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HomeMy WebLinkAbout06. VLMD-VLMDAC Joint Meeting Agenda Packet VAIL LO C AL MAR K E T IN G D IS T R IC T ME E T IN G Vail Local Marketing District Agenda Virtual 2:00 P M, March 16, 2021 Meeting to be held Virtually (access High Five Access Media livestream https://www.highfivemedia.org/live-five the day of the meeting and visit https://www.vailgov.com/town-council to participate in public comment) Notes: Times of items are approximate, subject to c hange, and cannot be relied upon to determine what time C ounc il will consider an item. Public comment will be taken on each agenda item. Citizen participation offers an opportunity for citizens to express opinions or ask questions regarding town services, policies or other matters of community conc ern, and any items that are not on the agenda. Please attempt to keep c omments to three minutes; time limits established are to provide efficienc y in the c onduct of the meeting and to allow equal opportunity for everyone wishing to speak. 1.Call to Order 2.Consent Agenda (5 min.) 2.1.2021 V L MD Contracts over $50,000 Background: As part of the 2021 Vail Local Marketing District Operating Plan, six vendors are contracted over $50,000. Town of Vail financial policies require that any contract valued at over $50,000 receive Vail Local Marketing District approval prior to being executed. Staff Recommendation: Authorize the V LMD to enter into agreements with the following vendors on a form approved by the Town Attorney, to assist the Vail Local Marketing District Advisory Council to Market Vail in the non- winter months: Branding, Production, Paid Media and Strategic Lead from Cactus for $1,135,890, Group Sales and Marketing from Vail Valley Partnership for $342,500, Coordination, Finance and Legal fees from Town of Vail for $225,860, Public Relations from Malen Yantis P R for $184,500, Coordination, Marketing and Production from S I TE Marketing for $166,000 and Data Systems Enhancement from Brown Analytics Advisory Group for $81,850. 3.Presentations / Discussion 3.1.Use of DiscoverVail.com logo and brand for Town of Vail funded special event and program sponsorships 10 min. Presenter(s): Esmarie Faessler, Chair, V LMD A C, Mia Vlaar, Economic Development Director Action Requested of Council: Listen to presentation and ask questions. Background: DiscoverVail.com is the primary call to action (C TA) for March 16, 2021 - Page 1 of 48 V LMD marketing efforts and is the primary brand focused on the Vail guest. DiscoverVail.com logo would replace the Town of Vail logo as the consistent and prioritized brand for all town funded event sponsorships and for promotions that are primarily guest focused. Staff Recommendation: Approve the DiscoverVail.com logo to replace the Town of Vail logo at town sponsored, primarily guest focused, events and programs. 3.2.Year Round Marketing Proposal 10 min. Presenter(s): Esmarie Faessler, V LMD A C Chair, Mia Vlaar, Economic Development Director Action Requested of Council: Discussion only. No action required. Background: V L MD A C has previously discussed with V LMD the need for a year-round marketing effort due both to changes in the Vail Resorts winter focused marketing model and the need to market Vail as the premier international year-round mountain resort destination.Town Council recently approved the Magellan Strategies Coordinated Community Outreach Plan to survey residents on a potential effort to establish a dedicated funding source for year-round destination marketing. 4.Public Hearings 4.1.Approve Resolution No. 2, Series of 2021, Resolution amending the 2021 V LMD budget. 20 min. Presenter(s): Esmarie Faessler, V LMD A C Chair, Mia Vlaar, Economic Development Director Action Requested of Council: Approve Resolution No. 2, Series of 2021, Resolution amending the 2021 V L MD budget. Background: Please see attached memo. Staff Recommendation: Approve Resolution No. 2, Series of 2021. 