1. 2004 IACVB/PDI CVB Research 101: Acquiring and Using Research Kelly Repass Director of Research

2. Presentation Title Research Department’s Main Responsibilities Track, analyze and disseminate information related to visitation, market conditions, competitive environment, consumer trends, etc. (from global to local perspective) Lay foundation for strategic and annual marketing plans and program development Evaluate sales & marketing programs Support CVB departments Assist CVB members & community partners

3. External Accountability Visitor Industry Statistics

4. Presentation Title External Constituents CVB members/hospitality industry Board of Directors Community partners Political community Media

5. Presentation Title Industry Performance Measurements Visitor volume & travel characteristics –Quarterly domestic updates from D.K. Shifflet –Annual overseas updates from Tourism Industries Analysis of various sectors

6. Metro Orlando Visitors Sources: D.K. Shifflet & Associates, Office of Travel & Tourism Industries 37.2 38.7 42.643.5 40.8 43.0

7. Metro Orlando Visitors CharacteristicFL ResidentNon-FL Resident Purpose of tripGetaway weekend (33%) Special event (17%) VFR (16%) Vacation (66%) VFR (16%) Avg. party size2.93.3 Top activitiesTheme parks (64%) Shopping (38%) General entertain. (35%) Theme parks (80%) Gen. entertain. (51%) Shopping (49%) Avg. nights2.25.7 Avg. spending$550$3,013

8. Overseas Visitors vs. U.S. Market Share Source: U.S. Department of Commerce, Office of Travel and Tourism Industries

9. Presentation Title Industry Performance Measurements Visitor volume & travel characteristics –Annual visitor profile reports Economic impact –visitor spending, jobs, fiscal impact on city and county governments, tax savings for residents

10. Presentation Title Impact of Tourism $21.8 billion in visitor spending Metro Orlando’s largest employer –27% of all jobs (16% direct, 11% indirect jobs) $5.2 billion annual earned wages Tax savings of $456 for Orange County households

11. Presentation Title Industry Performance Measurements Visitor volume & travel characteristics –Annual visitor profile reports Economic impact –visitor spending, jobs, fiscal impact on city and county governments, tax savings for residents Market conditions –Lodging activity: occupancy, adr, supply and demand –Airport activity: passenger counts, schedules, airfare –Port Canaveral activity: passengers, new product

12. Metro Orlando Monthly Occupancy 2000-2003 YTD Source: Smith Travel Research

13. Metro Orlando Room-Night Demand % Change Current Month vs. Year Ago 2001: -8.4%2002: 2.0%2003: --% Source: Smith Travel Research

14. Orlando International Airport Passenger Traffic Source: GOAA 6% -8% -6%

15. Port Canaveral Cruise Passengers Source: Canaveral Port Authority 32% 13% -8%

16. Presentation Title Strategic Planning Efforts Destination forecast – quarterly updates Image/perception study Meeting planner study Membership surveys Consumer database analysis Monitor global trends – competition, industry shifts, consumer behavior, economic & business conditions

17. Presentation Title Communicating Research Information Standard Research Reports – Annual Research Report - Compilation of annual data –Annual visitor profiles Domestic Leisure, Convention/Group Meeting, Overseas –Annual Occupancy Report –Orlando Market Summary –State of the market ppt presentation – Monthly research newsletter

18. Presentation Title Communicating Research Information Research section of CVB business site – Most current information available – Member’s only section – member benefit Miscellaneous –Press releases/press conferences – Industry talking points – CVB committee updates – Topical member seminars

19. Internal Accountability Department Metrics

20. Presentation Title Department Metrics Convention Sales Staff Activity Bids Tradeshows attended Sales calls Outside sales trips Clients/potential clients visited Telemarketing efforts Inquiries (phone, fax, e-mail)

21. Presentation Title Department Metrics Convention Sales Productivity Leads: number and associated room-nights Bookings (city-wide & in-house meetings) definite & tentative groups, attendance, room-nights and estimated economic value to community Cancellations –reason, number of groups, attendance, room-nights and associated spending Lost Opportunities: same info Value/ROI of bookings

22. Presentation Title Department Metrics Destination Meeting Services Meeting planner satisfaction survey results –Ratings of convention assistants on attitude, skill, efficiency, knowledge and appearance Number of hours worked by assistants Service leads issued Member referrals

23. Presentation Title Department Metrics Membership Members (#): current, new, reinstates, cancellations Dues ($): –current, new, reinstates, upgrades, downgrades, cancellations Reason for cancellations Advertising sales ($)

24. Presentation Title Department Metrics Public Relations Publicity exposure –Clips –Circulation –Advertising equivalency

25. Presentation Title Department Metrics Consumer Marketing Consumer inquiry analysis –Response levels by advertising mechanism –Geographic region Consumer web site sales –Hotel sales, packages, room-nights FL resident travel club –Enrolled members, room-nights booked, gross sales, page views to Club home page

