STAFF REPORT. Board of Management. John Tracogna Chief Executive Officer ATTENDANCE AND REVENUE REPORT OCTOBER. Date:

Transcription

1 STAFF REPORT To: From: Subject: Board of Management John Tracogna Chief Executive Officer ATTENDANCE AND REVENUE REPORT OCTOBER Date: Summary: This report will update the Board of Management on the year-to-date visitor statistics and revenue results for the period ending Included in this report is a dashboard highlighting some of the key metrics. Recommendations: It is recommended that the report be received for information. Background: In accordance with Zoo By-law No , attendance and revenues are reported to the Board on a monthly basis. ed monthly attendance targets are based upon rolling five-year averages by month and accumulated year-to-date. The targets also reflect any shifts in the calendar for statutory holidays and number of weekends each month. Comments/Discussions: October continued to be a very busy month at the Zoo with a number of activities contributing to increased attendance. Both attendance and revenues remain well ahead of the prior year. Since the opening of the Giant Panda Experience in the month of May, the year-to-date results continue to be positively influenced with incremental attendance of 252,447 visitors in the May 17 th October 31 st time frame versus the same period last year, representing an attendance increase of 31.4%. The 2013 revenue results in the main revenue categories are ahead of budget by $1,512.8 thousand (4.3%), and ahead of prior year by $10,009.3 thousand (37.2%). For your information, the year-todate results for attendance and primary revenue categories are outlined in the tables and charts included in Schedule I. On a year-to-date basis, attendance of 1,412,379 visitors is 15.4% (188,854 visitors) ahead of prior year levels through the end of October, 2013, but short of budget by 8.0% (122,916 visitors). The factors leading to the variation from budgeted attendance remain consistent with the reasons

2 Page 2 of 8 communicated in the report on last month s results. Primarily, the estimates for 2013 were prepared and submitted in June 2012, long before the final date for the arrival of the pandas was confirmed. The original date for the arrival of the pandas was thought to be in January, 2013 for an opening in April. However, the pandas arrived at the end of March and the exhibit was opened in mid-may after the pandas had successfully completed their quarantine period. The second reason for the variation in attendance is due to the extreme weather conditions at the beginning of July. The rain and flooding in the City of Toronto influenced the first week of July, while extreme heat and humidity impacted the third week of July. However, notwithstanding the attendance lag, the year-to-date revenue results remain well ahead of budget in the attendance driven revenue categories. Through the end of October 2013, visitor and group admission revenue was $178.6 thousand (1.0%) ahead of budget and $5,302.7 thousand (44.5%) favourable versus the prior year. Overall, the favourable year-to-date results in this revenue category are attributable to the attendance mix, with the general attendance (13-64) category ahead of budget by 32,336 visitors (5.7%) and the seniors (65+) category ahead of budget by 3,604 visitors (12.7%). These higher contribution categories offset the revenue results from the children (3-12) and school groups where attendance is short of expected year-to-date levels by 40,589 (17.5%) and 17,366 (12.4%) visitors respectively. Also, parking revenues were $182.4 thousand (5.6%) ahead of plan. It is important to note, that while school group visits are short of budget, the Zoo is experiencing the first increase in school group visits in more than six years. This can be attributed to the popularity of the giant pandas as well as a new giant panda education program that was implemented in the Fall and a strategy to encourage teachers to book field trips for the remainder of Driven by the popularity of panda merchandise, year-to-date revenue for retail services is $690.8 thousand (21.2%) ahead of budget. As well, food services are ahead of budget by $875.2 thousand (13.2%). Rides & Rental revenues were short of budget by $60.5 thousand (4.9%) year-to-date through the end of October. The details for the October year-to-date attendance and revenue results are outlined in the tables in Schedule I on page 6, and graphically on pages 7 and 8. Zoo Members attendance levels of 265,590 year-to-date is short of budget by 21.3%, and prior yearto-date by 2.5%. In both instances, this result may be attributable to the increased attendance from a wider reaching group of general visitors due to the popularity and interest in the Pandas. The total number of memberships as at October 30 was 31,831 and although year-to-date revenue is short of budget by $353.8 thousand (8.9%), the results are ahead of the 2012 year-to-date levels by $507.1 thousand (16.3%). In summary, since the opening of the Giant Panda Experience in mid-may, the year-to-date results in 2013 have met expectations in overall revenue performance. Additionally, the fall and winter event and advertising plans have added to a menu of already existing popular seasonal activities to further stimulate shoulder season attendance.

3 Page 3 of 8 Future Plans General Admission In order to continue drawing visitors to the Zoo during the fall and winter months, the shoulder season strategy was implemented to attract more general attendance, student groups and members to visit the Zoo in the fall and winter. With the announcement of the elephants departing after Thanksgiving combined with a kids 12 and under free admission (with a paying adult), a concerted effort to increase school group visits, Fall events and nice weather the Zoo experienced a very busy October with 87,407 visitors compared to 59,110 in October The Zoo developed new creative to encourage people to visit the Zoo during the winter months and this will be seen on more than 50 billboards around the GTA and in print advertising in the Toronto Star, the Toronto Zoo s giant panda daily newspaper partner during November and December. We will also be adding an interactive winter map that will highlight the six indoor climate-controlled pavilions and the animals that continue to be on exhibit during the winter months regardless of the weather. The Zoo continues to engage our current Facebook friends and encourage new ones with ongoing updates, photographs, and unique information. The Zoo will also be advertising and promoting Boxing Week activities including Treats Trek on December 26, twice daily animal encounters throughout the week and the annual New Year s Eve Celebration. This year, as a way to garner media attention and engage the general public, the Zoo announced a contest for entertainment for New Year s Eve. Interested individuals are invited to submit their videos through the Zoo s YouTube channel and the top five submissions will then to put to a vote with the public invited to participate. School Groups While many attractions in the GTA continue to experience a decline in school group visits for a variety of reasons, the Zoo saw its first increase in six years. This past summer, we developed a strategy aimed at increasing school group numbers in the fall. This strategy continues to see increased bookings for November and December. We continue to identify and work towards implementing additional strategies to continue to grow school group visits including the following: Re-development and re-design of the school programs brochure to make it easier to get information on programs/resources for their specific grade(s) and to promote activities to do during a self-guided visit to enrich learning (e.g. keeper talks, animal shows, gorilla climb, etc.). A targeted mail out of school program brochures to principals of all local schools within 25 km catchment base and beyond. Mail out of school programs brochure to local private schools.

