PED-15-2017-Pres-2017 Annual Report

Muskoka Tourism 2017 Annual Report

PED December 2017

Page 1 PED-15-2017-Pres-2017 Annual Report

Industry Performance

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Page 2 PED-15-2017-Pres-2017 Annual Report Accommodation Sector

There have been year over year increases in occupancy with July and August as peak months. 2017 is expected to be a strong year.

This monthly occupancy chart also points to growth opportunities in off peak periods. (October – June)

REGION 12 - Algonquin Park, Almaguin Highlands, Muskoka and Parry Sound Annual Hotel Occupancy (2008-2016) Year Round Source: CBRE 3 2008 2009 2010 2011 2012 2013 2014 2015 2016

Occupancy % 49.8% 45.2% 48.7% 45.4% 44.8% 47.6% 47.7% 50.6% 51.0% Page 3 PED-15-2017-Pres-2017 Annual Report Ontario Accommodation Sector Muskoka’s accommodation sector has experienced year over year increases with 2017 expected to be a Occupancy Rate strong year. 70.00%

However, other Ontario destinations also experienced year over year 65.00% growth which keeps the gap in performance relatively constant. 60.00%

The opportunity is to increase 55.00% Muskoka’s market share at a rate faster than other destinations are 50.00% growing.

45.00%

Ontario Hotel Industry Statistics 40.00% RTO 12 Hotel Industry Statistics 2008 2009 2010 2011 2012 2013 2014 2015 2016

Hotel Occupancy (2008-2016) Year Round Properties

Source: CBRE 2008 2009 2010 2011 2012 2013 2014 2015 2016 4 RTO 12 49.8% 45.2% 48.7% 45.4% 44.8% 47.6% 47.7% 50.6% 51.0%

Ontario 61.4 % 57.0 % 60.2 % 61.0 % 61.5 % 62.2 % 64.0 % 65.1 % 67.5 % Page 4 PED-15-2017-Pres-2017 Annual Report

2017 Highlights

Page 5 PED-15-2017-Pres-2017 Annual Report

19.3 Million Digital Impressions *

To create awareness and promote the Muskoka brand, MTMA deployed extensive digital advertising campaigns:

• Facebook Impressions: 10 million + • Earned Media Digital Impressions: 7.2 million+ • Google Ad Impressions: 2.1 million +

* Reach - Total number of people who see an ad. * Impressions - An impression is counted each time an ad is shown. Reach X frequency of ad show = impressions 6

Page 6 PED-15-2017-Pres-2017 Annual Report 1 Million Website Visitors

In 2017, we reached the milestone of 1 million unique visitors to our website and approx. 600,000 outbound links to our members' websites.

2015 2016 2017 Change Over Three Years

Unique Visitors * 557,251 832,038 1,010,338 + 81%

Outbound Links ** 340,919 563,589 599,940 + 76%

* Unique Visitors – Used to measure and track a website’s audience. The number of unduplicated (counted only once) visitors to a website over the course of a specified time period. ** Outbound Links - The number of clicks from discovermuskoka.ca to one of our partner’s websites (ie. accommodations, attractions, etc). MTMA delivers qualified leads for our partners to close the sale.

Website Visitors Outbound Links Conversion Ratio - Visitors to Outbound Links Budget Cost Per Sales Lead

OTMPC 4,000,000 1,000,000 25% $40,000,000 $10.00 7 Major Destination 4,600,000 1,283,717 28% $3,000,000 $2.33

Muskoka Tourism 1,118,000 599,000 54% $600,000 $1.00

Page 7 PED-15-2017-Pres-2017 Annual Report Success in Search Engine Optimization Optimizing website content to show up near the top of organic search results is a measure of success. MTMA consistently ranks in the top 3 for organic search results on high competition keyword searches out of Toronto. Examples of our search engine optimization (SEO) success include:

Fall Getaways –1st in organic ranking Winter Getaways –2nd in organic ranking Ontario Romantic Getaways –1st in organic ranking Last minute cottage rentals –1st in organic ranking

Paid Ads

MTMA Ranked # 1 Organic Search Results 8

Page 8 PED-15-2017-Pres-2017 Annual Report Content Takes on a Life of its Own

In January, we released a piece of content about Bracebridge turning its downtown into an epic tubing hill and very quickly the news went viral.