26. Presentation Title Consumer Marketing Marketing Campaign Measurement 2003 Domestic Summer Campaign –Program Elements Television & newspaper – 16 markets Partners – attractions, hotels, Visit Florida, regional partners –Advertising effectiveness study Aided & unaided ad recall Influence of ad on desire & intent to visit Orlando Action taken – went to web site, called phone number, contacted advertising partners, booked advertised travel package, etc. Incremental visitation and related economic impact Campaign ROI

27. Presentation Title Consumer Marketing Visitor Information Kit Pre & post surveys among consumers who request kit –Influence of collateral information on decision to visit –Incremental conversion rate – How much consumers learned about the breadth of offerings –Satisfaction with information –How consumers use CVB’s consumer web site –Influence of information on activity choices –Which collateral pieces consumers bring on trip as a resource –Advanced trip planning & booking cycles –Travel arrangements made prior to receiving kit – to see what trip elements we/our members can influence) –Past and planned Orlando visitation

28. Presentation Title Department Metrics Interactive Marketing Consumer Web Site Activity –Unique user sessions, page views, avg. session length Topical surveys on site

29. Presentation Title Department Metrics Promotions Number of Promotions Media Value Geographic Markets Circulation Number of Impressions

30. Presentation Title Department Metrics Visitor Services # walk-ins at visitor center $ in-market ticket sales $ merchandise sales $ out of market ticket sales # phone calls received # e-mails processed # housing calls

31. Industry Accountability and Standardization is Critical to Our Collective Success

32. CVB ACCOUNTABILITY IACVB Performance Measurement Initiative

33. Performance Measurement Initiative The Challenge CVBs receive the lion’s share of their funding (82%) from public sources Unique position = external performance audits by local community stakeholders Lack of uniform approach/industry standards to productivity reporting (apples to oranges)

34. Performance Measurement Initiative Importance of Standard Definitions & Measurements Uniform approach for internal/external audits Quantitative management tools to identify organizational strengths, weaknesses, and opportunities Recognized benchmarks to measure success over time Competitive Analysis - How bureau compares to others Serve as a basis for ROI calculations

35. Performance Measurement Initiative Mission To standardize CVB reporting practices by establishing definitions, guidelines, and metrics to provide meaningful comparative data

36. CVB Management & Staff Destination Stakeholders Government/Funding Entities Consultants & Auditors Media Performance Measurement Initiative Interested Parties

37. Performance Measurement Initiative Key Projects Uniform system of accounts (completed) Convention market definitions (completed) Convention & leisure sales productivity measurements Return on investment

38. Performance Measurement Initiative Sales Productivity Measures Goal: establish standard definitions and measurements for tracking and reporting CVB performance (convention & leisure) Process: 2 surveys developed in conjunction with New York University and Smith Travel Research and sent to membership –Definitions used by CVBs –Activity & productivity measures –Visitor characteristics –Methods used to track specific variables

39. Performance Measurement Initiative Sales Productivity Measures Survey Results: –Good News: CVBs at all levels measure their sales activity and productivity to some degree –Bad News: CVBs use inconsistent definitions; Activity and productivity metrics measure different things

40. Process: –Initial draft recommendations debated at joint PMT/Convention Sales Shirtsleeves meeting during 2003 Annual Convention –Revised draft circulated to PMT, IACVB membership & general public for comment Sept. 2003 –Approved by Board of Directors in Oct. 2003 Performance Measurement Initiative Convention Sales Productivity Measures

41. Performance Measurement Initiative Recommended Convention Sales Definitions Lead Bid Tentative Booking - hotel event Booking - citywide/conv. center event Lost Opportunity Cancelled Business

42. Performance Measurement Initiative Recommended Convention Sales Activity Measures Bids Tradeshows attended Outside sales trips Clients/Potential clients visited Client site inspections Fam tours Fam tour participants (planners only) Telephone call reports Direct mail campaigns Telemarketing campaigns

43. Performance Measurement Initiative Recommended Convention Sales Productivity Measures Leads –room nights Bookings –room nights –attendance –attendee spending Lost Opportunities –room nights –reason for loss –attendees –attendee spending Cancellations –room nights –reason for loss –attendees –attendee spending # leads per tradeshow attended

44. Performance Measurement Initiative Convention Sales Measures - Next Steps Standards promulgated to membership and key industry partners through communication and education efforts Standards to be submitted to APEX for inclusion PMT will continue to review and recommend supplemental convention sales productivity metrics and special issues

45. Performance Measurement Initiative Leisure Sales Productivity Measures Areas –Travel Trade activity & productivity measures Survey sent to members in January Seeking input from tourism & marketing committees during conference –Marketing & Communications activity & productivity measures Survey to be sent to members later this month Recommendations slated for July 2004

46. Performance Measurement Initiative ROI Goal: Utilize standard business ROI formula that will quantify a CVB’s financial impact on its local community for convention & leisure travel Update: –Incorporate convention and leisure sales productivity measures –Extensive review by membership and industry partners w/expertise in CVB ROI –Results should be completed October 2004