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Traditionally the preserve of airports, tourist boards can increasingly get involved and help make the case for a new route to a destination. Edward Robertson reports.
Tourist boards are being urged to play a greater role in aviation route development thanks to their increasing ability to influence the argument.
Nigel Mayes, ASM global route development senior vice-president consulting and product development, said the aviation industry currently supports $2.7 trillion, 3.5% of the world’s GDP, as three billion passengers take to the skies annually.
This equals more than 100,000 flights taking off daily, which supports the livelihoods of 62.7 million people. By 2034, the figures are expected to rise by nearly 50% to 99.1 million people.
While traditionally route development has been the preserve of airports as they persuade airlines to fly new routes from their premises, Mayes says that tourist boards can increasingly play a part in making the argument.
“It is becoming increasingly apparent that while aircraft fly to airports, consumers fly to destinations and those representing them need to get involved. Tourist boards often have access to vital information about their visitors like their socio-economic background that airlines don’t have, and all of this can be part of an argument to win a route.
“In addition, tourist boards are often the first to know about new hotel developments, who they are being targeted at and just how many beds will be available, so creating a bigger market.
“All of this is vital information for airlines when they are considering a new route and we would definitely recommend the more tourist boards can involve themselves in the process, the better for all.”
Mayes says there are three things tourist boards need to consider when looking at getting more involved in route development: their market, their competition and their customers.
He adds that in understanding their visitor market, destinations can access a wide amount of information – from their source markets to future events and festivals that will draw the crowds.
This can then be backed up with information about a destination’s own population while traffic forecasts are also essential for airlines. Mayes says: “It is important you understand your market – you cannot target everyone, which is why you need to focus.
“Understanding the market starts with trying to quantify it. The number of passengers between any two points will be a fraction of passengers either travelling indirect via another airport or potentially through surface leakage. Make sure you understand the direct/indirect split and surface leakage.”
When it comes to understanding their competition, Mayes says one of the tourist boards’ key rivals is other tourist boards. He says they can offer better marketing or funding deals, so a tourist board needs to know this information in order to compete.
Tourist boards also need to be aware that an airport’s main competition is other airports, so they need to consider if the airport is at the peak of its game when dealing with travellers.
Finally, the tourist boards need to understand their customers, whether it is an airline or a tour operator. Mayes says by knowing their business models they can make a more effective argument.
He says: “Each airline or tour operator will have different needs in terms of market, financial and operational requirements.
“Understanding the airline involves understanding fleet, network, scheduling priorities, operational requirements, financial support, market fit, geographical fit and brand strength.”
He adds there are a number of dos and don’ts tourist boards need to keep in mind once they are presenting to the airline too.
In particular, Mayes says a presentation should include putting forward key messages: “Begin with a summary of the routes opportunity and why the airline should operate at your airport and keep these messages short and succinct.”
Tourist boards should also focus on their market size, know the airline they are approaching, get feedback and be prepared to negotiate.
He says there are also a number of things to avoid discussing, in particular future development.
“Do not focus on the airport and the plans for the development. No airline is flying to your airport because of the new terminal. An airline is flying there because there is a market to be served. Nor should they get involved in difficult profit and loss calculations which the airline will know better. Again the potential market is the key focus with further advice on seasonality and average fares all helpful.”
