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HomeMy WebLinkAbout02-47 - Levying an Annual Assessment for FY 2002-2003 for Business Improvement AreaRESOLUTION NO.�q- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, LEVYING AN ANNUAL ASSESSMENT FOR FISCAL YEAR 2002-2003 FOR A BUSINESS IMPROVEMENT AREA UPON CERTAIN COSTA MESA HOTELS AND MOTELS. A. WHEREAS, the California Legislature, in adopting the Parking and Business Improvement Area Law of 1989 (Streets & Highways Code Sections 36500 et seq.), found that cities are authorized to levy assessments on businesses in order to promote economic revitalization and tourism, to create jobs, attract new businesses and prevent the erosion of business districts; and B. WHEREAS, on July 5, 1995, by Ordinance No. 95-9, the City Council adopted a business improvement area, now known as the Costa Mesa Tourism & Promotion Business Improvement Area ("BIA"), the purpose of which is to promote tourism to the City of Costa Mesa and to fund programs and activities that benefit the hotel and motel businesses within the City; and C. WHEREAS, the City Council has continued the special assessment for the BIA each year since its inception that has been levied upon the seven hotel and motel businesses listed on Exhibit A, attached hereto and incorporated herein by this reference; and D. WHEREAS, in January, 2000, the Costa Mesa Conference & Visitor Bureau requested, and the City Council approved, raising the assessment from one percent (1 %) to two percent (2%), which is based on the sale of overnight room stays; and E. WHEREAS, on May 6, 2002, the City Council adopted Resolution No.02-32, entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, DECLARING ITS INTENTION TO LEVY AN ANNUAL ASSESSMENT FOR FISCAL YEAR 2002-2003 FOR A BUSINESS IMPROVEMENT , AREA COVERING CERTAIN COSTA MESA HOTEL'S AND MOTELS AND SETTING THE TIME AND PLACE OF A PUBLIC HEARING ON PROPOSAL"; and F. WHEREAS, at its meeting on May 6, 2002, the City Council of the City of Costa Mesa approved the 2002 Annual Report for the BIA prepared by the Costa Mesa Conference & Visitor Bureau submitted on May 6, 2002, and such report, attached hereto as Exhibit "B" and incorporated herein by this reference, was reconsidered at the public hearing at which this Resolution was adopted; and G. WHEREAS, on June 17, 2002, in the Council Chambers of City Hall, 77 Fair Drive, Costa Mesa, California, a public hearing Was held concerning the annual assessment for the BIA and no protests of the proposed assessment were filed or presented; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Costa Mesa as follows: 1) An assessment for the Costa Mesa Tourism & Promotion Business Improvement Area is hereby established for fiscal year 2002=2003 pursuant to Streets & Highways Code Sections 36500 et seq. The boundaries of the BIA are the boundaries of the City of Costa Mesa and only the seven motels and hotels listed in Exhibit A shall be subject to this assessment. 2) The amount of the annual assessment on the businesses shall be computed using the following formula: two percent (2%) of the gross revenue from the sale of hotel overnight guest room stays. New hotel and, motel businesses commenced after the effective date of this Resolution will be exempt from the levy, pursuant to Streets & Highways Code Section 36531 and Section 36535. 3) ,The business owners shall pay the assessment to the Costa Mesa City Finance Department on a monthly basis. 4) The method and basis of levying the assessment to allow each business owner to estimate the amount of the assessment to be levied against his or her business is set forth in Exhibit B. 5) The types of activities to be funded by this assessment are specified in the Annual Report in Exhibit B which is hereby confirmed as originally filed. 6) Each business owner (hotel/motel) shall separate the BIA assessment from the Transient Occupancy Tax on their guest billing statements. The specific term "Business Improvement Assessment" shall be included on the billing to identify the assessment amount. BE IT FURTHER RESOLVED that the City Council of the City of Costa Mesa, California, by this Resolution, does hereby levy the assessment for fiscal year 2002-2003 on the owners -of the seven businesses within the Costa Mesa Tourism & Promotion Business Improvement Area. PASSED ,AND ADOPTED this 17th day of Jun , 200 /v Mayor of the City of Costa Mesa ATTEST: Depbty City Cferk of th7y of Costa: sa STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF COSTA MESA ) APPROVED AS TO FORM CITY ATTORNEY I, RUTH DELANEY, Acting Deputy City Clerk and ex -officio Clerk of the City Council of the City of Costa Mesa, hereby certify that the above and foregoing Resolution No.was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on the 17th day of June, 2002. