Transcript DATO -Marketing Plan slideshow

Board / Staff Structure
Board 11 toursim industry representatives, 2 govt.
Lodging and Hospitality: Michelle Thom – Marketing
Committee
Special Lodging: Keith Brant –Treasurer/Audit
Committee
Arts and Culture: Shanan Campbell Wells – Vice Chair
Restaurants: Matt Arias
DSNGRR: Cathy Swarts
Tourism Retail: Antonia Clark
Winter Attractions: Gary Derck
Summer Attractions: Alex Mickel
Transportation: Kip Turner
Special Events: Kristen Muraro - Secretary
Higher Education: Doug Lyon - Chair
City of Durango: Sherri Dugdale
La Plata County: Bobby Lieb
Staff 141 years of combined marketing, tourism and
hospitality experience
Executive Director: Bob Kunkel (FTE)
Sales and Marketing Manager: Andrea Seid
(FTE)
Public Relations: Anne Klein (Contractor)
Research and Analytics: Paul Eckenrode (PT)
Sales: Maria Pradissitto (PT)
Graphics and Social Media: Whitney Hagen (PT)
Groups and Operations Manager: Grace Shepard
(FTE)
Visitor Information: Charlotte Klein and
Information
staff (PT)
Purpose: Economic health and steady tourism growth
DATO is formed to be operated exclusively as a destination marketing
organization (DMO) for the sole purpose of promoting the City of Durango and
La Plata County Area as a tourist destination.
Mission: Inform, inspire, move-to-action, repeat
To invest dedicated tourism resources into creative, strategic, and
comprehensive annual marketing programs sufficient to generate growing
consumer interest in the Durango/La Plata County area.
Positioning: Durango/LPC delivers what the state is selling
Colorado’s image is one of excitement and emotion. Tourists’ worldwide place
Colorado high on their desirability list with strong intention to visit. DATO aligns
itself with the State of Colorado Tourism Offices (CTO) marketing campaigns.
Brand: Real and Relaxed
An authentic western community surrounded by the San Juan Mountains
on one side, and the desert southwest on the other. The Victorian style
downtown is alive with more than 200 shops, restaurants and galleries.
The feeling is comfortable, and the atmosphere is friendly.
Tagline: “A Dozen Vacations in One Destination”.
The “Dozen“ campaign creates interest and appeal. It invites further
investigation. It communicates the diversity of activities in our destination.
It attracts travelers to their affinity interests.
It is the platform from which our board structure, marketing strategy, and
advertising follows.
Competitive Advantage: Year-round product diversity
Durango and La Plata County is the most “diverse and affinity rich” tourism
destination in the state. Southwest Colorado offers abundant outdoor adventure,
river sports, art and culture, culinary and spirits, heritage and education, all in a
breathtaking mountain/river setting.
PLUS one-of-a-kind natural attractions
Four Corners, Mesa Verde, Chaco Canyon, Aztec Ruins, Chimney
Rock, Upper Animas River, San Juan Skyway, Million Dollar Highway
PLUS unique local experiences
Train, Diamond Belle Saloon, Trimble Hot Springs, melodrama, Bar-D, Soaring
Tree Top, Community Concert Hall, SU Cultural Center/Museum, Blue Lake
Ranch, Whitewater Park, Lake Nighthorse,
DATO operated Visitor Information Centers distribute 8 maps
More County Maps are needed
Outside Involvements
Partnering with SUIT on 2015 AIANTA conference
SW Colorado Travel Region active member
Grand Circle active member
San Juan Skyway 25th Anniversary planning - 2015
50th anniversary Wilderness Act - 2014
Labor Day Rally promotional partner
Quotes
“DATO has been a supportive marketing partner for the last many years, and now we’re
doing even more.” Vallecito Chamber President, Bob Stevens
“Thank you for coming up with a creative and respectful way of supporting
other communities in the region.” Marianne Griffin, Mancos Visitor Center
