Northern Futures Tourism - Programme Proposal
February 2015
Northern Futures Tourism Programme
Proposal
February 27th 2015
Proposal Contact;
Name: Louise Stewart
Position: Director of Strategy and Development
Organisation: VisitEngland
Tel: 0207 5781462
Email: Louise.Stewart@VisitEngland.org
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Northern Futures Tourism - Programme Proposal
February 2015
Executive Summary
Background
Lack of awareness of the North of England and its tourism offering is at the root cause of current low
levels of export earnings from international tourism. The product itself is of international standard,
but without a coordinated and concerted effort to communicate the offer, it is unlikely that growth
opportunities will be realised. There are clear opportunities to generate additional visits and spend
from international visitors through targeted promotional activity, increasing the amount of product
sold through the travel trade and changing the perceptions of the business tourism offer.
The Deputy Prime Minister announced a £10m Northern Futures Fund on the 6th November 2014 for
tourism investment with the aim of developing a coherent, strategic approach to promote the
North1 of England overseas and to deliver economic growth in the short and medium term, whilst
encouraging greater collaboration between partners, across Northern geographies and with the
National Tourism bodies.
This proposal, prepared by VisitEngland, in partnership with northern partners and with input from
VisitBritain, sets out the programme of activity intended to achieve that aim.
Programme detail
The total programme expenditure will be £20m, consisting of the core £10m Northern Futures
funding from Central Government and £10m estimated match funding2 from partners in the public
and private sectors. Match funding will be both cash funding and in-kind.
The programme for leisure visits will target 5 international markets (USA, Australia/New Zealand,
Netherlands, Germany and China) with activity based on three distinct workstreams; maximising
connectivity, influencing the travel trade and leisure promotion. A further workstream, Business
Visits and Events will focus on attracting a small number of global opportunities with most
immediate business potential.
The programme will



deliver an additional 2m visitor nights to the North of England equating to £177m in
international visitor expenditure
create 3,280 jobs
deliver a step change in collaboration and partnership working across the North, creating
new ways of working together and joining up the product offer for visitors.
1
The North for this purpose is defined as the old Government Office regions of Yorkshire and Humberside, North West and
North East.
2 Match funding at this stage is estimated based on previous experience of delivering these types of activities and
awareness of availability of match. These estimates will be confirmed as the programme develops and specific dialogue
with partners takes place.
2
Northern Futures Tourism - Programme Proposal
February 2015
Programme highlights;
Through a series of carefully targeted marketing campaigns, we will improve the profile and raise the
awareness of the North’s tourism offer in key growth markets. Programme highlights will include:
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




an International Press Programme on a scale that has never been done before: Over 400
journalists and broadcasters from the US, Germany, Netherlands, Australia and China will be
invited to visit and experience the North first hand. We will showcase the unique Northern
personality, wealth of heritage experiences, dynamic cities and outstanding landscapes, with
resulting global media coverage.
a new programme of Digital Connectivity across all destinations in the North: Information
about destinations, products and sustainable travel choices, will enable prospective visitors to
easily plan visits and itineraries. Connecting destinations and product across the North digitally,
will make it simple to plan a visit, using new tools, more effective use of existing channels, sites
and platforms, enabling the consumer to find information without having to navigate across
multiple destination sites or creating new websites.
potential partnerships with global broadcasters and content providers, a multi-media resource
bank will be created, offering images, film footage and web content for use by tourism and
media partners.
raising the profile of the North via large scale media campaigns in the US, Germany,
Netherlands and Australia/NEW ZEALAND. Through our international marketing activities, we
will shine a spotlight on the North’s best assets, using existing high profile international standard
events with appeal to the target markets; including the Cunard 175th Anniversary celebrations in
Liverpool, Manchester International Festival, the Tour of Yorkshire and tourism attractions such
as the Lake District, Yorkshire Dales, World Heritage Sites, and the iconic castles of the
Northumberland Coast.
a high profile Travel Trade Programme, will address the current lack of Northern product in
travel operator programmes. We will work with industry to create more exposure for Northern
product, in more operator programmes. We expect to showcase the North to over 1000
international buyers through a series of high profile industry events and bespoke relationship
management activities.
Open For Business: Targeting key sectors to bring high profile events to the North. Through
representation at global business travel exhibitions, we will change outdated perceptions and
make the North the place to do business.
Engaging businesses: our marketing programme will be truly collaborative. We will engage
with all major airlines and ports of entry which service the North. Our partnership marketing will
benefit over 10,000 tourism businesses in the North – from online exposure and promotion to
in-country business to business events.
Programme delivery and management
A combination of organisations working in partnership will cement a new way of collaborative
working, with overall management and coordination provided by VisitEngland. The programme has
been developed using evidence and insights and the expertise of partners. Delivery will be
monitored and evaluated using tried and tested methodologies to provide robust measurement of
impact. Endorsements from stakeholders in the region are attached at Appendix 5.
Northern partners have welcomed this opportunity to collaborate and realise the economic
potential of tourism. This stimulus is required to overcome the market coordination failures and to
create a catalyst for partners and achieve economic growth in the North of England.
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Northern Futures Tourism - Programme Proposal
February 2015
Northern Futures Tourism Programme Proposal
1. Background:
The DPM announced a £10m Northern Futures Fund on the 6th November 2014 for tourism
investment. The aim of the Fund is to develop a coherent, strategic approach to promote the North3
of England overseas and to deliver economic growth in the short and medium term whilst
encouraging greater collaboration between partners, across Northern geographies and with the
National Tourism bodies.
Northern leaders from Local Authorities, Local Enterprise Partnerships and Destination Organisations
met with the Deputy Prime Minister and the Tourism Minister on 16 January 2015 to discuss and
agree the principles of the investment. It was agreed that the investment needed to,








Demonstrate strategic cohesion and collaboration across the North
Be international in focus; to drive international visitors and spending from key target
markets
Focus on a few workstreams done well
Be able to demonstrate clear economic impact
Build on existing knowledge and understanding of international visitors
Lever match funding and private sector contributions
Be deliverable predominantly in 2015/16
Deliver a change in approach and create a legacy for future years.
It was also agreed that the investment would not seek to,



Create new structures or provide core funding for existing organisations
Create a new Northern brand
Spread itself too thinly over either activities or target markets
A workshop was held on January 22nd with over 70 destination organisations across the North to
ascertain aspirations and ideas and prioritise markets and activities.
An Expert Group of destination organisations met three times on 6th, 12th and 26th February to refine
and test the feedback and advise on the development of the proposal.
Participants in the development of the proposal are listed at appendix 1.
The North for this purpose is defined as the old Government Office regions of Yorkshire and Humberside, North West and
North East.
3
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Northern Futures Tourism - Programme Proposal
February 2015
2.
3.
Ambition
To deliver a significant step change in collaborative working to profile and promote the
North of England internationally - through new, targeted and impactful activity which
will change perceptions, grow leisure and business visitors, put the assets of the North
firmly on the international map and deliver both long term economic impact and the
foundations for a lasting legacy for the visitor economy of the North.
Programme Objectives:
a) Develop a coherent strategic approach to grow the value of international tourism in the North
of England
b) Deliver a return on the investment in the form of export earnings4
c) Increase awareness and change perceptions of the Northern English Tourism offer in key
markets
d) Create a legacy for the activities and new ways of collaborative working that will continue to
facilitate economic growth in the future
4.
Barriers to and Opportunities for Tourism Growth in the North of England
Summary
Lack of awareness of the North of England and its tourism offering is at the root cause of current low
levels of export earnings from international tourism. The product itself is of international standard,
but without a coordinated and concerted effort to communicate the offer, it is unlikely that growth
opportunities will be realised. The lack of awareness impacts on the utilisation of carrier, runway
and sea port capacity, resulting in low levels of demand for new route creation and lost
opportunities to attract major business events to showcase the growth sectors of the North’s
economy.
There are clear opportunities to generate additional visits and spend from international visitors
by;
 Increasing awareness, changing perceptions and stimulating demand for Northern tourism
products, working with carriers to increase capacity on existing routes into the North of
England, through targeted promotional activity including digital channels, the media and
travel writers
 Increasing the amount of product sold through the travel trade by influencing travel trade
operators to include Northern tourism products in their programmes
 increasing the volume and value of business visitors by changing the perceptions of the
business tourism offer, creatively packaging the North’s historic attractions, sporting events
and contemporary culture to increase the value of the corporate incentive market thereby
securing new business for the North in the medium/long term, whilst also supporting the
economic growth sectors identified in Local Strategic Economic Plans
4
International visitor spending
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Northern Futures Tourism - Programme Proposal
February 2015
3.1
Lack of awareness of the Tourism offer in the North of England
The biggest barrier to growth in international tourism markets for the North of England is the lack
of awareness of what is on offer, quite simply what there is to do whilst in the North. This is
compounded by a poor understanding of the geography and how accessible the North is; the
proximity and travel times between places as well as direct access routes from near Europe and long
haul markets. The North therefore does not feature prominently in consumers’ minds, which is
reflected in the levels of export income gained from tourism in the three Northern regions, latest
figures show that this is just 9% of the UK total5.
