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Home My WebLink About04. Strategic Marketing & Research Sustainability Image Research, June 20222022 Sustainability Image Research June 2022 Contents Content Slide Background & Objectives 3 Methodology 4 Sustainability 5 Competitive Context 21 Comprehensive Image Evaluation 32 Appendix: Trip Types 46 Appendix: Questionnaire 53 2SMARInsights Background & Objectives •In addressing sustainability issues, an understanding of prevailing perceptions and identifying consumers who value what Vail has to offer are critical. By identifying and attracting the right consumers, and knowing the right messaging for those consumer s, Vail will be more effective in generating economic impact and satisfying residents. •SMARInsights designed this Sustainability Image research study in collaboration with the Town of Vail to provide valuable information in development of the Stewardship Plan. •This research was done within a framework of the competitive environment that is unique to this destination. The research was designed to assess the overall image of Vail from the perspective of recent and potential visitors in order to identify key a ttitudes and perceptions of the destination, including its strengths and weaknesses. Our research in this area focuses on how a destination is positioned in the context of consumer perceptions vis -à-vis those of key competitors. •The survey instrument was designed to gather insights into the current image of the destination compared to key competitors, and how sustainability fits into both the image and appeal of the destination. A variety of image attributes were presented t o better understand the images and messages that are most productive and what differentiates Vail –especially to those visitors that value sustainable destinations. 3SMARInsights Methodology 4 •Data was gathered via an online survey designed by SMARInsights and the Town of Vail. •The surveys were conducted from April 29th to May 5th, 2022. •National sample providers with demographically representative respondents were used so that the research results can be projected to the population. •Respondents were qualified as adult leisure traveler decision-makers with household income of at least $75,000. •A total of 1,204 surveys were completed in the U.S. SMARInsights Sustainability 5SMARInsights Travel Motivators Overall •A key question for this process is to understand the importance of sustainability when consumers are choosing a destination –as well as what sustainability means to consumers. •To begin to address this issue, consumers were asked to indicate the motivational appeal of a number of factors. •Only 23% said that a destination’s commitment to sustainability was not motivating –but only 32% said it was “very much motivating.” There are many other factors that are more motivating. 6SMARInsights 15% 17% 31% 32% 37% 37% 38% 40% 40% 40% 40% 41% 45% 56% 59% 62% 68% 82% Availability of cannabis World-class golf Fun nightlife A destination’s commitment to sustainability Intimate inns and romantic experiences Health/wellness and rejuvenation Outdoor adventure opportunities like biking, ziplining etc. World-class resorts Romantic settings Availability of package travel options Shopping Hiking Attractions for kids and the family A lot of culture and history National parks and other outdoor options Amazing food and wine options Destination that is welcoming to everyone Beautiful scenery Very much motivating Why Sustainability Isn’t Motivating •The 23% of the consumers who indicated that the destination’s commitment to sustainability was not motivating were asked why. •The most prevalent reason was that it wasn’t a priority for a vacation destination, followed by it not being important overall, finding other factors more important, and not having enough information. 7SMARInsights 4% 5% 7% 9% 9% 11% I don't want to think about this when I am on vacation I don't think there are major differences between destinations I don't have enough information on the destination to make a decision There are other things more imporant to me for a vacation destination Issue isn't important to me It isn't a priority in choosing a vacation destination Reasons that Destination's Sustainability Isn't Important Sustainability Motivation by Trip Type •It is noteworthy that the importance of sustainability varies based on the type of trip that consumers are taking. Among the four trip types that were explored, it is more important for those taking trips to a mountain destination –either winter or summer. •It is least important to those choosing a luxury resort experience, and it is somewhat less important to those taking an outdoor adventure trip. 8SMARInsights 38% 35% 26% 22% Winter trip to a mountain destination Summer trip to a mountain destination Outdoor adventure trip Luxury resort experience A destination's commitment to sustainability is very much motivating Sustainability Motivation -Visitors •While many travelers indicate that a destination’s efforts in sustainability are not motivating –that is not the case among recent visitors to Vail (2020-22). •Among this group, 61% indicate that sustainability is very much motivating, with another 34% indicating it is somewhat motivating –and only 5% responding “not at all.” •Clearly, this is an issue that is important to current Vail visitors. 9SMARInsights 61% 29% 34% 47% 5% 24% Vail visitors Non-visitors Importance of Sustainability Among Visitors not somewhat very much Sustainability Programs •Consumers were also asked to indicate what types of programs were important to them when they were considering a destination based on sustainability. •The type of programs they chose focused on having local food and beverage, being walkable/bikeable, recycling and wildlife protection. •Recognition as a sustainable destination was less important, as were any features related to electric transportation (buses, cars or bicycles). 