Prince Edward County Ottawa

20 Pages·2016·3.53 MB·English

Sa ult
Ottawa
Ste.
Marie

Kitchener,
Prince
Waterloo,
Edward County
Guelph &
Cambridge
PRINCE EDWARD COUNTY
ECONOMIC IMPACT STATEMENT
ABSTRACT: This study was prepared by urbanMetrics inc on behalf of its Client, Airbnb.
Tourism is an integral part of the Ontario economy. From sunsets north of Lake Superior to the white sandy beaches of
Prince Edward County, Ontario offers unforgettable experiences to visitors of this vast province.
This study provides a third-party assessment of the economic impacts associated with the Airbnb home-sharing platform in
the context of four regions located in the province of Ontario. These regions include a mid-sized City (Ottawa), a Northern
Ontario City (Sault Ste. Marie), a weekend retreat (Prince Edward County), and a university area (Kitchener, Waterloo,
Cambridge and Guelph). This report concludes that Airbnb guests in these regions contribute $43 million in spending
annually to the provincial economy, supporting over 500 full time employment positions and $23 million in labour income.
The information contained in this report is based on a variety of published sources which have been deemed by the authors
as both reliable and accurate for the purposes of this study. The urbanMetrics study leverages survey data gathered by
Airbnb and relies upon the Ontario Tourism Regional Economic Impact Model (TREIM), which was developed on behalf of
the Ministry of Tourism, Culture and Sport for the expressed purpose of measuring expenditure impacts with the Ontario
tourism, hospitality and events sector.
February 8th, 2017
CITY OF OTTAWA
MARKET

Canada’s Capital Region is a bucket-list destination for Canadians from
coast-to-coast. This vibrant City attracts tourists, business travelers, SNAPSHOT
journalists, policy-makers and history-buffs throughout the year. Next to
government, tourism is Ottawa’s primary calling-card.
POPULATION: 883,400 (City)
In 2016, Airbnb guests to the City of Ottawa spent an estimated $32
million in our nation’s capital, generating an economic impact of $24
million for businesses in Ottawa. Within the province, Airbnb guests to TOURISM-BASED BUSINESSES: 12,200
Ottawa generated $25 million in economic activity, supporting nearly
400 full-time employment positions. urbanMetrics estimates that the
OCCUPANCY RATES: 72.4%
loss of Airbnb in the Ottawa market would, in effect, strip away
approximately $4 million in spending and trim approximately 50 full-time
positions. AVERAGE DAILY HOTEL RATES: $140

REGIONAL TOURISM ORGANIZATION (RTO) 10:
AIRBNB GUEST NIGHT RATE: $48
TOTAL VISITORS: 9.0 MILLION | 4.0 MILLION (overnights)
OVERNIGHT TOURIST SPENDING: $1.2 BILLION AIRBNB LISTINGS: 2,300
SPENDING ON ACCOMMODATIONS: 354 MILLION
AIRBNB GUEST ARRIVALS: 82,300
AVERAGE LENGTH OF OVERNIGHT STAY: 2.95 nights

