Brand Perception Research

Brand Perception Research
Prepared by
H2R Market Research
▪ Helping to Reveal insights that amplify the voice of the customer.
▪ A marketing company that provides consumer insight and contextual measurements
through market research.
▪ Best known for our work in the travel and leisure industry. We work with numerous
destination marketing organizations, state travel offices, theme parks, zoos, aquariums
and museums across the country.
▪ H2R has an extensive toolbox that ranges from the most traditional of research
practices (email, telephone, intercept surveys) to some of the most innovative (digital
ethnography, online focus groups, community bulletin boards, social listening, etc.)
2
H2R specializes in the travel & leisure industry conducting primarily
four different types of market research :
Contextual
Marketing
Measurements
Brand Health
& Perception
Studies
Concept
Evaluation
Research:
Product, Brand
Positioning &
Ad Testing
Voice of the
Customer
(VOC)
Research
We have been conducting Brand Perception Studies like the one we are
discussing today for more than 20 years.
Blessed to serve world-class and internationally recognized
clients and business partners.
Training Camps of
Project Overview
PURPOSE
The purpose of The Galena Territory Association (GTA) Brand Research is to provide decision makers with
a better understanding of The Galena Territory’s current brand image in the marketplace and serve as a
baseline from which to measure future perceptions. GTA decision makers will be able to use the
information and insights gathered in this study to make informed decisions about the brand, its
positioning and/or other consumer-centric decisions in the future.
TARGET AUDIENCE
The Galena Territory Association (GTA) Brand Research was conducted among a professionally managed
email panel of travelers living within 250 miles of Galena, IL, who earn a household income of $75k or
more, who travel for leisure or own a vacation property and are familiar with The Galena Territory.
SAMPLE
A total of 200 leisure travelers were interviewed for this study, providing a maximum margin of error of
+/-6.9% at a 95% confidence interval which is considered comparatively strong by industry standards.
5
Contents
01
02
03
04
05
Competitive
Landscape
The Galena
Territory Brand
Visitor Behavior &
Preferences
Barriers to
Visitation
Appendix
+ Destination Attributes
+ Brand Perception
+ Frequency of Visitation
+ Unaided Hurdles
+ Familiarity & Visitation
+ Net Promoter Score
+ Primary Purpose of Visit
+ Stated Hurdles
+ Best practices of Resort
Communities similar to
The Galena Territory
+ Opinion of Destinations
+ Brand Associations
+ Motivations for Visiting
+ Stated vs. Derived Hurdles
+ Intent to Visit
+ Brand Personality
+ Overnight Visitation
+ Resources Used for
Research
+ The Galena Territory vs.
Eagle Ridge Resort & Spa
+ Activities & Spending
+ Satisfaction with the Area
+ Differentiation
6
Competitive Landscape
+
+
+
+
+
+
Destination Attributes
Familiarity & Visitation
Opinion of Destinations
Intent to Visit
Resources Used for Research
Differentiation
01
The Galena Territory Brand KPIs*
39%
61%
19%
38%
of the general population fit into
the target market (e.g., own
property, earn $75k+ and are
aware of The Galena Territory)
of travelers have a positive
opinion of The Galena Territory
Net Promoter Score among those
who visited the area
of travelers intend to visit the area
in the next 3 years
*Key Performance Indicators
8
Narrow Target Market
▪ Targeting property owners who are
familiar with The Galena Territory and
earn a minimum of $75,000 per
household per year is tough in that the
size of the market is relatively narrow.
39%
▪ Less than 4 in 10 consumers living
within 250 miles of The Galena Territory
fit within this target—making the pool
of potential homeowners fairly small.
Target Market
9
Top of Mind Resort Communities in Destinations
Nearly all of the travelers in the target market are familiar with the Galena area. However, when asked about
what resort communities first come to mind when thinking of those areas, Lake Geneva comes to mind first,
with Wisconsin Dells and Galena/The Galena Territory tying for second place.
% Aided Awareness of Destinations
Galena, IL
98%
Lake Geneva, WI
98%
Top of Mind Resort Communities
Lake Geneva/Grand Geneva
10.9%
Wisconsin Dells
6.0%
Galena, IL/The Galena Territory
6.0%
Eagle Ridge Resort & Spa
New Buffalo, MI
72%
The Abbey Resort and Spa
Door County
Apple River, IL
Lanark, IL
51%
34%
Chestnut Mountain
Apple Canyon Lake
QS4: Please indicate your level of awareness, consideration and/or visitation of the following destinations:
QS5: What resort communities or other accommodations come to mind first when you think of these destinations?
