The Rock: sense of place rings true for Canadians

Claude-Jean Harel takes in Cape Spear, Newfoundland and Labrador

(Originally published in TOURISM)

Charlotte Jewczyk, manager of market development and travel trade at Newfoundland and Labrador Tourism, confesses enthusiastically that the domestic market has always been the highest producer for her province. “It is the Maritimes and Ontario, mainly. Lately, however, we have seen growth from Quebec and Western Canada.” More importantly perhaps, Jewczyk has witnessed an increase in expenditure from those markets. “Visitors are coming in and they are seduced by experiences which are a little higher-end. Because there has been significant investment in our accommodations infrastructure at that level, we are getting a higher return from those visitors. We are meeting the demand of sophisticated travellers who want the comforts — hard days and soft nights.”

Jewczyk also notes a sustained increase in cruise activity. “The cruise sector is a promising one for Newfoundland and Labrador, particularly for circumnavigation, because we have 27 ports of call. So cruise itineraries include communities where visitors wouldn’t otherwise be able to get accommodations on land. These are expedition cruises; I know cruise tour operators whose packages for 2008 are already sold out.”

So, why are consumers attracted to these types of experiences? Jewczyk says much of it has to do with the destination’s brand. “Our branding continues to serve travellers who seek enriching, soul-finding experiences. For a number of reasons, Newfoundland and Labrador delivers that in spades. Whether it is an encounter with a taxi driver or the home-made bread, or the fresh air, it is all of those multi-layered experiences they don’t get in the big city which seem to lure them.”

The other thing that speaks to Canadians in particular, according to Jewczyk, is the culture of Newfoundland and Labrador. “It is reflected in our music, artwork and literature. Our books are read more, our artwork is seen more, all of which helps to promote the destination.”

Is there something exotic about Newfoundland and Labrador for Canadian consumers? “Absolutely,” answers Jewczyk. “I think we have come into our own as a mature destination that is off the beaten track. Our research says many clients come because they have always wanted to see Newfoundland and Labrador. Through our meetings and conventions, they are sometimes given an opportunity (through pre- and post-convention tours) to bring additional economic impact to our province.”

She explains how much of this success has to do with being authentic and experiential: “These are things which were given to us by nature, by geography, and by archaeology; (things like) our marine environment, our natural history, our people and our sense of place. There is a wonderful synergy about what Newfoundland and Labrador has to offer; it is a natural progression for us to inspire ourselves from that opportunity.”

And visitors seem to appreciate it. Jewczyk says the average length of stay in the province is between 10 and 12 days. “So we have a good return once somebody decides to come to Newfoundland and Labrador. There is no such thing as an accidental tourist here. Coming here takes a deliberate decision; you don’t just 'drop in' to visit Newfoundland.”

Nova Scotia looks to Ontario and the west for domestic visitors

(Originally published in TOURISM)

Like other Canadian destinations, Nova Scotia is feeling the downturn in the US market. According to John Somers, director of marketing in the tourism division at the Nova Scotia Department of Tourism, Culture & Heritage, “the main culprits include the dollar and the continued reluctance of Americans to travel outside their own country and to Canada.”

He says it has been a year for domestic tourism: “The biggest increases we have seen have been mostly out of Ontario; I believe in the month of July we have seen a 19% increase in road traffic. That is kind of counter-intuitive to us, but we created profile with the “Ceilidh in the Capital” promotion we did in the Ottawa area this year.”

Somers believes the strength of these marketing efforts lies in identifying a target audience aligned with the CTC’s concept of the cultural explorer. “In conversations with our customers, the type of people who are interested in coming to Nova Scotia (particularly from a medium to long-haul market) are people who are genuinely interested in engaging with the destination to which they travel, experiencing the local culture. This is strongly wrapped up in a more conventional view of Nova Scotia’s great outdoor experience; it is that kind of combination which wins the day for us.”

