attracting the older traveller

4
share of the total North American market if adequate technical assist- ance - similar to that provided in respect of the European market - is forthcoming for a new, hard-sell, fo- cused marketing campaign in North America. Developmerlr imperatives Three broad areas within Caribbean tourism development have been iden- tified where further work urgently needs to be done at the regional level: (1) Producr: There is a need for the upgrading of the entire tourism pro- duct. This includes hotels, marinas, air and sea ports. tourism ancillary facili- ties and attractions, as well as the upgrading and development of skills and productivity in fields as diverse as visitor facilitation, customer service, middle and upper management, and development and improvement of attractions. (2) Information: There is a need further to espand and improve the region’s tourism database (including research, statistics, data processing and management, library and in- formation services, etc). (3) Marketing: There is a need to follow up the successful European marketing programme with a parallel programme in the North American market. Caribbean Tourism Research and Development Centre Barbados Attracting the older traveller The growth in number, and relative affluence, of the upper age bracket of the US population implies a steadily expanding potential market for tourism products aimed at the elderly. Francis McGuire, Associate Professor, Muzaffer Uysal and Gary McDonald, Assistant Professors, at the Department of Parks, Recreation and Tourism Management, Clemson University, consider the ways in which the tourism industry seeks to attract this market sector, and which sources of information the elderly actually use when it comes to making decisions about their holidays. The increasing number of older indi- viduals and the large amount of un- assigned time available to them has captured the interest of those examin- ing travel characteristics of this market.’ The 19SO US census identi- fied 25.5 million Americans aged 65 or over. This represented 11.3% of the US population and was an increase of 28% since 1970. This growth in the aging population is expected to con- tinue and will increase dramatically when the baby boom generation reaches 65. It is projected that over 20% of the population will be over the age of 65 by the year 2030.” This greying of America will affect every facet of American life including the tourism/travel industry. Many older individuals have the time and money to travel.3 However, this segment of the population is still given little attention by business which continues to focus on younger individuals.’ The inaccurate percep- tion of the older population as finan- cially deprived may be partly responsi- ble for this oversight. Linden reported that the buying power of many elderly families exceeds that they had during their middle age.‘The average income of married couples 65 years of age or over is $21 500 compared to $17 500 (in 1983 dollars) when they were aged 35 to 44. Linden concluded that the financial health of a large number of older individuals makes them an ex- cellent market for luxury goods and services. According to Teaff leisure travel is a TOURISM MANAGEMENT June 1988 Rrporrs common activity among the elderly.6 However, Norvell indicated that this market has not been fully penetrated.’ He went on to state that the need to do so becomes increasingly important as ‘customer acquisition costs continue to escalate’. The changing population pyramid in the USA along with the attraction travel holds for many individuals, led Norvell to speculate that the number of elderly travelling for pleasure will be staggering. He concluded that there was a need to identify a particu- lar marketing strategy to reach this potential market. Any marketing strategy designed to cultivate older travellers will include identification of information sources for contacting this market. Although there is a large body of literature related to media use by the elderly little exists which specifically addres- ses the issue of information sources and older travellersx Cornell Hotel and Restaurant Administration Quarterly reported that Capella and Grego asked 94 elderly residents of upstate New York to rank 12 different sources of travel information.Y The most important source of information was the family. It was followed by past experience, friends, magazines, neivs- papers, television, consumer publica- tions, direct mail, point of purchase displays, neighbours, radio, and travel agents. It appeared that word of mouth was the most important in- formation source. Media such as tele- vision, print, and radio were of secon- dary importance. It was also found that men were more likely than women to rely on personal sources while women were more likely to rely on newspapers. Finally, it was found that less educated individuals were more likely to rely on direct mail and consumer publications when deciding on travel destinations. In a study of information sources by visitors to the state of Texas and to Hilton Head, South Carolina, Nolan found that the travel advice of friends and family was the most used informa- tion source.” It was followed by guidebooks, commercial publications, government publications, automobile club planning services, travel maga- zines and articles, advertisements in 161

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Page 1: Attracting the older traveller

share of the total North American market if adequate technical assist- ance - similar to that provided in respect of the European market - is forthcoming for a new, hard-sell, fo- cused marketing campaign in North America.

Developmerlr imperatives

Three broad areas within Caribbean tourism development have been iden- tified where further work urgently needs to be done at the regional level:

(1) Producr: There is a need for the upgrading of the entire tourism pro- duct. This includes hotels, marinas, air and sea ports. tourism ancillary facili- ties and attractions, as well as the upgrading and development of skills and productivity in fields as diverse as

visitor facilitation, customer service, middle and upper management, and development and improvement of attractions.

