Canadian Travel to the U.S. Presented to: Discover America Committee-- CANADA Presented by: MARK BROWN Office of Travel and Tourism Industries International Trade Administration U.S. Department of Commerce October 2011 Good afternoon. It is my pleasure to be here with you once agaon representing the U.S. Department of Commerce….Office of Travel and Tourism Industries. Thank you DiscoverAmerica Committee for the invitation to share the Canada story, and thank you again Air Canada and Interncontinental Hotel-TORONTO for making my trip possible. 1

Agenda for Today Fun Facts about Canada Big to Small Looking ahead Global travel trends Canada outbound volume and trends Canada to the U.S. volume and trends Canada’s importance to the U.S. travel industry Visitation to U.S. states Canadian visitor profile update and trends Looking ahead Update Q & A What a difference a year makes. I think that’s what I said last year, too! And the year before that. Here are the topics I would like to cover in my time with you this afternoon. My goal is to give you the tools to help you sell to Canadians, and to sell Canada…internally within your organizations. 2

Did You Know? Canada Myth-Buster Style China, China, China China might be the fastest-growing origin market, but more than one-third of USA visitor growth through 2016 will come from CANADA. U.K., U.K., U.K. More Canadian air travelers to the U.S. than visitors from the U.K. Canada is 1-1-1 #1 visitors ranking #1 visitor spending ranking (attained in 2007) #1 travel balance of trade surplus ranking (attained in 2008) Best “Geo Equity” All U.S. states benefit from Canadian travelers. Best equity of any country. Let’s start with some factoids you might find interesting. 3

OTTI’s Canada Travel Program Dedicated OTTI Research Analyst. Monthly U.S. Inbound / Outbound visitor volume by travel segments (with ongoing summary). Annual Report (comprehensive visitor profile). Dedicated section on TINET website. Substantial addition of historical tables and analyses. Nurture relationships with Statistics Canada, CTC, CB-C, CS offices, DiscoverAmerica Committee-Canada. Travel & Tourism Advisory Board consideration for marketing and policy programs. WHTI tracking on monthly basis. Monitor demographics / economy changes. Your head cheerleader as the Travel Promotion Act of 2009 developments unfold. Here’s a list of elements in OTTI’s Canadian program. This is one of a dozen formal program areas within OTTI. *The dedicated analyst is me. *I’d be happy to send periodic updates of the monthly data. You probably don’t need a monthly update. *The annual reports are available on the TINET website. *The TINET website is being revised now, partly to conform to ITA standards, but also to greatly embellish content, while improving navigation. Relationships: StatsCan:Statistics Canada has a substantial relationship existing with BEA and has permanent staff in BEA’s offices. My role is to ensure OTTI is getting the visitor information we need and to know what is available. (Sylvain, Lotfi, Daniel) CTC: OTTI and CTC regularly shares information with one another (Roger, Neil). Conference Board-Canada: I plan to revisit the Canadian tourism Research Institutes information, including the Travel Intentions Survey. Commercial Service: To date I’ve shared information with the Vancouver office (Cheryl) and Toronto office (Ruth). SeeAmerica Committee-Canada: My presence here today continues this relationship. I look forward to hearing from you later in the Q&A or at the gathering following our meeting here on how else I can serve this committee.. TTAB: Part of my responsibilities is to ensure useful data on the Canadian visitor origin market is available in consideration of Travel and Tourism Advisory Board and other marketing programs. Impacts of any sort deriving from the recently enacted TPA won’t be known for awhile, including which countries will be targetted for marketing, but part of my job is to be your head cheerleader to ensure Canada is included in the pool of countries for consideration. 4

Global Travel Trends Let’s take a brief look at global travel trends to provide perspective on the U.S. performance.

World Tourism Arrivals & Receipts (1980-2010) $918b NOTES TO SPEAKER: None SLIDE NOTES: Lets begin with the numbers looking at the global travel. 2010 arrivals was 940 million and receipts was $918 billion. Thus, global spending per visitor is roughly $1,000 per trip. There’s no real shift here….world tourism arrivals and receipts has grown at a consistent rate since 1950 of about 7%...with only a few slow-down periods, such as the early 80s and the early 00s. The graph here shows annual changes from 1950-up through 2010. The UNWTO forecast for arrivals is a plus 4 or 5% in 2011, and similar growth in the 5-6% range through 2020. We use the terms “arrivals” and receipts to reflect the occurrence of some travelers visiting multiple countries on the same trip. So for example, arrivals is the sum of visits to countries at the destination level, as opposed to the number of TRAVELERS at the origin country level. Source: U.N. World Tourism Organization (August 2011) [GRAPHIC SOURCE: I:\Tourism Industries\Outreach\Associations\WTO--UN World Tourism Organization\001 UNWTO U.S. Market Share Indicators (of Global Travel by country)\1950-CURRENT World Arrivals, $$$, US share.xl1 6

