2017 Annual Report
NOS TA HASI’É!
2017 was a remarkably challenging and exciting year.
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Annual Report 2017 | The Curaรงao Tourist Board
Welcome to CTB’s Annual Report 2017 To many of us at the Curaçao Tourist Board, 2017 felt like a rollercoaster. Slowly pushing towards forecasted peaks, with more surprise drops than we could have anticipated. Our meticulous planning was disrupted as we faced unexpected challenges with airlift, crossed new marketing frontiers, witnessed budget miracles, held our breath as markets plummeted and rejoiced as we were pleasantly surprised by emerging ones. 2017 was a remarkably challenging and exciting year. Through it all we managed to remain positive, even when facing our own limitations, and we grew confident in our increasing ability to shift; to quickly find new avenues through which to move forward. In the face of adversity, our teams stuck together and searched for inventive ways to work around hurdles. We looked to our partners and stakeholders for stronger alliances that enable us to keep shifting and growing and found that we are all standing together. We can think of no better way to describe our vibe during 2017 than with the saying in Papiamentu: Huntu Nos ta Hasi’é [Together we do it]. Hence, this year’s annual report theme.
Annual Report 2017 | The Curaçao Tourist Board
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Table of Contents Curaรงao Tourism Performance 5 Message From The Supervisory Board 6 Message From Our Deputy Director 8 The Year-in-Review 9 Target Markets 10 Research 19 Digital Marketing 21 Communication 22 Strategy Development & Planning 23 Product Development 25 Tourism Master Plan 28 Finance 30
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Annual Report 2017 | The Curaรงao Tourist Board
Curaรงao Tourism Performance TOTAL
2017
2016
398,818
441,328
3,576,425
3,611,829
634,370
469,498
Cruise calls
282
232
TOP SEVEN MARKETS
2017
2016
158,926
157,660
United States of America
61,147
59,810
Venezuela
28,830
60,407
Germany
20,546
22,210
Canada
19,134
17,997
Colombia
17,134
14,563
Brazil
10,796
10,912
2017
2016
The Netherlands
$132.78
$117.50
United States of America
$236.05
$202.55
Venezuela
$173.82
$118.18
Germany
$166.93
$126.90
Canada
$217.59
$209.67
Colombia
$227.08
$185.03
Brazil
$250.24
$246.10
Stay-over Arrivals Visitor nights Cruise passengers
The Netherlands
DAILY SPENDING BY TOURISTS
2017
2016
Alternative Accommodations
40.70%
44.10%
Large Hotels
26.60%
26.00%
Small Hotels
12.40%
11.90%
Bungalows
20.30%
18.00%
TOP CHOICE ACCOMMODATIONS
TOURISM SHARE IN ECONOMY
2017
2016
GDP
19.9%
19.6%
Annual Report 2017 | The Curaรงao Tourist Board
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Message from the Supervisory Board
Alone we are strong, together we are stronger.
In tourism, the saying “alone we are strong, together
compensate for their vacancy. As a consequence of
we are stronger,” takes on extraordinary meaning.
having only three board members, we had to stop the
The challenges we faced during the year helped us
audit committee on account of the statutes requiring
increase our commitment to forge stronger alliances for
five members. During the year, we stumbled upon
the betterment of Curaçao tourism. 2017 was a year in
a case of embezzlement and had to hire Forensic
which we laid the groundwork for a new management of
Services Caribbean to help us take the necessary
CTB. Amongst all the things that happened in 2017, we
steps to ensure that this does not happen again.
are especially proud of the extra airlift we now have
The financial figures of 2016 took longer than
coming to the island, of our new collective labor
expected, however, we were pleased that they were
agreement, and of the improved relationship with the
finally approved at the end of 2017. On a brighter note,
Curaçao Hospitality and Tourism Association (CHATA).
intensive negotiations with the union led to a new
Despite the fact that three of our board members
Collective Labor Agreement for a period of three years.
stepped down mid-year, we worked diligently to
We
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Annual Report 2017 | The Curaçao Tourist Board
traveled
to
Aruba
to
discuss
destination
management possibilities for the future. In the first
out the Tourism Master Plan, (TMP), we appointed a
half of the year our relationship with the CHATA
dedicated Project Manager. Great care has been put into
reached a low point. This was mainly due to opposing
creating stronger alliances with our stakeholders, who
views about their involvement in the CTB. We are
have taken a seat on our TMP committees, while we all
proud to have ultimately achieved a stronger working
work together towards reaching the milestones set forth
relationship in spite of all of these experiences and
by the TMP. However, funding remains a bottleneck.
obstacles. Our yearly retreat was a successful one, in
Notwithstanding this drawback, we look back on all that
which we made important decisions that resulted in a
was accomplished in 2017 with gratitude in our hearts
long list of action points. On this list we have included
and trust that together we will conquer all remaining
the ongoing issue of the office building. We are looking
challenges in 2018 to the benefit of our Dushi Kòrsou.
into alternative housing for our personnel, to improve both their efficiency and wellbeing, and to lower current
Rudy Eleonora
costs incurred by the current building. In terms of rolling
Vice Chairman
Annual Report 2017 | The Curaçao Tourist Board
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Message From Our Deputy Director 2017 was a challenging and productive year. Together, we kept finding creative ways to deal with some unforeseen external constraints and airlift issues, which kept us on our toes for most of the year. We dealt with constraints, such as the political situation in Venezuela, the postponement of the Curaçao North Sea Jazz to 2018, the cancellation of all Insel Air flights, some unfortunate airline strikes, bankruptcies and sudden changes in flight schedules, and we even felt the effects of travelers avoiding the Caribbean during the hurricane season, even though Curaçao is outside the hurricane belt and has not experienced a hurricane for as long as any of us can remember. Thankfully, we managed to mitigate the effects of these challenges in the majority of our key markets, and even rallied with additional airlift from Sunrise Airways, Fly Allways, PAWA Dominicana, and JetBlue.
