Tourist Retail is More than Souvenir Shops
Tourism for many communities is a key engine for economic growth,
and civic leaders are closely examining ways to increase the number
of visitors that enrich the local economy.
For years, communities have employed innovative marketing techniques
to promote their natural and man-made attractions. As the tourism
industry becomes more competitive, communities are recognizing that
promotion and positioning alone will not guarantee success. In addition
to the attractions themselves, they need to offer appealing “sub-attractions,”
such as retail stores and restaurants that appeal to the throngs of
people that visit their communities.
Retail is a potentially effective and profitable way to expand and
deepen the visitor’s experience and extend the stay in the host
community. Tourist retail has, of course, been around for a long time.
These days, however, this type of retail must consist of more than
T-Shirt and souvenir shops. To ensure adequate shopping and dining
experiences for their out-of-town visitors, many communities are integrating
aggressive programs to expand their retail and restaurant base.
An expanded offering of tourist retail provides these benefits:
- Tourism is an "export" industry that brings new dollars to the community
- Tourism enhances the visibility of the community and opens up other economic development opportunities
- Residents benefit from a more diverse and larger mix of retailers and restaurants.
Additional Opportunities
Shopping is an important part of the visitor experience and can be leveraged by the community to capture a larger share of tourists' spending.
Don't overlook the importance of existing retailers, who can also benefit from the growth of the visitors industry. Many visitors are not looking for conventional tourism retail, but instead they want to shop where the locals shop, including department stores, specialty stores and restaurants. Are your existing retailers offering the types of products and services most in-demand from visitors?
Also remember that a community does not have to be a major destination to benefit from tourist dollars. Smaller communities can leverage their attractions by ensuring that tourist's needs are being met. Are your visitors looking for quaint gift boutiques or do they desire trendy nightlife and dining?
Understanding Your Visitors
The key to expanding and attracting retailers that serve the visitors industry begins with first understanding your customer-the visitors that are now coming to your community.
Begin by collecting basic visitor demographics that includes the visitor's town and country of origin, the numbers in the party and the length of stay. This type of information should be attainable from your local attractions and lodging facilities and from sign-in books at convention and visitors bureaus. Local sources can be supplemented with information from state tourism offices and regional promotion groups.
This collected data has many uses. It can help you develop detailed psychographic profiles of your current visitors, identify new visitors and target specific potential visitors. These detailed profiles can also be used to focus on expanding or attracting the retail mix and services needed to serve visitors.
The tourism industry is highly competitive. A community faces competition from destinations within the region and far beyond. Communities have the opportunity to meet the competition head on by expanding and attracting visitor-oriented retailers.
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