In a matter of days, the piece had amassed: • 9.2K Shares • Reached 869,270 people • 17K likes • 884 comments • Web page that the piece linked to had 83,000 reads

Our efforts created an earned media opportunity with the festival being featured in Postmedia’s "One Tank Trips" column which blankets much of Southwestern Ontario 9

Page 9 PED-15-2017-Pres-2017 Annual Report

Recognition for Arrowhead Ice Skating Trail

Though MTMA efforts we have generated the following free media coverage:

• Top 50 Signature Winter Experiences in Canada by FlightNetwork • 19 Stunning Natural Rinks in the World by Travel+Leisure • One Tank Trips, featured in London Free Press + other Postmedia newspapers • Canadian Winter Activities for Folks who Don't Ski by Skyscanner • BlogTo shared our video on their Facebook - 130k+ views • Canada Keep Exploring shared our video on Facebook (127k+ views) and Instagram (60K+ views)

To maintain the Arrowhead Ice Skating Trail’s position as Ontario’s #1 winter tourism bucket list experience, Muskoka Tourism created an earned media opportunity with Travel + Leisure one of the largest digital travel magazines in North America and a subsidiary of Time Inc.

The result? The Arrowhead Ice Skating Trail is listed first on a piece about 19 Stunning Natural Rinks in the World by Travel+Leisure. This accolade will have a legacy impact, along with bragging rights as one of the world’s best for years to come. 10

Page 10 PED-15-2017-Pres-2017 Annual Report

Earned Media (Free Publicity)

We contact domestic and international media outlets (print, digital, social) to share attention grabbing travel stories about Muskoka earning free publicity. Here are 9 of our success stories in 2017 that generated 7.2 million digital impressions:

Toronto Sun – 750,000 digital readers, 1.24 million print readers; Exploring Cottage Country, Jim Byers (July, 2017)

HappyGreyLucky social influencer- 163,000 subscribers; A Family Weekend Getaway in Muskoka (July, 2017)

Canada Keep Exploring – 584,000 subscribers; Fall Colours (September, 2017)

Ontario Travel – 294,000 subscribers; Fall Colours (September, 2017)

Travel + Leuisure – 2.8 million subscribers; 19 Stunning Natural Ice Skating Rinks Around the World (January, 2017)

London Free Press – 51,000 subscribers, 199,000 print readers; Don’t flee the ice and snow, embrace it (January, 2017)

BlogTO – 420,000 subscribers; Muskoka Tourism Ice Skating Trail Video (January, 2017)

Canada Keep Exploring – 584,000 subscribers; Muskoka Tourism Ice Skating Trail Video (January, 2017)

Toronto Star - 1.6 million digital readers, 1.1 million print readers; Tom Thomson (July, 2017) 11

Page 11 PED-15-2017-Pres-2017 Annual Report Earned Media

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Page 12 PED-15-2017-Pres-2017 Annual Report Earned Media

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Page 13 PED-15-2017-Pres-2017 Annual Report Video Marketing 1.3 Million Views Progressive, captivating, engaging, our video marketing campaigns produced a great deal of excitement and exposure for Muskoka. In total, our videos received 1.3 million views in 2017.

Arrowhead Ice Skating Trail Video: Total number of views: 322,000 • Shared through Canada Keep Exploring (January 31, 2017) • Shared through BlogTO (January 22, 2017)

Fall Colours Video Marketing Campaign: Total number of views: 471,000 • Shared through Destination Canada, OTMPC and Muskoka Tourism

You Been? Video Marketing Campaign: Total number of views: 480,000 A campaign with objectives to drive engagement and social sharing. Through the campaign, we created thousands of positive comments, likes and shares • 23,000 visits to our website to learn more • 9,000 likes • 1,000 comments 14 • 2,400 shares

Page 14 PED-15-2017-Pres-2017 Annual Report Video Marketing

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Page 15 PED-15-2017-Pres-2017 Annual Report Savour Muskoka

Muskoka Tourism is taking a lead role in marketing the District as a culinary destination, revitalizing the Savour Muskoka brand. In 2017, we launched the Savour Muskoka Culinary Trail. Creating new marketing opportunities for our culinary artisans is consistent with recommendations from our brand revitalization strategy.

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Page 16 PED-15-2017-Pres-2017 Annual Report Muskoka LIVE

We’ve been working closely with our entertainment partners to help market their shows and performances to out-of-town visitors.

