September 18, 2013
In this issue:

NC Commerce begins Fall
listening tours

US Travel Outlook:
Positive travel news

Surveys, Industry,
Marketing & Travel
Trends
...and more
Regional Division marketing updates receive positive feedback
The three regional Mid-Year Marketing Updates have provided great interactive sessions for the
Division and its industry partners. The regional updates bring together leaders from all sectors of
North Carolina's travel industry to highlight recent performance trends, provide updates on the
Division's current marketing programs and co-op initiatives, and gain insight from partners to help fuel
the Division's strategic planning for FY 2014-'15. This year's updates covered changes to the Dept. of
Commerce and information on the new VisitNC.com.
There is one Mid-Year Marketing Update left, Oct. 4 at Pine Needles Resort in Southern Pines (at the
conclusion of the N.C. Tourism Leadership Conference), and partners are encouraged to attend. The
regional forum will feature Director of Tourism Marketing Wit Tuttell, members of the Division's
marketing team and representatives from the Division's agency partners LGA, DCI and Journal
Communications. Similar to last year, all of the meetings have allowed for partner input and
discussion.
N.C. Commerce crosses the state on listening tours this fall
Throughout the months of September through November, N.C. Commerce Secretary Sharon Decker
and Tony Almeida, Gov. Pat McCrory's senior advisor on jobs and the economy, will be traveling across
North Carolina to hear first-hand from business owners, economic development professionals, elected
officials and other stakeholders.
Invitations and details will be issued two weeks prior to each Listening Tour event. Due to venue
limitations, invitations will be sent directly to individuals whose presence is requested. Though the
Listening Tour team is unable to extend an open invitation, the team values your input and would like
to hear from you. The team is eager for your thoughts and ideas on priorities for North Carolina's 10year Economic Development Plan. The team is interested in the barriers and threats to progress and
the opportunities you see for economic growth. The group wants to know which tools you feel are
needed in order to help grow North Carolina's economy in the most effective way. Please complete the
form on the Commerce website to submit your feedback.
U.S. Travel Outlook: Positive economic and travel news
Four years after the end of the recession, U.S. per capita
economic output has returned to the late-2007 peak,
reports the most recent issue of U.S. Travel Outlook.
Steady job growth, improvement in consumer confidence
and a growth in exports are all contributions to this
positive news. The U.S. GDP grew at 2.5 percent in the
second quarter, revised from the projected 1.7 percent reported last month. As well, many economists
are projecting continued strengthening of economic growth during the second half of 2013.
Travel employment continues to be strong, as the travel industry added 14,000 jobs in August,
primarily in the food services and lodging sectors. Direct travel employment is currently at 7.8 million
jobs and has created jobs at 12 percent above the overall employment growth rate according to the
U.S. Travel Association. North Carolina direct tourism employment, at just more than 193,000, is the
highest it has been since the peak in 2000. Direct employment in 2012 is the second highest on
record. More N.C.-level data can be found here.
Leisure travel continues to post positive gains. According to MMGY Global, nearly six in ten U.S. adults
expect to take at least one leisure trip between July and January 2014. Leisure travel intentions in July
were 6 points higher than in 2012. Priceline.com's recent Travel Summer Survey declared the "staycation" dead with more than 80 percent of Americans intending to take a vacation away from home
this year.
Interesting trends in leisure travel continue to emerge. Adventure travel is showing growth and the
culinary travel segment is increasing in interest. A recent report by Mandala Research reports that
almost one third of travelers choose destinations based on culinary activities, including local
food/drink, food festivals or other local culinary experiences.
Business travel continues to lag behind leisure, but is showing signs of improvement. The July 2013
travelhorizons survey reports that 21 percent of U.S. adults expect to take at least one business trip
during the next 6 months, up 14 percent from July 2012. New business travel trends include business
travelers adding on leisure day trips to overnight business stays. Recent research by American Express
shows that two thirds of U.S. business travelers say that they have extended a business trip in order
to take a personal vacation in the past year.
