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HomeMy WebLinkAbout2020-06-16; City Council; ; Economic Recovery and Revitalization Initiative Joint Marketing PlanCA Review CKM Meeting Date June 16, 2020 To: Mayor and City Council From: Scott Chadwick, City Manager Staff Contact: Laura Rocha, Deputy City Manager, Administrative Services laura.rocha@carlsbadca.gov, 760-602-2415 David Graham, Chief Innovation Officer david.graham@carlsbadca.gov, 760-434-5992 Subject: Economic Recovery and Revitalization Initiative Joint Marketing Plan Recommended Action Adopt a resolution approving the Carlsbad is Calling business promotion and tourism marketing campaign and authorizing the city manager to negotiate and execute an agreement with Visit Carlsbad for implementation services in an amount not to exceed $250,000. Executive Summary The City Council approved the Economic Recovery and Revitalization Initiative on May 5, 2020. It included $250,000 for a joint marketing plan to be developed by the City of Carlsbad, the Carlsbad Chamber of Commerce, the Carlsbad Village Association and Visit Carlsbad. The city and its partners created Carlsbad is Calling, a business promotion and tourism marketing campaign for economic recovery designed to draw attention to open businesses and activities. The targets include local and regional residents, Carlsbad businesses that would like to host corporate meetings and travelers within easy driving distance. The Ad Hoc City Council Economic Revitalization Subcommittee recommends the City Council approve this campaign approach. Under Carlsbad Municipal Code 3.28.060, the city would ordinarily solicit bids or proposals for the services necessary to implement the campaign. However, the City Council has the discretion under Carlsbad Municipal Code Section 3.28.110(N) to dispense with the solicitation of bids and proposals when doing so would be in the city’s best interest. Staff recommends the City Council exercise this discretion in this instance and authorize the city manager to negotiate and execute an agreement with Visit Carlsbad for implementation services in an amount to exceed $250,000. Contracting with Visit Carlsbad to provide the implementation services would be in the city’s best interest because the campaign employs tactics that are consistent with successful marketing campaigns Visit Carlsbad has implemented in the past, with a combination of digital marketing, print and television ads and other advertising methods. In addition, with Visit June 16, 2020 Item #10 Page 1 of 14 Carlsbad leading the development and implementation of the campaign, the city has reduced campaign development and overhead costs, which are estimated to be approximately 8%-12% of the overall campaign budget. Discussion Background The COVID-19 health emergency has had a significant impact on businesses in Carlsbad. Many shut down due to the stay-at-home order and those that remained open were required to modify operations. Restaurants, retail and hospitality businesses that anticipate a surge of customers during the peak travel season in the summer months must contend with modified operations and reduced visitors. There is uncertainty regarding the level of tourism Carlsbad will have because of the lingering impacts of the pandemic. The loss of revenue due to the stay-at-home order, the cost of modifying operations to reopen and the shortened travel season are hitting businesses hard. Carlsbad businesses have taken a measured approach to reopening, in keeping with state and county regulations. Restaurants have resumed modified dine-in operations and, as of June 12, 2020, establishments that serve alcohol but not food, such as brewpubs, breweries, bars and wineries, can operate consistent with state guidance and county regulations. In the hospitality industry, hotels and other visitor-serving accommodations were restricted to serving workers deemed to be essential to the state’s critical infrastructure. Some hotels voluntarily closed all operations. As of June 12, 2020, hotels and other visitor-serving accommodations are no longer restricted to only serving essential workers. With the loss of revenue and required operational modifications, businesses are having to make tough decisions about business promotion. Recognizing the public interest in supporting economic recovery, the City Council approved the development of a joint marketing plan by the city, the Carlsbad Chamber of Commerce, the Carlsbad Village Association and Visit Carlsbad, as mentioned above. The result of that collaboration is Carlsbad is Calling, a joint business promotion and tourism marketing campaign for economic recovery (Attachment 2). Carlsbad is Calling Campaign Creating a unified marketing campaign that supports business promotion