ACVB EXECUTIVE COMMITTEE MEETING WEDNESDAY, NOVEMBER 9, 2016 | 8:00 a.m. ACVB BOARD ROOM
CALL TO ORDER DARYL EVANS CHAIR, BOARD AND EXECUTIVE COMMITTEE
DESTINATION REPORT MARK VAUGHAN EVP/CSO
Atlanta Occupancy – September 2016 September 2016 YTD Occupancy
2015
2016
ACVB Tax Revenue District
74.2%
75.1%
Hotels w/500+ rooms
75.5%
78.1%
Hotels within 1-mile radius of GWCC
73.4%
75.6%
Metro Atlanta
71.8%
71.5%
Source: STR
Demand Share
Top 25 Markets Luxury & Upper Upscale
MONTHLY
YTD
Source: STR
Key Sales Activities • Currently through October we are at 101% of our room night goal and 105% of our lead goal
Direct Sales Events • IAEE • Holiday Showcase • CVB Reps Holiday Event • World Travel Market • International Showcase • ASAE XDP Rollout • PCMA • American Bus Association • NTA
Anaheim Chicago Washington, D.C. London Atlanta Washington, D.C. Austin Cleveland St. Louis
Green Up = 10% above average Orange Equals = Within 10% +/- of average Red Down = 10% below average
BOOKINGS
Note: These numbers differ slightly from the Productivity Report due changes in room blocks and distribution of booking credit.
October 2016
Additional Rooms
27,385
Grand Total
139,121
Additional Rooms
134,507
2016 YTD
Grand Total
1,392,096
MAJOR GROUPS FOR FUTURE YEARS
MARKETING UPDATE ANDREW WILSON EVP/CMO
ATLANTA.NET
END of AUGUST 2016 YTD
SITE VISITS
MOBILE SHARE
YTD Monthly Average
of Site Visits
+ 20% YoY 437,503
+ 15% YoY 523,481
600K
70%
52%
60%
2015 YTD
2016 YTD
60%
500K
Goal 50% 400K 40% 300K 30% 200K 20% 100K
10%
0K
0%
2015 YTD
2016 YTD
ATLANTA.NET
END of AUGUST 2016 YTD
USER ENGAGEMENT YTD Index
120.3
*
vs. 2015
Weighting
Page Views/Visit Mobile
95
25%
Page Views/Visit Desktop & Tablet
99
20%
Soc. Media Engagement **
167
30%
Leisure Newsletter Open Rate
122
10%
Leisure Newsletter Sign-up
63
5%
Ad Clicks
98
5%
Member Clicks
128
5%
Weighted Index
120.3
* 2015 set as baseline = Index 100 ** Social Media Activity is the aggregate of Likes, Comments, Shares and similar activity across Facebook, Twitter, Instagram and Pinterest.
SUMMER CAMPAIGN REPORT 2016
2015
$217,000
$210,800
Impressions
47,794,737
41,672,456
Video Views • YouTube • Facebook
67,260 276,394
N/A N/A
Clicks to Partner Sites Clicks to Atlanta.net
9,401 81,667
31,183 42,314
Display Native Social eMail Broadcast YouTube Print Influencers
Display Native Social eMail Broadcast -
Budget
Key Components
NEW SALES TOOLS
Virtual Reality goggles available for sales calls, trade shows, FAMs
SOCIAL INFLUENCER CONFERENCE 2016
2015
$70,000
$50,000
Impressions
145 million
93 million
Reach Media Value
15.5 million TBD
7.7 million $500,000
65 22 13
50 18 9
W Buckhead
W Midtown
Buckhead/East ATL Atlanta History Center
Downtown/Midtown Atlanta Botanical Garden
Budget
Influencer Attendees Partners Speakers Key Components •
HQ Location
•
Geo Focus
•
Opening Reception
10/12 – 10/15
I AM ATL CONSUMER MEDIA Budget $400,000 Distribution: • Matador Networks • BuzzFeed • Thrillist • YouTube • Facebook • Retargeting Meeting Planners
Display Ads
Campaign Microsite
#DISCOVERATL OUTFRONT MEDIA Donated Surplus Inventory • • • • •
240 Rail Car Cards 505 Interior Bus Cards 75 Bus Kings 1 Bus wrap Rail Network TV – 30 second spot
2017 BUSINESS & FINANCIAL PLAN WILLIAM PATE PRESIDENT & CEO
GREGORY PIERCE EVP/CAO/CFO
2017 Business and Financial Plan Presentation
Atlanta Convention & Visitors Bureau, Inc.
