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Home My WebLink AboutPH-1 - 26-306 - 2. TCM Annual Report 2026 - 6/2/2026ANNUALREPORT 20 2 5 - 2 0 2 6 TABLE OFCONTENTS President’s Message ....... 4 Funding Source ....... 6 Lodging & TCM Hotel Partners ....... 8 Travel Trends ....... 9 U.S. Travel Association ..... 10 Visit California ..... 12 Marketing ..... 14 Campaigns ..... 18 Social Media .... 20 Public Relations .... 22 Group Sales .... 26 Travel Costa Mesa Leadership .... 30 President’sMessage Walt Disney once said, “Times and conditions change so rapidly that we must keep our aim constantly focused on the future.” That was deﬁnitely true over the past year, as tourism forecasts shifted just as quickly as the reports that created them. However, Travel Costa Mesa (TCM) worked diligently to stay focused on a strategic goal of increasing visitation, raising awareness for the destination, and expanding group opportunities and leads. This annual report highlights the innovation and creativity as the organization continues to drive awareness of the City of the Arts®, growth in group room nights, occupancy, average daily rate, and average length of stay. The U.S. hotel forecast for 2026 calls for a relatively ﬂat increase in occupancy and a 1% increase in average daily rate, according to Tourism Economics. State of California: visits in 2026 are forecast to increase by 1.7%, totaling 276.1M, and visitor spending by over 4%, totaling $165.2B. TCM’s ﬁrst half of the ﬁscal year, as well as calendar year-end results, showed growth for its partners in both occupancy and average daily rate, leading to an increase in overall RevPAR. The second half of the ﬁscal year is forecasted to remain consistent. As FIFA26 World Cup™ arrives in June, expectations for compression from the LA market inspire optimism. As we near the conclusion of the current ﬁscal year, our primary focus is on managing and completing large-scale projects. These include initiatives such as the comprehensive redesign of our website and the planning and execution of our upcoming spring and summer marketing campaigns. These projects are critical to our strategic goals and require careful coordination and resource allocation to ensure their successful completion. We sincerely appreciate the local businesses that collaborate with TCM to boost the city's tourism. Our partner hotels support 100 percent of the programming, allowing our content to reach a broad audience. TCM continues to explore new opportunities to expand in the tourism industry, positively impacting the city's economy. Our collective efforts have delivered measurable progress across key objectives - successfully elevating awareness of the City of the Arts®, driving meaningful growth in group room nights, and extending the 04 overall average length of stay. These gains have translated into steady increases in occupancy and average daily rate, reinforcing both market conﬁdence and long-term value. As we look ahead, this momentum positions us to continue strengthening demand, deepening engagement, and building on a foundation of smart, balanced growth that supports the destination’s economic vitality. Paulette Lombardi-Fries President KEY OBJECTIVE Increase brand awareness for the city of Costa Mesa as a desirable, overnight, leisure Orange County destination. VISION STATEMENT Travel Costa Mesa is the engaged destination marketing leader, supporting and selling the city’s distinct visitor brand experiences, and advocating community tourism beneﬁts. MISSION STATEMENT Travel Costa Mesa enhances and promotes the destination brand experience, further increasing visitor spending for industry and community economic viability, sustainability, and quality of life. SALES OBJECTIVE Increase brand awareness and new group room nights for the city of Costa Mesa as the preferred Orange County destination ideal for small to mid-size business that increases the economic beneﬁts throughout the city. In 1995, Travel Costa Mesa was the second tourism organization formed as a nonproﬁt corporation to market the city of Costa Mesa as a desirable, leisure overnight destination in Orange County. Drive demand for leisure travel and visitation to Costa Mesa Increase social media followers and engagement Increase awareness, earned media for Costa Mesa through PR efforts Grow group sales with deﬁnite group night bookings and increase awareness campaigns TCM GOALS FOR FISCAL YEAR ENDING JUNE 2026 05 Travel Costa Mesa is fully funded through the Business Improvement Assessment (BIA), which is collected by the 11 Costa Mesa partner hotels listed in this annual report. Each hotel collects a 3% levy from overnight guests (2,375 total available rooms). All of the Transient Occupancy Tax (TOT) collected by the City of Costa Mesa goes to its general fund, and the city keeps 100% of it. Business Improvement Assessment (BIA) Business owners within the BIA program must submit their assessments to the Costa Mesa City Finance Department monthly. New hotels and motels interested in participating in the BIA should contact both the City of Costa Mesa and TCM. This is a voluntary program for hotel partners. Fiscal Year 2025-2026 Forecast For the current ﬁscal year, TCM forecasts BIA revenue to come in slightly above the forecasted $3.298M. As of February 2025, BIA funds total $2.3 million. Investment and Reserve Policies In FY 2025-2026, TCM