The Changing Traveler: Why Market Research Continues to be a Necessary Investment for Destinations

My Perspective: The Value of Market Research

Becoming a market research professional wasn’t my “career goal.” I happened into the discipline in a communications class in media theory, learning the scope of “mass media,” which at the time included radio, television, and print. Nowadays, it encompasses much more than that.

My interest, then and now, is in why people are so attracted to media, especially when a crisis strikes. And once attracted to it, what are their responses, their mindset, and their decisions?

Given my involvement and interest, I found a position at a small start-up research agency with a consumer-products focus, where I learned research design and analysis.

Much of our work involved describing consumer behaviors and demographics for standard copycat consumer products. I was rarely asked to investigate consumers’ motivations for wanting the product or the problem it would solve.

Three years later, I left the agency and entered the travel industry through the San Diego Convention and Visitors Bureau, which was then one of the few CVBs (now DMOs) with an in-house research department. 

Here is where I was asked “why,” such as why visitors wanted to visit and why they might return, and why hotel occupancy and rates were up or down. The research examined visitors’ motivations and reasoning, as well as factors that influenced their travel.

The findings revealed key differentiators for destination marketing and development, allowing San Diego to continue to grow its market reach and volume and expand its visitor-serving infrastructure, notably by developing the convention center and the surrounding harbor.   

Tracing my research career path over these 50+ years offers me the basis to opine on market research, what it is – or is not – its value, and why it is a vital tool for gathering the information on which to base key decisions to move forward and grow.

Looking back is only half the equation. As the marketplace and consumers have changed radically over time and will continue to do so, there is ongoing change that needs to be understood and addressed to remain relevant and competitive.

We are now in an era of rapid changes in consumer mindsets, expectations, and behaviors. What are their priorities, life challenges, and achievements that influence what they seek and deem as important and satisfying for their travels, factors directly impacting destination success? How can marketers truly understand how to integrate these factors into their messaging to assure their positioning and advantage?

For these and many other reasons, research plays a pivotal role in a fuller and more valuable understanding on which to base essential decisions. 

Over the years, I’ve heard many what I consider misconceptions about market research that, if believed, act to thwart its use and effectiveness. It is criticized as unnecessary, biased, reporting things already known, expensive, with results that are not applicable or relevant to the issues, time-consuming, rear rather than forward-looking, and more.  

Some criticism may be deserved given some users’ experiences. However, there are ways to mitigate these pitfalls to ensure it is a beneficial use of time, resources, and investment, whether conducted in-house or through an agency.

Attention should be paid to:

• The qualifications and experience of the person or entity conducting the research

• Defining clear purposes and goals for conducting the research 

• Rigorous design of the research method and questions or topics to be explored

• Thoughtful and critical analysis that reveals insights beyond the numbers

• Clear translation of research findings into actionable and relevant applications   

If seeking an outside research agency, do due diligence into their background, experience, and how the results of their study outcomes were used to make differences not otherwise achievable. 

For visitor-serving destinations and businesses, research into purpose, value, and utility, combined with thorough insights and creative market strategy, is invaluable in building visitation, tax revenue, and supporting local employment.

Destinations conducting research are much better equipped to meet visitors’ ever-changing expectations for experiences and to achieve correspondingly higher levels of visitor satisfaction.  

For example, current marketplace changes and trends include endorphin (sports and live events) travel; the “pawprint economy,” which accommodates pet travel; a travel mixology of trip planning and information sources; innovation- and technology-based experiences; wellness travel; and sustainable road travel. These types of experiences reflect how much more travelers choose trips based on personal preference. How these types of trip experiences have changed in just a few years!

Changes in travel demand and trends increase uncertainty and complexity in decision-making. According to TGM Research, 2026 booking and trip patterns reveal: shorter stays, higher selectivity, multi-source planning, context-dependent expectations, etc.

TGM notes that provider and destination decisions based only on historical data or surface-level metrics fail to represent current market conditions, creating a gap between visible demand and actionable demand.

I add that this gap will only grow wider, leaving marketers increasingly less competitive without current and credible market research, while using it will help reduce uncertainty and mitigate unnecessary marketing spending before such costly decisions are executed.

I view the difference between using and not using research like flying a plane: is it better to pilot using eyes, ears, and gut instinct, or with navigation instrumentation and equipment that can detect issues and keep the plane on the optimal flight path?  While this answer seems obvious for flying, business results can be just as risky and imprudent when research isn't used.

Essentially, conducting good research first costs far less than spending on much more expensive marketing without a researched basis. However, companies do it all the time, then wonder why things didn’t work out as desired.

Consider this: Research is an investment, not a cost.

Examples of Beneficial Travel Research

There are countless examples of how market research data has helped make the case for solving issues, resolving questions, making more effective decisions, and providing solid direction for marketing and programs.

The results can include obtaining additional destination services and resources, securing critical funding – whether public or private – expanding or refining the visitor base, setting benchmarks and measuring growth, refining target markets, increasing yield, and developing data-based strategies for effective action implementation, etc.

Below are but a few of the many situations in which the client opted to conduct research and achieved positive results.

Visitor Center Research Leads to More CVB Funding: My firm conducted a visitor profile and economic impact study for a DMO-run visitor center that revealed higher-than-expected visitor spending and impacts to the city. The DMO requested additional funding from the city to support operations and expand marketing, and the request was approved. The DMO CEO remarked it would not have happened without this critical research.     

Demographic Study for Downtown BID Supports Supermarket Demand: In the developing central city core, new housing and hotels had been built, but without accompanying amenities for residents, especially supermarkets. My research firm conducted an extensive resident and visitor demographic and lifestyle study, which provided the BID with a basis to demonstrate sufficient demand for a new supermarket and to negotiate for it to be scaled up from the level originally proposed. Once built, it was reported to have the highest-grossing fresh food section of any store in its national chain.

Visitor Demand Study Reveals Need for Higher Level Hotels: My firm conducted a visitor profile and economic impact study for a coastal DMO. Comparing hotel room rates and occupancy with visitor demographics and activities revealed a gap between the destination’s current room supply and its quality level, justifying the DMO's consideration of efforts to attract new, higher-end properties.  

Clearly, I am a believer in the value of market research.  For the 50+ clients I have served during my career, I have seen time and again the benefits of research versus not using it. 

The choice is clear, and the need even clearer now as the consumer and marketplace continue to evolve – market research is an indispensable and invaluable tool to any organization seeking to remain relevant, viable, and competitive.