and tourism is an efficient use of resources that benefits the public by stimulating consumer activity and tourism. It also provides a messaging platform that can be amplified by our businesses, business organizations, tourism industry and Visit Carlsbad. The main goal of the campaign is to draw attention to Carlsbad businesses and visitor-serving opportunities. A well-designed campaign, focused on local and regional residents as well as travelers within driving distance, can accelerate economic recovery. More than an attempt to draw visitors, this campaign is designed to encourage shopping and tourism from locals as well as those who are not from the region. The concept speaks not only to an economic recovery, June 16, 2020 Item #10 Page 2 of 14 but to the collective commitment our community has to recovery. There will be a focus on businesses and activities that are available to newly traveling consumers as things open up, encouraging activity and purchases. It will also promote a message of safety and cleanliness, pointing out Carlsbad’s many open spaces and its distance from a large urban center to alleviate potential fears about the pandemic. The goal will be to encourage both local customers and people within driving distance to return to Carlsbad’s reopening businesses. The campaign’s umbrella concept is “Carlsbad is Calling,” which is designed to speak to locals and visitors alike. It will highlight the facts that Carlsbad is one of Southern California’s prime destinations for people to live and visit, with world-class beaches, tranquil retreats and internationally inspired restaurants as well as breweries, shops and cultural institutions. Promoting an experience that includes makers, independent boutiques, charming shopping experiences and one-of-a-kind offerings will support businesses of all sizes. The program, working in conjunction with the Carlsbad Village Association and the Carlsbad Chamber of Commerce, will also bring attention to the city’s small businesses. The messaging will focus on five areas:  Lodging  Activities and things to do  Restaurants  Shopping and retail  Outdoors Special care will be taken to ensure the campaign promotes reopened businesses while encouraging bookings, reservations, ticket purchases and retail purchases. There will be no promotion of activities and business that are not allowed by the state and county. The campaign will be consistent with the responsible reopening message that the city has consistently stressed. Local Southern California markets are expected to rebound quicker than larger destination markets as people will feel more comfortable traveling locally, driving and avoiding airline travel. For areas such as Los Angeles and Orange counties, the rest of San Diego County and the Palm Springs region, a trip to Carlsbad presents an attractive getaway. In the near-term, the drive market may extend as far as the Bay Area and Northern California to the north and Arizona to the east. The campaign will have a hyperlocal focus on Carlsbad and directly adjacent areas. Whether it is a “support local” initiative and exploring in your own backyard, or an increase in demand for regional and drive market travel; Carlsbad is well positioned with its Southern California location to attract travelers in California, across the West Coast and in Arizona. Corporate meetings and group sales are an important revenue stream for hotels and businesses with the right facilities. Encouraging our local companies to book events in Carlsbad rather than outside of the city will be another facet of the campaign. The city, local businesses and business June 16, 2020 Item #10 Page 3 of 14 organizations will coordinate their efforts through this campaign to keep corporate event dollars local. The Carlsbad is Calling campaign is slated to start in June and run five months, ending in October. This effort is timed to be a strong kick-off to recovery with additional marketing from Visit Carlsbad kicking in as the recovery progresses. The stakeholders that developed the campaign will assess the effectiveness of the campaign while it is being implemented and Visit Carlsbad will provide monthly reports to the city. Visit Carlsbad Visit Carlsbad is a non-profit 501(c)6 that the Carlsbad Tourism Business Improvement District contracts with to provide tourism marketing services for the city. Staff believes Visit Carlsbad is the right partner to implement this campaign and is a cost-efficient approach. The organization Visit Carlsbad has shown proven results over the years, with creative campaigns that span the advertising spectrum. Its 2019 integrated spring advertising showed fantastic results and returns, with leisure occupancy up 14% from the previous year during the campaign. That campaign