I feel a sense of accomplishment and pride in our organization’s resilience, and a certain sense of awe in our people’s creativity.
We added Curaçao to their itineraries, and at the end
We are eagerly looking towards a promising 2018,
of the year, KLM added five additional weekly flights
in which we will start implementing the tourism
to Curaçao. We were also excited to see the USA and
master plan and continue to focus on more airlift
the Colombian markets take off and to see that Curaçao
and on increasing overnight stays in hotels. We
continued to book great results in Europe.Throughout
intend to borrow on the local market to invest more in
the year, we continued our efforts to improve Curaçao’s
marketing and more in the USA market. I feel a sense
tourism product. Seeing the Marie Pampoen area bustling
of accomplishment and pride in our organization’s
with pedestrians and families enjoying the new facilities,
resilience, and a certain sense of awe in our people’s
is just one of the wonderful satisfying moments we get
creativity. They continue to infuse our culture with
to share with our fellow Curaçaoans. To see the fruits
unique and effervescent experiences for all to share and
of our efforts and our Dushi Kòrsou blossom, is one of
enjoy. I have no doubt that, together with our partners,
the joys of working together for the betterment of our
we will reach a new level of success in 2018.
tourism sector. Despite the chaos in the markets, we continued to lay the much-needed groundwork to roll
Hugo Clarinda
out the Tourism Master Plan; planning, forging alliances,
Deputy Director
figuring out pathways, and eliminating blocks.
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Annual Report 2017 | The Curaçao Tourist Board
The Year-in-Review Curaçao tourism is a dynamic, exciting sector, bustling with activity, teeming with satisfaction-clad accomplishments and a sprinkle of sudden twists and turns - there is hardly a dull moment. If we were to recount all that happened in 2017 in all our departments, it would make this annual report too extensive. Most of what we worked on throughout the year was geared towards one of our target markets, Curaçao’s tourism product, or the Tourism Master Plan. Rather than describe in detail what happened in our departments, we chose to describe the main factors that defined these three main subjects, in an attempt to capture what was at the heart of the year-in-review.
Annual Report 2017 | The Curaçao Tourist Board
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Target Markets In our efforts to get more travelers to visit Curaรงao, we targeted: North America; Europe; South America; and the Caribbean. Each of these market segments is headed by a dedicated team.
NORTH AMERICA
EUROPE
CARIBBEAN SOUTH AMERICA
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Annual Report 2017 | The Curaรงao Tourist Board
North America Efforts to grow our US and Canadian markets were mostly handled from CTB’s regional office in Miami, Florida. We shifted our marketing communication towards a more data-driven approach, which has proven more effective. Despite some challenges, both the US and Canadian markets showed significant improvement.
United States Our marketing and PR efforts were mainly focused on three specific geographical regions in the USA: New York as the primary market, South Florida as the secondary and Chicago was added as our newest market in 2017. After defining an exact profile of our desired customers in these markets, and matching this with the kind of experience Curaçao has to offer, we mapped out the goals and targets for 2017, namely:
• Increase brand awareness, • Increase number of visits, • Increase length of stays, • Stimulate hotel stays (versus alternative accommodations), • increase airline load factors, • and ultimately achieve additional seat capacity from the US mainland to Curaçao.
Marketing Campaigns were mostly centered around creating branded customer engagement and interaction, e.g. partnerships with media platforms and gamification, (innovative marketing that turns an activity or task into a game triggering action from the target audience).
Annual Report 2017 | The Curaçao Tourist Board
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We also added powerful innovative ways to target the
Not to be overlooked, is the amount of local traffic
profiled customers according to their specific likes and
traveling to and from the USA, taking seats away from a
behaviors, using tools such as geo targeting, which allows
potential American tourist. In the third quarter of 2017,
us to reach consumers in an interactive and dynamic
the threat of hurricane activity became a concern for
way. A Curaçao commercial that automatically pops
the Caribbean at large. Although Curaçao’s location is
up on our target market demographics’ smartphones,
described as officially out of the fringes of the hurricane
whenever something specific plays on TV, is one of the
belt, a handful of potential visitors chose to cancel their
geo-targeting examples we applied.
vacation. In addition, not to overlook that MIA—one of our main connecting airports— also suffered by hurricane
With the closing of the Curaçao Marriott Beach Resort
activity, causing temporary airlift issues and the chaos
resulting in a 245-room gap from the preferred hotel
affected travel from the USA. During the year in review,
brand choice of Americans, especially when it comes to
the addition of JetBlue Airways came at the right time.
