Study Shows Pure Michigan Campaign Effectiveness Positive Return on Investment Generated

Kirsten Borgstrom
(517) 335-1871

Lansing, Michigan - Travel Michigan's advertising in key out-of-state markets during the summer and fall seasons continues to deliver a significant return on investment (ROI) according to a recent study conducted by Longwoods International, a research firm specializing in tourism advertising return on investment. Travel Michigan, the State's official agency for the promotion of tourism, today announced the findings of the study evaluating the impact of Travel Michigan's advertising campaign from 2004-2007.

According to the study, during the four years more than 3.8 million visitors, who would not have traveled to Michigan otherwise, spent more than $800 million statewide at Michigan businesses as a direct result of the Travel Michigan advertising program. Travel Michigan spent $20 million advertising in its primary out-of-state markets during that four year period, and the new travel and visitor spending generated by that advertising put an additional $56.4 million into the state treasury.

"We are pleased with the results of the study. This research has proven that for every advertising dollar spent in these key out-of-state markets, $2.82 came back to the state of Michigan in the form of new tax revenue," said George Zimmermann, vice president for Travel Michigan, a business unit of the Michigan Economic Development Corporation. "The bottom line is that Michigan's ROI from tourism promotional activities is positive for the state."

Longwoods International recently assessed the impact of the summer and fall seasons advertising on the residents of six out-of-state markets: Chicago, Cleveland, Indianapolis, Cincinnati, Milwaukee, and Ontario, Canada. The focus of the study was to show the impact Travel Michigan's advertising had on the perceptions of Michigan as a travel destination, the levels of travel generated by the advertising, and the economic impact of that travel.

The results were announced at the Driving Tourism 2008: Michigan Lodging and Tourism Conference in Grand Rapids. Overall the tourism industry contributes $18.8 billion to Michigan's economy annually, accounting for 200,000 jobs and generating $1.1 billion in state tax revenues.

Travel Michigan, a division of the Michigan Economic Development Corporation, is the state of Michigan's official agency for the promotion of tourism. Travel Michigan markets the state's tourism industry and provides valuable visitor information services.