Tourism:

Building Tourism Economies

Tourism Division Alberta Culture and Tourism

March 22, 2017

Presentation Order

1. Opening Remarks Noel Ma, Director

2. Destination Development Ashley Kalk, Tourism Dev. Officer

3. Business Development Michael Waddell, Tourism Bus. Dev. Consultant

4. Travel Alberta

Shelley Grollmuss, VP Industry Development

5. Town of Sylvan Lake Vicki Kurz, Economic Development Officer

6. Business Development - Michael Waddell

2

The Tourism Effect on Economic Development

• Assists in diversifying local and regional economies through impact on subsectors including: accommodations, hospitality, transportation, professional services, retail, entertainment, culture and recreation.

• Visitors often leave with an impression that will draw them back as students, workers, investors, business partners, immigrants or advocates.

• Showcases Alberta to the world – positive image in the global marketplace and to Albertan’s quality of life.

3

Tourism Division

Vision

Alberta is recognized worldwide for its commitment to environmentally sound practices in growing Alberta’s tourism industry to become one of the top economic contributors to the provincial economy.

Mandate

Contribute to the growth and diversification of Alberta’s economy by working with industry, government and other stakeholders to grow Alberta’s tourism industry.

Budget: $62,056 (16/17 forecast) to $60,787 (17/18 Estimate)

4

Tourism Development Priorities 2017

Seasonal Diversification and Product Renewal

To attract more visitors, Alberta’s established destinations, predominantly in the Rocky Mountains, will need to diversify offerings for all seasons and renew current products.

Regional Diversification

To create more authentic experiences in lesser known destinations, stronger focus on agri-tourism, cultural attractions, indigenous tourism development and outdoor recreation and nature-based tourism opportunities.

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Tourism Division Two Branches – Three Key program Areas

6 = Success

Destination Development and Visitor

Services Branch

Economic Developers Alberta Conference

Banff Centre

March 22, 2017

Open Farm Days

Coaching Pilot Project

Open Farm Days

Culinary Tourism Event Handbook

Visitor Friendly Alberta Program

Visitor Friendly Alberta Program

Visitor Services Model

Visitor Services

Innovation Fund

Festival and Event Planning Manual

Municipal Tourism

Reference Guide

• Project Overview

• Objective of the project

• Regulatory considerations

• Contact:

– Rebecca Goodenough

• rebecca.goodenough@gov.ab.ca

• 780-427-6677

Funding Support

• Not-for-profit organizations

• Up to $100,000 per project (25% matching

contribution required)

• To support destinations in creating or enhancing

tourism products or services

• Excludes marketing and capital costs

• Examples:

– Opportunity assessments

– Tourism strategies

– Asset inventories

Developing Your Destination

• Partner

• Lay the groundwork

• Be authentic

• Keep it simple

• Use local resources

• Remember residents

Ashley Kalk

Tourism Development Officer

ashley.kalk@gov.ab.ca

780-427-6676

Introduction to

PRIZM5

Segmentation System

Alberta Culture and Tourism

PRIZM5 – What is it?

• A segmentation system developed by Environics Analytics in

2007

• A database based on geography, demographics, marketplace

preferences and psychographics

PRIZM5 – What is it?

• Classifies all Canadians into one of 68 lifestyle types or

segments

• Includes segments for:

– Baby Boomers

– Millennials

– Francophone

– Culturally Diverse groups

PRIZM5 – nuts and bolts

Canada: large and diverse

PRIZM5 - Segments and EQ types

• These 68 segments are clustered into 9 Explorer Quotient (EQ)

types for Destination Canada (formerly the CTC):

– Authentic Experiencers

– Cultural Explorers

– Cultural History Buffs

– Free Spirits

– Gentle Explorers

– No Hassle Travellers

– Personal History Explorers

– Rejuvenators

– Virtual Travellers

PRIZM5 – What is it used for?

• To help better understand customers and

anticipate their behaviour in the marketplace

• To help businesses focus product

development, marketing and sales efforts on

their best customers

PRIZM5 – How to get involved?

