Development (Tourism and Promotion of Belfast) Sub-Committee 21 February 2006
From Nigov
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Tuesday, 21st February, 2006
SPECIAL MEETING OF DEVELOPMENT (TOURISM AND PROMOTION OF BELFAST) SUB-COMMITTEE
Members present: Councillor D. Dodds (Chairman); and Councillors Hartley, Hendron, Humphrey, P. Maskey, McCarthy, Mhic Giolla Mhín and Patterson.
In attendance: Ms. O. Murtagh, Tourism Development Manager; and Mr. B. Flynn, Committee Administrator.
Apologies
Apologies for inability to attend were reported from Councillors Adamson and Mullaghan.
Belfast Visitor and Convention Bureau
The Sub-Committee considered a report which had been prepared by the Tourism Development Manager in respect of the Council’s financial contribution towards the operation of the Belfast Visitor and Convention Bureau during 2006/2007. A copy of the report with the exception of the appendices referred to therein is set out hereunder:
“Purpose of Report
To receive a presentation from representatives of the Belfast visitor and Convention Bureau on the draft marketing and visitor servicing plan and to consider the Bureau’s application for funding.
Background
At a meeting of the Tourism and Promotion of Belfast Sub Committee held on 11th January, 2006 Members agreed to receive a presentation on the Bureau’s marketing and visitor servicing plan (draft). A copy of the executive summary is attached in Appendix 1.
Funding for current year 2005/2006
The Tourism and Promotion of Belfast Sub-Committee agreed funding of £600,000 to the Belfast Visitor and Convention Bureau for marketing activity in 2005/2006 and funding of £365,850 towards the operation of the Belfast Welcome Centre.
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Key achievements and milestones to date include:
Total visitors to Belfast City in 2004 over 5.9 million, generating a spend of £262.5 million into the local economy.
- Over 1 million overnight stays
- 375,000 business trips – 14% increase
- 235,000 City breaks – 62% increase
- 67 conferences; over 41,000 bed nights; £8 million spend – 40% increase in the number of conferences and 14% increase in spend in 2004
- 17 cruise ships, 38,000 visitors and a 20% increase in passenger numbers
- Belfast voted as the second most favourite UK city/short break destination in the Guardian/Observer travel wards, UK City of the Future in the FDI magazine and Best UK Conference Destination in the Business Britain magazine
- BVCB won the CIM Tourism and Hospitality Award, the Northern Ireland Travel News Tourism Award for Best TIC, the Northern Ireland Travel and Leisure News Award for Special Achievement, and award for e marketing from Business Eye, and NITB’s area Tourism initiative of the Year for Cruise Marketing
- Enquiry levels at the Belfast Welcome Centre and Belfast International Airport TIC combined are up 20%.
Tourism Performance
Belfast’s tourism performance demonstrates a higher growth rate than the Northern Ireland figure, illustrating the importance of a well developed and marketed city break and business destination to the whole of the region’s tourism performance.
Marketing Activity
The marketing and visitor servicing plan provides a comprehensive outline of the Bureau’s proposed marketing activities for 2006 to 2009.
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The key marketing objectives are:
- To increase visitor figures by 15% to 8.5 million - To increase overnight stays by 15% - 1.82 million visitors - To increase the value of tourism by 10% to £408 million.
Proposed Expenditure
The following table illustrates proposed expenditure in relation to marketing and visitor servicing for the next three years.
Expenditure
2006-2007 Year 1 2007-2008 Year 2 2008-2009 Year 3 £ £ £
Activity Leisure Marketing Convention Bureau Communications Visitor Servicing – Marketing Research (incl. secretariat salary and RTP admin) Product Development Industry Training
2,128,000 235,000 100,000 360,000 23,000
80,000 68,000
2,091,000 245,000 105,000 242,000 34,000
128,000 70,000
2,121,000 248,000 110,500 248,000 38,000
136,000 71,000 2,994,000 2,915,000 2,972,500
Overheads Salaries Overhead costs 673,635 145,789 714,286 141,786 757,646 142,810 TOTAL 3,813,424 3,771,072 3,872,856
The Bureau is seeking financial support and income from the following sources.