helped attract an estimated 3.59 million visitors to Carlsbad. Some of those results based on an ad effectiveness study were:  A 58:1 return on investment  Total destination impact of 8.8 million visitors  16,200 incremental trips to Carlsbad generated  Total room revenue generated during campaign of $1.5 million  Cost to reach per household of only 9 cents Visit Carlsbad produced this campaign completely in-house with minimal outside assistance, as it is willing to do for the Carlsbad is Calling campaign. Visit Carlsbad has budgeted $250,000 for digital marketing efforts for fiscal year 2020-2021. Slow revenue in the beginning of the fiscal year may impede initial marketing plans, but the Carlsbad is Calling campaign is intended to provide a boost to tourism that will help with a more rapid recovery. This will allow Visit Carlsbad to continue marketing efforts beyond the duration of the city-funded campaign. Fiscal Analysis In keeping with the Economic Recovery and Revitalization Initiative approved by the City Council, $250,000 from the $5 million set aside for the initiative will be used to fund the implementation of the Carlsbad is Calling campaign. Next Steps Upon approval of the Carlsbad is Calling campaign and the successful negotiation and execution of an agreement between the city and Visit Carlsbad, Visit Carlsbad will begin implementation of the Carlsbad is Calling campaign. The city, Carlsbad Chamber of Commerce, Carlsbad Village June 16, 2020 Item #10 Page 4 of 14 Association and Visit Carlsbad will coordinate on implementation and reporting. Visit Carlsbad will provide monthly reports to the city on the implementation of the campaign. Environmental Evaluation (CEQA) This action does not constitute a “project” within the meaning of the California Environmental Quality Act under Public Resources Code section 21065 in that it has no potential to cause either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment and therefore does not require environmental review. Public Notification Public notice of this item was posted in accordance with the Ralph M. Brown Act and it was available for public viewing and review at least 72 hours prior to scheduled meeting date. Exhibits 1. City Council resolution 2. Carlsbad is Calling: A joint business promotion and tourism marketing campaign for economic recovery June 16, 2020 Item #10 Page 5 of 14 RESOLUTION NO. 2020-117 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING THE CARLSBAD IS CALLING BUSINESS PROMOTION AND TOURISM MARKETING CAMPAIGN AND AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT WITH VISIT CARLSBAD FOR IMPLEMENTATION SERVICES IN AN AMOUNT NOT TO EXCEED $250,000 EXHIBIT 1 WHEREAS, on March 4, 2020, the State of California declared a State of Emergency as a result of the spread of COVID-19; and WHEREAS, the Health Officer of the County of San Diego issued an order requiring people to remain in their homes or place of residence except for employees Gr customers traveling to and from essential businesses or activities; and WHEREAS, the State of California and County of San Diego now allow for the reopening of some businesses consistent with the California Resilience Roadmap and County public health order; and WHEREAS, food and beverage establishments, nonessential retail, and other visitor-serving businesses have experienced significant economic impact; and WHEREAS, sales tax and transit occupancy tax are estimated to constitute approximately one- third of the City's FY 2019-2020 revenues; and WHREAS, promoting locally reopened businesses and attracting tourism is important to economic recovery which in turn supports city revenues and benefits the public; and WHEREAS, on May 5, 2020, the City of Carlsbad approved $250,000 for the development of a joint business promotion and marketing campaign with the Chamber of Commerce, Carlsbad Village Association, and Visit Carlsbad; and WHEREAS, the City of Carlsbad, Chamber of Commerce, Carlsbad Village Association, and Visit Carlsbad collaboratively developed Carlsbad is Calling: a joint business promotion and tourism marketing campaign for economic recovery; and WHEREAS, the Ad Hoc City Council Economic Revitalization Subcommittee has endorsed the Carlsbad is Calling approach; and WHEREAS, the City requires professional services to implement the Carlsbad is Calling campaign; and WHEREAS, Carlsbad Municipal Code 3.28.ll0(N) allows the City Council to dispense with competitive bidding and solicitation requirements when doing so is in the City's best interest; and June 16, 2020 Item #10 Page 6 of 14 EXHIBIT 1 WHEREAS, Visit Carlsbad has the necessary experience to provide the required implementation services cost-effectively; and WHEREAS, the City Council has determined it is the City's best interest to dispense with the competitive bidding and solicitation requirements and contract with Visit Carlsbad to implement the Carlsbad is Calling campaign. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1. That the above recitations are true and correct. 2. That the Carlsbad is Calling campaign is approved. 3. That the City Manager is authorized to negotiate and execute an agreement with Visit Carlsbad for implementation services in an amount not to exceed $250,000. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 16th day of June 2020, by the following vote, to wit: AYES: NOES: ABSENT: Hall, Blackburn, Bhat-Patel, Schumacher. None. None. (SEAL) June 16, 2020 Item #10 Page 7 of 14 City of Carlsbad Recovery Marketing Outline The Recovery Campaign The main goal of the campaign is to draw attention to the open businesses & activities available to newly traveling consumers as things open up, encourage action & purchases, promoting safety and cleanliness message along with open spaces and proximity away from major metro areas to alleviate potential fears on virus related concerns, encouraging return from both drive markets and local audiences. Objectives: Bring awareness to reopening of Carlsbad businesses with focus on five major pillars of tourism interests. Encourage actions: bookings, reservations, tickets purchase, retail purchase. Ensure Carlsbad is the premier choice for Californians and West Coast Americans returning to travel, driving revenue in a much-needed recovery period, maintaining throughout the 2020-2021 fiscal year. KPI’s: Measure traffic increases via web analytics; time on site, pageviews and links off to partner business sites. Measure hotel occupancy increases and leisure/group movement via the STR monthly reports. Targeted audiences: Los Angeles/Orange County, San Diego (greater), Greater Palm Springs, Hyperlocal area (Carlsbad & immediate areas). Local Southern California markets will rebound quicker vs destination markets as people will feel more comfortable traveling locally, driving and avoiding bigger mass transit (flights), while still being close to home. The recovery marketplace will see an increase in “support local” initiatives and exploring in our own backyard, and an increase in demand for regional and drive market travel; Carlsbad is well positioned with its Southern California location to attract travelers in California and across the West Coast. Advertising: Advertising will use a few different messages depending on the audience and message segment. The following advertising segments would be utilized: •Google Search PPC & Display Network •Digital Radio •Video Pre-Roll & In-Page Video (internet) •Connected TV Video (In-home) •Display Banner Advertising / Retargeting & Remarketing •Social Media Advertising & Retargeting •Print Ads (Leisure & Group) EXHIBIT 2 June 16, 2020 Item #10 Page 8 of 14 • TV Broadcast – spotlight features during morning/evening news • Email blasts to newsletter subscribers • Custom landing pages/website • Blog content articles See Attachment A for proposed media flowchart & plan. Messaging: We will focus on five areas of focus/ messaging: 1) Lodging 2) Activities/Things to Do 3) Restaurants 4) Shopping/Retail 5) Outdoors Key Points: • The destination of Carlsbad is safe and welcoming travelers—it remains a charming beachside destination offering incredible wellness, outdoor adventure, and luxury experiences. • As travelers look to reset and rejuvenate, Carlsbad’s marquee resorts serve as a wellness oasis to reconnect and center as we reemerge into our day-to-day lives. • As we look to travel together again, Carlsbad offers something for the whole family and beyond. From surfing, hiking, and biking to incredible food, beer, and local events, Carlsbad is a great destination for everyone. • A quintessential Southern California beach town, Carlsbad offers a variety of incredible experiences led by small businesses, makers, and creatives. Supporting Carlsbad supports its community. Campaign Umbrella Concept: “Carlsbad is Calling.” Nestled among seven miles of pristine coastline, Carlsbad is one of Southern California’s prime destinations offering legendary resorts, world-class spas and wellness retreats, championship golf courses with ocean views, vibrant flower fields, family attractions and theme parks, a bustling craft beer and culinary scene, as well as a charming downtown village. Carlsbad revolves around unforgettable experiences in the sun and sand, at tranquil spa retreats, and among the internationally inspired restaurants, breweries, shops, and cultural institutions. Will you answer the call? Learn more at CarlsbadIsCalling.com. June 16, 2020 Item #10 Page 9 of 14 Subset Campaign Messaging Focus Restaurants/Shopping/Retail: Shop Local/Support