adventure traveler statistics
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North American Adventure Travelers:
Trends and Attitudes About Adventure and Ecotourism in Brazil
September 20, 2011
ABETA Adventure Travel Summit
Sao Paulo, Brazil
Christina Heyniger Tourism Practice
© 2011 Vital Wave ConsultingTM Proprietary and Confidential: Do not copy or distribute.
Background
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This presentation provides a very brief excerpt of the results of a study of U.S. adventure travelers conducted on behalf of Embratur from May – August, 2010.
The presentation also contains analysis based the results of a study conducted in partnership with The George Washington University and the Adventure Travel Trade Association in 2009 which had the goal of sizing the global adventure travel market ( surveyed consumers from 6 countries, 855 respondents).
If you would like to ask questions or discuss any of the materials in this presentation further, please contact Christina Heyniger: [email protected].
Additional research about the adventure industry is available www.xolaconsulting.com/research.
© 2011 Vital Wave ConsultingTM Proprietary and Confidential: Do not copy or distribute.
Goals of This Presentation
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Discuss Current Trends in Tourism and Adventure’s Expanding Role
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Share Key Findings from North American Adventure Traveler Consumer Study Conducted for Brazil
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Suggest Ways Brazilian Companies Can Apply This Information
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Defining Adventure Travel
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Trends in International Tourism Mass Tourism and Adventure
1950s 2000s
Mass Tourism; 4% average growth per year
Adventure Tourism; 17% growth in 2009 and 2010
2010
26% penetration
50% penetration
2050
?
Time
Gro
wth
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Adventure Travel Global Statistics, 2010
• $89 Billion in global spending
• 16% of all departures from Latin America, North America and Europe are for “Adventure Travel”
SOURCE: Adventure Tourism Market Report, Study by George Washington University, Adventure Travel Trade Association, Xola Consulting; 2010
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© 2011 Vital Wave ConsultingTM Proprietary and Confidential: Do not copy or distribute.
Brazil wants to capitalize on the growing interest in adventure tourism
• Profile U.S.-based international adventure travelers
• Gauge traveler market size for adventure travel to Brazil
• Gauge tour operator market size for adventure travel to Brazil
• Provide competitive analysis
Embratur requested marketing support,with market research which would:
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Study Method and Bias
• 825 complete and valid surveys of U.S. citizens were obtained from a US National behavioral panel. Sampling error = +/- 3.14%
• Focus groups with adventure travel tour operators: Geographic Expeditions, Cox&Kings, Natural Habitat, Travcoa, Austin-Lehman, Lost World Adventures, Zegrahm
• Surveys were distributed online
• Respondents were clustered according to lifestyle values, for example: family security, a comfortable life, a world at peace
• Differentiated “adventure” travelers by activities they engage in and classified into four groups:
Hard/ Soft/ Eco/Other
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“Eco-Traveler” Seeks connection with authenticity of people and nature
“Adventure Traveler” Seeks connection with nature via thrilling activities
“Eco-Adventurer” Seeks authentic, thrilling and/or awakening activities
Motivations of Adventure Travelers
Understanding the emotional drivers: activities are really a way into the desired emotional experience.
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Personality Profile of the current US consumer for ecotourism and adventure travel
“ECO – ADVENTURER” profile is the largest segment:
• Authentic
• Thrilling
• Awakening Experiences
Values:
• A comfortable life
• An exciting life
• “Wisdom” is low on the list
15% of the U.S.
population fits this profile
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Photo by Ion David, Travessia http://www.travessia.tur.br/pt-
br/
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Eco-Adventurer Personality Profiles
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1. ClubMed-goer with Kids (2%):
• Family Fun and Exciting Authentic Experiences
• “I would like to have authentic experiences with my son/daughter, but want exciting adventure for me and my spouse/partner as well. All in a safe environment.”
• Day trip with family to natural sites, volunteer and educational tourism, “Club Med”.
2. Cultural Adventurer Family (2%):
• Comfort, Visiting Cultural Places
• “I want to be able to see another culture with my family, and understand it, yet we need comfort, safety, and familiar surroundings.”
• Day trip to cultural sites, volunteer tourism.
3. Bohemian Bourgeois Adventurer (6%)
• Organized, Comfortable, Exciting Discoveries
• “I am not waiting to complete my bucket list. The time is now, and on my terms. Green is important, but excitement says vacation best.”
• Safari and Amazon Survival
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Eco-Adventurer Personality Profile, continued
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4. Museum and Cultural Enthusiast (3%)
• Relaxing, Discovery of Culture
• “If its in the guide, I have to do it, but I would love to also discover unique places with my guide.”
• Visiting World Wonders
5. Young, Eco-Lodge Traveler (1%)
• Immersion in Natural Environment
• “Finding the place to stay that captures the essence of the culture is and adventure in itself.”