• muskoka.live - a live entertainment portal has been built into our website • Produced and published 12 pieces of content in partnership with our live entertainment partners • Kentucky Headhunters, Hendrix 50th Anniversary, Walter Trout, Hawksley Workman, Piaf Encore, The Jerry Cans, Huntsville Jazz Festival, The Last Waltz, Last Night of the Proms, Old Wives' Tales, SWING!, Sexy Laundry 17

Page 17 PED-15-2017-Pres-2017 Annual Report Muskoka LIVE

Muskoka LIVE Marketing Total Campaign Post Reach * 201,831 Impressions * 393,396 Likes, Comments, Shares 1,640 Content Reads 4,500 Resulting outbound links to 1,062 partner’s websites

* Reach - Total number of people who see an ad. * Impressions - An impression is counted each time an ad is shown. Reach X frequency of ad show = impressions 18

Page 18 PED-15-2017-Pres-2017 Annual Report Muskoka Signature Experiences New this year, our Muskoka Signature Experience program has been a tremendous hit with partners and consumers.

• Muskoka Signature Experience Print Map – 60,000 copies distributed • Website Landing page with over 14,000 views • Content Marketing Program – 13 pieces produced and published through Muskoka Tourism channels 19

Page 19 PED-15-2017-Pres-2017 Annual Report Muskoka Signature Experiences

Signature Experience Total Some of our content marketing highlights: Content Marketing Campaign • Muskoka’s Top Chefs Show off their Favourite Dish Post Reach * 837,416 • Family Fun in Muskoka Impressions * 1,896,780 • Ten Ways to Experience Muskoka Chautauqua • Three Exceptional Paddling Experiences Likes, Comments, 10,388 • Cruise and Dine on Beautiful Lake of Bays Shares • Five Muskoka Artists Share their Favourite Piece Content Reads 30,328 • Fall Colour Horse and Wagon Rides Resulting outbound 6,741 • Muskoka Steamships are a Hot Ticket this Fall links to partner’s • Take a Fall Boat Ride to an Unforgettable Dinner websites • Our Favourite Fall Colour is Cranberry Red * Reach - Total number of people who see an ad. • Cheers to Seasonal Beers * Impressions - An impression is counted each time an ad is shown. • The Ultimate Fall Colour Experience Reach X frequency of ad show = impressions • The Muskoka Signature Experience Collection 20

Page 20 PED-15-2017-Pres-2017 Annual Report New State of the Art Website

Launching a new website in March 2017 was one our major accomplishments. Since then we’ve received very positive feedback from visitors, members and stakeholders. Here is what’s new and improved:

• Progressive! Mobile and Tablet users on our website officially surpassed desktop users in 2016, and our mobile friendly, responsive design is an engaging experience for all devices.

• Trip Planning Itinerary: this new capability offers users the opportunity to add things to do, accommodations, events, restaurants, and packages to their itinerary and print it off for later. This is one of the most advanced online trip planners in the country!

• Mapping capabilities: Our website features one of the most comprehensive mapping technologies in Canadian tourism! Test it our with our Savour Muskoka Culinary Trail.

• New Regions Pages: It was important for this new website to leverage the Muskoka brand and create awareness about each area municipality. As a result, each municipality has its own regional page that highlights things to do, where to stay, events and restaurants in the area.

• Online chat functionality, so our travel counselors can offer visitors advice in real time, while they are on the website. This deeply strengthens our role in visitor information services.

• Inspire! Our multimedia-first design uses imagery and interactivity to inspire the traveler to choose Muskoka first and most often. 21

Page 21 PED-15-2017-Pres-2017 Annual Report 2017 Visitor Guide

This second edition of the Muskoka Visitor Guide continues to be a leading example of how Muskoka Tourism and our local stakeholders are aligned and collaborating to grow tourism. The Visitor Guide is a model partnership between Muskoka Tourism and our five Chambers of Commerce.

