
with non-tourism partners and maximizing North Carolina’s
budget. Possible non-tourism partners for film and/or golf
promotions could include Columbia TriStar Home Entertainment,
Warner Bros., Canon, Nikon, Nike Golf and Wilson Golf.
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INTERNATIONAL MARKETING
2004 State/ 2004 2004 %
Rank Territory Market Share Visitation Change
1. New York 26.7% 5,426,000 +29%
2. Florida 21.8% 4,430,000 +5%
3. California 20.7% 4,207,000 +6%
4. Hawaii 10.9% 2,215,000 +14%
5. Nevada 8.0% 1,626,000 +19%
6. Guam 5.1% 1,036,000 +22%
7. Illinois 4.8% 975,000 +18%
8. Massachusetts 4.6% 935,000 +13%
9. Texas 4.3% 874,000 +5%
10. New Jersey 4.1% 833,000 +22%
11. Pennsylvania 3.4% 691,000 +13%
12. Arizona 3.1% 630,000 +29%
13. Georgia 2.1% 427,000 -5%
14. Michigan 1.8% 366,000 +1%
14. Washington 1.8% 366,000 +7%
16. Colorado 1.7% 345,000 +20%
17. Ohio 1.6% 325,000 0%
17. Utah 1.6% 325,000 +29%
19. North Carolina 1.5% 305,000 +21%
19. Virginia 1.5% 305,000 +30%
According to the Office of Travel and Tourism Industries/International
Trade Administration (OTTI), in 2004:
• North Carolina tied for 19th in international arrivals.
• Overseas arrivals to North Carolina increased 21 percent from 2003.
• North Carolina is one of only four southeastern states ranked in the top
20 in terms of international visits.
• North Carolina had the 11th highest percentage increase in international
visits from 2003 to 2004.
Overseas Visits
Source: U.S. Department of Commerce, ITA, Office of Travel and Tourism Industries.
At the 37th Annual International Pow Wow, presented by the TIA in May,
thousands of delegates from around the world gathered in New York City.
Some 1,500 international and domestic buyers from more than 70 countries
generated more than $3 billion in future U.S. travel over three days. A record
450 media representatives also were in attendance. Fayetteville CVB, Mountain
South USA and Asheville CVB also participated from North Carolina.
per visitor) per visit than domestic visitors.
We have also met with great success in Canada. With Canada being the
number one international market for the United States, North Carolina is
poised to take full advantage of anticipated growth. Beside having our own
dedicated North Carolina office in Toronto, we participate actively with
Travel South USA, the oldest regional tourism organization in America.
Through a collective effort amongst the southern states, Travel South USA
has also promoted the region in developing markets like Japan and Brazil,
as well as established markets in the United Kingdom.
This year, Travel South USA has expanded its focus and launched an
integrated program in Canada designed to bring multi-state itineraries to
the international marketplace via the web. A very successful sales mission
to Toronto and a magazine-formatted newspaper insert that reached
nearly two million consumers in Ontario were two initiatives designed to
drive traffic to a new consumer website (www.travelsouthusa.com). The
site, designed specifically for Canadian travelers, offers regional trip ideas,
informative narratives about the region and bookable packages in the
Travel South USA states.
In August, 71 representatives from all 12 southern states attended functions
for tour operators and the media. Peggy Kirk Bell from Pine Needles and
“Blackbeard the Pirate” were among the featured guests. The event was
well received and North Carolina is still getting publicity from the effort.
We continue to work closely with several airlines to ensure continuation
of direct air service to North Carolina from international markets. We will
also continue to build strong relationships with tour operators and travel
agents to increase North Carolina’s travel product and spread the image
of our fine state as a leading travel destination.
Last year, for the first time in more than a decade, the federal government
showed a commitment to international tourism by moving forward
with plans for a $6 million international travel promotion and marketing
program in the United Kingdom. North Carolina was one of only two
premier partners that took advantage of the “You’ve Seen the Movies, Now
Visit the Set” campaign that included television spots, a fulfillment piece
and expanded web/online coverage in the London market. This year
the Department of Commerce will expand the program to include the
Japanese market.
With the addition of Heidi Walters as our International Sales Director,
and Walton Ferrell as the Director of Public Relations, the program will
only continue to get stronger.
Our team at the Division continues to generate solid leads through famil-iarization
tours and various Canadian and European sales missions to
ensure our presence at consumer travel shows and various events such as
the World Travel Market in London, the International Travel Exchange
in Berlin (ITB) and the International Pow Wow, one of the largest
international travel shows in the United States.
Overall, our international marketing efforts have proven one of the most
successful programs we have ever initiated. With the travel industry’s
continued support, we are confident our resilience and hard work will
continue to send the message to visitors from other countries that North
Carolina is a top destination!
Lynn D. Minges
Executive Director
(Continued from page 1)
Left to right: Petra Kempfle of The Mangum Group, Mikie Wall of the Division, Susan Melnyk of Melaine
Communications and Robert Wilson of Hills Balfour.
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The North Carolina Division of Tourism,
Film and Sports Development is committed
to a high level of communication with
the taxpayers of North Carolina, the
North Carolina travel industry and related
businesses and the traveling public.
We encourage you to share this
publication with other members
of your staff and community.
UPDATE NC IS PUBLISHED BY
THE NORTH CAROLINA
DIVISION OF TOURISM, FILM
AND SPORTS DEVELOPMENT.
PLEASE SEND COMMENTS OR NEWS
ITEMS FOR POSSIBLE PUBLICATION TO:
THE TRAVEL UPDATE
4324 MAIL SERVICE CENTER
RALEIGH, NC, 27699-4324
PHONE: (919) 733-4171
FAX: (919) 733-8582
WWW.VISITNC.COM
INTERNATIONAL MARKETING PARTNERS
CANADA
Melaine Communications
703 Evans Avenue, Suite 106
Toronto, Ontario M9C 5E9
Ph: (416) 622-1680
Fax: (416) 622-3431
Susan Melnyk
Director
smelnyk@melainecommunications.com
Rosalyn Hunter
Director of Communications
rhunter@melainecommunications.com
Jeannette Faria
Travel Trade Sales Manager
jfaria@melainecommunications.com
Cristie Vito
Junior Account Executive
cvito@melainecommunications.com
GERMANY
Mangum Management
Sonnenstr. 9, D-8033, Munich, Germany
Ph: 011 49 89 23 66 21 35
Fax: 011 49 89 23 66 21 99
Keith Mangum
Managing Director
k.mangum@mangum.de
Thomas Drechsler
Sales and Marketing Account Manager
t.drechsler@mangum.de
Nicola Theumer
Public Relations Manager
n.theumer@news-plus.net
Stephanie Grosser
Public Relations Coordinator
s.grosser@mangum.de
UNITED KINGDOM
Hills Balfour
36 Southwark Bridge Rd., London, SE1 9EU
Ph: 011 44 20 7922 6383
Fax: 011 44 20 7928 0722
Amanda Hills
Managing Director
amandahills@hillsbalfour.com
Robert Wilson
Sales and Marketing Account Manager
robertwilson@hillsbalfour.com
Jonathan Sloan
Public Relations Director
jonsloan@hillsbalfour.com
Suzanne Seyghal
Public Relations Account Director
suzanneseyghal@hillsbalfour.com
PRSRT STD
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PAID
RALEIGH, NC
PERMIT NO 1095
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