• Collect postal codes from your customers

• Send postal codes (Excel spreadsheet) to Tourism Research

and Evaluation

• We’ll send you reports identifying:

– Who your customers are

– Where they live

– What motivates them

– How to reach them

Resources and Contacts:

www.destinationcanada.com/en/tools#explorerquotient

Tourism Research and Evaluation

in Calgary:

Lozelle.Reed@gov.ab.ca

(403) 355-2457

in Edmonton:

Val.Nichols@gov.ab.ca

(780) 422-1058

Economic Development and Trade:

Resilience through Diversification

Presentation by Stacey Gellatly,

Director

Economic Development Programs

Ministry of

Economic Development and Trade

31

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Community and

Regional Economic

Support Program

(CARES)

• $30 million over 2 years to promote long-term

economic growth and prosperity in Alberta’s

communities and regions.

• Desired outcome include:

• Entrepreneurship and collaboration

• SME Supports

• Diversification

• Investment and high-value job creation

• 2nd intake April 1 – May 30, 2017; 3rd Fall 2017

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Community and Regional Economic

Support Program

Business Incubator, 5

Marketing, 7

Minor Infrastructure, 4

Studies and Plans, 47

Training, 19

Other, 6

Total Applications Received by Project Type

34

Alberta Investor Tax

Credit

• AITC offers a 30% tax credit to investors who provide

capital to Alberta small businesses:

• Doing research, development or commercialization of new

technology, new products or new processes.

• Engaged in interactive digital media development, video post-

production, visual effects and digital animation, or tourism activities.

• Eligibility for investors is limited to investors who pay personal or

corporate taxes in Alberta and invest in eligible small businesses

registered with the AITC program.

• 3 year program with annual intakes on a first-come, first-served

process; and remain open until it has been fully allocated.

• $90 million over 3 years to

encourage investment in non-

traditional sectors with strong

job creation potential.

Alberta Investor Tax Credit

• Tourism related applications include EBCs involved in:

– Craft brewing, including brew pubs, tasting, and tours.

– Tour bus operation in Banff National Park.

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71

115

0

20

40

60

80

100

120

140

Pending Submission Applications Received

AITC - Eligible Business Corporations number of applicants

85%

6% 4%

5%

AITC - Eligible Business Corporations by sector (applications received) Proprietary

Technology

DigitalMedia/Video

Post-ProductionServices

Tourism

Other

Capital Investment

Tax Credit

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• CITC encourages companies to make timely capital

investments by returning a percentage of the company’s

costs.

• A non-refundable tax credit valued at 10% of a corporation’s eligible

capital expenditures, up to $5 million.

• Available to companies across the province involved in the activities of

manufacturing, processing and tourism infrastructure making an

investment of $1 million or more.

• Eligible costs include the purchase of machinery, equipment and

buildings that closely align to capital costs allowed under the federal

government’s Capital Cost Allowance.

• The first intake has now closed. Dates for the 2nd and

3rd intake will be shared once finalized.

• $70 million two year program to

spur economic diversification

and job creation.

Capital Investment Tax Credit

• Several tourism applications were received to:

– Construct new or redevelop existing hotels in high-tourism communities.

– Develop new family entertainment facilities.

– Develop new adventure-tourism facilities.

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61

0

10

20

30

40

50

60

70

Applications Received

CITC (first intake closes February 15, 2017)

number of applicants

21%

39% 10%

5%

20%

5%

CITC - Applications by sector

Agriculture andFood Processing

Manufacturingand Processing

Oil and Gas

Clean Energy

Tourism

Thank You!

Questions

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WE INSPIRE THE WORLD TO EXPERIENCE ALBERTA

ALBERTA’S VISITOR ECONOMY

Drives more than $8 billion in economic activity

Supports 127,000 jobs in Alberta

19,000 tourism businesses

34.7 million person visits

Direct travel expenditures Direct travel employment

Traveller-generated payroll Traveller-generated taxes

DIRECT BENEFITS

DEVELOPMENTAL BENEFITS Neighbourhood revitalization

Generates pride in local residents

Encourages historic preservation

Improves destination image

Creates public social activities

Aids protection of natural resources

INDIRECT & INDUCED BENEFITS

Diversifies economy

Attracts business

Encourages entrepreneurial spirit

Generates new payroll

Enhances local infrastructure

Enhances real estate values

THE VISITOR ECONOMY

“There are no

forever lines

of business.”