(2) Information: There is a need further to espand and improve the region’s tourism database (including research, statistics, data processing and management, library and in- formation services, etc).

(3) Marketing: There is a need to follow up the successful European marketing programme with a parallel programme in the North American market.

Caribbean Tourism Research and Development Centre

Barbados

Attracting the older traveller

The growth in number, and relative affluence, of the upper age bracket of the US population implies a steadily expanding potential market for tourism products aimed at the elderly. Francis McGuire, Associate Professor, Muzaffer Uysal and Gary McDonald, Assistant Professors, at the Department of Parks, Recreation and Tourism Management, Clemson University, consider the ways in which the tourism industry seeks to attract this market sector, and which sources of information the elderly actually use when it comes to making decisions about their holidays.

The increasing number of older indi- viduals and the large amount of un- assigned time available to them has captured the interest of those examin- ing travel characteristics of this market.’ The 19SO US census identi- fied 25.5 million Americans aged 65 or over. This represented 11.3% of the US population and was an increase of 28% since 1970. This growth in the aging population is expected to con- tinue and will increase dramatically when the baby boom generation reaches 65. It is projected that over 20% of the population will be over the age of 65 by the year 2030.” This greying of America will affect every facet of American life including the tourism/travel industry.

Many older individuals have the

time and money to travel.3 However, this segment of the population is still given little attention by business which continues to focus on younger individuals.’ The inaccurate percep- tion of the older population as finan- cially deprived may be partly responsi- ble for this oversight. Linden reported that the buying power of many elderly families exceeds that they had during their middle age.‘The average income of married couples 65 years of age or over is $21 500 compared to $17 500 (in 1983 dollars) when they were aged 35 to 44. Linden concluded that the financial health of a large number of older individuals makes them an ex- cellent market for luxury goods and services.

According to Teaff leisure travel is a

TOURISM MANAGEMENT June 1988

Rrporrs

common activity among the elderly.6 However, Norvell indicated that this market has not been fully penetrated.’ He went on to state that the need to do so becomes increasingly important as ‘customer acquisition costs continue to escalate’.

The changing population pyramid in the USA along with the attraction travel holds for many individuals, led Norvell to speculate that the number of elderly travelling for pleasure will be staggering. He concluded that there was a need to identify a particu- lar marketing strategy to reach this potential market.

Any marketing strategy designed to cultivate older travellers will include identification of information sources for contacting this market. Although there is a large body of literature related to media use by the elderly little exists which specifically addres- ses the issue of information sources and older travellersx Cornell Hotel and Restaurant Administration Quarterly reported that Capella and Grego asked 94 elderly residents of upstate New York to rank 12 different sources of travel information.Y The most important source of information was the family. It was followed by past experience, friends, magazines, neivs- papers, television, consumer publica- tions, direct mail, point of purchase displays, neighbours, radio, and travel agents. It appeared that word of mouth was the most important in- formation source. Media such as tele- vision, print, and radio were of secon- dary importance. It was also found that men were more likely than women to rely on personal sources while women were more likely to rely on newspapers. Finally, it was found that less educated individuals were more likely to rely on direct mail and consumer publications when deciding on travel destinations.

In a study of information sources by visitors to the state of Texas and to Hilton Head, South Carolina, Nolan found that the travel advice of friends and family was the most used informa- tion source.” It was followed by guidebooks, commercial publications, government publications, automobile club planning services, travel maga- zines and articles, advertisements in

161

Page 2: Attracting the older traveller

Reports

print media, newspaper travel sec- tions, travel agents, and oil company travel clubs and trip planning services. Nolan did not examine the rela- tionship of information source to age.

Gitelson and Crompton examined the relationship with information sources used by travellers, and found that print media were used more than ‘expected’ by individuals over 59 years of age. ” However, their study was limited to automobile travellers who stopped at the two Texas Highway Visitor Centers.

Recently, Etzel and Wahlers in their study, compared information seekers and non-seekers on a variety of demographic variables.” They con- cluded that age, household size, and the number of children under 18 were not related to information seeking but they indicated that travellers with more education were likely to seek information. However, none of the above studies was directly focused at types of trips and information sources used by the elderly. The purpose of this report was to examine the use of information sources in selecting trips by the elderly.

