TOURISM STUDY RESULTS
AND FUNDING
Agenda Item 12.B
By Gordon Jackson
Meeting Date: April 5, 2022
Presentation Topics
1. Receive a presentation from staff on the results of tourism research obtained as directed by the City Council;
2. Adopt a Resolution authorizing the City Manager to execute Amendment #5 to the TJA Advertising & Public Relations LBID Advertising Agreement in the amount of $43,355 and appropriating related budget adjustments to pay for the visitors research study in Fiscal Year 2022;
3. Consider the CVB/LBID Advisory Board recommendation to spend an additional $350,000 per year to increase the LBID annual marketing budgets starting in Fiscal Year 2023;
4. Consider the CVB/LBID Advisory Board recommendation to spend $110,900 per year from the CVB General Fund available marketing budget for advertising for stewardship and staycation marketing starting in Fiscal Year 2023. 2 Recommendation 1:
Receive a presentation from staff on the results of
tourism research obtained as directed by the City
Council;
Background
•Pismo Beach engaged SMARInsights to complete a series of research projects during 2021 and early 2022.
•The first study was spearheaded by Visit SLO CAL with opportunities for partner communities to participate by adding questions to a Visitor Profile and EDI Study (Equity, Diversity and Inclusion).
•A second study done by Pismo Beach CVB used mobile location data to analyze where visitors spent their time while in Pismo Beach, as well as looking at Day-trippers vs Overnight stays to Pismo Beach •March 2019 visitation compared to July 2020 and July 2021 . •The third study profiled 2019 visitors and assessed market potential within a competitive set of destinations. This study analyzed origin markets by season and week part and an online survey that addressed trip characteristics for visitors, and reactions to imagery for potential visitors.
Video interviews supplemented the findings.
4 Co-Op: Visitor Profile & EDI
•One-third of the California residents surveyed reported visiting one or more areas/attractions of Pismo Beach/Shell Beach in the past two years. Past visitation was 13% among respondents in the Fly markets.
•The destination received high ratings for its visitor
experience.
•Pismo Beach/Shell Beach has relatively high levels of
awareness among diverse travelers, especially in California markets.
•The attributes of the destination are appealing for all the traveler segments.
5 Goals
A primary
interest was
assessing
perceptions of
Pismo Beach –
especially among
diverse
audiences –and
identifying any
barriers to
visitation.
Attendee Origin Analysis
•Overnight visitors represented about half of the people downtown.
•During peak season, 9-in-10 visitors originated from California markets. Fresno is generating the largest share of overnight visitors (35%) and daytrips (24%).
•Fresno, Los Angeles, Bakersfield, San Francisco, Santa Barbara County ADI (including Santa Maria ) and Sacramento account for 90% of peak season overnight visitors and 79% of daytrips. •The largest share of Day-trippers come from within San Luis Obispo County, Santa Maria, and Bakersfield.
•Fresno is contributing a larger share of low-end hotel stays (39%) than high-end stays (27%) and is the number one market across all trip types (daytrips, overnight) and every hotel scale category.
•San Francisco and Southern California visitors represented a larger share of high-end hotel guests than budget stayers. 6 Goals
The goal of this
research was to
determine where
Day -trippers
come from and
the mix of people
in the Pismo
Beach downtown
during the
various times of
the year
Markets by Season
Report Title 7
Trip Type and Trip Length by Day of Week
Report Title 8
Market Analysis
& Visitor Profile
•Fresno and Los Angeles contribute the largest share
of visitors during every season.
•Fresno and Bakersfield contribute the largest
share of weekend visitors.
•Pismo Beach is the main destination for 52% of
visitors and is a base camp for 22%.
•Pismo Beach visitors have an average income of
$131,900 –
•On average, visitors spent $1,724 per trip.
•Most all Day-trippers and overnight guest arrived by
car
•Nine-in-10 visitors rated the trip experience to Pismo Beach as “very good” or “excellent”.
•The destination ratings for being “clean and well
maintained” included very few negative ratings.
There were no negatives regarding infrastructure, the
only suggestion of improvement was more things to
do in Pismo Beach.
9 Goals
Gain a comprehensive understanding of the
origin markets of Day Trip and Overnight
visitors
Profile past visitors
Demographics | Trip characteristics
Motivations | Satisfaction
Compare Pismo Beach and competitive set
Ratings | Likelihood to visit
Get feedback on images/advertising to
identify groups who respond best to Pismo
Beach messaging
Identify the origin markets and demographic
groups with the highest potential for future
overnight visitation
Market Analysis
& Visitor Profile, cont.