Top Ten Country Rankings of Global Visitors and Receipts (2010) The United States leads the world in global travel and tourism exports (spending receipts) and ranks 2rd in global visitation. Destination 2010 World Destination 2010 World Rank Country Receipts* Share Country Visitors Share ($bil) (%) (mil) (%) All Countries $918 All Countries 940 1 United States $104 11.0% France 77 8.2% 2 Spain $53 5.6% United States 60 6.4% 3 France $47 5.0% China 56 5.9% 4 China $46 4.9% Spain 53 5.6% 5 Italy $40 4.3% Italy 44 4.6% 6 Germany $35 3.7% United Kingdom 28 3.0% 7 United Kingdom $31 3.3% Turkey 27 2.9% 8 Australia $30 3.2% Germany 27 2.9% 9 Hong Kong (China) $22 2.4% Malaysia 25 2.6% 10 Turkey $21 2.2% Mexico 22 2.4% The U.S. dominates in share of world receipts, and is ranked second for international traveler volume. UNWTO excludes passenger fares in the receipt total. If the U.S. airline industry were a county, it would be the 8th largest in receipts from foreign travelers (foreign residents using U.S. carriers). The U.S. has lost market share of global arrivals and spending, but so has all other developed countries; most market share records of developed countries was in the 90s, as it was for the USA. Gainers are Asia, the location of population and income growth, and intra-regional travel. Source: U.N. World Tourism Organization. * Latest data available and excludes air passenger fares ($30.9 billion for U.S. alone in 2010). World shares based on unrounded data. China visitation and spending includes day trips. All other countries include overnight trips only.

Traveler Volume from Canada to the U.S. (stays of 1 or more nights) millions Here’s nearly 4 decades of overnight traveler volume from Canada to the U.S. 2010 performance broke the long-standing record of 19.1 million set in 1991. The 2011 performance through July is up 6%. The Spring OTTI forecast calls for solid growth each of the next 6 six years, including 2011. Is the magnitude and duration of growth realistic? No question, the forecast is bullish and includes expectations of Canada receiving considerable attention from the Corporation for Travel Promotion. But,by overlaying the projected growth over top growth periods in the past…you can see we’ve seen this growth before, both in the late 90s and the late 00s. 2011 YTD INCREASE is 6% through July, but could settle somewhat higher by year-end. Source: Statistics Canada. 8

Trends in Travel from/to Canada (stays of 1 or more nights) The TOs and FROMs our two countries were mirror opposites until 2009. The divergence stopped in 2009 when both trends declined, but resumed in 2010 and continues in 2011 (inbound to USA up 6%; outbound from USA to Canada +0.4%). Source: Statistics Canada. 9

Canada Outbound / U.S. Share annual growth rates 1999-2011YTD--1+ nights Canadians have been traveling outside Canada! U.S. performance trailed non-U.S. performance in 9 of the past 12 years. Not so in 2010! 2011 equal. The blue series is year-to-year growth in travel to the U.S. The orange series reflects year-to-year changes in Canada outbound to places other than the U.S. Both reflect trips of 1+ nights. Canadians are traveling outside the country, but the shorter blue bars over much of the past eight years means the U.S. was losing market share of total outbound--a drop from 77% in 1999 to 70% in 2008. That trend reversed in 2010, and jury is still out for 2011…right now neck and neck. 10

Canadian Outbound Traveler Volume (percent change same month from previous year) Outbound to the U.S. is often inconsistent with outbound to the rest of the world in magnitude…and sometimes in direction of change. Outbound to the U.S. was 70% of all outbound in 2010—a proportion that has been higher. 06 /05 07 / 06 08 / 07 09 / 08 10 / 09 11 / 10 Here’s the same data on a monthly basis. Trends were in the same positive direction for both outbound to US and all other leading up to the Fall of 2008. Then wham-o!...opposite directions beginning in the Fall of 2008 for about 8 months. In 2010, outbound to the US recovered more quickly than outbound to the rest of the world. In 2011, growth in outbound has been nearly identical every month. The July performance, the most recent month, is very encouraging.