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of the City of Costa Mesa this 18th day of June, 2002. Deputy City C rk and ex- . icio Cler f the City Council of the of Costa Mesa EXHIBIT B Exhibit B consists of the annual report submitted by the Costa Mesa Conference & Visitor Bureau; also referenced in the staff report as Attachment B. EXHIBIT "B" Costa. Mesa The Best Of Southem CaVomia. 2002-2003 Annual Report & Visitor Bureau May 6, 2002 acting as Costa Mesa Tourism and Promotion BIA Msta Mesa •'u• Boa, 11 <, �,;ihrrn l aidi,rn:•i May 6, 2002 City of Costa Mesa 77 Fair Drive Costa Mesa, California 92627-6520 Dear Council Members: In accordance with the provisions of the Business Improvement Area (BIA) we submit for your approval the Annual Report of the Costa Mesa Conference & Visitor Bureau (CMCVB),,now in its seventh year of operation. The Costa Mesa CVB. was established to increase awareness of Costa Mesa as a visitor destination with the goal of increasing awareness, hotel occupancy, travel spending, -tax revenues and further contributing -to the growth of the local economy. This past year the Costa Mesa CVB expanded its scope and influence. The Bureau "team" includes the seven hotel General Managers, four employees managing the day to -day operations, the creation of marketing materials and sales efforts. Pittman & Associates implements public relations and the 2001 advertising placement. Beginning January 2002 Marshall Advertising has created and implements the new advertising campaign. Lamas Accounting manages the financial details. The seven General Managers in conjunction with Councilwoman Linda Dixon and Allan Roeder, City Manager have met regularly, without compensation, to further the image and economic development of Costa Mesa as a destination. The required contents of the Annual Report as detailed in Section 36533 of the Streets and Highway code. The format is as follows: 1. Proposed changes in the boundaries of the Business Improvement Area or in any benefit zones within the area. The Advisory Board recommends that the entire city continue to be included in the benefit zone. Further, the Advisory Board recommends that the number of properties included in the boundaries remain the same. If additional properties wish to participate, they are invited to attend meetings the year before Pagel of 10 f.nera Mesa Conference & Visitor Bureau • P.O. Box 5071. Costa Mesa, California Q26?..R_;07i assessment, be in good standing with the City of Costa Mesa and meet certain AAA quality standards. 2. The improvements and activities to be provided for the Fiscal Year. The Advisory Board recommends that the 2% assessment levy on the sale of hotel overnight guest room stays continue to be used to fund tourism activities for the hotels. During the seventh year, the Costa Mesa Conference & Visitor Bureau focused on generating leisure and group business for the hotels. The Bureau has accomplished the following projects and programs: Marketing Materials The marketing "package" includes a destination brochure, rack card (English, Spanish & Portuguese), hotel and dining brochures, Quarterly Calendar of Events and CD Rom. Distribution: travel writers, hotels, the City of Costa Mesa, Costa Mesa Chamber of Commerce, inquiries and meetings booked in the hotels. "Gift From Us To You" The "Gift From Us To You" includes 24 special restaurant, arts and retail offers that reinforce the many amenities in Costa Mesa, provide additional value to the guest and also generates additional business for the certificate participants at no cost to them. Distribution: hotel guests. Promotional Items Key to the City, "From Goat -Hill to City of the Arts: The History of Costa Mesa' by Robert Wilson, polo shirt; paper cube, candies, 10 Year Calendar and tote on the rope. Distribution: hotels sales departments, guests, VIPs and the City of Costa Mesa. Web Site (www.costamesa-ca.com) The web site address is included on all advertising