Mission To sell and market metro Atlanta and Georgia globally as the premier conventions, meetings and tourism destination in the regional, national and international marketplace and favorably impact the Atlanta economy through conventions and tourism.
Five-Year Snapshot *Five-year growth trend across major metrics in City of Atlanta: • Occupancy up 15.4% or 3.0% annualized • REVPAR up 42.7% or 8.5% annualized • Demand up 15.9% or 3.2% annualized
*Metro market share of demand in top 25 destinations up 5.5% or approximately 1.1% annualized
* YOY through 09/30/2015
Five-Year Snapshot 5 Year Sales productivity history – Total room nights booked up 6.4% or 1.3% annualized (1,694,000 projected 2016) – Trade show room nights booked up 11.2% or 2.3% annualized (1,288,500 projected 2016) – Trade show leads up 35.5% or 7.1% annualized (675 projected 2015) * projected
Five-Year Snapshot • 3 year average 5000+ peak groups up 25% to 20 groups • Total room nights booked on 2500+ peak groups up 35%. Projected 20161,070,000
2016 Highlights Total room nights
Goal 1,676,393
Projected 1,694,000
% of Goal 101.1%
2015 Actual 1,770,250
City wide room nights
1,275,000
1,288,000
101.0%
1,332,126
# of major citywides > 5000 peak nights 3 year running average
20
21
105.0%
22
Room nights for 2,500 peak+
925,000
1,070,000
115.7%
942,843
5,598
5,572
99.5%
5,435
617
675
109.4%
618
100%
107%
107.0%
108%
Leads Total # of Leads # of city-wide leads Attendance goal for major city wides
2016 Highlights • The last 4 ½ years show the strength of the market • 40 citywides that have not been to Atlanta in 5 or more years • 20 citywides that have not been to Atlanta in 10 years • 47 citywides that have never been to Atlanta
• Continued productivity growth from Group Sales and Convention Services efforts • Group sales lead volume up 7% over goal • Year end room night bookings will exceed goal • 28 of 38 conventions have exceeded their attendance goals YTD by 8% • Eight-year TAP pace at 108%
2016 Highlights • Leveraged leadership positions with PCMA, IAEE and ASAE • Launched GWCC 2020 Vision at ASAE Annual Meeting • Assisted in securing Super Bowl in 2019 • Secured ASAE Annual Meeting for 2022 • Hosted Travel South International Showcase • Hosted 835 meeting and convention site visits
2016 Highlights • • • •
• •
• •
Increased Atlanta.net web traffic +20% Launched I AM ATL Consumer campaign Launched Atlanta360, a comprehensive virtual tour web platform supported by VR app for Google Cardboard and Samsung Gear VR Hosted social influencer conference, SITSum, for 70+ influencers from 20 states and 3 international countries with 13 Speakers and 10 Atlanta Experiences. Premiered Music Voyager Atlanta episode II, syndicated on four continents Summer Consumer Campaign generated 48 million impressions +15% y/y Created new international sales presentation in Spanish, English and Portuguese Launched Mandarin content section on Atlanta.net
2017 Goals •
Increase room night bookings and maximize 1% Convention Marketing Fund – Room nights: • Increase room night goal for trade show sales 2% over year-end actuals. • Increase room night goal for in-house sales 2% over year-end actuals.