established a four-person subcommittee to oversee the investment of organizational reserves, maintained at a level exceeding six months of operating expenses to support long-term ﬁnancial stability. Additional funds outside of the reserves will be used to fund special projects. In September 2025, TCM reserves retained a qualiﬁed external investment management ﬁrm to oversee invested assets in accordance with the board-approved policy. Allocation of Overages in BIA Any BIA overage that TCM receives is deposited into TCM’s bank reserves, ensuring surplus funds are prudently managed and available for future programming, unforeseen expenses, or strategic initiatives that beneﬁt the organization. Funding Source 06 $1.0 $1.5 $2.0 $2.5 $3.0 $3.5 FY 2025-26FY 2024-25FY 2023-24FY 2022-23 BIA REVENUE $3.2M +39% YOY +3.2% YOY +0% YOY $3.3M $3.3M Forecast:$3.298M MARKETING 58% 26% 9% 7% EMPLOYEE EXPENSES PRIMARY EXPENSE PROJECTIONS 2025 - 2026 ADMINISTRATIVE SALES Employee expenses include salaries, payroll taxes, 401(k) contributions, and health insurance premiums The following represents the primary expense projections for the current ﬁscal year: Marketing expenses include SEO, PPC, content marketing, email and online marketing, advertising services, and website hosting Administrative expenses include conference and meeting registrations, business insurance, audit services, lease payments, and travel Sales expenses include conference and meeting registrations for the sales executive, tradeshows, memberships, familiarization trips, site visits, CRM, travel, and group incentives 07 Lodging & TCM Hotel Patners LODGING ADDRESS MANAGEMENT COMPANY PROPERTY OWNER Avenue of the Arts Costa Mesa, A Tribute Portfolio Hotel 3350 Avenue of the Arts Costa Mesa, CA 92626 Rosanna Inc. 3350 Avenue of the Arts Costa Mesa, CA 92626 Rosanna Inc. 3350 Avenue of the Arts Costa Mesa, CA 92626 Ayres Hotel Costa Mesa 325 Bristol Street Costa Mesa, CA 92626 Newport Country Inn & Suites, Inc. 355 Bristol St., Suite A Costa Mesa, CA 92626 Newport Country Inn & Suites, Inc. 355 Bristol St., Suite A Costa Mesa, CA 92626 Best Western Plus Newport Mesa Inn 2642 Newport Blvd. Costa Mesa, CA 92627 James Hsuen & Shang-Pu Lee 2642 Newport Blvd. Costa Mesa, CA 92627 James Hsuen & Shang-Pu Lee 2642 Newport Blvd. Costa Mesa, CA 92627 Crowne Plaza 3131 Bristol Street Costa Mesa, CA 92626 Bright Bristol Street, LLC 3131 Bristol Street Costa Mesa, CA 92626 Bright Bristol Street, LLC 3131 Bristol Street Costa Mesa, CA 92626 Hilton 3050 Bristol Street Costa Mesa, CA 92626 Remington Lodging & Hospitality LP 14185 Dallas Parkway Suite 1100 Dallas, TX 75254 Ashford TRS CM LLC 14185 Dallas Parkway Suite 1100 Dallas, TX 75254 Hampton by Hilton Costa Mesa Newport Beach 2070 Newport Blvd. Costa Mesa, CA 92627 Narendra B. Patel 2070 Newport Blvd. Costa Mesa, CA 92627 Narendra B. Patel 2070 Newport Blvd. Costa Mesa, CA 92627 Marriott 500 Anton Blvd. Costa Mesa, CA 92626 Starwood Capital Group 591 West Putnam Avenue Greenwich, CT 06830 HEI Hotels & Resorts 101 Merritt 7 Corporate Park, 1 st Floor Norwalk, CT 06851 OC Hotel Costa Mesa 2430 Newport Blvd. Costa Mesa, CA 92627 SAI KSP INC. 11556 Manchester Way Porter Ranch, CA 91326 Sanjay Panchal 11556 Manchester Way Porter Ranch, CA 91326 Ramada Inn & Suites 1680 Superior Ave. Costa Mesa, CA 92627 B.D. Inn Inc./Ramada Ltd. 1680 Superior Ave. Costa Mesa, CA 92627 B.D. Inn Inc./Ramada Ltd. 1680 Superior Ave. Costa Mesa, CA 92627 Residence Inn by Marriott 881 Baker Street Costa Mesa, CA 92626 Marriott International 10400 Fernwood Rd. Bethesda, MD 20817 Legacy Strata 11301 West Olympic Blvd. #121-467 West Los Angeles, CA 90064 The Westin South Coast Plaza 686 Anton Blvd. Costa Mesa, CA 92626 Host Hotels & Resorts 6903 Rockledge Dr. Suite 1500 Bethesda, MD 20817 Secon Properties 3315 Fairview Rd. Costa Mesa, CA 92626 08 Travel Trends As we review the upcoming calendar year, American travel sentiment remains under close observation. One of the tools TCM uses is the State of the American Traveler survey from Future Partners. A survey conducted in mid-January included 4,000 leisure travel respondents from four regions of the country. Overall, Americans remain cautious about the economy but are committed to travel, with 34.8% saying now is a good time to spend. Additionally, 58.5% plan to prioritize travel in the next three months, up 4.3 points since January 2025. Travel budgets have increased as are trip volume. For 2026, the projected number of trips is 4, up from 3.7 last year. The overall travel budget is over $6,400, a record. Key Takeaways Anticipated Leisure Travel Trends (2022–2026) Average Number of Trips Per Year Maximum Anticipated Travel Budget (trip is dened as 50+ miles from home) Trend: Strong upward growth in travel spending expectations Trend: Steady year-over-year growth in planned trips Travelers plan to take ~25% more trips from 2022 to 2026 Maximum travel budgets increase by ~55% over the same period Budget growth is outpacing trip growth, suggesting: Higher travel costs Preference for premium experiences Inﬂation impact 0 1 2 3 4 2022 2023 2024 2025 2026 $0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 $7,000 2022 2023 2024 2025 2026 $4,150 $4,500 $5,200 $5,900 $6,453 3.2 3.4 3.6 3.8 4.0 09 10 U.S. Travel Association TCM is a member of the U.S. Travel Association, a non-proﬁt representing all travel sectors. It