10SMARInsights 24% 29% 31% 31% 32% 32% 33% 36% 38% 41% 42% 47% 48% 50% 52% 53% 58% 59% E-bike share program Availability of electric vehicle rentals Destination has received Sustainable Destination Certification recognized by Global Sustainable Tourism Council Destination has been Top 100 Sustainable Destination designation Opportunity to participate in adopt-a trail programs such as trail cleanup or building opportunities Electric buses for visitor use Easy access to electric vehicle charging ports Destination has a Climate Action Plan High percentage of destination's power source is renewable energy Reusable shopping bag program (disposable plastic bag ban) Ways to reduce carbon footprint through conservation of heating/lighting and other energy uses Refilling stations for reusable water bottles Support businesses that participate in local sustainability efforts Destination has a plan to manage its natural and built environment for future generations Wildlife protection programs, such as seasonal trail closures Availability of recycling Walkable, bikeable destination Availability of locally sourced food and beverages Very important when choosing a vacation destination (among those who say that sustainability is an important consideration) Attitudes when Traveling •For many communities, another aspect of sustainability is how visitors interact with residents. •Visitors were asked about their attitudes when they travel to better understand how these attitudes mesh –or don’t mesh –with attitudes toward sustainability. •Most visitors agree that it is important to be courteous to residents, and to keep a destination clean. But many want to indulge themselves and some feel that on vacation they can be loud and have someone else pick up after them. 11SMARInsights 2.5 3.0 4.1 4.1 4.1 4.2 4.3 4.3 4.5 4.6 When I’m on vacation, I feel like I shouldn't have to pick up after myself When I'm on vacation, I think late-night noise is fine I think vacation is the time to try new things and take more risks When I'm on vacation, I enjoy talking with people who live in the place I'm visiting When I go on vacation, I like to cut loose and enjoy myself When I travel, I enjoy experiencing a place the way the locals do On vacation I like to indulge myself When I am on vacation, I prefer to support local businesses, restaurants and shops When I visit a place, I do my part to keep it clean I think it's important to be courteous to people who live in the places where I vacation Attitudes when Traveling (mean rating on a 5-point scale) Traveler Segments •In exploring how to think about sustainability issues and consumers, two different segmentation solutions can be explored. One focuses on those travelers who are motivated by sustainability. While 32% indicated that sustainability was very motivating, just 13% r ated sustainability very important and rated it among the most motivating criteria. These travelers are classified as “sustainable travelers.” •When attitudes are considered, about 30% of the consumers can be considered “responsible” –they are more concerned with courtesy, cleanliness and polite behavior. On the other hand, about 26% are “carefree” –on vacation they want to be less concerned and have more fun. The remainder (43%) are considered “normal.” 12SMARInsights Others 87% Sustainable Travelers 13% Sustainable Travelers Responsible 30% Normal 43% Carefree 26% Attitude Segments Traveler Segments -Visitors •A review of these same classifications among recent Vail visitors uncovers some interesting findings: —While more than 60% of the recent visitors indicate that a destination’s sustainability efforts are very motivating, 34% rated sustainability very motivating and rated it among the most motivating criteria. Thus, in terms of those motivated more by sustainability (sustainable travelers) the percentag e is much lower –34%. This is significantly higher than the 13% in the general traveling population. —Perhaps more interesting is that recent Vail visitors have attitudes that classify half of them as “carefree” visitors. This suggests that while they are motivated by sustainability efforts, they may exhibit behaviors that don’t totally support care and courtesy when they are visiting. 13SMARInsights Sustainable Travelers 34% Others 66% Recent Vail Visitors Responsible 29% Normal 20% Carefree 51% Recent Vail Visitors Traveler Segments •One of the most noteworthy findings is that there is not a strong correlation between those who are more responsible as travelers and an interest in sustainability. •The percentage of consumers who are motivated by sustainability is similar across the attitudinal groups. This indicates that for a destination there are perhaps two different issues to address –sustainability and consumer behavior/respect for the community. In other words, attracting visitors who are interested in sustainable programs will not ensure that they are courteous visitors who respect locals with courtesy and act responsibly in other ways. 14SMARInsights 15%12%13% 85%88%87% Responsible Normal Carefree Attitudes & Sustainability Other Sustainable Sustainability Programs -Visitors •Vail visitors place a much greater importance on sustainability overall, as well as specific programs. •The top programs among visitors are locally sourced food & beverage, refilling stations, a destination plan, having a high percentage of renewable energy and being a walkable and bikeable destination. •But features related to electric vehicles (bikes, rentals, bus & charging stations) are where some the largest gaps occur between visitors and the general public. •Recent visitors also give much more weight to the recognition programs such as the sustainable destination certification and being a Top 100 Sustainable destination. 