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Tuesday 25 January 2011

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Pink dollar worth pursuing

Turtle Cove's Jake Banks and Gavin Keegan say there are opportunities for Port Douglas in the gay and lesbian travel market.

 

by Mat Churchill


It remains a relatively untapped market in the Port Douglas region, but around the world more and more tourism industry based operations are waking up to the potential of the gay and lesbian travel market.

Gavin Keegan is the new general manager of Turtle Cove, a resort just 15 minutes drive south of Port Douglas which caters exclusively to gay and lesbian travellers.

"There's certainly scope to attract gay & lesbian travellers, particularly in the off-season because this time of the year is spectacular. The travellers we've had here in the last couple of weeks have absolutely loved it," said Mr Keegan.

"Trying to steer away from the on-season, that could be a perfect time to target….as a good boost to the economy. It's such a big market these days that even if you only have a small share, it's a big slice of the pie so it's certainly worth it."

Jake Banks undertakes the marketing for the resort which has a strong online presence.

"It's usually advertised through the gay media such as SSO and Evolution Media. Also on the internet we've got a big following with banner ads and that sort of stuff.

"A lot of our guests actually book online, that's were we get most of our bookings. We've got about 1,400 followers on Facebook which is pretty good."

Mr Banks said that like most other DINKS (Double Income No Kids), gay and lesbian couples appreciate the finer things in life.

"The little things count such as service. Gay and lesbian people usually don't have children so they've got a bit of disposable income. They like good food and good wine which is another thing I've noticed."

Mr Keegan said that tapping into other events such as the famous Mardis Gras in Sydney (which adds an estimated $30-$90 million to the Sydney economy each year) also makes good business sense.

"Everywhere around Australia they have post-Mardi Gras recovery parties. Daylesford (Victoria) is big for a whole week, Gold Coast is pretty big. You're competing with those so you need to tap into that and we do extensively. We run five-day recovery package which is always popular. By mid February we'll be 100% booked."

So what can Port Douglas do to attract its fair share of this market? Mr Keegan suggests that it may be wise to avoid of the traditional festivals, parades, and pride marches.

"Probably being a little bit more niche and steering away from the usual community festivals. They're not different, they're same same."

"Unlike in the past it's not like 'us and them' anymore, it's all one now and it has obviously come along way."

In one concise sentence, Mr Banks highlights the potential for growth in the gay and lesbian tourism market for our region. "There is a lot of money out there if you target it properly," he said. 

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Clayton , 11-02-11 12:47:
We have been coming to Port for several years & have stayed at a variety of places.
We prefer to patronize gay/friendly where possible provided this is not a blatant play for our money.
In the past we have always felt welcome but this year the atmosphere was decidedly less friendly.
Whilst we appreciate the anxiety before & after Yasi we were here well before and in some shops
we felt less than welcome. It is all well & good to market to our community but of that is let down
by staff on the ground it does not take long for social networking within our community to express the
view that it would be better not to come. Courtesy, civility and tolerance are required to ensure repeat
business, not red necked attitudes that detract from a holiday experience and
and make it difficult to return and to recommend.
Chuck Porter, 04-02-11 12:53:
While I agree with Kent to a degree, I must admit when making a reservation at hotels around the world (straight, married with kids) I always choose the hotels that claim to be "Gay friendly". To me, staying in a hotel that is "Gay friendly" not only tells me that my dollar is going to the right kind of people, but for me... I feel as if I am doing the right thing, which is a good lesson for my children.

Also, I will not travel to countries whom are not "Gay friendly" not even for a stop over in route to Europe. I'd rather fly Sydney to Los Angeles to London, then Sydney, Dubai, London. The UAE has terrible human rights issues and I refuse to spend money in countries in which their leadership treats it's citizens so badly.

As for the wealth of Gay people, I think you're missing the point. While some of your stats are probably true, Gay people almost always have a higher disposable income. I googled my question, and in America there are 17 million Gay Americans, with 485 Billion worth of disposable income. (the below found by googling the question Gay disposable income.)

Over twice as likely as national index to be professionals or managers
Average household income over $85.4K
Are 3.4 times more likely to have household income over $250K
The 2000 Census showed gay men and lesbians living with partners in 99.3 percent of all U.S. counties
Research shows 9 percent of urban populations are gay and lesbian
Twice as likely to have graduated from college
Gay men and lesbians go out more, buy more, have more disposable income and are extremely loyal consumers
Gay and lesbian consumers purchase from companies/brands that advertise in gay media, deliver product messages in gay-specific advertising, support gay and lesbian community causes and are good to their own gay and lesbian employees
Four times as likely to spend over $150 on long distance monthly
Twice as likely to spend $250 on cellular service
Over 90 percent took a domestic trip this year
60 percent took a foreign trip in the last three years
65 percent identify themselves as having to have the "latest"
68 percent upgrade to a product's latest model
77 percent "believe in indulging in themselves"
57 percent "prefer to buy top of the line"
59 percent buy themselves whatever they want
Mat Churchill, 28-01-11 08:26:
Very insightful comment, Kent. Thanks for contributing.
Kent Fordham, 27-01-11 22:20:
The "pink dollar" is a myth of GLBT affluence created by sellers of advertising. It arose in the USA in the early 1990s, purely a result of magazine readers' surveys, perpetuated in an attempt to create the idea of an "untapped market".

In fact, the limited research shows that the gay and lesbian population has no greater disposable income than the general population. In fact, twice the proportion of the GLBT community live in poverty than the general population, and are over-represented among the homeless.

The myth of gay "DINK" affluence has also continued to be propelled by some within the GLBT community with the idea that the perception of wealth would wield political power. This had often had the opposite effect - with the misguided argument being made that gay and lesbian couples are wealthy and well off, not requiring "special provisions" of law, rather than being a group still discriminated against in many aspects of law & society.

GLBT consumers of today are well aware that the perception of the "untapped pink dollar" is still out there and are highly suspicious of transparent attempts to extract their cash. Gay and lesbian consumers generally want the same things all consumers want: if the product is desirable, no pink branding is required. Mainstream companies, organisations - or destinations - attempting to target this perceived market risk a backlash if their campaigns are seen as transparent cash-grabs by their intended consumers.

Port Douglas, and the Cairns region in general, has been well-known as a gay friendly destination for close to two decades. The early work of Turtle Cove in this respect is to be commended, when Mardi Gras recovery week was always fully booked many months in advance. The new reality is that gay travellers no longer feel the need to specifically search for a "gay friendly" destination - this is expected to be the norm, throughout Australia, and most of the modern world. As such, I see "pink branding" any destination as passe and counter-productive.

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