TEAM SAN JOSE
Semi Annual Update to CEDC
September 23, 2024
AGENDA
TSJ COLLABORATIVE MARKETING INITIATIVE
UPDATE
TSJ BUSINESS OUTREACH UPDATE
2026 CITY-LED COMMITTEE UPDATE
2 AGENDA
FY 23-24 Performance Measures
FY 23-24 Dashboard Metrics
FY 24-25 Performance Goals
Hotel Performance and Travel Trends
FY 23-24 Sales Strategy and Tactics
3 AGENDA
MARKETING & COMMUNICATIONS:
STRATEGY & RESULTS
DEMAND TRENDS
PAID MEDIA – CONSUMER/LEISURE
PAID MEDIA – MEETINGS
OWNED MEDIA
EARNED MEDIA
4 Team San Jose met with marketing stakeholders from the San Jose Downtown Association, the Mayor’s Office, the City Manager’s Office, the City’s Office of Economic Development, and Council District 3, on August 9th and August 30th, to begin coordinated destination, regional, and local marketing efforts. The next meeting will include representatives from SJC and SJSU.
Thus far, we have initiated a shared marketing asset database for strategic deployment, the start of a Citywide Editorial Calendar of events for collaborative promotion, Key Performance Indicators (KPIs) and the group agreed to launch shared branding and coordinated messaging for the first time to promote San Jose’s Holiday Season this December.
Additional initiatives include collaborations on shared branding, collateral, imagery, and marketing strategy.
Event information and promotional details will be shared with coordinating organizations and the downtown business and hospitality communities through the 60-day calendar email distribution and at TSJ’s Bi-Annual Summit for Hospitality.
Collaborative Marketing Initiative
5 Team San Jose launches it’s first Bi-Annual Summit for Hospitality (TSJ BASH) on Tuesday, September 17th.
The event features updates on Team San Jose, hospitality industry outlooks, outlooks for TSJ managed facilities, ways that businesses can utilize and leverage TSJ to grow their marketing reach and increase sales.
Extensive outreach through TSJ’s own channels was
supplemented with assistance from: the San Jose Chamber of Commerce, San Jose Downtown Association, Community
Strong Strategies, the City of San Jose and affiliated
neighborhood business associations.
TSJ Outreach to Local Businesses
6 Team San Jose was asked to present and presented a draft paid media plan for a “Stay and Play” campaign at a
meeting with City staff, the San Jose Sports Authority, San Jose Sharks, and San Jose Earthquakes on August 22nd.
TSJ is eager to further participate in the City-Led 2026 efforts.
City staff will be presenting an in-depth report on 2026 activities at the October 2024 CEDC meeting.
TSJ’s Involvement in City-Led
2026 Efforts
7 FY 23-24
Performance Results
8 Estimated Direct
Visitor Spending
FY 2023-24 YEAR-END (PRELIMINARY UNAUDITED)
Future Hotel Room Nights
Booked (Citywide)
Theater Occupancy
Gross Operating Revenue
Gross Operating Results
Customer Satisfaction
Response Rate
$75,560,249
121,835
94%
$43,358,497
$5,678,162
100%
28%
YTD ACTUAL GOAL VARIANCE % GOAL ACHIEVED
$55,108,300
112,000
91%
$37,840,445
$1,539,364
95%
$20,451,949
9,835
3%
$5,518,052
$4,138,798
5%
137%*
109%
103%
115%
369%*
105%
TEAM SAN JOSE
Convention Center and Facility Performance Results
* - Overage due to increased scope of NVIDIA and several short9term corporate event bookings.
FY 23-24
Dashboard Metrics
10 TSJ Theaters
TSJ Convention
Facilities
603,643
239,271
ATTENDEES DIRECT SPEND
$13,292,621
$62,267,628
VENUES
ESTIMATED ECONOMIC IMPACT
By Venue Type
YOY DIRECT SPEND
17.7%
51.9%
11 DASHBOARD METRICS
Occupancy
Average Daily Rate
Revenue Per
Available Room
WEBSITE UNIQUE VISITORS ・ sanjose.org
FYTD
FYTD YOY
65.1%
$165.00
$107.44
825,535
12.4%
FY 2023-24 FYTD YOY
3.6%
4.1%
7.9%
HOTEL INFO
12 SOCIAL MEDIA
PLATFORM
Facebook Likes
Instagram Followers
X (Twitter) Followers
LinkedIn Followers
YouTube Subscribers
Pinterest Followers
TikTok Followers
30,475
28,545
8,398
460
3,105
371
633
TOTAL NEWSLETTER SUBSCRIBERS
92,765
13 SALES DASHBOARD
FUTURE CITYWIDES
BOOKED
Count
Rooms
18 70,153
LEAD GENERATION
FYTD %FYOY
-33.3%
-15.2%
MARKET SEGMENTATION OF FUTURE
CITYWIDE ROOM NIGHTS BOOKED
FYTD %FYOY
Event Leads Entered
Room Night
Leads Entered
1,252
1,356,335
21.4%
23%
14 FY 24-25
Performance Goals
15 HOTEL GROUP ROOM NIGHTS
NON-FINANCIAL PERFORMANCE
MEASURE ASSUMPTIONS
Continued diversification of group clientele
Leverage increased national presence in Midwest and East Coast markets Explore emergent markets for the destination like pharmaceutical, AI and bioscience Continue support of direct in-house business while focusing on convention calendar FY 2023-24 saw unanticipated room nights from FIFA and the Super Bowl Minimal rooms will book from those groups in FY 2024-25. Majority of the rooms remaining will book post event.
