|
|
|
| newsletter services/products county tourism profiles travel indicators members home |
Tourism
Matters
Serving the Tourism Industry of Michigan
 Spring 1999 |
Sally J.
Carpenter - editor |
I spent six days in New Orleans recently and want to share with you what I observed and how we might apply that to our Michigan activities. One dominate tour company in this Louisiana City offered eight different area tours a day. Each tour being offered twice a day. At the end of the first tour, visitors were given a three dollar coupon for their next tour. I would call this the "y’all come back" promotion. Tours ranged in price from $16 to $38 per person. The types of tours offered by several companies were; city, walking of historic residential district, cemetery, ghost, voo-doo and swamp plus two Louisiana cooking classes. This country girl going to the city took part in almost all of them.
Ponder this: What could our Michigan areas offer in tours to people coming to visit? Here is a short list of things I think visitors would like to see, feel and photograph. River trips, inland or lake tours, canoeing, farms, hunting, photography, produce markets, specialty farm crops, historic towns, bird watching, restaurant, antique shops and fine arts.
We have two concepts to think about here. City tours rely on buses transporting people on tour in large groups. Most vacationers in Michigan have their own transportation and might not be willing to be bused but prefer a walking tour, self drive or boat tour. The business traveler or conference groups would likely want a bus tour. How about the bus tours already coming into Michigan. What can we package as tours for them? Do you have a local tour of one to two hours that you could package and sell.
Some other observations about New Orleans. Service was slow and friendly. This made me think about how travelers see Michigan service. Either slow or fast can be dealt with but are we friendly?
New Orleans has one of the best areas for shopping museum quality antiques. As I had not shopped the French Quarter, Royal Street area in several years I was surprised at the quantity and quality of antiques and fine art shops. The French Quarter is not just Bourbon Street. It offers, fine dining, exclusive shopping, history, restoration projects and more. Which reminds me to offer this; take a look at your advertising image from time to time. Is it still the image you want to project or have you or your customer changed, are there things you do well but forget to market? Has your local image changed but you forgot to market that to your out of state customer. Have trends changed and left you with an old image?
Get ready for the Summer Season!
Nineteen ninety-eight was generally a good year for Michigan’s travel and tourism industry. Generally favorable economic and weather conditions combined to provide a positive environment for another year of moderate growth in travel activity in our state.
According to the U.S. Bureaus of Economic Analysis and Labor Statistics, the U.S. experienced a similar rate of economic growth in 1998 as in 1997. Nominal Gross Domestic Product (GDP) in 1998 increased 5% compared to 1997, and real GDP increased 4% compared to 1997. Unemployment rates in 1998 versus 1997 were 8% lower nationally, 10% lower in The Great Lakes region (Michigan, Ohio, Indiana, Illinois, Wisconsin, and Minnesota), and 11% lower in Michigan. Inflation was checked; the U.S. Consumer Price Index for all urban consumers increased by only 1.6% over 1997 levels. Lodging prices (U.S. city average) increased 5% and restaurant prices (within the Detroit-Ann Arbor-Flint area) increased 3%. According to AAA Michigan’s weekly "Fuel Gauge" surveys of 300 stations in Michigan, regular unleaded gasoline prices in 1998 averaged 13% lower than in 1998. The Conference Board’s Present Situation Index in 1998 was 12% higher, the Expectations Index was 1% lower, and the Consumer Confidence Index, a composite of these two indices, was 5% higher than in 1997. The only negative economic news of note is that the strong U.S. dollar in the foreign exchange market may have hurt international tourism to Michigan. In particular, the US/Canadian exchange rate in 1998 averaged 7% lower than in 1997.
In 1998, overall precipitation in Michigan was 3% lower than in 1997 and 9% lower than normal. Statewide average maximum temperatures in 1998 were 9% higher than in 1997 and 7% higher than normal. Possibly due in part to such favorable weather conditions, overnight stays at Michigan’s state parks increased 8% statewide. Substantial increases occurred in most areas that we monitor. Aggregate attendance at 11 selected attractions that we monitor also increased 8%. Most increases in attendance occurred at natural resource-based outdoor recreation sites. On the other hand, due to the unusually warm weather conditions throughout the year, businesses providing snow and ice-based recreation suffered.
During 1998, Michigan Statewide traffic volume on rural highways increased 4% compared to 1997. Mackinac Bridge crossings increased almost 6%, with many new monthly records registered within the year.
The results of our survey of convention and visitors bureaus (CVBs) that collect room assessments indicate that aggregate room assessments increased 0.1% in the Upper Peninsula, 6% in the Northern Lower Peninsula, 8% in the Southern Lower Peninsula, and 8% statewide. Aggregate room assessments after adjusting for inflation declined 4% in the Upper Peninsula, increased 1% in the Northern Lower Peninsula, increased 3% in the Southern Lower Peninsula, and increased 3% statewide. These results are based on responses from 27 CVBs. "Upper Peninsula" results are based on information obtained from the Upper Peninsula Travel and Recreation Association and pertain to the entire Upper Peninsula exclusive of Mackinac Island. The "Northern Lower Peninsula" is the area north of a line from Muskegon to Bay City; and "Southern Lower Peninsula" is the area south of this line. The assistance of the CVBs who responded to our survey is gratefully acknowledged.
