Brand USA’s four year marketing impacts $38 Billion, besides supporting 51,000 jobs annually

Last Updated: Wed, May 16, 2018 19:35 hrs
The sun sets behind the Statue of Liberty in New York's Harbor as seen from the Brooklyn borough of New York

A study on the return on investment for Brand USA, the destination marketing organization for the United States, says the agency made a total economic impact of $38.4 billion while supporting an average of 51,580 incremental jobs every year.

The report compiled by London based Oxford Economics also revealed that since FY13 the marketing efforts of Brand USA were directly responsible for increasing international visitation by an incremental 5.4 million travelers who spent $17.7 billion.

Brand USA is a public-private partnership responsible for promoting tourism globally to the United States. The agency established by the Travel Promotion Act as the nation's first public-private partnership, promotes the United States as a premier travel destination and communicates U.S. travel policies & procedures to worldwide travelers. Formed as the Corporation for Travel Promotion in 2010, the public-private entity began operations in May 2011 and does business as Brand USA.

The data highlights the significant contribution the promoting agency has had on international travel to the USA. The study highlights the following from the marketing efforts for 2017:

  • 1.16 million incremental visitors who spent
  • $4.1 billion on travel and fare receipts with U.S carriers, resulting in
  • $8.5 billion in total sales, which support over
  • 54,212 new jobs

The data from Oxford also came up with the following observations:

  • In 2017, each dollar of Brand USA marketing generated $27.70 of visitor spending. Including all operating overhead, Brand USA achieved an ROI of $25.00 and generated $3.9 billion in visitor spending.
  • Relatively high market growth and spending per visitor drove strong returns in Asia and Latin America with an average ROI of 46.7 to 1.
  • The average ROI remained solid, while more modest, in the mature markets of Canada and Europe.
  • Total visits generated tallied 1.1 million. This was 1.4% of all visitors to the US in 2017 (based on Tourism Economics estimates).
  • Incremental spending figures include spending while in the US plus transportation spending on US-flagged carriers based on BEA balance of payments data.

The Oxford study also calculated sample individual responses who were exposed to a film produced by Brand USA. The samples were collected from responses in nine markets- Australia, Brazil, Canada, China, Germany, Japan, South Korea, Mexico, and the United Kingdom – where Brand USA fully executed consumer, trade outreach, and co-op programs.

Brand USA also provided initial results on the impact of its first film for IMAX® and giant screen theatres, "National Parks Adventure."

Oxford’s analysis on the impact of “National Parks Adventure,” revealed those who planned to visit USA in the next 12 months: 17% in Canada, 9% in Mexico, 4% in Asia, and 1% in Europe.

"Travel and tourism is a significant contributor to the U.S. economy, and increasing international visitors to the United States provides new opportunities for growth within the industry. As tourism increases so does the need to service our guests, which drives job creation in all service sectors, including retail, restaurants, and transportation," said Christopher L. Thompson, president and CEO of Brand USA.

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