Connec&ngyouwiththeAsiaPacificMarket

December2016

www.citap.ca

Hello…JoeVolk

Execu:veDirectorjvolk@citap.ca

WhatisCITAPCanadianInboundTourism–AsiaPacific

Notforprofitorganiza:onestablishedin1997byRecep:veToursOperators.– Vision:toincreasethebusinessfromtheAsiaPacificmarketintoCanada

– Members:closeto300membersfromvarioussectorsinthetourismindustryfromacrossCanadaandtheUnitedStates.

•  Theworld’sfastest-growingoutboundtravelmarkets.

•  Theemergingmarkets:China,India,Malaysia,Thailand,Indonesia,PhilippinesandVietnam.

•  Thedevelopedeconomies:Japan,SouthKorea,Taiwan,HongKong,Singapore,AustraliaandNewZealand.

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WhyAsiaPacific•  AsiaPacificremainsaleadinggrowthmarketforworldtravelwitha5%riseinoutboundtripssofarthisyeardespitetheslowdownintheChineseeconomy.*

•  Chinashi_edfromCanada’ssixthsourceofoverseastravellersin2010tothirdin2014**andsooncouldoutpaceUKinarrival.

•  Chinesetravellersspentanes:mated$920millioninCanada,makingChinaCanada’ssecond-largestmarketintermsoftourismexpenditures.**

Sources:*ITBWorldTravelTrendsReport2015/2016**DesFnaFonCanada–WherewemarketCanada:China

HOWTOTAPINTOTHISMARKET?Distribu&onchannelstoreachendconsumer

SUPPLIERS→ RECEPTIVE→ OVERSEASWHOLESALER/INTERNATIONALTOUR

OPERATOR→

TRAVELAGENT→ CONSUMERS

HotelsANrac&onsTransporta&ons

CITAPmembers

In-marketwholesaler Inmarketretailtravelagencies

VisitorsfromChinaandotherAsiaPacificmarkets

www.citap.ca

HOWTOTAPINTOTHISMARKET?Prosandcons•  Selldirectlytoendconsumer:biggerprofitmarginbutexpensiveandhighrisk•  Workwithoverseastravelagent,touroperatororwholesaler:limitedknowledge

onthedes:na:onandthesuppliers’products;notnecessarilyspecializeinCanadiantourismsuppliers’products

•  Workwithrecep&vetouroperator(RTO):howtoworkwiththemasasupplierof

ourproducts.–  Expert:specializinginCanadiantourismexperiencesandproducts–  Partner:basedinCanadaandrepresentsCanadiantourismsuppliers’productstotour

operatorsininterna:onalmarketsandlookingforalongtermpartnership.Theysource,package,market,distributeanddelivertheservicesofCanadiantourismproductstoprovideaworldclassCanadianexperiencetointerna:onalvisitors

–  Costeffec&ve:supplierscanhavetheirproductsfeaturedinthousandsofbrochuresin

countriesallovertheworldatvirtuallynocost.Thiscaneliminatetheneedforexpensivesalesmissionstoforeigncountriesandtheyreduceyourfinancialrisk

HOWTOTAPINTOTHISMARKET?DifferentkindofRTOs•  GlobalRTO–Jonview

•  RegionalRTOs:onlyspecializeinacertainregionofCanadaorcertainsegmentofbusinesslike‘educa:on’ormayonlyfocusonacertainmarket(region)onlyKorea

•  IntegratedRTOslikeHISCanada:parentcompanyhasRetailandWholesale

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HOWYOURBUSINESSCANENGAGEANDBESUCCESSFULAsasupplier…•  Yourproducts/experiencesareexportready–  Safeandprofessionalopera:on–  Havetheabilitytoacceptpaymentfromoverseasclients–  Havethecommitmenttostayininterna:onalmarketsforaminimumof3yrs.

–  Havelanguagecapabilitytoserviceaninterna:onalclients–  Havethewillingnesstoadapttotheneedsofoverseasclients

HOWYOURBUSINESSCANENGAGEANDBESUCCESSFUL

WorkingwithRTO–theyarepartofyoursalesforce.Theycanbeyourfirstlinktotheoverseasmarkets.InsomecasestheymaybeyourONLYlink.

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KEYPOINTSFORCONSIDERATIONWHENWORKINGWITHRTOs•  Understandtherolesplayedbyrecep:vetouroperators,tour

operators,travelwholesalers,andretailtravelagents

•  Understandrackorretailpricing,agentcommissionsandwholesalenetratesateachlevel.

•  Bewillingtoprovidecontractedwholesalenetratestorecep:vetouroperators.

•  Providedetailedpricingandprograminforma:ontorecep:vetouroperatorsatleastoneyearinadvanceofsellingseason

•  Bepreparedtosetupbillingarrangementswiththerecep:vetouroperator.RTOswillaskforcreditterms.

SUPPLIERS’RTOSTRATEGIES•  Long-termandstrategicvs.shorttermandtransac:onal.

•  RTOswanttoworkwiththosethatarecomminedtothemarket.

•  BeingamemberofCITAPandpar:cipa:nginCITAP’seventsaswellastradeshowsandmakingsalescalls.

www.citap.ca

HOWCANCITAPHELPYOU?WhatisCITAP

CanadianInboundTourOperatorforAsiaPacific

CITAP,non-profitorganiza:onestablishedin1997,isaunitedforcewithmembersfromvariousmarketsegmentsoftheHospitalityTourismIndustry.

Growingfrom10pioneerstoover300membersinjustashortperiodof:medoesmeansomethingtousatCITAP–agenuineinterestwithsincereand

devotedsupportinfurtherdevelopingCanadaasthepreferreddes:na:onforAsiaPacifictravellers.

WhoareCITAPmembers?Closeto300membersfromvarioussectorsinthetourismindustryfromacrossCanadaandtheUnitedStates.•  Associa:ons,•  Recep:veTourOperators•  RetailTravelAgencies•  DMOs,PMOs,•  CanadianandUSSuppliers(accommoda:ons,anrac:ons,transporta:onetc.),

•  Individual/Independent,•  Media

www.citap.ca

BenefitsasMembersTherearenumerousadvantagesyougainbyjoiningCITAP:•  Networkingevents•  Marketplace•  AsiaPacificmarketupdates•  Memberprofiledirectory•  Seminarsandworkshops•  Advocacy•  Quarterlye-newslenerande-updates

www.citap.ca

CITAPMISSIONSTATEMENT

Getconnected.Stayconnected

•  IfyouwantAsianPacificcustomerstherearenumerousadvantagesyougainbyjoiningCITAPandworkingwithRTOs.

•  Ihopethepresenta:ons:mulatesthoughtonhowyourbusinesscanengageandbesuccessfulwiththeChinesemarketandotherAsiaPacificmarkets.

QUESTIONS?