While business travel is reporting positive growth, government travel continues to be a challenge for
the industry. Federal travel spending is down 17 percent from last year, following a 12 percent decline
in 2012. The U.S. Travel Association released a report showing how government travel makes
government more efficient and effective. It can be seen here.
The recent Hotel Data Conference, hosted by Smith Travel Research, noted mixed reviews for the
global lodging industry. While all indicators in July were positive, group bookings still appear to be
behind leisure demand. However, industry experts noted that it is more difficult to track group
business as more meeting attendees are booking outside room blocks and more leisure groups are
booking rooms. ADR continues to be a top concern for hoteliers, and there is concern that there have
been missed opportunities to increase this important indicator. Nonetheless, STR forecasts that ADR
will increase 4.3 percent this year and 4.6 percent in 2014. PKF predicts even higher rate growth at
5.2 percent this year. Recent North Carolina lodging data can be found here.
Creative Arts Emmys recognize two N.C.
series
Two N.C.-filmed series were recognized Sunday night with a 2013
Creative Arts Emmy Award. Stunt Coordinator Jeff Wolfe was
honored for Outstanding Stunt Coordination for a Drama Series,
Miniseries or Movie for the Wilmington area-filmed Revolution on
NBC. Cinemax's Banshee, filmed in the Charlotte region, was
recognized for Outstanding Special Visual Effects in a Supporting
Role, honoring Armen Kevorkian, Mark E. Skowronski, Jane
Sharvina, Rick Ramirez, Jeremy Jozwik, Mike Oakley, Nick
Sinnott, Gevork Babityan, and Andranik Taranyan. The Primetime
Creative Arts Emmy Awards, traditionally held the weekend before
the live Primetime Emmys telecast, are largely dedicated to key
technical disciplines and behind-the-scenes crafts essential to
television production: art direction, cinematography, hairstyling,
makeup, music, picture editing, sound editing and mixing, special
visual effects, stunts and more. The 2013 awards were taped on
Sunday and will air on Sept. 21 on the FXX Network.
Sleepy Hollow, Under the Dome find big audiences
Monday's series premiere of Fox's
Sleepy Hollow and the season finale of
CBS' Under the Dome both aired to
large national audiences. Sleepy Hollow,
a present day re-imagining of the
classic Washington Irving story that's
filmed in the Wilmington area,
premiered its pilot episode at 9 p.m. to
10.1 million viewers. In the key 18-49
age demographic, which networks and
advertisers rely heavily on to gauge a
show's success, the supernatural series
garnered a strong 3.5 rating, which
trumps several prominent Fox
premieres, making it the network's best
fall drama premiere in seven years.
Additionally, the premiere was the
highest-rated new drama series debut since last September's premiere of NBC's Revolution, another
locally filmed series.
Under the Dome, the most watched scripted show of the summer that's also filmed in the Wilmington
region, ended its first season at 10 p.m. with a sizable audience of 11.8 million (2.8 share), its largest
since the show premiered June 24. Monday also marked a 33 percent surge over last week's tennisdelayed penultimate episode. Under the Dome expects to begin shooting its second season in the
Wilmington area early next year for a summer 2014 premiere.
ABA recognizes four N.C. events in Top
100
Four North Carolina events have been recognized by the American
Bus Association (ABA) among its annual "Top 100 Events in North
America." In the East - Southeast, Top 100 Events include the
Carolina Renaissance Festival, Oct-Nov. in Huntersville; the Billy
Graham Library's "Christmas at the Library," December in
Charlotte; and the Queen's Cup Steeplechase in Mineral Springs in
April. The East Annual Events include Christmas at Biltmore Estate,
November-December in Asheville.