Methods

Data used to investigate information sources by elderly with respect to types of trips were obtained from the 1985 Travel Study conducted with a national survey by National Analysts of Philadelphia for Tourism Canada. The overall purpose of the survey was to gather information about the perceptions and preferences of plea- sure travellers from the USA.13

A multistage area probability design was used to select participants in the study. A sequential probability plan, by quota, sampled area segments, housing units, and eligible consumers within households. Three levels of urbanization (central cities, suburban, and non-metropolitan) were repre- sented. Americans who were at least 16 years of age and had made at least one pleasure trip in the 36 months preceeding the study qualified for sample selection. A total of 9033 in-home personal interviews averaging 50 minutes in length, were conducted during September and October, 1985.

162

Of the respondents. 1256 were 65 years of age or over. This study focused on this group. The questions analysed in this paper were the type of trip taken and the information sources used in planning the trip. The sample was fully representative of the popula- tion of the USA. Seven types of trips were examined:

close-to-home leisure trip is a trip to a place close to home such as a beach, lake, seashore or park; touring trip is one by car, bus or train through areas of scenic beau- ty, culture or general interest; a city trip is a journey to a city to shop, visit museums, enjoy enter- tainment, dine, attend plays or concerts. or just enjoy the city; an outdoor trip occurs in a natural setting where there are a variety of activities such as camping, hiking, fishing or rafting taking place; a resort trip is a journey to a resort area where a variety of activities take place; a cruise is a trip on a cruise ship; and a trip to a theme park, exhibition or special event such as the super bowl.

Results

The most common type of pleasure trip taken by individuals 65 years of age and over was a touring vacation (26.7%) (Table 1). The second most popular trip type was a close-to-home leisure trip (22.9%), followed by a city trip (17.4%) resort vacation trip (16.3%), outdoor vacation (7.7%). theme park, exposition or special

event trip (5.1%) and a cruise (4.0%). Older travellers were overrepresented among those taking touring vacations, and cruise vacations. They were underrepresented among individuals taking city trips. outdoor trips, and trips to theme parks/special events. Table 2 lists the media sources ex- amined in this study as well as the percentage of respondents using each. Respondents identified 13 sources of information used to decide pleasure trip vacations. The most often used information sources by respondents were friends (40.6%) followed by travel agents (19.3%). None of the remaining information sources were used by more than 8% of the respon- dents, However, nearly one of every five respondents (18.5%) used printed material as a source of information. including general magazines (2.3%). travel magazines (7.-I%), newspapers (6.9%) and books (1.9%).

The final question examined was whether media use by the elderly was related to the type of trip being examined. The data indicated more similarities than differences in the type of medium used to gather information about a variety of trips (Table 3).

The most dramatic difference was in the type of medium used to gather information about cruise trips. Fewer individuals taking cruises relied on friends or family for information and more on travel events than individuals taking any other type of trip. Trips to theme parks and expositions were also defined by the use of a variety of media uses not typical of other types of, trips. A large percentage of indi- viduals used no information sources when making trips. Over one third of

Table 1. Types of pleasure trips taken by the elderly.

Type ot trip No % ’

Close-to-home leisure trip 168 22.7 Touring vacation 198 26.7 City trip 129 17.4 Outdoor vacation 57 7.7 Resort vacation 121 16.3 Cruise 30 4.0 Theme park exposition 38 5.1

Total 733 100.0

Note: ‘Percent based on respondents identifying at least one information source

TOURISM MANAGEMENT June 1988

Page 3: Attracting the older traveller

Table 2. Sources of information usad by the elderly for pleasure trips.

Information sources No % *

Friends 301 40 6 Newspaper 51 6.9 General magazines 17 2.3 Travel magazines 55 7.4 Books 14 1.9 Television 31 4.2 Radio 8 1.1

Film 9 1.2 Travel agent 143 19.3 Office 39 5.3 Airline 42 5.7 Auto club 8 1.1 Past experience 21 2.8 None 255 34.4

Total 741

Note: ‘Percentages do not total to 100.0% due to multiple responses.

individuals taking close-to-home trips,

city trips, outdoor recreation trips and

resort trips used no sources of in- formation when deciding on their trip.

The low use of the media when deciding on trips is noteworthy. Few individuals use television, radio or newspapers for information.

Conclusion

The clearest conclusion reached from this study and other research related to older travellers is that they are a large, active group. The number of older travellers can be expected to increase as the number of elderly increases.