In markets with some familiarity of England there are also outdated perceptions of an ‘industrial
North’ creating a motivational barrier that overshadows the reality of the stunning landscapes and
contemporary and cosmopolitan cities that provide tourism experiences, products and services that
stand up to international comparison.
Increasing awareness in international markets requires a shared focus on key target markets, a
combined approach to activating the markets, prioritising the strongest international products to
promote and the adoption of a partnership approach to marketing the wider Northern offers within
individual activities.
Various market failures exist, meaning that private sector provision of tourism services and
promotion is sub-optimal. There are coordination issues in a diverse sector which cuts across many
industries and the problem of free riders6 leads to underinvestment in marketing, the development
of a destination’s product and market research7.
Traditionally the public sector has intervened to address these market failures but over such a large
geographic area this responsibility falls to many organisations. Therefore across the North the
fragmentation of the industry is exacerbated by the fragmentation of the provision of public sector
intervention, lack of coordination, promotional resource and the absence of a shared strategic
approach. Northern partners have held the ambition for some time to create better collaborations
and have established a network. This programme provides the focus and clarity of purpose to build
on that ambition with clear resource to act as the catalyst.
Whilst there is some international marketing activity in operation it is not of a size and scale or range
of activity to create a sustained change in performance. It is often opportunistic and depending on
the activity tends to be focused on a promoting a single destination area, which on its own and
particularly in long haul markets does not provide a sufficiently compelling reason to visit.
There is an opportunity to generate additional visits to the UK; increase the spending of existing
visitors and increasing length of stay by increasing awareness and understanding of the Northern
offer. This requires a coordinated and collaborative approach, focused on key markets to realise
the international growth potential.
5
International Passenger Survey, ONS, 2013.
Free-riders - firms within a destination who do not contribute towards the costs of marketing but still benefit from the
additional spend of visitors. Not only would they not contribute to the overall marketing pool, meaning it is at a suboptimal level, but their existence would create a disincentive for others to contribute. As a result such an arrangement
between firms will at best result in marketing at a sub-optimal level and possibly lead to its complete collapse.
7 Market Failures in Tourism - DCMS 2014.
6
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Northern Futures Tourism - Programme Proposal
February 2015
3.2
Underutilised international air and sea capacity
Northern ports of entry and the routes that operate to and from them have the capacity to carry
more visitors into the North. There are 4 major airports (Manchester, Newcastle, Leeds/Bradford
and Liverpool) and 3 major ferry ports in the North of England (Liverpool, Newcastle and Hull).
Route development and route retention to these ports of entry (or gateways) is a key factor in
inbound tourism.
Regional airports offer access into England which is underutilised. All of England’s Northern airports
have significant spare capacity in terms of air, terminal and runway capacity. While Heathrow and
Gatwick operate at a capacity of 99% and 94% respectively, the Northern airports all operate below
50% capacity, with Manchester at 49%, Newcastle at 23%, and both Liverpool and Leeds-Bradford at
22% capacity.8
England’s Northern airports are working hard to attract new routes into England. Network
development managers at the airports are very much aware of the outbound travel opportunity and
of the travel potential within the airport catchment area. The inbound opportunity is often less well
known and sometimes overlooked altogether when preparing a business case for an airline. By
working closely with the airports, there is an opportunity to showcase and jointly build the inbound
tourism opportunity.
When a new route comes to fruition, this is usually on a trial basis – the airline will run the route for
a certain amount of time to see how it performs. By working with airlines and airports to ensure that
the inbound travel potential of a route is maximised, destination organisations can help sustain a
route and make it viable for the future.
There is spare capacity on the ferry routes to the North of England. Ferry routes often operate on
relatively low margins as a result of the strong competition from low cost carriers but ferry routes
continue to be an important means of travel to Britain. In 2013, 27% of Dutch, and 24% of German
visitors arrived by sea. In many cases, these are touring or longer staying visitors. The lack of
awareness of the Northern English product detailed above means that sea passengers spend very
little time in the North of England and transit to other areas of the UK.
In the main existing relationships are between the gateway and its immediate destination which
offers a limited visitor experience that on its own does not create a compelling reason to visit
especially for long haul visitors. Improving the awareness and understanding of consumers of the
value proposition of the North by working with airlines, ferry companies and ports of entry will
increase traffic on those routes and encourage those visitors to spend more time in the wider North.
There is an opportunity to develop a partnership approach to promote the wider tourism offer
and create a coherent and effective market stimulus to increase visitor numbers to the North of
England and increase visitation beyond the port of entry.
8
Civil Aviation Authority figures.
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Northern Futures Tourism - Programme Proposal
February 2015
3.3 Lack of Northern product sold by the travel trade
Much tourism activity at the local level focuses on activity direct to consumers. International
competitor destinations spend significant budget and resource investing in travel trade activities.
The international travel trade supply chain includes wholesalers and ground agents, who contract
and package bulk product and sell on to inbound and overseas tour operators who then develop
inbound packages and itineraries, and travel agents who remain an important booking channel for
some of the key inbound markets.
Northern destinations are underrepresented in tour operator itineraries. There hasn’t been a
concerted effort to bring the North together to target the travel trade. Both the major inbound trade
associations, UK Inbound and European Tour Operators Association (ETOA), strongly suggest that
there is appetite to find new products, especially out of London.
While some Northern English destinations already have travel trade programmes in place there is an
opportunity to increase the value and maximise long term benefits with a concerted, coordinated
approach to ensuring Northern product is featured, sold and championed.
Travel trade activity needs to be undertaken in tandem with consumer campaigns that generate
demand for Northern England product. Targeting the travel trade in a silo will not deliver the step
change required. It needs a coordinated approach with consumer promotion.
This presents an opportunity for England’s Northern Destinations to engage and grow tourism to
their areas through the trade. A coordinated travel trade programme that influences each step of
the supply chain will deliver medium and long term benefits for the North of England.
3.4 Low levels of business tourism activity
Attracting business visitors through business events is a well-established approach to growing
tourism and is employed by destinations all over the world. Whilst the business events themselves
have the immediate economic impact of delegate spending during the event, in recent years
business events have been increasingly recognised for their ability to stimulate inward investment,
attract new talent, showcase local knowledge and expertise and improve the perception of a
destination as a place in which to learn or do business.
While many Northern English destinations have excellent events facilities and ready access through
nearby international airports, it is clear that they are not currently able to maximise the opportunity
that international business tourism present because of the low awareness of buyers; destination
management companies and international event organisers.
The key sectors for international corporate events are; Information and Communications
Technology, Automotive, Pharmaceutical, Construction and Finance & Business Services. Evidence9
suggests that as the economy recovers there is increasing confidence, in all of these sectors, in the
key corporate events markets of North America and Europe. There is also increasing business from
9
EIBTM Trends Watch Report 2014
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Northern Futures Tourism - Programme Proposal
February 2015
China and India with China experiencing significant growth in vehicles sales (+10%) and drugs
spending (+8%) in 2014, two of the areas that often drive the need for business events.
England has exceptional air access to cities with a significant number of established multinational
headquarters. These include cities such as Brussels, Frankfurt, Paris, Munich, Oslo, Copenhagen,
Amsterdam, Geneva, Zurich, New York and Chicago.
The incentive market10 is another dimension of business tourism. It is highly lucrative and a target
market for many destinations around the world, particularly those that appeal to the high end
leisure traveller. Confidence has returned to this market as the world recovers from the global
economic crisis.
North America remains the number one source market with $240billion spent per annum on
incentive travel. Research11 shows that optimism about the overall use of motivational travel
experiences is at a four-year high with 87% of respondents in the research expecting the use of
incentive travel to increase over the next 1-3 years.
At present the vast majority of international corporate incentive business coming into England goes
into London. UK-based Destination Management Companies (DMC’s)12 often have poor outdated
perceptions of the North of England or no awareness at all of what is available. DMC’s are reporting
increased interest in Downton Abbey-style country itineraries which the North is well placed to
deliver.
There are significant opportunities to increase the level of business tourism in the North of
England. To secure new business events in the medium/long term whilst also supporting the
growth sectors identified in Local Strategic Economic Plans; and by creatively packaging the
North’s great historic attractions, sporting events and contemporary culture for the incentives
market.
10
Incentives - companies using travel experiences to motivate and reward staff.
Society of Incentive Travel Executives (SITE)
12 DMCs –not to be confused with public private Destination Management Organisations (DMOs) in England
11
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Northern Futures Tourism - Programme Proposal
February 2015
5.
