Historic and Cultural Visitor Attractions - UK - November 2010

ISSUES IN THE MARKET
Main issues
Definition
Abbreviations
FUTURE OPPORTUNITIES
Trend: Edutainment
Trend: Advertising Everywhere
MARKET IN BRIEF
Industry performance during the economic downturn
Impact of funding cuts
Domestic tourism to the rescue
INTERNAL MARKET ENVIRONMENT
Key points
Staycation trend continues in 2010
Domestic tourism doesn’t quite offset decline in outbound traffic
Figure 1: Domestic and overseas holiday volume, by UK consumers, 2005-10 (est)
Trends in overseas tourism
Historic and cultural visits by overseas tourists
Figure 2: Historical and cultural activities undertaken by overseas visitors to the UK, 2009
Figure 3: Year-on-year growth in overseas visitors to the UK, 2004-10*
Proportion of overseas visitors at leading attractions
Figure 4: Top ten markets in terms of visits to the built heritage products, museums, and art galleries, 2009
London holds its own as the tourist hub
Figure 5: Top 5 city destinations by overseas visitors, UK, 2009
Importance of attracting overseas visitors
Changes to funding and investment
The DCMS relinquishes control and funding of museums
Impact of streamlining on arm’s-length bodies
Renaissance of the regions
Spending cuts have widespread impact
Impact of budget cuts on devolved nations
Heritage Lottery Fund survives risk of merger
Heritage Protection Bill postponed until further notice
BROADER MARKET ENVIRONMENT
Key points
A fragile economy moving into 2011
Figure 6: GDP, PDI, consumer expenditure and savings, at constant 2005 prices, 2005-15
Cashing in on the visitor economy
Heritage tourism is the UK’s fifth largest industry
Demographic forecasts are optimistic
Figure 7: Selected demographic trends in the UK, 2005-15
Exchange rates make Britain more affordable
Figure 8: Sterling exchange rates, 2005-09
Unforeseen events disrupt Q2 travel patterns
Rising fuel prices off-putting to domestic travellers
Figure 9: UK average petrol prices at garages and supermarkets, Sept 2009-Oct 2010
COMPETITIVE CONTEXT
Key points
Fun times – in moderation
Figure 10: Spending intentions in coming year, specifically towards ‘Visit a cultural venue (eg museum, gallery etc)’, March 2010
Competition among different cultural and leisure activities
Figure 11: Exhibitions, outings and music festivals, 2007-10
Competition as a global destination
Figure 12: Number of UNESCO World Heritage sites inscribed, by top ten countries, 2009
STRENGTHS AND WEAKNESSES IN THE MARKET
Strengths
Staycation trend remains relevant
Weak sterling makes Britain more affordable
Tourism creates jobs
Family bonding and search for authenticity
Opportunities lie ahead
Weaknesses
Pent-up demand for overseas travel
Decline in business traffic
Fragile global economy
Difficulty in targeting underrepresented groups
Expensive Britain
WHO’S INNOVATING?
Key points
Technology makes it more accessible
Bringing history to life in Wales
VisitBritain employs Sherlock Holmes as tourist attraction
The Cultural Olympiad
‘M Shed’ brings a fresh approach to museums
MARKET SIZE AND FORECAST
Key points
The weak pound and ‘staycation’ trend sustains the visitor attractions market
Methodology
Figure 13: UK visits to historical and cultural attractions and average visits per attraction, 2005-15
Market performance
Future prospects
Forecast
Figure 14: Visits and forecast visits to UK historic and cultural visitor attractions, 2005-15
Figure 15: Mintel’s forecast for visits to UK historic and cultural visitor attractions, 2010-15
SEGMENT PERFORMANCE
Key points
Museums and galleries continue to dominate but historic properties fight back
Figure 16: UK visits to historical and cultural attractions, by category, 2005-09
Figure 17: Total visits to historical and cultural attractions in England, 2005-09
Little fluctuation in the most popular sites
Figure 18: Top ten UK museums and galleries, 2008-09
Figure 19: Top ten UK historic properties, 2008-09
Figure 20: Selected UK places of worship, 2008-09
HISTORIC AND CULTURAL ORGANISATIONS
Key points
The National Trust
Figure 21: Financial performance of The National Trust, 2006-10
Figure 22: Breakdown of total income for The National Trust, 2009-10
Figure 23: Breakdown of the income of The National Trust (Enterprises), 2009-10
National Trust for Scotland
Figure 24: Financial performance of National Trust for Scotland, 2007-10
Figure 25: Breakdown of total incoming resources for National Trust for Scotland, 2009-10
Figure 26: Breakdown of commercial activities for National Trust for Scotland, 2009-10
English Heritage
Figure 27: English Heritage visitor statistics, 2009-10