and marketing materials. The site is updated monthly as needed with "Hot Dates Hot Rates", Quarterly Calendar of events and special hotel packages. , 3.5 million hits and average visits weekdays 12,897 211,000 page views United States visits 86.4% International visits 2.86% ( Top three visits from Canada, United Kingdom and Japan) #1 page visited: Hospitality/Meeting and Facilities #2 page visited Events Page 2 of 10 Telephone/Business Reply Inquiries The 800# Hotline -Answer Network received more than 3500 inquiries. Fulfillment is done in-house. Business Reply Inquiries (July 2001 - March 2002): Over 68 group meeting inquiries were received from advertising in Meetings in the West magazine and were contacted by the CVB and the hotels. Inquiries received from magazine and newspaper advertising: California: Southern: 3300 Central: 756 North: 1379 Arizona: 756 Nevada: 1379 United States: 11,347 The top 8 states (5018) include: New York, Pennsylvania, Florida, ' Ohio, Michigan, Illinois, Texas and Washington. International: 784 The top four countries include: Argentina, Australia, United Kingdom and Canada. Over 100 e-mail inquiries were received and gradually continue to increase. All inquiries from California, Arizona and Nevada are input into a database that enables the hotels and the Bureau to. implement direct mail promotions to targeted audiences. Advertising During Fiscal Year 2001/2002 the Bureau implemented an aggressive print and radio advertising campaign with more than over 27 million exposures. The campaign continues to position Costa Mesa as "The Best Of Southern California," reinforcing a highly desirable location offering a variety of amenities includes each hotel and reservation number and a call to action. Target markets: Los Angeles, Phoenix/Tucson, Palm Springs and San Francisco. Due to the events on September 11, the Bureau implemented a print and public relations campaign targeting the "drive-in" leisure travel and corporate meetings in Orange County, Inland Empire, San Diego and Los Angeles. Page 3 of 10 Consumer/General Magazines Sunset Travel & Leisure (March 2002 - 3,264 inquiries) Las Vegas Life Los Angeles Magazine Palm Springs Life Food & Wine (April 2002 - 224 inquiries) Trade Publications (In house ad insertions saved over $20,211 annually in commissions.) Anaheim/Orange County Visitors Guide (receive inquiries) World Travel Guide (Europe) 2001 California Visitors Guide (January - March 2002 - 444 inquiries) Anaheim Meeting & Convention Planning Guide Meetings West Successful Meetings Meetings & Conventions The Meeting Professional Western Association News Meeting in the West (receive leads for meetings) HSMAI Affordable Meetings Sourcebook La Cumbre Directory , Meeting Planners International Directory (Orange County & Northern California) National Business Travel Association Convention Resource Guide National Business Travel Association California edition Business Journals Orange County Business Journal Los Angeles Business Journal San Diego Business Journal Riverside Business Journal Newspapers Los Angeles Times Travel Section (February 2002 - 161 inquiries) Orange County Register San Francisco Chronicle Arizona Republic Phoenix Republic Fresno, Sacramento & Modesto Bees Bakersfield California San Bernardino News Tucson Star Citizen Los Angeles Newspaper Group (L.A. Daily News, Long Beach Press Telegram, Pasadena Star -News, San Gabriel Valley Tribune, Whittier Daily News, Inland Valley Daily Bulletin, Redland Daily Facts & San Bernardino Sun) Page 4 of 10 Other Media California Department of Tourism website Radio stations in southern and central California Public Relations Press releases and media kits sent to more than 200 travel and business media, in addition to domestic and international travel writers at POW WOW, La Cumbre, Society of America Travel Writers with press releases in English, Spanish and Portuguese. Target Marketing/Advertising De -stress for Less (January -March 2002) The Bureau'offered a rate driven promotion and advertised in the Los Angeles Times Sunday Travel Section. Room nights generated: 209 Room Revenue generated: $17,491.00 "Beat the Heat Promotion". (May -September) The "Beat the Heat" summer campaign targeted. travelers from Phoenix, Tucson, Palm Springs, and southern and central California via airline and travel magazines, Sunday newspaper travel sections and