New Mexico Tourism Department Strategic Plan

2011/2012 Action Items

Summing Up the Research

Tourism is a critical economic driver for the state Contributing $5.5B to the economy,

$770mm in Tax Receipts Accounting for over 55,000 jobs

There is significant potential upside Currently 36-38th in terms of states

people are visiting 1% of Domestic Travel Market ~32% of visitors are just passing through

(vs. 16% for our 4 corner neighbors) We suffer from low awareness and

damaging misperceptions

If we don’t proactively make changes, things will get worse In 12 years, nearly ¼ of our visitors will

have expired or stopped traveling Average trip spend in NM continues to

decline and is below the national average

A New Day, A New Approach We will move from a tourism service agency to a tourism generating agency

We will focus on fewer, bigger things and do more with less

We will elevate our game and expect more from the everyone we work with – good enough is not good enough

We Have Lofty Goals NMTD Vision: Become the fastest growing leisure

travel destination in the U.S.

Meet the needs of the industry

Business Objective: Accelerate NM tourism, driving unprecedented revenue growth and occupancy rates

By meeting the needs of the traveler

Marketing Objective: Make New Mexico a primary travel destination by giving “Venturesome” travelers compelling reasons to choose NM as their next great travel experience

1.) Build a strong, magnetic brand2.) Unify and lead the industry3.) Ramp up the rigor4.) Block and Tackle

New Mexico Tourism Department Strategic Planks

How Will We Build a Magnetic Brand?

DEFINE the brand and consumer

GENERATE awareness

CONVERT trips*

FUEL advocacy

* Primarily the responsibility of specific DMOs and partner entities

Key 2011/2012 Action Items: Build the Brand

1.) Define the brand and consumer Work sessions - wide range of perspectives from the broadly defined

industry Research - quantitative and qualitative

Longwoods deep dive, focus groups in Chicago, LA, Houston, and ABQ Leading to a tight positionin

g statemen

t

Leading to a tight positionin

g statemen

t

To travelers with an adventurous spirit and thirst for authenticity, New Mexico is the destination that

feeds the soul because it offers adventures steeped in a rich culture.

To travelers with an adventurous spirit and thirst for authenticity, New Mexico is the destination that

feeds the soul because it offers adventures steeped in a rich culture.

Our Passionate, NM Brand Lovers Appear to be a Strong Fit for the Plog “Venturer”

Psychographic Traveler Profile*

Characteristics: Self-confident A leader Intellectually curious Quick decision-making Desire to explore ideas and places Active and energetic Spend discretionary income more

readily Rely on their own judgment Prefer varying activities &

challenges

Travel Behaviors: Travel more frequently Spend more per day More likely to travel via air Prefer unusual, underdeveloped

destinations that have retained their native charm

Accept unconventional accommodations as an integral part of a unique vacation experience

Prefer to participate in local customs and habits and tend to avoid those that are staged for tourists.

Tend to seek new destinations each year to add to their treasure of rich experiences.

8*Based on Plog Traveler Personality Type model (40 years of scientifically validated travel research)Source: TNS/Plog Research, 2001.

To Better Understand This Important Psychographic Target, We Created a Custom

Venturer Attitudinal Profile Based on Available TNS Measures

9

“I frequently search magazines and websites for information about travel destinations and tourism operators I'm interested in”         “I love hunting out the newest travel experiences before anyone else catches on to them”           “When I find a new travel destination or tourism operator that I really like I have to tell others all about it”       

“I love to relive my travel experiences by discussing them with other people”    

“My family and friends often ask my advice on travel matters”“I often go out of my way to find travel and tourism operators that offer really genuine, authentic experiences”

“I am prepared to pay more to visit places or use operators that offer something really original”   

Proactive, information seeker 

Early adopter

Opinion leader

Invests in the extraordinary

Attitudinal Profile

Source: Katie Connolly Assoc. custom analysis of Plog Research and TNS attitudinal variables, 2010

10

Demographic ProfileMore likely to be:

Aged 18-44

Never married or currently married

From a major metropolitan city (especially

Los Angeles, San Francisco, Miami, Chicago

or New York)

$75K+ HH income

The Result Was a Clearer Picture of the “Venturer” in Terms of Key Demographic

Dimensions. . .

Detailed analysis of aggregate fit with Venturer profile by demographic variable in appendixSource: Katie Connolly & Associates, LLC Custom Venturer Analysis, 2011; TNS Travel Data 2008-2010

Our Cumulative Consumer Learning, Along With Recent Qualitative Research, Led to These

Hypothesized Triggers & Barriers to Choosing NM as a Travel Destination

TRIGGERS Un-processed, authentic

natural and cultural vacation experiences

Outdoor sports/recreation (“stuff to do”)

Beautiful landscapes Interesting historical sites

and architecture Unique local cuisine Not “touristy”

BARRIERS Not top of mind (low

visibility/awareness) Don’t know what to

do/nothing to do Hard to get to Hot & dry weather Lack of quality & variety in

food and accommodations Fewer recreational

activities (vs. Colorado)

11Source: KCA, LLC Situation Analysis, 2011; NM Branding Online Survey, CRC 2010; Saatchi Positioning Qualitative, June 2011.