5.Adjournment 5.1.Adjournment 2:45 pm (estimate) Meeting agendas and materials can be accessed prior to meeting day on the Town of Vail website www.vailgov.com. All town c ounc il meetings will be streamed live by High Five Acc ess Media and available for public viewing as the meeting is happening. The meeting videos are also posted to High Five A cc ess Media website the week following meeting day, www.highfivemedia.org. Please c all 970-479-2136 for additional information. S ign language interpretation is available upon request with 48 hour notification dial 711. March 16, 2021 - Page 2 of 48 VA I L TO W N C O UNC I L A G E ND A ME MO I T E M /T O P I C: 2021 V L MD Contracts over $50,000 AC T IO N RE Q UE S T E D O F C O UNC I L: A uthorize the V L MD to enter into agreements with the following vendors on a form approved by the Town Attorney, to assist the Vail L ocal Marketing District Advisory Council to Market Vail in the non-winter months: Branding, Production, Paid Media and Strategic L ead from Cactus for $1,135,890, Group Sales and Marketing from Vail Valley Partnership for $342,500, Coordination, F inance and L egal fees from Town of Vail for $225,860, P ublic Relations from Malen Yantis P R for $184,500, Coordination, Marketing and P roduction from S I T E Marketing for $166,000 and Data Systems Enhancement from Brown A nalytics A dvisory Group for $81,850. B AC K G RO UND: As part of the 2021 Vail L ocal Marketing District Operating P lan, six vendors are contracted over $50,000. Town of Vail financial policies require that any contract valued at over $50,000 receive Vail L ocal Marketing District approval prior to being executed. S TAF F RE C O M M E ND AT IO N: A uthorize the V L MD to enter into agreements with the following vendors on a form approved by the Town A ttorney, to assist the Vail L ocal Marketing District A dvisory Council to Market Vail in the non-winter months: B randing, P roduction, P aid Media and S trategic L ead from Cactus for $1,135,890, Group S ales and Marketing from Vail Valley P artnership for $342,500, Coordination, Finance and L egal fees from Town of Vail for $225,860, P ublic Relations from Malen Yantis P R for $184,500, Coordination, Marketing and Production from S I T E Marketing for $166,000 and Data S ystems E nhancement from B rown A nalytics A dvisory Group for $81,850. AT TAC H ME N TS: Description V L MD 2021 $50k+ Funding Agreements Memo 3.16.2021 March 16, 2021 - Page 3 of 48 To: Vail Local Marketing District From: Economic Development Department Date: 03/16/2021 Subject: Vail Local Marketing District Agreements for 2021 over $50,000 I. PURPOSE The purpose of this memo is to provide information on the 2021 vendors that have been awarded more than $50,000 and to request that VLMD authorize the funding agreements with those vendors. II. BACKGROUND As part of the 2021 Vail Local Marketing District Operating Plan, six vendors are contracted over $50,000. Town of Vail financial policies require that any contract valued at over $50,000 receive VLMD approval prior to being executed. The following vendors will be sent funding agreements from the Town Clerk’s office upon VLMD approval. Vendor Contract Amount Overview Cactus $1,135,890 Digital Paid Media, Branding, Campaign Production, and Strategic Lead of VLMD Partner Group Vail Valley Partnership $342,500 Group Sales and Marketing Town of Vail $225,860 Finance, Legal, Marketing and Coordination between Partner Group and VLMDAC Malen Yantis PR $184,500 Public Relations and Influencer Program SITE Marketing $166,000 Photo/Video Production Management, Traditional Media and Coordination Brown Analytics Advisory Group $81,850 Data Systems A request for proposal (RFP) for the Data Systems scope of work will go out in March for Q3 and Q4, pending approval of the 2021 