Figure 28: English Heritage, background of visitors, 2009-10
Figure 29: Financial performance of English Heritage, 2006-10
Figure 30: Breakdown of total incoming resources of English Heritage, 2009-10
Figure 31: Breakdown of earned income of English Heritage, 2009-10
Historic Houses Association
Figure 32: Trends in numbers of Historic Houses Association members by type, 2008-10
Figure 33: Financial performance of Historic Houses Association, 2005-10
Figure 34: Breakdown of total incoming resources for Historic Houses Association, 2008-10
Historic Royal Palaces
Figure 35: Historic Royal Palaces visitor statistics, 2009-10
Figure 36: Financial performance of Historical Royal Palaces, 2006-10
Figure 37: Breakdown of total incoming resources of Historic Royal Palaces, 2009-10
Historic Scotland
Figure 38: Historic Scotland visitor statistics, 2009-10
Figure 39: Financial performance of Historic Scotland, 2005-10
Figure 40: Breakdown of total incoming resources for Historic Scotland, 2008-10
Figure 41: Historic Scotland income generated by business area, 2009-10
Cadw
Northern Ireland Environment Agency
Figure 42: Financial performance of NIEA, 2006-10
Figure 43: Breakdown of total incoming resources for NIEA, 2009-2010
Figure 44: Breakdown of trading income for NIEA, 2009-10
St. Paul’s Cathedral
Figure 45: Financial performance of St Paul’s Cathedral, 2005-09
Figure 46: Breakdown of total incoming resources for St Paul’s Cathedral, 2008-09
The Tate
Figure 47: The Tate visitor statistics, 2009-10
Figure 48: Financial performance of The Tate, 2006-10
Figure 49: Income breakdown for The Tate, 2008-09
BRAND COMMUNICATION AND PROMOTION
Key points
Figure 50: Top advertising spend by major UK heritage bodies, 2005-10
National Trust refreshes, rebrands and repositions
‘Time well spent’ in 2009
The National Trust magazine for members
Bonus time in 2010
‘For Ever, For Everyone’
2011 aims to bring new audiences, new communities and new sections of society to the Trust
English Heritage’s 2009 summer season of events
New marketing campaign for Cadw
Historic Royal Palaces celebrate Henry VIII’s 500th anniversary with a bang
Historic Scotland
‘Make your own History’
VisitScotland
VisitBritain joint marketing campaign with British Airways
NIEA promotes ‘Wonderful’ Northern Ireland
WHAT TYPES OF ATTRACTION DO PEOPLE VISIT?
Key points
Figure 51: Types of historic and cultural attraction visited in the past 12 months, August 2010
Who are the domestic visitors?
Figure 52: Types of historic and cultural attraction visited in past 12 months, by above-average demographics, August 2010
Figure 53: Types of historic and cultural attraction visited in past 12 months, according to lifestage, % point +/- average agreement, August 2010
Enthusiasm for different types of historic and cultural attractions
Figure 54: Repertoire of types of historic and cultural attraction visited in past 12 months, August 2010
Targeting lapsed and non-visitors
Figure 55: Breakdown of demographic pattern of lapsed and non-visitors, showing top ten demographics, % point +/- average agreement, August 2010
SOURCES OF INFORMATION FOR VISITS
Key points
The importance of having an online presence
Figure 56: Sources of information for visits to historic or cultural attractions, August 2010
Targeting specific consumer groups
Figure 57: Sources of information for visits to historic or cultural attractions, by socio-economic group and lifestage combined, August 2010
Sphere of influence
Figure 58: Repertoire of sources of information for visits to historic or cultural attractions, August 2010
Relatively few sources of info
WHAT ENCOURAGES CONSUMERS TO VISIT HISTORIC AND CULTURAL ATTRACTIONS?
Key points
Motivating consumers to visit historic and cultural attractions
Figure 59: Attitudes towards historic and cultural visitor attractions, August 2010
It’s now or never
A day out for the family
Educational slant
Members mean numbers
Figure 60: Agreement with the statement 'I am a member of heritage organisation (eg National Trust/English Heritage)' by type of historic and cultural attraction visited in the past 12 months, August 2010
Impact of recession and personal cutbacks on historic and cultural visits
TARGETING OPPORTUNITIES
Figure 61: Attitudes towards historic and cultural visitor attractions, August 2010
Entertain-Us
Who are they?
Understanding Entertain-Us
Targeting Entertain-Us
Cost and Culture-Conscious
Who are they?
Understanding Cost and Culture-Conscious
Targeting Cost and Culture-Conscious
Less Interested
Who are they?
Understanding Less Interested
Targeting Less Interested
Culture Enthusiasts
Who are they?