Somers says research results show that a lot of medium-haul travellers still see Nova Scotia very much as a ‘drive’ destination. However, his department is working with a ‘gateway strategy’ to focus on growing air travel to Nova Scotia. He says his destination doesn't have huge budgets, but continue to put “a fair amount of money” in the US market because it still represents 11% to 12 % of overall non-resident visitors. “No matter what we do,” he says, “at the moment that market seems to be declining for most of Canada. We are trying to fill beds and get people here while exploring the idea of new markets like Western Canada. Of course, Ontario, Quebec and the Maritimes have always been important markets for us, so we are applying efforts there as well.”

Overall numbers are encouraging for Nova Scotia. A year-to-date comparison reveals a 1% increase in visitors for the period between the beginning of January and the end of August, largely attributable to an increase in domestic travellers. Numbers from the US are down 8%, and down 9% from overseas countries, but up 6% from Canada. The three Atlantic Provinces make up more than half the number of visitors to Nova Scotia and 10% of domestic visitors originate from Ontario.

Fourteen per cent of visitors come from Western Canada. “Certainly the economy in Alberta is booming to the extent there is going to be huge disposable income there,” Somers recognizes. “With Alberta's economic boom, there are a lot of people moving back and forth between the Maritimes and Western Canada.”

Bienvenue Québec adjusts to the future

(Originally published in TOURISM)

Organizations which ask themselves which directions they might choose in the future are often well on the way to ensuring their own sustainability. All indications are that Bienvenue Québec and The Association des propriétaires d’autobus du Québec (APAQ) are thriving as a result of this probing approach; this year’s edition of the marketplace included a session where buyers and sellers were asked a series of questions designed by François Chevrier from the École des sciences de la gestion (ESG) at Université du Québec à Montréal (UQÀM):

“There is a will at the APAQ organization (Bienvenue Québec's owner) to allow the event’s formula to evolve,” according to Chevrier. He says APAQ is reviewing the event’s structure and is currently assessing the potential value of implementing additional components. “They have identified through their research the emerging interest in providing an even greater number of networking and knowledge-delivery opportunities for participants.”

APAQ was certainly keen on experimenting at Bienvenue Québec 2007 in Saguenay: it introduced a dynamic new roundtable concept which proved very popular, according to Marilyn Désy, the marketplace’s development and promotion coordinator. “This roundtable activity between sellers and buyers stems from sellers’ need to find out more about who the buyers are. Bienvenue Québec draws some big players, like hotel sector representatives, who know the buyers well. However, what often makes a difference in destination appeal are the small players and attractions that impart flavour to tour operators’ programs.”

During the Francophone Culture Tourism Carrefour, buyers moved around in pairs to 9 roundtables lasting 11 minutes each. Désy says many sellers in the past simply couldn’t afford to participate at Bienvenue Québec. “With this formula, the first day is devoted to francophone product, networking and market knowledge acquisition for marketplace participants in different sessions, while days two and three are regular marketplace days.”

The participating sellers certainly felt there was great value for them in this format. Pierre Derouin is executive director of Le Village Québécois d’Antan in Drummondville: “Because there were several buyers and sellers at the table, there seemed to be more ideas emerging and we received better answers to our questions. I certainly found the exercise useful.”

Julie Bouliane looks after customer service at the Parc national du Saguenay: “This is my first participation at Bienvenue Québec. I have attended other marketplaces in the past where we met our clients one-on-one, and I found it is easier to break the ice in this kind of a format. It prepares us for upcoming appointments; each participant benefited from a bit of time to introduce their activities, and we quickly moved on to asking relevant questions about what buyers are looking for. Within minutes, we had useful answers about offering potentially successful products.”

This sentiment was echoed by Catherine Boulay of ManiganSes, an international puppetry arts festival in Jonquière, who felt this was a less intimidating introduction to the tourism marketplace environment.

As APAQ’s Marilyn Désy notes, without a thorough understanding of buyer needs it is difficult for the sellers to maximize marketplace opportunities. “This type of activity encourages sellers to listen, so they gain a better appreciation for buyers’ business realities.”

Holistic approach to development at Charlevoix

Photo: Marc Archambault / Le Massif

When Daniel Gauthier (of Cirque du Soleil fame) bought the Le Massif ski resort at Charlevoix’s Petite-Rivière-Saint-François in 2002, he soon realized an elaborate development project would be needed to ensure its long-term prosperity. He wanted something that would transform the ski facility into a world-class four-season tourism operation, while preserving the landscape, the regional sense of place and the fabric of surrounding communities.