VLMD second supplemental budget. March 16, 2021 - Page 4 of 48 Town of Vail Page 2 III. ACTION REQUESTED OF VLMD Authorization to enter into agreements with the following vendors, on a form approved by the Town Attorney, to assist the Vail Local Marketing District Advisory Council to Market Vail in the non-winter months; Branding, Production, Paid Media and Strategic Lead from Cactus for $1,135,890, Group Sales and Marketing from Vail Valley Partnership for $342,500, Coordination, Finance and Legal fees from Town of Vail for $225,860, Public Relations from Malen Yantis PR for $184,500, Coordination, Marketing and Production from SITE Marketing for $166,000 and Data Systems from Brown Analytics Advisory Group for $81,850. March 16, 2021 - Page 5 of 48 VA I L TO W N C O UNC I L A G E ND A ME MO I T E M /T O P I C: Use of DiscoverVail.com logo and brand for Town of Vail funded special event and program sponsorships P RE S E NT E R(S ): E smarie Faessler, Chair, V L MD A C, Mia Vlaar, E conomic Development Director AC T IO N RE Q UE S T E D O F C O UNC I L: L isten to presentation and ask questions. B AC K G RO UND: DiscoverVail.com is the primary call to action (C TA) for V L MD marketing efforts and is the primary brand focused on the Vail guest. DiscoverVail.com logo would replace the Town of Vail logo as the consistent and prioritized brand for all town funded event sponsorships and for promotions that are primarily guest focused. S TAF F RE C O M M E ND AT IO N: A pprove the DiscoverVail.com logo to replace the Town of Vail logo at town sponsored, primarily guest focused, events and programs. AT TAC H ME N TS: Description 2021 V LMD Discover Vail.com Logo Usage Memo March 16, 2021 - Page 6 of 48 To: Vail Local Marketing District From: Vail Local Marketing District Advisory Council DATE: March 16, 2021 SUBJECT: Use of DiscoverVail.com Logo and Brand for Town of Vail Funded Special Event and Program Sponsorships I. BACKGROUND DiscoverVail.com is the primary call to action (CTA) for VLMD marketing efforts and is the primary brand focused on the Vail guest. DiscoverVail.com would replace the Town of Vail logo as it appears below for events that are primarily guest focused. II. ACTION REQUESTED OF VAIL LOCAL MARKETING DISTRICT Requesting approval to use DiscoverVail.com as our brand and logo for special events and programs funded by the town. March 16, 2021 - Page 7 of 48 VA I L TO W N C O UNC I L A G E ND A ME MO I T E M /T O P I C: Year Round Marketing Proposal P RE S E NT E R(S ): E smarie Faessler, V L MD A C Chair, Mia V laar, Economic Development Director AC T IO N RE Q UE S T E D O F C O UNC I L: Discussion only. No action required. B AC K G RO UND: V L MD A C has previously discussed with V L MD the need for a year- round marketing effort due both to changes in the Vail Resorts winter focused marketing model and the need to market Vail as the premier international year-round mountain resort destination.Town Council recently approved the Magellan Strategies Coordinated Community Outreach Plan to survey residents on a potential effort to establish a dedicated funding source for year- round destination marketing. AT TAC H ME N TS: Description 2021 V LMD Year Round Marketing Memo March 16, 2021 - Page 8 of 48 To: Vail Local Marketing District From: Vail Local Marketing District Advisory Council DATE: March 16, 2021 SUBJECT: Year Round Marketing Proposal I.BACKGROUND VLMDAC has previously discussed with VLMD the need for a year-round marketing effort due both to changes in the Vail Resorts winter focused marketing model and the need to market Vail as the premier international year-round mountain resort destination. Town Council recently approved the Magellan Strategies Coordinated Community Outreach Plan to survey residents on a potential effort to establish a dedicated funding source for year-round destination marketing. II.DISCUSSION •What