15SMARInsights Program Overall Recent Visitors Difference Availability of locally sourced food and beverages 59%75%16% Refilling stations for reusable water bottles 47%72%25% Destination has a plan to manage its natural and built environment for future generations 50%72%22% High percentage of destination's power source is renewable energy 38%68%30% Walkable, bikeable destination 58%68%10% Support businesses that participate in local sustainability efforts 48%67%19% Availability of recycling 53%67%14% Easy access to electric vehicle charging ports 33%66%33% Ways to reduce carbon footprint through conservation of heating/lighting and other energy uses 42%64%22% Wildlife protection programs, such as seasonal trail closures 52%64%12% Availability of electric vehicle rentals 29%62%33% Destination has a Climate Action Plan 36%61%25% Reusable shopping bag program (disposable plastic bag ban)41%60%19% Destination has received Sustainable Destination Certification recognized by Global Sustainable Tourism Council 31%57%26% Destination has been Top 100 Sustainable Destination designation 31%57%26% Electric buses for visitor use 32%57%25% Opportunity to participate in adopt-a trail programs such as trail cleanup or building opportunities 32%55%23% E-bike share program 24%47%23% Sustainability Programs -Carefree Travelers •Carefree travelers may want to indulge themselves on vacation, but they do care about sustainability –and their reactions to specific programs are also interesting. •Overall, among those carefree travelers who indicate sustainability is important, there are some programs where they have a much stronger interest –adopt-a -trail programs, availability of electric vehicle rentals and e -bike share programs. •They seem to be less interested in a walkable/bikeable destination, the destination sustainability plan, recycling and supporting businesses in their sustainability efforts. 16SMARInsights Program Overall Carefree Difference Availability of locally sourced food and beverages 59%52%-7% Availability of recycling 53%49%-4% Walkable, bikeable destination 58%48%-10% Refilling stations for reusable water bottles 47%47%0% Wildlife protection programs, such as seasonal trail closures 52%47%-5% Destination has a plan to manage its natural and built environment for future generations 50%46%-4% High percentage of destination's power source is renewable energy 38%44%6% Destination has a Climate Action Plan 36%44%8% Support businesses that participate in local sustainability efforts 48%43%-5% Ways to reduce carbon footprint through conservation of heating/lighting and other energy uses 42%43%1% Reusable shopping bag program (disposable plastic bag ban)41%43%2% Opportunity to participate in adopt-a trail programs such as trail cleanup or building opportunities 32%43%11% Easy access to electric vehicle charging ports 33%41%8% Availability of electric vehicle rentals 29%40%11% Destination has been Top 100 Sustainable Destination designation 31%39%8% Electric buses for visitor use 32%39%7% Destination has received Sustainable Destination Certification recognized by Global Sustainable Tourism Council 31%36%5% E-bike share program 24%33%9% Sustainable Traveler Segment •This is further reinforced by a review of the attitudinal differences between sustainable travelers and others. •Generally, there are not major differences –although sustainable travelers are less likely to agree with the statement “when I am on vacation, I feel like I shouldn’t have to pick up after myself.” •Otherwise, their attitudes are very similar to other travelers. 17SMARInsights 2.30 2.98 4.09 4.09 4.15 4.20 4.22 4.33 4.54 4.57 2.57 3.03 4.08 4.15 4.08 4.18 4.26 4.30 4.60 4.54 When I’m on vacation, I feel like I shouldn't have to pick up after myself. When I'm on vacation, I think late-night noise is fine. I think vacation is the time to try new things and take more risks. When I go on vacation, I like to cut loose and enjoy myself When I'm on vacation, I enjoy talking with people who live in the place I'm visiting. When I travel, I enjoy experiencing a place the way the locals do. On vacation I like to indulge myself When I am on vacation, I prefer to support local businesses, restaurants and shops I think it's important to be courteous to people who live in the places where I vacation. When I visit a place, I do my part to keep it clean. Mean agreement with statements (5 point scale) Others Sustainable Travelers Sustainable Traveler Segment •Past research that SMARInsights has conducted showed that it was a younger audience that became concerned with sustainability first. But over time, it has become a more widespread concern. Thus, in this study, there are few demographic differences b etween the sustainable traveler segment and others. •It should be noted that the sample for this study is all higher income travelers, which results in a more educated population –and that these results are not necessarily representative of all travelers. 18SMARInsights 30% 40% 30%28% 41% 30% 18-34 35-54 55+ Age Others Sustainable Travelers 5% 14% 49% 32% 5% 13% 46% 36% High school or less Some college/technical school College graduate Post-graduate degree Education Others Sustainable Travelers 7% 53% 29% 10%7% 58% 27% 9% $75,000 but less than $100,000 $100,000 but less than $150,000 $150,000 but less than $250,000 $250,000 or more Income Others Sustainable Travelers Sustainable Traveler Segment •Priorities among sustainable travelers are similar to other travelers –although there is a stronger interest in the destination having a plan to manage its natural and built environment. •This will be an important message for Vail to communicate to this audience. •Since the priorities are different among recent visitors, Vail will need to balance the messaging based on communicating with both past visitors and potential visitors –or targeting messaging for visitors in- market. 