Executive Director of the North Carolina Division of Tourism, Film and Sports Development
Welcome…
You heard yesterday from Governor Easley about the overall economic impact of tourism on our economy.
Although we talk about these figures a lot, I'm not sure how often we stop to truly think about how our industry fits into the total North Carolina economy. And if the industry itself doesn't understand its economic importance, how can we expect anyone else to? Consider this:
- The state's largest employer is Food Lion with 35,355 employees in North Carolina alone
- Let's look at our traditional industries. North Carolina's furniture industry supports 77,000 employees in state, and our textile industry supports 154,000 employees in state.
- Where does tourism fit? North Carolina's tourism sector has more than 200,000 employees and we're growing.
- That means that every day in North Carolina tourists are spending roughly thirty-two point eight million dollars
- Ten point six million of that is spent on food, six million on lodging, three point seven million at retail and three point two million on amusement and recreation.
- Every day your industry collects two point seven million dollars in state and local tax revenues.
To this end, we're going to provide you with more facts and more tools to help:
- encourage pride among participants in our own industry
- build broader awareness of the industry's impact
- build understanding of our potential for further positive impact on the state
- and generate acceptance among local and statewide opinion leaders of the industry's true status as an economic development tool
Here's our new logo developed for this awareness program. It's a twist on the North Carolina - a better place to be tagline. The logo visually illustrates the mountains the heartland and the coast in North Carolina's natural color palette.
When you leave here today, you will receive a complete kit to help you tell the story of tourism's impact upon the economy. It will be in this folder, complete with information on how to use it. Inside is:
- suggestions for letters you can write to your newspaper editor, or your elected officials on a number of tourism topics
- story ideas you can provide to local media
- information on how to access electronic files of the logo for use on your own materials, and how to download future updated information
- a speech on the economic impact of tourism that can be localized, and a speech on how tourism can be used as an economic development tool in the rural areas of our state
- a suggested localized news release on the economic impact of tourism
- Public Service Announcements you can provide to your local broadcasters
Now, I'm eager to tell you about the Division staff, what we have been doing and some of what we have planned to increase our market share and your tourism revenues.
First, let me tell you about who we have working for you at the Division:
- In Raleigh, you'll find my assistant Martha Smith
- Donna Daughtry is assistant to the tourism director
- Debbie Beam is our business manager
- Teresa Watts is director of community development
- Mike Wall is director of marketing
- Mitchell Bowden is international sales manager
- Bonnie Shimmel is marketing assistant
- Erin Lafferty is publications and database coordinator
- Chris Mackey is public information director
- Jim Roberson is public information assistant
- Mariann Dellerba is public information specialist
- Bill Russ is our photographer
- Betty Blades is director of visitor services, Mims VanMeter is visitor services assistant
- Wade Bryant is warehouse manager
- Olivia Jordan is toll-free telephone supervisor
- Susan Cooper is DataEntry Supervisor
- Our receptionists are Cynthia Townley and Rosa Bryant
- In our Film office, Bill Arnold is director
- Paula Wyrick is special assistant to the director
- Randy Schumacher is marketing specialist and Linda Ball is office manager
- In Sports Development, we have Jennifer MacDougall and Elizabeth Jenkins
- In Raleigh, overseeing Heritage Tourism is manager Richard Clark
The Division staff operates in four major program categories: marketing and communications services, visitor services, travel trade services, and rural tourism services.
Let's take them one at a time and talk about some of our successes in 2000.
Our marketing and communication programs all start with research. TravelScope is our baseline research project done for the division by TIA. It gives us an overview of the total travel market and tells us who comes to the state, when they're coming, what they're doing while here, and how much they are spending. We are able to look at that data on a statewide basis, and we're now able to slice it for you on a regional basis to give you a picture of who comes to your specific area.
Additionally, TIA conducts our economic impact research for us from a statewide and a county-by-county basis. You'll be hearing more details this morning on economic impact from TIA's Suzanne Cook.
Once we understand our audiences through our research, we can deliver paid and non-paid messages to stimulate inquiries. One of the ways we do this is through media relations.
Last year, the Division handled more than a thousand requests for information from the press. We coordinated eight press conferences and hosted 81 travel writers. The result was national and international media coverage that would have cost nearly fifteen million dollars if purchased as advertising space and time.
Working in partnership with the North Carolina Association of Broadcasters, we reached out to our own citizens through a PSA program. Nearly 20,000 radio and TV PSAs were aired in 2000 with an advertising value of more than $600,000.
Speaking of advertising, this year's program is in full swing. We have a national cable TV component, a print program and an exciting online element. It is generating lots of inquiries - both through the traditional routes and increasingly via Internet.
As a matter of fact the golf online promotion we launched in the late fall had an extremely high click-through rate of about 14 percent.