Kohler
4.3%
2.6%
2.3%
2.0%
1.3%
0.7%
10
RESPONDENT BASE: ALL RESPONDENTS | N=200
Familiarity with Resort Communities
One-third of aware area travelers say they are somewhat or very familiar with The Galena Territory—
comparable to Eagle Ridge Resort & Spa and Apple Canyon Lake. However, despite the screener, regional
familiarity is strongest for Geneva National and Lake Carroll—meaning familiarity, in fact, is an issue.
% Somewhat/Extremely Familiar
Geneva National (Lake Geneva, WI)
37%
Lake Carroll (Lanark, IL)
37%
Eagle Ridge Resort & Spa (Galena, IL)
34%
The Galena Territory (Galena, IL)
33%
Apple Canyon Lake (Apple River, IL)
The Riviera (New Buffalo, MI)
Q2: Using the scale provided, please indicate how familiar you are with each of these
resorts/communities:
32%
26%
11
RESPONDENT BASE: FAMILIAR WITH DESTINATIONS| N=VARIES DEPENDING ON DESTINATION
Visitation to Resort Communities
Regional visitation is the strongest for both The Galena Territory and Eagle Ridge Resort & Spa; however, most
of that strength rests upon visits from two or more years ago. Visitation over the past 24 months has actually
been stronger for Geneva National, an indication that they may be the region’s up and comer.
15%
15%
18%
9%
26%
26%
20%
9%
Apple Canyon Lake
(Apple River, IL)
Eagle Ridge Resort & The Galena Territory Geneva National (Lake
Spa (Galena, IL)
(Galena, IL)
Geneva, WI)
% Visited this destination, but not in the past 24 months
QS6: Please indicate your awareness, consideration and/or visitation of the following area
resort communities:
5%
7%
9%
7%
The Riviera (New
Buffalo, MI)
Lake Carroll (Lanark,
IL)
% Visited this destination in the past 24 months
12
RESPONDENT BASE: ALL RESPONDENTS | N=200
Intent to Visit Resort Communities
Nearly 4 out of 10 (38%) of regional travelers say they will probably/definitely visit The Galena Territory over the next
three years. However, this is significantly lower than the competitive set average (45%). Eagle Ridge Resort & Spa is
comparable to average at 43%. But, there is a sizable difference between Eagle Ridge Resort and The Galena Territory.
% Probably/Definitely Will Visit in the Next 3 Years
52%
48%
48%
43%
42%
38%
Apple Canyon Lake
(Apple River, IL)
Eagle Ridge Resort & The Galena Territory
Spa (Galena, IL)
(Galena, IL)
Q4: Using the scale provided, please indicate how likely you are to visit each of the following
resorts/communities in the next 3 years on a weekend getaway or leisure trip:
Geneva National
(Lake Geneva, WI)
The Riviera (New
Buffalo, MI)
Lake Carroll (Lanark,
IL)
13
RESPONDENT BASE: FAMILIAR WITH DESTINATIONS | N=VARIES DEPENDING ON DESTINATION
Brand Differentiation
As a resort community, The Galena Territory is most differentiated by its variety of things to do, unique local
restaurants and convenient hiking and biking trails. The Galena Territory also out performs the other resort
community competitors in these areas along with the equestrian center/horseback riding.
Apple
Canyon
Lake
Eagle Ridge
Resort &
Spa
The Galena
Territory
Geneva
National
The
Riviera
Lake
Carroll
An excellent variety of things to do
27%
50%
57%
50%
30%
23%
Convenient hiking and biking trails
30%
33%
45%
36%
21%
18%
World class golf course(s)
14%
45%
26%
47%
11%
12%
An equestrian center/horseback riding
19%
18%
25%
21%
14%
12%
A variety of quality water activities
35%
41%
34%
49%
30%
32%
A variety of quality winter activities
24%
38%
43%
45%
29%
19%
Unique local restaurants
31%
49%
57%
53%
37%
24%
Quality swimming pool(s)
25%
48%
35%
49%
30%
21%
Q6: In your opinion which of these resort communities, if any, do you believe has…
14
RESPONDENT BASE: ALL RESPONDENTS | N=200
The Galena Territory Brand
+
+
+
+
+
Brand Perception
Net Promoter Score
Brand Associations
Brand Personality
The Galena Territory vs. Eagle Ridge Resort & Spa
02
Brand Perception
Those familiar with The Galena Territory tend to describe the destination using words and phrases such as beautiful,
historic, nice/good resort area with good stores/shopping. Travelers’ descriptions are nearly all positive.
