Sunshine Matters

The U.S. Travel Association recently held its annual Marketing Outlook Forum in Ft. Worth, Texas.  The forum provides an opportunity for attendees to network with fellow tourism industry representatives from other states and serves as a great chance to learn and gain insight into what experts see as the trends for the coming year.

The following are some of the key takeaways I learned from the conference related to the economy, consumer confidence, business travel, international travel and the changing U.S. population.

The Economy

Overall, it is predicted that there will be slow growth in the economy in the coming year, but with so much uncertainty, the forecast could still change. Adam Sacks of Tourism Economics went through the positives and the negatives, from the ongoing debt crisis and political stalemates to the complex U.S. consumer.  The most likely scenario to plan on is a slowdown in 2012.

Consumer Confidence in Travel

Consumer confidence was back up in November, not far off from where it was during the financial meltdown in 2008. According to data from Travel Horizons, travel sentiment is down, but the affordability of travel is heading in the right direction. Travel prices continue to outpace overall inflation, led by high gas prices and rising air fares. Domestic visitation for the U.S. for 2011 is expected to exceed the record set in 2007, just slightly. The forecast has moderate gains in domestic leisure travel for 2012.

Business Travel

It is expected that there will be slow but steady growth in business travel. The incidence of business travel is down 15 points over the past five years, but is stabilizing. Business travel is increasingly the domain of the young, with 51% made up of Generation X and Y.

International Travel

International travel to the U.S. will also peak this year, but it is just over where the U.S. was in 2000. Slowing growth in these markets is expected, but travel spending is on the rebound. In the lodging industry, year-to-date 2011 data for the top 25 markets in the U.S. show that Tampa, Miami and Orlando lead in occupancy increases. While the economy remains sluggish, the emphasis is still on value.

Changing U.S. Population

Another marketing challenge for the tourism industry is the changing U.S. population.  The results from the 2010 Census find the U.S. with an aging population, growing diversity, changing households and shrinking wallets.

The information shared during this year’s Marketing Outlook Forum reinforces that VISIT FLORIDA’s efforts to provide the Florida tourism industry with the most innovative, cutting-edge, cost effective initiatives to help market the state are on track to make Florida the No. travel destination in world.