the business-oriented segment, our Meetings Incentives
We were finally able to cater to the demand of the
Conventions and Exhibition, (MICE), niche market took a
state of New York, by promoting non-stop service.
blow. As with most of our targeted markets, the airlift
With strong partnerships, a matching advertising
issues affected projected figures. At the beginning of
campaign, paired with effective public relation actions,
the year airlift was mainly from non-stop flights coming
we were successful in making JFK service a success,
in from New York, Miami and Charlotte. A sudden change
with the potential to grow in capacity.
in American Airlines’ aircraft configuration resulted in fewer seats available. In the new schedule, American Airlines replaced their twice-daily Boeing 737 with the more efficient Airbus 319 with a capacity of 30 seats less. Meanwhile, Insel Air flights were suspended, causing a large gap in seats from the United States.
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Annual Report 2017 | The Curaçao Tourist Board
Throughout the year we have successfully trained more than 1,100 travel agents in Canada.
Canada Visitors from Toronto and Montreal are a great match for
The Canadian market showed its potential for growth.
the Curaçao product offering. Canadian travelers tend
Along with partners like Air Canada, Sunwing Vacations
to be more adventurous, are fond of culture, curious
and WestJet Vacations, we were able to attract more
to learn about the local heritage and are total foodies.
Canadian travelers to visit Curaçao.
Most show less brand-loyalty towards big brand-name hotels, opting for boutique hotels and all-inclusive
In 2018, we hope to add at least one extra weekly flight
experiences. Canada’s tourism market is mainly driven
year round, plus an additional winter service to keep
by trade partners, including wholesalers and travel
Curaçao’s momentum going in the Canadian marketplace.
agents. Meaning that the education and partnerships with the Trade sector is key. Throughout the year we have successfully trained more than 1,100 travel agents in Canada to be better able to sell Curaçao to travelers looking for their next vacation. Results of such actions were the ability to have more knowledgeable travel agents that can sell Curaçao with confidence, which ultimately leads to more bookings to Curaçao, higher airline load-factors and higher hotel occupancies. Our website holds a more detailed view of the market figures than is depicted in the Curaçao Tourism Performance section of this annual report.
Annual Report 2017 | The Curaçao Tourist Board
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Europe
The Netherlands continued to be the main feeder
when KLM added five extra flights weekly to Curaçao.
market for Curaçao in 2017, driven diligently by
The added airlift is a major barrier that has been lifted
our marketing team based in the Netherlands.
to increase passenger arrival from Europe. Hurricane
Germany, our second target market in Europe, showed
season had little adverse effect on arrivals from Europe.
notable growth.
Demand stayed high regardless. In addition, some flights to Sint Maarten were diverted to Curaçao.
The Netherlands The challenges surrounding airlift during the year
We saw little to no change regarding where the Dutch
inevitably affected the European Market. Inter-island
choose to stay during their vacation in Curaçao. However,
connectivity plays an important role in bringing European
their length of stay was longer than in 2016. This could
stay-overs to Curaçao, especially since the available
be attributable to the rebounding of the European
direct seats from Europe did not meet the demand.
economy. However, Dutch traveler expenditure was
Our data shows that approximately 11,000 Dutch
lower than that of the German traveler. The 2017
travelers found their way to Curaçao in 2016, by
target arrivals from Holland were set at 165,000 at the
traveling with Insel Air via neighboring islands. When
beginning of the year. Despite all the constraints, 96%
Insel Air stopped all flights to and from Curaçao, we lost a
of this target was met, which, given the circumstances,
considerable number of these passenger arrivals. Efforts
shows a real promise that such a steep target can, and
to increase direct connectivity to Europe were deployed
most likely will, be met in 2018 when more favorable
early in the year and finally paid off late in 2017
conditions are expected.
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Annual Report 2017 | The Curaçao Tourist Board
Germany Germany showed some growth regardless of some
Aside from the airlift issues and marketing efforts, our
tour operator and air lift constraints. Figures show a
team working the European market segment faced a
dip in March. This was mainly attributable to technical
hurdle when it acquired and lost its Regional Manager
problems with the booking system of our main tour
in 2017.
operator. Both for the Dutch and German market, there was a Unfortunately, we lost Air Berlin in the third quarter of
distinct need to hire a creative studio to come up with
2017. We anticipated this loss and kept our branding
a 360-degree approach on how best to reach the target
efforts in Germany strong to keep demand for Curaรงao
consumers with the available budget. After an intensive
high in the hopes of attracting a replacement airline.
search, we found a creative studio in Germany which
The effects of the loss were less impactful than
can handle both creative and media buying. We hired a
anticipated. It turns out that the Germans are very willing
creative agency in Holland that will collaborate with our
to travel to Curaรงao via Schiphol, and many switched to
PR and Media Buying agency, to achieve a more creative
KLM. There was an immediate drop in arrivals, however
and distinctive approach.
this was not as drastic as we expected.
Annual Report 2017 | The Curaรงao Tourist Board
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South America It was a bustling year for the South American market. Our focus —as has been the case for some years now— was mainly on three markets: Venezuela, Colombia, and Brazil. We saw growth in Colombia and Brazil. Venezuela dropped considerably due to the political and economic situation and we welcomed growth from some countries we did not target, such as Ecuador and Argentina.