Programme Activity
Summary
The Northern Futures delivery programme will,
 target 5 international markets (USA, Australia/NewZealand, Netherlands, Germany, China).
 be based on four distinct ‘workstreams’ focussed on realising the opportunities identified
above, (Maximising connectivity, influencing the travel trade, targeting the business visits and
events industry and leisure promotion to increase awareness and understanding of the offer).
 coordinate and join up activity between different partners to deliver activities, achieve the
shared objectives and create partnerships to be sustained in the future.
4.1 Target Markets
The North has a diverse tourism offering. It is unique and distinctive; its cities have individual
identities, its landscapes vary from fells to moorlands and dales and coast. Its food and drink has
strong heritage. The people of Northern England are passionate about their landscapes and places,
and are perceived as friendly and welcoming. These assets have resonance in some markets more
than others. The target international markets have been selected using the international insights13
and expert input from VisitBritain, VisitEngland and Northern destinations.
The markets have been chosen for a mixture of the following reasons,
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High potential for growth in traffic and size of the market
Propensity to consider a holiday in the UK
Direct routes exist (or are coming in 2015)
Propensity to travel in rest of England outside London
Good seasonal spread
Language is not perceived as a barrier to travel in England
Timeliness of the market opportunity to increase visits and raise awareness
The products of the North have appeal to these consumers
China fulfils the least number of points above but has been selected as it is recognised to be a
developing and valuable market for the longer term, is high spending and has a direct link into
Manchester and therefore provides an opportunity to generate interest in the Chinese market as it
matures and increasingly consumers become independent travellers inclined to explore beyond a set
tour itinerary.
The most effective way of presenting the tourism product is to select and present the best of the
most appropriate products to the correct segments of the target international markets. This
product-market fit is important to ensure effective targeting of activity and ultimately greater
impact. For the same reasons it is also important that interdependent activities such as leisure
promotion and travel trade are closely aligned.
13
VisitBritain – Market Insights 2015
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Northern Futures Tourism - Programme Proposal
February 2015
For each market the best prospect target audiences have been identified and initial product fit
suggested. The ambition is to lead with the strongest product(s) for each target segment group, to
stimulate interest and then showcase wider Northern products revealing the depth and range of
offer available. Each market will have an individual plan identifying the relevant product that will
support the market objective. The Outline Marketing Plan at Appendix 2 details the target segments
of these international markets.
The target markets are;


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USA
Australia/New Zealand
Netherlands
Germany
China
These target markets will be the focus of the activities. In exceptional circumstances and only where
the value is clear and additional, an assessment will be made as to whether the programme should
be extended into other markets, to maximise the use of the marketing collateral and the established
VisitBritain channels and networks e.g. extending some of the Netherlands activity into the Benelux
countries and Germany activity into France. This will be undertaken only where: the product market
fit and campaigns have resonance in other markets; the cost of doing so is minimal and it does not
undermine the investment in the target markets. The decision to do so will be taken by the
Programme Board.
4.2 Workstreams
The programme is based around four related workstreams designed around the opportunities
identified. The first three work streams will apply to all of the key markets identified above. However
Business Visits and Events is not wholly market specific, this is driven by other factors.
Maximising Connectivity – targeted leisure promotions based around existing connections to the
identified target markets and on new routes confirmed to ‘trial’ in the time period of the
programme. Activity will be undertaken in partnership with ports of entry, transport carriers (airlines
and ferry operators) and groupings of Northern destinations.
Leisure Promotion – Connecting destinations and product across the North digitally to showcase the
proximity of world class experiences, without having to navigate across multiple destination sites.
Delivery of a major PR programme focussed on media with reach to the specific target market
segments and will include a series of mega press visits for journalists, travel writers, broadcasters
and the media and a PR programme delivered on-territory in the target markets. This work stream
will underpin the other three workstreams and will produce promotional collateral such as imagery,
footage and resources to ensure that the range and quality of the offer, the access to and
geographic proximity of the places is communicated consistently across all workstreams.
Travel Trade – a three stage programme, identifying Northern trade ready products, showcasing
these products to the buyers at trade events to generate leads and then converting interest into
purchasing decisions, through developing understanding and confidence through familiarisation
visits and follow up contact.
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Northern Futures Tourism - Programme Proposal
February 2015
Business Visits & Events – focused on providing platforms and key leads in-market for Northern
destinations to target sector specific events, converting interest into purchasing decisions through
familiarisation visits and supporting destinations to compete effectively for events to be secured.
4.3 Delivery activities
This programme of marketing activity will deliver a step change in collaboration and partnership
working across the North, creating new ways of working together and joining up the product offer
for visitors. Through a series of carefully targeted marketing campaigns, we will improve the profile
and raise the awareness of the North’s tourism offer in key growth markets. Programme highlights
will include:







an International Press Programme on a scale that has never been done before: Over 400
journalists and broadcasters from the US, Germany, Netherlands, Australia and China will be
invited to visit and experience the North first hand. We will showcase the unique Northern
personality, wealth of heritage experiences, dynamic cities and outstanding landscapes, with
resulting global media coverage.
a new programme of Digital Connectivity across all destinations in the North: Information
about destinations , products and sustainable travel choices, will enable prospective visitors
to easily plan visits and itineraries. Connecting destinations and product across the North
digitally, will make it simple to plan a visit, using new tools, more effective use of existing
channels, sites and platforms, enabling the consumer to find information without having to
navigate across multiple destination sites or creating new websites.
potential partnerships with global broadcasters and content providers, a multi-media
resource bank will be created, offering images, film footage and web content for use by
tourism and media partners.
raising the profile of the North via large scale media campaigns in the US, Germany,
Netherlands and Australia/New Zealand. Through our international marketing activities, we
will shine a spotlight on the North’s best asset, using existing high profile international
standard events with appeal to the target markets; including the Cunard 175th Anniversary
celebrations in Liverpool, Manchester International Festival, the Tour of Yorkshire and
tourism attractions such as the Lake District, Yorkshire Dales, World Heritage Sites, and the
iconic castles of the Northumberland Coast.
a high profile Travel Trade Programme, to address the current lack of Northern product in
travel operator programmes. We will work with industry to create more exposure for
Northern product, in more operator programmes. We expect to showcase the North to over
1000 international buyers through a series of high profile industry events
Open For Business: Targeting key sectors to bring high profile events to the North. Through
representation at global business travel exhibitions, we will change outdated perceptions
and make the North the place to do business.
Business Engagement: our marketing programme will be truly collaborative. We will engage
with all major airlines and ports of entry which service the North. Our partnership marketing
will benefit over 10,000 tourism businesses in the North – from online exposure and
promotion to in-country business to business events.
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Northern Futures Tourism - Programme Proposal
February 2015
5.0 Programme Management
Summary
The programme will be,


delivered by a combination of organisations working in partnership with overall
management and coordination by VisitEngland
evaluated using standard and approved methodologies for the activities within the
programme
A programme board will be established to oversee the delivery of the programme. It will involve
representatives from VisitEngland, VisitBritain, and Destination Organisations responsible for
delivering key areas of the programme.
5.1 Accountable body
VisitEngland (VE) the National Tourist Board is the accountable body for the funding. VE is a nondepartmental public body, incorporated under the Development of Tourism Act 1969, and has wideranging experience in managing and investing public sector funds, and in managing delivering
funding programmes in partnership with destination organisations.
As the accountable body, VE will manage the programme, co-ordinate activity by delivery partners
and be responsible for financial management, project coordination and monitoring, evaluation and
audit.
5.2 Financial management and monitoring
As the accountable body VisitEngland will ensure that where delegation of project resources takes
place, this will be governed by a funding agreement between VisitEngland and the delivery partner.
VE will establish a quarterly financial and monitoring process to capture and collate key performance
management information for its own reporting purposes and to provide information to Government
and partners on progress.
5.3 Delivery partners
Delivery partners on the programme will include VisitEngland, VisitBritain, and destination
organisations.
VisitBritain is a non-departmental public body, incorporated under the Development of Tourism Act
1969, and has an international network and distribution channels that are well placed to deliver
activities within the programme.
Destination Organisations in the North vary in their legal status. Many are in receipt of public
funding and are existing delivery bodies for Local Authorities and also VisitEngland (for the current
RGF Programme). Destination Organisations are well placed to deliver activities using their existing
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Northern Futures Tourism - Programme Proposal
February 2015
networks, coordinating activity on the ground between private sector partners to ensure that the
business community is actively engaged in the programme and that the collaborative approach is
appropriate and effective. Destination Organisations will be the main conduit by which the local
business community engages in the design and delivery programme of activity.
Once the briefs for activities are fully developed, by destination working groups, partners will be
invited to express their interest in delivering the work identified.
5.4 Programme Board
VisitEngland’s Director of Strategy and Development will be the Programme Director with overall
responsibility for the delivery of the programme14. A Project Delivery Director will be engaged to
coordinate and oversee the delivery of activities. A secondee will be sought from Northern
Destination Organisations if and when funding is granted for the programme to proceed.