Key 2011/2012 Action Items: Build the Brand

DEFINE the brand and consumer GENERATE Awareness

Find the right partners• RFP for Advertising agency issued 9/2/11, finalized

12/15/11• RFP for PR firm to be issued 12/15/1, finalized 2/1/12

Roll out new campaign: April 2012

Key 2011/2012 Action Items- Build

the Brand

DEFINE the brand and consumer GENERATE Awareness CONVERT trips

Issue RFP for new website 12/1/11• SIMPLE, STUNNING and

SELL• To include an app/mobile

presence and booking agent

Key 2011/2012 Action Items - Build the Brand

DEFINE the brand and consumer GENERATE Awareness CONVERT trips FUEL advocacy - get others

spreading the word about our brand Advocacy Program

• $3.2B over 3 years NM Magazine

• New editor, new publisher, new organizational structure

Celebrating 90 Years!

Refocused Mission: Celebrate the best the state has to offer in ways that benefit readers and industry partners, and help grow awareness of the great travel opportunities here, our adventures steeped in culture!

Improved Covers and Content

Results:FY’12 Revenue up 8.7% ($432,773 vs. $398,189) and Paging up 33.9% (111.88 vs. 83.58) vs. YAGO Jan’12 Centennial Issue Revenue up 47% ($51,248 vs. $34,866) and Paging up 67%  (14.81 vs. 8.87) vs. YAGO

New Mexico Magazine

1.) Build a strong, magnetic brand2.) Unify and lead the industry3.) Ramp up the rigor4.) Block and Tackle

New Mexico Tourism Department Strategic Planks

How Will We Unify and Lead the Industry?

SPEAK with one voice

CREATE scale and synergy

INSPIRE product development

Key 2011/2012 Action Items –Unify and Lead

SPEAK with one voice Develop brand book-rolled out today! Regional Marketing changes

• Conducted a regional summit in September to begin sharing ideas and create a sense of state-wide marketing unity.

Build an industry website to keep us all on the same voice-launching this week!• We will give updates on deadlines, happenings, research etc...• Site will provide an outlet for the industry to give ideas and feedback to the

department

NOTE: Only as good as it gets used!

PLEASE REACH OUT TO MIKE STAUFFER WITH SUGGESTIONS

Key 2011/2012 Action Items- Unify and Lead

SPEAK with one voice ✓ CREATE scale and synergy

Co-op• Rolled out changes ✓• Evaluated presentations and reviewed proposals ✓• Awards granted wk of 11/4• Kick off next cycle date – Spring 2012

Changed approach to trade shows Ad Partnership

Key 2011/2012 Action Items –Unify and Lead

SPEAK with one voice ✓ CREATE scale and synergy ✓ INSPIRE product development

Indian Tourism• On going meetings with tribal officials to understand marketing and

promotional needs.• Implemented the first Tourism Department organized Native

American information booth at the New Mexico State Fair. Clean and Beautiful

• Awarded $596,000 in grant funding to 56 communities across the state.

• Conducted two administrative statewide workshops for grant administration covering expectations, reimbursement, and record keeping procedures.

Sports Authority• Re-evaluated approach based on limited budget• Creating a statewide adventure expo, “New Mexico Active” to be

held March 2012.• Ski and Tee promotion during New Mexico Bowl.

1.) Build a strong, magnetic brand2.) Unify and lead the industry3.) Ramp up the rigor4.) Block and Tackle

New Mexico Tourism Department Strategic Planks

How Will We Ramp Up the Rigor?

ENABLE informed decisions upfront

MONITOR and adjust course accordingly

VALIDATE our impact

Key 2011/2012 Actions Items - Ramp up the Rigor

Enable informed decisions upfront Custom consumer research (i.e. focus groups) ✓ Best-in-class tourism data source (Longwoods Int’l) ✓

Monitor and adjust course accordingly Pre and Post measurement to ensure continuous improvement

(ex: Vacation Guide) Issue Quarterly Reports- January

Key 2011/2012 Actions Items-

Ramp up the Rigor

Validate our impactMeaningful & Accurate

Performance Measures• ROI• Economic Impact• Jobs

1.) Build a strong, magnetic brand2.) Unify and lead the industry3.) Ramp up the rigor4.) Block and Tackle

New Mexico Tourism Department Strategic Planks

What Will We Do To Block & Tackle?

MAINTAIN drive market

AFFECT efficiency of international presence

MAXIMIZE short term promotions

Key 2011/2012 Actions Items - Block & Tackle

MAINTAIN drive market I-40 Program – Partnering with Lamar

Outdoor to utilize billboards along I-40, I-25, and I-10 to get people off the highways

Visitor Information Centers

AFFECT efficiency of international presence

Creative solutions to maintain presence (Japan, Europe)

MAXIMIZE short term promotions

Catch the Kid $4-5Mm direct, over $10MM in

media value Centennial

Promotion being developed-will launch January 6th

Thank You!!!