19SMARInsights 19% 20% 23% 28% 28% 32% 33% 39% 40% 42% 47% 47% 54% 56% 58% 59% 60% 62% E-bike share program Availability of electric vehicle rentals Easy access to electric vehicle charging ports Opportunity to participate in adopt-a trail programs such as trail cleanup or building opportunities Destination has received Sustainable Destination Certification recognized by Global Sustainable Tourism Council Destination has been Top 100 Sustainable Destination designation Electric buses for visitor use High percentage of destination's power source is renewable energy Destination has a Climate Action Plan Reusable shopping bag program (disposable plastic bag ban) Refilling stations for reusable water bottles Ways to reduce carbon footprint through conservation of heating/lighting and other energy uses Wildlife protection programs, such as seasonal trail closures Availability of recycling Walkable, bikeable destination Support businesses that participate in local sustainability efforts Availability of locally sourced food and beverages Destination has a plan to manage its natural and built environment for future generations Very important when choosing a vacation destination (among Sustainable Traveler segment) Sustainability Insights •There are many issues that motivate consumers to choose a destination, and a destination’s sustainability practices are not as strong as key product attributes. While more than 75% of consumers indicate that this has some motivational value, only 13% find it a strong motiv ator and a differentiating factor in destination selection. •Understanding what sustainability means to consumers is also challenging. The features and programs that consumers indicated were most important were fairly general –having locally sourced food and beverage and being walkable. Other important programs related to recycling and wildlife protection programs. Features around sustainable transportation were not rated as important to consumers –and while they want a destination to have a plan, the recognition from various groups was also not rated as very important. •Even among those who are “sustainable” tourists, the focus is not on designations or more specific sustainability programs, b ut linked to having a plan, being walkable and having recycling. •There is also not a strong relationship between concern for environmental sustainability and how a visitor respects and prote cts residents and the community as a whole. A sustainable tourist can also be a carefree tourist and can act in ways that are not respectful of residents. At the sam e time, these “carefree” visitors are interested in specific sustainability programs. •Sustainability is more important to those taking a mountain trip (both summer and winter) and less important to those taking an outdoor adventure or luxury resort trip. •Most importantly, sustainability is much more important to recent Vail visitors. Just over 60% of recent visitors indicate t hat sustainability is very important, and 34% are sustainable travelers (sustainability is more important than other factors). At the same time, recent visitors are more likely to be “carefree” travelers, so their attitudes in terms of destination stewardship are not as strong. •Recent visitors are interested in different types of sustainability efforts, including programs around electric transportatio n options. They also give more weight to designations and programs that recognize the destinations’ sustainability efforts. •This suggests that messaging around sustainability will differ when aimed at past/current visitors versus efforts to attract new audiences and additional visitors. 20SMARInsights Competitive Context 21SMARInsights Competitive Image •Consumers rated the various destinations under consideration in terms of overall appeal. One of the biggest challenges for Vail is competition. •The results show that there is not much variation –Hawaii is slightly higher than the other destinations, but the narrow range of ratings indicates that there is a great deal of parity. •Even when ratings for Vail are considered by trip type, there is not much variation. Vail gets a stronger rating as a place for a winter mountain trip versus a luxury resort trip –but the ratings are fairly similar across the various options. •In exploring this situation, it will be important to identify ways for Vail to differentiate from the competition. 22SMARInsights 3.7 3.6 3.5 3.5 3.5 3.5 3.4 3.4 3.4 3.4 3.3 3.3 3.3 Hawaii Park City Lake Tahoe Jackson Hole Whistler Telluride Vail Aspen Breckenridge St. George/ Zion National Park Costa Rica Jackson Hole/ Yellowstone Yosemite Overall Destination Rating (mean rating on a 4-point scale) 3.6 3.5 3.4 3.3 Winter Mountain Outdoor adventure Summer Mountain Luxury Resort Ratings of Vail by Trip Type Top-of-Mind Summer Mountain Vacation Destinations in North America •Consumers were asked to name destinations that come to mind for each type of trip – and again the results provide insights into the competitive challenge that Vail is facing. •For summer mountain vacations, Colorado is by far the strongest association, which is positive for Vail, but specific top- of-mind mentions are infrequent. 23SMARInsights Top-of-Mind Winter Mountain Vacation Destinations in North America •Vail’s strength is clearly as a winter mountain vacation option. •Colorado and Alaska have the strongest top-of-mind association, but many consumers think of Vail. •It is still a crowded competitive situation with other destinations such as Aspen, Lake Tahoe, and Banff getting a high number of mentions. 24SMARInsights Competitive Position –Mountain Trips •Another way to consider the competitive situation is likelihood to visit. Again, this varies significantly by trip type –and Vail does well as a place for winter mountain trip. In this category it has the third highest likelihood after Tahoe and Aspen. •For summer mountain trips, the situation is more challenging –with Vail in the middle. Tahoe is again the leader, followed by Jackson Hole, Aspen and Park City. 25SMARInsights 52% 48% 42%42%42%40%37%35% Tahoe Aspen Vail Breckenridge Jackson Hole Park City Telluride Whistler Likelihood to Visit for Winter Mountain Trip 39% 32% 29%27%27%25%23%22% Tahoe Jackson Hole Aspen Park City Vail Breckenridge Whistler Telluride Likelihood to Visit for Summer Mountain Trip Top-of-Mind Winter Outdoor Adventure Destinations in North America •Again, for winter outdoor adventure trips, Vail has fairly high top-of-mind consideration. •Colorado dominates this category, and other competitors such Aspen, Tahoe (Lake Tahoe) and Yellowstone are also top-of-mind. 26SMARInsights Top-of-Mind Summer Outdoor Adventure Destinations in North America •When thinking about summer outdoor adventure trips, consumers focus first on Florida –which suggests that their idea of an adventure trip is fairly broad. •In this category, Vail is not top-of-mind and was not mentioned, although Colorado is popular. 