Sociodemographic and Behavioral Determinants of Visitor Spending at the Klein Karoo National Arts Festival

Abstract

The Klein Karoo National Arts Festival (KKNK) is one of the most popular arts festivals in South Africa. However, the festival is already in the decline phase of its product life cycle. This leads to serious concerns for its future profitability and sustainability. Given the economic value of the festival, an understanding of expenditure patterns and the determinants influencing spending behavior is vital to the festival marketers/organizers. Therefore, the aim of this article is to investigate the sociodemographic and behavioral determinants that influence visitor expenditure at the KKNK, based on visitor surveys conducted at the festival from 2005 to 2008. Regression analysis was applied to establish the most significant determinants in each year. Results indicate that occupation, distance traveled, length of stay, the reason for attending the festival, and preferred type of shows/productions are significant determinants influencing the amount of money visitors spent at the festival. Not only will these findings generate strategic insights on marketing for the festival, but knowledge of these determinants can also lead to a greater economic impact, as well as a competitive advantage.