serves as the industry's voice, addressing key issues and promoting travel as vital for economic growth. TCM beneﬁts from reporting tools, education, networking, and other resources. Performance: Build a Future-Ready Association 2026 Core Initiatives Identity: Elevate Travel’s Stature Advocacy: Advance Policies That Enable Growth Value: Strengthen Member Return on Investment Reducing friction and preventing damage requires promoting pro-growth policies that boost international inbound travel, stopping actions that deter visitors, and building support among policymakers. Modernize infrastructure, security, and regulations to ensure the travel system remains globally competitive. Operating as a disciplined, high-performing association—modernizing systems, focusing resources where they deliver impact, and building a resilient team able to execute at scale. Delivering actionable intelligence, connections and programs that help members navigate change and grow—through timely data, high-impact gatherings and a more personalized, modern member experience. Shape the perception of travel in America and globally, engaging policymakers, partners, and the public to ensure travel’s impact is considered before decisions are made. $ U.S. Travel Forecast-Fall 2025 Domestic leisure travel remains strong, with 1.9 billion trips expected in 2025, up 2.0% year over year. The domestic leisure segment boosts travel spending, with a forecasted gain of 3.3% in 2025 to reach $906 billion. Business travel is forecasted to reach $286 billion in 2025 and is set to lead domestic growth between 2027 and 2029. Group travel will grow at a faster rate than transient travel, averaging 4.3% versus 4.0% per year. International visits are projected to return to 2019 levels by 2029 (81.9 million visits), with growth driven by major events like the 2026 World Cup, America 250 celebration, and the 2028 Olympics. Source: Tourism Economics, U.S. Travel Association Source: Tourism Economics, U.S. Travel Association U.S. hotel performance shows modest overall growth. Supply is expected to steadily increase through 2026, while demand dipped in 2025 but is forecasted to slightly rebound in 2026. Occupancy continues to decline gradually, ADR growth remains moderate, and RevPAR is projected to recover modestly in 2026 after a dip in 2025. U.S. Hotel Forecast Domestic Person Trips in the U.S. (Millions) Domestic Trips U.S Inbound Visitors (Thousands) International Trips As of January 2026 Year-over-year % change 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 TOTAL VISITS 79,442 19,212 22,280 50,771 66,350 72,390 67,866 70,404 74,382 78,120 81,900 % Change year-over-year -75.8% 16.0% 127.9% 30.7% 9.1% -6.3% 3.7% 5.6% 5.0% 4.8% % Change relative to 2019 24% 28% 64% 84% 91% 85% 89% 94% 98% 103% FORECAST 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 TOTAL 2318.0 1582.0 2021.0 2252.3 2307.6 2359.4 2403.3 2450.4 2508.6 2567.4 2624.3 % change -31.8 27.8 11.4 2.5 2.2 1.9 2.0 2.4 2.3 2.2 BY PURPOSE Business 463.9 181.3 249.5 370.9 413.1 436.0 442.4 451.2 463.3 475.4 487.2 % change -60.9 37.6 48.6 11.4 5.5 1.5 2.0 2.7 2.6 2.5 Leisure 1854.1 1400.6 1771.4 1881.4 1894.5 1923.3 1960.9 1999.1 2045.3 2092.0 2137.1 % change -24.5 26.5 6.2 0.7 1.5 2.0 1.9 2.3 2.3 2.2 FORECAST 2024 Actual 2025 Actual 2026 Forecast Supply 0.5%0.7%0.7% Demand 0.6% -0.5%0.4% Occupancy 63.0% 62.3%62.1% ADR 1.8%0.9%1.0% ReVPAR 1.9% -0.3%0.6% 11 Visit California The state’s premier destination marketing organization, Visit California (VCA), has secured a six-year extension with over 98% industry approval to continue promoting visitation to the Golden State. VCA remains committed to investing in innovative initiatives that elevate the economic impact of tourism, driving growth and showcasing California's unparalleled appeal. Excitement for FIFA26 World Cup™ is building, with fourteen matches scheduled in California at SoFi and Levi's Stadium in the San Francisco Bay Area. Additionally, LA28 and the Paralympic Games will take place across various locations in the state, including events in Orange County and Long Beach, further highlighting California's prominent role in upcoming major international sports. According to Tourism Economics’ October forecast, California’s total visitor volume is projected to increase by 0.8% in 2025, adding approximately 2.1 million visits, bringing the total to 271.6 million. Visitation growth is expected to accelerate to 1.7% in 2026. Visitor spending is forecasted to reach $158.6 billion in 2025 and grow an additional 4.2% to $165.2 billion in 2026, reﬂecting continued gains in travel demand and economic impact statewide. Consumer sentiment regarding international leisure travel has stabilized recently in Visit California’s 13 priority markets. However, cost remains the main barrier. Year over year, intent to visit the U.S. and California has declined, especially among Canadian (political tensions, trade, and the weak Canadian dollar) and European markets. 