radio. Room nights generated: 549 Room Revenue Generated: $50,891.00 UPG Sports The Costa Mesa CVB continued sponsoring (two year commitment) UPG Sports Tournaments held at venues in Irvine and Costa Mesa from May through July 2001. All CVB hotels offer special UPG rates and room blocks over this time period. Room nights generated: 1037 Room Revenue generated: $80,027.00 Costa Mesa/Orange County Classic Jazz Festival Costa Mesa CVB sponsored the Second Annual Jazz Festival. Room nights generated: 1751 Room Revenue generated: $159,176.00 August -September 30 Direct Mail Sent 20,000 direct mail pieces to previous inquiries and American Express gold card holders. Rooms nights generated: 250 Room Revenue generated: $24,722.00 Page 5 of 10 "Shop. Like the Dickens" Holiday Promotion (November -January) This traditional holiday promotion encouraged overnight stays and increased holiday shopping. The promotion included "the Gift From Us To You" and a special room rate. Room nights generated: 157 Room Revenue generated: $12,613.00 Trade Shows Attended La Cumbre, Miami; and POW WOW in Orlando exposed to over 973 national and international tour operators with 38 specifically interested in California and Orange County. Partnerships f The Costa Mesa CVB partnered with five other CVBs via the Orange County Tourism Consortium. The Consortium was allocated $750,000 per year for three years by the Orange County Board of Supervisors to create and implement an advertising campaign that markets the Orange County destination. In 2001 the consortium parlayed the $750,000 in editorial plus community partners advertising with a total value of $2.3 million. This maximized Costa Mesa's exposure and saved the CVB over $39,000 in advertising dollars. Partnerships have been strengthened with Newport Beach and Huntington Beach Convention & Visitor Bureaus. Community Outreach A quarterly fax newsletter is sent to retailers, restaurants and arts groups providing information on programs and promotions targeting the visitor market. Marketing Committee The sales and marketing directors, Orange County Performing Arts Center, South Coast Repertory, South Coast Plaza, Costa Mesa Fair & Exposition Center and Metro Pointe meet bi-monthly. This committee oversees the development of short and long-term strategic marketing, advertising programs, special promotions, events and packages. Hotel Niche Marketing Each of the seven hotels are allocated quarterly marketing dollars based on their total number of guest rooms. These funds enable each hotel to do some niche marketing. They must include the Costa Mesa CVB logo, justify that the advertising or direct mail increases room business and include a sample ad or direct mail piece or flyer. Page 6 of 10 3. An Estimate of the cost of providing the activities for the fiscal year. The estimated amount of the assessment to be levied against the businesses for the fiscal year surplus or deficit carried from the previous fiscal year. The Advisory Board has prepared the following Financial Summary detailing the actual revenues and expenses for 2001/02 and proposed fiscal year 20021/03. Revenues Projected YR7 Actual YR7 Projected YR8 2001/2002 2001/2002 2002/2003 Surplus Revenue carried forward from $ 190,000.00 YR6 July $ 84,100.00 $ 100,010.00 $ 100,000.00 August $ 110,000.00 $ 100,157.00 $ 100,000.00 September $ 86,000.00 $ 57,795.00 $ 86,000.00 October $ 120,000.00 $ 85,733.00 $ 120,000.00 November $ 86,300.00 $ 85,543.00 $ 86,000.00 December $ 68,80 0.00 $ 59,226.00 $ 65,000.00 January $ 75,377.00 $ 69,309.00 $ 74,000.00 February $ 101,400.00 $ 74,237.00 $ 86,000.00 March $ 99,200.00 $ 88,129.00 $ 88,000.00 April $ 70,000.00 $ 89,014.00 $ 88,000.00 May $ 84, 000.00 $ 88,141.00 $ 88, 000.00 June $ 74,000.00 $ 87,745.00 $ 87,000.00 Total Revenue (Revenues do not $ 1,816,077.00 $ 985,039.00 $ 1,070,000.00 include interest.) Revenues for 2001/2002 were projected to remain the same as the previous year and were decreased due to September 11 and the economy. Revenues for 2002/2003 are projected to remain flat but may increase late 2002/2003 should the economy continue to improve and there are no major events. Note: Actual YR7 March - June are projected revenues. Page 7 of 10 Budget Expense Projections for fiscal 2002/2003 (See attached Marketing Plan for details) Expenses Projected YR8 Advertising Campaign $374,374.00 Media Relations & Fam