Canada to U.S. 12-month moving average The 12 consecuting months of decline in 2008/2009 was matched by 8 consecutive increases in 2009/2010. The growth is losing momentum… A 12-month moving average trend line is a convenient way of showing an ongoing trend, without the month-to-month big swings. It’s based on the actual visitor volume, so big changes in big months (such as July) impact the trend more than changes in small months (February). The mirror image of the rebound following the trough of August 2009 compared to the decline leading up to that month is…interesting! The downward-sloping line in 2011 reflects outbound travel that is still growing…but losing momentum. 12

Where are Canadians Traveling? Nearly 70% to U.S….after U.S., all other countries are 1.0 million or fewer. US growth of 2.5M (17%). Top countries: GROWTH RATE France 445,000 93% UK 235,000 38% Cuba 536,000 338% Mexico 337,000 121% Dominican Republic 412,000 294% China 384,000 251% Italy 169,000 67% Hong Kong 94,000 51% Germany 114,000 86% Jamaica 90,000 87% Source: UNWTO. Statistical Compendium database. Growth and rate reflect change from 1995-1997 average to 2006-2008 average. Trends for Canada are similar to those for outbound Americans—growth is to warm sunny Caribbean destinations and Southeast Asia. 13

Top Origin Markets for International Travelers to the U.S. Origin of Visitor 2010 2010/2009 2011/2010 YTD (000s) (% change) (% change) International Total * 59,793 9% 5% 1 Canada 19,961 11% 6% 2 Mexico 13,469 2% -1% Overseas ** 26,363 11% 6% 3 United Kingdom 3,851 -1% 2% 4 Japan 3,386 16% -7% 5 Germany 1,726 2% 6% 6 France 1,342 11% 17% 7 Brazil 1,198 34% 27% 8 South Korea 1,108 49% 17% 9 Australia 904 25% 68% 10 Italy 838 11% 10% Here’s the performance by the top origin markets in 2010. 2010 Highlights: * 9 of the top 10 countries posted increases United Kingdom posted the only decline * 7 of top 10, and 13 of top 20 posted double digit increases * Record for 6 of top 10; 9 of top 20. * International travelers include all countries generating visitors to the U.S. ** Overseas includes all countries except Canada and Mexico. Record year for travel to U.S. 14

Top Origin Markets for International Travelers to the U.S. Origin of Visitor 2010 2010/2009 2011/2010 YTD (000s) (% change) (% change) 11 China (PRC) 802 53% 38% India 651 18% 3% Spain 640 7% 10% Netherlands 570 4% 6% Colombia 495 17% 2% Venezuela 492 -3% 7% Argentina 436 22% 16% 18 Switzerland 391 10% 22% Sweden 372 15% 23% Ireland 360 -12% -3% Here’s the second half of the top 20 inbound markets. Record year for travel to U.S. 15

Top Ten Travel Export Markets (2010 & record receipts/year) Total Travel Record Year Receipts Travel Record Origin Country 2010 Receipts Set ($bil) ($bil) Canada $20.8 2010 Japan $14.6 $17.8 1995 United Kingdom $11.6 $16.7 2008 Mexico $8.7 $9.7 2008 Brazil $5.9 2010 Germany $5.8 $6.7 2008 China $5.0 2010 France $4.1 $4.8 2008 India $4.0 $4.3 2008 Australia $4.0 2010 U.S. TOTAL $134.4 $141.4 2008 We saw earlier how the countries ranked in terms of arrivals to the U.S. Here’s a look at their economic importance to the U.S. These top-10 countries account for 61% of total spending. Canada attained the top spot in 2007. Japan was in the top spot prior to 2007, was pushed down to 3rd by UK growth..only to move up to 2nd due to UK’s steep decline in 2009 spending. Brazil moved up to 5th place due to continued growth coupled with declines for countries that had been ranked higher. China moved up from 11th to 7th in 2009 because of flatness in spending coupled with declines for other countries. Conversely, Italy was pushed to 11th place because of a large drop in 2009 spending. The right-hand column shows that 2008 was the record year for most markets. The exceptions are Japan, whose record remains 1995, and Brazil, the only top 10 country with a 2009 record. All spending data are shown in current or nominal dollars, that is, NOT adjusted for inflation.

