Presentation is loading. Please wait.

Presentation is loading. Please wait.

Betsy Wall, Executive Director Japan & New England – Americas Newest Trans-Pacific Gateway Tourism U ~ March 14, 2012 Presenters: Betsy Larkin, Senior.

Similar presentations


Presentation on theme: "Betsy Wall, Executive Director Japan & New England – Americas Newest Trans-Pacific Gateway Tourism U ~ March 14, 2012 Presenters: Betsy Larkin, Senior."— Presentation transcript:

1 Betsy Wall, Executive Director Japan & New England – Americas Newest Trans-Pacific Gateway Tourism U ~ March 14, 2012 Presenters: Betsy Larkin, Senior Manager, International Marketing, MOTT Shoko Hirao, MOTT Japanese Marketing Representative

2 International Marketing Program FY2012 United KingdomGermany JapanFrance ItalyIreland

3 International Marketing Program FY2012 Why does Massachusetts invest in the Japanese Tourism Market? A Japanese traveler: Spends more $$ Fills rooms mid-week Books 60 days in advance

4 International Marketing Program FY2012 Why does Massachusetts invest in the Japanese Tourism Market? Direct Air Service Begins April 22 Tokyo Narita to Boston Logan Japan Airlines codeshare with American Airlines Boeing 787 Dreamliner Feeder Flights from 9 countries

5 Direct Service from 31 International Markets International Marketing Program FY2012 Boston Logan International Airport

6 Proximity to downtown Transportation New Direct Air Service International Marketing Program FY2012 Boston Logan International Airport

7 VisitationSpending Domestic 18 million$13.5 billion International 1.9 million$2.1 billion International Marketing Program FY2012 Visitation to Massachusetts The Numbers: 2010

8 International Visitation to U.S. & Mass in 2010 Country Visitation to U.S. Visitation to MA MA Market Share Canada 20,000,000650,0003.3% UK 3,800,000189,0004.9% Germany 1,700,000121,0007.0% Japan 3,400,00071,0002.1% France 1,300,00070,0005.2% Italy 837,00041,0004.9% Ireland 362,00021,0005.8% Source: U.S. Dept. of Commerce/OTTI International Marketing Program FY2012

9 Top 15 States for Overseas Visitors Massachusetts is # 7 * Excludes Canada & Mexico. International Marketing Program FY2012 RankCountry 1 New York 2 Florida 3 California 4 Nevada 5 Hawaii 6 Guam 7 Massachusetts 8 Illinois 9 Texas 10 New Jersey * (Source: U.S. Dept of Commerce)

10 Visitor Profiles & Comparisons: Where international travelers spend LodgingRetail Domestic20%7% International33%25% International Marketing Program FY2012 (Source: U.S. Dept of Commerce/OTTI)

11 Tour Operator Arranges different services to create and sell a vacation Receptive Operator Manages & sells tourism products to Tour Operators Mostly based in the U.S. Product Accommodations, Transportation, Attractions, Tours, Dining, Entertainment – anything that can be packaged and sold International Marketing Program FY2012 How does the Japanese Market Work?

12 Tourism Food Chain US-based companies that specialize in packaging services for International Tour Operators. Contract directly with accommodations, transportation, attractions, events, and all amenities. Consolidates billing. One-stop shop. International Tour Operator Packages all elements of tour and travel products together and/ or buys packages from Receptive Operators. Sells via travel agents or directly to the consumer. Travel Agent Front Person - sells packaged holidays from tour operators directly to the consumer. Consumer Suppliers Lodgings and attractions. Receptive Operator

13 Increase: Visitation Market share Tour operators Product Media coverage Tax Revenue Jobs = Increased Revenue for MA Tourism Businesses International Marketing Program FY2012 MOTTs International Goals +

14 International Marketing Program FY2012 Japan – Overview 2 nd largest overseas source of inbound travelers to U.S. (including Guam and other U.S. territories) U.S. has 20% market share of Japanese outbound Brand USA has named Japan as a priority market U.S. ranked #2 behind Italy as a dream destination for Japanese travelers…Switzerland, Australia, France not far behind Japanese strongly influenced by media, guidebooks Aging population (Source: U.S. Dept of Commerce/OTTI)

15 International Travel after Fukushima March: Overseas travel 25% April: Cheer up Japan, Smile thru Travel July: Bookings Overseas 4.3% # Japanese travelers who went overseas in 2011 = 2.1% 2012 Outlook: Overseas travel expected 5% International Marketing Program FY2012 Source: Japan Assn of Travel Agents Japan – Overview

16 International Marketing Program FY2012 Japan – Overview Million visitors to U.S. 1.7 Million visitors to mainland U.S. 71,000 visitors to Massachusetts This is up 87% over numbers not available until June Market Share to MA in % Compare to Market Share in % (Source: U.S. Dept of Commerce/OTTI)

17 Japan – Spending in U.S. International Marketing Program FY2012 $14.6 billion was spent by Japanese travelers in the U.S. in nd largest market after Canada (Source: U.S. Dept of Commerce/OTTI) # 1 overseas source of spending in U.S. Japanese Yen has gotten stronger as visitation to the U.S. from Japan has decreased since 1990s (Source: U.S. Commercial Service)

18 NEW Japan Airlines (JAL)/AA Tokyo-Boston Direct Service Starts April 22, 4 flights/week Boeing Dreamliner 13.5 Hour Flight Will shave 6 hours off the time it takes to get to Boston now! International Marketing Program FY2012

19 4 flights per week from April 22 nd ~ May 31 st Daily starting June 1 st 185 passengers each way