In March, our print program was augmented with national cable TV advertising, and inquiries spiked to _____ at the call center and our average monthly web visitation increased by ______%.
We're expecting even more inquiries as our outdoor and family travel online efforts go live this month. You can easily see the results of the total North Carolina communication program by visiting nccommerce.com where the monthly inquiry reports are updated shortly after the end of each month. We'll talk more about inquiries later…
Although we were supposed to go to a one-to-one match, for the third straight year the Division's co-op advertising program provided a two-to-one match of media dollars. This allowed industry participants to leverage their marketing funds and extend their reach into publications they wouldn't normally be able to afford. The Division absorbed production costs, so in essence this was closer to a two and one half to one match.
We piloted a new idea with our golf co-op partners this year. Instead of a pre-printed insert that gave them advertising exposure only in key golf magazines, we used small space and online ads to drive people to a special co-op page at visitnc.com where partners had excellent exposure. Insertions in Golf for Women, Golf Digest, Golf Magazine, Family Fun, Southern Living, Midwest Living, AAA Home & Away, New York Times, as well as Travel and Leisure Golf which developed a sweepstakes and an online presence for us.
Our mountains, coast and treasures co-ops maintained their traditional pre-printed 6-page insert format placed in select states. Mountains appeared in April and May/June issues of Woman's Day, Outside, Frommer's Budget Travel and Travel Holiday. The coast insert was in March and April issues of Woman's Day and Coastal Living. And the treasures insert appeared in March issues of Smithsonian and Travel & Leisure.
Once our Division and co-op ads drive consumers to the call center or the website to request information, we send them a comprehensive travel package that includes a travel guide, a map, and a calendar of events. Sometimes that is augmented with activity specific information like our golf guide. Are these fulfillment pieces working? To find out, we conducted some research.
A conversion study done in late 2000 confirmed our belief that we have one of the best fulfillment packages in the industry. Here's what consumers said:
- 90 percent of respondents felt the package met or exceeded their expectations
- of those who had requested information from other states, 90 percent said that North Carolina's was as good or better than any other state's
- 86 percent rated it a four or five on a five-point scale of usefulness and only 12 percent rated it lower than a four
- the true test of fulfillment is in whether it results in actual business. Again, North Carolina rates highly. 85 percent felt our fulfillment package had a lot or some influence in their travel decision. This was up from 80 percent in 1996.
- 84 percent of respondents have either visited North Carolina or have a trip planned since receiving their package
Let's look at our other publications.
- We revamped the calendar of events based upon input from the industry. Now, we're doing two calendars per year, packaging six months worth of information in each one. This gives the consumer a more focused publication and you the ability to get the most current information to us
- This year's golf guide gained eight new advertisers, giving us more than 40 total. Due to increased consumer demand, we've increased the number of golf guides to 225,000 for the 2001 edition. Both the travel guide and the golf guide are produced by Journal Communications at no cost to the state
In fact, we had one point four million visitor sessions in 2000. Fully 72 percent of our inquiries are now coming via web.
Let's take a look at a few of the new things happening at visitnc.com:
- we have a new, improved golf section with more robust content, and more to come. It showcases the courses and the golf heritage of North Carolina, providing a "scenic route" as well as quick information for the golfer in a hurry
- we have added downloadable versions of the African American and Garden publications
- there are new links for travelers to auto rentals and airlines, NC Trail Finder First Flight, the NC Zoo, North Carolina National Parks, and DOT's real time traffic information
- World Res online allows travelers to make real time lodging reservations at participating hotels
- We have new content that changes seasonally like fall colors, ski resort information and fishing
- We're redesigning our Insider Information Section, as it has become increasingly popular. There we will have new monthly editorial features and photos, upcoming events, access to an online press room, weather information and road conditions
- We're also adding a searchable North Carolina Trails section complete with information on films and film sites, gardens, African American sites and Civil and Revolutionary War trails.
Nearly 50,000 visitors to visitnc.com have provided us with their e-mail address and we're communicating with them on at least a quarterly basis. These messages are designed to build loyalty by driving users back to the site to plan weekend getaways and longer vacations.
About 5,000 of these folks also have opted to receive monthly co-operative marketing e-mails that include promotional offers, discounts and specials from industry partners. This program is averaging a four percent click-through rate; with the highest click-through begin 10.3 percent.
We also touch consumers at trade shows and events. This year we participated in the Southeast Tourism Society Domestic Express. And internationally, we participated in a highly successful event at the Ambassador's residence in Ottawa, showcasing the state to nearly 6,000 Canadians. We also participated in three consumer shows in Canada - the Toronto Star Golf and Travel Show, the Montreal Golf and Travel Show, and the Ottawa Golf and Travel Show. At those shows, we reached 68,000 Canadians with the North Carolina message.
