Aloha from Europe…
Christine Klein
Account Director
Rachel Booker
UK Account Manager
The Situation in Europe…
• Europe is made up of 27 member countries, with 20 official
European languages
• Europe has the world’s largest population after China and
India - nearly half a billion
• Europe is the largest economy of the world generating GDP
of over 11,805.66 billion EUR
• The European enjoy on average 30 days of vacation per year.
The Situation in Europe…Economy
• The global slowdown & European economic crisis is
affecting the single countries’ economies.
– The German economy followed by France and the UK
remains the six-cylinder growth engine of the eurozone.
• Germany remains the top spender in leisure and business
trips worldwide for 2012
– 24% of the population tends to travel more
– Spending 29% more money than the previous year
• UK is in a ‘double-dip’ recession however:
– Un-employment has fallen to just 8%
– Inflation rates have dropped to 3%
– Olympics set to create a major economic boost
Sources: Annual F.U.R. survey
The Situation in Europe…Economy
• Currency Fluctuations
1.70000
1.60000
Exchange rate to USD
1.50000
1.40000
1.30000
1.20000
1.10000
1.00000
Feb
Mar
Apr
May
Jun
Jul
Aug
GBP 1.55084
1.58001
1.58194
1.60079
1.59252
1.55454
1.55893
1.56182
EUR
1.32241
1.32010
1.31579
1.28079
1.25263
1.22885
1.23220
Sources: www.x-rates.com
Jan
1.29049
The Situation in Europe…Economy
• Despite the UK’s continued austerity drive, the majority of
Brits are refusing to give up their Holidays & will spend more
than £36 billion on vacations in 2012.
• OTA forecasts show that by 2016, 4.7 million UK travelers will
visit the US – a 24% increase over 2010
Europe will remain an important source
market for Hawai‘i
(1,504,200 visitor days in 2011p)
Sources: Hawaiitourismauthority.org/research
The Situation in Europe…Performance
• 1Q 2012: Hawai’i has grown disproportionally in the UK and
Germany and as a result has taken market share from other
US destinations in the UK and Germany.
UK
total outbound: up 1%
total outbound to USA up 10.3%
total outbound to Hawai’i: up 19.8%
GERMANY
total outbound: up 1.8%
total outbound to USA up 13.6%
total outbound to Hawai’i: up 15.1%
Sources: UK Office of National Statistics, tinet.gov.ita, IPK International,
hawaiitourismauthority.org/research
The Situation in Europe…Performance
Europe MMA
UK
France
Germany
Italy
Switzerland Total Europe
Q1
1.5
31.5
14.4
-0.7
30.7
11.8
Q2
20.4
27.5
9.1
7.7
16.3
16.8
Half year
11.3
29.4
11.6
4.1
22.4
14.5
• At the half year point, travelers to Hawai’i from Europe are
up 14.5%
– Slight decrease from Q1 due to Soccer European
Championship and build up to the Olympics
Sources: hawaiitourismauthority.org/research
The Situation in Europe…Performance
• The average length of stay by the European visitor was
13.10 days in 2011, the longest among all MMAs
• European travelers on average visit 2-3 Hawaiian Islands
per trip and already represent the highest non-O’ahu
proportion of all MMAs (2013 proposed island targets):
–
–
–
–
–
–
O’ahu: 74%
Maui: 43%
Moloka’i: 2%
Lana’i: 2%
Kaua’i: 23%
Hawai’i Island: 35%
Sources: hawaiitourismauthority.org/research
The Situation in Europe…Market Trends
• USA is still the top long-haul destination for European Travelers
• From the top twenty countries generating travel to the US:
UK 4th / Germany 6th / France 7th / Italy 11th / Sweden 17th /
Switzerland 19th
• Summer (June through August) remains the most popular months to
travel due to long school holidays
• From the UK visits to Europe increased 2%, whilst visits to North America
decreased 5%
• In the UK expenditure abroad decreased 2% to £31.1 bn during 12
months ending March
• 83% of British visitors to USA are returning visitors
• 75% of German visitors to USA are returning visitors
• Most-traveled: couples with no children and the young retired
• Family travel has declined, especially to long-haul destinations, for price
reasons
The Situation in Europe…Airlift
• There are currently 30,000 one-stop seats from UK and
Germany alone to Hawai’i
• In 2013 a major focus will be to assist with the development of new air
services to Hawai’i through better connections and non-stop service:
– Mokulele Airlines with service from London/Stansted
– Boeing 787 Dreamliner with service from various UK airports
– Charter flights with key operators e.g. TUI - Thomson Airlines, Virgin
Holidays – Virgin Atlantic, Thomas Cook – Condor.