A Programme Board will be established to oversee the delivery of the programme. It will involve
representatives from VisitEngland, VisitBritain, and Destination Organisations.
Details of the skills and capabilities of the individuals at VisitEngland to undertake this work can be made available if
required.
14
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Northern Futures Tourism - Programme Proposal
February 2015
6.0 Financial Breakdown of Programme Expenditure
Summary
Total programme expenditure is £20m


£10m Northern Futures funding
£10m estimated match funding15 from partners
It is anticipated that expenditure will be contained to the 2015/16 financial year.
The total programme expenditure is £20m consisting of the core £10m Northern Futures funding
from Central Government and £10m estimated match funding from partners in the public and
private sectors. Match funding will be both cash and in-kind16. Table 1 shows the financial
breakdown areas by workstream. Table 2 shows estimated breakdown of the core Northern Futures
£10m per market and does not include match funding estimates.
Table 1: Funding breakdown by Workstream
Workstream
Maximising Connectivity
Travel trade
Leisure Promotion
Business Visits and Events (BVE)
Programme management and coordination
TOTAL
Northern
Match Funding Total
Futures Core (£m and in(£m)
(£m)
kind)
1.0
1.0
2.0
1.55
0.5
2.05
5.95
7.0
12.95
1.0
0.5
1.5
0.5
0.0
0.5
£10.0
£10.0
£20.0
Table 2: Breakdown by Market17
Market
USA
Australia/New Zealand
Netherlands
Germany
China
TOTAL
£m
4.0
1.3
1.0
1.5
0.7
8.5
Match funding at this stage is estimated based on previous experience of delivering these types of activities and
awareness of availability of match. These estimates will be confirmed as the programme develops and specific dialogue with
partners takes place.
16 VisitEngland has a standardised methodology for measuring and recording the value of in-kind match funding validated
and approved by National Audit Office.
17 Note that Market Investment does not total £10m. Business Visits and Events is not market specific.
15
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Northern Futures Tourism - Programme Proposal
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7.0 Outline Programme Timetable
It is anticipated that the programme will be delivered entirely in 2015/16 financial year. Monitoring
and evaluation activity will occur beyond the financial completion date of the programme. A detailed
delivery plan will be developed for each area of activity and will be aligned with the timetables of the
buyers decision making cycles in the travel trade, business visits and events buyers etc.
Table 3: Programme Timetable
Year
2015
Month
March
March
April
May
June/July
2016
April
September
December
Activity
 Create working groups for delivery
 Develop briefs for activity strands and markets
 Identify delivery partners
 Identify procurement needs
 Identify and start partner negotiations
 Develop final detailed activity delivery timeline
Asset collection and product market fit analysis commences
Travel Trade and BVE delivery commences
Initial leisure and connectivity activity delivery in the US,
Australia/New Zealand, Germany, Netherlands commences
Bulk of leisure and connectivity activity delivery in the US,
Australia/New Zealand, Germany, Netherlands commences
Evaluation of Programme commences (Wave 1)
Evaluation of Programme (Wave 2)
Post-completion programme evaluation report
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Northern Futures Tourism - Programme Proposal
February 2015
8.0 Programme Impact
Summary
The programme will,
 deliver an additional 2m visitor nights to the North of England equating to £177m in
international visitor expenditure
 create 3,280 jobs
 generate over £150m in coverage for the tourism industry of the North of England in the
media
The programme will also generate,
 an increase in awareness of the North of England and change perceptions of the North for
holiday taking which will have benefits in years to come
 an increase in the volume of Northern product sold through the travel trade and
opportunities to follow up for future years
 an increase in the number of business events secured in the North of England
 increased awareness of the Northern offer for the business incentives market and create
new leads and opportunities for the North in future years
 new and stronger partnerships between Northern destinations that will be fit for purpose to
exploit the opportunities created from this investment in future years
8.1 Outputs
The immediate and most tangible measure of impact will be the additional visitor spending by
visitors from the target markets. The overall programme return on investment (ROI) is an estimated
£177m with an average return across the delivery work streams of 9:1. The summary of outputs and
outcomes is attached at appendix 3.
VisitEngland and VisitBritain consider that a return on investment of 10:1 is a prudent and
achievable target for this programme across three workstreams of maximising connectivity, Business
visits and events and Leisure Promotion. The travel trade activity returns a lower ROI of 6:1 due to
the planning and development timescales of the trade and is best measured as an outcome,
measuring the level of Northern product featuring in travel trade itineraries and levels of bookings
through the travel trade over a longer period of time.
8.2 Outcomes
Whilst the programme will deliver a considerable return on investment the longer term outcomes
and the opportunities it creates as a legacy for the partners in future years are as important.
The increase in awareness and changed perceptions will stimulate interest for partners to capitalise
on.
The partnership approach and collaboration that will be established during the programme will be
an important outcome to secure the future economic benefits of this increased awareness e.g.
International gateways (ports of Entry) and Cities embracing their surrounding areas and continuing
to develop links between rural, coastal and urban areas. A key outcome will be the establishment of
17
Northern Futures Tourism - Programme Proposal
February 2015
a new structured way of working to continue the cooperation and activity in future years so that the
longer tail of the activities can be maximised and ensure that this is not a task and finish exercise.
This programme will pioneer the development of effective partnerships to activate the international
markets by incentivising the city (and other) gateways to promote their rural areas, develop better
‘travel’ connections and actively engage rural product in their overseas promotions.
On Business Tourism this programme will establish closer working relationships between
destinations, local authorities, chambers of commerce and Local Enterprise Partnerships to align
future activity appropriately to the inward investment and growth sectors.
The investment will create marketing and promotional collateral for future use for destinations to
use collaboratively and individually.
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9.0 Evaluation and monitoring
A detailed evaluation framework for each workstream and for the programme overall will be
developed at the start of the project, but will broadly consider three areas:
9.1 Return on Investment Measurement (Programme Objective (b))
The Return on Investment generated will be assessed through a series of conversion research
surveys, carried out using methodologies and calculations which are already in use by VisitEngland
and VisitBritain and which have previously been agreed with DCMS, BIS, the NAO and the GREAT
programme board.
Surveys will be carried out among three audiences



Consumers who have been exposed to marketing activity (this may be those visiting partner
websites, those receiving e-communications, those booking with private sector partner
organisations and/or campaign recognisers identified through primary research). The research
will identify the extent to which trip-taking decisions were influenced by communications
received through the leisure and connectivity activities
UK and overseas travel trade (VB to add an extra line of detail here?). This research will identify
the extent to which programme activities have influenced programmes and therefore sales
Event planners and destinations. This group will be asked to assess the impact that the
programme’s activities had in influencing decisions to bring events and conferences and
incentive trips to the North of England.
The survey work and methodology will be subject to external audit and will ensure that the final
impacts take account of factors such as deadweight, leakage and substitution.
Once incremental spend figures have been calculated, it is possible to estimate the programme’s
impact on employment. The basis for this is analysis conducted by Deloitte and Oxford Economics,
which suggests that £54,000 in additional spending in the tourism economy is required to create or
sustain a full time job for one year.
ROI analysis is conducted retrospectively to allow respondents to assess impacts on trips / activities
which have actually happened as a result of the activity. An initial evaluation is possible 12 months
after completion of delivery.
9.2 Measurement of Changes in Awareness and Perceptions (Objective (c))
In order to assess whether the programme has been successful in boosting awareness and changing
perceptions among the various audiences, further research will be required. This is likely to include
syndicated surveys, bolt-ons to existing surveys (for example the surveys intended to collect Return
on Investment data, and other VisitBritain and VisitEngland consumer surveys), as well as new
primary survey research.
Additionally, other indicators such as digital and social media metrics, and press activity monitoring
will be used to provide further evidence of campaign impacts, in line with Cabinet Office
recommendations for communication evaluations.
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February 2015
Where appropriate, baseline information will be collected at the start of the programme, with
further waves either during or at the end of the programme as appropriate.
9.3 Programme Legacy (Objective (d))
It is difficult to assess longer term legacies immediately after completion of the programme – by
their nature; these may take several years to become apparent. However, partner destinations and
others will be asked to report back on their experiences and their views of the programme’s wider
impacts. These reports will be collated and used both as part of the programme evaluation, but also
to provide guidance about future activities and collaboration.
10. Risk Assessment
Risk
The prevailing macroeconomic conditions in
target markets
deteriorate or are not
conducive to generating
export-led tourism
growth.
Likelihood
Medium
GBP £ exchange rate
fluctuations impact on
forecast outputs
MediumHigh
Impact
MediumHigh
MediumHigh
Failure to align fully the
tourism partners to
commit to the
programme.
LowMedium
MediumHigh
Failure to co-ordinate and
manage effectively the
number of different
delivery partners, both in
LowMedium
High
Comment / mitigation
Whilst the overall economic picture remains
challenging, is some markets now represents the key
moment to deliver an impact.