AIRBNB AVG BOOKING: 3.3 Nights
1: CELEBRATING OUR HERITAGE
Museums, art galleries, parks, politics and monuments are Ottawa’s signature
draws. Ottawa has always been a festival city. In 2017, Ottawa will be center-
stage for Canada’s 150th birthday celebration. This year-long event promises to
bring a big surge in visitation to the nation’s capital. Airbnb provides an ideal
opportunity to ensure that every Canadian and every family that wants to be part
of the 150th celebration can find a safe and comfortable place that meets their
budget.
2: HEALTH AND HEALING
As major regional health centre, patients and their families routinely travel to
Ottawa to undergo specialized medical treatments that are often not available in
smaller communities. With Airbnb, patients and families from more remote areas
can easily find an array of accommodations that provide many of the comforts of
home while focus on their treatment and recovery.
3: OPPORTUNITIES FOR EMPLOYMENT
Ottawa is Ontario’s second largest labour market. In addition to over 100,000
federal government jobs, Ottawa is also home to several large educational
institutions and boasts a robust climate for business, R&D and innovation. Ottawa
attracts job seekers from across the country – and around the world. Airbnb
provides a simple platform for job seekers to land their dream job without the
stress of finding a place to live immediately.
4: FOOD AND DRINK
Whether its grabbing fresh produce grown by local area farmers in the famous
Byward Market or a quick meal in Chinatown, Ottawa has a variety of top-rate
culinary options. Staying in an Airbnb accommodation provides guests with an
opportunity to use kitchen facilities to whip up a meal with fresh food they gathered
while traveling throughout the City.
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urbanMetrics
WHY PEOPLE VISIT OTTAWA
Prupose of Trip (Overnight Visitors)
Ottawa has a very well-diversified tourism market.
Based on Ontario tourism data, about half of Other Personal
4%
people who visit Ottawa annually do so to visit
friends and family. Ottawa also attracts a large
share of pleasure and business travelers.
Conventions  Business Pleasure
(Personal) 17% 24%
Tourism in Ottawa continues to grow. According to
1%
Ottawa Tourism, hotel occupancy, average daily
Shopping
rates and revenue per room were all up in 2015. 0%
The most common purpose people stay in hotels in
Ottawa is for leisure (pleasure), which grew by
3.5% from the previous year.
Airbnb provides important alternative
VFR
accommodation option for those visiting Ottawa to
54%
see family and friends, experience Parliament Hill
Source: Ontario Ministry of Tourism, Culture and Sport, RTO 10, (2014)
or go skating along the Rideau Cannel.
HOW AIRBNB FITS THE MARKET

Airbnb offers a diverse array of accommodation options for
tourists, overnight visitors, or people who need to be in
Ottawa for a short period of time. From an entire house in
Orleans, to a spare bedroom in Stitsville, from an elegant
apartment with an unforgettable view Parliament Hill, to a
modest townhouse in Nepean minutes away from the Ottawa
Airport, visitors to the nation’s capital can pick the perfect spot
to make the most of their stay.

When Airbnb guests travel, they routinely cite “living like a
local” as a primarily consideration when choosing the right
type of accommodation. In Ottawa, most hotels are located
near in Centretown (near Parliament Hill), or situated near
major highway interchanges. Airbnb accommodations,
however, are spread throughout the City. They provide
travelers with the opportunity to truly live like a local, and at
the same time, explore specific neighbourhoods off the
beaten path.

When Airbnb guests stay outside of conventional tourist
areas, shops and services in those neighbourhoods are
directly impacted in ways they never were before. According
to in-house data, Airbnb guests spend more than half (53%)
of their expenditures in the neighbourhoods they stay.

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urbanMetrics
SAULT STE. MARIE
MARKET

Located in the geographic heart of the Great Lakes basin, Sault Ste. Marie is
SNAPSHOT
Northern Ontario’s third largest city. Sault Ste Marie is an important regional
hub for estimated 125,000 people living within the Algoma District which
spans over 48,000 square kilometres. Sault Ste Marie is not only an important POPULATION: 75,000 (City)
urban service centre for those living in rural and remote northern
communities, it also acts as a gateway/transfer point for many anglers,
TOURISM-BASED BUSINESSES: 1,590
hunters and resource workers across the north. Sault Ste. Marie is a city with
a rich tradition in steel and forestry products. Over the years, Sault Ste. Marie
has embraced tourism as one of its economic pillars. “The Soo” as it is OCCUPANCY RATES: 51.8%
affectionately called, is home to many fine shops, restaurants and
entertainment venues. It is also home to several important institutions
AVERAGE DAILY RATES: $104
including Sault Area Hospital and Algoma University.
Although a small and growing presence in Sault Ste. Marie, in 2016 Airbnb
AIRBNB GUEST NIGHT RATE: $44
guests contribute nearly $218,000 annually to the local and provincial
economy, including approximately $84,000 to hosts, which can be an
important source of income, much of which gets redistributed throughout the AIRBNB LISTINGS: 40
local economy.
AIRBNB GUEST ARRIVALS: 900