• 140,000 copies distributed, making it the largest single issue magazine in Muskoka by a factor of 5. • The creative direction features dramatic photography and strong editorial content. • Distributed through high traffic visitor information centres in Ontario and US border states, as newspaper inserts in key GTA markets and extensively within Muskoka. 22

Page 22 PED-15-2017-Pres-2017 Annual Report Muskoka Maple Trail

The Muskoka Maple Trail is another example of how Muskoka Tourism works collaboratively with local Chambers of Commerce. The Muskoka Maple Trail initiative was launched to boost tourism in March and April, shoulder / off-season travel. 2017 Highlights include:

• Muskoka Maple Trail now has a print map, thanks to a partnership between Muskoka Tourism, Huntsville / Lake of Bays COC, RTO 12, and 20+ private businesses • We’ve been able to create and promote community loops in Bracebridge, Gravenhurst, Muskoka Lakes, Huntsville and Lake of Bays, in partnership with local Chambers of Commerce 23

Page 23 PED-15-2017-Pres-2017 Annual Report Muskoka Maple Trail

Muskoka Maple Trail Total Some of our content marketing highlights: Content Marketing Campaign • Muskoka Maple Trail Starts March 13 Post Reach * 394,644 • Where to Pick up Your Muskoka Maple Impressions * 602,410 Trail Map Likes, Comments, Shares 13,153 • Muskoka’s 3 Breweries Brewing up Maple Content Reads 10,060 Fun Resulting outbound links to 1,931 • Muskoka’s Best Maple Baked Goodies partner’s websites • Best Spots for Maple Breakfast • Muskoka’s Chefs get Inspired by Maple Syrup • Muskoka’s Sugar Bushes Inviting you to their Maple Weekend * Reach - Total number of people who see an ad. • Muskoka Sugar Bush Tours * Impressions - An impression is counted each time an ad is shown. Reach X frequency of ad show = impressions 24

Page 24 PED-15-2017-Pres-2017 Annual Report Winter Marketing Campaign

Winter 2017 Content Total Some of our content marketing highlights: Marketing Campaign Post Reach * 1,802,012 • Christmas Holiday Gift Certificates • Travel + Leisure Names Arrowhead to Top Impressions * 3,298,957 Rinks in the World • Port Carling Winterfest Turns 50! Likes, Comments, 102,309 • Bracebridge Redefines ‘Night on the Shares Town’ • Muskoka Snow Globe Report Content Reads 125,568 • Bracebridge Turns Downtown into Epic Tubing Hill • Arrowhead Ice Skating Trail Open for * Reach - Total number of people who see an ad. * Impressions - An impression is counted each Season time an ad is shown. • Top 10 Must-Do Winter Activities Reach X frequency of ad show = impressions • Valentine’s Day in Muskoka 25

Page 25 PED-15-2017-Pres-2017 Annual Report Fall Marketing Campaign

Winter 2017 Content Total Some of our content marketing highlights: Marketing Campaign Post Reach * 841,824 • Fall Concerts in Muskoka • Fall Colour Update: Report: Colours are Impressions * 1,327,278 Peaking • Fall Colour Update: The Time is Now Likes, Comments, 15,182 • Fall Colour Update: The Golden Encore Shares • Fall Colour Update: Colours are Early • Can't Miss Fall Events Content Reads 27,888 • Lady Muskoka adds 2 more cruises to close 2017 season • Last chance to take the Cranberry Plunge * Reach - Total number of people who see an ad. in 2017 * Impressions - An impression is counted each time an ad is shown. • Best Places to Take a Fall Photo Reach X frequency of ad show = impressions • Bakeries & Fall Colour Tour • Best Ways to Experience Fall Colours 26

Page 26 PED-15-2017-Pres-2017 Annual Report Social Content Bloggers

One of our marketing programs for 2017 was to create brand partnerships with social influencers.

Fun People, Craft Beer, Great Food & Afternoons on the Water Make for a Magical Muskoka Weekend By Jim Byers • 180,034 people reached • 419,633 impressions • 2,402 likes, comments and shares • 4,921 reads of the content piece

This partnership resulted in an earned media opportunity in the Toronto Sun

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Page 27 PED-15-2017-Pres-2017 Annual Report Social Content Bloggers

Another brand partnership was with HappyGreyLucky, a Toronto mom with a following of 166K on Instagram and 25,000+ monthly users of her blog.

A Family Weekend Getaway in Muskoka By HappyGreyLucky • 94,644 people reached • 277,022 impressions • 570 likes, comments and shares • 3,402 reads of the content piece

The partnership also had 2 posts through HappyGreyLucky’s large Instagram following – See 1 of the posts here 28

Page 28 PED-15-2017-Pres-2017 Annual Report Meetings Muskoka

Meetings business provides higher yield and longer stays, growing capacity midweek and off-season.