Local Business You can help us recover and be part of the solution. Support our local business and let’s give back to those in the community who are part of our own family. They have been providing for us and now we can help provide for them. Group Sales: Keep Meetings Local There are many businesses who call Carlsbad “home”. Now they can help us by keeping meetings local and support our city and hotels during this recovery time. Now more than ever, we as a community need to come together, stand strong and stay united. Outdoors: Wide Open Space to Escape from the Doldrum. Carlsbad is home to seven miles of pristine beaches, the most trails in all of San Diego and a whole lot of parks and outdoor space. Only here can you truly escape from everyone and everything – while still enjoying the best amenities of the larger cities, only without all the crowds. Restaurants: Same great tastes. Things may seem a little different, but some things like world class dining, delicious casual eateries, spectacular offerings that make your mouth water; these things haven’t changed at all. Your seat may be different, but your experience will still be great. Lodging: Luxury to casual costal, Carlsbad has you covered. We’ve all waited for this time.- to get out and get away. Carlsbad is home to amazing resort properties and casual beach lodging. Whatever it is your looking to call home, we have it here for your next stay. Campaign Tentative Timing by Message Segment: This timeline will be based on when appropriate messaging is ready to be rolled out. This will be determined by the State, County of San Diego and City of Carlsbad allowed policy and easement schedule and timing. June July August September October Lodging Restaurants Shopping/Retail Outdoors Activities June 16, 2020 Item #10 Page 10 of 14 Ad Effectiveness Study As an option, we can conduct an Ad Effectiveness Study post-campaign for results on how well the advertising efforts performed. The study would report on things such as: Market Reach, Cost Efficiency, Incremental Travel, Incremental Revenue Generated, Return on Investment, Number of Households Reached, Incremental Room Nights, and more. Budget Spend & Ad Deployment/Campaign Timing The detailed budget spend of $250,000 will take place over a 5 month schedule. The monthly budget would be broken out as follows: June $20K, July 70K, August 64K, September 49.5K and October 46.5K. See Attachment B for complete budget breakout and timing. Visit Carlsbad Marketing Messaging Continuation In conjunction with the City of Carlsbad marketing funds, Visit Carlsbad has budgeted for the 2020/21 fiscal year (July 2020 - June 2021) $250,000 for their digital marketing efforts. These funds will continue the key areas of marketing messaging and in some cases, overlap or enhance the promotion of the five main segments, providing continued longevity to the destination’s marketing promotions. In certain areas depending on a number of factors (current assessments, demand, positive rebound in the market) it may make sense that some of the marketing messaging and deployments shift from the city marketing plan to Visit Carlsbad, allowing us to focus on other needs and potentially elongating the city marketing campaign for a longer period of time. See Attachment C for complete digital marketing breakout of Visit Carlsbad. Although Visit Carlsbad has extensively budgeted out starting July 1, Visit Carlsbad realizes that it will potentially be a slow growth period for revenues to return for their assessment, and depending on how hotel occupancy rates progress, could hinder the onset of their projected digital budget. However, with the city marketing efforts, we will be able to kick-off strong and maintain market presence with the expected spends from Visit Carlsbad kicking in as market recovery progresses. Campaign Reporting Reporting will be a key part of the marketing campaign, monitoring performance, reach and other key metrics & key performance indicators. We will utilize various sources for reporting, including Google Analytics for website traffic, STR reports for hotel data metrics, advertising reports from vendor contracts on performance, as well as social media ad data. All of this information will be rolled into monthly reports and will cover all the key areas of our advertising campaign while being presented to the marketing committee and city officials. Based on report metrics, campaigns may be adjusted or altered, to ensure the best return and performance on each individual ad spend/product. June 16, 2020 Item #10 Page 11 of 14 Unit Length/Size Space Deadlines Materials Deadlines Run Dates Placement Details CPM Gross Impressions NET COST Digital Sojern 300x250, 728x90, 160x600, 300x600300x50, 320x50 6/15 6/25 7/1-10/1 Sojern Traveler Platform Display/Mobile: Carlsbad Intenders- Travelers who are looking to travel to SoCal, competitive conquesting, google audience and smart retargeting.