In late June, the American Automobile Association (AAA) heaped a healthy helping of doom onto the tourism plate when it predicted the stagnant economy would lead to a drop in Fourth of July travel. But perhaps the AAA wasn’t looking at Wisconsin.

In May Governor Doyle’s office reporting tourism revenue rose by 2.7 percent in 2008, despite record high $4 per gallon gas prices and 30 Wisconsin counties being flooded out. This trend continues in 2009, says Wisconsin Tourism Secretary Kelli Trumble, who reports that travel industry leaders and business owners in the state of Wisconsin have found tourism to be anything but down. In fact, some areas are already reporting a boost in 2009 travel.

“Travel is, and continues to be, a core strength of Wisconsin’s economy,” she says, noting the tourism industry drives $13 billion to the state’s economy every year, supports 310,330 jobs and $7.3 billion in payroll. “We’re driving that year-round through all four seasons, even in challenging times.”

The state’s reputation as a good value and tried-and-true destination has kept tourist traffic strong during the economic downturn, according to Trumble.  “Consumers are looking for money-saving options right now and Wisconsin is already a good value compared to other vacation destinations,” she says.

Other state tourism leaders echo Trumble’s findings. Jon Jarosh, director of communications and public relations for the Door County Visitor Bureau, mentions some innkeepers indicate bookings are up. While not a blanket statement, he says business owners feel largely positive about the summer season. Eagle River Chamber of Commerce Executive Director Conrad Heeg reports this northern Wisconsin area is also holding its own. He relays winter and summer season business has held steady, and lodging numbers are slightly elevated.

The “staycation,” a word coined to describe when people take day trips or extended vacations within driving distance of their own homes, is a primary reason state travel remains high, reports Melanie Platt-Gibson, marketing director of the Wisconsin Dells Visitor & Convention Bureau. “We are finding people are staying closer to home, which works in favor for places like Wisconsin Dells,” she says. “We have heard from our members and visitors themselves that instead of taking a trip to the Grand Canyon or Disney World, they are coming here.”

Value reigns king

In tough economic times, value reigns as king in the tourism world, according to state tourism industry leaders. Unwilling to let current economic woes deter them from well-deserved and needed time away, travelers are still taking vacations but are pinching every penny when they do.

Travelers expect to know how much their vacation will cost, from lodging to meals, entertainment and taxes — before they arrive. “They want to know exactly what they are going to pay in advance; and they want to know that number to the penny,” says Dawn Baker, general manager of Baker’s Sunset Bay Resort on Lake Delton. “We’ve never had that before.”

Fortunately the variety Wisconsin getaways offer continues to attract travelers to the state, adds Platt-Gibson. Wisconsin Dells, and other Wisconsin destinations, offer plenty of variety, from outdoor experiences, to waterparks, to museums and fine dining. Wisconsin Dells alone boasts more than 8,000 hotel rooms, approximately 3,000 campsites and a host of attractions, shopping and dining experiences. The Eagle River area attracts visitors to its 1,300 lakes for fishing, boating, canoeing, kayaking and wildlife experiences. Visitors flock to Door County for its cherries, apples, beautiful landscapes and scenery while places like Milwaukee draw people to their arts, culinary and shopping experiences.

Trumble encourages those considering travel within the state to check www.wisconsintravel.com to learn what the region offers by category, be it golfing, dining, fishing, etc. then advises checking the local visitor bureau Web site for more information. In turn, she recommends businesses make sure their marketing message appears on these sites. The importance of the Internet cannot be underestimated. It is increasingly becoming a key place for a destination’s tourism message.

“We are spending more on the Internet than in print now,” Heeg says. “And we are getting a higher return on that.”

Change with the times

The bad news is those businesses failing to prepare for changes in visitor travel may soon feel an economic pinch, if they haven’t already. Travelers no longer book months in advance, opting instead to pack up their bags and go on a whim. They are throwing in a few extra nights, seeking lodging that allows them to cook in or stay in large groups, and are expecting added value. The savvy business owner must adapt to these changes with targeted marketing efforts, says Trumble, explaining that travelers are often waiting for the right deals, nice weather or a time when their budgets allow for travel.

“Innkeepers or businesses are used to people calling and reserving rooms ahead of time, so they had a good idea of what the season was going to be in advance, “says Jarosh. “I think those days are over. You have to change with the times. You have to change as consumers change, habits change and interests change.”