• Meetings Muskoka Website • 40 RFPs submitted • Totaling 2,471 room nights

• Meeting Planner FAM Trip • Hosted 1 FAM trip for 7 meeting planners, visiting 10 Muskoka properties in June, 2017

• Self Guided Meeting Planner FAMs • Coordinated 3 self-guided FAM trips for meeting planners, providing complete itinerary planning services 29

Page 29 PED-15-2017-Pres-2017 Annual Report Summer Employment Program

Finding seasonal employees has become increasingly difficult for Muskoka’s accommodation, golf, and attraction sectors. MTMA launched a partnership with 16 businesses, marketing Muskoka as a great place to work during the summer.

Campaign highlights: • Ad reached 99,504 students in Ontario with the call to action of working in Muskoka. • There were 9,708 page views of our landing page by our targeted demographic of university / college students • Resulting in 6,428 outbound links to our partner’s websites to learn more about 30 their employment opportunities

Page 30 PED-15-2017-Pres-2017 Annual Report Visitor Information Services

• On Hwy 11, Muskoka Tourism provides visitor information and rest area services 7 days a week from 9:00 AM to 5:00 PM with extended hours in July and August until 7:00 PM.

• Onsite we provide travel counselling services, literature distribution, retail sales featuring Muskoka products, an artist in residence, display space for festivals/events/attractions and washrooms.

• In 2017, with support from the South East Georgian Bay Chamber of Commerce and Georgian Bay Township, we’ve opened a self-serve travel information kiosk at the Petro Canada station in Port Severn.

Hwy. 11 Visitor Centre 2011 2015 2016 2017 (estimated) Change Since 2011

Attendance 59,411 33,299 31,553 27,963 - 53%

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Page 31 PED-15-2017-Pres-2017 Annual Report Visitor Information Services

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Page 32 PED-15-2017-Pres-2017 Annual Report Muskoka Tourism Membership

• In 2017 MTMA membership declined by 10% over the previous year. The arts/culture sector represents the largest turnover in membership.

• Since 2015 the key benchmark of membership support from the commercial accommodation sector has remained stable. Our members represent 74% of the of the available guest rooms in Muskoka.

• Since 2015 membership support from the important attractions sector has also remained stable.

• In 2018 the goal is to maintain membership renewals at 90% and grow the membership base from 272 to over 300. 33

Page 33 PED-15-2017-Pres-2017 Annual Report Key Performance Indicators

KPI #1: Website Unique Visitors This is the strongest measurement of whether or not MTMA is successfully creating interest in Muskoka as a tourism destination. Our ability to create Muskoka brand awareness, engage our digital audiences and show year over year growth is essential. • Over the past 12 months Muskoka Tourism brought 1,010,338 unique visitors to our website. This represents an 81% increase over 3 years.

1,200,000

1,000,000 1,010,338 800,000 832,038

600,000

557,251 400,000

337,173 200,000 235,972

0 2013 2014 2015 2016 2017 34

Page 34 PED-15-2017-Pres-2017 Annual Report Key Performance Indicators KPI #2: Website Outbound Links This is the strongest measurement of MTMA’s ability to not only engage potential visitors in the Muskoka experience through our digital efforts but also convert this interest into qualified leads for our members and stakeholders to follow up and close the sale. When our website visitors see something of interest they click through to a member site to learn more or make a purchase. • In 2017 we generated 599,940 qualified leads from our website to our members and stakeholders. This represents a 76% increase over 3 years. Our members consider MTMA as a top source for their lead generation.

700,000 600,000 599,940 500,000 563,589 400,000 300,000 340,919 200,000 231,067 100,000 157,910 0 35 2013 2014 2015 2016 2017

Page 35 PED-15-2017-Pres-2017 Annual Report Key Performance Indicators KPI #3 Membership Market Share by Municipality This KPI is the strongest measurement of MTMA’s ability to prove value and engage membership.

In 2017 there were 272 members which represents a 10% decline over the previous year. The largest turnover was in the arts/culture sector. All other member categories remained stable. In 2018 our goal is to maintain membership renewals at 90% and grow the membership base to over 300.

