Transportation Challenges in DEVELOPING TOURISM — Distance travelled

Transportation Challenges in DEVELOPING TOURISM - Distance travelled from markets to attractions - Available Infrastructure

Area & size of Canada – presents a challenge to tourists DISTANCE is an expense in terms of both: - Travel time & Travel expense (gas & maintenance) • Travel across Canada - Canada is larger than USA by 200, 000 sq km. • Travel to population centres – Canada’s population – is 34 Million USA is 330 M. – Least populated area of Canada is the far north – Yukon, NWT, Nunavut (Yukon & NWT 52, 000 people)

Great distances • Toronto to Saint John (New Brunswick) 1480 km. • Toronto to Miami (Florida) 2370 km. • Toronto to Vancouver (British Columbia) 4492 km. DO THE MATH - How many hours would it take you to drive these distances ? - What would be your average speed ?

Moving the tourist across Canada (Modes) Car – car rentals (Hertz, Avis, Enterprise) Recreational Vehicles or Motor Coach tours Air (Air Canada, Westjet) Rail (Via Rail, Rocky Mountaineer) Fly – drive & Rail – drive packages (referred to as multi-modal transportation) • Use existing transportation networks - highways, rail services, waterways • • •

Ontario web site provides distance calculator that helps travellers plan their road trip www. gov. on. ca

Ministry of Transportation • Increasing need to reduce congestion on southern Ontario highways • Ontario is the most populated province • Ontario highways are the congested highways • Urban shift – Metro Toronto & commuters • Tourists compete with residents - ON highways

Built Highway 407 - an Express Toll Route (ETR) • multi-lane, electronic highway running 108 kms across the top of the Greater Toronto Area, from Highway 403 at the QEW in Hamilton to Brock Rd. in Pickering. • 1 st phase opened in 1997 • was constructed in a partnership between a private company and the Province of Ontario. • It is now owned by 407 -ETR International Inc. • http: //www. 407 etr. com/

How does 407 relate to Tourism • • Faster travel - around – to – out of Toronto Better fuel efficiency & less wear on brakes Less time in traffic means more personal time Time to stay in the city – at the hotel or attraction Increase length of stay >> increased spending Increased spending >> increased experience Increase experience >> better value (time & money) • Better value >> more likely to return or recommend

Expense in using 407 Fees, Billing • Fees vary - weekday peaks, weekends & off-peak periods, and at night. • 70% of tolls are collected using electronic transponder that deduct charges from prepaid accounts • 30% using a license plate photography billing system. • Save time – actual avg. speeds on Highway 407 are double that of the busier free highways. (hwy 401)

EXPANSION OF 407

Mass transportation MOTOR COACH • approximately 400 companies operate 3, 500 motor coaches in Canada • Services include: scheduled, charter, tour, shuttle, transit, commuter and contract • - 107 M km of inter-city scheduled service - 88 million km of Charter/tour groups • Motor coach costs range from $500, 000 to $1 M

Motorcoach Facilities & Design • • • Reclining seats with foot rests Increased leg room Wraparound windows – better visibility AV equipped with individual seat controls Upgraded washroom facilities Executive coaches have lounge seating

Motor Coach - # passengers - 54/56 most common - some 48, some 35 - smaller mid size 29

• http: //www. youtube. com/watch? v=Vovy. Jx 4 KZs&feature=youtube_gdata_player • http: //www. youtube. com/watch? v=24 dl. Jsr 44 w&feature=related

Organized Group Travel Reasoning: why are people travelling more • Retiring earlier • More disposable income • Better educated about Tourism destinations • Other reasons such as ………, ………… Why is motorcoach travel so popular ? - list 10 reasons

Benefits of Motor Coach travel • Buses are the safest vehicles on the road • Environmentally friendly. 1 motor coach removes 27 cars from highway • Previous studies showed intercity bus was - twice (2 X) as fuel-efficient as train service, - 3 X as efficient as automobiles & mass transit - 4 X times as fuel efficient as commercial air

What is a Tour Operator ? • A person or company that organizes tours – combines travel, sightseeing & services as a pkg. - transportation - land (coach, rail) - water (ferry, cruise, glass bottom) - air (airplane, helicopter, hot air balloon) - includes - accommodation, meals (F&B) - tours/sightseeing, guide services

Attracting Motor Coach Tourism In Tourism Hospitality, in order to maximize sales you need to attract motor coach groups to your business: • Hotel, resort • Attraction • Festival, special event • Convention Centre

Ask yourself - Do you want groups ? • What do you have to know about groups? – Such as - • What do you have to do to attract groups? – Such as - • Can you service / satisfy group needs ? • What do you have to give up ? • What are the rewards (benefits of groups)?