Book 20 major citywide conventions/events (5,000 peak nights and above) – 925,000 room nights booked for 2,500 peak and above – Increase sales leads 2% over year-end actual Achieve 100 percent attendance goal for major citywide conventions Increase visibility of Atlanta as one of the top U.S. meeting and travel destinations Maintain atlanta.net as the premier hospitality online marketing platform Continue to position ACVB as an industry expert nationally and as the singular voice of hospitality in Atlanta •
• •
• •
Increase room night bookings and maximize 1% Convention Marketing Fund New or significant ramp up in focus • • •
Focus sales messaging on anticipated GWCC connector and hotel at all sales events, emphasizing ASAE, IAEE and in group marketing Expand China travel market by hosting China – America Summit Expand presence in Association market with new industry event XDP powered by ASAE
Continue or enhance focus from prior year • • •
Expand opportunities within the emerging “Independent Show Organizer” (for-profit) market Further optimization of in-house sales efforts and small meetings Restructure Midwest sales strategy in order to better maximize opportunities
Increase room night bookings and maximize 1% Convention Marketing Fund Continue or enhance focus from prior year • • • •
• • • •
Add 8 new sales programs and retiring 11 existing sales programs Host four meeting planner FAM tours, totaling 100 participants Host sales missions in Washington, D.C. and Chicago Identify 25 trade shows not considering Atlanta and attend their convention Focus efforts in the medical, manufacturing, construction, financial, energy and education industries Host 20 FAM trips for international tour operators Participate in 55 industry events and trade shows to market Atlanta as a premier meeting and convention destination Further enhance our partnerships with the major third party partners
Achieve 100% attendance goal for major citywide conventions New or significant ramp up in focus •
Leverage new destination marketing assets and enhanced attendance-building services offerings: videos, customized print & digital collateral, integrated marketing campaigns, etc. – Market Atlanta at 14 customer conventions in preparation for their 2018 convention in Atlanta – Create mini-sites for all convention/meeting clients
Continue or enhance focus from prior year • • • • • •
Coordinate media FAMs with PR for top city-wide groups Work with PR and Marketing to repurpose ACVB advertorials, articles, releases for customer-to-attendee communications Utilize Event Services educational resources/webinars to learn best practices and new ideas in attendance building efforts from external organizations and cities, via CS membership Continue targeting attendees with destination content through social media channels Continue exploration of most effective manner to facilitate increased international meeting attendance Continue to build value for customers and sponsors with UpNext supplier showcase and presentation to highlight Atlanta resources for marketing and event planning
Increase visibility of Atlanta as one of the top U.S. meeting and travel destinations New or significant ramp up in focus • •
Focus marketing message on GWCC Vision 2020 developments Provide Sales and Convention Services online tools to leverage Atlanta360 content, supporting site visits/FAMs
Continue or enhance focus from prior year • • • • • • • •
Maximize regional partnerships/alliances focusing on international visitation Continue Meeting Planner oriented editorial strategy Leverage Music Voyager III video to create episodic content Enhance the media buying strategy to more effectively span digital and social channels to reach the target audiences Host a social media influencer FAM/Conference with National and international reach Continue partnership approach with EventSphere to other housing companies to influence attendance of midsize groups Refresh summer, Halloween, and holiday co-op campaigns Curate weekend getaway experience packages
Maintain atlanta.net as the premier hospitality online marketing platform New or significant ramp up in focus •
Expand mobile-first development strategy across all content
Continue or enhance focus from prior year • • • • • • •
Improve clickability and page performance Significantly expand use of video and strong visuals to drive traffic Train Sales and Convention Services to leverage the new online resources such as AtlantaMeetings.com Continue to expand Atlanta360 virtual tour assets Continue positioning atlanta.net assets (web, mobile web, social) as the definitive source for information on what to see and do in Atlanta Ongoing refinement of successful search engine optimization (SEO) strategy to drive qualified traffic to the key content categories Ongoing refinement eCRM (includes social) program to maximize user engagement while growing user base
