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Home My WebLink About3/12/2008 - STAFF REPORTS - SS.1. PALM SPRINGS DESERT RESORT COMMUNITIES CVA 2007 SPOT MARKET/ AIR SERVICE CAMPAIGN Long Term Objective: To grow air service to the destination Strategy: _ Develop a cooperative partnership between the cities, airport, and CVA Description: This experience-driven campaign was designed to attract tourists seeking the perfect getaway package, which was achieved through a spotlight focus on three main themes: • Girlfriend's Getaway • Romantic Getaway • Unlimited Play Golf Getaway Through the use of print, broadcast advertising, websites, and electronic mail, we penetrated the following carefully selected markets, which amongst other criteria, offer direct flights from our airline partners to PSP- Portland (Alaska Airlines) • San Francisco (Alaska Airlines) • Seattle (Alaska Airlines) • Chicago (American Airlines) Media exposure began in March 2007 and continued through September 2007. Along with pre- recorded spots, radio stations featured "Palm Springs Desert Resorts Getaway Packages" as prizes for on-air, special event, and online contests. Each station heavily promoted these contests on their highly trafficked websites. Each print publication supplemented the campaign with website banner ads and in some cases included advertorials as added-value. Creative was submitted to publications based on their primary audience and geographic location. The overall goal of our advertising was to entice consumers to purchase vacation packages on American Airlines Vacations and Alaska Air Vacations. All advertisements directed consumers to splash pages on each of the airline's websites where they were able to purchase vacation packages to the destination. Co-op: CVA contribution: $200,000 City Co-op: $350,000 Alaska Airlines Newspaper Insert Co-op: $10,000 Total Co-op: $560,000 p3 f i��aao� �t � .SSr Expenses: Media: Chicago, Portland, San Francisco, and Seattle Investment: $389,097 Reach: 63,231,412 Added Value: $676,376 Total Value: $1,065,473 CPM- $6 Support: CMG Newspaper Insert Alaska Air Co-op: $75,000 Twin Advertising: $40,000 Edelman PR: $56,000 Total Expense: $560,097 ROI: _ Our campaign is currently being measured by airline statistics from American Airlines Vacations, Alaska Air Vacations, and Palm Springs International Airport (PSP). The campaign has proven to be effective as all eight cities have come together and are successfully reaching our goal of increasing air service to the destination. To begin to see the full return on this project, it may take several years. Currently, we are already beginning to see positive results from our air carriers. Airline feedback is positive, and they would like to see this program continue since the YOY demand for travel to the destination is increasing. Air Service Progress: July 1, 2007 Horizon Air, Alaska Airline's sister company, introduced non-stop air service between Seattle and PSP November 4, 2007 - April 6, 2008 Horizon Air will offer new non-stop air service between San Jose and PSP November 4, 2007 - April 6, 2008 Horizon Air will add non-stop air service between Portland, Ore. and PSP to supplement Alaska Airline's seasonal flight between the two cities. November 4, 2007— May 17, 2007 WestJet will be adding 17 weekly departures from PSP. This is an increase of 5 weekly departures from last winter. Alaska Airlines From January 1 through September 30, Alaska Airlines has transported 30,505 more people over last year. Vacations hotel room nights are up 5%, which is a huge improvement since the first half of the year was down by 23% from last year. Passenger forecasts on vacations packages are up 45% for October through December. Overall, we have increased the desire for people to travel to Palm Springs and stay longer(average of 4.05 nights). As of 9/30/2007 Passenger Counts: 333,253 YOY Increase: +9% (30,505 passengers) Room Nights Booked: • Prior to the start of this promotion there were 299 room nights booked, which was down 