Make Ireland Jump Out USA REVIEW A strategy for growth 2013 - 2015
Introduction I am delighted to present the US Strategic plan 2013 – 2015, Make Ireland Jump Out. The United States continues to be one of our strongest performing markets but we can’t take our relatively successful performance in recent years for granted. Therefore, working with key partners, we have carried out a fundamental review of the market to identify the opportunities and challenges facing us for the next 3 years. This new strategy has been designed to bring the brand and our tourism offering to the next stage of development in what is one of our key markets. It is both challenging and ambitious, pursuing share gain and a growth in visitor number of in excess of 20 per cent over the period of the plan. At its core, the strategy is focussed, targeting ‘best prospect’ segments and delivering cut-through and persuasive messages which will convert their interest into decisions to travel. Ireland as a destination and brand has a strong affinity with a broad base of consumers in the US. Our primary focus will be to reach and connect with US consumers who are well disposed towards Ireland and move this disposition into actual bookings and incremental visitors. In addition the strategy puts in place actions that will facilitate the development and promotion of new and different propositions for Ireland as a holiday destination. In doing this we will make the brand relevant to consumers in new and different ways, thus broadening its overall appeal. The strategy has been developed so that it integrates consumer understanding & insight, the competitive environment, the strengths of brand Ireland and the capabilities of both Tourism Ireland and key industry stakeholders. We believe that through good decision making, focussed actions, continued stakeholder collaboration and outstanding marketing we can make Ireland Jump Out in the US market and deliver on the targets we have set ourselves. We look forward to working with the industry on the Island of Ireland and our trade partners in the United States on the challenge and the delivery.
Niall Gibbons Chief Executive Officer Tourism Ireland
Background The United States is the island of Ireland’s second largest tourism generating market delivering almost a million valuable visitors who stay longer and spend more than average. The last decade has seen many world events and crises impact on the US travel market, however the island of Ireland has maintained strong visitor share during this period – due in part to the very strong brand affinity and brand recognition that Ireland enjoys in the United States. Tourism Ireland carried out a review of the US market in 2012, under the aegis of the US Marketing Partnership Group, in order to secure continued growth for the period 2013- 2015.
This document sets out the ambition of the plan and the strategy in place to achieve growth.
Make Ireland Jump Out What are we setting out to achieve? Building on a strong market performance, the US Review and the strategy produced has a clear focus on delivering accelerated growth. With market conditions that may prove to be more challenging than ever it is imperative that Ireland ‘jumps out’ relative to its competitors. We will make Ireland stand out for key target segments, creating a connection between them and ‘brand Ireland’. We will encourage key targets to not only consider but choose Ireland – ultimately planning and booking their trip, increasing visitor numbers and delivering market share growth.
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1. Conversion getting consumers to book Ireland: executing a brand and market strategy that converts a high ratio of consumers who express an interest in visiting Ireland into actual visitors
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2. Consideration encouraging consumers to consider Ireland: enhancing and developing the relevance of Ireland as a holiday proposition so that it becomes a real and credible choice for consumers and stimulates them to actively explore the idea of holidaying in Ireland
In the pursuit of this strategy the key outcomes being sought are threefold:
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3. Interest driving interest in Ireland as a destination: ensuring Ireland is positioned to be of interest to prospective future travellers and in doing so enters their consideration set
Inbound visits
Ambition for growth 1000
10.0%
800
8.0% 6.0% 4.0% 2.0% 0.0% 2005
2006
2007 2008
2009
Island of Ireland share of outbound market
2010
2011
2012
2013
2014
2015
US visitors to the Island of Ireland
SOURCE: Data based on outbound figures from Itta and forecast growth from TDM. Inbound share data based on TI facts and forecasts.
The brand objective All efforts should lead to Ireland being perceived as an aspirational, iconic and accessible holiday destination that targeted US consumers are highly motivated to visit.
The business objective Increase the number of US visitors to the island of Ireland by approximately 20 per cent and in doing so achieve a market share in excess of 9 per cent.
Our targets in terms of visitor numbers and share growth are challenging, our aspirations for the brand are ambitious but the opportunity that the US market represents is significant.
