TEAM SAN JOSE
CEDC Update, March 27 – Item (d)1
Presenters:
Kerry Adams Hapner, Office of Economic Development and Cultural Affairs Team San Jose: John LaFortune, Ihab Sabry, Ben Roschke, Matthew Martinucci, and Laura Chmielewski
Hotel Economy
▪ Citywide demand (rooms sold has returned to ~92% of pre-COVID levels) ▪ These gains are impacted as supply (rooms available) is 13% over pre-COVID levels ▪ Revenue is at 75% of pre-COVID levels and is ahead of City budget by +43% ▪ Downtown hotels continue to lag pre-COVID performance by a greater margin Business Climate
Downtown capacity for walkable rooms reduced significantly from 1,000-1,200 to 700-800
Potential Impacts:
• No large HQ Hotel for groups
• Less full-facility convention center groups
• Unlikely for events like Sales Kickoff meetings even with uptown room blocks (will not prefer shuttle option)
• Competing more now with large single-properties across the U.S. • Large groups like Cal Dental Assoc and Fanime that fill “need periods” may be put at risk
• Large groups like Apple & Facebook harder to accommodate Sales Strategy Update
Sales Team fully staffed
Focusing on diversification of market segments
High flexibility and discounts where needed, especially within 12-month arrival Resoliciting previous Lost/Turndown groups
Uptown Hotel Strategy
• Blocks at uptown hotels based on need
• Shuttle provided at no additional cost
• 8 Partner hotels, inventory of 1,915 rooms
Sales Strategy Update
Integrated Travel, Tradeshow and Customer Event Plan being implemented • Trade shows
• Sales Missions (three in NorCal in Spring)
• Entertainment (SJ Sharks, GS Warriors)
Third parties
• DMI Hotels Representation
• Helms Briscoe qualified Fam (March 20-22)
• Strategic Partnership with Helms Briscoe
Consumer Paid Media Plan Overview
• The objective of the plan is to drive incremental hotel room nights, and thus TOT revenue, through leisure visitation by targeting and converting digital leisure travel intenders through paid digital media strategies.
• The media mix for this plan is made up of digital programmatic, travel endemic (such as TripAdvisor and Expedia), paid social and paid search. The campaign creative was produced by local artists and was featured on Team San Jose’s paid and owned media channels.
• Visit California (the state’s destination marketing organization) media partnerships were leveraged in every way possible including features in their Annual Visitor Guide, print and digital campaigns, podcast sponsorship, full-page insertion in the Visit CA Road Trips Guide, and dedicated emails to Visit California consumer subscribers.
Source: Tableau 6
July - December Consumer Paid Media
Production Reporting Spend Produced
7 All data above is sourced from: ADARA Impact, Sojern, Expedia, and Tableau IMPRESSIONS 50,668,972 INQUIRIES 3,145,651
HOTEL BOOKINGS 11,667
TOTAL
REVENUE TOTAL REVENUE TOTAL REVENUE $19,692,777 TOTAL ROAS $47.56 HOTEL SEARCHES 1,462,278
HOTEL REVENUE $5,494,914
Definitions:
● Inquiries = Website pageviews/interactions, off-site
ad unit interactions
● ROAS = Return on Ad Spend
● Impressions = How many times the an ad was
delivered to users.
*Inclusive of paid media and paid social
FLIGHT SEARCHES 1,787,229 FLIGHT BOOKINGS 16,788
Meetings Paid Media Plan Overview • The objective of the plan is to drive new meetings business and group hotel bookings by driving leads to convert meeting planners using paid digital media strategies. • The campaign is focusing on target markets with a historical propensity to plan group events in San Jose as well prioritizing in-state markets. • The media mix is made up of digital programmatic, meeting endemic digital (display, email, eNewsletters, native, webinars), paid social and paid search. These efforts are supported by meetings-specific creative content and in conjunction with Team San Jose’s owned B2B channels including website, eCRM, and social media efforts. • In December, new creative versions were rotated in, with two versions to test against each other for greatest return. Both A and B creative versions were weighted equally and performance between the two versions were nearly equal, suggesting the creative approach is strong for both versions.
Source: Tableau 8
Paid Media Report: July - Dec. 2022 Performance
Source: Tableau, Google Analytics 9
Meetings Performance Overview
Total
RFP
Completions
69 Total
Campaign
Inquiries
33,307
Total
Campaign
Reach
3,624,428
*Inclusive of Paid Digital Media and Paid Social
Definitions:
● Impressions = How many times the an ad was delivered to users. ● Reach = Unique individuals reached through media campaign ● Inquiries = Website pageviews/interactions, off-site ad unit interactions ● RFP = Request for Proposal (an online form used to request more information for planning a meeting/event to be held in San Jose)
Total
Email Sign Up
Completions
1,735
Total
Campaign
Impressions
14,497,713
Organic Social Media
PLATFORM DEC 2021 DEC 2022 YOY
FACEBOOK 30,112 30,078 -0.11
INSTAGRAM 15,573 20,366 30.78
TWITTER 8,606 8,536 -0.81
LINKEDIN 2,687 2,861 6.48
YOUTUBE 432 445 3.01
PINTEREST 572 605 5.77
TOTALS 57,982 62,891 8.47
• From July through December, followers increased 7% across all social channels July through December, with the largest jump attributed to Instagram at 17.4% growth on the platform. • Average engagement rate remained consistent from throughout the year despite Visit San Jose pausing activity on Twitter
EMAIL: July - December 2022 (Consumer/Leisure)
• From July to December, 12 campaigns were launched totaling over 544k emails sent. Content included seven Neighborhood Spotlight emails, ad hoc emails promoting local events such as the Silicon Valley Classic, Summer Fest, the Winchester House, and the Drone Racing League exhibition. Emails to our active segment generated an average 45% open rate and a 1.5% click-toopen rate. 3,516 new subscribers were added between July and December. • Content included
○ Seven Neighborhood Spotlight emails (Alviso, Downtown, Little Italy, Mayfair, Evergreen, Naglee Park, Santana Row)
○ Local event promotion (Mubadala Silicon Valley Classic, Summer Fest, Winchester House, Drone Racing)
• Emails to our active segment generated an average 45% open rate and 1.43% click-to-open rate. • Total Leisure Database 86,103 11
PR Highlights
• Placed 22 stories in national and local publications and outlets
• Reach 17.2M unique viewers
• Advertising Value on Editorial Coverage - $167K
• Coverage included National Geographic Traveler
UK, World Cup Adjacent Events, Spotlight San Jose,
Silicon Valley Business Journal (online), Travel and
Leisure (online), and more.
• Focused on positioning San Jose as top of mind for travel and showcasing the economic impacts of tourism
• Major themes included:
• Return of travel to San Jose
• Local economic impact of travel
• FIFA World Cup (coordinated light activation in
partnership with FOX Sports)
• Leisure travel hot spots
Ins ide Guide: San J os e
Print + Online
Reach 587K | Ad Value $18.8K
Bay Area Bus ines s Bounce Back
Broadcast
Reach 167.8K | Ad Value $60K
The 10th Larges t City in the U.S. Might Be the Country's Mos t Underrated Touris t Des tination — and It Gets 300 Days of Suns hine
Online
Reach 9.5M | Ad Value $17.9K
What Team San J os e has to
s ay about the future of touris m
in the Bay Area's bigges t city
Online
Reach 6.4M | Ad Value
$12.1K
Thank you.