Muskoka Lakes Bracebridge 17% 21%

LOB 11%

Gravenhurst 25% 36 Huntsville 20% Greorgian Bay 6% Page 36 PED-15-2017-Pres-2017 Annual Report Key Performance Indicators

KPI #4 Membership Net Promoter (Intent To Recommend) Score Net Promoter or Net Promoter Score (NPS) is a management tool that can be used to gauge the loyalty of a firm's customer relationships. It serves as an alternative to traditional customer satisfaction research. NPS has been widely adopted with more than two thirds of Fortune 1000 companies.

Among other things, this KPI measures our membership’s willingness to recommend membership in MTMA to other tourism business.

Muskoka Tourism has scored very highly, meaning our members are willing to recommend MTMA to others.

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Page 37 PED-15-2017-Pres-2017 Annual Report Key Performance Indicators KPI #5 Advertising / Marketing Funding Performance This is the strongest measurement of whether or not the board and employees at MTMA are able to leverage MTMA’s existing marketing dollars each year and to what degree this is expected. • In 2017 every dollar invested by the District was matched by revenue from members and other levels of government. Total Revenue of $600,000.

Membership

Province

Membership District of Province Muskoka Advertising 50% District of Muskoka Advertising

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Page 38 PED-15-2017-Pres-2017 Annual Report Destination Marketing Organization (DMO) Annual Expense Allocations* *2015 DMO Organizational & Financial Profile Study

2017 Muskoka Tourism Expense Allocations Personnel Costs 34% Program Expenses 53% Administrative / General Expenses 13%

Page 39 PED-15-2017-Pres-2017 Annual Report Key Performance Indicators KPI #6 Reporting To The District of Muskoka

There are a variety of communication tools, between MTMA, the District of Muskoka and all municipal officials in Muskoka:

• An annual Performance and Accountability Agreement with the District; • Regular updates provided to the District’s PED Committee; • Two District elected officials with voting positions on the MTMA Board; • The District’s Commissioner of Planning and Economic Development has a non-voting role on the MTMA Board; • Every month all elected officials and senior municipal leaders in Muskoka receive updates about MTMA activities; • District Council receives an annual report; and • MTMA provides other reports as required. 40

Page 40 Muskoka TourismPED-15-2017-Pres-2017 Board Annual Report Members Leah Leslie, Chairperson JW Marriott, The Rosseau Muskoka Resort & Spa Brian Hough, Owner Baysville Marina and North Granite Ridge Golf Don Smith District Representative Peter Cooper District Representative Kelly Haywood Huntsville Lake Of Bays Chamber of Commerce Brenda Rhodes Bracebridge Chamber of Commerce Debbie Eccles Sunset Cruises Kit Redding Clear Lake Brewing Co. Sandy Lockhart Gravenhurst Chamber of Commerce Randy Mitson Algonquin Outfitters Gary Don Severn Lodge Scott Doughty Hidden Valley Resort Ken Schultz Club Link Rocky Crest Golf Resort Jonathon Massey Residence Inn Gravenhurst 41 Resource Member Samanta Hastings Commissioner Planning and Economic Development District of Muskoka Page 41 PED-15-2017-Pres-2017 Annual Report MTMA Requests A Funding Increase

• In 2015, the average budget for Destination Marketing Organizations (DMO)s across Canada was $6 million.

• From 2013 to 2015, the average annual budget increase for tourism marketing organizations across Canada was 7%.

• Over 6 years (2011 to 2017) the District of Muskoka’s investment to support one of its largest industries and employers was frozen at $300,000

• MTMA requests a budget increase of 9% or $27,000 to $327,000 in 2018. (1.5% increase per year x 6 years)

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Page 42 PED-15-2017-Pres-2017 Annual Report MTMA Requests A Funding Increase

A 9% budget increase would enable us to expand our digital reach and generate an additional 34,000 sales leads for Muskoka’s tourism industry to follow up.

Funding Increase in Increase in Increase in Increase in outbound Increase Reach Impression Qualified traffic links to operators s to website $15,000 (+5%) 2,806,017 5,173,946 37,500 19,035 $27,000 (+ 9%) 5,050,831 9,313,104 67,500 34,263

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Page 43 PED-15-2017-Pres-2017 Annual Report Thank you for your support

• Please review our 2018 Marketing Plan to see the exciting marketing initiatives we will be rolling out.