Strategic Pillar 1: Understanding our priority targets and how to influence them While the US represents a huge opportunity for tourism on the island of Ireland it is also an extremely competitive market. The level of competition has intensified and the number of choices available to the US traveller has grown. Now more than ever, we must be focussed in terms of the consumer segments we seek to target, influence and ultimately convert into visitors to the island of Ireland. Key to our success will be knowing our consumers better than anyone else and acting on this knowledge. We will apply our resources and collaborate with our partners so that we connect and resonate with our target consumers and influence them to not only consider Ireland but book their trip to Ireland. We have developed a refined and action oriented approach to segmentation, identifying target consumers, understanding their needs and interests and how Ireland can respond to and deliver on these needs through ‘experiential propositions’. The ‘experiential propositions’ represent a series of ‘authentic holiday experiences’ that are being developed so that the consumer can imagine themselves in Ireland – painting a picture of what they will be doing, what they will experience and what it will feel like. Based on the US Review we will target three priority segments. These segments represent the ‘sweet spot’ of the broader consumer group that we have targeted in the past, these three segments are defined as:
Young Independents Who are they? Typically in their late 20s, they are relatively affluent and have the freedom to travel. Most commonly they travel as couples or with a group of friends. They are very web savvy and tend to book holidays closer to their departure date. They are open to travelling for shorter breaks and have higher potential to travel in the shoulder season.
What do they need? Young independents are motivated by the idea of new and unique experiences that are memorable and immersive. They value interaction with people, history, festivals, the landscape, food, culture and local life. They tend to be very active – doing and seeing many things in a short space of time, with a particular interest in cities and city life. What does Ireland have to offer them that is most relevant to them? •
Young Independents
Cities that offer vibrant and distinctive cultural experiences
•
Mature Must Seers & Doers
Authentic experiences that are delivered and enhanced through genuine interaction with the people of Ireland
Middle Aged Explorers
•
A fun and engaging connection with history
Actionable Segmentation
Middle Aged Explorers
Mature Must Seers & Doers
Who are they? Typically they are aged 40-55, well-educated
Who are they? Mature Must Seers & Doers tend to
couples, occasionally travelling within a group of friends, tend to
be aged 55+, affluent and travelling as a couple. They
be pre or post young children. They are active sightseers who
tend to have a clear idea of the types of things they want
are interested in history, culture and greatly enjoy the beautiful
to see and do, and have a deep interest in the history of a
landscape and nature of a destination.
destination.
What do they need? Middle Aged Explorers are seeking to
What do they need? They are very interested in
immerse themselves in and feel part of the place they are visiting.
history and culture as well as the natural environment.
They aspire to explore and discover local authentic experiences
With an appetite for learning they are seeking to enhance
that give them a sense of the unique character of a destination
their knowledge through experiences that will broaden the
and its people. They like to experience a destination at their own
mind. They like a destination to be easy and accessible
pace and have many cultural options to choose from.
and to be able to learn as much as possible and are open
What does Ireland have to offer them that is most relevant to them? •
The opportunity to immerse oneself more fully in nature, through the environment itself, a diverse range of active
to organised trips and tours. What does Ireland have to offer them that is most relevant to them? •
experiences and the people encountered along the way •
A rich culture and history that educates, stimulates and
set of memorable and iconic experiences •
inspires •
Unique cultural city experiences
•
A variety of museums, art galleries, interpretive centres,
A variety of historical and cultural experiences with which they can engage in, learn from and be inspired by
•
A distinctive and beautiful natural environment that enriches their holiday experience and brings a sense of renewal
historic houses and castles to choose from all set in vibrant cities and beautiful countryside
A destination that offers them a broad and balanced
•
A well-developed tourism infrastructure that allows them to experience everything they want to at their own pace
Our focus will be on making Ireland “jump out” to best prospect segments. We will do this by understanding them, their needs and how Ireland can meet these needs better than anyone else.
Strategic Pillar 1:
Niche segments for special focus Beyond the core consumer segments that have been defined the review has concluded that we will maintain a focus on key niche segments: business, golf and the Diaspora (consumers with Irish ancestry). Each of these segments represents a significant opportunity to deliver incremental visitor numbers in meaningful volume.