Tours $37,200.00 Brochures/Promotional items $75,500.00 Trade Shows $28,150.00 Administration/General $299,800.00 Special Promotions $154,700.00 Contingency Fund $36,000.00 Total Expenses $1,005,724.00 Projected Surplus $70,965 Advertising Campaign The 2002/2003 advertising campaign continues to aggressively generate rooms business for weekends, summer ("Beat the Heat" campaign) and holidays (Memorial Day, July Fourth, Labor Day, and "Shop Like The Dickens" campaign) reinforcing Costa Mesa as a leisure travel destination as well as a corporate meeting destination. This expense includes design, production, buying space in print media and radio. Estimated Expense $374,374.00 Media Relations & Familiarization Trips We will continue to develop awareness and reinforce the Costa Mesa destination through press releases to regional and national publications, familiarization trips for travel press, meeting planners and group tour operators. Estimated Expense $37,200.00 Marketing Materials Brochures, rack cards, calendar of events, CD Rom, Internet site and other marketing materials distributed at the Sate of California Welcome Centers and John Wayne Airport, inquiries, travel agents, tour operators, conference attendees, trade shows and meeting planners. Page 8 of 10 Estimated Expense $75,500.00 Promotional Items Paper Cubes, polo shirts, playing cards, beach bag and beach towel are available to further promote the Costa Mesa destination. Estimated Expense $10,900.00 Trade Shows/Conventions The Costa Mesa CVB will attend several trade shows focusing on international tour operators, corporate meeting planners and travel managers. Estimated Expense $28,150.00 Administrative & General Expenses Answer Network will continue to answer the 800#. This category includes employee expenses, accounting fees, postage, insurance, city collection fee, database maintenance, state assessment, audit and bond costs and administrative expenses. Estimated Expenses $299,800.00 Special Promotions/Sponsorships Specialpromotions include "A Gift from Us to You," expenses associated with attracting UPG Sports Groups, Orange County Tourism Service Awards,' 2002 California Police & Fire Games, Jazz Festival and Theatre Zingaro in addition to dollars allocated for each hotel's niche marketing needs. Also included is the City Council Program with $10,000 allocated for special programs initiated by the city council that promote the city and has the potential to generate Rooms business. Establish two hospitality scholarships of $2,000.00 each offered to Estancia and Costa Mesa High Schools for college bound students. Estimated Expenses $154,696.00 Contingency Fund $3000 per month for 36 months will be allocated for the Contingency Fund to provide funds for any unexpected expenses or a decrease in revenues. Estimated Annual Expense $36,000.00 4. The Method and basis of levying the assessment. An annual two percent -(2%) assessment is to be levied on each of the seven hotels included in the city's Business Improvement Area. The two percent (2%) assessment is based on the sale of overnight room stays and shall be Page 9 of 10 transmitted to the City pursuant to the Professional Services Agreement entered into by and between the City and the Costa Mesa Conference & Visitor Bureau. 5. No sources of contributions other than the assessment are expected this fiscal year. The Advisory Board supports and enthusiastically works as a team toward the success of the Costa Mesa Conference & Visitor Bureau. Advisory members Linda Dixon and Allan Roader continue to contribute their ideas and perspectives to the overall marketing efforts. We appreciate the opportunity provided by the Costa Mesa City Council to continue the support of the Costa Mesa CVB. Resp c -ully J ann eneral Manager, Hilton Costa Mesa President, Costa Mesa Conference & Visitor Bureau Page 10 of 10 Costa Niesa The Best Of Southem California. Marketing Plan 200212003 Costs Mesa 1 i• fig^.I 111 \�4tliti l'a I�J II!OI'I :Id COSTA MESA Conference & Visitor Bureau 2002/2003 MARKETING PLAN Mission Statement The Costa Mea Conference & Visitor Bureau (CMCVB) markets Costa Mesa as a leisure and group/meeting travel destination, thereby increasing awareness, hotel occupancy, travel spending, and tax revenues, and sustaining and expanding travel/tourism related employment further contributing to the growth of the local economy. 