20 International Marketing Program FY2012 Easy connections through Tokyos Narita Airport to other major cities in Japan Osaka - 2 airports Nagoya Fukuoka Sapporo Okinawa Osaka Nagoya Fukuoka Sapporo

21 International Marketing Program FY2012 Easy connections through Tokyos Narita Airport to 14 cities in Asia BeijingHong Kong ShanghaiTaipei BusanSeoul SingaporeDelhi BangkokManila Ho Chi Minh CityHanoi Kuala LumpurJakarta

22 International Marketing Program FY2012 Over 3,000 islands. Four largest islands account for 97% of Japan Capital =Tokyo, the largest metropolitan city in the world with 13 million residents Tokyo is half of the size of New York City, and has twice as many people. Japan in general

23 What are Japanese visitors interested in? Relaxing is not part of their vacations Beaches and spas dont attract them They would like to keep moving all day everyday Baseball/Red Sox/Fenway Park Harvard & MIT JFK & Kennedys MFA Shopping! Lobster and seafood International Marketing Program FY2012

24 Japanese Holidays - 3 major periods Golden Week - End of April ~ early May. …During this period, 4 public holidays are observed Summer Obon holiday - Around August 15 th Year End/ New Years Holiday - most businesses are closed between December 28 and January 3 Thanksgiving and Christmas are not holidays Summer vacation for schools is just 1 month in August International Marketing Program FY2012

25 How do Japanese travelers book vacations? Group travel most common; size = 2-20 people Combined packages with NYC & Washington, D.C. Average stay in the US is 8 days Prefer Japanese-speaking guides International Marketing Program FY2012 (Source: U.S. Dept of Commerce/OTTI)

26 Market Demand Silver market: over age million in 2011 (31.5% of the total population) Economic power of $800 billion Life expectancy = long Silver has time + money Prefers full package tours International Marketing Program FY2012 (Source: U.S. Embassy, Tokyo)

27 Market Characteristics Establishing relationships with tour operators - you need to built their trust before you can start doing business Face-to-face meetings are valued Long-term commitment Cold calling is not appropriate Have some of your information in Japanese International Marketing Program FY2012

28 Japanese Market Entry Get to know Boston-based receptive operators All hotel contracts are made through NYC or LA-based receptive operators Tour operators/wholesalers in Tokyo make the final decisions All tour brochures are created/printed in Tokyo International Marketing Program FY2012

29 Tour Brochures Tour brochures published 2 X / year except for seasonal brochures Kamiki (April~October) Planned in August/September Shimoki (November~March) Planned in March/April International Marketing Program FY2012

30 Japanese Cultural Differences – Hotels Require rooms with 2 beds, even honeymooners King-sized bed with pull out couch not acceptable They require a bathtub DO NOT attempt to prepare Japanese breakfast unless you know it is correctly prepared.

31 Cultural Differences – Restaurants Larger portions of food gives negative impressions; best to cut the portions in half Fruit is the most popular dessert Most cakes, cookies ice cream too sweet Seafood and local cuisine are preferred International Marketing Program FY2012

32 Cultural Differences – Retail Stores/Museum Shops Gift giving culture - It is customary to bring gifts back to family, friends and co-workers from a trip Common to purchase 20 of the same item and ask for 20 bags Japanese spend on average twice as much on souvenirs than other overseas visitors to the U.S. International Marketing Program FY2012

33 Foreign Language Websites International Marketing Program FY2012

34 How Can You Benefit from the Intl Market? International Marketing Program FY2012 Offer support for FAMs Keep us informed – news, product, imagery Info Needed for Trade Shows: JATA (Japan) - September World Travel Market (UK) – November ITB (Germany) – March International Pow Wow – April Discover New England Summit Help Us to Help You!

35 Industry Participation Familiarization (FAM) Tours Trade FAMs Product Managers, Sales & Reservations Staff, Travel Agents, Airline Reps, MICE Reps Press FAMs Travel writers, daily newspapers, monthly glossies, in-flight magazines, travel trade publications, reality TV series, bloggers, travel shows International Marketing Program FY2012

36 Why participate in FAMs? Media coverage Building relationships with travel trade Product Training Be an ambassador for Massachusetts International Marketing Program FY2012 Industry Participation Familiarization (FAM) Tours

37 International Marketing Program FY2012 Industry Participation Massachusetts Media Value in 2010: $23 Million! Familiarization (FAM) Tours

38 International Marketing Program FY2012 Industry Participation Trade FAMsPress FAMSTotal FY FY FY FY FY Familiarization (FAM) Tours

39 International Marketing Program FY2012 Industry Participation Other Opportunities in the Japanese Market Trade Mission & Seminar in L.A. (August or September ~ tentative) JATA Show (September 20-23) Japan Sales Mission (Winter 2013)

40 Industry Participation Leads Page: Username: leads Password: 3RT67JM Password protected page Domestic Press Release pitch schedule Press & trade leads that benefit the industry Reports from trade shows International Marketing Program FY2012

41 International Marketing Program Questions? International Marketing Program FY2012 Betsy Larkin Senior Manager, International Marketing Massachusetts Office of Travel & Tourism

42 International Marketing Program FY2012 Tourism U is a FREE series of educational seminars for the tourism industry brought to you by the Massachusetts Office of Travel & Tourism. Dagny Ashley, Coordinator


Download ppt "Betsy Wall, Executive Director Japan & New England – Americas Newest Trans-Pacific Gateway Tourism U ~ March 14, 2012 Presenters: Betsy Larkin, Senior."

Similar presentations


Ads by Google