Travel market. Briefing notes and sales support for newspaper media sales teams

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1 Travel market Briefing notes and sales support for newspaper media sales teams

2 What s in this deck? This deck is split into two sections: Section 1 An overview of the Australian travel market The 2015 Media i Industry Survey asked agencies what are the most important factors when dealing with media owners. The most common factor (52% agreed ) was understanding of your client s business and category. Section one provides an overview of the travel category, specifically around domestic and international travel. The information contained in this section won t make you an instant expert but it will help get you up to speed on some important facts about the category. Section 2 Support slides for sales presentations Every great sales presentation is tailored for each client, but there are certain points that fit most clients within a category. Sections two contains research about how newspaper media can help travel brands win customers.

3 Section 1 Travel market: an overview

4 Investment in local tourism rising $53.7 billion value of investment in local tourism projects (up 9%). $13.0 billion value of arts, recreation and business services infrastructure projects (up $5 billion). $8.5 billion Investment in accommodation in 2014 (up 1.1 $billion). 18,315 The number of new rooms available to tourists in Source: Tourism Research Australia, Tourism Investment Monitor 2015.

5 Strong performance from hotel sector Domestic Accomodation Used in last 12 months [000] 4 star hotel or resort Self contained house / unit Caravan / caravan park 3 star or lower hotel or resort 5 star hotel or resort Tent / camping ground Serviced house / unit Own holiday house / unit Bed & breakfast Backpackers or youth hostel House boat/yacht/ship Source: Colliers, Hotels Research and Forecast Report, emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

6 International visitor numbers rising 14 of Australia s top 20 markets reported record arrivals this year. $32.5 billion international visitors to Australia spent in the year ending March 2015 (up 10% YOY) China accounts for 20% of all international visitor spend. Visitors to Australia Indian visitors up 78% since % growth of in international visitors aged % increase in the length of stay by international visitors. USA visitors to Australia up 10% to 535,000 New Zealand visitors up 5% to 1.1 million Source: Tourism Research Australia, International Visitor Survey, March quarter 2015.

7 Medium term outlook for international visitors positive Emerging Asia will continue to be the driving force accounting for 60% of total growth. Source: Deloitte, Tourism and Hotel Market Outlook, February 2015.

8 Domestic travel figures on the up 82 million number of domestic trips taken in the last year $55.7 billion value of domestic overnight expenditure $27 billion spent on domestic holidays p.a. $13 billion spent on domestic business trips p.a. Source: Tourism Research Australia, National Visitor Survey, March quarter 2015.

9 Cruising a popular choice for travellers 1.4 million holidayed on a cruise ship in the past 12 months 964,000 planning an international cruise this year No. of Travellers with Cruise Brands in Past Year [000] P&O Cruises Royal Caribbean International Holland America Line ,000 planning a domestic cruise this year Celebrity Cruises APT River Cruises Scenic Tours Cunard Line 25

10 Qantas lead the local airline market Qantas Emirates Jetstar Singapore Airlines Air New Zealand Virgin Australia Malaysia Airlines British Airways Cathay Pacific Other Q. Have you flown with any of the following airlines in the past 12 months? International [000] Domestic [000] 2243 Qantas Virgin Australia Jetstar QantasLink Tigerair Rex (Regional Express) Air North 59 Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

11 Potential to win market share in air travel Overall, a positive net promoter score, though a large portion of detractors are up for grabs. Net Promoter Score for intl carrier Net Promoter Score for domestic carrier Promoters Passive Detractors Promoters Passive Detractors Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

12 Relaxation the goal for holidaymakers Purpose of next international holiday Sightseeing A holiday to relax and unwind Adventure/outdoor experience Going on a cruise A holiday for eating out Touring by car Going to a resort Staying near the beach Other A holiday for shopping Going on a bus tour Staying at a luxury resort/health spa Going to concerts/ theaters/cinema Visiting theme parks A holiday to experience the night life Going to the snow Visiting wineries/vineyards Eco tourism Playing sport A holiday to relax and unwind Staying near the beach Sightseeing Touring by car Adventure/outdoor experience Visiting wineries/vineyards Other Going to concerts/ theaters/cinema A holiday for eating out Going to a resort Visiting theme parks A holiday for shopping Staying at a luxury resort/health spa Going to the snow Playing sport Going on a cruise Eco tourism A holiday to experience the night life Going on a bus tour Type of next domestic holiday Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