To mitigate the impact of current economic concerns, the state Department of Tourism responded with a mid-season advertising campaign, beginning in July and running through August, for the 2009 summer season. This department resurrected the tactic, began last summer to counter the effects of the season’s severe weather and high gas prices, to address economic conditions that might keep travelers home.

Trumble explains the marketing effort, a television ad campaign that extends throughout the state to Illinois, Minnesota and parts of Iowa, reaches travelers as they consider booking their stay.

The Door County Visitor Bureau also has responded in kind, with a far-reaching marketing campaign designed to attract visitors from other parts of the state and country. This marketing campaign became possible when Door County’s 19 municipalities banded together to form a tourism zone and enact a common room tax. Sixty-six percent of the funds raised by this tax goes to the visitor bureau for marketing ventures.

Once privately funded through membership dues and revenue raised by the visitor bureau itself, the organization now receives its funding from the Door County Visitors Zone, giving it more money to market the destination and all it has to offer. “We went from an advertising budget of $250,000 to about $2 million,” says Jarosh. “This enables us to tell the county’s story and invite visitors to Door County on a scale we’ve never been able to do before.”

This change comes at a time when many destination marketing organizations have cut or even decimated their marketing budgets. “This new funding source has allowed us to do some things here that has helped us be fairly resilient in what is a difficult tourism economy,” he says.

Packaging value

Savvy marketing tactics help keep tourism high, but Trumble adds it is also important for businesses to increase the value of visits to their destination. “The theme of value is one we are hearing over and over,” she says, adding that it is worth noting that the state’s tourism business owners understand how the economy influences buying and traveling and are working hard to increase the value of Wisconsin getaways.

Wisconsin businesses are increasingly offering packages and deals designed to draw visitors to the state. Take the Wisconsin Dells area, for instance, where merchants have partnered to develop appealing travel packages. For every room booked at Copa Cabana Resort Hotel & Suites, for example, visitors receive two complimentary tickets to the Tommy Bartlett Show & Exploratory as well as two complimentary tickets to Riverview Park and Waterworld.

Baker’s Sunset Bay Resort offers similar packages. Baker says its “Have Gas, Will Travel!!!” package, which includes a gas card for $50, two passes to Kalahari Waterpark or Noah’s Ark Family Park, dinner at Sarento’s Italian Restaurant and a two-night resort stay has been particularly popular. As has its “Best Show on H20” package, which includes three nights lodging, four deluxe seats for the Tommy Bartlett Ski, Sky and Stage Show, four tickets to the Tommy Bartlett Exploratory, four tickets to the Original Wisconsin Ducks, four tickets to Kalahari or Noah’s Ark and a tour of Lost Canyon. This package is complimented with a $50 gift certificate to Marley’s and a $25 gift certificate for Pizza Pub. She adds packages change with the seasons to draw visitors year-round.

These packages, she says, have become extremely important in attracting business in 2009. “We have always done packages,” says Baker. “But we have never sold as many as we have this year.”

Visitor bureaus have also jumped into the act. The Door County Visitor Bureau recently began including a $25 gift certificate with every package sold. The gift certificates help track the number of packages merchants sell and increase visitor spending.

“There’s a good chance they’re going to spend that $25 gift certificate. It might be on lodging, at a gift shop or at a restaurant,” Jarosh says. “There’s a good chance they’ll spend more than that $25. And, it’s just one more incentive for them to choose Door County.”

Sunny skies ahead

The Department of Commerce began reporting in late July that the ongoing economic recession, the worst since the Great Depression, is showing signs of recovery. While economists remain apprehensive about the fall in capital spending and the continued increase in unemployment, national news sources report economic indicators point to the recession ending soon and a robust economic rebound.

But even if the state’s tourism industry has weathered the worst of these troubled times business owners cannot become complacent. As Baker emphasizes, “It’s important to look at past guests and figure out what travelers want, then adjust to keep people coming back,” she says.

Keeping an eye on the past while looking to the future helps ensure visitor satisfaction. Wisconsin carries a well-earned reputation for offering both diversity and value to vacationers, and taking a close look at where they’ve been helps businesses plan for the future.

As Trumble says, “The key to keeping tourism high in the state is to continue delivering that memorable experience people are looking for.”

By Ronnie Garrett

Ronnie Garrett is the Editor of Corporate Report Wisconsin.

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