•Pismo Beach’s brand position as a “classic beach town” is aligned with motivators and had a high degree of awareness. Pismo Beach ranked very high in all the study markets for fun, family-friendly, relaxing, small-town feel and open spaces.
•Pismo Beach is seen as a relaxing, beautiful and fun beach destination.
Monterey and Santa Barbara are its closest competitors in terms of image and appeal. These destinations are differentiated by luxury and expensive, while Pismo Beach is differentiated as a family-friendly, affordable place with a small-town feel.
•Los Angeles travelers rate Pismo Beach higher than any other market. 10 Origin Markets: Hotel Stays
11 Hotel Stays July 2021
Fresno 30%
Los Angeles 17%
Bakersfield 12%
San Francisco 11%
Sacramento 8%
Santa Barbara 5%
Palm Springs 3%
San Diego 2%
Phoenix 2%
Las Vegas 1%
90% of hotel visitors
in July 2021 were
from California
markets.
Who’s Visiting
•Visitors to Pismo Beach are more likely to
be older, have a slightly higher income,
and are less diverse than visitors to
competitor destinations.
•Visitors from Fresno and Bakersfield are
more likely to have children, less likely to
have a college degree and more likely to
be Hispanic. They have lower income than
visitors from other markets.
12 83% Married
47% Kids at Home
$131K Avg.
Household Income
81% College Grad+
81% White | 5% Black
9% Hispanic | 9% Asian
49 Years Old
See Appendix for demographic profiles.
FOOTER
13 Top Destinations (1/1/21–1/31/22)
Source: Arrivalist
FOOTER
14 Trips By POI (1/1/21–1/31/22)
Source: Arrivalist
15 Destination Motivation
•Activities that appeal to a
smaller audience (i.e.,
attending an event/festival
versus going to the beach)
but have strong motivation
are good opportunities for
marketing messages
Trip Highlights
•Many visitors indicated
that the part of the trip
that they most enjoyed
was the beach, spending
time with family, relaxing
and dining.
What People Enjoyed
16 Video Reaction
Potential Visitors
17 Agree Strongly
Agree Mean
Offers enjoyable
activities 35%49%4.17
Has stunning natural
beauty 43%48%4.37
I would like to visit 43%33%4.03
Has a lot to see and do 49%32%4.09
Where I can
disconnect from the
stresses of everyday
life
49%33%4.10
The video “My Pismo Beach” received
favorable ratings –especially for showing that
Pismo Beach has stunning natural beauty and
offers enjoyable activities.
Having a lot to see and do is highly correlated
with interest in visiting.
SMAR Insights Conclusions And Recommendations
•Pismo Beach enjoys high levels of visitor satisfaction and strong brand awareness •The brand is on target with what differentiates the destination from its competition and motivates travel •Increased marketing efforts should be continued to Los Angeles, San Francisco and Santa Barbara/San Fernando Valley as these markets have high levels of awareness, strong destination ratings, and favorable potential for high quality overnight visitation.
•New additional marketing and budgeting to the fly markets of Portland and Seattle should be targeted with new marketing to attract more high-end guests that will stay multiple nights. •Additional new marketing to Sacramento which represents a newer target market with the goal to get more overnight guests and less Day-trippers, due to the distance in travel. This market also shows potential due to its favorable rating of those who do already traveled here and those thinking of doing so in the future. 18 SMAR Insights Conclusions And Recommendations
Continued
•Develop a “Stay Vacation” campaign targeting Northern Santa Barbara County, (Santa Maria) and San Luis Obispo county by offering lodging specials in the off season to motivate Day-trippers to stay for the night. Emphasize the higher gas prices and reasons to vacation close to home and do it in Pismo Beach. Do the same in the Fresno/Bakersfield market by targeting higher end income levels and encouraging those to stay longer rather than drive back in one day with special lodging discounts in the off season and mid-week. This will also help provide our residents with a much better experience downtown without adding more crowds from Day-Trippers.
•Continue to not market or advertise to Day-trippers, but rather continue to seek high quality overnight stays and longer- term vacations. Turn the gas situation into a positive for future Pismo Beach tourism. The messaging is staying close to home and vacationing overnight in Pismo Beach rather than driving further distances or flying. 19 QUESTIONS
Recommendation 2:
Adopt a Resolution authorizing the City Manager to
execute Amendment #5 to the TJA Advertising &
Public Relations LBID Advertising Agreement by
$43,355 and appropriating related budget adjustments
to pay for the visitors research study in Fiscal Year
2022;
Recommendation 3:
Consider the CVB/LBID Advisory Board
recommendation to spend an additional $350,000 per
year to increase the LBID annual marketing budgets
starting in Fiscal Year 2023;
Consider Additional Marketing
Recommendations based on feedback provided by the PBHA and the CVB Board as well as findings from the recent research studies conducted by SMARInsights.