Q7: Based upon what you know or have heard about The Galena Territory, how would you
describe it in a few words to a friend or family member who was not familiar with the resort
community?
16
RESPONDENT BASE: ALL RESPONDENTS | N=200
Net Promoter Score
NPS (Net Promoter Score) is a measurement tool used across industries to evaluate net consumer
satisfaction using a single point of accountability. Given the importance of social media and positive word of
mouth advertising, it is mission critical that travel destinations and resort communities monitor their level of
brand advocacy and the Net Promoter Score is considered one of the best tools for doing so.
“How likely are you to recommend The Galena Territory to a friend or family member?”
NEUTRAL
0 1 2 3 4 5 6 7 8 9 10
DETRACTORS
PROMOTERS
Net Promoter Score = (% Who are Promoters) – (% Who are Detractors)
Developed by Satmetrix, Bain & Company, and Fred Reichheld in The Ultimate Question
17
Net Promoter Score (NPS)
The Galena Territory Net Promoter Score is 19% among those who stayed at a Galena Territory property.
Interestingly, those who stayed at Eagle Ridge Resort & Spa gave The Galena Territory an even higher NPS of 43%.
Why Provide This Rating?
Brand Promoters/Neutrals
23%
▪ Great/nice/excellent place to visit
19%
42%
▪ Relaxing
▪ Unique
NPS
Brand Detractors
35%
Promoters (9-10)
 Don’t know enough about it/remember
enough about it
Neutrals (7-8)
Detractors (0-6)
Q8: How likely would you be to recommend The Galena Territory to friends or family
members?
Q9: Why did you give this rating on your intent to recommend The Galena Territory?
 It is ok/average
18
RESPONDENT BASE: THE GALENA TERRITORY VISITORS | N=81
Brand Persona of The Galena Territory
Similarly, travelers associate The Galena Territory with the persona of a multi-generational family (38%), or outdoor
enthusiast (37%). There is also an even split between those seeing it as a family (26%) or older couple (26%).
Business Woman/Man
4%
Nuclear Family
Millennials Hiking or Kayaking
Multigenerational Family
26%
37%
38%
Blue Collar Worker
Older Couple
26%
3%
Group of Guys
Group of Girlfriends
17%
Q11: Below you will see a variety of images that may or may not reflect the "personality" of
The Galena Territory. Please choose the image or images that you believe best embodies the
personality of The Galena Territory.
5%
Young Couple
18%
19
RESPONDENT BASE: ALL RESPONDENTS | N=200
The Galena Territory vs. Eagle Ridge Resort & Spa
Regional travelers are more familiar with Eagle Ridge Resort & Spa and have far stronger associations with this resort. They
expect to see/hear more ads for Eagle Ridge, are more likely to spend the night there and believe it is most well-known
across the area. Conversely, travelers associate The Galena Territory with being more friendly & welcoming.
% Associate/Strongly Associate
Is the one I am most familiar with
37%
21%
Is friendly and welcoming
Is well known across the region
38%
27%
Has something for everyone
Is a place I would be most likely to expect to see/hear advertisements for
Is the place I would be most likely to spend the night
Eagle Ridge Resort & Spa
26%
41%
44%
29%
24%
26%
23%
38%
The Galena Territory
Q12: Next, we would like for you to consider The Galena Territory and Eagle Ridge Resort & Spa in Galena as separate places at
20
which you might stay on an overnight getaway to Galena, IL. You will be shown a few different statements and asked to indicate to
what you extent you associate either The Galena Territory or Eagle Ridge Resort & Spa with each of these statements.
RESPONDENT BASE: THOSE FAMILIAR WITH GT AND ER| N=182
The Galena Territory
Visitor Behavior & Preferences
+
+
+
+
+
+
Frequency of Visitation
Primary Purpose of Visit
Motivations for Visiting
Overnight Visitation
Activities & Spending
Satisfaction with the Area
03
Satisfaction with The Galena Territory’s Features
The Galena Territory scored over a 4.0 in every satisfaction category, a strong indication that the guest experience remains
quite strong. Visitors are most satisfied with the variety of things to do, uniqueness, history and nature-centered activities.
Variety of things to do
Unique, out of the ordinary experience
History
Nature-centered activities
Hiking/biking trails
Charming local restaurants
Star-rating of hotel/resort (5 star, 4 star, etc.)
Proximity to area restaurants, attractions or special events
Value for the dollar
Shopping
Swimming pool(s)
Winter activities (skiing, ice skating, etc.)