- Thanks Gaylord Herald Times for quoting "Tourism Matters" article on the moderate housing supply and how it relates to the job market.
- Thanks Business Insight magazine in Southwest Michigan for quoting
"Tourism Matters", also related to the lack of moderate housing issue.
Calendar
Southwestern Michigan Legislative Tourism Conference April 29 & 30, Haworth Conference and Learning Center, Hope College, Holland, MI. Call Sally Hallan Laukitis, (616) 394-0000 Fax (616) 394-0122.
National Tourism Week will be celebrated May 2-8, 1999. Who do you want to tell about the importance of Tourism? Make plans now!
Nature-Based Tourism Conference May 21, Kirtland Community College, Roscommon, MI. Contact Phil Alexander, (517) 731-0272, or http://www.tourism.msu.edu.
Summer Parade/Sponsorship Seminar June 11-13, Mackinaw City and Mackinac Island, $50 registration. A chance to see the Island Lilac Festival Grand Parade. Sponsored by Michigan Festivals & Events Association. Call (517) 845-2080.
Quality Service Training for owners, managers and front-line, October 4, Courts Building, Centreville. 9 a.m. to noon. Presenter, Bill Shepler, Shepler’s Mackinac Island Ferry Service. For reservation form call Linda Towles at (616) 467-5522 or fax (616) 467-5641.
Alexander Nikoloff, Teresa Herbowicz, and Donald F. Holecek
Travel, Tourism, and Recreation Resource Center
The Travel, Tourism, and Recreation Resource Center (TTRRC) released its 1999 Forecast for Michigan Tourism at the annual Tourism Outlook Conference held on March 10 at Michigan State University. Overall, the TTRRC predicts a rate of growth similar to what the state experienced in 1998; travel volume is expected to grow by 4%, travel spending by 7%, and travel prices by 4%.
The TTRRC has identified several positive travel indicators upon which it bases these forecasts:
The United States economy remains very strong, with
low unemployment and inflation rates, and projections call for more of the same in 1999.
Michigan’s economy also remains strong, and is
expected to slow only slightly in 1999.
Consumer confidence remains at record levels.
The TTRRC Travel Intentions Index remains near the
same level as last year.
Gasoline prices are expected to remain low.
As more baby boomers reach retirement age, their
demand for travel products and services is likely to increase.
The TTRRC has also identified negative travel indicators that should be considered:
The weak Canadian dollar will make selling Michigan
to its number one foreign travel market more difficult.
Cheap airfares to Europe and the strong U.S. dollars
threaten Michigan’s upscale travel markets.
Forecasts call for cooler summertime temperatures
resulting from La Nina.
The blizzard of ‘99 exacerbated Detroit Metro
Airport’s image problems.
By and large, Michigan travel and tourism professionals can expect the same steady
growth rate the industry has enjoyed during recent years. With nearly everyone working,
and with more disposable income to spend, travel and tourism operators should market their
product with themes appealing to the "time-stressed" individual or family.
News You
Can Use
Between 13 and 15 million people visiting Michigan either visit or attend programs and special events sponsored by the 293 museums responding to a recent survey. Museums support about 4,550 paid staff (all categories) throughout the year. Those efforts are extended through the services of nearly 9,000 additional docents and other unpaid staff. The combined 1996 gross annual operating budget for 289 museums reporting this information was nearly $300,000,000. Of this amount, just over $2 million were spent on tourism advertising. Reports by the same number of museums indicate a combined capital outlay of approximately $200,000,000 for the past three years and about the same amount projected for the next three years.
Traditionally Michigan’s tourism image has focused on themes of lakes, forests, and snow (a.k.a. "woods and water). Nevertheless, some museums and other cultural institutions in Michigan currently are involved in tourism, some intentionally and some incidentally.
The Study was commissioned and paid for by Michigan Museums Association, and conducted and written by Gail A. Vander Stoep, Park, Recreation and Tourism Resources Department, Michigan State University.
Copies of the full report are available at cost plus shipping from: Michigan Museums Association Office, Ann Ashby, Administrator, P.O. Box 10067, Lansing, MI 48901-0067, phone: (517) 482-4055 or e-mail: ashby.ann@acd.net
Michigan certainly has the history, cultural fabric, and institutions to make heritage a vital segment of the tourism market mix. While some heritage tourism already exists in the state, the potential for growth is significant.
 |
| Tourism Area of Expertise Team Michigan State University 172 Natural Resources Bldg. East Lansing, MI 48824-1222 Phone: 517-353-0793 Fax: 517-432-2296 |