The Algebra of Canadian Spending Don’t be scared…just a little bit of math to better understand changes in traveler spending. BEA and Statistics Canada always differ by a little bit for various technical reasons. Ceteris paribus, economist-ese for “holding all other things constant or the same”, an 11% increase in visitors would translate into an 11% increase in spending. Using BEA’s increase of 29% in 2010 over 2009, the change consists of an 11% increase in visitors, a 10% increase in exchange rate (average for the year), and roughly, an 8% increase in per-person spending, caused by changes in the items shaded in blue and in green. 17

Importance of the Canadian Travel Market to the U.S. (2010) Canada accounts for 33.4% (higher) of U.S. international visitors and 15.5% (higher) of visitor spending. …and... For many destinations, Canadian visitation occurs in non-peak seasons and helps to distribute visitors more uniformly throughout the year. All states benefit from Canadian travelers! Geographic equity is best among origin countries (27 states of 2+% of total visitors). Travel exports are 7% of all exports and 41% of services exports to Canada. Rankings: #1 visitors (19.96 M) (next is Mexico, 13.5M) #1 spending ($20.82 B) (next is Japan, $14.6B) #1 travel trade surplus ($13.78 B) (next is Japan, $9.9B) “Geo-equity” is important for the Canada market because the Travel Promotion Act mandates the Corporation for Travel Promotion to increase travelers THROUGHOUT the USA. 18

Key Travel Characteristics of Canadian Travelers (2010) Main Trip Purpose 62% Leisure (50% holiday, vacation; 6% 2nd home; 6% events) (up) 17% Visit Friends or Relatives (VFR) (down) 11% Business (5% meetings; 5% convention; 2% other work) (same) 9% Other (2% pers., 1% transit; 1% study; 4% shop; 1% other) (down) Origin Province Ontario 39% of population but 44% of travelers. BC also higher share of visitors than population (13% vs. 17%). State Destinations A few destinations dominate the numbers. Florida is 16% of visitors, but 34% of visitor-nights due to snowbirds. Mixed performance among state visitors, visits, and spending. 33 states up in visitor volume. East South Central only region down. 19

Top U.S. State Destinations Visitors, Visitor-Nights, and Spending (2010) U.S. State Visitors Nights Spending (millions) (millions) ($millions) TOTAL U.S. (NET) 19.96 160.94 $14,357 1 New York 3.45 9.74 1.221 2 Florida 3.10 53.93 3.544 3 Washington 2.31 6.69 0.599 4 California 1.45 13.58 1.308 5 Michigan 1.40 3.75 0.336 6 Nevada 1.37 6.17 1.129 7 Maine 0.90 3.05 0.304 8 Pennsylvania 0.90 2.24 0.233 9 Montana 0.75 2.59 0.213 10 Vermont 0.72 2.10 0.145 Keep in mind that spending numbers here are those reported by Statistics Canada. Elsewhere in the presentation, spending estimates comparing countries is from Department of Commerce, Bureau of Economic Analysis. The two statistical organizations reconcile their collection and methodology differences in reporting the estimates released by BEA. 20

Key Travel Characteristics of Canadian Travelers (continued) (2010) Transportation (mode of entry into U.S.) 60% auto (35% plane; 3% bus; 3% other). 70% of business travelers flew. Accommodations 59% hotel/motel (14% friends/relatives; 10% camp/trailer/cabin). Hotel/motel differs by purpose (90% bus.; 58% leisure; 32% vfr). Stay Length 37% of Canadian state-visits are day trips. Among overnight trips: 10% are 1-night trips. 6% are 3 weeks or longer. 3+ weeks accounts for 41% of visitor-nights. 8.06 nights average stay length, 9.60 leisure…but this average is misleading… Under accommodations: Note : 32% of persons whose trip purpose was to visit friends and relatives stayed in hotels/motels. This level is up 3 ppts from last year. 21

Canadian Nights in the U. S Canadian Nights in the U.S. (among overnight LEISURE visitors--62% of total state visits—2010) This graph doesn’t change much from year-to-year (average changes some), and the importance of its message doesn’t change, either. Average represented by the “mean” average can be misleading depending on the use. Thus, for example, if a package was developed for 9-10 nights in the U.S.—the average—a small proportion of Canadian travelers would be interested in the product. The mean average inched up in 2010. 22