1 Funding is provided through the Business Improvement Area with seven (7) hotels assessing a 2% levy on the sale of hotel overnight guest room stays. The Costa Mesa Conference & Visitor Bureau (CMCVB) consists of seven (7) hotels and (2) representatives from the City of Costa Mesa. Obiectives 1.) To distinguish Costa Mesa as a preferred world-class destination. 2.) To increase the number of leisure and corporate travelers and group business to Costa Mesa during weekends, summer months and holidays. 3.) To increase national and international awareness among wholesale and receptive tour operators, group and meeting business. 4.) To work cooperatively with Anaheim, Newport Beach and Huntington Beach CVBs and the Orange County Tourism Council increasing convention/group overflow business and expanding advertising and media opportunities. Page 1 of 11 �1 Costa Mesa I'hr Rr,r t )I ticnithrrn l'.duurnin. Primary Target Markets: Meeting/group business (Social, Military, Education, Religious, Fraternal), state associations and leisure travel originating from major feeder markets. Southern and central California ( Los Angeles, San Fernando Valley, Bakersfield and Fresno), San Francisco/San Jose, San Diego and Phoenix/Tucson/Scottsdale. I Secondary Target Markets: Domestic and international travelers via wholesale and receptive tour operators. Strategy To increase awareness and rooms business using direct sales efforts via telephone, sales calls and trade shows, print and radio advertising, direct mail, and public relations. Objective # 1 To increase visibility and awareness of Costa Mesa as a preferred destination. Marketing Package (Letterhead, presentation folder, 6 brochures & CD ROM) Costa Mesa The Best Of Southern California destination brochure. Rack Card, a condensed version of the destination brochure. (Japanese, Spanish & Portuguese.) Distributed at five California Welcome Centers. Hotel Brochure Distributed at John Wayne Airport and mailed to all inquiries. Dining Brochure Visual and Performing Arts brochure highlighting the Arts in Costa Mesa and incorporating a walking tour. CD ROM (Y 185 mgbytes) incorporates all of the above in addition to electronic request for proposal for meeting planners and interactive reservations procedure. Page 2 of 11 n CostaMesa I'hr 13r,r t 11 Southern l,ddurnw. Meeting Facility Guide is included on the CD Rom and the web -site providing comprehensive information about each hotel's meeting space capabilities and alternative meeting venues in Costa Mesa such as OCPAC, SCR, Fairgrounds, area colleges etc. Quarterly Calendar of events distributed to hotels, City of Costa Mesa, travel writers, press, tour operators and local corporations. Quantity: 10,000. Quarterly Fax Newsletter to area retailers and restaurants increasing awareness of tourism marketing programs. "Gift From Us To You," a gift package that includes 24 gift certificates offering special retail and dinning offers. Quantity: 20,000. South Coast Metro Residential Program includes "Metro Family & Friends" rates. Four-color postcard utilizing several images with the theme "Costa Mesa. The Best of Southern California." Direct mail campaign targeting Orange County corporations, tour operators, meeting planners and potential attendees of future trade shows. Promotional Items: key to the city, "From Goat Hill to the City of the Arts: A History of Costa Mesa" by Robert Wilson, polo shirt, paper cube, tote on a rope, beach towel, canvas bag, playing cards, mini portable radio & 10 year calendar. Sponsorships Explore sponsorship opportunities that have the potential to generate business and community and public relations, i.e., UPG Sports, Orange County Tourism Council, Page 3 of 11 r1 Costa Mesa Thr &•tir t)f 5nulhrm California Service Excellence Awards, 2002 Police & Fire Summer Games, Jazz Festival and Theater Zingaro. Data -Base Development & Maintenance Maintain and add to databases that include individual, wholesale and.receptive international and domestic tour operators, corporate and association meeting planners. 