23% from last year. • As of 9-30-07, we have booked 1015 room nights, which is up 5% from last year. • Room nights are expected to increase for the months of September through December. Vacations Booking: • October— December bookings are up 45% YOY(205 in 2007 v. 141 in 2006) Best Selling Packages: • #1 Hyatt Grand Champion • #2 Desert Springs, A JW Marriott • #3 Wyndham Palm Springs Statistics: 45% of business to PSP is through alaskaair.com • 55% of business to PSP is through call centers • Average passengers per booking: 2.5 • Average length of stay: 4.05 nights • Highest booked departure cities to PSP #1: Seattle • #2: Portland • #3: Vancouver Airline Support: • www.alaskaair.com/pspescapes • Splash page announcing and describing promotion • Link on homepage of website, which directs viewers to Palm Springs area splash page • Direct link for viewers to go to Palm Springs area splash page • Exposure on Insider Newsletter, which is e-mailed to 1,000,000 frequent flyer card holders • Exposure in June Travel Agent Newsletter, which is e-mailed to 10,000 travel agents • Co-op support by purchasing back panel of 8 panel newspaper insert to be distributed in Seattle, San Francisco and Portland • Inclusion in Bank of America (Alaska Airlines Credit Card) statement mailed out to 1.8 million card holders • 10% direct consumer discount for passengers who book online • Alaska Air provided the CVA with 48 promotional tickets for radio giveaways American Airlines RO1 Although the carrier is unable to provide us with measurable statistics, they have said that they have seen an overall increase in travel to the destination. Airline Support: • www.aavacations.com • Splash page announcing and describing promotion • Banner ad on homepage of website, which directs viewers to Palm Springs area splash page • Splash page for Palm Springs on "Featured Destinations" page • American Airlines will award 1,000 bonus ADVANTAGE miles to any property booked online American Airlines provided the CVA with 20 promotional tickets for radio giveaways Representation: Palm Springs Chicago Public Relations Inclusions Media Luncheon: Educated journalists of the Palm Springs Area and promotional packages for the Chicago Market that can be purchased through American Airlines Syndicated Travel Columnist, Mary Lu Laffey, Chicago: Elite Land "Hummer"Tours—a look at the outlying desert area and windmills Print Inclusions Chicago Magazine Chicago Tribune Magazine Chicago Social Magazine Radio Inclusions WLIT The Falls Prime Steakhouse The Fabulous Palm Springs Follies The Senior Class Palm Springs Air Museum WKSC Wyndham Palm Springs Matchbox Pizza Bistro Crazy Bones BBQ Kaiser Grille The Fabulous Palm Springs Follies The Senior Class Palm Springs Air Museum Portland Print Inclusions Ultimate Magazine Portland Monthly Oregonian Travel Brochure Portland Oregonian Newspaper Insert Radio Inclusions KINK FM The Chop House The Fabulous Palm Springs Follies The Senior Class The Palm Springs Aerial Tramway Palm Springs Air Museum Knott's Soak City KUPL The Fabulous Palm Springs Follies The Senior Class Palm Springs Air Museum The Falls Prime Steakhouse San Francisco Print Inclusions 7X7 Magazine San Francisco Magazine SF Weekly San Francisco Chronicle Newspaper Insert Radio Inclusions KBWF Escena Golf Club Crazy Bones BBQ Knott's Soak City Palm Springs Aerial Tramway Palm Springs Air Museum KLYD Matchbox Pizza Bistro The Fabulous Palm Springs Follies The Senior Class Knott's Soak City KOIT Matchbox Pizza Bistro Knott's Soak City Palm Springs Aerial Tramway Palm Springs Air Museum The Fabulous Palm Springs Follies Seattle Print Inclusions Seattle Magazine Pacific Northwest Magazine Pacific Northwest Golfer Seattle Times Newspaper Insert Radio Inclusions KMPS The Falls Prime Steakhouse Elite Land Tours The Fabulous Palm Springs Follies The Senior Class The Palm Springs Aerial Tramway Palm Springs Air Museum Knott's Soak City Escene Golf Club Kaiser Grille KW RM The Fabulous Palm Springs Follies The Senior Class Palm Springs Air Museum