VisitScotland UK Segmentation · VisitScotland’s UK Segmentation • Original study in 2006/07 (18 month research programme) and refreshed in 2010 • 2013/14, brand new Segmentation

VisitScotland UK Segmentation

Wednesday 26th November Jacqui Souter Fiona Carruthers Rona Wallace

Agenda

• Volume & Value of tourism to Scotland/Glasgow

• New UK consumer segmentation – What is segmentation?

– Some top level findings

– 4 target segments for Glasgow

• How VisitScotland use the segmentation in marketing

Volume & Value 2013

Volume & Value 2013

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Trips 14.79M Spend £4.6bn

Source: IPS 2013, GBTS 2013 / N Ireland 2012

Importance of the UK market to Scotland

From UK 86%

From overseas

14%

From UK 64%

From overseas

36%

5

Trips 2.0 M Spend £495 M

Source: IPS 2013, GBTS 2013 / N Ireland 2013

Importance of the UK market to Glasgow

From UK 74%

From overseas

26%

From UK 62%

From overseas

38%

Segmenting the UK Audience

What is segmentation?

UK Population Survey

Factors

Clustering Analysis

Group Into Distinct Segments

Why segmentation?

• Optimise marketing spend and target communications at the right consumers within the UK for all marketing channels

• Ultimately, to maximise the value of visitors to Scotland from the UK market

VisitScotland’s UK Segmentation

• Original study in 2006/07 (18 month research programme) and refreshed in 2010

• 2013/14, brand new Segmentation rebuilt from first principles, accounting for changes in consumer and media environment

• Approximately 13,000 UK consumers interviewed

• Unique to Scotland, because it takes into account brand and loyalty dynamics specific to the destination

Key Factors Behavioural Based Segmentation

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• Loyalty to Scotland

• UK versus Abroad

• Holiday Behaviour based question (Activities) • Region of residence

NOTE: Age and presence of children did not emerge as factors in this segmentation

Segmentation 2013 – Quantitative Results

Some high level results

Vital Statistics: the “last year funnel”

68% spent more than one night away on holiday or s/b

58% took a holiday or s/b in UK/Ireland

100% UK representative sample surveyed

13% took a holiday or

s/b in Scotland

Omnibus survey March 2013; base 2132 representative of UK

Vital Statistics: the loyalty ladder

Regular 8%

Occasional 13%

Lapsed 25%

Prospect: 24%

Rejecter 31%

I often take short breaks or holidays in Scotland and intend to do so again within the next six months

I sometimes take short breaks or holidays in Scotland and intend to do so again in the next couple of years

I have taken a short break or holiday in Scotland once or twice before and might do so again

I have never been on a short break or holiday in Scotland, but would like to

I am not likely to take a short break or holiday in Scotland in the future (23%) or I have taken a short break or holiday in Scotland before and do not intend to do so again (8%)

Omnibus survey March 2013; base 2132 representative of UK

Sources of Inspiration & Influence for New Destinations

5%

15%

6%

7%

12%

15%

15%

17%

17%

17%

18%

20%

22%

28%

28%

37%

none

other

travel / tourism pages on social media

films

travel agents / tour operators

looking at photos / posts from friends on social media

holiday price comparison websites

TV programmes

newspapers / magazines

other travel websites / blogs

discount deals / offers emails

direct flights from local airport

official country tourism websites

travel books / guide books / brochures

online travel review sites

recommendations from close family / friends

Base 10754

Always wanted to go; been before; caravan club; specific event / activity;

VFR.

8% not visited a new destination in past 3 years

Activities Enjoyed on UK / Ireland Holidays

4%

5%

7%

8%

10%

10%

13%

13%

14%

19%

19%

23%

24%

29%

34%

42%

48%

54%

54%

59%

67%

67%

69%

70%

Other

Researching family history

Fishing

Mountain biking

Golf

Horseriding / pony trekking

Sailing / boating / watersports

Visiting TV / film locations

Adventure activities

Hill climbing / walking

Cycling (roads/paths)

Visiting theme / amusement parks

Other visitor attractions

Wildlife watching

Visiting aquarium / zoo / safari parks

Centre based walking

Long walks (>2miles)

Visiting museums / galleries

Trying local speciality food & drink

Visiting parks / gardens

Sightseeeing

Visiting castles / monuments

Short walks (<2miles)

Visiting natural sites

Base 10754

Knowledge of Scotland as a Holiday Destination

6% 7% 10% 9%

13% 13% 16% 15%

6% 6%

1 2 3 4 5 6 7 8 9 10

Base 10754

5.71 7.84 6.83 5.56

4.14

Total Regular Occasional Lapsed Prospect

Mean scores

Segmentation Solution

• Solution excludes rejectors of Scotland as a holiday/short break destination & non-holidaytakers

• 10 segments have been identified overall (13.2M households

out of a total of 24.6 M households)

• 5 chosen as Target Segments for VisitScotland

• Previous visitors and potential visitors in each segment

• Adventure Seekers • Curious Travellers • Food Loving Culturalists • Engaged Sightseers • (Natural Advocates)

VisitScotland Segments

AFFLUENT YOUNGER

HEAVY TECHNOLOGY USERS

Above average

income

Highest volume in

work

Confident

Career minded

Energetic

Sociable

32% Have Children

At Home

Outdoor holidays

Off the beaten

track

Cultural activities

Online reviews

Recommendations

Friend’s

posts/photos

Regulars 18%

Occasionals 13%

Lapsed 34%

Prospects 35%

(Highest)

