HomeMy WebLinkAbout2009-06-02; City Council; 19837; Contribution Endless Summber Marketing CampaignCITY OF CARLSBAD - AGENDA BILL
19,837AB#
MTG. 06/02/09
DEPT.FIN
CONSIDERATION OF A
CONTRIBUTION TO THE ENDLESS
SUMMER MARKETING CAMPAIGN
DEPT. HEAD
CITY ATTY.
CITY MGR.
RECOMMENDED ACTION:
Adopt Resolution No. 2009-131 authorizing a $100,000 contribution to the Endless
Summer Marketing Campaign planned by the Carlsbad Tourism Business Improvement District
(CTBID) and appropriating the funds from the Council's General Fund contingency account.
ITEM EXPLANATION:
The Carlsbad City Council met recently with Chamber members and other business community
representatives during an open forum to discuss ways the City could help support the local
economy. Calling their effort the "Carlsbad Economic Stimulus Plan," the City Council focused
on ideas that would produce timely results, generate a measureable return on investment, and
have a direct impact on business revenues and jobs.
Reint Reinders, on behalf of the CTBID Board, presented an "Endless Summer Marketing
Campaign" to Council. This 90-day campaign, running June 2009 through August 2009, targets
Los Angeles and Orange County visitors, through on-line and print media. The CTBID will work
with hotels in Carlsbad with the goal of creating twenty irresistible summer deals. Paid search
and online banners will drive traffic to a microsite. Hotel rooms will be booked on the microsite.
The total cost of the campaign is $250,000. Given the recent downturn in the economy, the City
Council has considered a $100,000 contribution to help fund the campaign. The proposed
funding is $100,000 from the City of Carlsbad General Fund, $100,000 from CTBID reserves
and a $50,000 grant from NRG.
When the campaign is complete, the CTBID will submit a report to Council outlining the success
of the campaign and how the funds were used.
With the adoption of the 2008-09 Budget, Council appropriated $1,300,000 into a contingency
account to use for unanticipated emergencies or unforeseen program needs. There is $992,000
currently available in this account that can be used for any public purpose.
DEPARTMENT CONTACT: Colette Wengenroth 760-602-2430
colette.wengenroth@carlsbadca.gov
FOR CITY CLERKS USE ONLY.
COUNCIL ACTION: APPROVED
DENIED
CONTINUED
WITHDRAWN
AMENDED
^D
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CONTINUED TO DATE SPECIFIC
CONTINUED TO DATE UNKNOWN
RETURNED TO STAFF
OTHER - SEE MINUTES
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FISCAL IMPACT:
If approved, the fiscal impact would be to decrease The Council's General Fund contingency
account by $100,000.
ENVIRONMENTAL IMPACT:
Pursuant to Public Resources Code Section 21065 and CEQA Guidelines Section 15378, this
does not constitute a "project" within the meaning of CEQA and, therefore, does not require an
environmental review.
EXHIBITS:
1. Resolution No. 2009-131 appropriating $100,000 from the Council's General Fund
contingency.
2. CTBID funding agreement.
1 RESOLUTION NO. 2009-131
2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA, APPROPRIATING FUNDS FOR
3 THE ENDLESS SUMMER MARKETING CAMPAIGN.
4
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WHEREAS, the City Council met recently with business community
6
representatives to discuss ways to support the local economy, calling the effort the
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Carlsbad Economic Stimulus Plan; and
9 WHEREAS, the primary purpose of the Carlsbad Tourism Improvement District
IQ (CTBID) is to promote tourism and provide services to visitors to the City of Carlsbad;
11 and
12 WHEREAS, the CTBID desires to conduct an Endless Summer Marketing
13 Campaign; and
14 WHEREAS, there are sufficient funds in the Council's Contingency Account to
15 cover the contribution requested.
16
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
17
Carlsbad, California, as follows:
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19 1. That the above recitations are true and correct.
20 2. That the City Council elects to appropriate the funds requested.
21 3. That the Finance Director is hereby authorized to appropriate $100,000
22 from the Council's Contingency Account to cover the contribution requested and
23 transfer those funds to the CTBID.
24
4. That the Deputy City Manager is authorized to sign the May 20, 2009
25
CTBID Funding Letter Agreement with CTBID.26
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PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council
of the City of Carlsbad on the 2nd day of June, 2009, by the following vote to wit:
AYES: Council Members Lewis, Kulchin, Hall, Packard and Blackburn.
NOES: None.
ABSENT: None.
LEWIS, Mayor
ATTEST:
XORRAfNE M. $0OD', City Clerk 0
/(SEAI_P
CITY OF CARLSBAD
FINANCE DEPARTMENT
May 20, 2009
April Shute - Chair
Carlsbad Tourism Business Improvement District
CTBID FUNDING AGREEMENT
The Carlsbad City Council has agreed to contribute $100,000 to the Carlsbad Tourism
Business Improvement District (CTBID), to help fund their Endless Summer Marketing
Campaign.
The contribution is to be used to develop a new marketing program targeting Los
Angeles and Orange County visitors, through on-line and print media.
The CTBID will work with hotels in Carlsbad with the goal of creating twenty irresistible
summer deals. Paid search and online banners will drive traffic to a microstte. Hotel
rooms will be booked on the microsite with confirmation to come directly from the hotel
to the customer.
In addition to the $100,000 received from City Council, the CTBID will contribute
$150,000 to the campaign, $100,000 from CTBID reserves and $50,000 from a grant
from NRG.
This letter is to serve as a Letter of Agreement. Please sign the agreement and return it
in the enclosed envelope.
At the end of the marketing campaign, the CTBID will report to the City Council on how
the funds were expended, and on the success of the campaign. In addition, you agree to
maintain original records for a period of two years and make them available to the City
should they request to audit them.
Sincere!:
Deputy City Managed
April Shute' " /
Chair - Carlsbad Tourism Improvement District Date
1635 Faraday Avenue, Carlsbad, CA 92008-7314 PHONE 760-602-2430 FAX 760-602-8553 WWW.CARLSBADCA.COV
BUSINESS LICENSE 760-602-2495, UTILITY BILLING 760-602-2420, PURCHASING 760-602-2460 - FAX 760-602-8556
All Receive-A^er'k Item #_
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mlndgruve Date ity Manager^
EXHIBIT A
Carlsbad BID/DMO 2009 Summer Campaign Overview
Duration
The following recommendations are based on accomplishing the goals & objectives
outlined below over a (3) month term starting June 1, 2009 through August 31, 2009.
Budget
$250,000
Target
Los Angeles and Orange County
Method
Paid Search, Online Banners, Direct Mail, Email Marketing, Targeted Microsite
Strategy
Mindgruve to work directly with hotels in Carlsbad with the goal of 20 irresistible
summer deals. Paid search and online banners will drive traffic to a "convertible"
microsite. Hotel rooms will be booked on the the microsite with confirmation to come
directly from the hotel to the customer. There will be NO booking fees to allow for the
best possible deals.
Scope of Work and Deliverables
Pay-Per-Click Advertising- Yahoo & Google- Not to Exceed $87,500
Based on a (3) month term. Key search terms that drive travel and destination leads at
a time of need directly to our niched microsite and/or our Carlsbad Tourism Partners.
Pay-Per-Click Strategy will be done by Mindgruve
Pay-Per-Click Campaign will proceed per Schedule, Exhibit B
Pay-Per-Click Advertising placement "TBD" with Board approval and shall not exceed
$74,375
Project Estimate 105 hours
EXHIBIT A
mindgruve
Online Banner Advertising- Not to Exceed $50,000
Mindgruve will develop and design Carlsbad DMO Banner Ads for key family travel
websites that geotarget Los Angeles and Orange County. Mindgruve will provide the
mockups of the Online Banner Ads to the CTBID Board for its consideration and
approval.
Online Banner Creative, Design, Production and Media Placement will be done by
Mindgruve
Online Banner Advertising will proceed per Schedule, Exhibit B
Online Banner Advertising placement "TBD" with Board approval and shall not
exceed $42,500
Project Estimate 60 hours
Direct Mail- Not to Exceed $25,000
Mindgruve will develop, design, produce and deploy one (1) targeted direct mail piece
that supports our Hotel & Resort Summer Packages and Microsite.
Direct Mail will be done by Mindgruve
Direct Mail will proceed per Schedule, Exhibit B
Direct Mail Production and Deployment TBD" with Board approval and shall not
exceed $20,000
Project Estimate 40 hours
Email Marketing- Not to Exceed $25,000
Based on 3 month term. Series of targeted emails that support our Hotel & Resort
Summer Packages and Microsite. 1 Email per week, 12 total.
Email Marketing Design will be done by Mindgruve
Email Marketing Campaign will proceed per Schedule, Exhibit B
Email Marketing Target Lists and Deployment Fees "TBD" with Board approval shall not
exceed $10,000
Project Estimate 120 hours
Summer Package Development- Not to Exceed $8,000
Mindgruve will work with Hotels, Resorts and Theme Parks to formalize Internet special
summer packages, promotions, and coops.
Tourism Package Development will be done by Mindgruve
Tourism Package Development will proceed per Schedule, Exhibit B
Project Estimate 64 hours
EXHIBIT A
mindgruve
Microsite Design & Programming- Not to Exceed $15,000
Based on one (1) microsite campaign linked to key word domains for specific summer
travel package sales and promotions.
Microsite Design & Programming will be done by Mindgruve
Microsite Design & Programming will proceed per schedule, Exhibit B
Project Estimate 120 hours
Campaign Measurement- Not to Exceed $6,000
Entire Advertising Campaign will be measured on a monthly basis including web traffic,
conversions, open rates, click thru's, affiliates, channel partners, etc.
Campaign Measurement will be done by Mindgruve
Campaign Measurement will start June 1, 2009 on a weekly basis.
Project Estimate 48 hours (16 hours per month, 4 hours per week)
Campaign Project Management- Not to Exceed $33,500
This budget includes the monthly management fee for the account manager, project
managers, account communications, meetings, and ongoing campaign strategy.
Campaign Project Management will be done by Mindgruve
Campaign Project Management will start June 1, 2009
Project Estimate 268 (90 hours per month, approximately 22.5 hours per week)
Mindgruve will provide Carlsbad BID/DMO monthy progress reports
Contact information
CHAD ROBLEY PRESIDENT
crobley@mindgruve.com
1018 EIGHTH AVE SAN DIEGO, CA 92101
mindgruve.com I 619.757.1325x222
Exhibits
Carlsbad BID/DMO 2009 Summer Campaign Project Timeline
June 1, 2009 - August 31, 2009
Task 1 - Pay-Per-Click Advertising- Yahoo & Google
Pay-Per-Click Campaign will launch June 15, 2009
Task 2 - Online Banner Advertising
Online Banner Advertising will launch June 15, 2009
Task 3 - Direct Mail
Direct Mail Campaign will start June 1, 2009
Task 4 - Email Marketing
Email Marketing Campaign will launch June 15, 2009
Task 5 - Tourism Package Development
Tourism Package Development will start June 1, 2009 and be completed by July 1,
2009
Task 6 - Microsite Design & Programming
Microsite Design & Programming will launch June 15, 2009
Task 7 - Campaign Measurement
Campaign Measurement will start June 1, 2009 (Daily, Weekly, Monthly)
Task 8 - Campaign Project Management
Campaign Project Management will start June 1, 2009