13 Section 2 Support slides for sales presentations

14 About these slides The following slides provide general supporting arguments to assist sales teams when building client-specific presentations. The purpose is to open discussion, to demonstrate a basic understanding of factors that drive the travel industry, and to show how newspaper media can help to influence the sales process. These slides are intended to be used in a presentation after recapping the brief, and before presenting analysis and recommendations tailored to the specific client. Needless to say, they can and be should be adapted to suit your particular presentation requirements. Recap client/agency brief Travel industry support slides Client specific analysis Recommendations

15 Newspaper media reaches travellers 15 million intending to travel domestically this year engage with newspaper media. 8.3 million intending to travel internationally read newspaper media in the last 4 weeks Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

16 Get the best from newspaper platforms Some forms of newspaper media are more efficient than others at reaching specific traveller segments. 77 percent of people planning to travel domestically in the next 12 months read printed newspapers. International travellers are 14% more likely to use a tablet to access newspaper media. 9.6 million people intending to travel interstate read a national or metro print newspaper in the last 4 weeks. Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

17 Travellers regularly engage with newspapers Travellers likely to be mid- or heavy- print newspaper readers. 1 in 2 planning a trip in the next 12 months are medium to heavy newspaper consumers (i.e. read 3+ copies a week). 4.2 million domestic travellers are heavy newspaper readers, consuming 7+ editions a week. 7 million international travellers read 3+ print copies a week. Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

18 It s not Internet vs. newspapers. It s Internet and newspapers million people who use travel company websites also turn to newspapers million who use online advertising and search also rely on newspapers Source: emma, 12 months to June 2015: base: any media most useful

19 Newspapers are also digital Print Digital 80% 66% The combined reach of print and digital newspaper media: 93% of travellers. Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

20 Mobile readers are prime targets People who read newspaper media on mobile phones are 15% more likely to travel overseas in the next 12 months. Mobile newspaper media readership up 16% YOY. 72% of consumers spend over 2 hours/day on their mobiles. 75% research purchases on mobiles. Sources: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015; Deloitte Media Consumer Survey 2015 Australian media and digital preferences 4 th ed.

21 Digital newspaper readers frequent travellers Digital newspaper readers are significantly more likely to attend live performances than the general public. Mobile newspaper readers are: 6% more likely to travel for business or holidays in the next 12 months than the general public. 5% more likely to travel internationally in the coming year than the general population. 17% more likely to stay in a five star resort than the general public. Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

22 Mobile critical for under 40s 58% of Millennials (born mid-80s early 2000s) rank mobile as one of their top 3 devices. 43% of 25 to 40 year old home buyers read newspaper media on their mobiles. Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015

23 Newspaper Travel Sections Inspire 7.2 million Australians use newspaper travel sections for inspiration as they dream about their next holiday. Source: The Newspaper Works Quarterly Audience Report, Q

24 Newspaper media hit key travel segments emma data shows consumer segments most likely to travel in the coming months. Three of the biggest markets over-index as frequent newspaper readers. Social Grade A : This group of consumers are 19% more likely to travel overseas than the general population. They are also 13% more likely to read 7+ newspapers a week. Males aged 45 64: One in five consumers males in this age bracket are heavy newspaper readers. They are also 4% more likely to travel within Australia this year. Major Metro Inhabitants. Some 5 million major metro dwellers intend to travel overseas in the next 12 months. They are 4 % more likely to read 7+ newspapers a week. Source: emma conducted by Ipsos MediaCT, People 14+ for the 12 months ending June 2015.

25 Client specific analysis & recommendations This is the point to bridge to a client specific discussion. Each presentation will need to be individually tailored to suit the client and their objectives, but the logical flow from here is to move on to Analyses that address the client s specific situation, challenges and opportunities. Solutions using your inventory, giving clear reasons why they are appropriate to the client s specific needs, and suggestions on how they can be used most effectively.

26 About The Author Adrian Fernandes is Research & Insights Specialist at The Newspaper Works. He is an award winning researcher with over a decade of experience in advertising and brand research for leading market research agencies in Europe & Australia. His previous experience includes 4 years at Fairfax Media as Consumer Insights Manager. Adrian combines data analytics with market research to provide publishers, advertisers and their agencies with actionable insights relating to the newspaper audience on print and digital platforms. For more information on this deck, please

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