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Economic Impact and Contribution of Arizona Highways Magazine to State Tourism

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Economic Impact and Contribution of Arizona Highways Magazine to State Tourism Economic Impact and Contribution of Arizona Highways Magazine to State Tourism SPR-764 December 2020 18-386 Arizona Department of Transportation Research Center Economic Impact and Contribution of Arizona Highways Magazine to State Tourism SPR-764 December 2020 Published by: Arizona Department of Transportation 206 South 17th Avenue Phoenix, Arizona 85007 In cooperation with U.S. Department of Transportation Federal Highway Administration This report was funded in part by the Federal Highway Administration, U.S. Department of Transportation. The contents of this report reflect the views of the authors, who are responsible for the facts and the accuracy of the data, and for the use or adaptation of previously published material, presented herein. The contents do not necessarily reflect the official views or policies of the Arizona Department of Transportation or the Federal Highway Administration, U.S. Department of Transportation. This report does not constitute a standard, specification, or regulation. Trade or manufacturers’ names that may appear herein are cited only because they are considered essential to the objectives of the report. The U.S. government and the State of Arizona do not endorse products or manufacturers. This report is subject to the provisions of 23 USC § 409. Any intentional or inadvertent release of this material, or any data derived from its use, does not constitute a waiver of privilege pursuant to 23 USC § 409, which reads as follows: 23 USC § 409 — Discovery and admission as evidence of certain reports and surveys Notwithstanding any other provision of law, reports, surveys, schedules, lists, or data compiled or collected for the purpose of identifying, evaluating, or planning the safety enhancement of potential accident sites, hazardous roadway conditions, or railway-highway crossings, pursuant to sections 130, 144, and 148 of this title or for the purpose of developing any highway safety construction improvement project which may be implemented utilizing Federal-aid highway funds shall not be subject to discovery or admitted into evidence in a Federal or State court proceeding or considered for other purposes in any action for damages arising from any occurrence at a location mentioned or addressed in such reports, surveys, schedules, lists, or data. This study was conducted in accordance with Title VI of the Civil Rights Act of 1964 (78 Stat. 252.42 U.S.C. §2000d-4), Americans With Disabilities Act of 1990, and other nondiscrimination laws and authorities. ©2020 Arizona Department of Transportation. All rights reserved. Technical Report Documentation Page 1. Report No. 2. Government Accession No. 3. Recipient's Catalog No. FHWA-AZ-764-20 4. Title and Subtitle 5. Report Date Economic Impact and Contribution of December 2020 Arizona Highways Magazine to State Tourism 6. Performing Organization Code 7. Author 8. Performing Organization Report No. Kathleen Andereck, https://orcid.org/0000-0001-5900-3976; Christine Vogt, https://orcid.org/0000-0001-7433-0799; Woojin Lee, https://orcid.org/0000-0002-7571-9779; Deepak Chhabra, https://orcid.org/0000-0003-4565-0325; Gyan Nyaupane, https://orcid.org/0000-0002-0814-8507; Evan Jordan, https://orcid.org/0000-0002-6924-2628; Kim Pham, https://orcid.org/0000-0002-7413-6432 9. Performing Organization Name and Address 10. Work Unit No. Center for Sustainable Tourism Arizona State University 411. N. Central Avenue #550 Phoenix, AZ 85004 11. Contract or Grant No. SPR 000-1(020) 764 12. Sponsoring Agency Name and Address 13. Type of Report & Period Covered Arizona Department of Transportation FINAL 206 S. 17th Avenue Phoenix, AZ 85007 14. Sponsoring Agency Code 15. Supplementary Notes Prepared in cooperation with the U.S. Department of Transportation, Federal Highway Administration 16. Abstract To determine the influence that Arizona Highways Magazine (AHM) and its branded products have on tourism and the economy in Arizona, this study examined the influence of the AHM brand—the magazine, its related retail products, television program, and Facebook page—on tourism to and within Arizona; determined trip characteristics of Arizona travelers influenced by AHM-related products and services; and estimated AHM’s economic impact on travel. Several survey efforts collected travel and spending data that were analyzed with IMPLAN software. Focus groups conducted with television viewers provided additional information. Responses showed that AHM, its products, Facebook page, and television show collectively have a significant impact on the decisions to travel to and in Arizona. The AHM brand increased interest in traveling in the state and informed travel decisions. Based on data from AHM survey respondents, AHM-influenced travel made a substantial economic impact throughout the state; visitor spending—by out of-state subscribers, Arizona subscribers, and AHM shoppers—was extrapolated to have contributed millions of dollars to state and local income tax and supported industries such as lodging, restaurants, and retailers. Estimated visitor expenditures supported 628 Arizona jobs. The minimum benefit/cost ratio of the magazine was calculated at 3.74:1, so for every dollar spent by AHM, at least $3.74 enters Arizona’s economy from out-of-state subscribers due directly to the magazine. 17. Key Words 18. Distribution Statement 23. Registrant's Seal Travel, Tourism, Information Search, Magazine, Social Document is available to the U.S. Media, Facebook, Decision Making, Economic Impacts, public through the National Market Surveys Technical Information Service, Springfield, Virginia 22161 19. Security Classification 20. Security Classification 21. No. of Pages 22. Price Unclassified Unclassified 36 Contents Introduction .................................................................................................................................................... 1 Study Objectives ......................................................................................................................................... 1 Arizona Highways Magazine Background ................................................................................................... 1 Tourism and Travel-Related Information ................................................................................................... 2 Economic Impact and Economic Contribution ............................................................................................... 4 Defining Economic Contribution and Impact ............................................................................................. 4 Using IMPLAN Software .............................................................................................................................. 4 Analyzing AHM’s Influence on Travel ......................................................................................................... 6 Economic Findings .......................................................................................................................................... 8 Data Collection Efforts ................................................................................................................................ 8 Summary of AHM’s Economic Contribution and Impact ............................................................................ 8 Economic Analysis Details .......................................................................................................................... 10 Direct Visitor Spending ............................................................................................................................... 12 Economic Contribution of Visitor Spending ............................................................................................... 15 Other Findings ................................................................................................................................................. 20 Groups Not Included in the Survey ............................................................................................................. 20 Impact of the AMH Facebook Page ............................................................................................................ 20 Impact of Arizona Highways Television ...................................................................................................... 20 Impact of Products ..................................................................................................................................... 21 Impact of Arizona Highways Magazine....................................................................................................... 21 Characteristics of Survey Respondents ...................................................................................................... 27 Methods .......................................................................................................................................................... 28 Conclusion ....................................................................................................................................................... 31 References ...................................................................................................................................................... 32 v Figures Figure 1. Estimated Annual Economic Contribution of AHM ....................................................................... 8 Figure 2. Estimated Annual Economic Impact of Out-of-State AHM Subscribers .......................................
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