1:30 pm 2:45 pm

STRATEGIES FOR NEW GROWTH

MAKING THE SHIFT TO EXPERIENTIAL TRAVEL PRODUCT DEVELOPMENT

Moderator: Nicole Leaper, Director Brand and North America Marketing, OTMPC Presenters: Lesley Anderson, Brand Experiences Manager, Canadian Tourism Commission Dr. Nancy Arsenault, Managing Partner, Tourism Caf Canada

STRATEGIES FOR NEW GROWTH

Making the Shift to Experiential Product Development

Ontario Tourism Summit London, Ontario Making the Shift to Experiential Product Development

An Industry Workshop with: Lesley Anderson, Canadian Tourism Commission & Nancy Arsenault, Tourism Cafe Canada

23 October 2012 1:30 - 2:45 pm

Welcome to our world!

Focus on the experience, the emotional emotional
engagement and The Ing-thing

Driving the value proposition up Tips from CTC Signature Experience Members

Experiential Travel
Engages visitors in a series of authentic, memorable travel activities, revealed over time, that engage the senses, are inherently personal and make connections on a physical, emotional, spiritual, intellectual or social level.
Source: Nancy Arsenault (2004)

Experiences Enable us to Compete on Value

Value is the immunization factor. When there is no difference in value people buy on price alone. Competing on value allows you to create a be different strategy that your competitors will have difculty copying. Roy Osing. (2009). Author of Be Different or be Dead: Your Business Survival Guide

Developing, delivering and experiences that appeal to

Experiences Allow Canada to Compete on Value

Inniskillin, ON Gatheralls Pufn & Whale Watching, NL Great Spirit Circle Trail, ON

Credit: Inniskillin

Credit: Gatheralls

Credit: Great Spirit Circle Trail

Infrastructure

Activities

Programs

Benets from Raising the Bar on Engagement, Personalization, Connections & Value
Greater Differentiation, Emotion, & Engagement

Partnerships+&+Connec0ng+ to+People,+Place+&+Culture

Emotional Engagement
Competitive Position

Programs

Physical Engagement
No to Low Differentiation, Emotion, & Engagement

Activities

ROI + ROE

Infrastructure

ROI
Pricing & Prots

Increased+Sales,+Brand+ Strength+&+Advocacy

(c) 2012 Lesley Anderson & Nancy Arsenault

Experiential Product Development

Greater Differentiation, Emotion, & Engagement Activities/ Services Deliver Competitive Position Goods Make Commodities No to Low Differentiation, Emotion, & Engagement Market Price Pricing & Prots
Adapted from Pine & Gilmore 1999

Experiences Stage

Low Volume High Yield

High Volume Low Yield

Premium Price

(c) 2012 Lesley Anderson & Nancy Arsenault

Experiential Product Development

Greater Differentiation, Emotion, & Engagement Activities/ Services Increased Sales Deliver Competitive Position Goods Make Commodities Increased Sales No to Low Differentiation, Emotion, & Engagement Market Price Pricing & Prots
Adapted from Pine & Gilmore 1999

Experiences Stage

Low Volume High Yield

Increased Sales

High Volume Low Yield

Premium Price

(c) 2012 Lesley Anderson & Nancy Arsenault

Heritage Park Historical Village, AB

Edible Canada, BC

Credit: Heritage Park Historical Village

Credit: CTC

CN Tower, ON

Infrastructure Based Companies

Inniskillin, ON

Credit: CTC

Credit: Inniskillin

Credit: CTC

Inniskillin, Niagara-on-the-Lake, ON
www.inniskillin.com Greater Differentiation, Emotion, & Engagement Low Volume High Yield

Extreme Icewine (Experience) Competitive Position Restaurant & Wine Tasting (Service/ Activity) Wine & Gift Store (Goods) No to Low Differentiation, Emotion, & Engagement Market Price Pricing & Prots Grapes (Commodities) Premium Price High Volume Low Yield

www.inniskillin.com

Credit: Inniskillin

Credit: Inniskillin

Commodity:
Market Price

Grapes: 88/kg -$2.20/kg or 40 to $1.00/lb Wine: $12 to $100

Goods:

Activities/Services: Inniskillin Classic Tour: $9/per person

A Sampling of Experiences
www.inniskillin.com

Extreme Canadian Wine Experience $27 pp

Great Canadian Kitchen Party: $80 pp

Market Price

Exclusive Cool Culinary Experience: $150 pp

Credit: Inniskillin

Inniskillin, Niagara-on-the-Lake, ON
www.inniskillin.com Greater Differentiation, Emotion, & Engagement

Competitive Position

' nt, ue me 'Val e ag nd n g n s 'a 'E o n 4o ar' nnec 'B he C o g't on,' i si n 4 Ra aliza n rso Pe

' I'& RO

E RO
Sales,'Brand'Strength' &'Advocacy

No to Low Differentiation, Emotion, & Engagement Market Price

RO

Premium Price Pricing & Prots

Snowy Owl Sled Dog Tours, AB

Arctic Range,YK/NWT

Credit: CTC

Credit: CTC

Gatheralls Pufn and Whale Watch, NL

Activity Based Companies

Power River Sea Kayak Ltd, BC

Credit: Inniskillin Credit: CTC

Gatheralls Pu
Greater Differentiation, Emotion, & Engagement

n & Whale Watching

www.gatheralls.com

Low Volume High Yield

Picnic with the Whales (Experience) Competitive Position Whale Watching Tours Weddings, Corporate Events (Activity/Service) High Volume Low Yield

Gift Shop (Goods) No to Low Differentiation, Emotion, & Engagement Market Price Pricing & Prots Ocean (Commodities)

Premium Price

Great Spirit Circle Trail, ON

Heartland Tours, MB

Credit: Great Spirit Circle Trail

Program Based Companies

Cape Race, NL

Credit: CTC

Experience PEI

Credit: Cape Race

Credit: CTC

Great Spirit Circle Trail

Greater Differentiation, Emotion, & Engagement Experience the Past, Enjoy the Present (Experience) Competitive Position Training & Education (Service) Low Volume High Yield

(Goods) No to Low Differentiation, Emotion, & Engagement Market Price Pricing & Prots High Volume Low Yield

(Commodities)

Premium Price

Your Turn!

Greater Differentiation, Emotion, & Engagement (Experience) (Service) Competitive Position (Goods)

Low Volume High Yield

No to Low Differentiation, Emotion, & Engagement Market Price

(Commodities)

High Volume Low Yield

Premium Price Pricing & Prots

In Summary: Know what business are you in

Infrastructure Activities Programs

Know which emotion(s) are at the core of what you are offering Focus on authenticity, stories, local avour, people to layer in the emotional connections to differentiate yourself amongst similar businesses

New Signature Experience Collection Case Studies

Thanks!

nancy@tourismcafe.org 250.391.6077 www.tourismcafe.org

anderson.lesley@ctc-cct.ca 604.638.8364 http://caen.canada.travel/