Hot air ballooning
Golf courses
Marina
Basketball courts
Equestrian riding center
Water activities (boating, fishing, canoeing, kayaking, etc.)
Tennis courts
Fitness center
Q19: Using the scale provided, please rate how satisfied you are with the following activities or
amenities in The Galena Territory:
4.39
4.37
4.37
4.37
4.36
4.35
4.32
4.27
4.23
4.20
4.20
4.19
4.19
4.16
4.16
4.09
4.09
4.08
4.04
4.02
22
RESPONDENT BASE: VISITORS TO THE GALENA TERRITORY 5 OR LESS YEARS AGO| N=63
Each attribute of visitor satisfaction has
been analyzed and segmented into four
buckets in the chart to the right. This
analysis evaluates the relative importance of
each element of visitor satisfaction by
exploring stated visitor satisfaction levels
alongside each attribute’s derived
importance that is measured as their
correlation with intent to visit The Galena
Territory in the future.
The resulting analysis illustrates which
elements of satisfaction are most important
by plotting each characteristic into one of
four quadrants.
High
SATISFACTION
Identifying Brand Strengths &
Unmet Needs
Low
Secondary Strengths
Strengths
Low importance, yet high
satisfaction. An important attribute,
whether or not visitors and
prospects realize it.
High importance and high
satisfaction. Important in every way
to visitors and prospects.
Low importance and low
satisfaction. Unimportant in every
way to visitors and prospects.
High importance, but low
satisfaction. Your visitors and
prospects believe it to be important,
but are not having that need met.
Inconsequential
Unmet Needs
IMPORTANCE
High
23
Stated Vs. Derived Hurdles
The Galena Territory is best known for its charming local restaurants and unique experience. However, visitors say the value,
swimming pools, water activities and proximity to area attractions could be better.
SATISFACTION
High
Secondary Strengths
•
•
•
•
Winter activities
Hot air ballooning
Hiking/Biking trails
Basketball courts
•
•
•
•
•
•
Tennis courts
Fitness center
Marina
Golf courses
Equestrian riding center
Shopping
Strengths
•
•
•
•
Charming local restaurants
Unique, out of the ordinary experience
Variety of things to do
Star-rating of hotel/resort (5-star, 4-star,
etc.)
• History
• Nature-centered activities
•
•
•
•
Value for the dollar
Swimming pool(s)
Water activities
Proximity to area restaurants, attractions
or special events
Unmet Needs
Inconsequential
Low
IMPORTANCE
Q19: Using the scale provided, please rate how satisfied you are with the following activities or
amenities in The Galena Territory:
High
24
RESPONDENT BASE: VISITORS TO THE GALENA TERRITORY 5 OR LESS YEARS AGO| N=63
Investment Opportunities
Nearly 40% of regional travelers qualified to complete this survey. Of those, nearly one-fourth are open to the idea of
purchasing property in a resort community. And, of those, 34% are likely to do so within the next 3-5 years. While consumers
are occasionally known for overstating their intentions, it is likely the target market includes 5% to 10% of the area population.
Likelihood of Purchasing in Next 3-5
Years
Open to Purchase
Likely to own
8%
Very open to
owning
15%
Not at all
open to
owning
34%
11%
Definitely will
Probably will
23%
May or may not
Not very
open to
owning
23%
Somewhat
open to
owning
21%
43%
Probably will not
Definitely will not
18%
5%
Q23: How open are you to owning a primary residence, second home or rental property in a resort community over the next 3-5 years?
Q24: Using the scale provided, please indicate how likely you are to purchase property in The Galena Territory over the next 3-5 years:
RESPONDENT BASE: ALL RESPONDENTS | N=200
RESPONDENT BASE: OPEN TO PURCHASE| N=87
25
Barriers to Visitation
+ Unaided Hurdles
+ Stated Hurdles
+ Stated vs. Derived Hurdles
04
Hurdles to Visiting The Galena Territory (Unaided)
Hurdles to visiting The Galena Territory are not too dissimilar. The biggest hurdles to visitation for The Galena
Territory are that travelers have been visiting other destinations that have a greater appeal to them. Having a
schedule that does not allow for vacation time and the expense are also hindrances to visiting.
VISITING OTHER PLACES
“I tend to fly to more nationally known and recognized
destinations that are warm, and have nice beaches.”
BUSY SCHEDULE
“I haven't been able to get away. Galena would have to be a
long weekend trip.”
AFFORDABILITY
“Finances have not allowed it.”
