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Tourism Market Research Galveston Island, TX

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Tourism Market Research Galveston Island, TX February 2020 Tourism Market Research Galveston Island, TX www.grayresearchsolutions.com Table of Contents Project Overview Goals & Objectives 5 Methodology 5 Insights Overview 7 Findings Immersion & Reconnaissance 12 The Visitor Profile Study (Intercepts) 28 Understanding Lodging 49 Hotel Occupancy Tax Analysis Smith Travel Research Analysis GRS Lodging Study: Hotels GRS Lodging Study: Vacation Rentals Understanding Attractions 65 Attractions Managers Survey Attractions Patrons E-Survey Understanding Perceptions of Galveston 84 Digital Ethnographic Perception Study Understanding Leisure Visitors 113 Visitor Profile Study (Intercepts): Leisure Visitors Vacation Rental Guest Survey Insights & Implications Overall Insights 156 Implications: Strategic Recommendations for Galveston Island 158 Appendices Appendix A: Tables A.1: Combined Visitor Data 161 A.2: Combined Attractions Patron Data 164 A.3: Generational/Party-Type Graphs, Vacation Rental Guests 170 A.4: Leisure Visitor Segment Infographics 173 A.5: Love Letters to Galveston Verbatims 175 Appendix B: Questionnaires B.1: Lodging Survey 181 B.2: Attractions Manager Survey 182 B.3: Attractions Patrons Survey 183 B.4: Digital Ethnographic Perception Study 187 B.5: Visitor Intercept Survey 194 B.6: Vacation Rental Guest Survey 196 Project Overview Goals & Objectives Methodology Insights Overview Overall Goals and Objectives Project Overivew The overarching goal of this project was to identify Galveston’s highly engaged (and therefore high value) visitors, in order to aid and inform the development of targeted marketing and messaging strategies. We aimed to understand all types of visitors including how long they stayed, how often they came, and how they told the stories of their trips after they returned home. We also aimed to understand perceptions and beliefs of Galveston among potential visitor audiences including why some haven’t visited Galveston. Thus, this project set out to complete the following objectives: ● Understand and document the current profile of Galveston Island visitors ● Identify and segment “high-value” (longer staying, higher spending) visitors ● Understand the perceptions and images of Galveston Island in the minds of visitors AND non-visitors ● Identify opportunities for increased visitation during low periods (days of the week and sea- sons) Project Methodology Methods to Insights to Recommendations In order to gain the richest and most robust insights and, in turn, develop the most useful research- based recommendations, GRS employed a variety of methods (the gray column on the left). Each method was designed to illuminate a variety of insight areas, in conjunction with other methods. In other words, each method works with the others to provide data on a range of topics. Below we have outlined the methods, their goals, and the response (as appropriate). Tourism Market Research 5 Destination Immersion & Reconnaissance The GRS Team visited Galveston Island October 22-28, 2018 to meet with tourism partners, assess the destination, and experience the available attractions and lodging facilities. Visitor Intercept Survey Professional GRS researchers completed 409 in person intercepts in hotels, attractions, beaches, campgrounds, over all 5 seasons: Spring, Summer, Fall, Holiday, and Winter. From these inter- cepts, we discovered visitor profiles by segment, identified high-value visitors, and seasonal differ- Project Overivew ences. This data also contributed to the other research goals of this project. Lodging Study A lodging study was conducted during 2019 to understand the visitor mix (% of visitor types/seg- ments) of overnight visitors in Galveston Island. Lodging property managers are good sources for understanding the types of visitors that stay with them. This study is comprised of: ● Hotel Tax Occupancy Analysis ● Smith Travel Research (STR) report analysis ● Confidential lodging partner survey ○ From the confidential lodging partner surveys, we received 19 hotel responses, 6 V/R Campground responses, and 6 vacation rental management company responses. Attractions Manager Survey An attractions study was conducted during 2019 to understand visitation patterns from the attrac- tions managers. We received 12 responses. Attractions Patron E-Survey To understand attractions patrons, including the proportion of locals to visitors and visitor behaviors in the destination, GRS sent an online survey out to 8,664 Island Pass Purchasers. From April to July 2019, we received 549 responses. Vacation Rental Guest Survey GRS conducted an online survey of vacation rental guests, using emails provided by vacation rental management companies. We collected 1,486 responses in order to