$6.00 2,500,000 $15,000 $15,000 Sojern :15 or :30 sec pre-roll Video 6/15 6/25 7/1-10/1 Sojern Traveler Platform Pre-Roll Video: Carlsbad Intenders- Travelers who are looking to travel to SoCal, competitive conquesting, google audience and smart retargeting.$16.00 625,000 $10,000 $10,000 Sojern 300x250, 728x90, 160x600, 300x600 300x50, 320x50 6/15 6/25 7/1-10/1 Sojern Traveler Platform Display/Mobile: ADDED VALUE: Carlsbad Intenders- Travelers who are looking to travel to SoCal, competitive conquesting, google audience and smart retargeting. $0.00 208,333 $0 $0 Pandora 300x50, 320x50 6/15 6/22 2/1-3/31 Demo Targeting: MF 30-65+; LOS ANGELES DMA, SAN DIEGO DMA; Publisher Targeting: Pandora, SoundCloud; Content Targeting: Music $28.00 678,750 $9,500 $9,500 Pandora Mobile Video :30 with Standard Banner 300x250 6/15 6/22 2/1-3/31 Demo Targeting: MF 30-65+; Arizona, California, Nevada;Geo Anti-Targeting: LOS ANGELES DMA, SAN DIEGO DMA; Audience Targeting: Leisure Travelers AND Pandora Household Income >$100K; Publisher Targeting: Pandora, SoundCloud; Content Targeting: Music $32.00 890,625 $14,500 $14,500 Pandora Mobile Display with Standard Banner 300x250 6/15 6/22 2/1-3/31 Demo Targeting: F 30-65+; LOS ANGELES DMA, SAN DIEGO DMA; Content Targeting: Music $8.00 375,000 $3,000 $3,000 Pandora Mobile Display with Standard Banner 300x250 6/15 6/22 2/1-3/31 Demo Targeting: F 30-65+; Arizona, California, Nevada;Geo Anti-Targeting: LOS ANGELES DMA, SAN DIEGO DMA; Audience Targeting: Leisure Travelers AND Pandora Household Income >$100K; Content Targeting: Music $14.00 214,285 $3,000 $3,000 Pandora Display Everywhere - non-guaranteed 6/15 6/22 2/1-3/31 Demo Targeting: MF 30-65+; Arizona, California, Nevada;Geo Anti-Targeting: LOS ANGELES DMA, SAN DIEGO DMA; Audience Targeting: Leisure Travelers AND Pandora Household Income >$100K; Content Targeting: Music $0.00 122,544 $0 $0 Trip Advisor 970x250, 300x600, 300x250, 728x90, 320x50, Native Mobile 6/15 6/25 7/1-10/1 Destination Content Pages - Carlsbad + Competitive Content $24.00 600,000 $14,400 $14,400 Trip Advisor 970x250, 300x600, 300x250, 728x90, 320x50, Native Mobile 6/15 6/25 7/1-10/1 Retargeting on TripAdvisor - Retarget SoCal Attractions Searchers on TA (SeaWorld, San Diego Zoo, Safari Park, Legoland, Disneyland, Universal Studios Hollywood)$17.00 500,000 $8,500 $8,500 Trip Advisor :15 video + copy 6/15 6/25 7/1-10/1 Destination Content Pages | Outstream Video (native) - California $35.00 100,000 $3,600 $3,600 Trip Advisor :15 video + copy 6/15 6/25 7/1-10/1 Drive Markets + Audience Segments | Outstream Video (native) - Family Travelers - Los Angeles, Orange County, San Diego, Riverside, Santa Barbara DMA IP's $35.00 100,000 $3,500 $3,500 Adara Pre-Roll Video :15 / :30 6/15 6/25 7/1-10/1 Desktop/Mobile/Tablet Video Pre-roll Package: ADARA In-Market Searchers and Bookers to Carlsbad, La Jolla, Oceanside and Encinitas + Geo-targeting + Retargeting $14.00 714,286 $10,000 $10,000 Adara Display 300x600, 300x250, 160x600, 728x90 6/15 6/25 7/1-10/1 Desktop/Mobile/Tablet Display Package: ADARA In-Market Searchers and Bookers to Carlsbad, Oceanside and Encinitas + Geo-targeting + Retargeting $6.00 2,500,000 $15,000 $15,000 Adara Display 300x600, 300x250, 160x600, 728x90 6/15 6/25 7/1-10/1 ADARA Added-value Desktop/Mobile/Tablet Display Package: ADARA In-Market Searchers and Bookers to Carlsbad, Oceanside and Encinitas + Geo-targeting + Retargeting $0.00 625,000 $0 $0 Google Display Network Standard IAB Units/Respnsive Units 6/30 6/30 6/1-10/1 Geotargeting consumers in LA, San Diego, Palm Springs who are doing Google Searches in our keyword list. Can also conquest target (ex.: searching for Santa Barbara)$0.65 15,000,000 $24,000 $24,000 SpotX Video Desktop/Mobile 6/15 6/25 7/1-10/1 RON or RON Video with Demo Targeting to Women with Children Ages 8 and Younger with HHI $100K+, Audience Targeting to Vacation Intenders, Geo-Targeting & Re-Targeting $11.00 1,818,181 $20,000 $20,000 SpotX Video Connected TV 6/15 6/25 7/1-10/1 RON or RON Video Targeting CTV Content with Demo Targeting to Women with Children Ages 8 and Younger with HHI $100K+, Audience Targeting to Vacation Intenders, Geo- Targeting and Geo-Targeting $40.00 250,000 $10,000 $10,000 Social Media Ads Desktop/Mobile 6/15 6/25 6/1-10/1 Facebook / Instagram $11.00 1,818,181 $9,000 $9,000 Print SD Tribune Half/Full Page 6/15 6/25 7/1-10/1 Sunday Print/Digital Banners $0.00 680,000 $5,000 $5,000 MICE Publications Print/Digital 6/15 6/25 7/1-10/1 Print/Digital $6.00 360,000 $10,000 $10,000 LA Times Half/Full Page 6/15 6/25 7/1-10/1 Sunday Print/Digital Banners $0.00 714,000 $5,000 $5,000 Television Los Angeles News 15-30 second spotlight 6/15 6/25 7/1-10/1 News Partnership on-air spots morning/evening news $0.00 1,500,000 $30,000 $30,000 TOTAL $6.78 32,894,185 $223,000 $223,000 Media Flowchart 2020 City of Carlsbad Recovery Campaign Media TOTAL COST June 16, 2020 Item #10 Page 12 of 14 2020 RECOVERY MARKETING BUDGET ALLOCATION June July August September October Total Allocation CREATIVE/CONTENT Video Assets Creation 10,000 0 4,000 0 0 14,000 Blog Content Creation 1,000 1,000 1,000 1,000 0 4,000 Digital Media Creations (HTML5 Ads)1,500 0 0 0 0 1,500 TOTAL CREATIVE COST 19,500 ADVERTISING Google Search Marketing (PPC) & Display Network 4,000 5,000 5,000 5,000 5,000 24,000 Pandora Digital Radio (Voiceover/Video/ Display)0 7,500 7,500 7,500 7,500 30,000 TripAdvisor (Video/Display)0 7,500 7,500 7,500 7,500 30,000 SpotX Video Advertising 0 7,500 7,500 7,500 7,500 30,000 Sojern Retargeting & Programatic Display/Video Ads 0 6,500 6,500 6,500 5,500 25,000 Adara Retargeting & Programatic Display/Video Ads 0 6,500 6,500 6,500 5,500 25,000 SD Tribune Print Ads - Welcome Back 0 5,000 0 0 0 5,000 LA Times Print Ads - Welcome Back 0 5,000 0 0 0 5,000 Social Media Ad Sets (Facebook/Instagram)2,000 2,000 2,000 1,500 1,500 9,000 Los Angeles TV News (CBS/NBC, etc.) Partnership/Spotlights 0 15,000 15,000 0 0 30,000 MICE Print/Digital Adsets 0 0 0 5,000 5,000 10,000 TOTAL ADVERTISING COST 223,000 AGENCY FEES Elevated Agency Fees PPC Search Management / Social Ads 1,500 1,500 1,500 1,500 1,500 7,500 TOTAL FEES COST 7,500 TOTALS 20,000 70,000 64,000 49,500 46,500 250,000 June 16, 2020 Item #10 Page 13 of 14 2020/21 Fiscial Year Digital Budget Total Spend Budgeted Total Spend Actual Total Spend Remaining Digital Channel July August September October November December January February March April May June YTD YTD YTD PPC Search 3500 3500 5000 4500 5000 5000 6000 6000 6000 6000 5000 5000 $60,500 $0 $60,500Digital Display Adwords 500 0 2000 2000 3000 0 3000 3000 3000 5000 4000 0 $25,500 $0 $25,500Website Development 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 4000 4300 $28,300 $0 $28,300 Content Creation 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 $12,000 $0 $12,000 SEO 4500 4500 4500 4500 4500 4500 4500 4500 4500 4500 4500 4500 $54,000 $0 $54,000Analytics/Reporting 300 300 300 300 300 300 300 300 300 300 300 300 $3,600 $0 $3,600Social Media Ads 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 $15,000 $0 $15,000 Trip Advisor Sponsorship 1666.666 1666.666 1666.666 1666.666 1666.666 1666.666 1666.666 1666.666 1666.666 1666.666 1666.666 1666.666 $20,000 $0 $20,000 Fees 2400 2400 2400 2400 2400 2400 2400 2400 2400 2400 2400 2400 $28,800 $0 $28,800Misc1200100100100100100100100100100100100$2,300 $0 $2,300 Total Monthly Spend $18,317 $16,717 $20,217 $19,717 $21,217 $18,217 $22,217 $22,217 $22,217 $24,217 $24,217 $20,517 $250,000 $0 $250,000 June 16, 2020 Item #10 Page 14 of 14 Zachary Markham Chairman Darcy Clevenger Vice Chair Joli Hatch Treasurer Fumi Matsubara Board Member Samantha Dean Fauce Board Member Heidi Willes Board Member Sherry Alvarado Board Member Jake Stipp Board Member Tony Tata Board Member Chanel Bennett Board Member The Carlsbad Village Association (CVA} is a non-profit organization whose core purpose is to lead the continual improvement of Carlsbad Village by promoting and enhancing its business, cultural, and community vitality, making it a premier destination. 300 Carlsbad Village Dr. Suite 108A #135 Carlsbad, CA 92008 760.644.2121 Carlsbad Villafe AHociation~ experience the viHaqe June 16, 2020 City of Carlsbad City Council 1200 Carlsbad Village Drive Carlsbad, CA 92008 Re: Agenda Item #10 Dear Mayor Hall and City Council Members: ·o All Receive -Agenda Item # _/ _ For the lnforma\ior of the: JYCOUNCIL i/ Oat CA V CC_ CM _ACM ~ DCM {3) ✓ On behalf of the Carlsbad Village Association, I am writing to you in support of the "Carlsbad Is Calling" business promotion and tourism campaign, the cornerstone of the Economic Recovery and Revitalization Initiative Joint Marketing Plan. I am asking that you adopt the resolution that will enable Visit Carlsbad to implement the plan as outlined. As a board member for Visit Carlsbad, our city's destination marketing organization, I know firsthand that they are perfectly situated to immediately implement and manage the plan and have the professional relationships in place to assist them as needed. Moreover, they have been retooling their marketing message to help bring tourism back to Carlsbad from the moment the pandemic caused our hotels, attractions, and businesses to shut down. They have stayed relevant and in front of our market via social media during the entire shutdown and are now poised to ramp up the message