264.1 2023 2024 2025 2026 2027 2028 2029 1.9%2.0%0.8%1.7%2.6%2.6%2.4% 269.5 271.6 276.1 283.3 290.5 297.6 Forecast California Visitation Forecast The chart below shows the current visitation forecast (domestic and international) and annual growth rate. Total Visitation (millions) YOY% Change 2023 2024 2025 2026 2027 2028 2029 7.2%3.0%0.8%4.2%4.5%4.1%4.3% $152.7 $157.3 $158.6 $156.2 $172.6 $179.6 $187.3 Forecast California Spending Forecast The chart below shows the current travel spending forecast (domestic and international) and annual growth rate. Total Spending (billions) YOY% Change 12 Costa Mesa Hotel Performance Update In the ﬁrst half of TCM's ﬁscal year and at calendar year-end, occupancy rates and average daily rates grew, resulting in an overall increase in RevPAR. The new calendar year is off to a steady start, with occupancy slightly up, driven by group business. As the summer looks promising, renovations by some of our partners may displace some business towards the end of the calendar year. California Airport Numbers California airport throughput (number of passengers screened under expedited and standard screenings) decreased 2% to 215.6 million in 2025 compared to 2024. Trafﬁc counts represent 10 commercial airports, which include domestic and international passenger trafﬁc. The domestic year-over-year change accounts for a 1% decrease, and international passenger trafﬁc remained unchanged. Airline passenger trafﬁc at John Wayne Airport, Orange County, increased by 2.5% in 2025, reaching over 11.3 million passengers. October, November, and December saw the largest percentage gains during the year. The airport ranks #1 in Customer Satisfaction among large airports in the J.D. Power 2025 North America Study for the second consecutive year. 13 TOTAL 2025 2024 YOY % change January 15,668,923 15,697,415 0% February 14,341,849 14,953,150 -4% March 17,434,379 17,670,880 -1% April 17,734,772 17,740,047 0% May 18,994,856 19,113,002 -1% June 19,954,080 19,957,375 0% July 20,646,984 20,822,207 -1% August 19,406,379 19,902,714 -2% September 17,474,756 18,034,193 -3% October 18,813,147 18,969,181 -1% November 17,015,175 17,455,654 -3% December 18,184,377 18,785,264 -3% YTD *215,669,677 219,101,082 -2% *As of Feb. 4, 2026 reported to VCA by individual airports within the state. Monthly ﬁgures may not sum to YTD totals due to data revisions. JAN - DEC 2025 OCCUPANCY AVERAGE DAILY RATE United States 62.3% -1.2% LY $160.54 +.09% LY California 67.1% +.3% LY $190.74 +1.2% LY Orange County 72.2% +.8% LY $209.80 +.9% LY Costa Mesa CoStar Group 76.5% +1.2% LY $177.12 +1.3% LY Marketing Fiscal Year 2025–2026 was a deﬁning year for Travel Costa Mesa as we elevated the city’s identity through authentic storytelling. By highlighting its makers, performing arts, signature events, culinary scene, and creative community, we showcased Costa Mesa from the inside out. Embracing our role as a coastal-adjacent cultural hub strengthened our competitive position and increased awareness among high-value travelers. Storytelling served as the throughline across paid, owned, and earned channels. From brand campaigns and creator partnerships to media relations and social content, each effort worked together to present a cohesive narrative rooted in accessibility, creativity, and unexpected richness. This integrated approach ensured that Costa Mesa was not only seen but understood. Paid campaigns drove more than 13,000 attributed room nights and generated $9.1 million in enriched hotel revenue. Average length of stay increased 22% year over year, from 2.2 to 2.7, signaling deeper engagement as visitors explored more of the destination’s experiences and cultural touchpoints. A TripAdvisor brand lift study also demonstrated meaningful gains in awareness among high-intent travelers ages 18–34, a critical audience for sustained growth. Expanding visibility through targeted engagement with key segments, including LGBTQ+ travelers, led to impactful earned media and strong audience engagement. These efforts boosted Costa Mesa’s visibility, brought economic beneﬁts, and strengthened its reputation as a vibrant, welcoming, experience-rich destination. Key Initiatives Travel Costa Mesa implemented a focused strategy designed to sustain awareness, drive consideration, and convert visitation when travel intent is high. Each initiative was rooted in research, data, and aligned with measurable economic impact for the city. 14 Always-On PaidMarketing Strategy Storytelling Across theTraveler Journey Leveraging theVisit California Co-Op A key priority this ﬁscal year was implementing an always-on paid media approach anchored by two branded campaigns. This structure enabled scalable efforts and efﬁcient resource allocation based on seasonal demand and identiﬁed need periods, supporting both awareness-building and conversion. Research indicates that TCM’s target travelers plan their trips between two weeks and four months in advance. Maintaining a consistent presence throughout the year ensures Costa Mesa remains top of mind during the inspiration, planning, and booking phases of the travel journey. Storytelling continued to guide all marketing efforts across leisure, social, meetings, paid, and earned media. By aligning messaging across channels, we met audiences at every stage of their journey while consistently reinforcing Costa Mesa’s cultural depth and unique experiences. Fresh content, curated itineraries, and timely promotion of events encouraged deeper engagement and supported longer stays, increasing the average length of stay to 2.7 days vs 2.2 the year prior. This integrated approach strengthened our ability to attract high-value visitors seeking meaningful experiences while traveling. Travel Costa Mesa maximized its Visit California co-op partnership, extending our marketing reach by 25 percent. By aligning with the strength of the California brand while maintaining Costa Mesa’s distinct identity, we ampliﬁed awareness among high-intent travelers and increased efﬁciency in reaching qualiﬁed audiences. 