SUMMER SEASON CANADIAN VISITOR SPENDING SURVEY

In the original 1994 study, an effort was made to assess the economic impact of the tourism sector through a mail survey regarding the extent of Canadian tourist business with tourism establishments in Clinton County. The methodology of the original study’s survey did not succeed in providing an accurate and comprehensive picture of Canadian tourist spending. An alternative method was chosen for this replication study. A survey answered by Canadian visitors was conducted from July 26 to August 3, 1997 at 90 businesses representing the following sectors: retail, campgrounds, gas stations, hotels & motels, marinas, recreation centers, and restaurants. A total of 681 Canadian visitors responded to the Canadian Visitor Spending Survey. The survey instrument is presented in the Appendix to this report.

This survey is intended to be a comprehensive sampling of all Canadian Visitor Spending. The estimated annual spending results represent a distinct time period from the data based on the Christmas Season Canadian Visitor Spending Survey. In addition, the July time period represents a different population of Canadian visitors than those present during the pre-Christmas survey. The large sample of survey respondents has allowed us to interpret the responses of visitors from Quebec as distinct from Ontarians in relation to certain questions.

Results of a Survey of Canadian Retail Customers in Clinton County, New York, 1997

Place of Residence Number Percent
Quebec 521 77%
Ontario 112 16%
Other 35 5%
Blank 13 2%

 The great majority of Canadian visitors responding were from Quebec. This is similar to the composition of visitors surveyed in December 1996, however, 7% more non-Quebecers, evenly split between Ontarians and other provinces, came in July 1997.

Trips Per Year Number Percent
One 61 9%
Six 156 23%
Twelve 210 31%
Twenty-four 123 18%
More than twenty-four 125 18%

 The average number of trips per year for those responding to the July survey was 15.14 trips. This is slightly higher than the 14.24 average trips to Clinton County by respondents to the December 1996 Canadian Retail Consumer Survey. Quebecers responding to the July 1997 survey reported a higher average number of trips, 16.55 as compared to an average 10.45 annual trips by Ontarians.

 The average length of trips to Clinton County varies significantly for Canadian visitors surveyed in the December 1996 versus the July 1997 surveys. The average length of trips taken throughout the year to Clinton County was reported as 2.34 days by those surveyed in July of 1997. Canadian visitors surveyed in December 1996 reported an average of 1.79 days for usual trips during the year. The July 1997 survey indicates that Ontarians spend an average of 2.60 days on each trip to Clinton County versus only 2.21 days for Quebecers. 

Approx. Spending Per Trip Number Percent
Less than $10 U.S. 13 2%
$11-$100 U.S 346 51%
$101 - $300 U.S. 225 33%
$301-$500 U.S. 56 8%
More than $500 U.S. 34 5%

 

An average of $159.16 in spending per trip was calculated from responses to the July 1997 survey. This is contrasted to an average of $168.89 reported by respondents to the December 1996 survey. Of those responding to the July 1997 survey, Ontarians reported an average of $183.20 in spending per trip compared to only $142.03 in per trip spending for Quebecers on average.

Categories of Most Spending* Number Percent
Food 623 91%
Entertainment/ Recreation 478 70%
Gasoline 463 68%
Apparel 260 38%
Liquor/Tobacco 238 35%
Lodging 185 27%
Services/Repairs 97 14%
Other 19 3%

 

*Respondents could choose more than one response to this question.

Fifty-six percent more of the July 1997 respondents, as compared to December 1996 respondents, checked Entertainment/Recreation as one of their top three expenses. Liquor and Tobacco purchases were cited by 22% more of the July 1997 visitors than in December 1996. Spending on food was checked by 12% more July 1997 respondents than in the December 1996 survey, as was Services/Repairs. Spending on apparel was cited by 15% fewer July 1997 respondents than by pre-Christmas visitors.

