Archive for August, 2009
Branding Reno Tahoe: Research is key
Reno Tahoe is a lot of things to a lot of people. Part of the challenge of marketing our area to tourists is identifying who are potential visitors are, identifying their perception of Reno and aligning that perception with reality.
In cooperation with EMC Research, a Bay Area firm, a plan was developed to conduct market potential research studies in both the core drive markets of Northern California and in select fly markets for Reno Tahoe.
Key findings among the core (San Francisco Bay Area, Sacramento, and Central Valley) markets research identified that recent visitors to the destination have an overwhelmingly positive impression of Reno Tahoe and almost 90 percent of the drive market has been to either Reno or Lake Tahoe as an adult. This is good news. Research also identified three very important qualities that travelers are looking for: a destination that is easy to get to; places that are fun and exciting, and places that offer great value. Another piece of good news – we can deliver on these qualities today.
Key findings in Fly Market (Los Angeles, Orange County, Chicago, Portland, Seattle, Las Vegas, Phoenix, San Diego, Dallas, New York and Vancouver) research identified that the perception of the Reno Tahoe area is generally positive, with consumers in nearer fly markets more aware of the area and more positive than those farther away. Potential visitors in closer markets are most likely to have heard about or visited the Reno Tahoe area. These potential visitors associate the destination with having beautiful scenery, convenient air access and gambling.
The region has a generally favorable reputation in both the core and fly-markets. There is little intensity to the ratings, but the area’s position can be regarded as softly positive, rather than negative or even neutral. Combining the two destinations makes sense for visitors by air, but for drive-market visitors there is a greater distinction between Reno and Tahoe, and typically visitors went to either Reno or Tahoe.
Market segments with opportunities to grow visitation to the destination were identified in the research. They included: first timers and needs reintroduction. First timers are those potential visitors that have never been to the destination. Needs reintroduction are those potential visitors that have not been to the destination in more than three years.
State of Tourism in Reno Tahoe
Leisure travel to Reno Tahoe has been declining for 11 years. At the same time the area has seen unprecedented redevelopment. Prior marketing has missed the mark. It has not resonated as “true.” The RSCVA must reposition Reno Tahoe so more people understand what we have to offer as an ideal getaway and vacation destination.
Firm selection process
After finalizing the core and fly market research, RSCVA staff conducted an extensive RFQ process to hire an agency to develop long-term consumer and advertising focus that effectively positions Reno Tahoe in the minds of first times and those needing reintroduction.
Eighty-five firms were proactively solicited to respond to the RFQ. Twenty-two were from the Reno-Sparks-Lake Tahoe areas. The RSCVA promoted the RFQ through the official public channels government agencies are required to use when going out for RFQ. More than 20 responses were submitted. Six finalists were selected to present based on their proposal – three were from out of market; three were from in-market; ultimately one in-market firm declined to interview.
In January 2009, top qualifying agencies were interviewed by a nine-person panel. The panel included the Chair of the RSCVA Marketing Committee, RSCVA executives, and regional tourism and hospitality stakeholders. At the conclusion of that process Mortar was the agency selected and hired by the RSCVA in January 2009.
Supporting research: core drive/fly
Mortar further interpreted the research of the market segments identified in both the core drive- and fly-market research projects. The Market Segmentation Study will provide strategic messaging recommendations to promote tourism to the destination.
Supporting research: additional consumer research
Mortar conducted 34 individual one-hour in-depth interviews with recent Reno Tahoe visitors in Sacramento, San Francisco Bay Area, Los Angeles and Reno. Furthermore they had several short discussions with Reno Tahoe visitors at Northstar at Tahoe ski resort, the Reno-Tahoe International Airport, Downtown Reno, the Reno Riverwalk district, Scheels in Sparks and at a variety of Reno hotel-casinos.
Supporting research: community workshop and leadership group
After analyzing findings derived from additional consumer research Mortar worked to find common ground among more than 30 of the destination’s key stakeholders. This full-day workshop focused on finding common ground in our audience (first timers, needs reintroduction), worked to identify their common experiences and analyzed the competitive landscape to help Reno Tahoe avoid looking and sounding like every other destination out there.
A five-month plan was developed by Mortar and RSCVA staff. The plan focuses on four main steps: internal research, external research, distillation and workshop, and the brand platform and execution.
The new target audiences
The greatest opportunity for increased visitation to the destination emerged in two of the Core Drive Market segments: first timers and needs reintroduction. These two segments account for 24 percent of the core drive market, or 1,894,113 potential visitors.
Consumer research, conducted by Mortar, identified that first timers and those needing reintroduction share positive perceptions of Reno Tahoe; are fun seekers; like shared experiences; are easy-going; see gambling as another fun thing to do in the destination; seek good value are unpretentious and search for an authentic getaway experience; appreciate the destination for its quirks; are Web-savvy and are constant, curious explorers.
These two segments of potential visitors are seeking an escape from the expected. A break from chain-store lined streets and pre-packaged vacations. They believe that fun shouldn’t require a dress code or a rule book. That tour guides are overrated. And that being called a ‘tourist’ is little better than an insult.
They are explorers and discoverers on the hunt for character, flair, and the unique. They have flexible expectations and a wide comfort zone – because you never know what treasure you will come across next. Whether it’s a dive or a high-end luxury, they’re always game.
They are constantly curious. They troll the Web for ideas, seek out recommendations, and mingle with locals and other visitors alike. Experiences are meant to be shared, and paradise isn’t a one-man island. Proudly they tell the stories of their discoveries and bring people back to share their finds. They are bargain hunters – because deals help them take their adventures further.
Collectors of stories and experiences (not things), these potential visitors believe there are 1,001 flavors of fun. And most importantly, that the best fun comes with friends, family, and a freeness to be themselves. Save the planned, the ‘scene’ and the cookie-cutter for someone else. They want something real.
While extensive research was focused on the drive market the profile of both first-timers and needs reintroduction will also exist in more distant geographic locations where visitors are likely to travel to the region by air. This marketing campaign is not solely focused on the core drive market.
Cost
To date a total of $71,300 has been spent on the Market Segmentation Study. These funds come from the RSCVA’s Marketing budget. The RSCVA estimates an additional $40,000 expense related to testing the updated tourism brand promise.