Venezuela The Venezuelan market has been declining over the past three years. This gradually grew as political decisions in Venezuela affected traveling to Curaçao. The market that was once our second largest, right after The Netherlands, was now ailing. We opted to maintain our presence there by maintaining contact with our tour operators, and did media and consumer activation. We pushed for seasonal travels such as Easter week, participated in road shows, and refocused on the more affluent travelers who were still able to travel. Despite the decline in the number of passengers, the passenger spending of Venezuelan travelers increased.
Their on-island spending grew and they were staying in
market as well because the airline flew direct flights from
larger hotels. In March, Insel Air cancelled all its flights
Medellin (primary market) and Baranquilla (secondary).
in the Caribbean which led to a drastic drop in passenger
A quarter of all Colombians coming to Curaçao made use
arrivals from Venezuela. The significant reduction in
of Insel Air flights, and we had many local people going
seat capacity made it impossible to grow, and as the year
to Medellin for medical purposes. Suddenly, Avianca was
progressed, the political developments in Venezuela
the only airline bringing in travelers from Colombia, which
caused a further decline in Venezuelan travelers arriving
is also a hub to Brazil, Ecuador, Argentina, and other
in Curaçao.
Latin American destinations. This drove the ticket prices up. The congestion of Avianca soon led to more seats.
Colombia
Avior, the Venezuelan airline that also flies to Colombia,
There has been a steady increase in Colombian
increased its flights when it saw the demand of people
stay-overs over the past three years. The elimination
trying to find a way to come to Curaçao.Meetings with
of an entry visa for Colombians traveling to Curaçao in
Avianca led to their deployment of larger airplanes to
2015, also contributed to this. The market is performing
ease the flow of passengers. COPA Airlines also flew
well, showing an increase of approximately 10% every
to Colombia, but Colombians were not choosing COPA
year.Regarding our main airlift partner in Colombia,
to travel to Curaçao. During the year, we faced another
Avianca’s flights, were predominantly full, with over 80%
challenge: Venezuela closed its air space for Colombian
load factor. Still, in 2017, airlift issues hampered our
flights. Flights from Colombia to Curaçao had to take a
efforts in the Colombian market. When Insel Air stopped
different and longer route.
its operations, it immediately affected the Colombian
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Annual Report 2017 | The Curaçao Tourist Board
As 2017 progressed, we remained very aggressive and
We had some other bloggers return to Curaçao, and
focused on creating higher brand awareness in Bogota
created a buzz that brought us 7,000 followers. Similar
and Medellin, adjusting digital marketing components
types of branding awareness led to further growth in
to remain concise in reaching the right demographics.
the South American markets in 2017. However, again we
As the year progressed, Avianca’s pilots went on a
faced disappointments when Insel Air stopped their five
strike that took very long, and significantly disrupted
times per week flights to Manaus. Passenger arrivals
the connectivity between Curaçao and Colombia and
dropped immediately following the lost connectivity.
which subsequently also affected the Brazilian market.
Insel Air from Manaus contributed to 9% of the total
Flights from South America and Europe in its totality
number of Brazilians coming to Curaçao. Brazilians would
were affected since there were no crews available to fly
soon find their way to Curaçao via Miami and we quickly
charters.
countered with a campaign, together with American Airlines, to entice more Brazilians to arrive via Miami.
Brazil In Brazil, we rolled out a focused media plan and strategy.
Ecuador
The main goal was to establish a strong branding,
We did not set Ecuador as a target, however, we selected
creating and increasing the demand for Curaçao travel.
two tour operators that are committed to Curaçao and
We saw an increase in arrivals in 2017. Our two main
offered our assistance, while they did the rest. Ecuador
partners COPA (via Panama) and Avianca registered
grew almost 40% compared to 2016. Although still a
an increase in bookings and increased their seats. Our
relatively small market, we see the growth potential.
efforts included a combination of traditional media,
The best way to do this is to work with a tour operator,
digital marketing and much more. We reached out to
given that they know the sales channels and the market
bloggers and social influencers. We welcomed blogger,
best.
David Brazil, who has 4 million followers, to Curaçao.
Annual Report 2017 | The Curaçao Tourist Board
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Caribbean CTB has Aruba and Surinam at the heart of its Caribbean marketing efforts. Travels from these target markets generally spike around the many great events happening on the island throughout the year, such as Carnival, Curaçao North Sea Jazz Festival, and many others. In 2017, the foundation responsible for the Curaçao North Sea Jazz Festival, (CNSJ), skipped their indispensable annual CNSJ Festival, promising a return in 2018. A huge Caribbean traveler favorite, the demise of the festival affected arrival figures. On March 8th, Insel Air stopped all flights to and from Trinidad. Even though Trinidad was not one of our target markets the flights coming in from Trinidad three times per week with a capacity of 80 passengers generated substantial seat numbers to the island. Further into the year, the local airline reduced their daily flights out of Aruba, causing a huge shortage of seats to bring travelers to Curaçao. In the month of June, Fly Allways started flying twice a week from Surinam Airways, adding approximately 150 seats weekly.