Diane Laberge is director of communications for Groupe Le Massif: “The concept evolved to include the planned development of a 150-room hotel at historic Filbaie farm, 20 kilometers away at Baie-Saint-Paul, along with a train station at the site providing rail service to shuttle hotel residents back and forth between the ski facility and the hotel.”

The rail shuttle is part of a grander tourist train plan linking downtown Québec City and La Malbaie (home to the Fairmont Manoir Richelieu). “At Baie-Saint-Paul, we plan to create a public plaza, a public market and a 500-seat show lounge,” says Laberge. She says the project will follow principles of sustainability which include the social aspects of development, aiming to provide quality, permanent employment opportunities for local residents: “We hope to bring about the kind of economic renewal that will convince the younger generation which has moved away to study or work, to come back to the region. We are working with local municipalities to create programs to give these people access to home ownership; it is more than a tourism project; it is a project with a genuine mission, a truly humanistic vision.”

The main elements of the project are scheduled to be functional by the summer of 2009, says Laberge, including the development of an aerial lift to take passengers disembarking from the train up to the base of the ski resort.

The project has caught the eye of many investors who have already launched their own development plans compatible with those of Groupe Le Massif. Olivier Lerun, executive director of Villa Marvic (owned by a France-based investment corporation), explains: "We have about 7-million square feet around Le Massif and we are seeking joint ventures to build hotels or hospitality establishments such as spas." The company's first creation is a 7,000 square feet luxury rental home with 200,000 square feet of yard space overlooking the St. Lawrence. Its heating system is geothermal, with windows designed to filter sunlight to minimize the use of air conditioning in the summer.

The Groupe Le Massif is well aware of just how compelling its project is for other developers, given how much the principles of sustainability upon which it is based resonate in consumers’ mind today, says Diane Laberge: “We don’t have all the answers yet. Sustainable development is central to our business model, but it will take us a few years to get there. Like many, we are still learning how it is done.”

Laberge hopes this approach will position Charlevoix as a model of beneficial practices for world tourism, an approach which is music to the ears of François Gariépy of Tourisme Charlevoix. “What is important about this project for the Charlevoix region and the province is that Mr. Gauthier is committed to respecting the fact that Charlevoix is a UNESCO Biosphere Reserve. He is committed to not changing the Charlevoix landscape and he agrees all new construction must not be higher than the tree tops at Le Massif.” Gariépy notes the project even includes using Le Massif as a scientific research park where Canadian advanced technology companies in the fields of sustainable energy will be invited to relocate at Le Massif.

Tourism at Charlevoix is, in itself, a heritage industry, and the new developments reflect that. The tourist train will provide an unparalleled panorama for travellers along the St. Lawrence. It will stop at villages like Les Éboulements and Ste-Irénée along the way, and will go all the way to the Pointe-au-Pic pier where the legendary steam-powered “floating palaces” called White Ships used to come, carrying high society members from New York, Toronto and Montréal at the turn of the last century.

“The project aims to attract Europeans in particular,” Gariépy confides. “We have started to send out feelers, and I am pleased to report we are getting positive responses from Canada as well. People are much more attuned to the spirit of this project than one might have believed initially.”

Canadian product needs refreshing

(Originally published in TOURISM)

Jonview’s Claire Bessette looks after the group travel segment for Canada, and both group and FIT products for Atlantic Canada. She has gained some valuable insight into what's “in” and what’s “out” in the motorcoach and group sectors, where that which is fashionable always seems to win the day.

“For Europeans, coming to Québec seems not so much in vogue these days, while Asia and Eastern Europe are more alluring. The fact Eastern European countries have opened up is very tempting for European travellers considering a multitude of factors like proximity, jet lag and price competitiveness (especially on air fare), says Bessette. “When we look at Thailand, which suffered as a destination following the tsunami, we see they are doing everything they can to bring tourists back home. This includes offering hard-to-resist products and high quality experiences.”