15 segments. These audiences show strong familiarity with Costa Mesa and present meaningful opportunities to increase visibility and drive visitation growth. The key segments include the Luxury Traveler, Cultural Experiences Traveler, Urban and Routinized Traveler, and the LGBTQ+ Traveler. Each audience brings distinct motivations and travel behaviors, requiring tailored messaging and media placement aligned with their interests, habits, and preferred booking patterns. While priorities vary, all segments share commonalities: they seek memorable experiences, value family time, and prefer convenient planning. In California, shopping and beach access heavily inﬂuence decisions, highlighting Costa Mesa’s role as a coastal cultural hub with top retail and lifestyle options. Geographic targeting remained focused on high-performing and high-potential markets. Within Southern California, emphasis was placed on Los Angeles, Palm Springs, the Inland Empire, and San Diego. In ﬂy markets, Dallas, Las Vegas, and Phoenix continued to serve as priority cities for expanding overnight visitation and attracting travelers from more than 500 miles away which increased 2.7% over last year demonstrating how Costa Mesa has gained audience in key ﬂy markets. Guided by the previous year’s comprehensive audience study, TCM reﬁned its targeting strategy to focus on ﬁve priority traveler Key Audiences 16 Website Results 1,112,964 sessions 1% increase year over year 1,033,614 users 13% increase year over year27.12% engagement rate 1% increase year over year Feb. 2025 to Jan. 2026 Website Trac Drivers Display 32.52% of total sessions Referral 22.40% Paid Search 19.45% Direct 8.24% Organic Search 5.27% Website Top Geos:Percentage of total users California 22.25% Colorado 5.72% New York 5.56% Texas 5.54% Washington 3.15% Website Top Pages:Percentage of Views 11.04% Plan Your Visit 10.10% Hispanic Heritage Month (Blog) 7.15% Homepage 7.15% Costa Mesa Unlocked; Revealing Experiences You Won’t Find Anywhere Else (blog) 6.47% Pool Floats and Ocean Waves Chase Sunshine in Costa Mesa (blog) 17 18 Campaigns Sun-Soaked Campaign March 2025- August 2025 Sun-Soaked: A Season of Sensory Discovery The spring and summer brand campaign, Sun-Soaked, invited travelers to experience Costa Mesa as Southern California’s best-kept secret — vibrant, beach-close, and overﬂowing with ways to awaken the senses. Built around three messaging pillars — sunshine, food, and activities — the campaign highlighted the sights, smells, and tastes that deﬁne a stay in our city. Sun-Soaked positioned Costa Mesa as a destination rich with energy and endless sensory experiences. 49M+ Impressions 807K Website Sessions 16,851 Hotel Room Nights Uncommon Ground Campaign October 2025 – January 2026 Uncommon Ground The second brand campaign, Uncommon Ground, shifted the narrative from planning to presence. In a world where travel can feel overwhelming and overly curated, Costa Mesa positioned itself as the antidote. It simply asks you to arrive and discover what unfolds next. Building on the bold creative approach established in Sun-Soaked, this campaign focused on culture, shopping, and shared meals. From inspiring arts and distinctive retail to gathering around the table with friends and family, Uncommon Ground invited visitors to experience Costa Mesa in a way that feels natural, effortless, and richly rewarding. 18K+ Impressions 57K Website Sessions 11,359 Hotel Room Nights 11.04% Plan Your Visit10.10% Hispanic Heritage Month (Blog) 7.15% Homepage 7.15% Costa Mesa Unlocked; Revealing Experiences You Won’t Find Anywhere Else (blog) 6.47% Pool Floats and Ocean Waves Chase Sunshine in Costa Mesa (blog) 19 Trip Advisor, Always On 11 Miles from Everything Campaign The TripAdvisor–branded hub campaign, 11 Miles From Everything, elevated awareness of Costa Mesa as a culturally rich destination that places visitors within easy reach of everything they want to experience in Southern California. Through storytelling rooted in accessibility, authenticity, and unexpected depth, the campaign positioned Costa Mesa as a smart and intentional choice. With vibrant arts and culture, standout culinary experiences, premier shopping, and beach proximity all within minutes, the hub reframed the city from a pass-through location to a central home base for exploration. That boosted brand awareness by 6.1% and showcased the city as a place where visitors can immerse themselves in local culture. 