In the UK, North Carolina is exhibiting at three consumer shows in 2001, and we continue our media relations activities there. Much of our effort in the UK is focused on the travel agent and the group-tour planner because consumers there utilize their services much more so than do US travelers. Tour operators featured North Carolina in 57 brochures in 2000, up 50 percent from 1999.
We're experiencing good results in Germany as well with a presence on 81 tour operator pages in 39 catalogues, solid media coverage and a series of media and trade fams. North Carolina has participated in consumer and trade shows in Germany. As a result, an estimated 78,000 Germans traveled here in 2000.
We launched a new program in France in 2000. To date we have participated in three consumer shows, an airline co-op program to support the new daily, non-stop between Paris and Charlotte, a French sales mission, a fam tour in France and a press trip to North Carolina.
The Division also provides industry communication services. This year we launched nccommerce.com/tourism in order to keep you abreast of what's happening at the Division. We began VISITNC Newslink this year, as well. It reaches more than 600 industry members biweekly with news from tourism, film and sports development.
At this site, you can see an industry calendar, monthly inquiry reports, monthly welcome center reports, economic impact and research data, including county-by-county economic impact reports. Additionally, we have added a photo gallery, and online registration features for the co-op program and events like the Governor's Conference. And, we launched separate websites for NCFILM.com and nccommerce.com/sports.
Speaking of film…year 200 resulted in about $250 million in revenue from film production. North Carolina remains the third most popular filmmaking state behind California and New York. Despite ever-increasing foreign competition, North Carolina hosted 68 major productions last year including Hannibal and the fourth season of Dawson's Creek. This year, the state has a full docket with productions like John Travolta's Domestic Disturbance and Gwyneth Paltrow's Shallow Hal.
Sports Development produced the NC Sports Directory and the NC Facility Guide in 2000. The office held its second sports summit, and worked with communities to bring in sports events. In 2000, the State Games served more than twelve thousand participants. The senior games served forty five thousand participants in 52 local games across the state, with the finals contributing more than one million dollars in local economic impact. The second year of Cycle North Carolina brought more than 850 riders from 38 states and Canada through 16 counties in North Carolina. Soon, we'll be hosting the US Women's Open. This nationally televised event brings 150,000 visitors to the state with an expected economic impact of forty five to sixty million dollars.
Now, let's take a look at the front line people who touch our visitors on a daily basis. When it's all added up, Visitor services had more than twelve million consumer contacts last year.
Visitation in our welcome centers increased eight percent to nine point four million in 2000. Center staff made more than sixteen thousand hotel and motel reservations for visitors.
The centers distributed nearly three hundred fifty thousand travel guides, seven hundred thirty two thousand maps, one hundred sixty three thousand calendars of events, and seventy thousand golf guides.
Inquiry operators handle more than one hundred fifty thousand phone calls, reader service and e-mail requests for information each year, and fulfillment mails out more than two hundred sixty four thousand travel information packets. Between consumer requests and requests from CVBs, DMOs and Chambers, fulfillment distributed four hundred sixty four thousand travel guides, one hundred eighteen thousand golf guides, four hundred forty six thousand calendars of events, and four hundred eighty seven thousand maps.
Next is what I characterize as our rural tourism services. Through heritage tourism programming and grants, we can help the rural areas of our state participate in the lucrative tourism marketplace.
The Division's heritage program completed resource inventories in 46 counties, provided technical assistance to 67 organizations, and assisted in planning twenty-one festivals and events. Additionally, we assisted rural areas in the writing of 16 grant applications that were approved for a total of eight hundred ninety seven thousand dollars. And we raised an additional twenty five thousand dollars that was distributed to eight heritage sites through competitive grants.
Our rural tourism development grant program funded twenty-four projects with three hundred thousand dollars. Projects ranged from enhancement of attractions, to site development, creating thematic trails to completing heritage inventories and enhancing visitor services to acquiring improved technology.
Through our matching funds marketing program - over and above our co-op advertising program - we funded twenty-nine projects with more than two hundred thousand dollars.
Our travel trade services works very closely with our in-state partners to reach travel agents, group tour planners, motor coach tour operators and meetings and convention planners.
We partnered with Coast Host to do a Coastal Fam, and we participated with our in-state partners at three shows: National Tour Association, American Bus Association and Travel South.
In February, we implemented a direct mail campaign to 300 domestic tour operators whose results were immediate. Out of the effort, Fayetteville booked three motor coaches, an overnight and 54 rooms.
Finally, we have increased our efforts directed at meetings and convention planners. The division has introduced a new meetings and convention section on our website to assist meeting planners in bringing their events to our state.
As you can see, the Division is involved in a number of activities designed to do two things: increase market share and tourism revenues, and elevate the awareness and appreciation for the tourism industry among North Carolinians. We have a big job and we're looking to you for support and assistance because tourism truly does make North Carolina a better place to be.