27SMARInsights Competitive Position –Outdoor Adventure •When likelihood to visit Vail and the competitors is reviewed for outdoor adventure trips, the top-of-mind findings are reinforced. •Vail is near the bottom of the competitive set, and only 17% indicate likelihood to visit for this trip type. •Hawaii is the highest at 48% –and the survey did not include Florida, which is clearly a destination that interests consumers. •National parks also seem to be popular in this category, with Yosemite and Yellowstone being quite popular. 28SMARInsights 48% 42% 37% 34% 28%27% 22% 17%16% 13% Hawaii Yosemite Yellowstone Tahoe Costa Rica Zion Aspen Vail Breckenridge Whistler Likelihood to Visit for Outdoor Adventure Trip Top-of-Mind Luxury Resort Experience Destinations in North America •While Hawaii is the dominant destination for a luxury resort experience, Vail has a strong top-of- mind position with consumers. •This is an area where Vail’s top-of-mind mentions are stronger than for other trip types. •Aspen also gets a lot of mentions, with Tahoe also mentioned 29SMARInsights Competitive Position –Luxury Resort •Interestingly, while Vail is a top-of-mind luxury destination for consumers, when the specific competitive set is considered in terms of likelihood the position is not as strong. •Hawaii and Costa Rica are the places consumers indicate they are most likely to visit, followed by Tahoe and then Aspen. •Likelihood to visit Vail is lower than might be expected given the top-of-mind findings. 30SMARInsights 54% 27%26% 18% 14% 12%11% Hawaii Costa Rica Tahoe Aspen Vail Whistler Breckenridge Likelihood to Visit for Luxury Resort Trip Competitive Situation Insights •Key challenges for Vail are the diversity of its image and the competitive situation. Because Vail offers a variety of types of experiences, it is harder to create a cohesive image. •People are interested in visiting Vail for different types of trips, but that actually increases the competitive pressure. The strongest top-of-mind mentions for Vail relate to winter mountain/outdoor adventure trips and luxury resort experiences. •The weakest associations are for summer trips. •But across trip-types there are other destinations that have both stronger top-of-mind image and where consumers are more likely to visit. •The competitive set varies by trip type –although Tahoe (Lake Tahoe) is a strong competitor across the various trip types and has established both strong top-of-mind presence, as well as high levels of likelihood to visit. 31SMARInsights Comprehensive Image Evaluation 32SMARInsights Vail –Overall Image •To further understand the competitive situation and what consumers believe about Vail, a more detailed image assessment was developed. •Consumers rated Vail and the competitors in a number of areas, using a 5-point scale. With this scale, a rating of 4.0 or higher is strong, with ratings of 3.75-4.0 being good. •The positive finding is that Vail’s rating are all in this range –except for “is a good value for the money.” •The strongest ratings are for outdoor winter activities, scenery, luxurious resorts, being upscale and offering lots of outdoor activities. •But, as shown with the competitive indices, other destinations have a lot to offer also. •Generally, the indices indicate that there is a great deal of parity in terms of image. The areas of comparative strength for Vail include outdoor winter activities, luxurious resorts and being an upscale destination. 33SMARInsights Mean rating on a 5-point scale Vail Index to Competition Offers outdoor winter activities like skiing, snowboarding, snowshoeing, etc.4.52 109 Has amazing scenery 4.45 100 Has luxurious resorts 4.37 103 Is an upscale destination 4.34 104 Offers lots of outdoor activities like hiking, biking, etc.4.32 100 Has quality food and wine/dining experiences 4.27 102 Is fun 4.25 100 Is safe 4.24 102 Has unique local restaurants/food 4.12 100 Has high quality attractions 4.11 100 Is a place with lots to see and do 4.09 98 Offers outdoor adventure activities like ziplining, kayaking etc.4.06 98 Is a welcoming and friendly place 4.05 98 Has appealing events 4.02 99 Is a good place for families 4.00 98 Is doing a good job protecting its natural resources 3.99 98 Is welcoming to all people 3.96 98 Has small-town charm 3.91 101 Is a unique vacation experience you can’t get at other places 3.88 97 Is an inclusive place 3.84 97 Has a unique history 3.81 95 Has a variety of hotels/price points 3.77 96 Has interesting cultural experiences 3.76 95 Is a good value for the money 3.46 94 Vail Image –Recent Visitors •Recent Vail visitors give the destination higher ratings across the board. •The largest differences are for value, cultural experiences, being unique, inclusive and good for families. •Recent visitors are also more positive about the job that Vail is doing to protect its natural resources. •Yet, even though the ratings are more positive, Vail still receives only average ratings compared to the ratings for the competition. Most of the indices are around 100 –average with the competition. •Even among visitors, it is a challenging competitive environment. 