“Based on a successful marketing partnership in the past, this year we’re upping our
shared-cost budget with DATO to $50,000.” Greg Ralph, DMR VP Marketing
Cultural Heritage Attractions Within a Days Drive
World Heritage Sites
Aztec Ruins National Monument, (as part of Chaco Culture) http://www.nps.gov/azru/index.htm
Chaco Culture National Historical Park, http://www.nps.gov/chcu/index.htm
Mesa Verde National Park, http://www.nps.gov/meve/index.htm
Taos Pueblo, http://www.taospueblo.com
Grand Canyon National Park, http://www.nps.gov/grca/index.htm
National Parks
Arches, UT http://www.nps.gov/arch/index.htm
Black Canyon of the Gunnison, CO http://www.nps.gov/blca/index.htm
Bryce Canyon, UT http://www.nps.gov/brca/index.htm
Canyonlands, UT http://www.nps.gov/cany/index.htm
Capitol Reef, UT http://www.nps.gov/care/index.htm
Great Sand Dunes, CO http://www.nps.gov/grsa/index.htm
Indian Land
Ute Mountain Tribal Park, http://www.mesaverdecountry.com/tourism/archaeology/utemtn.html
Southern Ute Cultural Center, http://www.succm.org
National Forests
Rio Grande, CO http://www.fs.usda.gov/riogrande
San Juan, CO http://www.fs.usda.gov/sanjuan/
Uncompahgre, CO http://www.fs.usda.gov/gmug
National Monuments
Bandelier, NM http://www.nps.gov/band/index.htm
Canyon de Chelly, AZ http://www.nps.gov/cach/index.htm
Canyon of the Ancients, CO http://www.blm.gov/co/st/en/nm/canm.html
Chimney Rock, CO http://www.chimneyrockco.org
Colorado, CO http://www.nps.gov/colm/index.htm
Florissant Fossil Beds, CO http://www.nps.gov/flfo/index.htm
Four Corners, AZ http://www.navajonationparks.org/htm/fourcorners.htm
Grand Staircase-Escalante, UT http://www.blm.gov/ut/st/en/fo/grand_staircase-escalante.html
Hovenweep, CO http://www.nps.gov/hove/index.htm
Natural Bridges, UT http://www.nps.gov/nabr/index.htm
Navajo, AZ http://www.nps.gov/nava/index.htm
Petroglyph, NM http://www.nps.gov/petr/index.htm
Rainbow Bridge, UT http://www.nps.gov/rabr/index.htm
Yucca House, CO http://www.nps.gov/yuho/index.htm
Wilderness Area
Weminuche, CO
South San Juan, CO
Lizard Head, CO
Piedra Special Management Area, CO
http://www.fs.fed.us/r2/recreation/map/colorado/html-current/colorado-hi-speed-index.shtml
Scenic and Historic Byways
San Juan Skyway http://www.fhwa.dot.gov/byways/byways/2101
Alpine Loop http://www.coloradodot.info/travel/scenic-byways/southwest/alpine-loop
2014 Highlights
County LT up 4.4% thru June, Sales Tax est. up 5.7% for 2014
Incorporated Buxton study into marketing strategy and execution
Introduced new Durango Tour App
Launched leading edge website (11 months, $45,000)
On-line requests for Visitor Guides increased by 134%
Increased overall Visitor Guide requests by 76%
Over 100,000 visitors through our Visitor Centers through August
Partial list of 2014 recognitions:
"San Juan Skyway/Best Motorcycle Trip" - USA TODAY's Reader's Choice
"Top Value Ski Spot in North America" - Trip Advisor
"Top 10 Western Town" - True West Magazine
"8th Best US Cycling Town" - USA TODAY's Reader's Choice Award
2015 Areas of High Priority
1. Stabilizing management, board and administrative procedures…and focusing the DATO organization on
its true mission
2. DATO internal expense review and re-allocation of funds into marketing (Goal: $75,000)
3. Launch of new DATO web site requires intense content monitoring, and tourism provider training
4.
Improved communication and opportunity involvement with area tourism suppliers (671 local
businesses)
5. Responding to the shift in how travelers receive tourism information and book vacations - mobile and
tablet… Customer blogging and rating their experiences,
6. Building proper and necessary photo and image libraries, using image management software,
accumulating b-roll inventory, maintaining lightning response time to media requests
7.
