Emerging markets bring growth possibilities

In the first two weeks of June, the Mat-Su Convention & Visitors Bureau assisted two delegations of tour operators from China and India on statewide familiarization trips. China and India’s fast-growing middle classes represent two emerging markets in the tourism industry, so it was exciting to have the opportunity to showcase the Mat-Su Valley to a segment that is only expected to grow.

Brand USA, the nation’s tourism marketing organization, has been very active in trying to grow international tourism, and emerging markets are particularly important because they represent the opportunity for tremendous growth. Brand USA’s mission is to promote the nation as an international destination. Thanks to efforts by Brand USA and the U.S. Travel Association, problems that international visitors faced - including extended visa wait times and lag times passing through U.S. customs at major airports - have been eased, making international visitation more appealing.

Alaska has strong visitation from Australia, Japan and German-speaking Europe, and continued marketing to those audiences is crucial. But growing new markets is also important to ensure continued growth in the tourism industry, and these initial familiarization trips are the first steps at developing relationships between Alaska suppliers and international tour operators in these new and expanding markets.

Meeting the needs and expectations for these emerging markets can bring unforeseen challenges, however. With established markets, the tourism industry is aware of what visitors expect. But with new markets, there is a learning curve as local operators first have to learn the needs of their new visitors.

Cultural, religious and even dietary differences among travelers from these countries are hurdles individual business owners must try to clear in order to court these markets. The end result can be very profitable however.

One example of this challenge was a dinner for eight tour operators from India. For the entire delegation, no beef could be served. Some of the operators could not eat vegetables grown below the ground due to cultural beliefs. This ruled out any dish including potatoes or carrots. Still others could not eat eggs, although they were permitted to eat items made with eggs, such as bread.

These may seem trivial to Americans, but they are important to our visitors. So simply catering a menu to a particular tour group coming through could be the difference between getting the business or losing it to a competitor.

While many studies indicate that international tourists in general tend to spend more money on their trips, China and India are both at the top of the list of spenders – making attracting these emerging markets even more important in the overall international strategy at the state level.

Alaska is considered the trip of a lifetime to many of our visitors, and making them feel warm and welcomed is crucial to growing new markets, attracting more tourism and bringing more money to our local businesses and communities.

Casey Ressler (casey@alaskavisit.com) is the marketing and communications manager at the Mat-Su Convention & Visitors Bureau.