ABA's Top 100 Events in North America is an annual compendium
of the best events for group travel in the U.S. and Canada. ABA
launched the Top 100 program in 1982 to help motorcoach and
tour operators plan itineraries; today, the list is a professional
travel planners and the general public. The list is chosen from
more than 500 events nominated by state and provincial tourism officials, convention and visitors
bureaus and destination marketing organizations from across North America. A 12-member selection
committee of tour operators bases its selections on the events' broad appeal, their accessibility to
large groups arriving by motorcoach and a variety of other criteria. To find out more, click here.
Asheville among great fall foliage spots on Today
In a Travel segment this morning (Wednesday), NBC's
Today Show asked Travel + Leisure magazine to share
some of the best places to get some peace and quiet
among fall foliage this autumn (except for rustling leaves,
of course) - and Asheville was among the selections. In
addition to the Blue Ridge Parkway and Asheville's
microbreweries, the Aloft Downtown was also mentioned.
The Division worked with Travel + Leisure for the segment,
providing information and images. The estimated national
audience for the segment was nearly 4,575,000 viewers;
the estimated national publicity value is $1,467,412.
Half-marathons growing in popularity
During the past decade, the half marathon has become the fastest growing race distance in the
country, according to Running USA, the nonprofit that tracks trends in the sport. For the past seven
years, the 13.1-mile distance has grown 10 percent each year. Last year, there were an estimated
1.85 million finishers in the United States, a nearly 15 percent increase from 2011, with more than
1,500 active U.S. half marathons. Several of those races are right here in Western North Carolina, with
spring and fall being the most popular time of year. "We had many runners from Asheville, Greenville,
a lot who were traveling through the area, one from Nevada," said Kathryn Gillie, about the Tryon Half
Marathon. "People loved it and said they would be back. We needed a half in our area. We've all been
traveling all over the Southeast to run. We thought it would be nice to have one in Tryon."
Surveys, Industry, Marketing & Travel Trends
Business travel will be more pricey next year - Business travelers can expect to pay 5 percent to
6 percent more for hotel rooms next year, according to a New York University study out this week.
Each fall, U.S. companies and hotels agree to corporate rates and amenities for the following year, and
this year, Bjorn Hanson, divisional dean of the Tisch Center for Hospitality at NYU, says the two sides
are further apart than normal as negotiations get underway. Business travelers are a lucrative market
for hotels: Almost 20 percent of occupied U.S. room nights and almost 30 percent of U.S. lodging
industry revenue come from corporate and contract rates, Hanson says. Occupancy levels and average
daily rates are up at hotels across the country. Now that the economy has improved and people are
once again traveling, hotels aren't as willing to drop corporate rates or throw in perks such as free WiFi and breakfast. This year, the average negotiated corporate rate increased by about 5 percent. The
average daily rate for U.S. hotels overall went up about 4.5 percent. Hanson based his study on
interviews with industry executives and financial data.
How restaurants are using technology to drive business - Technology is changing how the food
industry does business. From tabletop tablets to interactive mobile apps, restaurants are finding better
ways to get customers to spend more. Chili's Grill & Bar is the latest casual-dining chain to capitalize
on this trend. The company has been testing pay-at-the-table screens that let customers order food,
play games and pay the check without the need for a waiter. Dessert sales increased as much as 20
percent when the screens periodically showed photos of desserts. There's also an opportunity for
restaurants to make additional money on the games the devices offer. While this technology isn't new,
it's become more commonplace in the restaurant industry today. In fact, more people are embracing
the idea of technology at the table than ever before. Yet technology's role in the restaurant industry
isn't limited to third-party devices. Other companies are using mobile apps to compel customers to
spend more.
Conference features
Biltmore's Brewer in online
interview
The 2013 Going on Faith Conference
Marketplace featured Leslie Brewer, Biltmore's
tour and travel sales manager, in an online
interview. Brewer explained to viewers the
type of attraction Biltmore is and its
popularity and activities for tour groups.
Great Smoky Mountains National Park's
Ditmanson to retire
Dale Ditmanson, Great Smoky Mountains National Park superintendent,
has announced he will retire on Jan. 3 after 36 years with the National
Park Service, including nearly 10 years as the GSMNP superintendent.