This helped to curb the drastic declines in stay-over
commercials were used to inform both the potential
figures from Surinam with competitive tariffs. In
and repeat travelers. Under the circumstances it was
November, Aruba Airlines relaunched their daily flights
most important to keep a Curaçao presence in the market
from Aruba. Limited budgets in the Caribbean target
and to maintain the relationships built within these
markets call for creative ways of stretching every dollar.
markets. In December, Insel Air relaunched one weekly
Efforts were focused on other events including Carnival,
flight to Surinam. The economic situation in Surinam
Drag-races, Caribbean Gospel Festival, KLM Marathon
led to the devaluation of the Surinamese Dollar, which
and other sport and culinary events. Marketing efforts
in turn affected spending power and vacation travels to
included social media campaigns, consumer shows in
Curaçao.
Surinam, trade shows, co-ops, billboards, radio and TV
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Annual Report 2017 | The Curaçao Tourist Board
Research The Marketing Research Department is CTB’s center of research and statistics. It collects data, conducts research and produces ongoing statistics on stay-over arrivals, duration of stay, spending, type of lodging, and countless other performance indicators. Every year, we also conduct research surrounding a specific local event. In 2017, this event survey was focused on one of our biggest events: Carnival. The objective of this annual event survey is to collect quantitative data about the tourists’ experience surrounding such event. The questions cover aspects such as tourism spending, experience during the event, and social aspects such as interaction with locals, perceived quality of the event and more. These indicators also allow us to analyze the effectiveness of its promotional efforts and the impact thereof on the event.
In 2017, an additional event survey popped up unplanned; the World Domino Championship was held here in Curaçao, and Fundashon Desaroyo Deportivo Kòrsou approached us in an effort to figure out how visitors would experience the domino event and its impact on the island. The World Domino Championships 2017 tourists stayed for an average length of 6 days and spent an estimated total of $269,459 while they were here. The research also showed the potential of this type of tourism for Curaçao, showing among other things, that sporting events bring a significant impulse This research on the economic benefits of Carnival for the Caribbean and Curaçao led us to speak at two international conferences on tourism research in Orlando, FL, at which we shared our research and findings with others.
Carnival Research
to Curaçao tourism. Visitors of sporting events have a higher daily spending rate than vacation tourists, who spent on average $159 per person per day. The findings of the World Domino Championship Survey are available at CTB on request.
Annual Report 2017 | The Curaçao Tourist Board
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The existing business intelligence software, Cognos,
A benchmark study comparing Curaçao to similar
was broadened in 2017 with an innovative file named
destinations such as Aruba, Bonaire, Sint Maarten,
Active Report which enables each of our regional
Barbados, and Martinique, was also conducted by the
managers to directly access data that they can use for
Marketing Research department during the year being
their strategies. The added value of this report is that it
reviewed. The objective of this study was to compare
becomes accessible from a smartphone, by downloading
Curaçao’s tourism competitiveness by analyzing tourism
the IBM Cognos Mobile application. By using this tool
performance metrics of other selected destinations in
every regional manager has immediate answers to
order to identify our strengths and weaknesses and
questions based on current data, allowing for quicker
develop plans to increase our performance. Some of
and effective decision making.
the key performance indicators analyzed in this study to determine competiveness are the population, arrivals
Another interesting market study was conducted
year 2015, main contributor of visitors, number of
in the USA in March 2017 among individuals who
weekly flights, number of airlines and room capacity to
expressed their interest in vacations in the Caribbean.
name a few. Each indicator was analyzed per selected
The information obtained was used as the basis for
destination and ranked from 1 to 6. The results were
profiling our target groups in the USA. It enabled
used to analyze and evaluate Curaçao’s performance.
us to implement smarter, better-focused marketing
To give an example: Curaçao was ranked as number 5
and, make more efficient use of our limited financial
in total number of stayover arrivals to the island. The
resources to reach our targeted consumers. The biggest
full report is available at CTB. The Benchmark Curaçao
take away from this study was information obtained
Report is available at our offices on request.
about travelers’ planning activity, which revealed that travelers continue to research, plan and prepare for
In 2017 we also conducted quantitative online surveys
their trip until the minute they leave for the airport.
to past visitors. We collected a total of 5,100 surveys
We adapted our marketing communication strategy
during the year. The objective of this research was to
to target this behavior effectively to our advantage.
gain insights on the spending behavior of the tourists
This Curaçao Travel Journey Report is available on
visiting Curaçao and the impact on the economy
request.
according to the market profile of these tourists traveling to Curaçao. This research is still ongoing. The full report is scheduled to be presented at the end of June 2018.
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Annual Report 2017 | The Curaçao Tourist Board
Digital Marketing Our
online
presence
is
an
essential
part
of
communicating with potential and on-island visitors to Curaรงao. We made major efforts in 2017 to keep increasing our online activities to entice the audience to visit and explore the website curacao.com. We made sure to maintain a high level of content optimization, worked on generating session increase, improved organic traffic and lowered bounce rates, all while ensuring that our pages could consistently appear at the top of a search engine result, for a specific set of keywords. Our efforts paid off since most of these objectives were exceeded. The visits to curacao.com peaked at a staggering 2.1 million web sessions during the year being reviewed. From these sessions, the vast majority came from a combination of organic and direct traffic.