Mitigation – strong messages on value experiences
close performance monitoring of the impact of the
programme will inform the need for any change in
inbound marketing focus. Despite the tight
timescales and delivery period it is possible to build
flexibility into the programme to adapt to these
changes and change the balance of investment
between markets as required.
GBP £ has appreciated markedly against the euro
over the last twelve months since February 2014, but
conversely depreciated against the US Dollar.
Mitigation – in the event of significant changes in
relevant overseas markets, increase value messaging
Despite the tight timescales and delivery period it is
possible to build flexibility into the programme to
adapt to these changes and change the balance of
investment and activities between markets, between
workstreams and activities as required.
Encouraging partner destination organisations to
work together across local authority and LEP
boundaries in the North of England creates a
logistical challenge but there is clear willingness and
aspiration to overcome this which has also been
demonstrated throughout the development of the
proposal.
Mitigation – cross boundary working groups to
establish the specifics of product market fit, inclusion
in decision making and formal delivery partnerships
to ensure that the partnership approach is delivered.
Regular communications throughout the programme
of delivery and reporting on impact during and after
the programme delivery ends.
Ensure proportionate and robust programme
management approaches are put in place to coordinate and manage the range of delivery partners
through the development and agreement of a set of
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Northern Futures Tourism - Programme Proposal
February 2015
the North of England and
also in key target overseas
markets.
Time constraints
Reliance on delivery
partner destination
organisations for financial
and project management
information.
programme partnership funding agreements.
Medium
High
Medium
Medium
Late or incomplete
submission of programme
management information
and supporting evidence
may result in the loss of
the grant
Purchasing campaign media is subject to public sector
procurement regulations and, where applicable,
agreed frameworks.
Mitigation – immediate identification of procurement
requirements and activation of the process to ensure
delivery is not delayed.
Clear communication to partner destination
organisations at the outset of the ‘Northern Futures’
Programme.
Partnership agreements with partner destination
organisations will provide a binding basis for
contractual commitments and reporting
requirements.
Project protocols for eligible partner expenditure
developed which provide for activity.
11. State Aid Assessment
The final beneficiaries will be the businesses operating within the tourism industry and wider Visitor
Economy in the North of England. These are across a broad spectrum of SIC codes18 and impact is
determined by where influenced overseas visitors spend their money. The impact of the programme
can be evaluated by business type but cannot identify impact in individual businesses. Therefore the
final beneficiaries are indeterminate.
The programme will ensure that opportunities are open to all businesses and partners meeting the
brief/product market fit criteria for each market and segment.
VisitEngland will not provide financial support to commercial undertakings under this programme.
In accordance with procurement rules, VisitEngland will ensure that, as appropriate, a fair, open and
transparent selection process on the basis of a competitive call for expressions of interest to
participate in the Programme in order to recruit commercial tourism industry partners, such as
airlines and ferry companies.
18
SIC codes are attached at appendix 4
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Northern Futures Tourism - Programme Proposal
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Appendix 1 – Participants in the development of the proposal
a)
TOURISM IN THE NORTH ROUNDTABLE – 16 JANUARY 2015: ATTENDEES
North East
North East Combined Authority and LEP Area
Tania Robinson – South Tyneside Council
Stacy Hall – Northumberland County Council
Tees Valley LEP Area
Amanda Skelton – CE, Redcar & Cleveland Borough Council
Reuben Kench – Head of Culture & Leisure Services, Stockton Borough Council
North West
Cheshire and Warrington LEP
Christine Gaskell MBE – Chair, Cheshire and Warrington LEP
Katrina Michel – CE, Marketing Cheshire
Cumbria
Stephen Broughton – CEO, Mountain Goat Bus Company and Lindeth Hotel, and LEP Board Member
Ian Stephens – MD, Cumbria Tourism
Lancashire LEP
Alan Cavill, CE Lancashire LEP
Ruth Connor, CE, Marketing Lancashire
Liverpool City Region
Sara Wilde-McKeown - Chair, Visitor Economy Board, LEP
Chris Brown – Director, Marketing Liverpool
Manchester City Region
Andrew Stokes – CE, Marketing Manchester
Iwan Griffiths – Chair, Marketing Manchester
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Yorkshire & Humber
Gary Verity – CE, Welcome to Yorkshire
Humber LEP Area
Cllr Steven Bayes – Portfolio holder for the visitor economy, Hull
Cllr Michael Burnett – Portfolio holder for tourism, leisure and culture, North East Lincolnshire
Leeds City Region LEP Area
Cllr Stephen Baines – Leader, Calderdale Council
Wallace Sampson – CE, Harrogate Council
Sheffield City Region LEP Area
Brendan Moffett – Director, Marketing Sheffield
Gavin Baldwin – Doncaster Rovers and LEP Board member
York, North Yorkshire & East Riding LEP Area
Barry Dodd CBE, Chairman, York, North Yorkshire & East Riding LEP
Jim Dillon – CE, Scarborough Council – representing the Yorkshire Coast
VisitEngland/VisitBritain/DCMS
James Berresford – Chief Executive, VisitEngland
Louise Stewart – Director Strategy and Development, VisitEngland
Patricia Yates – Strategy and Communications Director, VisitBritain
Cathy Page – Head of Domestic and European Tourism, DCMS
DPM’s Office
Stephen Jones – Deputy Director, Economic Policy
Chris Saunders – Special Adviser
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b) Destination workshop
First
Name
Philip
Last Name
Job Title
Company Name
Welsh
Head of Marketing Services
Blackpool Council
Katie
Kinsella
Principal Officer - Tourism
Calderdale Council
Pam
Warhurst
Chair of Calderdale Tourism Board
Calderdale Council
Cllr
Anne
Mark
Quilter
Carlisle City Council
Walshe
Portfolio Holder for Culture, Leisure and
Young People
Strategic Property Manager
Ian
Stephens
Managing Director
Cumbria Tourism
Mike
Wilkinson
Tourism Advisory Board Member
Discover Yorkshire Coast
Colin
Joy
Tourism & Visitor Economy Manager
Doncaster Tourism
Graham
Riding
Development Manager - Culture
Experience Wakefield
Jess
Newbould
Senior Project Officer - Tourism
Kirklees Council
AnneMarie
Peter
Parker
Regeneration Manager
Kirklees Council
Sandman
Head of Visitor Economy Development
Liverpool City Region LEP
Sara
Wilde
Chair of Visitor Economy Board
Liverpool City Region LEP
Brendan
Flanagan
Marketing Cheshire
Katrina
Michel
Visitor Economy, Culture & Tatton Park
General Manager
Chief Executive
Ruth
Connor
Chief Executive
Marketing Lancashire
Anna
Izza
Head of PR and Communications
Marketing Lancashire
Brendan
Moffatt
Director
Marketing Sheffield
Wendy
Ulyett
Marketing Manager - Visitor Economy
Marketing Sheffield
Sarah
Stewart
Chief Executive
Kathie
Wilcox
Richard
Gunton
Head of Communications and Corporate
Affairs
Director (Park Services)
NewcastleGateshead
Initiative
NewcastleGateshead
Initiative
North York Moors NPA
Catriona
McLees
Jude
Carlisle City Council
Marketing Cheshire
North York Moors NPA
Leitch
Head of Promotion & Tourism (Park
Services)
General Manager
Miranda
Sykes
Communications & Media Manager
Janet
Deacon
Area Director - North Yorkshire
Redcar & Cleveland Borough
Council
Scarborough Council
Mark
Catherall
Service Manager
Sefton Council
Tania
Robinson
Head of Service
South Tyneside Council
Northumberland Tourism
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February 2015
Reuben
Kench
Head of Culture & Leisure
Mark
Rowell
Business Engagement Manager
Laura
Britton
Destination Management Officer
Stockton on Tees Borough
Council
Stockton on Tees Borough
Council
Sunderland City Council
Julie
Heathcote
Place Communications Manager
Sunderland City Council
Sue
Thiedeman
Head of Culture & Visitor Economy
Visit Barnsley
Sarah
Howsen
Senior Tourism Development Officer
Visit Bradford
Sarah
Johnson
Marketing Manager
Visit County Durham
Melanie
Sensicle
Chief Executive
Visit County Durham
Sibh
Megson
Marketing and Business Manager
Visit Harrogate
Andy
Gray
Tourism Manager
Visit Hull & East Yorkshire
Anthony
Yates
Tourism Manager
Visit Hull & East Yorkshire
Jennifer
Young
Associate Director of Visitor Economy
Visit Leeds & Partners
Nick
Director of Tourism
Visit Manchester
Andrew
BrooksSykes
Stokes
Chief Executive
Visit Manchester
Joanne
Dilley
Director
Araam
Tehrani
Website and Digital Media Manager
Craig
Nattress
Visitor Economy Officer
Visit Peak District and
Derbyshire
Visit Peak District and
Derbyshire
Visit Ryedale
Peter
Hampson
Chair of Visit Southport
Visit Southport
Michelle Brown
Marketing Leisure Manager
Visit York
Kate
McMullen
Head of Visit York
Visit York
Nicola
Atanassova
Marketing Manager
VisitBlackpool
Peter
Dodd
Commercial Director
Welcome to Yorkshire
Vikki
Harris
Head of Marketing
Welcome to Yorkshire
Julie
Barker
Yorkshire Dales NPA
Kathryn
Beardmore
Head of Recreation Tourism and
Outreach
Head of Culture & Visitor Economy
Yorkshire Dales NPA
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c) Expert Group Members
North West
Nick Brook-Sykes, Director of Tourism, Marketing Manchester
Ian Stephens, CEO, Cumbria Tourism
Yorkshire
Kate McMullen, Head of VisitYork
Peter Dodd, Sales and Marketing Director, Welcome to Yorkshire
North East
Sarah Stewart, CEO, NewcastleGateshead Initiative
Tania Robinson, Head of Marketing and Communications, South Tyneside Council
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Northern Futures Tourism - Programme Proposal
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Appendix 2
Northern Futures: Outline Marketing Plan
This is an outline marketing plan. It demonstrates the marketing approach and framework. It is
important to note that the places, destinations and products are provided as examples in this
document. Inclusion or exclusion in this document should not be interpreted as the definitive
showcase of northern products. It is appreciated that all northern destinations would wish to see
their products and places referenced at this stage but for reasons of brevity it is not appropriate.