NC GreenTravel: Determining the cash value of green projects
An important aspect of undertaking any green practice is to determine the financial value of any such
investments. While many green practices do save money, not all savings are always greater than the
initial investment. There are a number of financial calculations one can use to determine the present
value of a green project. One of the most commonly used is simply payback period, which identifies
the length of time the savings generated by a project will be equal to the initial investment in a
project. While this calculation in fairly easy to determine for many common projects, it fails to take
into account the savings generated during the life of the project, which may be much larger than the
initial investment - in which case a project may be undervalued. There are also a number of Webbased tools that can help identify the life-cycle costs and benefits of various green practices, such as
the Food Service Technology Center's Life-Cycle & Energy Cost Calculators, the EPA's Energy Star
Cash Flow Opportunity Calculator and Financial Value Calculator, and the Green Lodging Calculator.
Financial assessments of projects are also often included when environmental audits are conducted
and should be an integral part of any discussion with a green energy professional. It is also important
to integrate any governmental and utility incentives as well as any special financing opportunities
when assessing the value of a green project. For more information about how identifying the present
value of green projects, contact NC GreenTravel program manager Tom Rhodes, or contact Alex Naar
with the Center for Sustainable Tourism at ECU at (252) 737-1346.
Chimney Rock State Park, in Chimney Rock, has become North Carolina's 70th tourist destination to
earn recognition for its environmentally friendly practices, according to officials with the state's NC
GreenTravel Initiative. "We're proud of all the great North Carolina tourist spots that have earned
recognition as NC GreenTravel destinations," said John Skvarla, secretary of the N.C. Dept. of
Environment and Natural Resources (DENR). "That one of our department's very own state parks
became the 70th place to earn this designation is the icing on the cake."
For the week of Sept. 19 on UNC-TV's North
Carolina Weekend, part 3 of "Collecting
Carolina" visits the Thomas Day House in
Milton. Enjoy a spot of tea at Yosefa
AntiquiTea in Boone. Get lost in history at the
Rankin Museum of American Heritage in
Ellerbe. Lift a glass at MenaRick Vineyard &
Winery in Ronda. And tempt your tastebuds at
Babylon Restaurant in Raleigh. (Please note:
listings are subject to change.) North Carolina
Weekend is underwritten by the N.C. Division
of Tourism. In addition, UNC-TV has made
recent editions of North Carolina Weekend
available online.
Visitors from Europe tend to spend more on
restaurants and dining, while visitors from
South America, Mexico and India spend more
in supermarkets, indicating that they may be
cooking in their places of lodging rather than
eating out. Eighteen percent of the spending
in N.C. by Venezuelan visitors is in
supermarkets, while less than 9 percent is
spent in restaurants and quick service
establishments. For more information on
international visitors to North Carolina, click
here. For more information, contact Tourism
Research Manager Marlise Taylor at (919)
733-7278.
Upcoming Industry Meetings & Events
Sept. 19 - MPI-CC Meeting & Tradeshow, Durham
Oct. 2-4 - N.C. Tourism Leadership Conference, Southern Pines
Oct. 4 - Mid-Year Marketing Update, Southern Pines
Oct. 10 - N.C. Coast Hoast Meeting, Ocean Isle
Oct. 28-30 - TTRA Marketing Outlook Forum, Chicago, Ill.
Nov. 4-6 - STS Fall Forum, Jacksonville, Fla.
Nov. 4-7 - TEAMS Conference & Expo, Salt Lake City, Utah
Nov. 11-12 - Carolinas Joint Recreation & Parks Conference, Raleigh
Nov. 20 - US Travel Connecting America Through Travel conference, Washington, D.C.
Nov. 21 - MPI-CC Meeting, Asheville
Mailing Address:
4324 Mail Service Center
Raleigh, NC 27699-4324
Building Location:
301 North Wilmington Street
Raleigh, NC 27601-1058
NewsLink is a publication of the N.C. Department of Commerce Division of Tourism, Film and Sports Development
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