Michael Lang is president of Lang & Associates, a Toronto-based international event marketing agency with offices in Vancouver, Montreal and Atlanta.
Kirsten Armitage is an account executive with Lang & Associates, and co-ordinator for the Event Marketing column. Contributions, ideas, media releases and feedback should be directed to Kirsten at (416) 229-0060 or fax (416) 229-1210.
With world tourism growth projected to double by 2005, there is significant opportunity for Canada and its composite of tourism destinations to attract more tourist visitation.
One promising tool to generate increased visitation and expenditures, as well as create positive image associations for Canadian destinations is event marketing.
Events attract local residents and non-local visitors (or tourists). Major Canadian festivals typically draw a 5% to 15% foreign audience, the majority originating from our southern neighbor.
These non-local visitors bring new spending to the area and can contribute substantially to the local economy.
For instance, average spending by non-local visitors at Ottawa’s Winterlude has been estimated at $464. Overnight visitors to Niagara Falls’ Festival of Lights spend an average of $394 per trip.
This spending provides significant economic value to the host community and surrounding region.
Total visitation to Vancouver’s Expo ’86 was comprised of 60% out-of-province visitors for an economic impact of $844 million.
Calgary’s 1988 Winter Olympics attracted 132,000 incremental visitors to the city for an estimated $175 million of direct spending over the 10 days of the Games.
Direct spending falls into three main categories.
One, spending by new visitors to the city on goods and services such as accommodation, transportation, meals and souvenirs.
Two, spending by event organizers on marketing-related activities, including advertising and promotion, injects new money into local and regional markets.
Three, money spent constructing and upgrading facilities to host the event and any related activities boosts economic value.
After the event has left town, major structures are often refitted or marketed as tourism destinations.
Facilities constructed for Montržal’s Expo ’67, Vancouver’s Expo ’86 and the Olympic Games, held in Montržal and Calgary, remain as some of the most infamous structural legacies in Canada.
Events are an effective marketing tool for drawing tourists, and, therefore, incremental expenditure, to a particular destination.
Strategically, events can create profile and image for a specific destination through international media, create a ‘must see’ motivator for travel, contribute to civic pride and provide positive reinforcement of the values, traditions and activities of the host community.
Understanding an event’s economic impact on the host community and surrounding region arms organizers with a good case for sponsorship. It presents opportunities for non-traditional marketing partners.
For example, a local hotel, restaurant or gas station may support a community event if the benefits of tourism can have a direct impact on their business.
Estimating the economic impact of an event on the local, regional and national economies can be difficult.
The Tourism Company (416-224-1936), a management and marketing consulting firm servicing the tourism industry throughout Canada, can assist in measuring and evaluating the economic impact of events.
Upcoming event
The Royal Canadian Golf Association, the governing body of men’s amateur golf in Canada, is close to finalizing a deal with the PGA Tour that would bring a senior PGA Tour event to Canada.
The rcga sees this event as a perfect complement to the eight national championships it currently organizes, including the Bell Canadian Open.
The Senior PGA Tour has been one of the most successful professional sport ventures of the 1980s and ’90s, growing from five events in 1981 to more than 40 in 1995, with prize money of $30 million.
With names such as Hale Irwin and Johnny Miller set to join the ranks, in addition to the likes of Nicklaus, Palmer, Trevino and Rodriguez, this event would have enormous appeal in Canada.
Limited sponsorship opportunities would be available.
For further information, contact Scott Simmons at (905) 849-9700.