Key Travel Characteristics of Canadian Travelers -- continued (2010) Spending (source: Statistics Canada; all records) $14.4 billion (excludes fares to travel to the U.S.) $1,510 per party $719 per visitor $89 per visitor per night Of the 76% of spending reported with detail: 34% accommodations 22% food & beverage 19% other (souvenirs, shopping, etc) 13% transportation (in U.S.) 12% entertainment This year I’ve kept the spending data specific to estimates from Statistics Canada, mostly because data are available and comparable across states and across other details such as spending category. Statistics Canada EXcludes air passenger fare from this total. This number will differ from travel receipts reported elsewhere in this presentation computed by the U.S. Bureau of Economic Analysis because of some refinements to numbers between the two statistical agencies and treatment of day trips. The $89 spending per visitor per day is lower than the average for all overseas, but is comparable to U.S. domestic average. For comparison, BEA’s Canada spending/ person is much less than the total international BEA average. This is NOT a bad thing, but undoubtedly reflects the many short visits of 1-3 nights, an event that seldom happens in travel to the United States from overseas. A better comparison of Canadian spending to other countries is spending per visitor per night. 23

Canadian Activity Participation Rates while in the U.S. (2010) Activity Total Business VFR Pleasure Other Sum of all 18 activities 347% 228% 348% 389% 208% Go Shopping 75% 53% 70% 79% 76% Go Sightseeing 44% 31% 35% 52% 23% Visit Friends Or Relatives 35% 14% 95% 24% 25% Participate Sports/Out. Activities 29% 10% 24% 37% 11% Go To A Bar Or Night Club 23% 36% 14% 24% 14% Visit A Historic Site 21% 18% 18% 25% 10% Visit A Nat. Or State Nature Park 18% 8% 15% 23% 8% Visit A Museum Or Art Gallery 16% 13% 15% 19% 7% Go To A Casino 15% 8% 7% 19% 10% Attend Cultural Events 13% 9% 10% 15% 6% Canadians are active travelers, even business travelers, and those visiting friends or relatives or for other miscellaneous reasons. The “sum across activities” gives a convenient way of looking at and comparing across segments. It is simply the sum of activity percentages in any one column. Of note is the relatively high level of activity participation even among business travelers and “other” trip purpose travelers. Always keep in mind the difference between activity and trip purpose. For example: Shopping for perspective: 4% Main trip purpose; 75% as an activity; 19% of reported spending total. 2009 activity participation rates are the same as for 2007 for nearly every, and up by a percentage point for a few activities. The “sum of activities” is also similar. 24

Activity Participation Rates (2010) (continued) Activity Total Business VFR Pleasure Other Visit A Theme Park 12% 5% 7% 16% 2% Visit A Zoo, Aquar. / Bot. Garden 11% 6% 9% 13% 4% Golfing 9% 4% 6% 12% 2% Attend Sports Events 9% 7% 8% 10% 4% Attend Festivals Or Fairs 7% 5% 7% 9% 2% Water sports (Canoe, etc.) 6% 2% 5% 7% 2% Fishing 2% 0% 2% 2% 0% Downhill Skiing Or Snow Boarding 1% 0% 0% 2% 0% Hunting 0% 0% 0% 0% 0% No Activity Stated 7% 25% 4% 4% 9% 25

Outlook for Canada Travel to the United States …we have begun using the more accurate Mattel Magic 8-Ball. The 2011 outlook is good (with data through more than half the year already in the bag…”… OTTI brought the Travel Forecast Program in-house beginning with the Spring 2010 forecast. I manage the program and prepare most of the background materials and information that a 4-person forecast team uses to reach consensus on each of the top 30 or so origin markets. The remaining 170 smaller markets’ forecast are based entirely on International Monetary Fund forecasts for changes in GDP. http://redkid.net/generator/8ball/

Outlook for Canada Travel to the United States …and looks good for 2012… http://redkid.net/generator/8ball/

Outlook for Canada Travel to the United States …but looks good for 2013 and beyond as well. http://redkid.net/generator/8ball/

Traveler Volume from Canada to the U.S. (stays of 1 or more nights) millions Once again, here’s how the forecast looks for Canada. 2011 YTD INCREASE is 6% through July, but could settle somewhat higher by year-end. Source: Statistics Canada. 29

Factors for 2011 and Beyond Economy Unemployment 7.3% and still on downward trend with ups and downs. Q2 GDP flat, compared to +4% in Q1. Q3 expected to be near bottom of G7. Weak U.S. demand for exports (U.S. economy; exchange rate) Japan supply-chain disruptions Overstretched households Household finances??? Conflicting data. Near-retirees on track regarding retirement planning. Inflation 2.7%. The “Canada Miracle” seems to be less impressive lately… I’m seeing conflicting information regarding Canadian resident credit card debt. Source: Statistics Canada 30