Some particular areas of interest and possible concern can be identi-

fied. From previous research findings it appears that older travellers make less use of word of mouth and family or friends as information sources than younger travellers. Older individuals appear to make greater use of travel agents. Media use, such as television and newspapers, varied by type of trip. Other information sources were used predominantely by specific trip types. For example, newspapers are an important source for individuals planning cruises or trips to theme parks and special events. However, they are not important to those plan- ning resort trips. This information points toward a need to target specific information sources for specific types of trips. What appears to be important here is that knowledge about the

Reports

travel behaviour of this market is still developing, and if there have been alterations in the travelling behaviour of the elderly and use of information sources in selecting trips, then the basis of earlier information that peo- ple might be using to make marketing decisions may be misleading. Further investigation is necessary to identify more accurately the information sources necessary to reach that older market. Therefore any marketing strategy, especially types of media used in promoting destinations, should be designed to cultivate older travellers and include identification of appropriate information sources for contacting this market.

Francis A. McGuire Muzaffer Uysal and

Gary McDonald ~eFa~rne~f of Parks, Recreation and

Tou~sm Management Clemson University, Clemson

SC 29634- 1005, USA

Notes: The authors would like to acknowtedge the assistance of Environment Canada Parks and the Southeast Regional Office of the National Park Service.

‘B.B Anderson and L. Langmeyer, ‘The under 50 and over 50 travellers: a profile of similarities and differences’, Journal of Travel Research, Vol 20, No 4, Spring 1982, pp 20-24; J.T. O’Leary, M. Uysal, F.D. Dottavio and H.K. Cordell, ‘Travel patterns of the American public: participa- tion in selected outdoor recreation activi-

Table 3. Information source used by the elderly by type of pleasure trip (%).

Closcto-home Touring Information leisure trip vacation source (n= 168) (n= 198)

Friends 41.1 41.9 Newspaper 4.8 7.1 General magazines 0.6 1.5 Travel magazines 4.8 11.6 Books 1.8 2.0 Television 4.2 4.0 Radio 0.6 2.0 Film 0.6 2.0 Travel agent 5.4 23.2 Office 3.0 10.6 Airline 1.8 8.1 Auto club 0.6 3.0 Past experience 1.8 1.0 None 48.2 26.3

Note: aPercentages do not sum to 100 due to multiple responses.

city trip (n=129)

40.3 7.0 2.3 3.1 0.0 1.6 1.6 0.0

20.9 3.1 7.8 0.0 3.1

36.4

Outdoor vacation (n=57)

42.1

!:Z 7.0 3.5 7.0 0.0 1.8 1.8 1.8 0.0 0.0

10.5 43.9

Resort vacation (n = 121)

36.4 4.1 3.3 5.0 1.7 2.4 0.0 0.8

25.6 3.3 5.0 0.8 4.1

33.1

Cruise (n = 30)

33.3 13.3 10.0 20.0 6.7 3.3 0.0 3.3

63.3 10.0 16.7 0.0 0.0

10.0

Theme Park exposition (n = 30)

50.0 15.8 2.6

10.5 2.6

15.8 2.6 2.6

26.3 2.6 5.5 0.0 2.6

18.4

TOURISM MANAGEMENT June 1988

Page 4: Attracting the older traveller

Reports

ties’, Tourism Services Marketing: Ad- vances in Theory and Practice, Special Conference Series, W.B. Joseph, L. Moutindo and I.R. Vernon, eds. ‘Vol 2. 1986, pp 3040; and H. Norvell, ‘Outlook for retired/older traveller market seg- ments’, 1985-86, Outlook for Travel and Tourism, Pr~eedings of the E~eventb A~nuat Travel Outlook Forum, New Orleans Hilton, September, 1985, pp 125- 153. *M. Nibley, ‘Adapting to Graying of Amer- ica’, The Greenville News and Greenville Piedmont, February 15, 1987, p 13E. ‘J.P. Rosenfeld. ‘Demographics on vaca- tion’. American Demog?aphics, January, 1986: J. Dohertv. ‘The New Gray Market: Disc&nts Target Senior Citizens’, Tour and Travel News, March 1986, p 1 ff; and M.F. Riche. ‘Retirement’s life style pioneers’, Tour and Travel News, January 1986, p 44 ff. “F. Linden, ‘The $800 billion market’, American Demographics, February 1986. ‘Ibid. ‘J.0. Teaff, ‘Leisure services with the elderly’, Times #irror/Mosby, College Pub- lishing, 1985. ‘Norveil, op cit. Ref I. %ee eg: S.B. Kaiser and J.L. Chandler, ‘Older consumers’ use of media for fashion information’, Jourrtai of Broadcast- ing and Electronic Media, Vol 29, NO 2, Spring 1985, pp 201-207; R.H. Davis and G.J. Westbrook, ‘Television in the lives of the elderly attitudes and opinions’, Journal of Broadcasting and Electronic Media, Vol 29, No 2, Spring 1985, pp 209-214; J.C. Doolittle, ‘News media use by older adults’, Jo~rnafjsm Quarterly, Summer 1980, pp 311-345; A.M. Rubin and R.B.