Understanding Culture Enthusiasts
Targeting Culture Enthusiasts
APPENDIX – INTERNAL MARKET ENVIRONMENT
Figure 62: Domestic and overseas holiday volume, 2005-10
Figure 63: Visits by overseas residents to the UK (all purposes), by origin, 2005-09
Figure 64: Sterling exchange rates, 2005-09
APPENDIX – BROADER MARKET ENVIRONMENT
Figure 65: Trends in the age structure of the UK population, by gender, 2005-15
Figure 66: Forecast adult population trends, by socio-economic group, 2005-15
Figure 67: Forecast adult population trends, by lifestage, 2005-15
Figure 68: Employment and unemployment, by gender, 2005-15
Figure 69: GFK NOP Consumer Confidence Index, January 1988-September 2010
Figure 70: Penetration of digital and mobile communications, April 2010
Figure 71: UK average petrol prices at garages and supermarkets, 2009-10
Figure 72: Spending intentions towards leisure activities in coming year, March 2010
APPENDIX – COMPETITIVE CONTEXT
Figure 73: Consumer expenditure on selected leisure goods and activities, 2006-10 (est)
Figure 74: Exhibitions, outings and music festivals, 2007-10
APPENDIX – MARKET  SEGMENTATION
Figure 75: Visits to historical and cultural attractions, by region, 2009
APPENDIX – BRAND COMMUNICATIONS
Figure 76: Advertising spend by media type by major UK heritage bodies, 2009
APPENDIX – WHAT TYPES OF ATTRACTION DO PEOPLE VISIT?
Figure 77: Types of historic and cultural attraction visited in past 12 months, by most popular types of historic and cultural attraction visited in past 12 months, August 2010
Figure 78: Types of historic and cultural attraction visited in past 12 months by next most popular types of historic and cultural attraction visited in past 12 months, August 2010
Figure 79: Types of historic and cultural attraction visited in past 12 months, by repertoire of types of historic and cultural attraction visited in past 12 months, August 2010
Figure 80: Most popular types of historic and cultural attraction visited in past 12 months, by demographics, August 2010
Figure 81: Next most popular types of historic and cultural attraction visited in past 12 months, by demographics, August 2010
Figure 82: Repertoire of types of historic and cultural attraction visited in past 12 months, by demographics, August 2010
APPENDIX – SOURCES OF INFORMATION FOR VISITS
Figure 83: Sources of information for visits to historic or cultural attractions by most popular types of historic and cultural attraction visited in past 12 months, August 2010
Figure 84: Sources of information for visits to historic or cultural attractions, by next most popular types of historic and cultural attraction visited in past 12 months, August 2010
Figure 85: Sources of information for visits to historic or cultural attractions, by most popular sources of information for visits to historic or cultural attractions, August 2010
Figure 86: Sources of information for visits to historic or cultural attractions, by next most popular sources of information for visits to historic or cultural attractions, August 2010
Figure 87: Sources of information for visits to historic or cultural attractions, by repertoire of sources of information for visits to historic or cultural attractions, August 2010
Figure 88: Most popular sources of information for visits to historic or cultural attractions, by demographics, August 2010
Figure 89: Next most popular sources of information for visits to historic or cultural attractions, by demographics, August 2010
Figure 90: Repertoire of sources of information for visits to historic or cultural attractions, by demographics, August 2010
APPENDIX – WHAT INFLUENCES VISITORS?
Figure 91: Attitudes towards historic and cultural visitor attractions, by most popular types of historic and cultural attraction visited in past 12 months, August 2010
Figure 92: Attitudes towards historic and cultural visitor attractions, by next most popular types of historic and cultural attraction visited in past 12 months, August 2010
Figure 93: Attitudes towards historic and cultural visitor attractions, by most popular sources of information for visits to historic or cultural attractions, August 2010
Figure 94: Attitudes towards historic and cultural visitor attractions, by next most popular sources of information for visits to historic or cultural attractions, August 2010
Figure 95: Attitudes towards historic and cultural visitor attractions, by most popular attitudes towards historic and cultural visitor attractions, August 2010
Figure 96: Attitudes towards historic and cultural visitor attractions, by next most popular attitudes towards historic and cultural visitor attractions, August 2010
Figure 97: Most popular attitudes towards historic and cultural visitor attractions, by demographics, August 2010
Figure 98: Next most popular attitudes towards historic and cultural visitor attractions, by demographics, August 2010
APPENDIX – TARGETING OPPORTUNITIES
Figure 99: Attitudes towards historic and cultural visitor attractions, by target groups, August 2010
Figure 100: Types of historic and cultural attraction visited in past 12 months, by target groups, August 2010
Figure 101: Target groups, by demographics, August 2010