Q27: Do you have any particular reason why you have not visited The Galena Territory, Illinois
or not visited recently?
27
RESPONDENT BASE: GT NON-VISITORS/INACTIVES | N=170
Stated Hurdles to Visiting The Galena Territory
When prompted, non-visitors and inactives say they have other destinations they prefer to visit, they don’t know
enough about it to make an informed decision and/or it hasn’t been recommended to them.
% Somewhat/Strongly Agree
62%
Prefer to visit other destinations
Don't know enough about it to make an informed decision
Never received a recommendation from someone I know
Been there before and looking for new places to visit
I/we prefer other accommodations that are more convenient to the attractions we like to visit
Price of the rental properties are too expensive
The area is a bit dated and in need of renovation
Prefer to stay at other accommodations in the area when visiting the Galena area
Doesn't seem well suited for people like me
Not enough for the kids or grandkids to see and do
In the habit of staying at the same 2-3 properties
Prefer to stay with friends in the area
Not enough quality restaurants in the immediate area
Not enough unique shopping in the immediate area
Bad experience there in the past
Q28: Using the scale provided, please indicate to what extent you agree or disagree with each
of the possible explanations below for not visiting The Galena Territory, or not visiting
recently:
37%
34%
32%
30%
25%
22%
22%
19%
18%
17%
16%
13%
13%
10%
28
RESPONDENT BASE: GT NON-VISITORS/INACTIVES | N=170
Appendix
+ Best practices of Resort Communities similar to The Galena Territory
05
Best Practices
▪ While the majority of the Property Owners Associations we
reviewed do not maintain a marketing program, there is an
indication that Association marketing is increasingly
appropriate when a destination community is experiencing a
decline in property values.
▪ When looking at POAs that are concerned with home sales
and valuation, there has been a move toward marketing. For
those that believe property values are not a concern, there
doesn’t appear to be the same interest.
▪ From our discussions with POA stakeholders, The Galena
Territory Association is clearly among the group that flagging
property values are a concern. Whether it is a concern for a
majority of stakeholders is the question.
▪ In our review of like Property Owners Associations in
investment destinations, we discovered that there are very
few examples across the country that matchup with The
Galena Territory/Eagle Ridge model. We identified nine POA’s
that were as close to The Galena Territory model as possible.
30
POAs that are Not Marketing
Apple Canyon Lake Property Owners’ Association - Apple River IL
While Apple Canyon does not include a resort component, its proximity in the Midwest
caused them to make the list for our review.
Apple Canyon Lake is a planned vacation community developed in the late 1960s by the Branigar Organization.
Branigar assembled the 2,700 acres of marginal farmland in Jo Daviess County. The developer constructed the
Apple Canyon Lake dam which would ultimately create a 400-acre lake with an average depth of 40 feet. In
addition, a club house, pool, golf course, marina and private airport were built in order to attract potential lot buyers.
By the fall of 1969, Branigar was heavily marketing the Apple Canyon Lake vacation lots in the Chicago market.
Today, there are roughly 950 homes with 300 permanent residents and 25 “authorized” rental properties.
A representative from the Property Owners’ Association said that property values have remained fairly steady
through the recession. No marketing is currently being done despite the fact that management says that Apple
Canyon Lake doesn’t enjoy high name recognition.
31
POAs that are Not Marketing
Geneva National Property Association - Lake Geneva WI
The response from a representative at the Geneva National Property Association was fairly curt...but we were
able to learn the following:
A developer operating under the corporate name Anvan began developing an 1800-acre tract of land 4 miles
west of the city of Lake Geneva. In addition to three celebrity-designed golf courses, 475 residential sites were
platted, 105 which presently host homes, town homes and condominiums. Estimates place the permanent
residents at roughly 40%.
Anvan owned the former Interlaken Resort, The Abbey Resort, Lake Lawn Lodge and the Geneva Lakes Kennel
Club greyhound racing track. After a series of management missteps and a sluggish economy, Anvan sold off
various pieces of their holdings, but the golf courses, Geneva Ridge (the former Interlaken) and the remaining
residential lots to Overseas Investor Funding, Inc., which has invested in updating the resort over the past
couple years.
While Geneva National is well known for its golf courses, the lead hotel/resort in the region (the Grand Geneva)
is 7 miles away. Despite this seeming disconnect, the GNPA representative with who we spoke said the
Association sees no need to market itself because the “Lake Geneva” name is synonymous with a quality
experience and sensational golf.