to help in our tourism recovery efforts. In CVA's advisory role , along with the Carlsbad Chamber of Commerce, we have advocated for messaging to include the "return to main street" in support of the many small businesses in Carlsbad with an emphasis on our exceptional dining and shopping . To that end, we have discussed how the recovery message can include small businesses to assist in their ongoing recovery as well. We are heartened to hear that many Village businesses are experiencing good business volume and great local support since reopening. We are confident that the Economic Recovery and Revitalization Initiative will help take their recovery to the next level. Thank you for supporting this initiative and adopting the resolution . Sincerely, ~~ Christine Davis www.carlsbad-village.com Executive Director info@carlsbad-v illage.com David Graham, Chief Innovation Officer Mark Rudyk, Visit Carlsbad June 16, 2020 Economic Recovery and Revitalization Initiative Joint Marketing Plan Recommendations Adopt a approving the Carlsbad is Calling business promotion and tourism marketing campaign and authorizing the city manager to negotiate and execute an agreement with Visit Carlsbad for implementation services in an amount not to exceed $250,000 Economic Uncertainty Citywide •Closures of all non-essential businesses •40 businesses have sent WARN letters -5,849 layoffs •Layoffs have leveled off •Federal assistance is being received •Reports of rehiring funded by PPP & EIDL •SANDAG unemployment data –300,000 job losses •22%-27% in Carlsbad Responsible Reopening Open •Dine-in restaurants, bars, breweries, wineries •In-store retail •Hotel and visitor serving accommodations •Museums, galleries and aquariums •Movie theaters, family entertainment centers •Beaches, trails and nature Closed •Amusement parks –July 1 pending state approval Joint Marketing Plan Goals •Local business promotion •Targeted tourism marketing •Shop and stay local •Stimulate business activity •Jumpstart revitalization = sales tax and TOT •Assist small businesses that lack promotion resources Joint Marketing Plan Development team •Carlsbad Chamber of Commerce •Carlsbad Village Association •Visit Carlsbad •Office of Innovation + Economic Development Implementation •Business organization collaboration •Visit Carlsbad –Marketing and reporting Spring Marketing Campaign “Carlsbad is Calling” Campaign: Carlsbad Is Calling Campaign Objective: Promote 5 major sectors of local tourism –Lodging –Activities/Things to Do –Restaurants –Shopping/Retail –Outdoors Focus Audience: Local and Drive Markets (750-mile radius) Campaign: Carlsbad Is Calling Advertising: Create an integrated campaign for maximum share of voice –Google/Yahoo/Bing Search Networks –Digital Radio –Video Pre-Roll & In-Page Video Content –Connected TV in Households –Retargeting & Remarketing Display Ads –Social Media Advertising –Print Ads (Leisure & Group Messaging) –Broadcast TV / News Integration –Email to Owned & Rented Lists –Custom URLs / Landing Pages –Blog Story Content Articles Campaign: Carlsbad Is Calling Campaign Call To Action: Carlsbad is Calling •The destination of Carlsbad is safe and welcoming travelers—it remains a charming beachside destination offering incredible wellness, outdoor adventure, and luxury experiences •A quintessential Southern California beach town, Carlsbad offers a variety of incredible experiences led by small businesses, makers, and creatives. Supporting Carlsbad supports its community. Campaign: Carlsbad Is Calling Subset Messaging •Shopping/Retail: Hyperlocal –Support Local Business •Outdoors: Escape & Enjoy Big City Amenities Without Big City Crowds •Restaurants: Your Seat May Be Different But Your Experience Will Still Be Great •Lodging: Luxury to Casual Coastal Carlsbad Has You Covered –Safe & Clean •Group Sales: Keep Meetings Local Campaign: Carlsbad Is Calling Campaign Timeline •Deploy Messaging On/Off with Current Conditions •Begin in June with Various Campaign Segments Running Past October •Visit Carlsbad to Supplement & Continue Messaging into 2021 Campaign: Carlsbad Is Calling Proposed Budget Allocation •Creative -Video & Ads (7.8%) •Advertising Buys -Digital Radio, Travel Intent Data Partners, Travel Sites, Social, TV Broadcast, Video, Print (89.2%) •Agency Partnership Fees (3%)* Campaign: Carlsbad Is Calling Reporting •Monthly Reports to Council/City •Weekly Check-Ins and Reporting to Sub-Committee •Budget Reconciliation with City Finance •Post-Campaign Ad Effectiveness Study Recommendations Adopt a approving the Carlsbad is Calling business promotion and tourism marketing campaign and authorizing the city manager to negotiate and execute an agreement with Visit Carlsbad for implementation services in an amount not to exceed $250,000 Thank You