Snowboarder takes the slopes at Winter Park Resort (Photo by Intrawest)
Although summer is at its peak and most people are thinking of beaches instead of the slopes, many resorts across the country are getting ready for the winter months and preparing for what is predicted to be a very busy season. However, like most pay-for-play industries, many ski resorts are facing declining participation rates among a millennial audience that is cost conscious.
Let’s look at the numbers: 40 years ago, roughly 5.5% of the U.S. population skied. Today, that number has dropped to 4%. While this may seem like a minor change, the drastic shift in the number of overall skier visits has forced brands in the industry to reimagine their approach to engaging potential skiers – particularly among the millennial audience.
Focusing on social engagements, interactive experiences and lower costs are setting the top performing brands apart from the rest. Tom Marano, CEO at Intrawest, a North American mountain, resort and real estate company that owns and manages many top ski resorts in the United States, believes that revitalizing the skiing industry is necessary to re-energize the millennial audience.
In a recent interview with Tom, he shared his thoughts and insights about what brands can expect this upcoming season and how they can stay on the forefront to prepare for the most influential group of consumers in the U.S. today.
Jeff Fromm: What opportunities do you see for experience innovation before, during and after the ski trip?
Tom Marano: On the innovation before arrival, our goal is to provide the customer with as much useful information before hand to plan their trip. With the prevalence of high-speed lifts at our resorts, many customers may not ski a full day. We want to ensure our guests are aware of other activities at the resort in order to optimize their resort experience. So prior to the trip, we communicate with guests via customized emails and mobile applications. I also see value in preparing guests for their experience from a fitness point of view, through tailored messaging and videos. The more we can learn about a guest prior to their arrival, the better we can serve them once they have arrived at the resort.
In the industry as a whole, I see many opportunities for continued improvements during guests’ stays, with mobile applications being a key facilitator. It’s one thing to blast generic push notifications to all guests, the real guest benefit comes when we are able to communicate real-time deals and activities that are guest-specific. In the age of Big Data, brands are provided with so much information that is not being utilized. The more brands are able to leverage technology to capture guest information and enable real-time communication, the better they are able to create custom, memorable experiences for guests.
Fromm: How can skiing be more affordable?
Marano: Same-day purchase window ticket prices have been increasing for many years, with some resorts charging as much as $180 for a single-day ticket. The industry has increasingly followed the lead of airlines and theme parks, moving more towards dynamic pricing to curb crowding at peak times.
Skiing is actually more affordable than you think with advance planning. Season passes that allow unlimited skiing are typically breakeven to peak window rates after four to five days on the slopes. For those who ski 10 days a year (or more) the cost to ski each day is less than half the cost of a same day window ticket. We have some customers that ski for as little as $5 /day on their season passes given the frequency that they are on the slopes.
Guests that buy their lift tickets, book rentals and reserve ski school in advance of their trip can also find substantial discounts. The farther in advance a ticket is purchased, the greater the discount.
For families, this year we offered a Kids Ski Free product, or KSF. KSF was offered with the advance purchase of an adult pass purchased by June 1, 2016. Recognizing the changing dynamics of American families, any adult can add any child up to age 12 to their pass, even if they are not directly related. Unlike our competitors who generally require an in person purchase for KSF products, we concluded that today’s families also needed the convenience of in-home or online purchase and registration. Our KSF product was available for purchase and registration, including photo uploads from a mobile device or computer.
Fromm: How can skiing be more inclusive and accessible?
Marano: In addition to season pass and frequency product options discussed above, Intrawest provides a variety of options for groups or individuals that want access to our mountains that are physically or financially challenged.
Winter Park, located in Colorado, is a great example. Working in partnership with the National Sports Center for the Disabled (NSCD), Winter Park provides access and support to many who would never consider that they could ski. NSCD assists approximately 3,500 people each year and gives approximately 18,000 lessons. NSCD works with all disabilities and all ages, including our Vets. We also provide skiing for approximately 2,500 urban kids who might not otherwise have the chance to ski, through Denver Parks and Recreation in various programs during the winter. The programs range from experienced kids to first-time, never-ever skiers and riders, where we provide lift tickets, rentals, and lessons, and Denver provides transportation and food.
We realize that a skiing experience can be a challenge both in terms of cost and ability. We also know that as a brand, it is important that we take a stand and create an equal opportunity for all of our stakeholders. This is something that the millennial generation is particularly invested in and it is important for us to make sure all of our stakeholders know that they are our partners not just our patrons.