32
POAs that are Not Marketing
Innisbrook Condominium Association - Palm Harbor FL
According to a representative from the Association, Innisbrook is a Condominium Association located in
and around the Salamander Innisbrook Resort featuring 938 units in 28 buildings. Roughly 150 are fulltime residents with 350 seasonal residents and 429 units in the rental pool.
The Resort was built in the early 1970s by an Ohio developer and sold to Salamader Hospitality in 2007.
The Resort handles its marketing for its golf courses, restaurants, spa and tennis complex...but does not
market the opportunity to own a home in the development.
Built in the 1970s, the Association does not own property or act as a real estate company. There is,
however, a sales office at the Resort that is a separate entity called Innisbrook Real Estate Services. The
Condo Association also refrains from serving as a rental unit unless properties fall back into Association
ownership due to delinquency issues. The Resort owns all the roads and parking lots for the Condos.
When asked if Innisbrook benefits from a well-known brand among consumers, our contact said that the
name is well known on the west coast of Florida, primarily due to the PGA Tournament held there each
March. While property values have dropped slightly over the past few years, it is believed to be more a
result of children dumping properties after their parents’ passing just to avoid the hassle of holding a
condo they don’t intend to use.
33
POAs that are Not Marketing
United Lost Lake Property Owners Association - Dixon IL
Refused to respond to repeated requests for information.
Their website indicates that the Lost Lake Community is a country-style development in northwest
Illinois, surrounding an 88-acre man-made lake. Over 350 homeowners make this community their
permanent or vacation home. Local residents enjoy sports such as fishing, off-site golf, tennis and
snowmobile riding.
Lake Carroll Homeowners Association - Lake Carroll IL
Lake Carroll is a private four-season, recreation-oriented, planned community that includes a
640-acre lake, an 18-hole semi-private golf course, a marina with 268 boat slips, a clubhouse,
restaurant, lodge, ski hill, swimming pool complex and beach, fish hatchery, campground,
equestrian area and 14 miles of trails for ATV, snowmobiles, hiking and biking. Its land mass is
5,000 acres and offers 2,550 lots with roughly 950 homes having been built since the mid
1970s.
Lake Carroll advertising has been seen on billboards. Visitors to their website that are interested
in available properties are directed to the websites of four regional Realtors.
34
POAs that are Not Marketing
Riviera Home Owners Association - New Buffalo MI
GTA Management suggested we research this Home Owners Association on the Lake Michigan shore.
Unfortunately, we were unable to reach anyone at the Association because their phone was
disconnected and there was never a response to an email. But, here’s what we know:
Originally conceived as a resort community with golf, beach and marina, the 130-acre tract of land began
to be platted as early as 1924. Today, there are roughly 140 family homes along the mile-long Wolverine
Beach. Home rentals for less than an entire summer are disallowed in order to preserve a sense of
community.
Not connected in any way is the Marina Grand Resort, located nearby, on the other side of the New
Buffalo harbor.
35
POAs that Are Marketing
Keowee Key Property Owners Association - Salem SC
Keowee Key is an established community, owned and governed by residents through a
Property Owners’ Association (POA), supported by professional staff and volunteer
committees. The residents of Keowee Key own all the common property and roads, the
water and wastewater utility services and all the amenities.
POA investments in 2012 included building a new outdoor swimming pool complex, a
new Administration Center, adding four new lighted tennis courts, four pickleball
courts and enhancements to the Leisure Trail.
They recently formed a Marketing Task Force to examine their marketing efforts. For the
first time, their 2015 budget will include an assessment ($100) specifically designated
toward marketing their community. With the $193,000 generated, they plan to hire a
marketing position and provide resources in order to improve upon what they are doing
now, which is basically just a website.
36
POAs that Are Marketing
Recreation Centers of Sun City - Sun City AZ
This well known Retirement Community does not have a connected resort component, but offers some
interesting thoughts on the need for marketing in today’s changing environment.
While the complex does not see itself as an investment opportunity, it does admit that roughly half of its
units are only occupied during the winter months.
Over the past 3 years, the Board of Directors decided that they needed to begin marketing. They launched
a website (suncityaz.com) to communicate the opportunity and value of ownership in Sun City, developed
some collateral materials to respond to requests for information and have even produced a :30
commercial for future TV/Cable buys. In essence the Board decided that, if no one else was going to
market Sun City, they needed to do it. While unable to correlate the two, Sun City representatives said
that home values have remained fairly constant over the past few years.
37
Summary & Conclusions
Target Market
▪ The Galena Territory has a comparatively narrow target
market. Fewer than four in ten respondents met the
requirements necessary to complete this survey. That is,
only 39% own property, earn over $75k per year and are
aware of The Galena Territory.