800 # Answer Network Answer Network will continue to answer the 800# providing information and directly connecting callers to hotel reservations departments. Electronic Marketing/Web Site Continue to evaluate the Web Site ensuring ease of navigation and down loading time, making it more "interactive" encouraging "action to be taken." Link to hotels, California Travel & Tourism Commission, Orange County*TourismCouncil, Anaheim Visitor and Convention Bureau and other related sites. Explore tourism, entertainment, weather and dining related web -sites for advertising/public relations opportunities. Explore banner ads targeting corporate travel agencies via Sabre and Global Distribution Systems. Advertising The 2002 advertising campaign highlights Costa Mesa as the. amenity and culturally rich "home base" in Southern California offering cosmopolitan vitality, easy access to beaches, attractions such as Disneyland, Disney's California Adventure, Knott's Berry Farm & Legoland encouraging "action to be taken" generating leads and room nights. Page 4 of 11 Costa Mesa !N' 1104 t.11 > githrrn l.dilt,r:ua. Working with Mutual Advantage converting empty guest rooms on Friday/Saturday/Sunday at rack rate into radio spots reaching the southern and central California and Arizona markets reinforcing the print campaign. (June -September $286,400) Maintain advertising partnerships with Orange County Tourism Council, Anaheim Visitor & Convention Bureau Co-op Program and State of California. Research domestic & international visitor guides for public relations & advertising opportunities. Public Relations Update Media Kit. Send to travel writers, business writers, restaurant & food and wine writers. Identify editorial calendars and due dates with select media. Send press releases monthly. (Los Angeles Times, The Register, Daily Pilot, Coast Magazine, Orange Coast, Orange County Business Journal, and OC Metro.) Send press releases to Anaheim CVB quarterly calendar. Create a list of 6-8 stories and pitch to In-flight magazines, Westways, Mature Outlook, Travel Digest, Travel Agent, Travel & Leisure, Leisure Travel News, Sunset, Conde Naste, Travel Weekly, Meetings West, Successful Meetings, and all publications where advertising space has been purchased. Explore radio and television opportunities such as CNN Travel Report, Bay Area Back Roads (KCOP cable), and Media One (Channel 3). Work in conjunction with Anaheim CVB Public Relations targeting Society of American Travel Writers, convention journalists, travel trades and international press. Page 5 of 11 n GstaMesa Hy flr}t 01 Soudwrn (%dilornia Community Relations Partner with: Memberships • City of Costa Mesa to develop fiscal impact of tourism and work on mutually beneficial projects, i.e. Costa Mesa 501h Anniversary. • South Coast Plaza, Metro Pointe at South Coast, Orange County Performing Arts Center, Eclectic Orange Festival and South Coast Repertory (Playwrights Festival), and the Orange County Fairgrounds. • The Orange County Tourism Council • Continue building strategic alliances with California Travel & Tourism Commission, Anaheim, Newport Beach and Huntington Beach Visitor Bureaus. Travel Industry Association (TIA) California Travel Industry Association (CALTIA) Meeting Planners International (MPI) Hotel Sales & Marketing Association International (HSMAI) Orange County Tourism Council Anaheim CVB Western Association of Convention & Visitors Bureau (WACVB) ` National Tour Association (NTA) American Society of Travel Agents (ASTA) Religious Conference Management Association (RCMA) Page 6 of 11 n Costa Mesa I'hr Hrti� � 11 Sui�thrrn c',ddnmia National Coalition of Black Meeting Planners(NCBMP) American Bus Association (ABA) California Society of Association Executives (CSAE) Trade Shows Attend trade shows a'nd meetings in Southern Califdrnia targeting leisure travel and meeting planners. National Tour Association November 8-13, Los Angeles HSMAI Quest December 11-13, 2002 Monterrey Religious Conference Management Association February 2003 California Travel Mart February 2003 California Conference on Tourism March 2003 POW WOW May 17-21, 2003 St. Louis Affordable Meetings June 2003 San Jose Fam Tours Invite specific tour operators, travel and business writers and Answer Network to "experience" Costa Mesa hotels and amenities throughout the year. Participate with Anaheim CVB in providing guest rooms and/or hosting food & beverage functions for national and international writers and tour operators. Obiective #2 To increase occupancy in leisure travel weekends, summer months and holidays. (Spring Break, Memorial Day, Fourth of July, Labor Day and Thanksgiving/Christmas Holidays.) De -stress for Less (January -March) Page 7 