REGIONAL TOURISM ORGANIZATION (RTO) 13B: AIRBNB AVG BOOKING: 2.4 Nights
TOTAL VISITORS: 1,724,000 | 694,000 (overnights)
OVERNIGHT TOURIST SPENDING: $155,800,000
SPENDING ON ACCOMMODATIONS: $35,000,000
AVERAGE LENGTH OF OVERNIGHT STAY: 3.3 nights

1: REGIONAL SERVICES
Sault Ste Marie is an important centre in Northern Ontario that provides many
services for the surrounding region. The Sault Area Hospital, International
Airport and Algoma University are important institutions that attract visitors from
across Northern Ontario. Whether it’s a visiting professor at Algoma University
or someone helping a loved one through medical care, the presence of Airbnb
in Sault Ste. Marie can help provide flexible accommodation for visitors with
diverse needs.
2: GATEWAY TO NATURE
Sault Ste Marie is ideally located as a gateway to provide unparalleled access
to nature. Hiking, hunting, canoeing, fishing and ice climbing are just some of
the activities available around Sault Ste Marie, making it an ideal outdoor
destination that attracts visitors year-round. Almost 40% of people who visited
Sault Ste. Marie participated in outdoor activities, including boating, fishing,
hiking and viewing the best fall colours.

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WHY PEOPLE VISIT SAULT STE. MARIE
Sault Ste. Marie’s location attracts
visitors for many different reasons. In Purpose of Trip (Overnight Visitors)
2014, there were approximately
694,000 overnight persons visits to RTO
Conventions 
13B. This means that on any given (Personal) Other Personal
10%
night, there are about 1,900 people Shopping 0%
Business
looking for somewhere to stay 0% 7%
overnight.
Nearly half of overnight visitors to Sault Pleasure
Ste. Marie visited for pleasure, the 47%
majority of whom participated in outdoor
VFR
activities.
36%
The City also functions as a gateway to
a regional hospital and university, an
international airport and the United
States.
Although still a small presence, Airbnb
Source:Ontario Ministry of Tourism, Culture and Sport, RTO 13B (2014)
can provide guests and visitors with the
flexibility to find accommodations that serve their individual needs. Airbnb can also provide the City with a flexible
way to expand overnight accommodations as their tourism sector grows.

HOW AIRBNB FITS THE MARKET
AFFORDABILITY
For many families, traveling in a large group can become exceedingly expensive when overnight accommodations
require a family to book multiple hotel rooms. Airbnb provides an opportunity for families to stay under one roof at
an affordable rate. Airbnb accommodations also provide amenities such as kitchens, multiple bedrooms and
laundry, that differentiate them from traditional hotels and make travel more affordable. In guest surveys
conducted by Airbnb in other markets, including Toronto, the majority of guests say they chose Airbnb because
they wanted more amenities than a hotel had to offer.
OPPORTUNITY
The labour market in Sault Ste. Marie is closely tied to the steel industry and the resource sector, particularly
forestry. While these industries remain the life-blood of the Soo, global economic cycles can hit communities like
Sault Ste. Marie very hard. Fortunately, an abundance of natural beauty and the presence of a busy municipal
airport has enabled the City to pivot toward tourism as a major economic pillar. Over the past 20 years, the local,
provincial and federal governments have worked diligently to re-position the Soo as destination for business and
leisure travel. Building on that success, Airbnb provides an exciting opportunity for Sault Ste. Marie residents to
directly participate and help grow the local tourism industry.