34 Mean rating on a 5-point scale Non-visitors Recent visitors Difference Index to Competition Is a good value for the money 3.30 4.20 0.90 100 Has interesting cultural experiences 3.64 4.30 0.66 99 Is a unique vacation experience you can’t get at other places 3.77 4.40 0.63 100 Has a unique history 3.70 4.32 0.62 99 Is a good place for families 3.90 4.48 0.58 100 Is an inclusive place 3.73 4.31 0.58 98 Has small-town charm 3.81 4.38 0.57 100 Has a variety of hotels/price points 3.67 4.23 0.56 99 Is a welcoming and friendly place 3.96 4.48 0.52 100 Is welcoming to all people 3.87 4.37 0.50 101 Has appealing events 3.93 4.43 0.50 99 Has unique local restaurants/food 4.04 4.48 0.44 100 Is a place with lots to see and do 4.01 4.44 0.43 100 Is doing a good job protecting its natural resources 3.91 4.34 0.43 99 Is safe 4.16 4.56 0.40 101 Has high quality attractions 4.04 4.43 0.39 100 Offers outdoor adventure activities like ziplining, kayaking etc.4.00 4.36 0.36 99 Is fun 4.19 4.53 0.34 100 Has quality food and wine/dining experiences 4.21 4.52 0.31 100 Has luxurious resorts 4.33 4.55 0.22 101 Offers lots of outdoor activities like hiking, biking, etc.4.28 4.50 0.22 100 Is an upscale destination 4.30 4.51 0.21 101 Offers outdoor winter activities like skiing, snowboarding, snowshoeing, etc.4.50 4.64 0.14 103 Has amazing scenery 4.45 4.48 0.03 99SMARInsights Destination Sustainability Image •The rating for doing a good job of protecting its natural resources indicates that Vail is below the average of the destinations rated. •In fact, while the rating itself (3.99) is fairly strong compared to destination ratings benchmarks, other destinations get much higher ratings as shown in the indices on the prior slides. •The only destinations to get lower ratings for protecting natural resources were Costa Rica and Aspen. 35SMARInsights 3.89 3.95 3.99 4.02 4.05 4.07 4.19 4.20 4.21 4.21 4.23 4.26 4.41 2.5 2.6 2.7 2.8 2.9 3.0 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 4.0 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 5.0 Aspen Costa Rica Vail Jackson Hole/Yellowstone Breckenridge Lake Tahoe Telluride Park City Whistler St. George/Zion National Park Jackson Hole Hawaii Yosemite Is doing a good job protecting its natural resources (5-point scale) Average Good (top 25%) Excellent (top 10%) Sustainable Traveler Segment •It is also noteworthy that Vail rates lower on sustainable image among the sustainable traveler segment. •This group is also more likely to think that Vail is upscale and less likely to think that it is charming and welcoming. 36SMARInsights Vail Mean Ratings (5-point scale)Others Sustainable Travelers Difference Has amazing scenery 4.44 4.55 0.11 Is an upscale destination 4.33 4.43 0.10 Is a unique vacation experience you can’t get at other places 3.87 3.97 0.10 Has a unique history 3.80 3.89 0.09 Offers lots of outdoor activities like hiking, biking, etc.4.31 4.38 0.08 Offers outdoor adventure activities like ziplining, kayaking etc.4.06 4.11 0.05 Has quality food and wine/dining experiences 4.26 4.29 0.03 Is welcoming to all people 3.96 3.98 0.02 Is a place with lots to see and do 4.09 4.11 0.02 Is a good place for families 4.00 4.00 0.00 Is safe 4.24 4.23 -0.01 Is a good value for the money 3.46 3.43 -0.03 Is doing a good job protecting its natural resources 3.99 3.95 -0.04 Has high quality attractions 4.11 4.08 -0.04 Has unique local restaurants/food 4.12 4.08 -0.05 Has appealing events 4.02 3.97 -0.05 Offers outdoor winter activities like skiing, snowboarding, snowshoeing, etc.4.53 4.46 -0.07 Is fun 4.26 4.18 -0.08 Has a variety of hotels/price points 3.78 3.69 -0.09 Has luxurious resorts 4.38 4.28 -0.10 Has interesting cultural experiences 3.78 3.66 -0.11 Is an inclusive place 3.85 3.72 -0.13 Is a welcoming and friendly place 4.07 3.92 -0.15 Has small-town charm 3.94 3.66 -0.28 Vail & Sustainability •A positive finding is that the rating for how Vail is doing at protecting its natural resources is increasing over time. •Looking at people based on past visitation and when it occurred, there is a clear upward trend in the rating for protecting natural resources. •This suggests that visitors are noticing what Vail is doing, and that this is being reflected in the image of the destination. 37SMARInsights 4.52 4.33 4.27 4.11 3.86 Visited in 2022 Visited in 2021 Visited in 2020 Visited Prior to 2020 Never visited Rating for Protecting Natural Resources Competitive Landscape •The review shows that Vail has a strong image –but so do many competitors. The next step is to determine what image to pursue, and how to create meaningful differentiation. •But looking at all these attribute ratings across all the competitive destinations can be quite confusing. And in reality, consumers don’t generally take the time to make this type of in-depth, detailed assessment about a destination. •Rather, they have a mental picture of a place that includes their perceptions about product, personality and competitors. •To better assess the overall image, perceptual mapping provides insights into consumers and their thought process. The process shows the relationship among the various attributes, as well as the relationship among the destinations. •The map is created by using discriminant analysis, which considers the ratings for all the destinations and highlights the position of each destination and key drivers of perceptions. The process means that ratings of destinations can both “pull” destinations to a specific location on the map and also “push” destinations away from ratings. •It is useful for understanding how to differentiate and how to better position Vail within the competitive context. 38SMARInsights lots to see and do amazing scenery fun upscale outdoor activities unique friendly outdoor adventurequality attractions value food and wine families inclusive hotel variety luxurious resorts protects natural resources small-town charm appealing events safe outdoor winter activities welcoming to all unique food culture history Perceptual Map 39 Attributes at the top of the map relate to an upscale and luxurious destination Attributes at the bottom relate to a value, family friendly destination –that protects natural resources Attributes on the left of the map relate to a destination with culture and history Attributes on the right of the map relate to a destination with small town friendliness and charm SMARInsights Perceptual Map •In overview, the map classifies the destinations from luxury to value and from unique culture to charm. •Vail is positioned in the quadrant defined by charm and luxury –along with Aspen. •Several competitors –Lake Tahoe, Park City, Whistler, Telluride and Jackson Hole –fall into the quadrant defined by charm and value. •Hawaii is the one destination in the quadrant defined by Luxury and unique culture. •The national parks (Zion and Yellowstone) are in the quadrant for value and unique culture. Protecting natural resources also defines this space. It is noteworthy that protecting natural resources is much more associated with a value destination and not with a luxury destination. 