Detailed marketing plans and product matrices will be developed by the delivery groups made up
of destinations who clearly have the greatest depth of knowledge of the product.
Markets: The target markets have been agreed using insights (VB) and input from the expert group.
The key markets are the US, Germany, Netherlands, Australia and China. There is a market plan for
each.
US
Germany
Markets
Netherlands
Australia/NZ
China
Target audience: segmentation
Themes/products and experiences
Activities
Connectivity
Travel Trade
BV E
Leisure visitor
Audience product fit: For each market the best prospect target audiences has been identified and
initial product fit suggested. The ambition is to lead with the strongest product(s) for each target
segment group and provide an ‘Amazon’ type approach in order to showcase wider northern
products, i.e. ‘If you like this product, you’ll also like xxx’. Each market will have an individual plan
identifying a range of activities with relevant product supporting this that will support the market
objective.
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Northern Futures Tourism - Programme Proposal
February 2015
Example: The model will take product that is internationally appealing and build a bank of
supporting product to market. The ambition is to have several hero products (see market plans)
that will give an opportunity to promote and build awareness of wider product. Depending on
activity strand the product that will provide the best cut through will be used as the hero product.
Hero Product
Supporting
product
Supporting
product
Supporting
product
Supporting
product
Supporting
product
Supporting
product
The Northern Brand: It was clear from all the round tables and group sessions that there was little
ambition to develop a Northern Brand. But in order to deliver a cohesive approach there needs to be
a common thread through all activity and something every destination can use to leverage local and
stakeholder support.
Why visit the north (WIP): There is an essence of the north that is unique to other parts of
the country. There is sense of pride and passion that needs to thread through all activity and
offer the destinations of the north an opportunity to ‘showcase their personality’. Our
message to the international audience is that North England has an exciting and unique
blend of recognisable culture and heritage, modern and new experiences to discover and
people with that renowned sense of humour to meet. All this, packed into an area compact
enough to explore easily in your holiday, whether it’s for a weekend or a fortnight.
All activity will have a thread (to be developed) that destinations, businesses and activity will
communicate to deliver a cohesive message.
Market plans: Each market plan will identify segments, products and activities that will deliver
against overall programme objectives. There will be clear attract and disperse plan in each market
(see product market fit document) to communicate and raise awareness of different product
throughout the north.
To ensure gateway destinations (e.g. Manchester) support relevant rural product in market there
will be new city and countryside partnerships put in place. There will be concerted effort with ports
entry to promote the wider offering in the north via a ‘Welcome’ programme.
As activity is fully scoped an asset audit will be carried out to identify any collateral needed. This will
be budgeted within activity strands.
Where appropriate, existing platforms will be considered against objectives outlined in the brief.
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Northern Futures Tourism - Programme Proposal
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Market: US
Areas: living in metropolitan areas in NY, New Jersey, Connecticut, California, Illinois, Texas and
Florida
Background:
Chosen as a key target, there is a high potential for growth from the US market; only 10.5% of
American visitors visited the North of England compared to 19% visiting the South.
Objectives:
Building awareness and showcasing the breadth and depth of experiences of available in the North
of England
Challenge perceptions on England’s countryside
Segments and product criteria to motivate travel:
Active Inspiration Seekers will enjoy the North’s unique and amazing local food, cultural
experiences, fine art and engaging with nature (parks/gardens or walking and dining routes) and the
countryside. The North will be presented as action-packed - somewhere where visitors can have fun
and be healthy.
Product criteria: unique and amazing local food, cultural experiences, fine art and engaging with
nature (parks/gardens or walking and dining routes) and the green aspect.
Lead hero product: Manchester International Festival, Museums(s) and Countryside activities (e.g.
Lake District, walking, sightseeing, cycling and lake cruising)
Product Example: Gastro pubs and real ale tours, Manchester International Festival, art galleries,
inspirational landscapes (Cumbria, Northumberland coast, Lindisfarne, Castles, Hadrian’s wall
walking and coast to coast), national parks (living, working and accessible), cities with atmosphere
stories and heritage proximity, friendliness, film sets (Harry potter, Chatsworth House - Pride and
Prejudice).
Relaxed and Retired will enjoy the North's fine dining and fantastic sightseeing; they might attend
music performances and live theatre, or local (folk) music. Cookery courses and afternoon tea will
appeal.
Product criteria: unique cultural experiences, sightseeing, music and theatre, meeting new people,
safe and value for money
Lead hero product example: Heritage cities (Durham, Chester, York etc)
Product Example: Literature tours – Wordsworth, Bronte, Maritime Heritage, Industrial Heritage,
Traditional afternoon teas
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Activity strands: US
Total budget for US market and expected returns
1. Connectivity: Maximise northern connectivity from the US via ports of entry to the north
a. Gateways: Manchester, Newcastle
Activity
Budget
Match
Return Outcomes
Partnership AA
TBC
TBC
10:1
Route retention,
increased awareness
Partnership Delta
TBC
TBC
10:1
of the North as a
Partnership UA
TBC
TBC
10:1
destination, increase
Partnership Thomas
TBC
TBC
10.1
in volume of inward
C
travellers
Total
400,000 400,000
8m
2. Leisure: Raise the awareness of the northern offer in the primary US cities identified
a. Campaign Activity including a Comprehensive PR programme, Ad-funded
programming, Imagery and footage of northern destinations, Digital marketing deep
dive to convert potential consumers into booking.
Activity
Budget Match
Return Outcomes
Media Campaign*
2.5m
TBC
10:1
Increased awareness
and consideration for
PR*
500,000 TBC
10:1
the North of England.
Digital Partnership*
300,000 TBC
10:1
Menu of fast-paced
action packed
experiences delivered
Total
3.3m
4m
73m
to market to build
further advocacy
*Brief to be developed
*Areas dependent on carrier partnerships
3. Travel Trade: Increase the level of tourism product sold by travel agents and tour operators
Activity
Budget Match
Return Outcomes
Travel Trade
100,000 TBC
6:1
Additional northern
showcase
product added to
programmes and
VIP buyers fam
100,000 TBC
6:1
increase in sales of the
programme
tours, focussing on the
Digital Itinerary
100,000 TBC
6:1
‘Relaxed and Retireds’
development
market.
Total
300,000 100,000
2.4m
Total US investment: £4m
NB. Budgets will be confirmed for activity areas when detailed briefs have been responded to e.g.
media, travel trade etc.
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Market: Netherlands
Areas: Amsterdam has a strong network of routes to the North of England and there is demand for
further routes with ferry companies especially DFDS. Rotterdam, Zeebrugge & Ijmuiden are other
key ferry ports.
Background:
Visitor numbers from the Netherlands to the North of England is declining and business visits
contribute a higher share of visitors than leisure. An opportunity exists to showcase the North to
both first time and repeat visitors and showcase another lesser known part of England.
Objectives:
Showcase what there is in the north of England especially to repeat visitors who are likely to have
already explored London & Scotland.
Segments and product criteria to motivate travel:
The Energetic Matured will enjoy the authentic experiences that make up the North, differentiating
the region from its’ competitors, e.g. regional food specialities, local breweries, tearooms and the
great outdoors.
Product criteria: Classic sites, Authentic experiences such as local foods, shopping etc, Outdoor
walking trails, Fireside pubs, Camping and Caravan sites etc.