16 THEATER OCCUPANCY
NON-FINANCIAL PERFORMANCE
MEASURE ASSUMPTIONS
CUSTOMER SATISFACTION
Continue delivering strong service regardless of event volume New temporary San Jose Civic dock allows better access forecasts strong theater performances
ESTIMATED VISITOR SPEND
Continued growth for the Convention Center in attendance and economic impact
Utilizing an updated economic impact calculator that better expresses the value of theater patrons
17 Estimated Direct
Visitor Spending
Future Hotel Room Nights
Booked (Citywide)
Theater Occupancy
Gross Operating Results
Customer Satisfaction
$75,560,249
121,835
94%
$5,678,162
100%
FY 2023-24 ACTUAL
(UNAUDITED)
FY 2024-25
GOAL
% VARIANCE TO
LAST FY ACTUAL
$78,150,000
117,000
93%
$2,047,535
95%
3%
-4%*
-1%
-64%**
-5%
TEAM SAN JOSE
CONVENTION CENTER AND FACILITY PERFORMANCE GOALS FY 2024-25 * - Variances due to forecasted market conditions at time of goals and timing of 2026 mega-event room contracts ** - Forecast for FY 2024-25 impacted by timing around NVIDIA 2025 bid and budget cycle 18 Hotel Performance
And Travel Trends
19 THE DOWNTOWN HOTEL MARKET IS ACCELERATING ITS RECOVERY
HOTEL PERFORMANCE
AND TRAVEL TRENDS
After several years of being the area slowest to recover, downtown has accelerated its recovery – especially in 2024. Over the first six months, demand was up 17% YOY. However, slow international and business travel recovery will delay the return to pre-COVID levels until 2027.
SUMMER TRAVEL HAS BEEN STRONG
July and August saw considerable growth in downtown demand. A larger percentage of visitors stayed overnight. They also stayed longer on average than last summer.
INTERNATIONAL VISITATION IS BEGINNING TO RETURN
North American markets (Canada and Mexico) are recovering to pre-pandemic levels of visitor spending in 2024. Overseas markets are growing but won’t reach pre-pandemic spending levels until 2026.
20 % Change - FY 2023-24 vs FY 2022-23
ROOM DEMAND
Citywide, Downtown and Airport Hotels
21 Visitor Profile Domestic Visitation:
May to July – 2023 vs 2024
2023 2024
22 INTERNATIONAL OVERVIEW
23 FY 24-25
Sales Strategy & Tactics
24 SALES STRATEGIES
AND KEY METRICS UPDATE
• Primary focus on 24-month arrival window (2024 – 2025) • Extensive, integrated group campaign to raise planner awareness of San Jose as a stand-alone NorCal destination and generate RFPs (see next slide)
• Utilizing T&E and sponsorship funding for highest customer engagement opportunities and to mitigate meeting cost increases
• Show dates at SJCC (Ex Halls): 72 in 2023, 96 in 2024 (+33%) • Lead Volume FY 22-23 ( 1,031) v FY 23-24 (1,232) = +19% • Continued focus on diversification of industries
25 SALES
Tradeshow and Event Calendar
26 SALES
Tradeshow and Event Calendar
27 MARKETING &
COMMUNICATIONS
FY23-24 Leisure & Meetings Campaigns
28 PAID MEDIA
PERFORMANCE
Consumer
29 • The objective of the plan was to drive incremental hotel room nights, and thus TOT revenue, through consumer visitation by targeting and converting digital travel intenders through paid digital media strategies.
• Per City Council direction, moving forward, marketing efforts will also address residents in support of Downtown visitation.