of 11 �1 Costa Mesa flu. Bost 01 $nuthrrn (',:Lhnma Target Audience: Southern and central California Proposed Strategy: Rate driven Advertise special hotel rates. Proposed Media: Los Angeles Times, Travel Section and web -site Spring Break (April 12-27) , Target Audience: Southern and Central California and Arizona Proposed Strategy: Advertise special hotel rates. Proposed Media: Los Angeles Times, Travel Section, web -site and supplemented by radio. Weekend and Summer Business Target Audience: Residents of southern, central & northern California, Arizona & Nevada who are within driving distance or two hour flight to John Wayne/Orange County -Airport. Tour operators (international and domestic). Proposed Strategy: Offer special holiday hotel packages and weekend/summer rates. Proposed Media: Magazine: Sunset, Western Region, Travel & Leisure, Los Angeles Magazine, and Westways. Newspaper: Los Angeles Times, Travel Section, Tucson Star -Citizen, Phoenix Republic, Fresno Bee, Bakersfield California, San Bernardino Sun, Las Vegas Review Journal and San Francisco Chronicle Magazine. Guides: California Visitors Guide and Anaheim 2000 Official Visitors Guide. Page 8 of 11 10001 CostaMesa fhr Rv,i til �,uilhvrn California Radio/TV: , Implement radio campaign utilizing Mutual Advantage (barter program) penetrating southern and central California, Palm Springs, Phoenix/Tucson/Scottsdale and Nevada markets. "Beat the Heat" Summer Promotion (June to September) Target Audience: Residents within 3-4 hours driving distance or a two-hour flight from Costa Mesa who reside in southern and central California, Phoenix/Scottsdale, Las Vegas and Palm Springs. Proposed Strategy: Through print advertising supplemented by radio spots, "Beat the Heat" promotes Costa Mesa as the "cool" place to visit, highlighting the central location, shopping, dining, and amenities with close proximity to the beach, Pageant of the Masters, Orange County Fair and Disneyland/Disney's California Adventure/Knotts Berry Farm. Newspaper advertising promotes each hotel and its respective summer rates/packages. Proposed Media: City newspapers and Travel Section(listed above), Direct Mail, web -site and Broadcast media using barter program. Holiday Business "Shop Like the Dickens" (November through January) Target Audience: Residents in Southern California, San Francisco, and Palm Springs. Proposed Strategy: Advertise late -October, advertising and public relations promoting the traditional "Shop Like The Dickens" Holiday Package with a "Gift From Us to You". gift certificate package. Proposed Media: Los Angeles Magazine, Sunset, and Los Angeles Times Travel Section and web -site. Page 9 of 11 Costa. Mesa fhr Br+rill ti,urthrrn l'aiili�rnio Hotel Marketing Programs Each hotel is allocated $50 per room for specific marketing purposes. All advertising must include the Costa Mesa CVB logo and must generate rooms' business. All invoices will be paid from the Costa Mesa CVB account. Based on 2038 rooms at $50 per room, a total of $101,900 is available. (Budgeted quarterly July/October/January/May) Objective #3 To increase occupancy from wholesale and receptive tour operators (domestic and international), SMERF group business, state associations (weekends, summer and holidays), Rose Bowl and Super Bowl (San Diego). Increase awareness in SMERF (Social, Military, Education, Religious and Fraternal) and state associations. Develop database and qualify SMERF contacts and hotel needs in southern and central California, San Francisco/San Jose, Phoenix/Tucson and Sacramento. Target alumni associations, athletic departments, fraternities/sororities, youth groups and church organizations. Proposed Marketing Strategy: Telemarketing, personal sales calls, ABA and NTA trade shows and direct mail. Increase exposure and inclusion in national and international Group/FIT. Proposed Strategy: Participate in events hosted by Anaheim CVB: Receptive Operator Lunch January; 2003, POW WOW. Personal sales calls to Los Angles tour operators. Page 10 of 11 Costa Mesa Thr Rrti� l H >,iulhrrn ldldurnm Holiday (New Year) Target Audience: Collegiate Top 25 Alumni Associations and Athletic Departments and tour operators specializing in Rose Bowl tours. Proposed Strategy: Working in conjunction with Newport Beach and Huntington Beach Conference & Visitor Bureaus. Submitted by Diane Pritchett May 6, 2002. Page 11 of 11