1.Increase spending in the drive markets of Northern California and Southern California and continue to develop new digital and native advertising campaigns with proven top media outlets with targeted email,social media,and retargeting.
2.Some of those media partners are Los Angeles Times,Trip Advisor SF Gate,Bay Area News Group,Ventura Star,Google,Facebook and Instagram targeted ads.
•Budget $150,000 ($75,000 in Northern and $75,000 in Southern California)
Consider Additional Marketing
1.Target new markets that offer the highest likelihood of visiting Pismo Beach in the near future and booking overnight stays with emphasis on mid-week and off-season travel .These markets are Sacramento,Portland and Seattle.
2.The same media strategy would be for these markets,with the addition of regional print and digital publications.
•Budget $150,000 ($50,000 in each of the three markets)
Consider Additional Marketing
1.Explore the possibility of adding new events which would encourage longer term stays as for an example,the recent Para Surfing event.
2.Possibilities for new events could include NCAA Volleyball tournaments.National Sand Castle building and the expansion and the present Jazz Festival with higher caliber artists and combine wine and food.
•Budget $50,000 (To be utilized for research and to promote a future event)
•Total additional spending $350,000
Recommendation 4:
Consider the CVB/LBID Advisory Board
recommendation to spend $110 ,900 per year from the
CVB General Fund available marketing budget for
advertising for stewardship and staycation marketing
starting in Fiscal Year 2023.
Consider Refunding Of The CVB Marketing
Budget
•Educational activities and information:Provide quarterly outreach and engaging lessons to local school districts, as well as drive market school districts, educators, and parents. •Earth Day (April 22):Promote Earth Day through Social Media. Invite visitors to celebrate Earth Day in Pismo Beach with lodging packages.
•Pismo Clam Watch: Focus on the Pismo Clam research and repopulation efforts with Cal Poly Center for Coastal Marine Sciences and children’s activities at the upcoming activities. •Tree Planting (Arbor Day is the last Friday in April): Co-op with SLO Land Conservancy •Migrating Bird Appreciation Season (Spring/Fall): Teach about the variety of migratory birds living on our coast and the surrounding area and how important it is to conserve, protect, and respect their nesting grounds.
•Whale Watching Season (Dec.-May): Teach about the variety of whales migrating off our coast and the surrounding area
•Chumash Education and Appreciation Educate both residents and visitors about rich history of the Chumash our first inhabitants of Pismo Beach.
Consider Refunding Of The CVB Marketing
Budget
•Launch new Pismo Beach Stewardship and Education Program. This program involves both residences and visitors and deals with how their personal impact and involvement can sustain and improve our area for generations to come.
•This program will be available to all through the Pismo Beach website and social media channels (e.g., Podcasts, Tik Toks, Pinterest, Instagram, downloadable activities, etc.) •Pismo Preserve:Working with the SLO Land Conservancy, participants will learn about Pismo Beach’s rich California history, including the native people, plants, and animals. •Monarch Butterfly Grove:In conjunction with the Monarch Butterfly program by the California State Parks, we will continue to promote environmental awareness, ecology, and life science education.
•Pismo State Beach Cleanup: Organize and publicize quarterly beach cleanup days.
Consider Refunding Of The CVB Marketing
Budget
Stay Vacation campaign to run in SLO, Fresno and Santa Barbara Counties to promote special lodging packages to turn Day-trippers into overnight guests.
1.Promote midweek and shoulder season lodging specials to motivate visitors to not just come for the day,but stay the night.
2.Stress the importance of staying close to home and saving money on gas .
3.Promote cross visitation with surrounding areas in conjunction with a similar Visit SLO CAL programs.
4.Consider the CVB/LBID Advisory Board recommendation to spend $110,900 per year from the CVB General Fund available marketing budget for advertising for stewardship and staycation marketing starting in Fiscal Year 2023.
Conclusion and Recommendation
•Adopt a Resolution authorizing the City Manager to execute Amendment #5 to the TJA Advertising &Public Relations LBID Advertising Agreement by $43,355 and appropriating related budget adjustments to pay for the visitors' research study in Fiscal Year 2022;
•Consider the CVB/LBID Advisory Board recommendation to spend an additional $350,000 per year to increase the LBID annual marketing budgets starting in Fiscal Year 2023;
•Consider the CVB/LBID Advisory Board recommendation to spend $110 ,900 per year from the CVB General Fund available marketing budget for advertising for stewardship and staycation marketing starting in Fiscal Year 2023.
QUESTIONS