• The media mix for this plan was made up of digital programmatic, high-performing travel brands (such as Expedia), paid social and paid search.
• Last fiscal year’s campaign investment was strategically allocated with a focus on prioritizing heavier investments into production partners, aiming to deliver as strong a Return on Advertising Spend (ROAS) as possible.
PAID MEDIA PLAN OVERVIEW
30 • The campaign creative was produced by local artists, and it also featured San Jose’s global dining experience. The creative was featured on Visit San Jose’s paid and owned media channels including consumer and meetings websites, eCRM, (email data bases of both consumers and meeting planners), earned media (PR placements), and social media. • The campaigns include multiple placements with Visit California- across all their platforms. • To address local audiences as requested moving forward, we have added in-market digital targeting and local billboards and radio advertising in the new fiscal year. • We will continue to measure ROAS to ensure incremental revenue is generated through marketing efforts.
PAID MEDIA PLAN OVERVIEW
(Continued)
31 CONSUMER PAID MEDIA
IMPRESSIONS
REACH
HOTEL REVENUE
PRODUCTION REPORTING: July 1, 2023 – June 30, 2024 (Full Fiscal Year)
TOTAL REVENUE
Flight + Hotel Revenue
Combined
89,218,312
29,739,473
$15,729,084
INQUIRIES
HOTEL BOOKINGS
FLIGHT BOOKINGS
6,407,415
46,628
14,617
$36,743,274 TOTAL ROAS
Return on Ad Spend $38.25
Notes:
• Production data is available from the following sources per metric:
• Hotel Revenue: Expedia, ADARA Impact, Sojern (as a calculation of booking data) • Hotel Bookings: Expedia, ADARA Impact, Sojern
• Flight Bookings: ADARA Impact and Sojern (as a calculation of booking data) • Total ROAS: Calculation based total amount of integrated media spend divided by total revenue. • Expedia is no longer providing hotel and flight search data as of May 2023. Data from other partners is minimal and therefore search data is not included. • Production data is only a reflection of paid media.
• Impressions, reach and Inquiries is inclusive of paid media, paid social and paid search. 32 Meetings
PAID MEDIA
PERFORMANCE
33 • The objective of the plan was to drive new meetings business and group hotel bookings by driving leads to then convert meeting planners using paid digital media strategies. • The campaign prioritized in-state markets with a historical propensity to plan group events in San Jose.
• The media mix was made up of digital programmatic, meeting endemic digital (display, email, newsletters, webinars), paid social and paid search.
• These efforts were supported by meetings-specific creative content and in conjunction with Visit San Jose’s owned B2B channels including website, newsletters, and social media efforts. • Paid Media efforts contributed 4,163 leads to feed Sales efforts.
Source: Tableau
PAID MEDIA PLAN OVERVIEW
34 Total Campaign Inquiries Total RFP Completions
Total Campaign Reach
Meetings Leads
Total Campaign Impressions
57,037,782 19,012,594
1,424,472 105 4,163
MEETINGS PAID MEDIA
REPORTING: July 2023 – June 2024 (Full Fiscal Year)
Source: Tableau, Google Analytics
Notes:
• Impressions, reach and inquiries is Inclusive of paid media, paid social and paid search. • Meetings leads inclusive of RFP submissions via GA, webinar leads via media/offline media leads, website meetings email signups, and website modal meetings signups. 35 OWNED MEDIA
Social
36 Facebook
Instagram
LinkedIn
YouTube
Pinterest
TikTok
30,475
28,545
460
3,105
371
633
ORGANIC SOCIAL MEDIA
January – June 2024
PLATFORM JUN 2023 JUN 2024 YOY
30,626
33,298
479
3,437
1,258
676
Threads 5,936
63,589 75,710
0.50 16.65
4.13 10.69
239.08
6.79 5,936
19.06 ORGANIC FOLLOWERS GREW BY NEARLY 20% YOY due to continued growth on Instagram and TikTok.
Average engagement sustained 5.5% growth across all platforms.
Note: We have
stopped using X
(Twitter) and
therefore are
seeing a slow
decline in
followers.