Factors for 2012 and Beyond Exchange Rate IMF forecasts an exchange rate in the mid- $0.90s for 2012-2016. 31

Factors for 2012 and Beyond +- Economy + Currency exchange rate +- WHTI +- Air Passenger Taxes in Western European countries +- Travel Promotion Act — U.S. destination marketing levels — Low and slowing growth of U.S. economy (but much of the impact is from a change in U.S. imports (Canada a beneficiary). 32

Updates from Miscellaneous Sources

Corporation for Travel Promotion CTP is up and running. CEO-Jim Evans Global marketing agency-JWT (J. Walter Thompson) www.CorporationforTravelPromotion.com ESTA fees collected over the past 12 months is sufficient to provide the maximum funds available to the CTP per TPA legislation, subject to matching fund requirements. Funds became available Oct 1. In public fora, CPT has mentioned Canada as a top 12 market.

Canada on… WWW.TINET.ITA.DOC.GOV I’ve made some big changes to the Canada page on OTTI’s website. I have some of the 2010 tables and will be posting them to the web soon.

Canada on… WWW.TINET.ITA.DOC.GOV I’ve updated and improved some trending information.

Canada on… WWW.TINET.ITA.DOC.GOV …including this two-page summary of the market. Past EOY documents are there, as well as current year YTD summary that I update every couple of months…or so.

Canada on… WWW.TINET.ITA.DOC.GOV …and this ONE page summary of most things available on Canada as an OUTbound travel origin market. This profile and its accompanying background document are also available on the Canada page of the website

White House Sector Strategies… President Obama announced the National Export Initiative (NEI) in his 2010 State of the Union address Goal of doubling U.S. exports in the next 5 years … to support millions of jobs in the USA. MAS and other bureau staff worked together developed in-depth sector-specific strategies. Support NEI by providing a framework for increasing exports Identify export promotion opportunities Identify sector-specific market barriers and solutions Travel and Tourism is one of the seven sectors identified. Canada is one of the key markets within the sector. The good news…is that President Obama has focused on increasing exports as an important tool to increase US jobs. The bad news…is that the NEI program is unfunded in the current FY budget.

Credit Card Transactional Data BEA’s mandate to obtain transactional-level data from the big four to improve balance of payments accounts. Met with great fanfare from the industry, thinking they’ll have access to data. They won’t. Moreover, BEA has not analyzed the data to date. Great new tool in the international travel impact toolbox. Visa’s VisaVue ® Travel American Express’s Destination Travel Insights Stay tuned…

Summary of Key Findings Global Travel: 2010 rebound; 4.5% continued growth in 2011. Canada Travel: Strong 6% continued growth YTD (Jul) to USA following 11% rebound in 2010. Non-U.S.2010 also up, but only half the USA level. New annual records expected! Canada Rankings: #1 visitors, #1 spending, #1 travel trade balance. Profile: travel attributes mostly stable. Watch increases in travel party spending, casino, souvenir/shopping spending, average stay length. Decline in outdoor activities. Forecast: Favorable outlook>>economy, currency exchange rate, TPA!! WHTI: Phase III June 2009 full implementation now two years behind us. Travel Promotion Act : Potential for significant level of marketing effort soon and subsequent increase in visitor volume/spending. MVB is head cheerleader for promoting the USA to the Canada market. 41

Summary of Why Canada! Top dog: #1 in visitors and visitor spending and travel trade balance. Geo-equity: Best of any visitor origin country. On the Radar Screen: White House Sector Strategies; CPT marketing. Shoulder season: helps fulfill many destinations’ expansion goals. Open wallets: $$$ per-visitor per-night big growth in 2010. Comparisons to other countries is not valid due to short-term stays bringing down average. Economics: running a fever, but looking sprightly compared to Europe. International!!!!: Canada is a big part of the general story of international (growing) importance. Is the DOMESTIC industry mature from an industry life-stage perspective??? Most of the messages coming from the US Travel Association pertain to international travel. 42

Question for You… Who is the highest ranking Canadian Government official dedicated to the travel and tourism industry? Canada government officials are not showing up at international travel events. Canada supposedly has dropped, or is about to drop, their UNWTO membership. 43

Thank You! MARK BROWN Office of Travel and Tourism Industries Questions? MARK BROWN Office of Travel and Tourism Industries International Trade Administration U.S. Department of Commerce Phone: 202-482-4754 mark.brown@trade.gov http://tinet.ita.doc.gov 44