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Income 2006/7
Total income for 2006/7 is projected to be £3,282,000 from the following sources of funding:
Marketing, Convention Bureau and Communication & BVCB Overheads – Funding 2006/2007 Funding Source 2006/07 2007/08 2008/09 £ % £ % £ % Belfast City Council and National Agencies BCCM Belfast City Council – main funding NITB Invest NI/BCCRD
40,000 718,000
900,000 100,000
40,000 736,000
910,000 100,000
40,000 756,000
920,000 100,000 1,758,000 53 1,786,000 54 1,816,000 54 Other Local Authorities North Down BC Lisburn CC Castlereagh BC Newtownabbey BC Carrickfergus BC Antrim BC 47,000 47,000 12,000 12,000 12,000 5,000 50,000 50,000 15,000 15,000 15,000 15,000 54,000 54,000 17,000 17,000 17,000 17,000 135,000 4 160,00015 5 176,000 5 Private Sector Retail sector Private sector membership Sponsorship Advertising Conference Booking Fees Participation and contribution Festival marketing Carrier campaigns – joint marketing Generic campaigns – joint marketing 100,000 130,000 155,000 144,000 40,000 39,000 16,000 300,000
15,000 103,000 135,000 155,000 148,000 42,000 42,000 16,500 310,00
15,000 106,000 140,000 155,000 153,000 44,000 44,000 17,000 320,000
15,000 939,000 29 966,500 29 994,000 29 Other Joint Marketing Celebrate Belfast 2006 Event Marketing Domestic Event Marketing Belfast Cruise Initiatives Sundry Income 75,000 260,000 100,000 10,000 5,000 - 266,000 102,000 12,000 5,000 - 272,000 104,000 12,000 5,000 450,000 14 385,000 12 393,000 12 TOTAL – Marketing, CB, comms and overheads 3,282,000 100 3,297,000 100 3,379,000 100
Members should note that £618,000 is being requested from the Tourism budget towards marketing activity in 2006/2007. The remainder will be requested through the domestic marketing campaign, Whatabout Guide, and City development budget.
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Monitoring and Evaluation
The achievement of the strategic objectives will be monitored through the establishment of benchmarking criteria, appropriate performance measurements and destination indicators.
Through the Belfast Tourism Monitor the following will be measured:
- Volume and value of tourism to Belfast - Motivations to visit - Visitor profiles - Monitoring of each market sector initiative.
Communication with the Council’s tourism development unit and the Bureau has been regulated through a project document and legal funding agreement.
Visitor Servicing Plan
The aims and objectives of the Belfast Welcome Centre are as follows:
- To provide a seamless flow of welcome orientation and information for the visitor to Belfast / Northern Ireland.
- To provide a state-of-the art facility for the citizens of Belfast and Northern Ireland and all visitors to Belfast and its surrounding area and all visitors to Northern Ireland and Ireland.
- To provide a shop window for tourism related business to showcase the best that Belfast Northern Ireland and Ireland has to offer.
- To play an integral part in the marketing of Belfast by providing a fulfilment role call centre role and being the point of contact for all Belfast and specific Northern Ireland marketing activity.
- To be a one stop shop for information tickets accommodation bookings and gifts relating to Belfast Northern Ireland and Ireland; in particular to become a city centre located box office for all events in the city.
- To act as a signposting facility to encourage longer stays higher spend and spread of tourism from Belfast centre to other parts of Belfast and Northern Ireland.
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Target for Visitor Enquiries
2003/04 2004/05 2005/06 Target 2006/07 Target 2007/08 Target 2008/09
Visitor Nos (electronic eye)
242,647 278,997 280,500 304,500 327,839 352,515 Total enquiries 324,854 363,818 364,000 391,397 416,379 438,293 Total Gross Income Generated
577,431 676,737 715,100 773,761 827,890 886,215
Expenditure
Expenditure 2006/2007 £ 2007/2008
£ 2008/2009
£
Operating Costs 342,915 352,513 361,253 Promotional Activity 49,000 46,000 47,000 Employment Costs 309,278 328,364 348,166 Cost of sales 490,175 525,328 563,242 Administration Costs 53,000 56,000 58,000 Professional Costs – Legal & General 13,300 13,700 14,100 Finance & Taxation 4,100 4,300 4,500 Depreciation 2,605 3,402 3,935 Total 1,261,768 1,329,607 1,400,196
Funding is provided by Belfast City Council and the Northern Ireland Tourist Board. The levels requested for 2006/07 are outlined below.