The July 1997 survey indicates that 22% more Ontarians than Quebecers cited lodging as a major expense. Apparel was a major expense for 14% more Ontarians than Quebecers.

 

Usual Form(s) of Payment* Number Percent
Canadian currency 288 42%
Credit cards 343 50%
Checks 55 8%
U.S. Currency 469 69%

*Respondents could choose more than one response to this question.

A greater percentage (19%) of July 1997 respondents cited the use of Canadian currency than December 1996 respondents. Of July 1997 respondents, a larger share of Ontarians (16%) cited the use of credit cards than Quebecers.

Methodological Notes:

To evaluate the reliability of the results one must consider characteristics of the population from which it was drawn. According to border crossings reports for the week of July 26 through August 3, 1997, 110,829 Canadians entered the U.S. through the 4 ports of entry in Clinton County. The director of the Champlain INS office estimates that approximately 40% of the July crossings are coming to Clinton County. This defines our population as approximately 44,331 (40% of 110,829) individuals. In order to be conservative, we also assume that the variability associated with this population is moderate to high. According to generally accepted methods for the analysis of surveys of this type, a response rate of 1.5% (681/44,331) is significant and supports a 10% level of confidence. With this as background, the sample of 681 can be seen as reasonable and we can feel more comfortable drawing conclusions from the results.

As an indication of the total annual spending by Canadians visiting the county we begin with forty percent of the average weekly border crossings for the 12 month period prior to the survey (August 1996 through July 1997). Forty percent of average weekly border crossings for this period is 22,905 persons per week. This figure is multiplied by the average spending per trip calculated as a weighted average from the consumer survey of $159.16 and then multiplied by 52 weeks. This gives us an estimate of total annual spending by Canadian shoppers in Clinton County.

Estimation of Total Annual Spending by Canadian Visitors
in Clinton County based on Summer Season Sampling, 1997

40% of Average Weekly Border Crossings in 12 months prior to survey x Average Spending   Per Trip x Weeks Per  Year = Estimated Total Annual Spending
22,905 x $159.16 x 52 = $189,569,109.60

  The result, approximately $190 million, is equal to 24% of the estimated total gross sales of all industries subject to sales tax in Clinton County in fiscal year 1996, the last year for which figures are available.  

Estimated Annual Sales Tax Revenue from Spending by Canadian Visitorsin Clinton County based on Summer Season Sampling, 1997

Estimated Total Annual Spending x Sales Tax Rate = Sales Tax Revenues
$189,569,109.60 x .07 = $13,269,837.67

Clinton County’s portion of the sales tax raised by Canadian visitor spending is 3% of $189,569,109.60 or $5,687,073.29. Clinton County’s portion of estimated total sales taxes collected for fiscal 1996 is $23,866,795. The Canadian contribution would represent 24% of estimated total County sales tax revenue in 1996.

Recommendations for Replication:

The December 1996 and July 1997 Canadian visitor spending survey were conducted by the Plattsburgh-North Country Chamber of Commerce. In the December 1996 survey, the number of participating retail stores increased from 29 in 1995 to 48 in 1996. However the total number of responses increased by only eight. It is unclear whether the effort made by participating stores to prominently display the survey was adequate or whether Canadian shoppers were more reticent to participate.

The July 1997 Canadian visitor spending survey had the participation of 90 businesses and collected responses from 681 Canadian visitors. The significant increase in business participation and response rate of Canadians provides a more accurate picture of the impact of Canadian visitor spending. Therefore, future replications of both the December and July Canadian visitor spending survey will include the participation of retail stores, campgrounds, gas stations, hotels & motels, marinas, recreation centers, and restaurants.

Careful consideration should be given to the exact survey periods. The number of days and the particular days of the week used for the survey periods should be held constant for each replication of the December and July Canadian visitor spending surveys. The survey periods should be 9 consecutive days, beginning on a Saturday and ending on a Sunday. The approximate timing of the two survey periods, prior to Christmas and the end of July, should also be maintained.