2012 International report on mountain tourism

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1 2012 International report on mountain tourism Will it go global thanks to the web? 7 th World Congress on Snow and Mountain Tourism - Andorra LV/01/04/2015

2 Agenda State of the industry Recent market evolution Market drivers Internet as a market driver? page 2

3 The state of the industry today LV/01/04/2015

4 The world ski market 80 countries ski resorts places of practice lifts page 4

5 Major players (countries) A limited number of countries concentrate most of the attendance 70 countries Others 22% 7 countries Majors 78% page 5

6 Top countries in the world United States France Austria Japan Switzerland Italy Canada Germany Sweden Spain Korea, South Norway China Slovakia Russia Czech Finland Andorra Poland Australia Argentina Slovenia New Zealand Chile Romania In million skier visits page 6

7 Some challengers Country Argentina Bulgaria Chile Poland Russia Slovenia Number of resorts Number of major resorts (>1 mio SV) Number of lifts Skier visits (million) Population (million) Ranking in world tourism #N/A #N/A Arrivals of international tourists (million) Proportion of foreign skiers % 25% 15% 10% 2% 17% SV / inhabitant 0,0 0,1 0,1 0,1 0,0 0,6 SV / foreign visitor 0,1 0,0 0,1 0,0 0,0 0,1 page 7

8 Major players (resorts) At national level, a limited number of ski areas concentrate most of the attendance Example : Switzerland Other resorts 13% 63 resorts 142 resorts Resorts > 100'000 SV 87% page 8

9 National skiers Strength of national customer base of most of the big players. Foreign visitors concentrate on a few top international resorts. Share of foreign visitors 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Domestic Foreigners page 9 Andorra Austria Switzerland New Zealand France Bulgaria Italy Slovenia Canada Czech Germany Hungary Korea, South Slovakia Spain Finland Norway Sweden United States China Poland Romania Ukraine Japan Australia

10 National vs international Share in the number of skiers of foreign visitors is less than one sixth of total attendance Internationals 14% Nationals 86% page 10

11 Recent market evolution LV/01/04/2015

12 page /11 Europe -Alps Skier visits (million) % 2000/ / / / / / / / / /10

13 Europe -Alps Attendance is still on a growing long term trend in some countries really? Evolution of the 5 years average attendance (million skier visits) / / / / / / /11 Austria France page 13

14 Europe -Alps... while on a rather declining trend in some others, with a reversal of tendency for Italy Evolution of the 5 years average attendance (million skier visits) / / / / / / /11 Italy Switzerland page 14

15 page /11 North America Skier visits (million) % 2000/ / / / / / / / / /10

16 North America Mature markets; USA however successfully fighting against decline in visitation Evolution of the 5 years average attendance (million skier visits) /052005/062006/072007/082008/092009/102010/ Canada USA (right) page 16

17 Europe Other western countries Skier visits (million) % 2000/ / / / / / / / / / /11 page 17

18 Europe Other western countries Norway still showing some real growth trend, while Andorra suffering Evolution of the 5 years average attendance (million skier visits) / / / / / / /11 Andorra Spain Finland Norway Sweden page 18

19 page /11 Asia -Pacific Skier visits (million) / / / / / / / / / / %

20 Asia -Pacific Decline in Japan, growth in China and South Korea, maturity in Australia / New Zealand Evolution of the 5 years average attendance (million skier visits) / / / / / / / South Korea Australia New Zealand China Japan (right) page 20

21 New lifts New lifts deliveries by regions Various Europe East Asia America Alps page

22 Lifts -evolution United States Canada Switzerland France Austria Italy renewal rate Georgia Korea, South Serbia Latvia Kazakhstan Belarus Armenia 0% 20% 40% 60% 80% 100% page 22

23 Market drivers LV/01/04/2015

24 World evolution Skier visits of top players (in million) / / / / / / / / / /11 Sweden Spain Slovenia Norway New Zealand Korea, South Germany Finland China Australia Andorra United States Switzerland Japan Italy France Canada Austria page 24

25 In search for correlation... Majors : despite GDP growth and tourism still developing, skier visits follows and other pattern on a 100 basis for International tourists arrivals Overnight stays Skier visits GDP page 25

26 In search for correlation... Challengers : pace of development of ski has been stronger than the other indicators! on a 100 basis for 2001 International tourists arrivals Overnight stays Skier visits GDP page 26

27 Weather -sun Sunny days do not guarantee a good ski season Switzerland 32'000' '000' '000'000 26'000'000 24'000' '000' '000' / / / / / / / / / / /11 Skier visits Sunny days (score) page 27

28 Snowfall Visitation at ski resorts is not so well correlated with snowfall either (example : USA) RRC Associates page 28

29 Exchange rates Weak GBP has globally low impact on attendance; strong CHF may have some (to be confirmed) Alps (Eurozone) Switzerland 1,80 160'000'000 3,00 35'000'000 1,60 1,40 1,20 1,00 0,80 0,60 0,40 0,20 0, skier visits Austria / France / Italy '000' '000' '000'000 80'000'000 60'000'000 40'000'000 20'000'000 0 rate GBP/EUR 2,50 2,00 1,50 1,00 0,50 0, '000'000 25'000'000 20'000'000 15'000'000 10'000'000 5'000'000 skier visits Switzerland rate EUR/CHF rate GBP/CHF 0 page 29

30 So is Internet the market driver? LV/01/04/2015

31 The growth of Internet does not seem to correlate with development of attendance at ski resorts! 3'000 2'500 2'000 Estimated Internet users (mio) Skier visits (mio) 1'500 1' page 31

32 Ski resorts & Facebook fans Nice to have, but still not the market driver! Facebook fans in % of skiers in resorts > 1 mio skier visits United States Andorra Canada Sweden Spain Austria Korea, South Switzerland France Italy 0% 2% 4% 6% 8% 10% 12% Survey page 32

33 Online sales (ski passes) Only 3% of tickets sales done online in Switzerland (survey 2009/10 winter season) online sales 3% others 97% page 33

34 Internet impact Internet may bring positive aspects... But they are limited and mitigated by negative ones. Marketing operation mode has changed, but this does not enable enough market development (swaps!) Internet is before all a powerful sales and promotion tool towards existing customers Mountain destinations can take advantage of it, but not all do well (conservative environment) Competition increased and has been enhanced by Internet The benefits of Internet are also available to all competing industries page 34

35 Internet impact Positive aspects Enhances communication Facilitates bookings and travel arrangements Negative aspects Increases competition (direct / indirect) Web is by itself competing Facilitates daily packages sales Make snow conditions more transparent for daily skiers (with some drawbacks!) Increases the impact of soft factors (psychological effects) Does not help to learn skiing and does not facilitate the praxis!!! page 35

36 Internet drives globalisation International connexions page 36

37 Global or local? Globalisation does not bring more clients at ski resorts! Mountain tourism is before all local, the web will not make it global : Traditional industry Weigh of international customers is limited for most ski destination countries International catchments areas are limited Markets size Issue of transportation Travel time & cost Saturation of airport at ski destinations Overseas skiers have always been anecdotic minorities page 37

38 Conclusion Ski market is peculiar Not globally correlated with variation of worldwide tourism & economy Internet is a new sales & marketing channel mostly towards existing customers So what is the driver of attendance at ski resorts? page 38

39 The winning combination S now La combinaison gagnante S un S erene economy S oft factors E nneigement E nsoleillement E conomie E tat d esprit page 39

40 Further reference Page «Publications» page 40

41 19, Margelle CH Geneva Tel / fax/ voic Website : LV/01/04/2015

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