Business Tourism We will maintain our focus on the three key segments we have historically targeted, Association Conferences, Incentive Travel and Corporate Meetings. In delivering growth from the MICE segment we will seek to deliver high quality B2B platforms for the industry to develop business and generate sales, aggressively identify and develop qualified leads in partnership with relevant stakeholders and industry. We will seek to further develop the general awareness of Ireland as a leading business tourism destination and continue to communicate Ireland’s strengths in business basics – value for money, access, venues, quality and professionalism.
Golf Through the strategy we will seek to make Ireland’s golfing proposition jump out to relevant US consumers for whom playing golf is the primary motivation for a holiday. In order to do this and give Ireland a competitive advantage we will promote Ireland as one of the world’s leading
destinations for golf, communicating the quality and uniqueness of courses, beauty of scenery, friendliness and helpfulness of people and quality of service experience. Specifically we will highlight in particular the strength of our Links courses, the profile and success of Irish golfers and our authentic ‘19th hole’ experience.
We are determined to make Ireland a relevant and compelling option for our chosen niche segments. We are clear as to which segments we are pursuing and how we intend to impact upon them.
Diaspora / Irish Ancestry Within the US it is estimated that there are almost 40 million people with ancestral links to the island of Ireland. Many of these consumers are already included in the key segments that have been defined. However they are highly relevant to us as they not only have a natural connection with Ireland but an existing affinity with brand Ireland and a
concrete reason to consider and travel to Ireland. We will target these consumers by implementing dedicated communications that will be driven through precise targeting strategy reaching Diaspora groups, societies, clubs with a specific Ireland proposition and call to action. We will also maximise the opportunity The Gathering represents in 2013, driving significant additional visitor numbers and maximising The Gathering legacy in 2014/15.
Strategic Pillar 2:
Capacity for Conversion Breaking the inertia Ireland is viewed very positively by many US consumers, many of whom assert an ‘intention’ to travel to Ireland. However, there is huge potential to move the ‘lookers’ to ‘bookers.’ With this in mind a core focus of the strategy is to increase Ireland’s capacity for conversion and maximise the return on what is already perceived to be a very strong brand in the US market. Building on our strengths and what we know works we will strengthen our capacity to get more consumers ‘over the line’ with a focus on four key areas:
1. Brand led conversion ~ using our brand power More singular in our messaging ~ communicating the most compelling and persuasive reasons to choose Ireland based on real insight into our target segments Bring a buzz to the island of Ireland ~ presenting Ireland as a vibrant, fun and distinctive destination Deliver immediacy, action and engagement in our communications ~ our objective is to get US consumers to visit Ireland now, not just sometime in the future
2. Iconic ‘must do’ experiences ~ compelling experiences to captivate the consumer We will align the needs of our target segments with the experiences Ireland has to offer, putting forward compelling reasons to travel to and experience Ireland We will fully leverage our major events and attractions to drive visitor numbers, including St Patricks Festival, Titanic, Derry / Londonderry UK City of Culture We will focus on key cities as prime reasons to choose and experience Ireland
We must translate goodwill towards Ireland and high levels of ‘intention to travel to Ireland’ into enquiries, booking and ultimately highly satisfied visitors. Our focus is on moving US consumers from “looking to booking”.
3. Call to action ~ reasons to visit Ireland now We will include a direct call to action in our messaging to encourage and facilitate the consumer booking a trip to Ireland Ensure there is a strong ‘call to action’ messaging in co-op activities, interested consumer will be in no doubt as to what to do next We will further strengthen our presence and impact on digital channels – which are key platforms for planning and purchasing
4. Conversion partnerships ~ team Ireland winning the consumer We will focus on improving the conversion ratio (from enquiry to booking) in key sales channels, backing winners and high potential operators with a special focus on Northern Ireland We will support and collaborate with industry partners to communicate Ireland’s convenience and value as these are two known triggers for conversion We will invest in ‘carrier’ led conversion programmes We will encourage trade and industry partners to increase destination promotions for Ireland
Strategic Pillar 3: While our primary efforts in the period 2013-2015 will focus on building on existing brand strengths and delivering increased visitor numbers in peak seasons, we will also focus on extending Ireland’s relevance in ‘shoulder’ seasons (March, April, October, November).
New Brand Relevance
We have identified untapped potential to extend Irelands relevance beyond the long stay proposition and we will work with core partners to deliver this. While we need to continually enhance and develop Ireland’s relevance we must also broaden the brand relevance. Ireland must be perceived as having the capacity to offer a wide range of experiences at different times of the year and for different lengths of trips, creating and communicating a rich reservoir of reasons to choose Ireland now – whatever time of the year it happens to be.