Increase promotion of; downtown culinary quantity/quality, monuments and heritage sites, lakes and
rivers, local breweries/wineries/distilleries, and scenic byways
8. Managing and qualifying sales leads, and requests for the Travel Planner
9. Responding to the role of the female decision maker in travel planning
10. Existing and new air service markets require incremental marketing support ($200,000 per)
The Economic Equation
Dollars devoted to destination marketing come back in the form of taxes collected
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In 2013, Colorado hosted 64.6 million visitors, who spent $17.3 billion (a state record)
State tourism industry generated $976 million in local and state tax revenue
About half of all tourism tax revenues land in local municipal coffers
Local investment = Local Return on Investment
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Source: Colorado Tourism Office
$1 LT invested in tourism = $344 in tourism spending = $27 in tax
collection For La Plata County $1.00 = $6.88
Lodgers Tax Rate
Mktg. Spend
Population
Per Capita
Santa Fe
7.0
1,200,000
69,900
$61.33
Telluride
4.0
1,200,000
2,300
$969.63
Grand Junction
3.0
926,000
59,800
$20.08
Sedona
3.0
1,200,000
10,000
$184.06
Durango
2.0/1.9
$473,800
60,000
$13.57
Key Challenges
DATO is receiving a steadily decreasing percentage of an increasing City Lodgers
Tax,.
DATO has taken on the funding of community’s visitor center services which has
further reduced the dollars invested in destination marketing ($100,000+ per year)
Local Lodgers Tax rates were established 30 years ago (1987) and have not increased
despite the growth in total tourism revenues and actual amount spent on advertising by
DATO’s competitors
DRO’s enplanement trend has started to flatten (and new markets are currently being
pursued). We need a focused airline marketing initiative to continue to grow our
enplanements ($200,000 per flight/hub)
Strategic Budget
“Marketing is not a frill, it’s a fuel”
Approach: A three-year game plan intended to:
Increase funds available for destination marketing from Lodgers Tax
Provide marketing support for air service, and new air/hub development
Remain regionally competitive, close the gap
Create the incremental sales tax revenues that the county and city both need to
offset their increasing costs and declining tax revenues from other sources
Offset visitor information operating expenses
Local investment = Local Return on Investment
Phase 1 – 2015
“Marketing is not a frill, it’s a fuel”
DATO has cut $75,000 of expenses and re-directed it into 2015 destination marketing
programs
$90,000 - City commit 2014 year-end unallocated Lodgers Tax funds to destination
marketing
$99,000 - City commit 2015 year-end unallocated Lodgers Tax funds to destination
marketing
$xxx – DATO requests County and City pursue VRBO lodgers tax collections
RESULT: $189,000 of incremental destination marketing investment from city Lodgers
Tax with 100% directly into advertising, $100,000 dedictaed to airline marketing support
NOTE 1: For 2015, DATO returns to the same amount of city LT funding as 7 years ago
NOTE 2: DATO asks that County/City work with the DATO Board to critically evaluate the
destination marketing validity of any future requests for special projects from Lodgers Tax
revenues.
Phase 2 – 2016
“Marketing is not a frill, it’s a fuel”
$50,000 - DATO gains added revenue from new advertising partnerships and web
sales
$100,000 - DATO will work with County/City managers and finance directors to identify
an alternative tourism community funding source for the $100,000+ annual expenses
to operate the community’s visitor centers
DATO will organize its tourism constituencies in order to create support for a 1%
increase to the County and City Lodger’s tax in exchange for a commitment that the
incremental revenue be used exclusively for destination marketing. Half of these
incremental funds (approximately $200k) will go directly to airline marketing support
RESULT: $150,000 of incremental destination marketing investment
100% directly into advertising, $100,000 dedicated to airline support marketing
Phase 3 – 2017
“Marketing is not a frill, it’s a fuel”
$ 25,000 – DATO gains additional funds from new advertising partnerships and web
sales
$500,000 - County ($125k) City ($375k) additional 1% Lodgers Tax collections begin
RESULT: $550,000 of incremental destination marketing investment
100% directly into advertising, $300,000 dedicated to airline marketing support
2015 Lodgers Tax Budget: $927,000
Personnel and related expenses: $420,500 ( 45%)
Administration and supply expenses: $32,700 ( 3.5%)
Tourism marketing expenses: $473,800 ( 51% reaches travel shoppers eyeballs)
Where La Plata County Can Help
VRBO
1% Lodgers Tax tax increase
Work with DATO to determine a broader community revenue mechanism to offset the
increasing costs of providing visitor information
A separate financial contribution earmarked for air service marketing
Update printing of County maps (trails, roads, lakes, campgrounds,etc)
Check all links to new DATO web site