BIG BUSINESS - Toronto receives 25, 000 motor coach tours/ year • economic impact estimated at $140 M • Overnight motor coach tour generates $7000$12, 000 per day in economic activity (inc. meals, accommodations, entertainment & souvenirs) • avg. tour passenger spends over $150/day, compared to $90 by those travelling in cars. • Sightseeing tours in downtown Toronto alone generate $4 -6 million in direct revenue

NIAGARA FALLS • More than 43, 000 motor coaches visit Niagara Falls each year • average of 120 /day in the peak summer tourist season; 80 /day the rest of the year.

OTTAWA • Over 2, 500 motor coaches visited Ottawa on one-day tours in 2000. • over 4, 700 motor coaches visited Ottawa on overnight tours in 2000. • Motor coach tours brought almost 400, 000 people to Ottawa in 2000. • Avg. visitor spends $185 visiting the capital

motorcoach tours bring predetermined # of patrons - make reservations many months in advance Confirm weeks in advance Reconfirm just before arrival Pax arrive at one time (usually by coach) Quick in /quick out: lead by a group leader Order from a limited (group) menu Pre-authorized or group charge – put on 1 bill

Motor coach (group) cautions • • • Late – backs up other groups No-Shows – loss of revenue Upset 1 group in the series (lose the series) Discounting – loss of potential earnings Preset room and reserve space for “group” Others:

Importance of Motor Coach groups to H/T Booking – one contact to deal with Bring groups to your property (volume - #) They are quick in – quick out - “turnaround” This allows for new visitors to your property May stay less time than average tourist Tend to “impulse buy” (higher expenditure per) • Led by a “Tour Manager”, Group Leader, Guide which takes care of group arrangements • • •

• May fill in slow periods – “shoulder seasons” • Payment may be on a “master account” rather than paid by the Tour Manager • Passengers (“pax”) may return (“repeat”) with family & friends or provide “word of mouth” • For Accommodation – they usually are in a “block of rooms” - same floor or same wing – Discuss benefits

Restaurants, Tourist Attractions, Hotels & Fine Dining – all of these should belong to & work with: • OMCA – Ontario Motorcoach Association • NTA – National Tour Association • ABA – American Bus Association

Industry Associations Canada • Ontario Motor Coach Association OMCA • Motor Coach Canada United States • American Bus Association ABA • National Tour Association NTA

OMCA Mission Statement • To enhance the growth & viability of our members' organizations, and the safety and quality of industry services through education, awareness and advocacy. OMCA Vision Statement • The OMCA's vision is to be a member-driven organization that is recognized by members, government officials, and industry stakeholders as a leader in the transportation and tourism industries, known for its integrity, commitment and philosophy of continuous improvement. • The OMCA will be an indispensable business partner for bus and tour operators by creating opportunities to increase revenues and decrease expense by raising the profile of the industry and the quality of services delivered by members.

Ontario Motor Coach Association MARKETPLACE - Over 19, 000 one-on-one appointments for tour operators & tour suppliers - Business contacts - over 95% of the delegates booked business

2010 Conference - Niagara Falls • http: //www. youtube. com/watch? v=Ug 23 v. Szy. SNU • http: //www. Niagara. Falls. Hotels. com welcomes the OMCA - Ontario Motor Coach Association:

OMCA provides Market research

320 operator companies (buyers) attend Marketplace Buyers have a maximum of 174 appointments throughout the week. Sellers have a maximum of 58 appointments Sellers move from Buyer to Buyer every seven minutes

FYI – other research data Motorcoach Census Update 2010 http: //www. buses. org/files/Motorcoach%20 Census%202008%2012 -18 -2008. pdf to access the study report for Motorcoach Census 2008. http: //www. buses. org/files/Motorcoach%20 Census%20 Update%202009. pdf to access the study report for Motorcoach Census Update 2009.

Group Connect - online technology allows Association members to go online Request for Proposal (RFP) http: //www. youtube. com/watch? v=EUda. KUokr 54 http: //www. youtube. com/watch? v=Np. R-k 1 ap 4 Sg