In order to drive new brand relevance for Ireland we will be concentrating on three specific areas over the course of the plan.
1. Extending seasonal relevance The focus of this strategy will be to make Ireland more relevant in ‘shoulder’ seasons and develop ‘seasonal niche’ opportunities. In order to do this we will: •
Identify and promote key experiences / events that take place in shoulder months, including Dublin’s festival season amongst others
•
Support trade partners to develop and communicate shoulders season propositions and packages
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Measure impact and outcomes, to revise and strengthen our approach
Making ‘brand Ireland’ relevant to consumers and in new and different ways
2. City based proposition
3. Six day visit proposition
Primarily targeting Young Independents living on the East coast of America, we will promote a city based proposition for Dublin and Belfast. This strategy will be deployed with a focus on driving volume in the shoulder seasons and be supported by:
There are a vast number of US consumers that are ‘cash rich and time poor’ due to lower annual leave entitlements. In response to this we will develop and communicate a six day visit proposition to Ireland. This has at its core the development and implementation of a balanced city / countryside visit, enabling a potential visitor to experience the best of Ireland in less than a week. This strategy will be supported by:
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Precise targeting, communications and channel marketing
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The definition and communication of experiential city based packages
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Collaboration with key industry including tour operators and carriers to develop and promote attractive city based packages at accessible price points
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The definition and communication of balanced experiential city / countryside breaks
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Collaboration with key industry (operators and carriers) in order to define, develop and promote relevant packages at appropriate price points
Through our strategy to drive new brand relevance we will make Ireland more accessible to a broader range of consumers, getting new consumers to consider Ireland and those may have considered Ireland in the past to re-appraise it as a real holiday destination.
Areas of Special Focus 1:
Digital Being brilliant on a key channel for consideration and purchase Digital, broadly encompassing the internet, mobile / tablet and social media, is a key platform through which consumers not only research vacation options (driving consideration) but for many it also represents a key channel through which consumers make decisions, plan and purchase their holidays. The relevance and importance of the digital platform is only set to increase and with this in mind it is vital that the brand excels in this environment.
To build on our current success in the digital environment Ireland will:
INSPIRE Through the digital platform we will inspire consumers and motivate them to visit Ireland on their next trip overseas.
PERSONALISE We will enable individuals to create a personal vision of their trip – what they will do, how they will interact with icons, experiences.
INFORM Potential visitors will be provided with relevant information that influences them to choose Ireland and enables them to plan their trip.
CONNECT Connect consumers with relevant partners (trade / industry) so they can make bookings, facilitating conversion.
Now more than ever being brilliant in the digital world is a key factor for brand success. We will strengthen what is already a solid base, lead the way relative to our competitors, ultimately winning consumers and drive performance through the digital platform.
In order to achieve this we will focus on three key objectives:
1. Optimise brand positioning and messaging
2. Position the brand optimally for sale
3. Facilitate and engage in brand dialogue
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•
Focus on OTAs and all key online sales platforms
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Foster brand ambassadors online
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•
Improve conversion ratio and ranking online
Stimulate brand conversations in digital environments
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•
Make active intervention in relevant environments, drive call to action and target competitors
Drive relevant content sharing and distribution
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Leverage relevant databases and information
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•
Outstanding execution of our brand strategy in digital environments Feature key experiential propositions as key content Stimulate and facilitate influencer content including bloggers, journalists
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Enhance the connection between TI digital environments and trade to facilitate sales
Areas of Special Focus 2:
Airfares & Access Focussing on fundamentals that make a big difference Although the areas of airfares and access to the island of Ireland sit outside our direct influence they are key factors that have the capacity to support or indeed inhibit Ireland’s performance. So it is of high importance that we do everything within our power to optimise conditions with respect to airfares and access. Building on the success of securing new access in 2013, we must continue to leverage our relationships, assert our influence and collaborate with key stakeholders and partners, in order to bring about the best conditions possible to facilitate consumers booking their trip and visiting Ireland.