Distance

Lack of

knowledge

Unreliable

weather

Adventure Seekers

1.2 Million Households

ACTIVE

Adventure Seekers: Quotes

“I’d like to go there. The one prohibitor is just the

distance…we would have to get a flight or go for 10 days ‘cos it

is quite a drive”

“It’s a different kind of holiday…it appeals to a certain type of person but it

wouldn’t appeal to everybody”

“Somewhere we can go diving or snorkelling, nice terrain to go for walks,

sightseeing, historic things…not waterparks or nightclubs”

“We need lots of space and lots of outdoor activities”

AFFLUENT

TRAVEL BOOKS

Above average

income

Middle to upper

age bands

Curious

Live life to full

Adventure

Learning

Global view

Mix of offline and

online sources

Recommendations

Review sites

Regulars 14%

Occasionals 18%

Lapsed 40%

Prospects 28%

Distance

Few

connections

Value for

money

DISCOVERY

New experiences History & Culture

Authentic Learning

48% feel Scotland has new things to

discover

Curious Travellers

1.9 Million Households

DISCOVERY

Curious Travellers: Quotes

“I’ve never been to Scotland, it is on the list but it never gets to the top of the list because I think…ooh I could go to Morocco for the same price or I could go to Egypt or Tunisia, and it’s

definitely going to be warmer there”

“We found Edinburgh fascinating…The Falkirk Wheel is the most extraordinary

thing I think I’ve ever seen”

“I’m very much into culture and history and theatre. I go to places to immerse myself

in the culture and the historical side”

“We always try to go somewhere different”

MOST AFFLUENT

HIGH USE OF REVIEW SITES

Above average

income

High disposable

income

Confident

Influential

Professional

Sociable

Highest

spenders on

holiday

Recommendations

Magazine

Subscriptions

Travel

supplements

Regulars 22%

Occasionals 21%

Lapsed 40%

Prospects 17%

Good

Connections

Distance

Difficult to

get around

Value of

trip

UPGRADE QUALITY

Food-Loving Culturalists

1.6 Million Households

QUALITY

Food-Loving Culturalists: Quotes

“Generally speaking TripAdvisor is a million times more reliable than some travel agents I’ve

used”

“That you can have a good culinary experience in Scotland… food wouldn’t be

one of the first things I’d think about going to Scotland for”

“I love Scotland, it’s one of my favourite places to visit. I think it’s probably one of

the most beautiful countries I’ve ever been to…it ticks all the boxes for me”

“We won’t go somewhere we know the food isn’t going to

be good”

LESS AFFLUENT OLDER

67% HAVE A SOCIAL MEDIA A/C

Below segment

average income

Working full time

or retired

Traditional

Cautious

Habitual

Planners

57%

over 55

Touring

Historical places

Scenery/Wildlife

Engaging with

locals

Cautiously

engaging with

mobile & new

technology

Regulars 21%

Occasional 16%

Lapsed 44%

Prospects 20%

Cost of

travel

Cost of

accom

Distance

High holiday nights away per annum TRADITIONAL

Engaged Sightseers

1 Million Households

Engaged Sightseers: Quotes

“There’s so much going on in Scotland and it’s my kind of

going on”

“I’m looking for the history, the culture, the scenery, walking, hiking, looking at

old buildings…” “We go every year to Normandy for the

anniversary of D-day; we go camping, for 2 weeks”

“We try not to be too touristy & mix with the locals”

“It would be a very long drive…flights would be a lot quicker but then you’d have to hire a

car when you got there and it would probably work out to be quite expensive”

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How UK Marketing uses segmentation

• Helps identify scale of opportunity for different segments

• Focuses selection of media channels

• Helps optimise media spend and choice of partners

• Informs content and messaging

• Improves results

Media Selection

• Helps target media selection whether it’s TV, radio, outdoor, press or online

• Increases potential for target visitors to hear message multiple times – 4+ increases likelihood of converting

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.

Informs Content

• Creative lead: Brilliant Moments

• But ‘Brilliant Moment’ is tailored to the audience

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TV advert

Solus mailer

Glasgow examples

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Segment Appealing Activity

Food Loving Culturalists

GOMA / Charles Rennie Mackintosh, Ashton Lane (great food and drink venues nearby)

Engaged Sightseers Pollok House and Victorian Kitchen plus gardens – immersive visit

Adventure Seekers Xscape, Kelvingrove Art Gallery & Museum, Science Museum

Curious Travellers Riverside Museum and Tall Ship Glenlee, Burrell Collection

Campaign Partners

• Travel partners to overcome distance barriers

• Communication & industry partners as appropriate

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Communication Partners

• Working with other brands to extend our messaging to like minded consumers

• Gives us access to channels which often are not commercially available

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How can it work for you?

• Does your product appeal to any of these audiences?

• Use media insights to get your tailored messaging in front of them

• Can you see your existing customers in these segments? What information can you ‘clone’ from them to target new customers?

• Could you tweak some of your communications / marketing to deliver a more relevant message / convert that booking?

• Are there other businesses you can partner with to increase the scope of your activity / extend reach?

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Further Information::

www.visitscotland.org/research_and_statistics/visitor_research/uk_visitors.aspx