Income 2006/2007
£ 2007/2008
£ 2008/2009 £
BCC
- Celebrate Belfast/BCC additional funding
Sunday Opening
Total 376,826
13,000
389,826 31% 388,130
13,500
401,630 30% 399,775
14,000
413,775 30% NITB 100,000 9% 100,000 8% 100,000 7% Gross income Generated 773,761 60% 827,890 62% 886,215 63% Total gross income 1,263,587 1,329,520 100% 1,399,990 100%
In the financial year 2006/07 every £1 of Belfast city Council money invested in the Belfast Welcome Centre levers out £3.35 from other sources.
An executive summary of the Belfast Welcome Centre business plan is attached at Appendix 2.
In order to extend the operation of the Belfast Welcome Centre on a seven day basis, it is proposed that the Belfast Welcome Centre will open on Sundays throughout the year. This will provide an opportunity for us to encourage other visitor attractions to open and also to promote the Celebrate Belfast programme. As a result, an additional £13,500 is requested to support Sunday opening in 2006/2007.
The benefits of extended opening would be
- Better service for locals and visitors
- Help facilitate Celebrate Belfast programme
- Specifically assist such events as Titanic festival; provide information and ticketing resource
- Assist the City Council and the Bureau to put more pressure on attractions sector to open on Sundays Help generate higher enquiry and increased income levels in the Welcome Centre
Tourist Information Centre at Belfast International Airport
Both the Belfast City Region Tourism marketing and Visitor Servicing Plan and the Northern Ireland Visitor Servicing Strategy recommended the operation of a gateway tourist information centre at Belfast International Airport. Members will be aware that the Tourism and Promotion of Belfast Sub-Committee agreed to provide funding support of £12,000 for 2004/05.
An analysis of enquiries illustrated in Appendix 3 indicates that a total of 46,500 enquiries were received, with the majority of these requesting information on Belfast.
As a result, funding of £13,500 is requested to support the airport Tourist Information Centre from April 2006 to March 2007 and an additional £15,000 for the operation of this facility in 2007/2008.
Domestic Marketing
The Belfast Visitor and Convention Bureau have developed a 3 year campaign as a partnership approach for marketing the city. The aim of the campaign is to:
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- Give Belfast the opportunity to secure and enhance its position as the premier Northern Ireland destination for retail, events and leisure activity.
- Offer significant economies of scale and synergy by adopting a multi-sectoral approach encompassing retail, the evening economy, visitor attractions and events.
- Deliver a truly integrated and co-ordinated marketing and communication plan.
The domestic marketing campaign has brought together a partnership of the key stakeholders in Belfast.
- Belfast City Council delivers a key role in regeneration of the city through all aspects of development. The City Council is responsible for enhancing the vibrancy of the city through the staging of a calendar of key events, including during the Halloween, Christmas, Easter and Summer periods.
- The Department of Social Development’s Belfast City Centre Regeneration Directorate which is the government section charged with the urban regeneration of Belfast. Their marketing focus is the enhancement of the Belfast product.
- Belfast Visitor and Convention Bureau – a public/private sector marketing and visitor servicing organisation with a membership base of 365. Belfast Visitor and Convention Bureau markets Belfast as a conference and short break destination and manages the Belfast Welcome Centre.
Proposals for the 2006 Campaign
The proposals for year two of the all year round above-the-line marketing/media campaign will focus on day trips and overnighters from the following 3 key markets.
- Family and shoppers (day)
- 18-35 entertainment (overnighters)
- 35+ entertainment (overnighters)
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The campaign is aimed at maintaining and enhancing Belfast as Northern Ireland’s centre for culture, entertainment and shopping and stemming the increasing outflow of people to Dublin, Glasgow, London and other UK regional cities. The media campaign will, as in 2004, include press, television, poster and radio and will centre around 4 key times in the event calendar – Christmas and New Year, Spring, early Summer and Halloween. This has covered press, radio and television advertising.
Key Targets Set for the 2006 Campaign
- To increase the number of visitors to Belfast from key domestic markets (day and overnight trips) by 20% per annum.
- To increase visitor spend from key domestic markets by 15% per annum.
- To increase footfall in the city centre by 5%.
- To increase retail expenditure by 5%.
- To increase the uptake of key events held in the city by 10%.