4 Page 4 of 8 Adjustments to website to focus on school group bookings/incentives. These included: front page tab and media player slide to promote early bird booking promotion and online bookings for school group visits, plus Early Bird promotion highlighted on planning a field trip webpage, highlight of panda teacher activity guide on teacher resources page. Re-development/design of fall Teachers Day to include Professional Development sessions specifically designed for teachers to highlight our educational programs, resources, and how to make the most of a Zoo visit with their class. Direct contact with Elementary Teachers Federation of Ontario (ETFO), Ontario Secondary School Teachers Federation (OSSTF) and Ontario English Catholic Teachers Association (ECTA) regarding fall promotion, new panda programs and school programs brochure Working with Development on submission of a project for funding to support class visits from identified schools in low income neighbourhoods (e.g. Adopt a Class idea). Ongoing meetings with other attractions who share the decline in school visits to develop a broader strategy to address this. Ongoing Website updates with any additional resources/information/promotions. Monthly Teacher E-newsletters. Giant Panda Mascot outreach. Working with Zoo staff who conduct classroom outreach through the Aqua-Links and Great Lakes Program (18,000 students each year) to encourage school field trips Membership As a way to thank our loyal members and to encourage repeat visits in November, we have designated November as Member Appreciation Month. During the month we will be offering the following: 1. Members bring guests for FREE: In recognition of Member support and loyalty, and for the second year, members are given the opportunity to introduce friends and families to the great benefits of Zoo membership; 2. Member referral discount: In addition to being able to bring guests for free, a 10% referral discount is also available if guests purchase a membership on the day of their visit. Not only does the referral member get a discount, the new members will also receive a 10% discount towards the purchase of a NEW membership; 3. Member (and guests) exclusive Open House viewing: During the month, members will also be treated to an exclusive behind the scenes peak of some of the zoo's animal houses. On the list of open houses being offered include the Greenhouse, bird barn, lion house, wolf house, and hoof stock building; 4. Two-for-one carousel rides: Each weekend of the month, members get two-for-one carousel ride; 5. Additional 10% retail discount: During the month, members will also receive 10% additional discount in Zoo gift shops (for a total of 20% member discount for the month).

5 Page 5 of 8 In early December, the Zoo will provide multiple opportunities for members to celebrate the holiday season. Members will enjoy refreshments, crafts, an animal visit and a visit from Santa Claus and every registered child will receive a special surprise from Santa. The Zoo continues to experience increased attendance into the Fall and we are confident the shoulder season campaign will continue to encourage visitors in November and December, particularly if the good weather continues. John Tracogna Chief Executive Officer List of Attachments: Schedule I - Toronto Zoo Attendance & Revenue Dashboard

6 Page 6 of 8 ATTENDANCE 2013 ATTENDANCE & REVENUE DASHBOARD OCTOBER 2013 YEAR TO DATE Variance 2012 Variance Admissions 1,024,208 1,058,148 (33,940) 832, ,576 School Groups 122, ,759 (17,178) 118,474 4,107 Members 265, ,387 (71,797) 272,419 (6,829) TOTAL ATTENDANCE 1,412,379 1,535,295 (122,916) 1,223, ,854 REVENUE Visitor & Group Admission 17,206,990 17,028, ,612 11,904,260 5,302,730 Parking 3,460,341 3,277, ,408 2,798, ,185 Retail Stores 3,952,167 3,261, ,834 2,504,652 1,447,514 Rides & Rentals 1,174,267 1,234,791 (60,523) 777, ,785 Membership 3,621,114 3,974,895 (353,781) 3,114, ,061 Food Services 7,512,296 6,637, ,245 5,819,279 1,693,017 TOTAL REVENUE $ 36,927,175 $ 35,414,381 $ 1,512,793 $ 26,917,882 $ 10,009,292 6

7 Page 7 of 8 1,800, YTD ATTENDANCE 1,600,000 1,400,000 1,200,000 1,000, , , , , YTD YTD Regular visitors Special Passes & Children under 4 Member School Groups 2013 ATTENDANCE BY MONTH 400, , , , , , ,000 50,000 0 JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC 7

8 Page 8 of YTD ADMISSION REVENUE ,000,000 4,000,000 6,000,000 8,000,000 10,000,000 12,000,000 14,000,000 16,000,000 18,000,000 20,000, YTD OTHER PRIMARY REVENUE CATEGORIES Food Services Membership Rides & Rentals Retail Stores Parking - 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000 8,000,000 TOTAL YTD PRIMARY REVENUE CATEGORIES $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000 $40,000,000 8