By Rachel Sacco | Thoughts on Innovation
Research from industry experts like Tourism Economics has shown that in the current K-shaped economy, higher-income households are the most important for driving hotel demand.
As the destination marketing organization responsible for establishing Scottsdale as a year-round luxury travel destination, Experience Scottsdale strives to keep Scottsdale top of mind with luxury travelers who will benefit our community.
We aim to drive high-value tourism, not mass tourism, inviting travelers who will appreciate our history and culture, respect our residents and the surrounding natural environment, and generate millions in revenue for our businesses and millions in tax dollars for our city’s coffers.
Over 90% of travelers with household incomes over $150,000 plan to travel within the next 12 months, according to MMGY Travel, and through our targeted, thoughtful approach, Experience Scottsdale sets Scottsdale’s hotels, resorts, golf courses, hospitality businesses and attractions up for success in the months ahead.
Our marketing strategy is driven by economic return, historical visitation data, and alignment with Scottsdale’s luxury positioning.
Our promotions incorporate interest-based targeting to reach key audiences most likely to convert and maximize spend, as identified by their interests, behaviors, spending habits, travel motivators and more. That means we are targeting people over the age of 35 with a minimum household income of $150,000 seeking luxe vacations, family getaways, wellness escapes, and indulgent solo time, as well as sporting events, golf, arts and culture, and highly rated eateries.
We developed dedicated commercials speaking directly to such interests, and we ensure our advertising — whether on streaming television, podcasts or social media — is seen by these key audiences in cities throughout the country that have shown a propensity to consistently travel to and spend in Scottsdale.
Experience Scottsdale also leverages the reach of respected media outlets whose subscribers align with our target demographics. Recently, our media partnerships included Southwest Contemporary, a magazine written for art enthusiasts and dedicated collectors, in which we are promoting Scottsdale’s art scene in a three-month email, online and print campaign.
Marketing is one facet of Experience Scottsdale’s role providing inspiration to potential visitors around the world. It is through our tourism trade efforts that we help sell luxury vacations. Phocuswright’s “U.S. Travel Agency Landscape 2024” report revealed that 74% of travel advisors specialize in luxury travel. Their clients are typically older and wealthier than the average traveler, with 73% over the age of 40 and 58% with incomes of at least $100,000.
Experience Scottsdale has a dedicated team responsible for providing destination education and training to travel advisors, tour operators and airline vacation divisions, helping them best capture the Scottsdale experience for their affluent clients. In the first half of our fiscal year, we trained nearly 1,500 global travel professionals to sell future Scottsdale vacations.
We have forged partnerships with consortia like Virtuoso Ltd. and Serandipians, both of which represent thousands of global luxury travel advisors, while also attending exclusive, invitation-only industry events to connect with these hard-to-reach travel professionals. These initiatives also gain Scottsdale exposure among valuable international travelers who tend to stay longer and spend more when they visit. In 2024, international travelers accounted for 14% of our 11.7 million visitors but 19% of the $2.4 billion in visitor spending generated.
Tourism was one of Scottsdale’s first industries, and it remains one of our most important today, in terms of jobs, tax revenue and economic impact. Through Experience Scottsdale’s strategic promotions that reach high-value, luxury visitors, we ensure tourism continues to benefit our community well into the future.
Editor’s Note: Rachel Sacco is the president and CEO of Experience Scottsdale
