May 13, 2013

Canada’s Tourism Market to Shift Focus from the States

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Posted by admin - Bellissimo Law Group PC

Tourism is an important market in Canada’s economy, so when a faction of that market isn’t paying off, it’s time to cut it loose.  Which is exactly what Canada is doing.  With the cut in the Canadian Tourism Commission’s (CTC) funding last year, and the U.S falling far behind other countries in regards to the amount they spend when visiting the country, Canada has decided to stop wasting time and money trying to lure our southern neighbours here.

Canada’s share of revenue from the tourism industry dropped from 35 % in 2000 to 19%, largely due to the decrease in travel from the U.S. market.

Reallocating funds from the expensive marketing campaign in the States will allow Canada to spend more on advertising in countries such as Brazil, whose visitors to Canada spend, on average, $1,874 per trip, as opposed to the mere $518 that American visitors spend.  Brazil, Australia, China, South Korea and Japan have all outspent American visitors in Canada.  By apportioning more funding to these countries, CTC hopes to improve Canada’s competitive position in the tourism market.  As of 2011, Canada stands at No. 18 as a top destination for arrivals, down from a Top 10 spot.

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