▪ As a result, mass marketing—as was apparently used in the
1970’s to launch the resort community—would likely be
too inefficient to have the desired impact on the target
market today, sans a very large marketing investment.
Marketing return on investment would likely be stronger
using more targeted channels such as select social media,
direct promotions, and search engine optimization and, of
course, optimizing the resort community’s website.
▪ Even among this specific audience of target consumers,
The Galena Territory’s brand comprehension and top of
mind consideration is comparatively low. Only one-third of
travelers are somewhat or very familiar with The Galena
Territory and only 6% mentioned Galena/The Galena
Territory as a top of mind response to a query about resort
communities they have visited or would like to visit in the
region—ranking in second place behind Lake
Geneva/Geneva National and tied with Wisconsin Dells.
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Mixed Opinion
▪ Perhaps an even greater challenge is the fact that
consumer opinion regarding The Galena Territory is fairly
mixed among the target market. Overall, 60.9% have a
positive opinion of the resort community which is just
about average for the competitive set as a whole.
Although, it is slightly lower than Geneva National (65.7%)
and Apple Canyon Lake (61.0%).
▪ However, it is particularly notable that Eagle Ridge Resort
& Spa (72%) generates the most positive opinion across
the competitive set, nearly 11 percentage points higher
than The Galena Territory which is a statistically significant
variance.
▪ The size of the target market for The Galena Territory is
comparatively narrow, the Territory’s level of brand
familiarity is comparatively low, and positive public opinion
trails some regional competitors, including Eagle Ridge
Resort & Spa. This is not necessarily a problem if one owns
their home and plans to live out their days in The Galena
Territory. But, it does pose a challenge to those concerned
about property values, selling their home or earning a
return on investment on their rental property.
40
Consideration and Intent
▪ Interestingly, The Galena Territory has the strongest level
of consideration (aware travelers who have previously
considered visiting, but haven’t gotten around to it) of any
resort community in the competitive set. And, likewise,
The Galena Territory has the largest number of inactive
visitors who have visited in the past, but not in recent
years. This indicates that The Galena Territory used to be
the premier resort community for regional travelers, but
that reputation may be fading.
▪ Geneva National (18%) now earns the top spot for recent
visitation, 3 points higher than the ratio of travelers who
report having visited The Galena Territory (15%) in the past
2 years. Similarly, more travelers indicate they plan to visit
Apple Canyon Resort (52%) and Geneva National (48%) in
the next 12 months than those who plan to visit The
Galena Territory (38%) or Eagle Ridge Resort & Spa (43%).
▪ The preponderance of evidence indicates The Galena
Territory used to be the dominant resort community in the
region, but today more people are gravitating toward
Geneva National and Apple Canyon Resort. And, when
they do consider visiting The Galena Territory, they are
more likely to stay at Eagle Ridge Resort & Spa (43% vs.
38%).
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Differentiators
▪ Overall, The Galena Territory maintains its fair share of
relevant differentiators. Compared to other resort
communities in the competitive set regional travelers in
the target market indicate that The Galena Territory is
most differentiated by its variety of things to do, charming
local restaurants and convenient hiking and biking trails.
▪ Of course, “variety” is difficult to own and “charming local
restaurants” is a description that is fairly ubiquitous for
many places. Therefore, “convenient hiking and biking
trails” amongst some of the most beautiful scenic
countryside may provide the most sturdy foundation from
which The Galena Territory could use to set itself apart
from other resort communities throughout the region.
▪ Conversely, alternative attributes where The Galena
Territory is beaten out by other resort communities include
Water Activities, Golfing, Winter Activities and Swimming
Pools. Unfortunately, most of these characteristics are
more important to The Galena Territory visitors than they
are to non-visitors and, as a result, may need some
attention if the GTA decides it wants to become more
competitive.
42
Brand Perception
▪ The Galena Territory does provide a positive customer
experience. Past visitors, and those familiar with The
Galena Territory, have mostly positive things to say about
the resort community. Visitors view it as being beautiful,
relaxing, unique, quaint and historic; and also associate
The Galena Territory with being wholesome/safe,
welcoming, family friendly, fun and authentic.
▪ If the brand were human, it would likely be viewed by most
as either a multi-generational family or outdoor enthusiast.
Interestingly, there is an even split in the number that view
The Galena Territory as a young family and an older couple,
indicating it can appeal to all generations.