better understand visitors who stay in vacation rentals and how they differ from other visitors. Digital Ethnographic Perception Study To gain a deeper understanding of how Texas leisure travelers perceive Galveston, a digital bulletin board was conducting during May 2019. Individuals from Houston, Dallas, San Antonio and Austin were invited to participate and share their perceptions, regardless of whether they had actually vis- ited Galveston in the past or how recently they had been there. In total, 79 participants completed all the questions and exercises. Insights Using the data we collected in the aforementioned methodologies, we were able to find insights into: ● Visitors (and non-visitors) ● Attractions and their patrons ● Lodging, including hotels, vacation rentals, and RV Campground/Campsites ● Seasonal differences in travel to Galveston Island. Galveston Island 6 Implications Project Overivew Based on these insights gained from the above methodology, GRS has provided an outline of stra- tegic recommendations for marketing and planning decisions based on research findings. Insights Overview This section provides some key highlights and a brief summary of our findings and insights in the following chapters. Immersion & Reconnaissance ● Galveston is Texas’s beloved, historic and FUN beach. ○ The sheer volume of attractions, dining, retail, services, etc. in Galveston, along with its historic appeal and lively atmosphere, result in visitors describing Galveston as the FUN beach. They love the beach itself, the history of the Island, and they love all the fun things to see and do. No other beach in the multi-state region can claim this kind of history or volume of infrastructure or FUN. In Texas, with 600 miles of coastline, this is Galveston’s distinction. ● Lively, FUN Downtown Historic Strand District ○ Visitors find this area irresistible, and again, it’s a source that generates steady repeat visits. ● Significant history & historical visitor interest ○ There is so much history in Galveston, and it is obvious in both the historic architecture and activities. ● Sheer volume of activities is impressive and inspires numerous repeat visits. ○ Many visitors our Reconnaissance Team encountered reported repeat trips to Galveston. ● Easily visible, and large quantity of Nature ○ Birding, dolphins, sea life, etc. Nature is on full display in Galveston, is highly visible, easy to access, and delivers on volume and quality. ● Good quality as well as quantity of infrastructure (e.g. roads, hotels, dining, attractions). ● Hotels need to be more proactive with visitor information ○ This was the single biggest negative issue our team encountered. Visitors tell us repeat- edly they want to find visitor information at their hotels/lodging. Lodging partners need to know this and make GICVB Visitor Guide highly visible at their front desks or in the rooms/units. The Visitor Profile Study ● From this central study, GRS was able to determine an overall visitor profile and dive deeper into the differences across visitor segments (Leisure, Business, Meeting/Group, Cruisers). ● The overall average visitor ○ is a college-educated Gen Xer from Texas who identifies as a woman. ○ is a leisure visitor. ○ travels with 1 to 2 other adults (her partner or maybe friends). ○ has been to Galveston before. ○ plans visits to Galveston in 2 weeks or less using prior knowledge of the town and the internet to get their trip planned out. ○ drives into town (since Galveston is conveniently only a few hours away at most) ○ stays in a hotel. ○ The visitor will go out to eat, maybe shop, hit the Historic District, and/or visit Moody Gardens. They also visit the beach (Seawall and/or Jamaica). All the while, our average Tourism Market Research 7 travel is posting on Facebook and Instagram, telling her friends and family (and follow- ers) about her experience. ○ Our average traveler had a great time visiting, so she rates her experience at a 5 out of 5, and gives high ratings to all the amenities in Galveston. She’ll also be likely to recom- mend her experience to family and friends. ● Some notable differences across segments include: ○ Leisure, Business, and Meeting/Group visitors all stayed 3 to 4 nights, but Cruisers only stayed, on average, 1.3 nights. ○ The overall average for visitor spending was about $350 per party per day, but Business Project Overivew visitors only spent about $226 per party per day. ● Overall, the average ratings for Galveston and its amenties were excellent and nothing was below 3.5. Understanding Lodging To develop a clear and complex picture of Galveston’s lodging products, GRS collected data via Hotel Occupancy Tax records, Smith Travel Research, and our own confidential lodging survey of hotels, campgrounds, and vacation rentals. ● Galveston is a seasonal leisure destination, with strong
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