opportunities does VLMD see regarding a year-round marketing effort for Vail? •What concerns does VLMD have to share with the VLMDAC about year-round marketing of the destination? III.ACTION REQUESTED OF VAIL LOCAL MARKETING DISTRICT Discussion only. No action required. March 16, 2021 - Page 9 of 48 VA I L TO W N C O UNC I L A G E ND A ME MO I T E M /T O P I C: A pprove Resolution No. 2, S eries of 2021, Resolution amending the 2021 V L MD budget. P RE S E NT E R(S ): E smarie Faessler, V L MD A C Chair, Mia V laar, Economic Development Director AC T IO N RE Q UE S T E D O F C O UNC I L: A pprove Resolution No. 2, S eries of 2021, Resolution amending the 2021 V L MD budget. B AC K G RO UND: P lease see attached memo. S TAF F RE C O M M E ND AT IO N: A pprove Resolution No. 2, S eries of 2021. AT TAC H ME N TS: Description V L MD 2nd Supplemental V L MD 2ns Supplemental Powerpoint March 16, 2021 - Page 10 of 48 March 16, 2021 - Page 11 of 48 March 16, 2021 - Page 12 of 48 March 16, 2021 - Page 13 of 48 March 16, 2021 - Page 14 of 48 2020 Actual 2021 Budget 1st Supplemental 1st Supplemental Budget Shifts 2021 Amended Budget 2nd Supplemental 2021 Amended Budget Income Lodging Tax 3,033,767 2,500,000 2,500,000 2,500,000 PY Lodging Tax 208,765 - - - Interest Income 272 1,000 1,000 1,000 Misc Income 3,174 - Total Income 3,245,978 2,501,000 - - 2,501,000 - 2,501,000 Expense Destination 630,331 630,164 25,000 (445,472) 209,692 574,000 783,692 International 15,576 10,000 10,000 10,000 Front Range 180,122 - 115,000 392,472 507,472 106,000 613,472 Groups and Meetings 504,077 250,000 250,000 250,000 Public Relations Expenses 48,697 92,000 92,000 4,000 96,000 Content/Influencer Strategy 41,415 50,100 50,100 50,100 Photography / Video 62,454 93,000 (30,000) 63,000 63,000 Research 79,872 75,000 75,000 75,000 Web Site 144,230 220,200 (172,000) 48,200 144,818 193,018 Admin Miscellaneous 3,260 8,000 8,000 8,000 Email Marketing 5,565 360 360 19,750 20,110 Branding 305,158 118,000 35,000 153,000 380,000 533,000 Contingency - - - 56,532 56,532 Database Warehousing and Research 150,925 118,700 172,000 290,700 144,900 435,600 Professional Fees Vail App - - 0 Legal and Accounting 25,000 25,000 25,000 25,000 Lodging Liaison 13,499 - 48,000 48,000 48,000 Advertising Agent Fees 79,125 146,000 146,000 40,000 186,000 Marketing Coordination-TOV 80,500 95,000 95,000 95,000 Marketing Coordination-VVP 40,000 37,500 37,500 37,500 Professional Fees - MYPR 102,200 50,000 50,000 50,000 Total Professional Fees 340,324 353,500 - 48,000 401,500 40,000 441,500 Special Event Funding Event Liaison 25,000 25,000 25,000 25,000 Total Special Events 25,000 25,000 - - 25,000 25,000 Total Expense 2,538,005 2,044,024 140,000 - 2,184,024 1,470,000 3,654,024 Revenue over (Under) Expenditures 707,973 456,976 (140,000) - 316,976 (1,470,000) (1,153,024) Beginning Fund Balance 1,350,108 1,327,713 2,058,081 2,058,081 Ending Fund Balance 2,058,081 1,784,689 2,375,057 905,057 Fund Balance (25% required) 57% 50% 66% 25% VAIL LOCAL MARKETING DISTRICT 2021 PROPOSED AMENDED BUDGET SUMMARY OF REVENUE EXPENDITURES AND CHANGES IN FUND BALANCE March 16, 2021 - Page 15 of 48 RESOLUTION NO.2, SERIES 2021 VAIL LOCAL MARKETING DISTRICT A RESOLUTION ADOPTING A BUDGET AND MAKING APPROPRIATIONS TO PAY THE COSTS, EXPENSES AND LIABILITIES OF THE VAIL LOCAL MARKETING DISTRICT, FOR ITS FISCAL YEAR JANUARY 1, 2021 THROUGH DECEMBER 31, 2021. WHEREAS, the Vail Local Marketing District board received and approved the operating plan and budget for the fiscal year 2021 on September 15, 2020; and WHEREAS, in accordance with CRS section 29-1-106 a notice of budget hearing has been published; and WHEREAS, notice of this public hearing to consider the adoption of the proposed Vail Local Marketing District budget was published in the VAIL DAILY on the 9th day of March, 2021; and NOW THEREFORE, LET IT BE RESOLVED by the Vail