Brain Dating: Thought Leadership Conferences and the High-End Traveler

This article originally appeared on Skift.com. I am that publication's luxury correspondent.

Nowadays, luxury travel is all about discovering new frontiers. It’s not just about expanding physical and geographic boundaries. The travel cognoscenti are “brain dating” around the world in order to stretch their minds.

— Laura Powell

First came TED in 1984. Soon thereafter, in 1987, there was South by Southwest.

Now, after a bit of a lull, thought leadership conferences are popping up all over the map, with Vivid Sydney, C2 Montréal, and Light City Baltimore launching in the last decade.

Light City Baltimore: Photo by Perry Mandelboym

These conferences, which meld creative components with thought-provoking programming, deliver high-end visitors, while providing a host city with the opportunity to develop, solidify, or refine its brand.

According to J. Walter Thompson’s Future 100: 2018 forecast, “Events like these indicate the increased appetite for thought leadership and innovation among consumers. These experiential events combine self-improvement with entertainment, networking, and access to today’s influencers, who are often tech leaders or startup founders, rather than traditional celebrities.”

Vancouver thought the sector important enough to woo TED to the British Columbian metropolis. Working with Destination Canada, the city developed a two-year financial incentive package to entice TED to relocate from Long Beach, California.

Courtesy cantechletter.com

“The average economic impact for TED from 2014-2017 was $3.8 million per year, but the true value far exceeds that as the TEDsters are distinguished and influential leaders who can help share Vancouver’s appeal as an incredible convention destination, great place to do business, and an unforgettable place to visit,” Tourism Vancouver said.

According to Dave Gazley, vice president of meetings and convention sales for Tourism Vancouver, most TED visitors stay downtown in four and five-star hotels, meaning that “Vancouver also benefits from the affluent crowd in that people will come back here on their own and experience the city on vacation,” given that the TED schedule doesn’t allow for much city exploration time.

South by Southwest, or SXSW as it is widely known as, celebrates its 31st anniversary in March. It’s grown from what was primarily a music festival into one big event made of music, film, interactive, sustainability, and education tracks.

“The interactive conference has the largest per capita spend, between the individuals who may stay at more expensive hotels and the corporations spending more money to host events at ancillary venues around the city,” said Ben Loftsgaarden, a partner in Austin-based Greyhill Advisors, which analyzes the economic impact of SXSW.

“One of the things that has made SXSW so successful.” said Loftsgaarden, ‘is that while the organizers realize it’s largely about networking, to keep people coming back, you have to make it fun.”

Courtesy Vivid Sydney

Perhaps that’s why so many conferences seem to be melding elements of creativity and commerce. Witness Vivid Sydney.

What started as a modest light festival ten years ago, designed in part to attract visitors to Sydney during the winter, has become a huge draw for tourists. The 23-day show has grown from 255,000 attendees in 2009 to 2.33 million in 2017.

Destination NSW took over the event two years into its run and started transforming it into what it is today: a festival of light, music and ideas. According to Sandra Chipchase, CEO of Destination NSW and executive producer of Vivid Sydney, the pivot to thought leadership “reinforces Sydney’s position as the creative services hub of the Asia Pacific region….and builds access to global markets.”

Chipchase said that most international travelers stay at high-end hotels and extend their stays to travel throughout New South Wales and beyond. “The international luxury traveler comes because it’s unique. These are people who want to learn and immerse themselves in creativity.” What excites them is “what they are going to learn, who they will meet and how they can be inspired.”

Moreover, as Sydney looks to attract even more high-end spenders, Chipchase believes Vivid is the perfect brand ambassador. “Vivid is a reflection of who we are: beautiful, sexy, outrageous, optimistic and fun.”

Indeed, the branding benefit is one of the intangible elements that hosting thought leadership conferences can provide.

“SXSW is an invaluable brand that has helped define Austin as the center of creativity and commerce, a community that is innovative, entrepreneurial and cool,” said Michael W. Rollins, president of the Greater Austin Chamber of Commerce.

But to be successful at brand-building, according to Tourism Vancouver’s Gazley, an event must have “unbelievable, compelling content that is meaningful to people,” while also aligning with a city’s DNA.

Interested in reading more about light festivals around the world? Read more here.

The Luxury Destinations Making a Big Impact in 2018

NEW FOR 2018

What’s the best way of predicting the up-and-coming luxury destinations of 2018?

At Skift, we like to look at where new products are coming online, as well as chatting with travel agents and tour operators working exclusively with the affluent.

Based on these criteria, there are four markets we are keeping an eye on this year.

www.japan-rail-pass.com

JAPAN: TOURISM RISING

While Tokyo and Kyoto have long been favorite destinations for luxury travelers, the hinterlands of Japan are now getting their turn in the sun. Virtuoso, a network of luxury travel agents, named Japan as one of its top five international destinations for 2018, largely because of new tourism developments outside of the country’s major cities.