• Trekking, Whitewater, mountaineering
6. Mature Eco-Traveler (1%)
• -Understanding cross-cultural differences in a relaxing way.
• “I find it fascinating to engage locals in a conversation, and be able to help them the best I can.”
• Volunteer Tourism, Kayaking and Trekking with locals
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Demographic Profile of Respondents and Use of Tour Operator Services
50% Male 50% Female
25% Age 18-29
40% Age 30-41
20% Age 50-74
15% Age 42-49
37% of this age group use tour
operators
63% of this group use tour operators
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The largest demographic segment is not currently using tour operator services
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Current U.S. Consumer Market to Brazil for Adventure Travel
$18.8B Value of U.S. eco-adventure outbound to worldwide destinations
(Based on consumer surveys, 855 respondents from 6 countries representing 73% of global expenditures)
600,000 visitors (per Brazil Ministry of Tourism: 765,380 total travelers from Canada, US and Mexico; approx. 600,000 from USA) We used consumer surveys to find out, how many are engaging in adventure activities? 15% or 90,000 are coming to Brazil and participate in adventure activities (independent and through tour operators). Average spend per trip = $1200 (Average trip = 5-7 days Spend per day = approx. $171 per day)
$108M Value of current eco-adventure to Brazil
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Photo by Ion David, Travessia http://www.travessia.tur.br/pt-br/
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Spending Detail: The spending per trip seems low! What’s the story there?
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• This survey collected information from all clusters of travelers without regard for whether they use tour operators; backpacker and independent adventurers comprise some of this group
• Embratur data, which does not break out mass vs eco travelers indicates that average spending is $81 per day for tourists in general and $113 for business travelers, with an average of $1100 per trip
• Package analysis of adventure operator services shows that the average price per day for Brazil is $258. However, we know these businesses are aiming at the tip of pyramid, and are not capturing a large proportion of travellers, so this number is on the high end
The current per trip spending is $171 per trip; this indicates an important opportunity. There is room for growth!
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Potential U.S. Consumer Market to Brazil for Adventure Travel
The final result is growth from 90,000 people to 241,000 people for adventure travel to Brazil @$1200 per trip = $426 million per year
Increase Tour Operator Demand
Bring this up from 1% to 3% = 144,000 people
Increase Independent Adventurers
Double this from 80,0000 to 160,000 people
Convert More Mass Tourists
600,000 mass tourists – 90,000 eco adventure = 510,000 mass. Convert 10% of those = 51,000
Tour operators taught us that they currently send 1% of guests to Brazil (about 48,000 people). Increase this to 3% of guests, you have 3x the volume of 144,000.
Consumer survey responses indicate few people use tour operator services
$426Million
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Conservative projections for possible growth in 24 months…
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25%
20%
18%
16%
8%
8% 3%
Landscape of US Market of Eco-Adventure Tour Operators
small businesses $5,000,000 in annual revenues
estimated $1,000,000 in annual revenues
$500,000 in annual revenues
$250,000 in annual revenues
$50,000 in annual revenues
over $30,000,000 in annual revenues
over $10,000,000 in annual revenues
Estimated Total number of eco-adventure tour operators = 3383
Total Annual Revenues = $14, 839, 027, 500
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Why is Brazil Under-Represented Among Tour Operators
Tour operators don’t offer more Brazil for the following reasons:
1) Low awareness
2) Fear of administrative hassles (visas, for example)
3) Lack of understanding of adventure opportunities, dominating image of Brazil is Carnival, for example
4) The competition does a better job of raising awareness for eco-adventure, especially around icons such as Macchu Pichu, Galapagos, Patagonia
Brazil needs to select and promote adventure
related icons
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Brazil’s Market Share in contrast to the competition
• 3.3% of US eco adventurers have been to Brazil in the past 3 years
• 5% have been to Australia
• 3% have been to New Zealand
• 25% have been to Mexico
• 31% to Canada
• 75% travel within the United States
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What makes eco-adventurers choose Brazil?
Travelers see Brazil as a part of Latin America and choose it as a destination from among other Latin America destinations, after they’ve already decided to visit Latin America
• Advice of Friends and Family, Internet Searching • Attractive offers from Tour Operators
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Selling Eco-adventure to Brazil Looking at Current Branding
Great for Consumer Recall
Does not convey Brazil’s competitive differentiators to eco-adventurers
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What about the language used to sell “adventure” travel and “ecotourism”?
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It doesn’t matter what you call it; people choose the trip based on how well it is described to them
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Next Steps
Local Activities
Web 2.0+ New tech is lowering cost of entry for this
fragmented sector into travel distribution
Search Web search is
increasingly focused on local (e.g Yelp,
Google)
Mobile: Using mobile devices to deliver relevant local
content from GPS, profile, social network
Social: Tying social
connections into online “local”
recommendations
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Thank you! For more information: