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Home My WebLink About04. Vail Destination Marketing Organization Discussion Presentation - 07.02.2024Vail Tourism Organization Structure Town Manager Review DESTINATION MARKETING ORGANIZATION PROPOSED STRUCTURE AGENDA 1.Who we are: VLMD and VLMDAC 2.What is a Destination Marketing Organization (DMO) 3.Why we need a DMO Structure 4.Current and Recommended Structure 5.DMO Funding and Implementation Considerations 6.Action Requested VLMD: WHO WE ARE KEY CHAPTERS IN THE VAIL LOCAL MARKETING DISTRICT EVOLUTION: Establishment of the Vail Local Marketing District, a marketing and promotions tax funded at 1.4% per night tax on overnight stays of less than 30 days in Vail. The statute defines the power of the district to provide the following services: Organization, promotion, marketing and management of public events, Activities in support of business recruitment, management and development, Coordinating tourism promotion activities VLMD Est. 1999 2020 KEY CHAPTERS IN THE VAIL LOCAL MARKETING DISTRICT EVOLUTION: 1999 Creation of the Vail Local Marketing District by the Vail lodging community, funded by a 1.4% per night tax on overnight stays of less than 30 days in Vail. VLMD is poised to evolve into a comprehensive DMO, encompassing 12 months of destination marketing, management, special events, welcome centers, and business development. VLMD partners with Vail Mountain to directs users to Vail.com as its primary call to action. VLMD leads summer marketing, Vail Mountain manages winter marketing 2006 2007 VLMD creates its first online presence at DiscoverVail.com. VLMD begins to gather customer data and create a customer relationship management framework: full- time, year-round marketing. 2020 CO Bill HB1117 Passed VLMD affirmed VLMDAC focus on marketing and promotions Magellan conducts ballot initiative polling Management of the VLMD moved in-house, to the Town of Vail, including Special Events oversight. 2022 2024 WHAT IS A DESTINATION MARKETING ORGANIZATION (DMO) A DMO brings together marketing, promotion, special events, visitor education and experience, and destination/business development. The overarching goal of the DMO is to nurture and protect a robust visitor economy,healthy environment, strong infrastructure, and a thriving community. Efficiency results from a clear and seamless structure that prioritizes the community's needs and town council priorities in marketing the destination and delivering on the experience. A DMO structure will best serve the goals of the town council as it pulls together the diverse elements within a destination and aligns them strategically to a set of clear goals and deliverables. WHAT IS A DESTINATION MARKETING ORGANIZATION (DMO) WHY WE NEED A DMO STRUCTURE WHY DO WE NEED A DESTINATION MARKETING ORGANIZATION (DMO) Strategic direction and structure vs. organic evolution of the organization Strategic alignment to the Town of Vail Strategic Plan Special Events,Welcome Centers and business development all part of VLMDAC strategic plan Future funding sources for sustainability over time Competitiveness with other DMO’s Scalable and flexible to adapt to changing market conditions DMO Organizational Purpose The Discover Vail organizational review aims to create an efficient, productive, and well- coordinated work environment that supports achieving organizational goals and objectives. Clarity and direction Efficient coordination Decision-making and autonomy Scalability and growth Internal and external capabilities Performance accountability and alignment WHY IS A DMO BETTER FOR VAIL? The Proposed Discover Vail DMO structure will achieve three key objectives: 1).Bringing Guests to Vail. Advertising, social media, public relations, airline relations, group sales, lodging relationships, research/data and analytics and special events to support marketing and optimize guest visitation. 2). Delivering on the Vail Experience. The DMO oversees the guest experience. This includes customer service training, employee recognition and engagement, special events, community engagement through facilities, the Vail community and trail host program, and stewardship education. 3).Business Development include supporting local entrepreneurship, collaborating with the Vail Chamber and Business Association, and the Vail Valley Partnership, to provide leadership and professional development for small businesses. DMO RESPONSIBILITIES CURRENT AND RECOMMENDED STRUCTURE Vail Town Council VLMDAC Town Manager Deputy Town Manager Econ Dev Director Internal Role External RoleInternal and External KEY Reporting Structure CURRENT DIRECTION AND GOVERNANCE Vail Town Council VLMDAC Town Manager Deputy Town Manager Tourism & Econ Dev Director Internal Role Internal and External External Role KEY Strategic Direction Reporting Structure PROPOSED STRATEGIC DIRECTION AND GOVERNANCE Econ Dev Director Marketing & Communications Advertising Group Sales Airline Relationships Social & Content Public Relations Research & Data Analytics Special Events Sponsored Events Owned Events Event Review/Permitting Econ Dev Admin Welcome Centers Business Development Regional Cham ber Local Chamber Internal Role Internal and External External Role CURRENT TOV ECON DEV DEPARTMENT STRUCTURE VLMDAC Tourism & Econ Dev Director The Vail Experience Customer ServiceTraining Welcome Centers Tourism & Econ Dev Admin Destination Marketing Advertising Lodging Liaison Public Relations Social Media & Content Research / Data Analytics Group Sales Airline Relations Special Events Strategic Development Permitting & Production Business Development Entrepreneurship Small Business Support StewardshipRegional Chamber Local Business Chamber Vail Economic Advisory Council Internal Role Internal and External External Role PROPOSED TOURISM & ECON DEV DMO STRUCTURE VLMDAC VLMDAC Tourism & Econ Dev Director Destination Marketing Advertising Regional Chamber Group Sales Air Service Communications & Public Relations Social Media/Content Public Relations Research & Data Analytics Special Events Strategic Development Sponsorship Permitting & Production The Vail Experience Customer Service Training Welcome Centers Community/ Engagement Stewardship Local Business Chamber Business Development Entrepreneurship Tourism & Econ Dev Admin External RoleInternal Role Internal and External PROPOSED LONG TERM: TOURISM & ECON DEV STRUCTURE Current Future Town Council (VLMD)Approve budget and operating plan Appoint VLMDAC Approve Contracts Same, except approve contracts VLMDAC Provide strategic direction for operation of the destination marketing organization including marketing and promotion of destination Provide strategic plan for comprehensive DMO including marketing, special events, visitor experience and destination development Approve Contracts Town Manager Econ Dev Director reports to Deputy Town Manager Same Economic Development Director Manage operation of Econ Dev with direction from town manager and VLMDAC Manage operations of the comprehensive DMO with direction from VLMDAC strategic plan and town manager. ROLES AND RESPONSIBILITIES FUNDING AND IMPLEMENTATION CONSIDERATIONS DMO (VLMD + ECON DEV) FUNDING OVER TIME DMO (VLMD + ECON DEV) FUNDING OVER TIME DMO PHASED IMPLEMENTATION: SHORT TERM (0-18 Months) Name Change: Discover Vail: Tourism and Economic Development New Organizational Structure Maintain Current Marketing Programs and Initiatives, including Special Events New Organizational Strategic Plan –Develop in October 2024 Create the Marketing, Special Events, Arts and Culture (MSAC) Collaborative committee SUMMARY: BENEFITS OF A DMO STRUCTURE Strategic Alignment Specialized Expertise Agility and Flexibility Ability to Staff Appropriately Industry Focus Increased Competitiveness Brand Management Objectivity and Fresh Perspective Effectiveness and Efficiency Marketing & The Vail Experience ACTION REQUESTED Action Requested:Does Town Council support this proposed structure for a Destination Marketing Organization? Vail Tourism Organization Structure Town Manager Review THANK YOU