5.2M+ Impressions 14K+ Clicks 20K+ Branded Hub views Meetings/Group Campaign Always On ARTmosphere The year-long meetings and group campaign, ARTmosphere, was designed to increase awareness of Costa Mesa as a compelling small to mid-size meetings destination. The campaign highlighted the city’s vibrant culture, positioning meetings here as experiences infused with creativity, energy, and inspiration. Through a strategic mix of display advertising, targeted email outreach, and retargeting, ARTmosphere reached planners where they actively seek ideas and venues. Placements with CALSAE, Meetings Today, and Google Search and Display ensured consistent visibility. Google Search 65K+ impressions, 4K+ clicks Google Display 992K impressions, 20K+ clicks MPI Display 156K+ impressions, CTR: 0.12% CAL SAE 60K+ impressions, average CTR: 0.58% Meetings Today 303K+ impressions, average CTR: 0.18% VCA Co-Op 5M+ Impressions 207K+ Clicks 15K Social Media Engagements $778K+ Total Economic Social Social-Driven Travel Decisions For Gen Z and Millennial travelers, inspiration begins with a scroll. Social platforms are not just sources of wanderlust, they are trusted planning tools that inﬂuence where to go, what to do, and what is worth the investment. Instagram and TikTok continue to shape destination discovery, with everyday creators serving as credible voices for recommendations, itineraries, and honest reviews. To meet this audience where they are, Travel Costa Mesa partnered with 12 primarily micro-content creators representing diverse industries, interests, and cultural perspectives. With highly engaged audiences and relatable storytelling, their experiences in Costa Mesa delivered authentic, impactful content that resonated with today’s socially driven traveler. INSTAGRAM Follower Count: 23,067 (+19.31% YOY) Engagement Stats: 4,544,632 (+37.14% YOY) TIKTOK Follower Count: 2,787 (+56.93% YOY) Engagement Stats: 218,809 FACEBOOK Follower Count: 7,996 (+0.33% YOY) Engagement Stats: 12,044 LINKEDIN Follower Count: 2,556 (+11.08% YOY) Engagement Stats: 5,889 (+26.10% YOY) 20 In-House Campaigns Through a dedicated Creators Weekend in partnership with the Black Travel Alliance, six creators from across the country experienced Costa Mesa ﬁrsthand, highlighting why the destination belongs on the radar of Black travelers. The program generated 189 social posts, videos, and stories, signiﬁcantly amplifying awareness and extending Costa Mesa’s reach to new audiences nationwide. Travel Costa Mesa partnered with content creators from key drive markets, including Los Angeles and San Diego, as well as trusted voices within the LGBTQ+ community, to authentically showcase the destination’s welcoming and inclusive spirit. Through curated experiences and personal storytelling, these creators highlighted the city’s vibrant culture, culinary scene, shopping, and arts offerings while reinforcing Costa Mesa as a place where all visitors can feel seen, celebrated, and inspired to explore. Top 5Performing Reels (Total as of March 2nd2026) TotalImpressions: 100,000 Total Views: 88,000 Total Views:685,062 TotalEngagements:12,853 Easy SoCal Road Trip Destination: 492,204 Views Third Places in Costa Mesa: 433,303 Views Coastal Cowboy Itinerary in Costa Mesa: 334,775 Views Fun Date Ideas ThatAren’t Dinner: 229,288 Views Queer-Friendly Itinerary in Costa Mesa: 166,728 Views Black Travel Alliance Other In-House Campaigns 21 Public Relations How do you capture attention in a media landscape rapidly adapting to the rise of generative artiﬁcial intelligence? As trust in traditional search results declines, information seekers are increasingly turning to credible, human sources for answers they can rely on. Public relations plays a critical role in this shift. As an intentional communications strategy, it delivers veriﬁed, expert-driven storytelling in an authentic and accessible voice. By building meaningful relationships with media and fostering community connection, public relations cuts through the noise, elevates Costa Mesa’s narrative, and earns the attention today’s travelers value most. 46 unique media mentions 179 articles 329.86M estimated media impressions 10 content creatorshosted 5journalistshosted Travel Costa Mesa used the power of connection and community to shine a light on Costa Mesa as a coveted travel destination.Costa Mesa’s culture, location, and cuisine were recurring themes in earned media coverage.Headlines like “This Southern California City is the New Go-To Hub for Family Travel”appearing onMSN.comandProbetheGlobe.comtouted the beneﬁts of Costa Mesa’s location within Southern California. Costa Mesa’s unique cultural appeal was highlighted on television byGood Day LA, encouraging viewers to visit Costa Mesa over Spring Break to attend OC Japan Fair.The New Yorkereven called out Costa Mesa’s Mercado Gonzalez, calling it an “upscale Disneyland of a Mexican food hall.” 22 Travel Costa Mesa saw clear results from a strategic initiative to promote business travel.“Classic OC: Bright Skies, and Even Brighter Meetings” appearing inSmartMeetingsMagazineshowedthe value of Costa Mesa as an ideal location formeetings.Meetings Todaycovered Costa Mesa as a group destination with print and digital articles titled “Costa Mesa Lures Meetings to Its Engaging ‘ARTmosphere.’”Modern Luxurytook note of Costa Mesa’s hotel properties in its 2025 Luxury Travel Awards, andSmall Market Meetingsdetailed how Costa Mesa’s culture stands out in Orange County. Travel Costa Mesa continued to leverage the strength of its welcoming community by hosting seven familiarization trips with writers, freelancers, and media professionals. These immersive experiences allowed storytellers to engage with the destination ﬁrsthand, resulting in authentic coverage grounded in personal experience. Targeted outreach to LGBTQ+ journalists and content creators further elevated awareness and intent among LGBTQ+ travelers. Coverage from outlets including EveryQueer.com featured stories such as “15 Restaurants You Need to Try in Costa Mesa” and “Costa Mesa: Orange County’s