▪ While brand perception is near universally positive, it
should be pointed out that Eagle Ridge Resort & Spa
accounts for much of this judgment. Compared head-tohead, Eagle Ridge Resort & Spa is where more travelers say
they would prefer to spend the night, expect to see
advertisements, is best known across the region and the
brand they are most familiar with. However, The Galena
Territory is viewed as having a more welcoming personality
than Eagle Ridge Resort & Spa.
43
Brand Strengths & Unmet Needs
▪ The Galena Territory has several important brand
strengths, or brand attributes that guests view as being
more desirable than average and on which The Galena
Territory earns above average satisfaction ratings.
▪ The Galena Territory’s brand strengths include charming
local restaurants, unique and out of the ordinary
experiences, variety of things to see and do, hotel/resort
with a 4+ star rating, historical aspects and naturecentered activities. These are all characteristics that
provide The Galena Territory with perhaps its strongest
brand pillars.
▪ However, regional travelers also identified several unmet
needs. These are brand attributes that guests view as
being more important than average, but on which The
Galena Territory scores below average. These unmet
needs include water activities, swimming pool(s), proximity
to area attractions and value for the dollar. These are pain
points that negatively affect The Galena Territory’s brand
image and make it less competitive with other resort
communities across the region.
44
Hurdles
▪ The Galena Territory’s biggest hurdles to visitation revolve
around a lack of brand familiarity and comprehension.
▪ Both unaided comments and aided explanations point
toward these primary barriers. Regional travelers lack a
high level of awareness and comprehension of The Galena
Territory which results in them choosing to visit other
places they are familiar with and having confidence those
destinations will meet their needs and expectations.
Likewise, a lack of personal recommendations makes
choosing to visit The Galena Territory a somewhat more
risky proposition.
▪ However, because consumers are not always the most
reliable witnesses to their own thoughts and behaviors, we
also evaluated each stated hurdle against travelers’ intent
to visit The Galena Territory (asked much earlier in the
survey). The idea is to evaluate which hurdles correlate
most strongly with intent to visit, or lack thereof.
Frequently, one will see a different picture emerge from
this exercise. But, in The Galena Territory’s case, the same
primary hurdles to visitation were consistently identified
across open-ended comments, stated explanatory ratings
and derived explanatory ratings. There is not a high
enough level of familiarity, or personal recommendations,
to justify visiting when there are other choices available
that meet their travel needs.
45
Conclusions & Future Considerations
▪ Crystalize Brand Clarity. Lack of familiarity and top-of-mind consideration among the narrow
target market presents a particularly daunting challenge for The Galena Territory. The resort
community is differentiated from its competitors across the region in a variety of ways, but would
benefit from focusing on one key message point that cuts through the clutter. Perhaps even more
importantly, The Galena Territory needs to identify and leverage key differentiators that separate it
from Eagle Ridge Resort & Spa.
▪ Increase Brand Awareness. Given there has been no dedicated marketing program in place for
decades, it probably comes as little surprise that brand familiarity is low and intent to visit The
Galena Territory trails several other resort communities—including Eagle Ridge Resort & Spa. The
only way to improve this situation is to increase The Galena Territory’s share of voice among the
target market. Familiarity precedes intent to visit and intent to visit precedes actual visitation
and/or purchase intent. Increased information allows consumers the ability to make a more
informed decision.
46
Conclusions & Future Considerations
▪ Convert Website Visitors. Marketing, however, does not typically come cheap; therefore, if the
GTA decides to create a marketing campaign, it would be wise to invest in media channels and
messages that generate the best return on investment. The first place to start is with the GTA’s
own website. This is among the first places that interested travelers (and investors) will visit and is
considered the most important consumer touch point. The website simply must win the day and
convert browsers into visitors and/or buyers by promoting the key differentiators and welcoming
personality of the area. If that doesn’t come across now, it’s important to invest in changes that
will do so.
▪ Leverage Brand Advocates. Given the rise of social media and the importance of word of mouth
advertising, another important step deserving of consideration would be to identify and leverage
The Galena Territory’s brand advocates among its visitors and owners. Arm these people with
inside news and information and help them to organically spread the word about The Galena
Territory as they reach out to all of their followers, and hopefully their followers in turn share or
forward this kind of content with their followers and so on. Social amplification is not only
effective in today’s marketplace, but it is often one of the most efficient marketing channels to
employ.
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Thank You!
jhenry@h2rmarketresearch.com
agaroutte@h2rmarketresearch.com
417.877.7808
1717 E Republic Road, Suite C
Springfield, MO 65804
@H2RMktResearch
Know Your Customer