Lead hero product example: North-East Yorkshire coast
Product Examples: Tour de Yorkshire, Hadrian’s Wall, Villages set in dramatic settings, Market towns
such as York, Chester and Durham
Secondary Target: Sporty Culture seekers will enjoy the North's music, entertainment, nightlife and
adventure activities
Product criteria: adventurous, sporty, active, unique, music, meeting new people, fashionable,
cycling
Lead hero product: Music & Football
Product Example: Film sets, Football (and other sports), Live music, Major events, Adventure sports
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Activity strands:
Total budget for the Dutch market and expected returns
1. Connectivity: Maximise northern connectivity from the Netherlands via sea and air ports of
entry to the north
a. Gateways: Hull, Newcastle, Manchester, Leeds, Durham, Humberside, Isle of Man,
Yorkshire Coast, Northumberland (DFDS)
Activity
Budget
Match
Return Outcomes
Partnership DFDS
TBC
TBC
10:1
Route retention,
increased awareness
Partnership P&O
TBC
TBC
10.1
of the North as a
Ferries
destination, increase
Partnership Flybe
TBC
TBC
10:1
in volume of inward
Partnership Easyjet
TBC
TBC
10:1
travellers
Total
200,000
300,000
5m
2. Leisure: Raise the awareness of the northern offer in the primary Dutch cities identified
with a connection to the North of England
a. Campaign Activity including a Comprehensive PR programme, Strong imagery of the
beauty of northern destinations, Digital marketing deep dive to convert potential
consumers into booking.
Activity
Budget
Match
Return Outcomes
Media Campaign*
400,000
TBC
10:1
Increased awareness
and consideration for
PR*
100,000
TBC
10:1
the North of England,
Digital Partnership*
100,000
TBC
10:1
with a strong sense of
what there is on offer
Total
600,000
700,000
13m
& showing value for
money.
*Brief to be developed
3. Travel Trade: Increase the level of tourism product sold by travel agents and tour operators
Activity
Budget Match
Return Outcomes
Travel Trade
100,000 TBC
6:1
Additional northern
showcase
product added to
programmes and
Digital Itinerary
100,000 TBC
6:1
increase in sales of
development
the tours, focussing
Total
200,000 75,000
1.65m on flexible online
operators.
Total Dutch investment: £1m
NB. Budgets will be confirmed for activity areas when detailed briefs have been responded to e.g.
media, travel trade etc.
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Market: Germany
Areas: living in major cities across the North-West region of the country which have easy access to
the north of England, e.g. Cologne, Dusseldorf, Essen etc.
Background:
Germany is already a key market for tourism to England, but increased awareness is needed to drive
further tourism to the North of England. Many Germans come to England for Business but there is
the potential move them along the life cycle for consideration of the North as a holiday destination.
Objectives:
Challenge perceptions on what the North of England has to offer, specifically re: the countryside and
landscapes.
Challenge perceptions on the warm of the English ‘Welcome’
Segments and product criteria to motivate travel:
Discoverer’s will be particularly interested in learning about the natural beauty of the countryside
and the national parks, gardens and small country villages will convince them to consider the North
of England.
Product criteria: scenic coastlines and natural beauty (parks/gardens or walking/ hiking routes)
along with cultural experiences that showcase English traditions and a warm welcome
Lead hero product example: Exploring national parks, walking along Hadrian’s Wall
Product Examples: Lakes, Dales and tucked away country villages, Gardens, Museums and historic
houses twinned with a countryside experience are of special interest.
Secondary Target: Action seeking Explorers will enjoy the North's music, entertainment, nightlife
and adventure activities
Product criteria: adventurous, sporty, active, unique, music, meeting new people, fashionable
Lead hero product: Music & Football
Product Example: Film sets, Football (and other sports), Live music, Major events, Adventure sports
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Northern Futures Tourism - Programme Proposal
February 2015
Activity strands:
Total budget for the German market and expected returns
1. Connectivity: Maximise northern connectivity from Germany via sea and air ports of entry to
the north
a. Gateways: Hull, Newcastle, Manchester, Liverpool
Activity
Budget Match
Return Outcomes
Partnership DFDS
TBC
TBC
10:1
Route retention,
increased awareness
Partnership P&O
TBC
TBC
of the North as a
Ferries
destination, increase
Partnership
TBC
TBC
10:1
in volume of inward
Germanwings
travellers
Partnership Easyjet
TBC
TBC
10:1
Total
200,000
200,000
4m
2. Leisure: Raise the awareness of the northern offer in the primary German areas identified
with a connection to the North of England
a. Campaign Activity including a PR programme focussing on short term leads, Strong
imagery of the beauty of northern destinations, Digital marketing deep dive to
convert potential consumers into booking.
Activity
Budget Match
Return Outcomes
Media Campaign
700,000 TBC
10:1
Increased awareness
and consideration for
PR
200,000 TBC
10:1
the North of England,
Digital Partnership
100,000 TBC
10:1
with a strong sense of
Total
1m
1.1m
21m
the natural beauty.
3. Travel Trade: Increase the level of tourism product sold by travel agents and tour operators
Activity
Budget Match
Return Outcomes
Travel Trade
100,000 TBC
6:1
Additional northern
showcase
product added to
programmes and
VIP buyers fam
100,000 TBC
6:1
increase in sales of
programme
the tours, focussing
Digital Itinerary
100,000 TBc
6:1
on the flexible online
development
operators working to
Total
300,000 125,000
2.55m
short lea times
Total German investment: £1.5m
NB. Budgets will be confirmed for activity areas when detailed briefs have been responded to e.g.
media, travel trade etc.
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Northern Futures Tourism - Programme Proposal
February 2015
Market: Australia/ NZ
Areas: living in metropolitan areas in Sydney, Melbourne, Perth and Auckland (NZ)
Background:
Australians and New Zealanders are already able to access the North, via routes coming into England
from the Middle East (Emirates/ Etihad). Often with a family history from the UK, visitors may
already be familiar with England but an opportunity exists for English destinations, especially lesser
known Northern destinations to compete for share of spend and time spent in the UK and Europe.
Objectives:
Build on limited awareness of the North of England to communicate extended itineraries for breaks
in the North.
Segments and product criteria to motivate travel:
Silver stylers will enjoy the contemporary cities of the North in a countryside setting and the cultural
and historical sights and experiences in the area. Silver Stylers will have ancestral ties to England,
but will need communications directed at them to refresh and change perceptions.
Product criteria: immersive experiences, unique and amazing local food, cultural experiences, Sports
and music
Lead hero product example: Manchester Football, Liverpool and the Beatles. Convert demand from
coverage from the Rugby World Cup hosted in England in 2015.
Product Example: Film (Harry potter, Chatsworth House - Pride and Prejudice, Cooking schools,
cycling tours, Gardens and historic houses
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Northern Futures Tourism - Programme Proposal
February 2015
Activity strands:
Total budget for the Australian/Kiwi market and expected returns
1. Connectivity: Grow northern connectivity from Australia and NZ via ports entry to the north
and maximise connectivity from traditional long-haul ports of entry (London)
a. Gateways: Manchester, Newcastle
Activity
Budget
Match
Return Outcomes
Partnership Flight
TBC
TBC
10:1
Driving visitors to
Centre
travel outside of
London and building
consumer demand of
Total
100,000 100,000
2m
the North of England
2. Leisure: Raise the awareness of the northern offer amongst the target audience identified
with a reason to travel to the North of England
a. Campaign Activity including a Comprehensive PR programme which takes
advantage of Aus/ NZ broadcasters coming to England for the Rugby World Cup in
September/ October 2015
Activity
Budget Match
Return Outcomes
Media Campaign
600,000 TBC
10:1
Increased awareness
and consideration for
PR
150,000 TBC
10:1
the North of England,
Digital Partnership
100,000 TBC
10:1
capitalising on long
Total
850,000 900,000
17.5m
lead times
3. Travel Trade: Educated the Australian/ NZ market about the product offering in the North
and increase the level of tourism product sold by travel agents and tour operators
Activity
Budget
Match
Return Outcomes
Travel Trade
100,000
TBC
6:1
Additional northern
showcase
product added to
programmes and
VIP buyers fam
150,000
TBC
6:1
increase in sales of
programme
the tours, often
Digital Itinerary
100,000
TBC
6:1
booked within 3-6
development
months of travel to
Total
350,000 100,000
2.7m
England.
Total Australian/ NZ investment: £1.3m
NB. Budgets will be confirmed for activity areas when detailed briefs have been responded to e.g.
media, travel trade etc.
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Northern Futures Tourism - Programme Proposal
February 2015
Market: China
Areas: living in close proximity to direct routes to England
Background:
The majority of mainland Chinese visitors to England are likely to be first time visitors and although
having a high reliance on travel agents, Chinese visitors like to research themselves what there is to
do in England.