Overall Web Performance in 2017 Overall Overview
2017
2016
%Diff
Web Session*
2.1m
1.6m
37%
Unique users**
1.5m
1.1m
33%
Pageviews
5.4m
5.1m
4%
Pages/session*** 2 3 -23% Avg. Session Duration
2min
1.5min
27%
Bounce rate 65% 60% 9% * Total website visits. This includes repeat visitors. ** New visitors only. *** Pages/session: The decrease in this number reflects the improvement on the website to facilitate browsing.
Annual Report 2017 | The Curaรงao Tourist Board
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Communication If something is happening at, via, or with the CTB, then it is being communicated on a media platform under the guidance and assistance of the communication department.
This
department
supports
the
communications needs of all of our departments, often beating the clock to tell the local community and our partners about CTB’s activities through TV shows, radio spots, interviews, reports, press releases, newsletters, ads, press conferences, and videos. We experienced a remarkable increase of our total media value based on public relations, which shows the effectiveness of much of the efforts put forth during the year. Our media presence underwent an equally notable growth in 2017. The non-paid publicity ROI was tallied at 854,784 in 2017 versus 757,623 in 2016. A growth of 12.8%. We produced fourteen TV programs in 2017. Our monthly 5-minute TV reports elaborated on various projects that the CTB was involved with. At the beginning of the year we also made a 30-minute video production recounting 2016 events.
A top five list of other memorable communication moments in 2017: 1 The making of the Marketing Update to inform the
4 Several video productions of events, among others
sector about CTB’s ongoing marketing efforts and
the inaugural flight ceremony of Sunrise Airways
trending topics.
and the celebration of World Tourism Day 2017 which included free tours for the local community
2 A Quarterly press conference led by the Minister
to several tourist attractions.
of Economic Development that we participated in, together with the Ministry of Economic
5 The making of a Happy Holidays spot starring
Development, (MEO); CHATA; and the Curaçao Ports
children of Curaçao spreading the warmth of the
Authority (CPA), which also included an update on
season, which captured the hearts of viewers and
the Tourism Master Plan. The goal was to illustrate
was also shared by many colleagues with their
how tourism was performing.
contacts. The children in the spot symbolically represent the future of Curaçao and of our tourism.
3 Coordination of the inaugural flight ceremonies for Fly Allways and Sunrise Airways in close cooperation
Enjoy our Summary of Tourism 2017 video.
with our partners CAP, MEO and CHATA.
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Annual Report 2017 | The Curaçao Tourist Board Happy Holidays
Turismo 2017
Strategy Development & Planning
The Strategy Development and Planning department
simply visiting here. We organized a workshop on this topic
acts like a think tank for the organization. Even with
and chose four local attractions to be coached into full-
its own objectives and tasks, it is often involved
fledged traveler experiences. The Chobolobo Distillery,
in other departments’ strategic endeavors. It also
the Den Paradera Herb Garden, the Toko Williwood Area
monitors the targets set by the other departments
and Kas di Pal’i Maishi each showed activities that offer
and produces a quarterly Tourism Barometer with
a typical local experience to travelers, and were chosen
useful analysis, which is increasingly used by senior
as pilot projects to be developed with the help of local
management and the CTB Board.
experts. This project spanned approximately 8 months and even included a visit from our personnel. We visited
In 2017, we sharpened the key performance indicators
these attractions in a bus, the same way visitors to our
that CTB produces, expanding the indicators to measure
island would, to sample what potential tourists would
performance to the benefit of strategic analysis of all
be experiencing. We took the opportunity to share our
managers and our board.
findings with the project as a way to help them improve.
Experiential Travel
Tiger Team Investment Promotion Revived
The Experiential Travel project, which started taking
As part of the recommendations from the National
form in 2016, grew some more in 2017. Our island can
Development Plan, the government intensified its
benefit from experiential travelers, whom are often
investment promotions activities. In light of this, it
willing to pay more to experience Curaçao, rather than
revived the Tiger Team Investment Promotion.
Annual Report 2017 | The Curaçao Tourist Board
23
In 2017, we took stock of the pending projects in the tourism sector and the bottlenecks they faced and advised the government on how to proceed in order to get these projects to the implementation phase. We also mediated with the relevant organizations to help lead these projects to fruition.
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Annual Report 2017 | The Curaรงao Tourist Board
Product Development
Curaçao, as a tourism product, cannot thrive
We increased the number of Tourism Destination Areas
without the ongoing efforts to maintain and
that we help protect, from 7 in 2015, to 14 in 2017.
upgrade our tourist areas, attractions, activities,
This allowed us to exercise extra control in more frequently
accommodations and its people.
visited tourist areas, which led to a significant decrease in incidents reported in these areas. We strengthened
In 2017, a national decree put CTB in charge of upgrading
our relationship with Politur and sharpened complaint
8 beaches: Caracasbaai, Daaibooi, Playa Santa Cruz,
handling procedures. During Easter weekend, an
Playa Kalki, Playa Kenepa Grandi, Playa Kenepa Chikí,
operation called ‘Operashon Siman Santu’ was launched
Playa Jeremi and Playa Lagun. Our attempts to carry out
together with 10 entities involved in local safety and
this task were hampered by the strained cooperation
security to provide all the necessary equipment, patrols,
with the various government institutions responsible
and cleanup at our tourism destination areas. For the
for parts of the actions involved. We did most of the
first time, during this annual operation, drones were
preliminary work to develop Caracasbaai and Playa Santa
used, which allowed for ample coverage of the areas
Cruz, and even obtained approval. However, due to a lack
and quick responses. The outcome of this extraordinary
of funds and cooperation from other local government
effort was that there was more visibility in these areas,
entities, these efforts did not come to fruition in 2017.
which led to more safety and a sense of security for the
We will continue to push towards improving our beaches
tourists. Working together led to a better exchange of
in 2018.
information and more knowledge and data to keep the areas safe.
