WELCOMING THE WORLD TO CALGARY
In the summer of 2017 the industry sold more hotel rooms than ever in the history of Calgary. We’re setting new standards for tourism marketing. Together with our partners in 2016, we secured nearly 3 million room nights accommodating the majority of Calgary’s tourists. Together, we’ve attracted 130 events (including six city-wide conventions).
Hotels are the hub of Calgary’s tourism and hospitality network and tourism is the lifeline of the hotel industry. Tourism attraction happens through a collaborative of city organizations. Our partners include Tourism Calgary, Meetings and Conventions Calgary, Calgary Economic Development, Calgary Arts Development, Travel Alberta, Calgary Attractions, Calgary Sports Tourism Authority, WinSport, Calgary Stampede, and Calgary TELUS Convention Centre.
The Calgary hotel sector is dynamic and growing, with nearly $600 million in new hotel development in the last four years, and over two thousand new rooms currently in construction. But as business travel has reduced during Calgary’s recent economic downturn, many hotels are still operating at only 60 percent capacity. Attracting leisure travellers to Calgary is increasingly more important to the hotel industry.
Advocacy & Industry Issues
Marketing Calgary as an international tourist destination takes a collaborative effort – and significant dollars. Since 2005, the Calgary Hotel Association has invested $70 million through its partnerships in marketing Calgary to the world. These funds have been generated by members who participate in the Calgary Hotel Association’s Destination Marketing Fund (DMF). Participating DMF hotels voluntarily contribute 3% of their gross revenue to the fund to support destination marketing initiatives. Similar to airport improvement fees, DMFs are common in tourism-oriented cities in Canada and the United States. The fee is not legislated by government.
Currently, 80% of Calgary Hotel Association members participate in the DMF program – and these members generate 70% of total industry revenue. The majority of DMF funding goes to Tourism Calgary and Meetings and Conventions Calgary. Remaining dollars are allocated to Calgary Arts Development, WinSport, Calgary Stampede, and Calgary Economic Development. The 2016 DMF funding allocation is shown below.
We believe in consumer choice. We all have a role to play in providing the public with accommodation options. We also believe that it’s important to apply a level playing field to all competing industries. Home-sharing services should be expected to have a business license, pay taxes, and adhere to common rules of regulation. Through a level playing field, we can compete for consumers in a way that’s fair. We’re also willing to share our best-practices know-how to home-sharing individuals to help them provide higher quality customer service. By working together, we can create an even stronger tourism ecosystem and live up to our collective identity as the Ultimate Host City.