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urbanMetrics
PRINCE EDWARD
MARKET
COUNTY
SNAPSHOT

Pr ince Edward County (“PEC”, “the County”) has quickly emerged as a
POPULATION: 25,000 (County)
rural hotspot for weekend and extended getaways. From a weekend
visiting shops, wineries and spas, to a weekend fishing in the Bay of
TOURISM-BASED BUSINESSES: 6,540
Quinte; from a family vacation on white-sandy beaches, to couples-
only week of culinary indulgences, the County has something for just
about everybody. OCCUPANCY RATES: 57.9%
In 2016, Airbnb guests to the County spent approximately $5.6 million,
AVERAGE DAILY RATES: $110
generating a local economic impact of $3.8 million for businesses.
Province-wide, Airbnb guests to the County generated $4.4 million in
AIRBNB GUEST NIGHT RATE: $66
economic impact and supported 66 full-time employment positions.
REGIONAL TOURISM ORGANIZATION (RTO) 9: AIRBNB LISTINGS: 330
TOTAL VISITORS: 8.0 MILLION | 2.7 MILLION (overnights)
AIRBNB GUEST ARRIVALS: 17,850
OVERNIGHT TOURIST SPENDING: $559 MILLION
SPENDING ON ACCOMMODATIONS: $177 MILLION
AIRBNB AVG BOOKING: 2.6 Nights
AVERAGE LENGTH OF OVERNIGHT STAY: 2.7 days
1: EXPLORE AND PLAY
Prince Edward County has grown in popularity in recent years as the premier
destination for a weekend getaway or a summer retreat. From antiquing in the
quaint communities of Picton and Wellington, to cycling through the rolling
countryside, Prince Edward County has a variety of activities for people of all
ages. Airbnb can act as an important short-term accommodations option for
those looking for stay for a weekend or for a week-long vacation.
2: ARTS AND ENTERTAINMENT
Prince Edward County is home to broad array of artistic and cultural activities.
Visitors to the County can chart their own course along the Arts Trail and meet
talented artists in a variety of exciting studios and galleries. Music lovers can
take in a concert at the Regent Theatre in Picton or an intimate gig at the
Hayloft Dancehall. If live theatre is your scene, Festival Players have been
entertaining audiences on outdoors stages for more 10 years
3: LEISURE AND RECREATION
From walking along the sandy beach and Sandbanks Provincial Park to cross-
county skiing at one of the County’s many parks, trails and conservation areas,
Prince Edward County offers a variety of amenities for year-round travelers.
Airbnb provides an opportunity for people with a second home or a B&B in the
County to host guests throughout the year.
4: FOOD AND DRINK
The many breweries and distilleries, wineries and cideries, that have popped up in Prince Edward County makes the County a
culinary destination in Southern Ontario. Food aficionados can take in a meal at the Drake Devonshire or attend the Canadian
Cheese festival or Maple in the County. Many of the homes listed on Airbnb provide amenities such as kitchens that provide
guests with an opportunity to prepare a meal with some of the culinary delights picked-up in the County.
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urbanMetrics
WHY PEOPLE VISIT PRINCE EDWARD
COUNTY
Nights Stayed in Various Accommodations
In 2014, there were almost 2.7 million
Other
overnight person visits to RTO 9, and many of 8%
these were likely to Prince Edward County. Hotel / Motel
18%
This number has certainly increased due to Private Cottage
year over year buzz about the County in 11%
nearby markets such as Toronto, Montreal and Commercial 
Cottage/Cabin
Ottawa.
8%
Within the RTO, visiting family and relatives
Camping / RV 
and traveling for pleasure were the primary Facility
Private Home 12%
reasons people visited. When people visit the
43%
County, they stay in a variety of
accommodations, ranging from a quaint inn in
Picton, to camping in Sandbanks Provincial
Park. Airbnb has become an increasingly
Source: Ontario Ministry of Tourism, Culture and Sport, RTO 9, (2014)
popular option for accommodations in PEC,
with over 330 unique listings available. The fact is, that not everyone wants to stay in a traditional hotel or B&B.
Airbnb provides flexible alternatives for those seeking – or requiring - non-traditional accommodation options.
HOW AIRBNB FITS THE MARKET
SCALABILITY
The increasing popularity of the County – especially during peak seasons and high demand festival weekends,
has been a blessing for many accommodation providers. For many visitors who didn’t book weeks or even
months in advance, the lack of conventional accommodations can make the difference between visiting PEC or
simply going somewhere else. The arrival of Airbnb in the market provides homeowners in the County with an
opportunity to play a role in the tourism industry, by helping to alleviate periodic gaps in supply and demand.
FLEXIBILITY
The County has a long and well-defined history of people renting their properties during peak tourism seasons. At
the same time, PEC is also home to a variety of popular B&B operations that accommodate guests throughout the
year. These second homes and B&B’s have used various channels in the past to advertise these spaces, whether
through a vacation rentals website or other online tools. Airbnb simply provides a more responsive and flexible
market platform to advertise their space offerings to a global audience.
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KITCHENER,
MARKET
WATERLOO, GUELPH &
SNAPSHOT
CAMBRIDGE
POPULATION: 600,000