However Bessette notes that, as destinations go, Quebec is in a bit of a unique situation because of the linguistic dimension which is so rich in opportunities for motorcoach tour operators and suppliers: “I look after the francophone European group market, which includes France, Belgium and Luxembourg. My sense is that suppliers today must be extremely imaginative and inventive. We have to instil in people abroad a longing to come here. We must create the need to visit Québec and Canada now,” she says.

“We are not what we could refer to as an ‘at risk’ destination. There is no rush to come here; 10 years from now, Canada will still be there, as stable as it has ever been,” Bessette continues. “That’s the picture in people’s mind. Whereas in the case of places like China, people might think: ‘I should go to China before things change.’”

Bessette believes Canada is not perceived as exotic at the moment. “This is a perception we must change. We must become exotic, and we need everybody’s help in doing that. The tourism industry is in constant evolution; we must follow market trends. If we don’t, we will die.”

A bright future predicted for Canada’s motor coach sector

(Originally published in TOURISM)

Motor Coach Canada president Brian Crow writes in the November issue of Bus Ride Magazine (to a mainly American audience) that despite many challenges, Canada’s motor coach industry will keep growing.

“Coach operators in Canada face many, if not all, of the same issues US carriers face: low rates; subsidized competition; lack of awareness of the value bus companies add to the transportation system; image in the eyes of the public and government decision makers; taxes and permits; level of ridership; unfair competition from a minority of unsafe operators; operational issues such as congestion in major cities, fuel costs, seat belts, hours of service, CVSA inspections, fires, anti-idling laws; new technology such as GPS, EOBR, onboard cameras, engines, maintenance, parking and access to certain cities and parks. The list is endless.”

The majority of Canadian bus companies are family owned and operate with strong local roots, says Crow, and many began years ago by first providing school bus services, and passing the business down from generation to generation. Several older Canadian bus companies began with a four-horse stagecoach and five family generations later are operating fleets of 400-horsepower motorcoaches. However, the consolidation of the 1990s through today has greatly reduced the number of these family-owned enterprises. The industry is moving from family-owned to corporate-owned.

“While no statistics exist, Motor Coach Canada (MCC) estimates approximately 275 companies operate an estimated 3,000 motorcoaches throughout the Canadian provinces. Scheduled inter-city coach services in Canada had revenues of just under $400 million (Canada), with charter and contract at just over $550 million,” Crow writes.

“Canada experienced a decline in scheduled passenger services similar to the US over the past two to three decades, as low airfares and the love of the car absconded with many former motorcoach passengers.

“Greyhound is the dominant scheduled service carrier in western Canada and Ontario. Coach Canada also operates major scheduled services in Ontario, Quebec and into New York along with charter operations. Orleans Express is the major scheduled carrier in Quebec and Atlantic Canada. In the areas around major cities the scheduled carriers serve a large commuter base as well. Expanding city and regional transit authorities turned many short distance inter-city movements into a transit operation, displacing private carriers to more distant city pairs.”

Crow notes that Japanese tourists discovered Canada in the 1990s and created very significant business for coach operators, but with the devaluing of the Yen in the late 1990s, that business peaked and dropped slightly. He predicts that emerging markets such as China and India may lead to a growth in Canada’s inbound tourism. “If so, this will increase business for coach operators and receptive operators. Mexico and Brazil are growing markets as well but are still showing relatively low numbers. Many indicators suggest the US tour market to Canada will remain flat and well below the levels enjoyed in 2000 and 2001.”

From a charter, perspective growth is inevitable, Crow believes. “Canada just needs all its carriers to adhere to compensable rates to improve their return so they can invest in new coaches and services.

He believes the Canadian bus and tour industry is going to get better. “Canadian operators foresee a renaissance of coach travel as the result of highway and street congestion, cost of fuel, environmental sensitivity, expansion and development of more bus-only lanes, changing demographics, immigration (immigrants generally come from countries where bus travel is preferred and more acceptable), fewer taxpayer dollars available to subsidize rail and public-owned transit, technology (with the coaches themselves, with internet ability to show more people what today’s coaches are like and with how we reach more customers) and owners that will not settle for meager returns on investment.”