Key strategies and actions
Airfares We will highlight proximity and ease of access of Ireland relative to other Western European destinations
We will develop a season extension strategy so that consumers are attracted to Ireland in off peak periods when airfares are more affordable Focus co-operative investment on campaigns that will drive incremental visitors during the shoulder season
We will continue to develop and manage relationships which will influence access and route development. We will work with all stakeholders to advocate the development of access onto the island of Ireland
Access
We will support all stakeholders who are working to support route development and the retention of critically important routes
We will assist carriers in route development and target carriers and gateways that service behind point access markets
We will help promote strategically important routes through co-operative campaigns with carriers to exploit the development of new and existing routes that are strategically important for the island of Ireland
We will share marketing and promotional plans with carriers to motivate route development / promotion and drive future intention for greater capacity and new routes
The Fundamentals Focussing on the building blocks of our brand and organisation. The ‘Make Ireland Jump Out’ strategy is underpinned by the management and development of key fundamentals that support the brand, key stakeholders and the Tourism organisation and team in the US. While we must push on with ambition and energy and deliver our strategic intent we must also have a focus on continuing to get the basics right and strengthening the key foundations of brand Ireland in the US.
These ‘basics’ are defined as follows: Product Messaging Trade Value Organisation
Product
Messaging
Trade
• Ireland as a destination is ‘America friendly’. We will continue to promote fundamentals that are of appeal to US consumers: English speaking, safe, compact, accessible, infrastructure, immigration, hospitality, accommodation (diverse properties)
• We will focus on ‘motivation based’ messaging – providing reasons to choose Ireland in all relevant communications
• We will maintain and develop priority trade relationships
• We will amplify differentiated and motivating product attributes based on an insight into our target consumers • We will identify and manage product failures, weakness and gaps
• We will be more singular in our messaging. We will over extend the brand • We will amplify and focus on consumer key drivers (access, affordability, urgency)
Value
Organisation
• We will continue to reinforce value for money and affordability through relevant messaging
• We will have a ruthless focus on prioritisation
• We will support the trade to create and communicate experiential value packages and bundles at relevant price points (underpinned by co-operative investment) • We will drive our value for money perception through word of mouth strategy
• Impact metrics to be applied where possible and useful, with a primary focus on return on investment metrics • We will deploy our resources (time, money and people) based on where we believe we will get the greatest return and have the greatest impact on brand performance
• We will gather information relating to conversion ratio and ranking and seek improvement through collaboration • We will assess and strengthen the OTA network and relationships
Conclusion We have a clear strategy with challenging goals.
Ultimately the strategy is about building on the strengths and stature of brand Ireland in the US and enhancing the brand appeal by:
We are confident that if we can execute the strategy that has been defined the period 2013-15 can be a very successful one for brand Ireland in the US.
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bringing a sharper focus to the consumers we are trying to influence and win (connecting with them in a more compelling way than we ever have)
Acknowledgements
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motivating people to choose, plan and book in the here and now
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broadening the relevance of Ireland as a holiday proposition so that we make it more relevant and accessible to more people
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collaborating with all key stakeholders to bring a joined up approach to delivering brand Ireland
We would like to thank the US Marketing Partnership Group for their valuable input into the US market review. We are also very grateful for the contributions made by experts within the US and Irish travel trade during the US Market Review. The contribution of Genesis is also acknowledged. Marketing Partnership Group Members Nico Zenner, President, Brendan Vacations Janice Gault, Chief Executive, Northern Ireland Hotels Federation Brian Stack, President, CIE Tours International Jack Foley, Executive Vice President, North America, Aer Lingus Bert Accomando, President, GCS/Sceptre Tours Marc Kazlauskas, President, Insight Vacations *Jim Brody, Vice President Marketing, Oyster.com *Audrey Hendley, Vice President, American Express *Eamonn McKeon, Chief Executive, ITIC *Alison Metcalfe, Vice President, Marketing USA, Tourism Ireland *Joe Byrne, Executive Vice President USA, Tourism Ireland
* Members of the US review working group chaired by Alison Metcalfe.
It is a strategy we believe in and one we are determined to deliver on, so let’s work together to Make Ireland Jump Out.
Contacts Tourism Ireland
Tourism Ireland
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Dublin 2, Ireland
T: +1 212 418 0800
T: +353 1 476 3400
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F: +353 1 476 3666
E: info.us@tourismireland.com
E: corporate.dublin@tourismireland.com