Often referred to as “Silicon Valley North”, the Kitchener, Waterloo, TOURISM-BASED BUSINESSES: 11,273
Guelph and Cambridge market has been seen rapid ascent as global
hotspot for tech, innovation and academic research. OCCUPANCY RATES: 57.3%
In 2016, Airbnb guests to the Kitchener, Waterloo, Guelph and
AVERAGE DAILY RATES: $110
Cambridge region spent over $5 million during their stay, generating
a local economic impact of $3.7 million. Province-wide, Airbnb guests
within the Waterloo/Guelph market generated $4.4 million in AIRBNB GUEST NIGHT RATE: $41
economic activity, supporting nearly 70 jobs.
AIRBNB LISTINGS: 620

REGIONAL TOURISM ORGANIZATION (RTO) 4:
AIRBNB GUEST ARRIVALS: 11,300
TOTAL VISITORS: 10,800,000 | 3,350,000 (overnights)
OVERNIGHT TOURIST SPENDING: $582,900,000
AIRBNB AVG BOOKING: 4.1 Nights
SPENDING ON ACCOMMODATIONS: $144,400,000
AVERAGE LENGTH OF OVERNIGHT STAY: 2.4 Nights

1: INNOVATION CAPITAL
The Kitchener, Waterloo, Guelph and Cambridge area is widely regarded as
Canada’s premiere technology and innovation cluster. Supported by a highly-
skilled workforce and acclaimed post-secondary institutions, the region
continues to grow, attracting the likes of Google, Blackberry and Intel, as well
as hundreds of young, eager start-ups. This in turn has drawn jobseekers, new
businesses and prospective students. Airbnb offers visitors an affordable
alternative while they pursue job opportunities, or come for a business
meeting.

2: TOURISM
Tourism continues to draw guests to the region for a variety of purposes. From
the historic downtowns of Guelph and St. Jacobs, to festivals in Waterloo, and
craft breweries and cafes emerging in Kitchener, there are several reasons for
tourists to come to the region. Airbnb provides accommodation options in a
variety of neighbourhoods, close to where people want, or need, to stay.

3: EDUCATION CLUSTER
This area is home to several post-secondary institutions. The University of
Waterloo, University of Guelph and Wilfred Laurier University are just some of
the schools in the area. These institutions attract students from across Canada, and across the world, and also host major
conferences and events. Guests look to Airbnb as an affordable option while considering attending one of these schools,
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attending a conference, or to visit family and friends studying in the Waterloo Region.