HOW WE MARKET AS TEAM ALBERTA

WHERE TRAVEL ALBERTA LEADS

Alberta tourism brand stewards

International marketing

Media

Travel Trade

MICE

WHERE TRAVEL ALBERTA ENABLES

Industry-led marketing

Shared marketing platforms

Industry training & development

Experience development

SHARED RESPONSIBILITY

Regional marketing

Maximizing return on investment

OUR BEST CUSTOMER Free Spirit Millennials

ITS BEEN 6 YEARS SINCE TRAVEL ALBERTA PUT A STAKE IN THE GROUND AND ALIGNED ALBERTA’S TOURISM INDUSTRY AROUND GOOSEBUMP MOMENTS AND (remember to breathe)

DIFFERENTIATE THE BRAND THROUGH ALBERTANS

Focusing on the emotion of travel makes standing

out from other destinations difficult.

There’s a humanity that is missing from the current

brand. This will be core to its evolution.

ALBERTAN?

What does it mean to be…

BIG-HEARTED MAVERICK IS AN ATTITUDE

It’s what makes us uniquely Albertan and what sets us apart from every other destination on Earth.

We will incorporate this attitude along with the beauty and emotion of the Alberta tourism brand to position Alberta as a

unique and desirable place to visit, live and invest.

TARGET MARKETS

Core Strategy:

DEFEND THE ALBERTA MARKET

Support Partner Marketing Efforts Foster Pride of Place

Core Strategy:

DRIVE INTERNATIONAL REVENUES

Target High Potential Group, FIT & Business Travellers

Extend Reach & Influence Through Partnerships Sustain Direct Air Access

Core Strategy:

DRIVE NEED PERIOD / REGION VISITATION

Core Strategy:

GROW THE NUMBER OF ALBERTA TOURISM EXPERIENCES

Banff Trail Riders

Core Strategy:

INCREASE BUSINESS INTELLIGENCE CAPABILITIES OF PARTNERS

Core Strategy:

PROVIDE KNOWLEDGE LEADERSHIP THROUGH PROGRAMS AND RESOURCES

TOURISM IN YOUR COMMUNITY

1. Connect tourism to Alberta's Visitor Economy

2. Take Advantage of Marketing opportunities

3. Stay Connected with Travel Alberta

Advancing Economic Development Opportunities in Tourism EDA Pre-Conference Session

March 22, 2017

A Five Year Plan

Town of Sylvan Lake Tourism Strategy 2013-2018

Identified key issues and opportunities

Extensive community engagement

Identified project alliances and partners

Adopted by Council as a planning document

Strategic Priorities

Organization & Communications

Tourism Product & Experience Development

Tourism Marketing

Accessibility & Circulation

*Projects or initiatives utilizing Alberta’s Tourism Branch services

and/or support (human/financial) from Travel Alberta

Organization & Communications

Assess economic impact & value of tourism – communicate to residents, stakeholders & investors

Potential Demand for Rural Vacation Experiences in

Alberta – ATPR 2013

Economic impact assessment completed in 2014

Study parameters and RFP guidance

Established the Business Recruitment Team (BRT)

A committee of Council established to create a “pro-

business” strategy for attracting commercial and

destination products

Investment Attraction Policy developed

Organization & Communications

Assess economic impact & value of tourism – communicate to residents, stakeholders & investors

Hosted Tourism Branch FAM tour in cooperation with

Central Alberta Access Prosperity in August 2016

BRT & Chamber members outlined opportunities

and potential for tourism development

Four (4) staff from the Branch participated in the ½

day event which included a community orientation

Resulting in an invitation to participate in Alberta’s

Investment & Trade Mission to China

Tourism Product & Experience Development

Enhancements to existing tourism products/experiences and creation of new tourism products