Local Marketing District of Vail, Colorado, as follows: The Vail Local Marketing District Board adopts the submitted budget and appropriates $3,654,024 marketing related expenditures beginning on the first day of January, 2021, and ending on the 31st day of December, 2021. Attested: Signed: _______________________________ ___________________________________ Kim Langmaid, Secretary Dave Chapin, Chairman March 16, 2021 - Page 16 of 48 MARCH 16, 2021 VAIL LOCAL MARKETING DISTRICT MEETING March 16, 2021 - Page 17 of 48 Agenda •Discover Vail logo and brand for Town of Vail sponsored events and programs •Proposal for Vail destination marketing year-round •VLMD 2021 Second Supplemental Plan and Budget Request March 16, 2021 - Page 18 of 48 DiscoverVail.com Logo Usage Requesting approval to use DiscoverVail.com as our brand and logo for special events and programs funded by the town. DiscoverVail.com is the primary call to action (CTA) for VLMD marketing efforts and is the primary brand focused on the Vail guest. DiscoverVail.com would replace the Town of Vail logo as it appears below for events that are primarily guest focused. March 16, 2021 - Page 19 of 48 VLMD Year-Round Marketing VLMDAC has previously discussed with VLMD the need for a year-round marketing effort due both to changes in the Vail Resorts winter focused marketing model and the need to market Vail as the premier international year-round mountain resort destination. Town Council recently approved the Magellan Strategies Coordinated Community Outreach Plan to survey residents on a potential effort to establish a dedicated funding source for year-round destination marketing. For discussion: •What opportunities does VLMD see regarding a year-round marketing effort for Vail? •What concerns does VLMD have to share with the VLMDAC about year-round marketing of the destination? March 16, 2021 - Page 20 of 48 SECOND SUPPLEMENTAL REQUEST March 16, 2021 - Page 21 of 48 Second Supplemental Request Agenda •Supplemental Request & Budget Overview •Strategy & Priorities •Supplemental Tactical Plan •2021 Goals •Request for approval of Second Supplemental Plan and Budget March 16, 2021 - Page 22 of 48 SUPPLEMENTAL REQUEST & BUDGET OVERVIEW March 16, 2021 - Page 23 of 48 YOY Budget Comps - 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 4,000,000 4,500,000 Original Amended Actual Original Amended Actual Original Amended Proposed Amended 2019 2020 2021201920202021 Original Amended Actual Proposed Amended Fund Balance 2019 2020 2021 Original Amended Actual Original Amended Actual Original Amended Proposed Amended 3,300,000 3,855,000 3,634,714 3,500,000 2,624,000 2,538,005 2,044,024 2,184,024 3,645,024 Fund Balance 864,297 917,453 1,350,108 1,054,453 1,327,713 2,058,081 1,784,689 2,375,057 905,057 Fund Balance %26%26%36%29%36%57%50%66%25%March 16, 2021 - Page 24 of 48 STRATEGY & PRIORITIES March 16, 2021 - Page 25 of 48 Macro Travel Trends •Americans remain highly open to travel inspiration -63.9% are in a travel readiness state-of- mind (record pandemic high) •Nearly two-thirds feel at least somewhat confident they can travel safely right now, and travel guilt fell to 40%. •A growing percentage (55%) of American travelers say they will be taking at least one leisure trip in the next three months. •More than 84% already have tentative trip plans for the remainder of 2021, with June through October the peak months for trips. •A majority of Americans continue to say that the vaccines make them optimistic about traveling safely and life returning to normal in the next 6 months •Most Americans, however, believe mask-wearing will be with us for several months. When asked how they would feel on their first post-vaccine trip if the destination visiting still required masking, 65.0% said they would feel “fine,” if not “great.” •Half of Spring Break period travelers plan to use an airplane for their trip