“Travelers are now exploring beyond Tokyo, finding value in Japan’s time-honored traditions and rural areas that offer traditional slices of Japanese life,” says Keiko Matsuura, a spokesperson for the Japan National Tourism Organization (JNTO).

To spread high-end tourism around the country, two luxury cruise trains were introduced in Japan in 2017. The Mizukaze Express, launched in June, runs through western Japan, past the scenic Sea of Japan, Mount Daisen and the Seto Inland Sea islands. The Train Suite Shikishima, which hit the tracks in May, goes through the northern regions of the country. According to Matsuura, “These luxury trains were launched this year in response to the demand of the American traveler wanting to explore beyond Tokyo.”

Beyond the rails, Matsuura says Japan is targeting high-end travelers through their stomachs, “Food serves as a gateway to the country’s culture and is a common language we can use to promote Japan.” JNTO is raising recognition of lesser-known places through collaborations with top chefs like Eric Ripert and Dale Talde.

In another effort to beef up Japan’s luxury street cred, five areas sporting high-quality tourism infrastructure formed the Japan Luxury Travel Alliance in 2016. The members are Kyoto, Sapporo, Ishikawa Prefecture, Wakayama and Nara.

The idea is to join together to strategically attract international luxury travelers to outlying areas beyond Tokyo.

WHAT’S UP IN EUROPE

Virtuoso has also named Portugal to its list of international hotspots. The southern European country has emerged from Spain’s shadow in the past couple of years, having shown up on several 2017 hot lists.

But 2018 will see Portugal’s arrival as a luxury destination beyond Lisbon, due to its burgeoning food scene, the international recognition of Douro DOC wines, and a spurt of luxury hotels opening in the countryside and on the coast. In fact, several well-known international luxury brands are using Portugal as a launchpad into the European market.

www.sixsenses.com

Six Senses opened its first European property in the Douro Valley in 2015, and in the spring of 2017, Anantara debuted its first branded resort on the continent in the Algarve. The coastal resort town of Cascais, often called Portugal’s Riviera, is also booming as it attracts high-end travelers in search of a second or third or fourth home.

OMAN OPENINGS

According to upscale experiential travel veteran Richard Bangs, Oman seems to be the new smart destination among those who have experienced the world.

A trek through Oman
www.atlasobscura.com

“Part of its appeal,” says the founder of Mountain Travel Sobek, “is that it is an island of peace in an unsettled sea, as it borders Yemen, Saudi Arabia and is just a skip across the Persian Gulf (or Arabian Gulf, depending upon whose map you reference) from Iran. I think we all quest for understanding… and this is one place where we can safely venture to get a bead on the swirling currents and the cultures, and experience the beauty and traditions of a world apart.”

Oman has seen a year-over-year 22.1 percent in visitors in 2017, according to statistics from the country’s National Centre for Statistics and Information. The 2018 reintroduction of a classic Ritz-Carlton property, along with the Omani debut of the W and Kempinski brands, will likely lead to more increases.

The Kempinski Muscat is slated to open in the first quarter of 2018. Although in the city, it will very much have the feel of a resort, with more than a mile of white sandy beaches, a Greg Norman-designed golf course, and multiple food and beverage outlets. The W Muscat will open in the fourth quarter of 2018 and will focus on design, fashion and music, bringing a new vibe to the hotel landscape in Oman.

Meantime, Al Bustan Palace, a Ritz-Carlton Hotel is undergoing an extensive restoration process, which is expected to be finished by April 2018.

A pool at Al Bustan Palace, Oman
www.ritzcarlton.com

Owned by The Ministry of Tourism, Al Bustan Palace is one of Muscat’s most prominent landmarks and a symbol of the nation’s emergence as a destination for global travelers since it was built in 1985. The renovation builds on the luxury resort’s positioning as the premier destination for affluent travelers, including royalty and heads of state in Muscat. The property also houses a Six Senses Spa. Six Senses also runs a resort and spa on  Oman’s northern Musandam Peninsula, which is celebrating ten years in business in 2018.

ONE MORE TO WATCH

Is this the year Tunisia makes a comeback? According to the UNWTO World Tourism Barometer, tourism growth in 2017 (through October) has been particularly high in North Africa, led by rebounding numbers in Egypt and Tunisia.

An oasis in Tunisia

Those numbers may get a boost in 2018 thanks to a trio of new luxury hotels. Four Seasons Hotel Tunis opened in December. The location in the affluent Gammarth neighborhood provides privacy and exclusivity, yet is close to the central business district. Most of the 203 rooms and suites have views of the sea. Ritz Carlton will be opening in the same general area at some point (yet to be announced) in 2018. Also on the grand opening calendar is a new Anantara.

According to Dillip Rajakarier, the chief executive of parent company Minor Hotels, “Capitalizing on Tunisia’s renaissance as a hot travel destination, Anantara Tozeur Resort will open in mid-2018, offering a rich gateway to the southwest area of Tozeur.” The region is a hub for Saharan adventures, renowned for its ancient history and otherworldly landscape.

This article originally appeared in the Skift New Luxury Newsletter, for which I am the correpondent.