- To increase the number of visitors to key attractions in Belfast.
- To increase the number of domestic enquiries to the Belfast Welcome Centre by 30%.
- To increase the number of bookings from the domestic market through the Belfast Welcome Centre by 20% (accommodation and tickets).
Monitoring and Evaluation of the 2006 Campaign
Continual monitoring of the success of the campaign will take place at regular intervals via the Belfast Tourism Monitoring survey. Monitoring will include measuring performance against target objectives in terms of;
- Footfall counts
- Retail sales
- Entertainment sales
- Attendance at city events
- Enquiries and ticket sales (Belfast Welcome Centre)
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2006 Proposal
The proposal is to continue the campaign and build on the success of previous two years activity. The proposal in respect of support towards the generic marketing of the city - image led marketing of Belfast outside of event specific marketing campaigns. BVCB are seeking support from:
- Private and retail sectors including BCCM - £120,000
- Northern Ireland Tourist Board (RoI only) £150,000
- BVCB - £30,000
The proposed budget is £400,000 with a sought contribution from BCC of £100,000.
Whatabout Guide 2006/2007
The principal objective of the Whatabout guide is to ensure that both visitors and residents of Belfast have access to regular and reliable information on what’s on in the City. Belfast City Council’s decision to support a centrally co-ordinated event listing facility in the city has been widely praised both by event organisers, visitors to the City and local residents.
Whatabout 2006/2007 Print Requirements
Details have been received in relation to the proposed events guide for next year.
- 6 monthly editions
- 3 bi-month editions
- Format A5 colour
- Branding Belfast City Council and City logo.
- Web. www.gotobelfast.com as the city’s tourism portal site; events lists will contain relevant URL’s
- Minimum print run of 40,000 per issue standard issue
- Total print run would 525,000
Dedicated literature dispensers have been produced and are located at a number of venues, accommodation providers and visitor attractions throughout the City. Distribution will be via Belfast Visitor and Convention Bureau’s distribution company with requests managed by Belfast Welcome Centre.
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Budget
The proposed cost for this initiative is £240,000 of which Belfast City Council is asked to contribute £100,000. Additional funding will be sourced through sponsorship and advertising revenue.
Current Position
The Northern Ireland Tourist Board have indicated that financial assistance will be limited towards the activities undertaken by the Bureau.
Members should note that due to the size of the marketing and visitor servicing plan executive summaries have been made available. A copy of the full plan can be provided upon request.
Environmental Implications
None.
Equality Considerations
None.
Capital City Strategy Reference
5 Believing we’re worth it
Cultural Tourism Strategy Reference
Implementing strategy
Recommendation
It is recommended that Members approve:
(a) Funding of £618,000 towards the marketing activity of the Belfast Visitor and Convention Bureau payable in two instalments – April 2006 and October 2006.
(b) Funding of £376,825 towards the operation of the Belfast Welcome Centre to include extended opening, payable in four instalments. (c) Funding of £13,500 towards the operation of the Tourist Information Centre at Belfast International Airport and £15,000 towards its operation in 2006/2008.
(d) Funding of £13,500 towards the opening of the Belfast Welcome Centre on an all-year-round basis.
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(e) Funding of £100,000 towards the Domestic Marketing Campaign.
(f) Funding of £100,000 towards the production of the Whatabout guide.
Decision Required
To agree the aforementioned recommendation.”
It was reported that Mr. G. Lennon, Chief Executive of the Belfast Visitor and Convention Bureau, was in attendance and he was admitted to the meeting and welcomed by the Chairman (Councillor D. Dodds).
Mr. Lennon reviewed the role of the Bureau and outlined its major achievements during 2006 and then answered questions which were put to him by the Members.
A number of Members praised the role of the Bureau in the promotion of the City and expressed concern regarding the reduction in the funding which the Bureau would receive from the Northern Ireland Tourist Board.
After discussion, the Sub-Committee adopted the recommendation contained within the report and agreed that a letter be forwarded to the Minister with responsibility for Culture, Arts and Leisure, Mrs. Angela Smith, M.P., outlining the Sub-Committee’s concern regarding the reduction in funding allocated to the Bureau. In addition, it was agreed that the Minister be requested to acknowledge Belfast’s role as the primary tourist gateway to Northern Ireland and that this be reflected in any future budgetary allocations from Central Government.
Chairman