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Page 44 PED-15-2017-Pres-2017 Annual Report

Background Information

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Page 45 Destination Marketing OrganizationsPED-15-2017-Pres-2017 in Canada 2013 Annual Report2014 2015 Banff Lake Louise Tourism $6,153,053 $6,803,068 $6,819,564 Edmonton Tourism $6,461,000 $7,869,884 $9,277,568 Tourism Calgary $9,435,294 $10,787,370 $10,866,102 Tourism Jasper $2,412,877 $2,850,596 $2,871,360 Tourism Red Deer $607,987 $692,768 $707,050 Tourism Burnaby $710,000 $725,000 $830,000 Tourism Kelowna $2,764,838 $2,719,948 $2,708,453 Tourism Richmond $3,345,516 $3,471,659 $3,785,336 Tourism Vancouver $16,262,004 $13,885,592 $15,748,000 Tourism Victoria $4,521,610 $4,875,613 $4,623,629 Tourism Whistler $8,287,194 $8,797,235 $8,927,876 Tourism Winnipeg $2,568,058 $2,802,015 Discover St. John $1,330,484 $1,902,118 $1,665,633 Destination St. John’s $1,487,464 $1,855,677 $1,796,468 Destination Halifax $2,593,160 $2,721,125 $2,573,735 Explore Waterloo Region $885,250 $882,950 $897,500 Ottawa Tourism $9,498,155 $13,092,982 $12,921,425 Sudbury Tourism $802,480 $865,036 $904,050 Tourism Burlington $939,631 $591,613 $446,447 Tourism Toronto $27,765,956 $29,733,340 $32,845,000 Tourism Windsor Essex Pelee Island $1,873,405 $1,917,948 $1,929,000 PEI Meetings & Conventions $889,000 $1,001,000 $879,000 Quebec (City) Tourism $20,085,400 $20,595,600 $20,186,700 Tourism Regina $738,888 $511,454 $567,536 Tourism Saskatoon $3,257,316 $3,236,930 $3,887,687 Total Tourism Marketing Budgets $133,107,962 $144,954,564 $151,467,134

Average Tourism Marketing Budget For 25 Canadian Destinations $6,058,685 46 Average Annual Marketing Budget Increase 2013 to 2015 7%

District of Muskoka Funding $300,000 $300,000 $300,000 Frozen For 6 Years Page 46 PED-15-2017-Pres-2017 Annual Report Ontario Municipal Investment in Tourism

Tourism Area Municipal Investment

Lambton County $708,753 Waterloo Region & City $605,150 City of London $1.9 million Kingston $1.1 million Brantford $696,275 Guelph $376,000 Chatham/Kent $257,639 District of Muskoka $300,000

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Page 47 PED-15-2017-Pres-2017 Annual Report Ontario’s Accommodation Sector

Occupancy Rate Revenue 75.00% Occupancy Daily per Year 70.00% Rate Rate Available Room 65.00% 60.00% 2008 61.4% $126.32 $77.89 55.00% 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2009 57.0% $119.14 $68.13 Average Daily Rate 2010 60.2% $120.67 $73.36 $165.00 2011 61.0% $121.46 $74.49 $155.00 $145.00 2012 61.5% $124.05 $76.74 $135.00 $125.00 2013 62.2% $125.62 $78.50 $115.00 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2014 64.0% $130.18 $83.76 Revenue per Available Room 2015 65.1% $137.80 $90.43 $115.00 2016 67.5% $144.25 $98.35 $105.00 $95.00 2017 70.0% $153.63 $108.78 $85.00 48 $75.00 $65.00 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Page 48 PED-15-2017-Pres-2017 Annual Report RTO 12 Accommodation Sector

2016

CBRE Hotels' CBRE Hotels' CBRE Hotels' Trends Sample Supply Estimate Sample % of (rms) (rms) Inventory Algonquin Park, Almaguin Highlands, Muskoka and Parry Sound 1,445 4,604 31% Definition: Rooms inventory and CBRE Hotels' Trends database includes hotels, motels, inns and resorts operating year round. Hotel Occupancy, ADR and RevPAR (2008-2016)

2008 2009 2010 2011 2012 2013 2014 2015 2016

Occupancy % 49.8% 45.2% 48.7% 45.4% 44.8% 47.6% 47.7% 50.6% 51.0%

ADR $139.44 $134.01 $148.18 $152.05 $155.18 $147.15 $145.11 $156.39 $162.98 49 RevPAR $69.37 $60.63 $72.15 $69.03 $69.52 $70.10 $69.16 $79.15 $83.14

Source: CBRE Hotels' Trends

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