– Air Berlin in codeshare with American Airlines service from Germany
– Condor in codeshare with Alaska Airlines from Germany
– XL with services from Paris to Las Vegas and San Francisco
– Arke Fly (NL) with services from Amsterdam via LAX and LAS
– Edelweiss (CH) with services from Zurich to LAX and LAS
The Situation in Europe…Brand USA
• The launch of European marketing programs by the
Corporation for Travel Promotion under the roof “Brand
USA” will prove to be a major plus for outbound travel to
Hawai’i as Hawai’i will automatically be a key beneficiary
from Europe to the United States.
• In the UK we are already partnering with them on a fall joint
marketing campaign with Expedia.
2013 Marketing Plan…
• New Markets - France, Italy, Scandinavia & Switzerland
• Increased Activities – Social Media and Media Fams
• New Business – targeting existing key operators and
potential new operators to increase product available
• Non-Tourism Brand Collaborations – using established
distribution networks to reach a new, previously un-touched
audience
INCREASE INCREMENTAL GROWTH
FROM EUROPE
European Leisure Strategies…
• Educational Destination Training
– Sales Calls / In-house training / Ke Kula O Hawai’i
• Trade Partnerships
– Spring and Fall Airline Co-ops / AUNO Roadshow
• Trade Shows
– ITB / Pow Wow / WTM
• Familiarization Trips
– Independent / group / media
• Non-Trade Partnerships
– Brand collaborations
• Airlift Development
– Routes Europe event – May 2013 / New route development
• PR and Media
– Press trips / releases /group fam
• Online
– Social Media / websites / webinars
New and Innovative Initiatives…
• Brand collaboration with non-tourism products/services
– Fitness First, Leisure/Gym Club
– Herbal Essences, Hair Collection
• Group Media Fam from UK and Germany
– 3 UK and 3 German Participants
• Routes Event May 2013 in Budapest
• Market specific Social Media
– Dedicated Facebook pages for
both the UK and German markets
Events and Festivals…
• PR - Consistently focus on the attractions and festivals
of Hawai‘i by issuing 12 monthly press releases in UK
& Germany to over 1,000 media in both markets
• Social Media - dedicated Facebook fan pages for UK
and German will highlight specific festivals & events
• Trade Communication
– Distribute quarterly e-newsletters in Western
Europe targeting 1,000 key travel trade contacts
– Newsletters in 2013 will not only include Hawai’i industry
stakeholder updates but will also provide Hawai‘i travel updates
and trends along with information on signature cultural events
• Training - Travel agencies are the primary booking source for longhaul travel and thus travel to Hawai’i. HTE will continue to integrate
all relevant events and festivals in to the program
What you can do…
• Cater for the Romance Market – Hawai’i is hugely
popular as a wedding and honeymoon destination in
all Western Europe markets. More than 1 in 5 couples marry abroad.
• Authentic Cultural Experiences - Western Europe consumers go abroad
to explore the diverse culture and landscapes. Embrace the Aloha spirit
and ensure your European consumer’s do to!
• Peak Booking Periods – The European high booking season is Jan – Mar
place special offers with receptives and your direct contracts.
• Bed and Breakfast Rates – Hotel room rates which include breakfast are
the most popular in Europe, ensure these are available all year.
• Update HTE – Ensure you keep us up to date on renovations, news,
events, and excursions so we can inform the European market.
• Keep Europe in mind as a constantly growing market showing a positive
growth and interest in Hawai’i despite the economic crisis facing some
European countries
Partnership Opportunities… Save the Date!
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AUNO European Sales Mission
Product Fam Trip
Group Media Fam
Pow Wow
ITB
WTM
October, 2013
June 13-18, 2013
March 2013
June 8-12, 2013
March 6-10,2013
November 4-7, 2013
Top Five Activities / Events…
1)
2)
3)
4)
5)
Aloha Up n Over Sales Mission
European Media and Product Fams
Pow Wow / WTM / ITB Trade Shows
New Airlift Developments
Increased Arrivals from newly serviced
European Markets
Mahalo Nui Loa!