urbanMetrics
WHY PEOPLE VISIT KITCHENER, WATERLOO,
GUELPH & CAMBRIDGE
In 2014, roughly 3,350,000 visitors stayed overnight in RTO 4. Age of Visitors to Kitchener, Waterloo, 
It is reasonable to assume that the majority of those stays Cambrige and Guelph
occurred in the region’s largest cities, Kitchener, Waterloo,
Guelph and Cambridge.
Under 24
The area’s academic and technology focused reputation 55 and Over 27%
30%
continues to attract young people pursuing opportunities in
education, employment, networking, or even just to visit
friends. This could explain why in 2014 27% of all visitors to
the area were under the age of 25. 25 to 34
45 to 54 16%
14%
Additionally, the area’s many cultural amenities, events, and 35 to 44
growing food scene make it an accessible and affordable 13%
Source: Ontario Ministry of Tourism, Culture and Sport, RTO 4, (2014)
weekend getaway for Southern Ontario residents. Between
education, job opportunities, heritage, festivals, natural beauty
and café/brewery culture, each of the four cities offers a different flair, and a unique experience. With direct GO
Train access to the region from Toronto’s Union Station, the area is an accessible and affordable weekend
getaway. Airbnb can provide visitors with the flexibility to find a bed in the municipality, and neighbourhood that
best meets their needs for visiting the area.
HOW AIRBNB FITS THE MARKET
FLEXIBILITY
Whether you’re a prospective student looking for a basic space to rest, a visiting professor looking for convenient
place to stay for an academic conference, or a group of friends looking to take in the annual Oktoberfest, Airbnb
provides an option for finding the perfect place tailored to an individual’s specific needs and tastes.
Alternatively, if you’re a homeowner local homeowner basement suite, whose student tenants have gone home
for summer break, Airbnb provides a great resource to ensure that your extra space is still earning some
additional income during the school break.
AFFORDABILITY
For students, jobseekers, and those simply looking for an affordable weekend getaway, Airbnb provides
accommodation options at a range of prices. This may make the difference between staying at home, or taking
the trip to a conference, job interview, or festival. With an average rate of $41 per guest night, Airbnb keeps the
Kitchener, Waterloo, Guelph and Cambridge area accessible and viable to those on a budget, or taking leisurely
and discretionary trips.
GEOGRAPHY
In a region that attracts people for so many different reasons, Airbnb gives guests the ability to find the right
location in the right municipality. Options for Airbnb in the region are diverse and can be found in most
neighbourhoods. This offers guests spaces to stay in areas that are often not best served by traditional
accommodations. 9

urbanMetrics
BENEFITS OF SHORT-TERM
ACCOMMODATIONS OPTIONS
HOST INCOME
Airbnb host income means different things to different people. It could be a B&B operator in Prince Edward
County trying to run a more competitive business. Or, perhaps it’s a student in Waterloo subletting a room while
they are away in the summer or on a co-op work term. Regardless of the rationale for posting a room or an entire
home on Airbnb, this platform provides an important, and in some cases essential form of income for people.
In the four markets
Unique Listings that Hosted During 2016
analyzed in this report,
3,000
there were nearly 3,300
unique Airbnb listings in 2,304
2016, ranging from 37
2,000
listings in Sault Ste. Marie
to approximately 2,300
listings in Ottawa. 1,000
615
333
According to Airbnb, the
37
typical annual income for a 0
host in these regions was Sault Ste. Marie Prince Edward County Kitchener, Waterloo, Ottawa
Guelph & Cambridge
approximately $4,700,
which translates into
approximately $390 per Typical Annual Income by Host
month. This is a meaningful $12,000
$10,665
source of income for many
Airbnb hosts. $9,000
As shown, this annual
$6,000
$4,714
income ranged from $1,988 $4,247
$3,403
annually in Sault Ste. Marie
$3,000 $1,988
to $10,665 in PEC. The
relatively high income
$0
generated by hosts in PEC Sault Ste. Marie Prince Edward Kitchener, Ottawa Total Average
reflects, in large part, pre- County Waterloo, Guelph
& Cambridge
existing B&B operators’
listings available rooms and the large share of seasonal homes in the County, with homeowners attempting to
rent their space when it is not being utilized by the owner.
Based on host surveys conducted by Airbnb in Ontario, a large share of income generated by Airbnb hosts
actually remains within the local economy. Research suggests that hosts spend their Airbnb incomes on items
such as groceries, restaurant meals, household goods and cleaning/ maintenance services. All of these

expenditures have a direct, positive economic benefit on the local economy.
1
0
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