Objectives:
Encourage Chinese visitors to consider travel from London to the North of England to key
destinations and attractions in the North of England
Segments and product criteria to motivate travel:
Social Pioneers will enjoy exploring the North of England for fashion, music, cultural experiences and
film
Product criteria: Cultural experiences, unique and amazing local food, Fashionable, Different, Iconic
Lead hero product example: Manchester International Festival, World heritage Sites and National
Parks, Harry Potter film sets
Product Example: Gastropubs, Real Ale Tours Harry Potter film sets, Fashion, Shopping, Music,
Major events
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Northern Futures Tourism - Programme Proposal
February 2015
Activity strands:
Total budget for the Chinese market and expected returns
1. Connectivity: Maximise connectivity from traditional long-haul ports of entry (London) as
well as increasing inward capacity on existing ports of entry into the North of England.
a. Gateways: Manchester (Routes via Hong Kong)
Activity
Budget
Match
Return Outcomes
Partnership
100,000
100,000
10:1
Driving visitors to
travel outside of
London, building
Total
100,000
100,000
2m
consumer demand of
the North of England
2. Leisure: Raise the awareness of the northern offer amongst the target audience identified
with a reason to travel to the North of England
a. Campaign Activity including a Comprehensive PR programme, Ad-funded
programming, Imagery and footage of northern destinations
Activity
Budget
Match
Return Outcomes
PR
100,000
TBC
10:1
Digital Partnership*
100,000
TBC
10:1
Total
200,000
200,000
4m
*Leverage VB activity
3. Travel Trade: Increase the level of tourism product sold by travel agents and tour operators
Activity
Budget
Match
Return Outcomes
Travel Trade
100,000
TBC
6:1
Additional northern
showcase
product added to
programmes and
VIP buyers fam
200,000
TBC
6:1
increase in sales of
programme
the tours
Digital Itinerary
100,000
TBC
6:1
development
Total
400,000 100,000
3m
Total Chinese investment: £700K
NB. Budgets will be confirmed for activity areas when detailed briefs have been responded to e.g.
media, travel trade etc.
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Northern Futures Tourism - Programme Proposal
February 2015
Business Visits & Events
Business Visits & Events is a unique proposition, with each individual destination lending itself to a
strategy working to its core strengths. Therefore, the BV&E strategy needs to remain marketneutral, going to where the opportunities lie in order to compete on a global scale.
Background:
An opportunity exists to strengthen the current BV&E programmes in key destinations in the North
of England to solidify their position as sector-experts in chosen areas to gain business and compete
on an international scale.
Objectives:
Change perceptions of the Northern Business tourism offer and secure new business for the North in
the medium/long term
Activity:
Large-scale Global approach for BV&E for the North of England. Potential activity streams listed
below
Activity
Northern England
presence at key
trade shows globally
including IMEX, IBTM
World,
Budget
340,000
Match
TBC
Return
10:1
Fam trips to
northern
destinations –
Representation in
market
PR/ Marketing
campaign relevant to
business events in
the trade media
Tourism conference
200,000
TBC
10:1
150,000
TBC
10:1
10,000
TBC
10:1
Packaged itineraries
50,000
TBC
10:1
Delegate boosting
fund
250,000
TBC
10:1
Total
1,000,000 500,000
Outcomes
New leads generated
for the North of
England, Business
secured, increase in
profile of the
Northern
destinations’
offerings
Conference delivered
with key global
speakers
Newly created
itineraries promoted
by the UK-based
DMC’s
Additional Delegate
spend for events
already secured
15m
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Northern Futures Tourism - Programme Proposal
February 2015
Total BV&E Investment: £1m
Product development:
There is an opportunity from the fund to encourage product development and collaboration
agreements across the north. Some of these will be direct outputs from activity; some will be
opportunities to deliver long term working collaboration:
1. Through ticketing from London – VisitEngland will work with DCMS and DfT to identify
opportunities to address this barrier.
2. Connectivity within the North – ensuring that visitors have the information to travel easily
between different locations in the North and that where there are issues northern partners
in the public and private sector work towards resolving them.
3. Agreements with gateways and neighbouring areas
4. Cross digital working to maximise visitor spend
5. Improved welcome to the north
6. Business collaboration
7. Tourism businesses welcome for international visitors
Please specify any additional areas where product development might be an outcome from this
activity.
Next steps:
Note that all budget allocations are subject to testing dependent upon the final activity plan.
Budgets/ allocations must be tested in-market through working alongside partners, carriers and
the travel trade and for the leisure visitor; this requires briefing out to the Media/ Creative Agency.
1. Develop working groups for Leisure & Connectivity, Travel Trade, BV&E
a) The groups would report into the project board after stress testing budget
proposals and building detailed plans for each market within each strand. Each
group is required to develop a detailed brief with requirements and objectives to
proceed.
b) They would develop a time line and raise potential risks and concerns (E.g.
procurement – OJEU?)
c) The group would consist of VB, VE and four destinations (we will look for
expressions of interest when sent out)
2. Populate a product market fit matrix – Destinations will do this first, tested by overseas
specialists – this will be an iterative process as activity is decided.
3. Programme Board to agree the delivery model for the different activities
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Northern Futures Tourism - Programme Proposal
February 2015
Appendix 3 – Summary Impacts
A) Outputs and outcomes table
Workstream
Connectivity
Measure
Visitor Spend
Media
coverage in
target markets
– AEV, OTS,
Reach, social
metrics
Leisure
Visitor spend
Media
coverage in
target markets
– AEV, OTS,
Reach, social
metrics
Travel Trade
Business
Visits &
Events (BVE)
Perception
levels
Increased
visitor spend
Economic
impact of
events
How
measured
Consumer
surveys,
booking levels,
ROI
Output (NF
Core)
£21m
incremental
visitor spend
Outcome
Increased volumes of visitors
using Northern ports of entry,
route development confidence
from carriers, retention of trial
routes
Increased international visitor
spend
Consumer
surveys,
ROI
£128m
Incremental
visitor spend
Increased awareness of the
North, change in perceptions
Increased international visitor
spend
Increased awareness of the
North, change in perceptions
AEV: 150m
Buyer surveys
(UK and
Overseas),
telephone
survey highly
engaged
operators
Survey of
event planners
and
destinations to
assess
programmes
impact on
confirmed
events
£ 12m
£15m
Increased international visitor
spend
Additional Northern product
added to programmes, increase
of tour sales, increased
awareness of Northern product
Volume of leads generated for
the North, increased awareness
of the North as business
destination, new opportunities
for destinations in this area
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Northern Futures Tourism - Programme Proposal
February 2015
B) Impact by market
Workstream
Connectivity
Leisure
Travel Trade
Total (m)
Business Visits and
Events
Grand Total (m)
Netherlands
5
13
1.65
19.65
Market
USA Germany Aus/Nz China
8
4
2
2
73
21
17.5
4
2.4
2.55
2.7
3
83.4
27.55
22.2
9
Total
(m)
21
128.5
12.3
161.8
15
176.8
(Business Visits and Events is added to this table for completeness)
42
Northern Futures Tourism - Programme Proposal
February 2015
Appendix 4 - SIC Codes
(Source: Economic & Labour Market Review | Vol 4 | No 5 | May 2010, ONS)
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Northern Futures Tourism - Programme Proposal
February 2015
Appendix 5 – Endorsement of the proposal by a selection of Northern Stakeholders
Comments
Organisation
A good document which balances active engagement with
airlines/ trade and broader activity that will facilitate
increased awareness to prospective audiences.
Ken O'Toole
Chief Commercial Officer
Manchester Airport
I need to express my support for this document which I am
pleased to say expresses views held by myself and many
other SME Operators in the Tourism Industry who have had
in their business plans International Business as a major
target.
Stephen Broughton
CEO Mountain Goat Tours,
Lindeth Howe Country House Hotel,
Windermere and Lake District
Information Office, Private Sector
Board Member Cumbria LEP
We still believe that International Business offers the best
growth opportunity and we have been hampered by lack of
consistent overall support and the silo approach to tourism
development which has developed over time.
This recognises the opportunity eloquently and lays out a
path to regenerate activity in this area.
We are supportive of the draft proposal. If implemented, it
will help raise the profile of the North East internationally,
and assist Newcastle Airport as the international gateway
for our region. It will also help support our long haul routes.
Graeme Mason, Planning and
Corporate Affairs Director
Newcastle Airport
The proposal is industry focused, challenging but achievable,
based on real insights, provides the framework for strategic
coherence to be created and develop over time and gives
opportunity for all our real things and real businesses to
benefit from
Cumbria LEP confirms that it welcomes the opportunity to
remain a partner and will, once further developments are
completed and available, will consider how and to what
extent the county’s public and private sector can engage
with the programme.
Jane lady Gibson
Chair VisitYork
A strong, ambitious, but we believe achievable, proposal. It
captures pertinent insight, reflects key, shared priorities for
the tourism sector right across the North and clearly
articulates a focused strategy and the necessary tactics
required to make the most of this funding. The programme
outlined would have a significant impact on the scale and
scope of work to promote the North internationally this
year and has the potential to deliver both short and long
economic impact for our visitor economy.
Paul Callaghan CBE
Chair
NewcastleGateshead Initiative
George Beveridge
Chair
Cumbria LEP
44