New Queer Capital,” while QueerGirlTravel.com highlighted the destination in “Costa Mesa’s Gay Girls Guide,” reinforcing the city’s reputation as an inclusive and vibrant place to visit. Meet Costa Mesa’s Business Culture Bringing the story of Costa Mesa 23 Current & Upcoming Projects As Travel Costa Mesa looks ahead, several initiatives will further strengthen our marketing infrastructure, expand our reach, and deepen our ability to measure and communicate the city’s tourism’s economic impact. Each project reﬂects a strategic investment in long-term destination growth. In June 2026, Travel Costa Mesa will launch a fully redesigned and modernized website, built to enhance user experience and ensure the destination remains competitive in an increasingly digital and AI-driven landscape. The objective of the redesign is to optimize the visitor journey from initial inspiration through in-market engagement. The new platform will incorporate AI-optimized content capabilities, improved search functionality, and a ﬂexible architecture that enables the organization to quickly adapt messaging to seasonal priorities, events, and need periods. This investment ensures that Travel Costa Mesa remains top of mind and easily accessible to high-intent travelers seeking relevant and timely information. The updated design will also provide greater long-term ﬂexibility, enabling the organization to leverage emerging technology and maintain best-in-class digital standards well into the future. New Website Launch: June 2026 24 In June 2026, Southern California will welcome the FIFA World Cup, creating a signiﬁcant opportunity to capture incremental visitation tied to this global event. To strategically leverage the anticipated inﬂux of domestic travel, Travel Costa Mesa has partnered with Expedia on the “Come for Soccer, Stay for SoCal” campaign. This initiative targets domestic travelers booking trips to Southern California during the tournament period. The campaign utilizes both onsite Expedia placements and offsite audience targeting to drive qualiﬁed trafﬁc to a dedicated Southern California hub page featuring Costa Mesa. Supporting efforts across owned channels and landing pages will further position Costa Mesa as an ideal place to extend a stay beyond match days. With LA28 on the horizon Costa Mesa is well positioned as a hub with easy access to all that SoCal has to offer during the games. At the close of 2026, Travel Costa Mesa will once again engage Tourism Economics to produce an updated Economic Impact Report for calendar year 2025. The previous report, completed for 2023, provided valuable data that reinforced the role tourism plays in supporting Costa Mesa’s local economy. The 2025 report will analyze paid marketing performance, hotel booking data, credit card spend, mobile location data, and government and census data to calculate the total economic contribution of tourism to the city. This comprehensive analysis offers third-party validation from respected economists and ensures transparency in measuring the return on investment of tourism marketing efforts. The completed report will be shared with city leadership, hotel partners, board members, and regional stakeholders, reinforcing the measurable value that visitor spending brings to Costa Mesa’s businesses, workforce, and broader community. FIFA 2026 Partnership with ExpediaCampaign Period: February 2026– July Tourism Economics 2025 Impact Report 25 Group Sales Travel Costa Mesa’s competitive advantage lives beyond the ballroom.World-class arts and culture, premier boutique and luxury shopping, and a vibrant culinary scene—with the Paciﬁc Ocean just minutes away—create an elevated experience for meeting attendees. In addition to its close proximity to John Wayne Airport, the city is highly walkable, allowing guests to easily explore its many attractions on foot. Consistently strong hotel service ensures groups are supported with the professionalism, responsiveness, and attention to detail planners expect.This combination positions Costa Mesa as the preferred destination in Southern California for small- to mid-size-group business. According to the February 2026 Northstar Meetings Group + Cvent PULSE Survey, group meeting expectations are tightening. Only 23% expect to produce more meetings in 2026, the lowest growth outlook in three years. Forty percent anticipate attendance declines of at least 10%. While face-to-face meetings are still seen as valuable and strategic, most are funded as cost centers rather than investments. Competitive Sales Trends 2% 29% 23%20% 18% 5% 3% Not-for-Proﬁt/Association/NGO Third Party/Independent Planner Professional Conference Organizer/Event Agency In-House Corporate Planner Exhibitions/Trade Show Organizer Government Sports Nothstar Meetings Group + Cvent Survey January 20-February 2, 2026 Markets Meeting Planner Surveyed Markets % of Total 472 Planner Responses 26 The organization will attend 14 nationwide tradeshows this ﬁscal year to boost awareness of Costa Mesa among meeting planners. The main challenge facing TCM is the lack of recognition of the city's location. These tradeshows aim to increase the number of group leads for our partners. These efforts contributed to the generation of 219 leads and 8,259 deﬁnite room nights booked at our partnering hotels. Familiarization (FAM) programs enhanced destination visibility by highlighting