Position ACVB as an industry expert nationally and as the singular voice of hospitality in Atlanta New or significant ramp up in focus • • •
Collaborate with industry partners to address any legislation which could have a negative impact on our business Provide Membership with enhanced selling tools – collateral, business case and tiered digital/social packages Maximization of new company-wide CRM software
Continue or enhance focus from prior year • • • • •
Continue focus on cabinet alignment against industry priorities and initiatives Engage public and private sector by serving on boards, speaking engagements and utilizing Atlanta executives in ACVB sales efforts Maintain relationships with city and state administrations Maintain leadership positions on hospitality industry boards Highlight industry expertise through guest columns and editorials
2017 Financial Plan
2017 Financial Plan Points • Total revenue up 2.1% • Public sector revenue flat to 2016 forecast • Private sector up 8.3% due to program variations • Total expense up 2.1% • Payroll and related expenses up 3.1% • 2.5% performance based merit increase pool • Group insurance renewal increase • Direct promotional expenses up 1.0% • Operating expenses and expenses against capital assets up 6.2% due primarily to depreciation expense increases
2017 Summary Budget 2017 Budget Total revenue
$
Total expense Excess(deficiency)
2016 Forecast
31,262,110 $ 30,624,020 30,884,944
$
377,166 $
30,359,020 265,000
Total Public Sector Revenue 2017 Budget Georgia World Congress Center-Atlanta
$
2016 Forecast
14,040,504 $ 14,040,504
Georgia World Congress Center-Fulton Co
35,000
35,285
Atlanta Convention Marketing Fund - 80%
7,131,685
7,131,685
Atlanta Convention Marketing Fund - 20%
1,782,921
1,782,921
Total Public Sector Revenue
$
22,990,110 $ 22,990,395
Total Private Sector Revenue 2017 Budget Annual meeting/HHOF/HBN
$
2016 Forecast
150,000 $
141,000
Contributed services
4,065,000
3,400,000
Co-op cash support
1,100,000
1,025,125
Grants/sponsorships
15,000
13,500
Internet revenue
157,000
145,000
Membership dues
1,395,000
1,375,000
18,000
17,000
227,000
382,000
1,145,000
1,135,000
Membership services Other revenue Publication ad revenue Total private sector revenue
$
8,272,000 $ 7,633,625
Total Expense 2017 Budget Direct promotional expense
$
Expense against capital assets
2016 Forecast
11,457,962 $ 11,382,335 1,898,112
1,675,000
836,439
900,000
Payroll and related expense
9,560,746
9,270,000
Transfer to ACMF reserve
7,131,685
7,131,685
Other operating expense
Total expense
$
30,884,944 $ 30,359,020
Total Budget by Corporate Entity 2017 Revenue Atlanta Convention & Visitors Bureau, Inc.
$
2017 Expense
28,443,110 $ 28,232,498
ACVB Enterprises, LTD
1,302,000
1,152,446
ACVB Foundation, Inc.
1,517,000
1,500,000
$
31,262,110 $ 30,884,944
GWCCA CONTRACT GREGORY PIERCE
ACVB/GWCC Contract renewal • 1984 contract -25 year contract with several amendments including an extension for 7 years and the addition of the 1% marketing fund hotel tax. • 2016 contract –split in two. One 10 year contract for the normal hotel tax, and one 20 year contract for the 1% marketing fund. All terms the same, with updated reporting language. • GWCC/City of Atlanta contract – also split in two, one 10 year, and one 20 year.
PRESIDENT’S REPORT E
WILLIAM PATE
OLD BUSINESS GREGORY PIERCE
Renewals • • • • • • • • • • • • • • • • • • • • • • • •
Allan Vella Anderson Walston Andrew Saltzman Bob Hope Candace Byrd Fred Rich Hal Nowak Heather Halpern Jane Turner Jim Sprouse John Metz Julia Emmons Karen Bremer Leona Barr-Davenport Mark Castriota Mark Pettit Niko Karatassos Pete Moraitakis Rick Thorpe Ron Tarson Sam Massell Sharon Goldmacher Stan Morrell Tony Conway
2017 Board Elections for Vacancies The Fox Theatre Freeman Atlanta Hawks & Philips Arena Hope-Beckman, Inc. City of Atlanta Olympus Hal’s North Georgia Premium Outlets The Children’s Museum of Atlanta Georgia Hotel & Lodging Association Sterling Spoon Management Services (Retired-Atlanta Track Club) Georgia Restaurant Association Atlanta Business League Loews Atlanta Hotel Creaxion Buckhead Life Restaurant Group United Distributors, Inc. Georgia Tech Athletic Association Westin Peachtree Plaza Buckhead Coalition, Inc. communications 21 Stone Mountain Park Legendary Events
2019 2019 2019 2019 2017 2019 2019 2019 2019 2019 2019 2018 2019 2019 2019 2019 2019 2019 2019 2019 2019 2019 2019 2018
2017 Board Election continued New board members • • • • •
Roosevelt Council, Jr. Dr. Meredith Evans Tim Dahlen Dennis DeLoatch Dennis Adamovich
General Manager Director General Manager EVP CEO
»
HJAIA Jimmy Carter Presidential Library & Museum W Atlanta-Buckhead Carey-Executive Limousine College Football Hall of Fame
2017 2019 2019 2019 2019
NEW BUSINESS
ADJOURN