Extra focus was placed on tourism safety in 2017 in order to bring an increased sense of security to our visitors.
Annual Report 2017 | The Curaçao Tourist Board
25
We directed our attention to our human resources by
or find work in the sector. It was funded by CTB, Reda
offering training to upgrade employees working in the
Sosial and SOAW (Ministry of Social Development, Labor
hospitality sector. Together with Teamwork Curaçao, we
and Welfare), and taught by One Curaçao, with social
offered a Customer Service Training to 50 hotel front-
guidance from SOAW and managed by CTB. This training
liners, that combined theory and practical coaching
will end in June 2018. The CTB offers to find internships
during real life situations.
for these students and we see a positive development of
We organized a successful training for 70 people working
companies expressing their desire to hire these interns.
in the safety and security sector. World-renowned
Our courses were rated highly and we are looking into
security expert, Dr. Peter Tarlow, was the trainer for this
the possibilities of offering them again in 2018.
group of 70 persons, learning how to handle emergency situations, in the event of a terrorist attack. The local
This awareness campaign ‘Kòrsou ta Dushi. Bib’é,
Police, Customs, Politur, Airport Police, CPA, security
Stim’é’, was launched on September 24th during the
officers, hotel security supervisors and managers, and
opening of Culture & Tourism week. During this launch
our own product development officers, among others,
we handed out Recognition Awards to key persons in
participated in this 4-day training. It included practical
our community. Elia Isenia received one for her lifetime
exercises that took the participants to key historic
contributions to our cultural scene in Curaçao. Dino Daal
landmarks, such as the synagogue and our forts, to
for being the first CTB employee in tourism to obtain
identify vulnerabilities and come up with possible
a Doctorate in Business Administration, (DBA), in April
preventive measures. The same hands-on approach was
2017, and sharing his findings in his dissertation:
used in our Tourist Guide and Hospitality Training.
Impact of Tourism on the Quality of Life of Residents,
This highly coveted course offered 60 persons from
The Case of Curaçao. On December 10th we organized
18-40 years, the opportunity to obtain a certificate that
the first Marshe (market) with a bang at Barber, with
will enable them to become a certified tourist guide
the intention to continue rolling it out to other villages
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Annual Report 2017 | The Curaçao Tourist Board
throughout Curaçao. The objective of the campaign was
to a successful completion. Phase 1 has since become
to create local awareness about all that Curaçao has to
a popular recreational area; people use it for sport,
offer, and give us an appreciation for our island with
relaxation and events such as weddings and corporate
the hope of fostering a local desire to contribute to our
outings. CTB is in charge of management of the facilities
Curaçao product. The campaign will continue in 2018.
for the time being, making sure that landscaping, clean up, utilities and other necessary arrangements are being
The Culture & Tourism Week (Siman di Kultura i Turismo)
taken care of. In 2017, we worked extensively on all the
was held from September 24th till October 1st. We
necessary preparations for the Sport and the Middle area
had different projects during this week. We launched
of this master plan and at the end of 2017 the public
the ‘Kòrsou ta Dushi’ campaign in this week and; we
tender for the Sport area was launched. The Middle
visited 5 elementary schools that did small projects
area will be developed at a later stage as government
surrounding the ‘Kòrsou ta Dushi’ theme. We visited 7
funds become available. Execution of these phases is
companies who decorated and celebrated the week of
expected to start in 2018.
Culture & Tourism and shared our visits on social media. On World Tourism Day (September 27th) we organized
We dealt with more than 80 different press trips, fam
free trips to 4 tourist attractions for the community of
trips, media trips, bloggers, artists, and travel agents
Curaçao, namely: Landhuis Chobolobo, Dinah Veeris’ Den
visiting us from our four markets throughout the
Paradera, Kas di Pal’i Maishi and Williwood. We launched
year. Twenty-five dive shops and more than 60 guest
a new online program which ran from September through
apartments were audited by the Curaçao Innovation
December, in which we shared valuable information
& Technology Institute, (CiTi), to ensure that quality
about tourism development in our community. Invited
standards were adhered to. We also provided music,
guests, such as Elia Isenia, Dinah Veeris and other
dance and fireworks for cruise passengers when there
cultural icons appeared on the Turismo Online programs.
are more than 2,000 passengers in port, which equates to 40 - 50 times a year.