37 THEMES
DOWNTOWN SAN JOSE LOCAL BUSINESSES SPOTLIGHTS
● Downtown San Jose Food Hall
● Urban Putt
● Pobladores Night Market
● Block Party Reminders
ORGANIC
SOCIAL MEDIA
January – June 2024
SAN JOSE AS A PREMIER SPORTS DESTINATION
● 50th Anniversary of San Jose Earthquakes
● 49ers Faithful in San Jose Light Up Activation
● San Jose Sharks Draft
SPRING EVENTS AND ATTRACTIONS
● Outdoor spaces in San Jose
38 SAN JOSE HISTORY
● In memory of Yosh Uchida
INDUSTRY ACTIVATION WITH VISIT CALIFORNIA – featuring
Olympic Gold Medal Freestyle Skier Johnny Moseley, Dan
Gordon, Visit San Jose and LA Reporter Angela Sun
SAN JOSE AS A CREATIVE INCUBATOR
● #WeCreate408
● Make Music Day
● Cinequest
ORGANIC
SOCIAL MEDIA
THEMES
January – June 2024
39 • From July 2023 through June 2024, 26 campaigns were launched totaling over 2.26 million emails sent, a 25.6% increase from FY23-24. 22,067 new subscribers were added from paid search, paid social, and on-site sources.
• Content included support for events and promotions including SummerFest, Mosaic Festival, Cirque du Soleil, #WeCreate408 and shows at the San Jose Theaters.
• Emails to our active segment generate an average 41% open rate.
EMAIL (CONSUMER)
TOTAL LEISURE DATABASE
92,765
40 • In addition, 20 media emails were deployed via various vendors to their meeting planner databases.
• This has resulted in over 570k emails delivered, 156k opens, and 5,200 unique clicks.
TOTAL MEETING LEADS
4,163
EMAIL (MEETINGS)
41 Public Relations
EARNED MEDIA
42 PR HIGHLIGHTS
Samsung S24 Ultra Field Trip
Broadcast & Online
Nationwide CW Affiliate TV Markets + Podcast
REACH 53.7M | AD VALUE $475.5K
Wine Wanderlust
Print & Online
REACH 89.5K | AD VALUE $1.5K
YOY, both reach and ad value increased by 145% and 526.6% respectively.
Furry Convention Helps
Boost Business
Broadcast & Online
REACH 2.4M | AD VALUE $53K
San Jose Lunar
New Year Celebrations
Broadcast
REACH 36K | AD VALUE $326.8K
Popular Hotel in Downtown San Jose
Will Temporarily Close Its Doors
Broadcast & Online
REACH 1.7M | AD VALUE $77K
THEMES INCLUDED:
• Economic impacts of Meetings business in San Jose, (FurCon, Genesis Gaming, Nvidia GTC).
• San Jose as the perfect travel destination for tech launches and product debuts. • San Jose as major sports destination with citywide lighting activation in red and gold for 49ers appearance in Super Bowl and teal for Sharks #1 Draft celebration.
Unique Views
73.5M
REACH AD VALUE
$1.2M
We placed 147 stories in national and local publications and outlets. 43 DEFINITIONS
● Industry Standards
○ CTR goal of 0.40% is a blend of industry standards for Social (0.90% FB benchmark) + Digital (0.08%-0.12%) + Native (1-3%). ○ CPE is based on estimated amount of engagements per partner dependent on media spend, impression volume and tactic. It’s calculated by spend divided by engagement (digital video views, clicks contributing to site traffic and engagement with custom units). We want CPE to be as low as possible to demonstrate efficiencies through media buying power and optimizations. ○ CPI is based on estimated amount of inquiries per partner dependent on media spend, impression volume and tactic. Note that only portion of our media (Convert tactics) is optimized toward inquiries to drive a further vacation planning action.
● Glossary
○ Inquiries = Website pageviews/interactions, off-site ad unit interactions ○ Impressions = How many times the an ad was delivered to users. ○ Total Revenue = includes Flight and hotel revenue combined. ○ ROAS = Return on Ad Spend. This is calculated based on amount of spend divided by total revenue. ○ CPM = Cost Per 1,000 Impressions.
○ CTR = Click Through Rate.
○ CPE = Cost per engagement. Site visits to partner landing pages, social media video completions and post activity all count towards engagements to demonstrate success against creating engagement with content and moving consumers to seek out vacation planning information. ○ CPI = Cost per inquiry. Inquiries - pageviews/website engagements, off-site engagements, video completions ○ CPLPV = Cost Per Landing Page View.
○ CPC = Cost Per Click.
○ Link Click = When a user clicks the link in an ad or post. ○ Landing Page View = When a user who clicks a link successfully views the landing page after it loads. ○ Reactions = Interactions with social media posts/ads such as Like, Love, Care, Haha, Wow, Sad and Angry. ○ Reach = Total number of people exposed to messaging.
○ Impressions = How many times the an ad was delivered to users. ○ Frequency = The average number of times each person saw your ad. ○ Engagement Rate = The total number of engagements divided by the number of impressions, then turned into a percentage. ○ RFP = Request for Proposal (an online form used to request more information for planning a meeting/event to be held in San Jose) 44 THANK YOU
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