40SMARInsights lots to see and do amazing scenery fun upscale outdoor activitiesunique friendly outdoor adventurequality attractions value food and wine families inclusive hotel variety luxurious resorts protects natural resources small-town charm appealing events safe outdoor winter activities welcoming to all unique food culture history Vail Breckenridge Aspen Lake Tahoe Whistler Jackson Hole/Yellowstone St. George/Zion Hawaii Costa Rica Jackson Hole Park City Telluride Luxury Value CharmUnique Culture Perceptual Map •The mapping process also allows a review of how different groups of consumers view the destination. •For Vail, those who are likely to visit give ratings that position the destination more toward the middle of the map, and lower in the right quadrant –while those who are unlikely to visit place it in the far upper right corner. Recent visitors also position Vail lower on the map, and a bit closer to the middle. •Comparing the ratings between the likely and unlikely highlights some of the areas where a higher rating would drive stronger interest. These include: —Is a good value for the money —Is an inclusive place —Is welcoming to all people —Has a variety of hotels/price points —Has interesting cultural experiences —Is a good place for families 41SMARInsights lots to see and do amazing scenery fun upscale outdoor activitiesunique friendly outdoor adventurequality attractions value food and wine families inclusive hotel variety luxurious resorts protects natural resources small-town charm appealing events safe outdoor winter activities welcoming to all unique food culture history Vail Breckenridge Aspen Lake Tahoe Whistler Jackson Hole/Yellowstone St. George/Zion Hawaii Costa Rica Jackson Hole Park City Telluride Unlikely to visit Likely to visit Luxury Value CharmUnique Culture Recent Visitors Motivating Visitation 42SMARInsights •The positioning exercise highlights the current image and identified differences in the image between those who are likely to visit and those who are not. •Another analytical process involves identifying those image attributes that are most closely correlated to an increase in likelihood to visit. This exercise identified some of the same attributes: —Is a good value for the money —Is welcoming to all people —Is an inclusive place —Has interesting cultural experiences —Has a variety of hotels/price points —Is a unique vacation experience you can’t get at other places •The focus on protecting its natural resources is correlated to increased interest in visiting, but not as strongly as these o ther attributes. •For Vail, the challenge is that some of the messaging that is linked to higher likelihood to visit will dilute its current im age and provide less differentiation compared to much of the competition. The upscale image is differentiating and moving away from that image is not necessarily the right option. Motivating Visitation 43SMARInsights •Among sustainable travelers is a different set of messages that are linked to increased interest in visiting – although there is significant overlap. Protecting natural resources is important to this segment –although being inclusive and welcoming are stronger motivators: —Is an inclusive place —Is a good place for families —Is welcoming to all people —Has high quality attractions —Has appealing events —Is a unique vacation experience you can’t get in other places —Is doing a good job protecting its natural resources •By promoting the image of a charming, upscale destination that is also welcoming and inclusive –and focused on sustainability, Vail has the opportunity to improve its competitive position, while still maintaining differentiation from key competitors. Competitive Image -Insights •Vail has a strong image as an upscale resort destination with amazing scenery and lots of outdoor activities. While its image is strong, the competitive destinations also have strong images –making it challenging to create differentiation. •Currently Vail is not given a great deal of credit for its sustainability efforts, and this is not a point of differentiation. •Considering the competitive landscape, consumers differentiate between luxury vs. value and charm vs. unique culture: —Vail and Aspen are in the luxury/charm quadrant —Hawaii is in the luxury/unique culture quadrant —National parks & Costa Rica are in the value/unique culture quadrant —Breckenridge, Whistler, Park City, Telluride, Lake Tahoe and Jackson Hole are all in the value/charm quadrant •Sustainability (protecting natural resources) is less associated with luxury destinations, and more associated with value. •Recent visitors to Vail and those who are likely to visit characterize Vail as more of a balance between luxury and value. This suggests that reinforcing those perceptions will improve the image and increase interest in visiting. 44SMARInsights Competitive Image -Insights To attract more sustainable travelers, the focus should be on these key messages: •Vail… —Is an inclusive place —Is a good place for families —Is welcoming to all people —Has high quality attractions —Has appealing events —Is a unique vacation experience you can’t get in other places —Is doing a good job protecting its natural resources. •This represents a strong strategy, because by promoting the image of a charming, upscale destination that is also welcoming and inclusive –and focused on sustainability, Vail has the opportunity to improve its competitive position, while still maintaining differentiation from key competitors. This positioning capitalizes on the current strengths, while creating more interest in future visitation. 