Rubin, ‘Age, context and television use’. Journal of Broadcasting, Vol 25, No 1, Winter 1981, pp 1-13; and J.A. Danowski and G.J. Hanneman, ‘Aging and prefer- ences for interactive cable services’, Jour- nal of Broadcasting. Vol24, No 3, Summer 1980, pp 337-345. “Making Travel Plans’, CHffAQ News & Fleviews, February 1986. “S.D. Nolan Jr ‘Tourists’ use and evalua- tion of travel information sources: sum- mary and conclusions’, Journal of Travel Research, Vol 14, Winter 1976, pp 6-8. “R J Gitelson and J.L. Cromoton. ‘The planning horizons and sources bf informa- iion use3 by pleasure vacationers’, Journal of Travel Research, Vol 21, No 3, Winter 1983, pp 2-7. ‘2M.J. Etzel and R.G. Wahlers, ‘The use of requested promotional material by plea- sure traveliers’, Journal of Travel Re- search, Vol23, No 4, Spring 1985, pp 2-6. 13The details of the US pleasure travel market have been published in Tourism Canada. U.S. Pleasure Travel Market. Canadi& Potential: Highlights Report, Ottowa 1986; and Tourism Canada, U.S. Pleasure Travel Market, Canadian Poten- tiaf: Main Report, Ottawa, 1986. In addition the following related articles have appeared in Journals: J.M. Dybka, ‘Focus on North American tourism: attracting US tourists to Canada’, Tourism Management, September 1986, pp 202-204; G.D. Taylor, ‘Foreign pleasure travel by Amer- icans’, Journal of Travel Research, Vol25, No 3, Winter 1987, pp 5-7; and J.M. Dybka, ‘A look at the American traveller: the US pleasure travel market study’, Journal of Travel Research, Vol 25, No 3, Winter 1987, pp l-4.

Tourist hotels in Israel - modern classification scheme

Hotels have been given star-ratings in Israel since 1970. Changes in tourist expectations have made it necessary to update the system whereby stars were awarded. Adi Niv, an independent consultant on tourism development and former Director General of the tsraeli Government Tourism Corporation, describes a new system of classification devised by a public committee appointed by the Israeli sinister of Tourism. The new classification scheme aimed to be funny operational by the end of 1987.

In 1970, the system of classifying tourist hotels using stars was intro- duced in Israel. Since then, numerous attempts have been made to adapt this system to the changing needs of mod- ern hotels and the demands of tour- ism. Rapid development, new con- struction and higher physical stan- dards, along with the transformation

of the modern tourist into a discerning consumer, have created the need for a system of evaluation based on new criteria. In addition, existing hotels have become increasingly outmoded. They must be renovated and brought up to the standards of the 1980s and 1990s.

A special public committee appointed

by the Minister of Tourism has designed a system of classification based on a new sequence of physical and qualitative requirements. This system is divided into two basic sec- tors:

a classification of the hotel’s physical features: and

l classification of the quality of ser- vices it offers.

Hopefully, this system will meet the modern day requirements of hotels recommended to tourists and enabte them to compete on an international level.

Principles of classification

A recommended hotel in Israel will be ranked by stars, on a scale of one (*) to five ( *****). The five-star category will be further divided into ‘five-star de-luxe’ and ‘five-star’.

Hotel classification will be deter- mined by a whole host of factors, the most important of uhich are:

0

l

l 0

0

architectural design, area. room size, furnishings. equipment: quality of facilities on hotel grounds; quality of hotel serl-ices: quality of food, how it is served, etc; and quality of hotel employees. their professional level. training and effi- ciency.

Hotels will be awarded classification for a period determined by the Minis- ter of Tourism, not exceeding four years. At the end of this period and on unspecified dates, the hotel will be inspected and its rating reassessed. It may receive the old classification or any other decided upon by the autho- rized body. Reclassification will go into effect when the booklet of hotel prices is published for the coming year.

Classification features

The classification system will be based on the number of points awarded to each hotel seeking a tourist recom- mendation. A specific number of points will be set for each hotel requesting a recommendation, and the

164 TOURISM MANAGEMENT June 1988