the value and experiences available to groups meeting in the city. TCM conducted 18 site visits in the ﬁrst half of the ﬁscal year, during which a hotel tour was held with a client for a current group opportunity or a future lead, coordinated either by hotel sales teams or arranged directly with planners based on their needs. TCM Stats FY 25.26 - TCM StatsQ1 & Q2 # OF DEFINITE ROOM NIGHTS BOOKED # OF LEADS RECEIVED # OF SITE VISITS CONDUCTED (AS OF 2/28/26) # OF FAMILIARIZATION TOURS (AS OF 2/28/26) 219 8,259 18 8 27 43 52 58 68 57 48 42 34 Fewer Planners Will Produce More Meetings Next Year Do you expect to produce more meetings in 2026 than you did in 2025? YES NO More meetings are coming, but fewer than the previous three years # o f P l a n n e r s February ‘26 February ‘25 February ‘24 February ‘23 FY 25.26 - TRADESHOWS 14 Shows Aended MONTH DATES EVENT LOCATION SNAPSHOT July-2025 8-9 Lamont Associate Exchange Summit Arlington TX Corp., & association, Govt. Planners August-2025 26-29 HPN Global Partner Conference Las Vegas, NV Corp., & association, Govt. Planners September-2025 16-18 Small Market Meetings Buffalo, NY Corp., & association, Govt. Planners October-2025 27-29 Connect West Lake Tahoe, CA Corp., & association, Govt. Planners November-2025 12-13 Visit California Meetings Road Show Chicago & Kansas City Corp., & association, Govt. Planners December-2025 1-3 Destination West Northstar College Station, TX Corp., & association, Govt. Planners December-2025 16-17 Associations West Seasonal Spectacular show Sacramento, CA CA & Oregon Association Planners Feb-2026 4-6 IPEC-Intl Planner Edu Connect Chandler, AZ Association, corp., incentive, not associated with 3rd party April-2026 13-16 19-22 27-30 Connect Spring Marketplace Destination West Northstar HelmsBriscoe Louisville, KY Boulder, CO Los Angeles Corporate meeting planners for + Association meeting planners U.S. Corp., & association, Govt. Planners Corp., & association, Govt. Planners May-2026 13-16 17-21 27-30 Visit California Roadshow ConferenceDirect Annual Partner Meeting Small & Boutique Meeting Northstar DC & Philadelphia Houston, TX Anchorage, AR Corp., & association, Govt. Planners Corp., & association, Govt. Planners All market Meeting Planners who focus on 100 rooms peak and lower 28 Orange County Spots Commission (OCSC) New OC Hotel Inventory Travel Costa Mesa maintains a strong partnership with the Orange County Sports Commission (OCSC), the primary driver of sports-related group business in Orange County. OCSC’s mission is to strengthen the region’s economic, social, and cultural vitality through sports tourism. Its members include OC Fair & Event Center, Anaheim Ducks, City of Mission Viejo, OCVIBE, John Wayne Airport, Visit Dana Point, and Visit Anaheim. Through the end of the second quarter of the current ﬁscal year, OCSC generated 6 leads, 7,941 potential room nights for Travel Costa Mesa, resulting in one conﬁrmed booking for 655 rooms. However, limited venue availability and ﬁeld restrictions within the city continue to present challenges in securing sports business but pose a great opportunity for the city. The Westin South Coast Plaza Total Hotel Renovation • Late 2026 • Due for completion 2027 Residence Inn Costa Mesa Newport Beach Full Room Renovation • Begins mid-April 2026 – December 2026 • 1 building down at a time (8 rooms per building) Road House Hotel (Anaheim) Construction starting soon: A 6-story, 125-room hotel located at 1730 S Clementine St., roughly a 20-minute walk from Disneyland Resort. It will feature a rooftop pool and bar. Mariner’s Village (Dana Point) While the two main harbor hotels (Dana House and Surf Lodge) are targeted for 2027–2028, the commercial core of the Dana Point Harbor Revitalization is slated for completion by the end of 2026, featuring new waterfront retail and dining. Nickelodeon Hotel & Resort (Garden Grove) Opening TBD/estimated date 2028 - 500 rooms & 9,500 sq ft of meeting space. Home2 Suites by Hilton (Irvine) 172 rooms under construction and due to deliver late 2026. Hotel Renovations & OC Projects Costa Mesa Hotel – Upcoming Renovations 29 Lorem ipsum 30 EXECUTIVE COMMITTEE Steve Yannarell CHAIRPERSON, GENERAL MANAGER, The Westin South Coast Plaza Susan O’Brien Moore VICE PRESIDENT, GENERAL MANAGER, Ayres Hotel Costa Mesa Sue Cooke TREASURER, GENERAL MANAGER, Residence Inn by Marriott Cecilia Gallardo-Daly SECRETARY, CITY MANAGER, City of Costa Mesa DIRECTORS Kevin Schjei GENERAL MANAGER, Avenue of the Arts, A Tribute Portfolio Hotel Naj Ekhlas GENERAL MANAGER, Best Western Plus Annie Hsu GENERAL MANAGER, Crowne Plaza Jeannie Blue GENERAL MANAGER - VP OF OPERATIONS, Hampton By Hilton Costa Mesa Newport Beach Gisela Saarikoski GENERAL MANAGER, Hilton Nimisha Solanki GENERAL MANAGER, OC Hotel Costa Mesa Hugo Barba GENERAL MANAGER, Marriott Patricia Obert GENERAL MANAGER, Ramada John Stephens MAYOR, City of Costa Mesa ADVISOR Brian Chuan SENIOR DIRECTOR OF INTERNATIONAL & DOMESTIC MARKETS, South Coast Plaza David Haithcock PRESIDENT & CEO, Costa Mesa Chamber of Commerce James Canﬁeld CEO, OC Fair & Event Center STAFF Paulette Lombardi-Fries PRESIDENT Anne-Marie Schiefer VICE PRESIDENT OF MARKETING Chris Nuccio CMP, DESTINATION SALES EXECUTIVE Jessica Placentia OPERATIONS MANAGER Jasmine Avalos SOCIAL MEDIA AND CONTENT MANAGER Macie Rae Brady MANAGER OF PUBLIC RELATIONS travelcostamesa.com