Development of the Marie Pampoen Area started in 2016. The government entrusted CTB with the responsibility for execution of the project. We worked closely with Heren2 as our technical advisors to guide this process
Annual Report 2017 | The Curaçao Tourist Board
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Tourism Master Plan Approved in 2015, the Tourism Master Plan (TMP) just started to take shape in 2016 when it hit a financial wall. In 2017, we hired consultant Paul Kok, who on behalf of the CTB, will help bring the TMP to fruition. We have been working on it diligently throughout the year. During the year being reviewed, we re-evaluated the TMP and adapted it to current circumstances, readjusting time frames, visitor arrivals, budgets, marketing goals, and contingencies. We identified many barriers that needed to be lifted before we could implement the TMP, barriers that we can only lift with the full cooperation of local stakeholders working in the tourism field. The government changed the financial basis on which funds are allocated to CTB. This new financial model brought about uncertainty, and slowed down the funds flowing to CTB.
At the end of 2017, we still had not accumulated the necessary funding of approximately USD 40 million, projected for the TMP’s four years; negotiations for a loan with local banks are well underway and look very promising for 2018. A considerable amount of time and effort has been invested in aligning the public and private stakeholders and informing them of the plan and its benefits for Curaçao. The importance of working together to make the much-needed improvements to our infrastructure, will enable us to achieve the success we strive for in the TMP. We are keenly aware that we cannot implement the TMP efficiently without the valuable cooperation of the government, airport, harbor and hotel authorities, nor without adequate funding. Numerous presentations, meetings, discussions, and assessments took place to get everyone committed to the vision laid out in the TMP, and to find ways to lay the necessary building blocks for the changes needed before we can roll out the TMP.
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Annual Report 2017 | The Curaçao Tourist Board
The CTB, along with the group of local stakeholders on which the success of the TMP depends, have to consistently come up with creative solutions to safeguard the implementation of the TMP. Together, we can do this.
The three main objectives of the Tourism Master Plan are: 1. Economic Growth: Investing in tourism to generate more business activity, more jobs, and more spending. 2. Improved Hotel Performance: A better Average Daily Revenue, (ADR), flattening the effects of seasonality and/or low daily rates. 3. New jobs and more employees through economic growth. Four strategies to be used to achieve the TMP targets: 1. Attract more visitors to Curaçao. 2. Increase airlift to Curaçao. More seats to the island are needed to accommodate growth in stayovers. 3. Investment in our people. Better education opportunities, hence, better services. 4. Adequate funding. Making sure the full TMP can be rolled out to reach the intended targets. Three main measurement points for the next 3-5 years: 1. Visitor arrivals (and length of stay/spending) 2. Airlift (seats and airlines/regions) 3. Other KPI’s (Key Performance Indicators).
Always at your service and help maintaining the level of operational productivity.
Annual Report 2017 | The Curaçao Tourist Board
29
Finance
Our Finance Department adheres to a fixed budget
the satisfaction of both the CTB and the Government in
received through government subsidies, which we
2018. In 2017, our cash flow suffered significantly due
supplemented with funds from room taxes. Under
to this development and we were challenged in a way
this agreement, the CTB used to levy and collect the
that made us readjust many plans and commitments,
room tax. In 2016, the Government changed its policy,
and as a result our priorities suffered. We found that we
and the room tax was replaced by a sales tax. This
had limited ways of monitoring the amount of funds at
made it very difficult for the CTB to be able to prove
our disposal, leading to inconsistency in the transfer of
what the exact amount due to our organization was.
funds to us. All this made it hard for our departments to
As a consequence, a period of uncertainty about our
function effectively in an organization trying to move
supplemental funds ensued, and it lasted all throughout
swiftly to conquer market share, attract more airlift,
the year being reviewed and will hopefully be solved to
implement a master plan, and improve its product.
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Annual Report 2017 | The Curaรงao Tourist Board
STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED DECEMBER 31, 2017 REVENUES
NOTES
2017
2016
Revenue from Government (Grant)
9
20,097,600
20,097,600
Revenue room and tourism sales tax collection
9
17,944,828
21,985,604
Revenue from Government Tourism Master Plan
9
--
--
Other revenue
10
2,342,969
176,681
40,385,397
42,259,885
6,103,996
5,845,452
EXPENSES PAYROLL AND OPERATING EXPENSES Personnel expenses
11
Supervisory Board expenses
19
148,862
203,362
Operating expenses
12
1,573,615
1,568,083
Currency exchange rate difference
17
379,500
128,509
5
157,599
167,251
8,363,572
7,912,657
19,298,244
15,380,482
Depreciation
SALES AND MARKETING EXPENSES
13
OTHER TOURISM PROJECTS Cruise tourism Market research
24,287
--
480,272
426,098 1,137,785
Third party initiative contributions
14
1,354,031
Product Development
15
2,337,385
1,621,726
Strategic Tourism Management
16
8,080,003
14,208,311
12,275,978
17,393,920
447,603
1,572,826
252,003
158,440
195,600
1,414,386
--
--
195,600
1,414,386
OPERATING PROFIT ( LOSS) Financing costs – net PROFIT (LOSS) FOR THE YEAR OTHER COMPREHENSIVE INCOME FOR THE YEAR COMPREHENSIVE INCOME (LOSS) FOR THE YEAR
To enhance job satisfaction to help achieve a high return on investment.
18
Perform consulting and advisory services related to governance, risk management and control as appropriate for the organization.
31
NOS TA HASI’É!