45SMARInsights Appendix: Trip Types 46SMARInsights Trip Type Overview •Outdoor adventure travelers are younger, less affluent, and less educated. •Summer mountain travelers are less affluent and less educated. •Luxury resort travelers are older, more affluent, and more educated. •Winter mountain travelers are younger and more educated and a mix of income. 47SMARInsights 36% 27%28% 21% Outdoor adventure trip Summer trip to a mountain destination Luxury resort experience Winter trip to a mountain destination Take Trip Type Every Year Age Take outdoor adventure trip every year Take summer trip to a mountain destination every year Take luxury resort experience trip every year Take winter trip to a mountain destination every year 18-34 36%35%28%36% 35-54 45%47%51%47% 55+19%18%21%17% Income $75,000 but less than $100,000 7%6%5%9% $100,000 but less than $150,000 55%56%48%50% $150,000 but less than $250,000 26%25%28%24% $250,000 or more 13%12%18%17% Education High school or less 4%3%2%2% Some college/technical school 14%13%11%7% College graduate 48%48%49%52% Post-graduate degree 35%36%38%38% Below average across groups Average across groups Above average across groups Outdoor Adventure Trip Motivators •Beautiful scenery, inclusivity, national parks, adventure, and hiking are what motivate outdoor adventure trips and differentiate this type of trip from the other trip types evaluated (summer mountain, luxury resort, and winter mountain). •The destination’s commitment to sustainability is not as important overall, and less important than for other types of trips. 48SMARInsights Outdoor adventure trip Trip Characteristic is Very Much Motivating Index Across Trip Types Beautiful scenery 83%102 Destination that is welcoming to everyone 71%103 National parks and other outdoor options 63%110 A lot of culture and history 53%97 Amazing food and wine options 53%86 Attractions for kids and the family 44%98 Outdoor adventure opportunities like biking, ziplining etc.41%109 Hiking 41%104 Intimate inns and romantic experiences 34%92 Availability of package travel options 34%84 Romantic settings 32%81 Shopping 30%74 Health/wellness and rejuvenation 29%80 A destination’s commitment to sustainability 26%87 World-class resorts 23%57 Fun nightlife 22%72 Availability of cannabis 9%59 Below average in column Average in column Above average in column Summer Mountain Trip Motivators •Scenery and national parks top the list for summer mountain trips –along with being welcoming to everyone. •Features that are more important for this type of trip include hiking, attractions for family and kids, outdoor adventure opportunities and the availability of cannabis. •This group also indicates that the destination’s commitment to sustainability is more important for this trip type. 49SMARInsights Summer trip to a mountain destination Trip Characteristic is Very Much Motivating Index Across Trip Types Beautiful scenery 85%105 Destination that is welcoming to everyone 65%95 National parks and other outdoor options 65%114 A lot of culture and history 59%108 Amazing food and wine options 59%95 Hiking 47%121 Attractions for kids and the family 46%105 Romantic settings 40%100 Outdoor adventure opportunities like biking, ziplining etc.40%106 Shopping 39%98 Availability of package travel options 39%98 Health/wellness and rejuvenation 38%104 Intimate inns and romantic experiences 35%95 A destination’s commitment to sustainability 35%115 World-class resorts 35%86 Fun nightlife 30%100 Availability of cannabis 16%107 Below average in column Average in column Above average in column Luxury Resort Experience Motivators •While beautiful scenery is important for this type of trip –it is less important than for other types. •The factors that motivate this group are amazing food and wine, world-class resorts, package travel options, shopping and romantic settings. •There is significantly less interest in the destinations’ commitment to sustainability among this audience. 50SMARInsights Luxury resort experience Trip Characteristic is Very Much Motivating Index Across Trip Types Beautiful scenery 79%98 Destination that is welcoming to everyone 70%102 Amazing food and wine options 69%110 World-class resorts 55%137 A lot of culture and history 49%89 Availability of package travel options 44%109 Shopping 43%108 Romantic settings 42%107 Intimate inns and romantic experiences 38%103 Attractions for kids and the family 36%82 National parks and other outdoor options 35%62 Health/wellness and rejuvenation 33%90 Fun nightlife 29%96 A destination’s commitment to sustainability 22%73 Outdoor adventure opportunities like biking, ziplining etc.21%55 Hiking 20%51 Availability of cannabis 10%69 Below average in column Average in column Above average in column Winter Mountain Trip Motivators •For those taking winter mountain trips, scenery and being welcome are important –but less so than for other trip types. •Everything else is more important – indicating that people taking this type of trip want it all. •Some of the features that are significantly more important to this audience are outdoor adventure, world- class resorts, health/wellness, nightlife and the availability of cannabis. •This is the segment that puts the strongest priority on a destination’s commitment to sustainability (among the four trip types). 51SMARInsights Winter trip to a mountain destination Trip Characteristic is Very Much Motivating Index Across Trip Types Beautiful scenery 78%95 Destination that is welcoming to everyone 68%99 Amazing food and wine options 68%109 National parks and other outdoor options 64%113 A lot of culture and history 58%106 Attractions for kids and the family 51%115 Outdoor adventure opportunities like biking, ziplining etc.49%130 Hiking 49%124 World-class resorts 48%120 Shopping 48%119 Health/wellness and rejuvenation 46%126 Romantic settings 44%112 Availability of package travel options 44%109 Intimate inns and romantic experiences 41%110 Fun nightlife 40%132 A destination’s commitment to sustainability 38%124 Availability of cannabis 24%166 Below average in column Average in column Above average in column Appendix: Questionnaire 52SMARInsights Questionnaire 53SMARInsights Questionnaire 54SMARInsights Questionnaire 55SMARInsights