Participated in Alberta EDT Investment & Trade Mission

to China in November 2016

Marketing materials were prepared for destination

projects and translated into simple Chinese

Industry presentations made in Shanghai,

Guangzhou & Chengdu for developers interested in

Tourism projects off-shore

Twelve (12) one-on-one investor meetings were

supported by the Tourism Branch and Chinese

interpreters

One (1) investor expected to visit Sylvan Lake in

spring of 2017 – ongoing WeChat communications

Tourism Product & Experience Development

Enhancements to existing tourism

products/experiences and creation of new

tourism products

Conducted a Hospitality Feasibility Study in 2015

Formed a dedicated tourism-focused entity

Waterfront Commercial District (WCD)

Revitalization Committee in 2016

Chamber sub-committee, administration fee and

project funding

Undertook ‘Visitor Friendly Assessment’ summer 2016 for WCD

Festival & Event Strategy funding approved, project will end March 2018, Chamber/Town initiative

Tourism Marketing

Focused, collective and leveraged tourism

marketing puts Sylvan Lake on the “must see”

list

Travel Alberta support over the past 3 years has

included:

Website development in partnership with Tourism

Red Deer – VisitSylvanLake.ca

Professional photography that reflects Sylvan

Lake’s new brand essence

Annual advertising and promotion in Calgary and

Edmonton markets

Chamber/WCD – workshops EQ and marketing/

packaging focused in 2017

Accessibility & Circulation

Visitors experience easy access to Sylvan Lake,

and information and circulation is clear and

efficient

Visitor Friendly Assessment identified the need to

improve Sylvan Lake’s wayfinding signage

Tourism assets, community services, visitor pay

parking directional signage in keeping with the new

brand

Relocation of Visitor Information Centre (VIC) to new

multiplex recreational complex

Extended hours year round, tourism services kiosk

Beach Ambassador Program, MIKE the Bike

Regional Tourism Product & Experience Development

Enhancements to existing tourism

products/experiences and creation of new

tourism products

Eleven (11) municipalities came together to develop

Central Alberta Destination Management Plan

(DMP) with funding support

Destination Development, Destination Management

& Destination Marketing

Central Alberta Tourism Alliance (CATA) in 2017

Accommodations Study, CARES funding

Customer Service Training, Ministry of Labour

(LMP) grant

Experience Central Alberta website/database under

construction, support from Travel Alberta

THANK YOU

Vicki Kurz, EDO Town of Sylvan Lake &

Chairperson for Central Alberta Tourism Alliance (CATA)

vkurz@sylvanlake.ca

403-887-1185 x 226

Indigenous Tourism

Indigenous Tourism Team

• Tourism Division has a dedicated team supporting Indigenous tourism growth in

Alberta

• Laura McGowan laura.mcgowan@gov.ab.ca

• Michael Waddell michael.waddell@gov.ab.ca

• Cody Verbeek cody.verbeek@gov.ab.ca

Indigenous Tourism

Indigenous Tourism in Alberta

Indigenous Tourism

• Working closely with the Aboriginal Tourism Association of Canada

(ATAC) to support Indigenous tourism entrepreneurs.

• ATAC is an national tourism association tasked with growing Indigenous

tourism across Canada and promoting it around the world.

• Key Alberta initiatives:

– Asset Inventory and sector research

– Regional sessions (locations yet to be determined)

– Indigenous Tourism Entrepreneur Program (ITEP)

– Alberta Day at the 2017 International Aboriginal Tourism Conference

• ATAC has also provided direct support to operators through a product

development grant program, and a pilot market-ready entrepreneur

training program.

Indigenous Tourism

Tourism Policy and Strategy Branch

Michael Waddell

Policy & Strategy Unit: Regulatory

Advice

• Provide assistance and information to

tourism operators to help navigate

provincial land regulatory systems.

• This includes support for:

• Understanding options for provincial

land (both public land and Alberta

Parks) for tourism development

• Understanding the permitting

processes required for tourism

ventures

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Policy & Strategy Unit: Branch

Initiatives

• Ensure that tourism is considered in land

use planning processes:

• Regional Plans (Draft NSRP, LARP Review)

• Land Footprint Management Plans

• Outdoor Recreation Management Plans

• PLUZ planning

• Regulatory Certainty

• Continued work towards increasing clarity

and efficiency of regulatory land approvals

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Thank you!

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