and head more than 500 miles away from home. Predictions for fantastic air travel growth numbers in the second half of 2021. Source: Destination Analysts Feb. 28 March 16, 2021 - Page 26 of 48 2021 Strategic Approach The partners have collaborated to develop a strategic plan that will help us recover from the impacts of COVID and set us up for years to come. Continue to build out and use available data to drive efficient and more personalized content that leads to desired behavior Customization Amplify efforts to get the right audience into our data systems so we have 1st + 2nd party data available for future use Data Acquisition Use data to identify and prioritize seasonal content needs for use across channels including our website and social accounts Refined Content March 16, 2021 - Page 27 of 48 Why the supplemental request? •Drive overnight visitation; with pent up demand for travel, Vail should lead the fight for share among mountain resorts in Destination and Front Range markets with immediate results •Increase website presence with robust content and enhancements that tell a more complete story, increase demand and drive conversion with immediate results •Accelerating investment on Data Systems in order to collect more data and improve our marketing efforts ultimately increasing demand and driving conversion in the long term •Invest in the future Vail brand and positioning; laying the groundwork for 2022 and beyond March 16, 2021 - Page 28 of 48 SUPPLEMENTAL TACTICAL PLAN March 16, 2021 - Page 29 of 48 Tactical Plan Driving Demand and Increasing Conversion –Short Term/Immediate Results 1.Content Plan and Execution 2.Website Enhancements 3.Increase Paid Media 4.Public Relations Driving Demand and Increasing Conversion –Longer Term Results 5.Data Systems Investment 6.Vail Branding –Positioning, Creative, Assets, Execution Situation Dependent Opportunities 7.Contingency Opportunities March 16, 2021 - Page 30 of 48 1. Content Plan & Execution •User experience (UX) enhancements identified through audit •Search Engine Optimization (SEO, natural search) 9-month plan •Landing page design, development, quality assurance and deployment by persona •Content plan with mapped deliverables through 2021 •Itinerary concepting •Editorial content collaboration •Content implementation •On-going content delivery •On-going content population Budget: $156,500 Timing: March -December ROI/KPI’s: •Improved site metrics (time on site, pages visited, etc.) •Organic search position March 16, 2021 - Page 31 of 48 2. Website Enhancements •Website imagery resizing tool •Google map integration with some interactivity •Enhanced Americans with Disabilities Act (ADA) compliancy Budget: $8,068 Timing: March -May ROI/KPI’s: Improved site metrics (time on site, pages visited, etc.) Functionality and compliance March 16, 2021 - Page 32 of 48 3. Increase Paid Media Destination Air Digital Media •Destination Air marketing in Dallas Destination Digital Media •Increase destination support in Houston and Chicago •Add 5280 (magazine and online) partnership for Front Range •Targeted new market testing with top performing markets like NYC, SF, or Austin Destination and Front Range Traditional Media •Destination Traditional media expanded in Dallas (TV, possibly add Out of Home/Billboard) and/or secondary market (Chicago) •Traditional Front Range (TV only) Strategy, planning, buying, and reporting Timing: March -September Budget: $720,000 ROI/KPI’s: Impressions, clicks to website, social, lodging March 16, 2021 - Page 33 of 48 Destination/Front Range Paid Media % 44% 56% 2021 with supplemental 62% 38% 2020 42% 58% 2019 Destination Front Range March 16, 2021 - Page 34 of 48 61% 39% 2021 with supplemental 75% 25% 2020 54% 46% 2019 Traditional/Digital Paid Media % Traditional Digital March 16, 2021 - Page 35 of 48 4. Public Relations •Newswire •Social Media Influencer Trip Giveaways (2) & Data Collection •Test trip giveaway concept with one influencer in each target persona - families with older kids and young professionals to garner database info Budget: $12,500 Timing: May, Early Summer KPI’s: •Increased customer data capture and media reach March 16, 2021 - Page 36 of 48 5. Data Systems •Continue to evolve the critical building blocks upon which a long-term, effective, efficient, and measurable data-driven marketing strategy is built and operationalized •Organizational Collaboration: Identify and fill as needed any skill gaps, and establish the processes within the coordinated partner group to run targeted, personalized, and relevant campaigns across multiple guest touchpoints •Marketing Data: Continue to increase the percentage of guests that pass-through Vail who sign-up for and provide personal data in exchange for free Wi-Fi, and if identified, integrate second party data from our partners in retail/hospitality/F&B •Analytics/Insights: Ensure that all outbound marketing efforts across touchpoints are measured for engagement at the individual/segment level, and define customer lifecycle segmentation using data to indicate where in their journey our guests are •Marketing Strategy: Continue to refine our capabilities to target guests within key phases of their journey, and implement one manual multi-channel data-driven campaign to act as a basis to seed the ROI model for potential future investment •Execution: Refine the current outbound capabilities of touchpoint-by-touchpoint distribution of content/marketing messages to enable channel consistency, accuracy, and reportability Budget: $136,400 Timing: July-Dec KPI: Long term foundation for database enhancement to increase demand and drive conversion March 16, 2021 - Page 37 of 48 6. Vail Branding –Positioning, Creative, Assets, Execution Belief + Behavior Design Process •Competitive audit •Primary and secondary research review and analysis •Travel / cultural trend analysis •Brand strategy workshops •Map development and presentation with the concise Vail “sharp idea” •Meetings/Workshops with board and partners 2022 Branding Production •Enhanced tactical production and execution for 2022 roll out Budget: $380,000 Timing: March-August KPI/ROI: Long term, laying the groundwork for 2022 and beyond March 16, 2021 - Page 38 of 48 7. Contingency Opportunities •Market contingent •Mexico, destination air/drive markets •Expand asset acquisition •Crisis budget •Opportunity funds Budget: $56,532 March 16, 2021 - Page 39 of 48 VLMDAC 2021 Business Goals (May –October) 2020 Results 2021 Original Δ From 2020 Actuals Sales Tax 4%-11%3%6% Lodging Tax 5%-11%8%12% 50.10%31%21% 3%(down 31%) 4.30%No Group Goal (down 82%) Group Occupancy 5%No Group Goal Overall Summer Occupancy 25% 2020 Goals 2021 With Supplemental Δ From 2020 Actuals May – October (Non Winter Months) *Goals subject to change based upon travel restrictions and public health guidance March 16, 2021 - Page 40 of 48 VLMDAC 2021 Supplemental Summary Current Budget Second Supplemental Total % Increase Content Plan and Execution New Initiative $156,500 NA Website Functionality Enhancements $10,000 $8,068 81% Data Systems Investment $100,000 $136,400 136% Increase Paid Media $717,165 $720,000 100% Vail Branding –Positioning, Creative, Assets, Execution $74,000 $380,000 514% Public Relations $50,000 $12,500 25% Contingency $0 $56,532 NA TOTAL Budget $2,184,024 $1,470,000 67% New Budget $3,654,024March 16, 2021 - Page 41 of 48 Vail Local Marketing District Advisory Council recommends that the Vail Local Marketing District approve the 2021 Supplemental Plan and budget request of $1,470,000. Action Requested March 16, 2021 - Page 42 of 48 Thank you! March 16, 2021 - Page 43 of 48 APPENDIX March 16, 2021 - Page 44 of 48 2021 Lodging Tax Goals 2019 Actual 2020 Actual 2021 Goal % from 2020 % from 2019 2021 Plan B % from 2020 May 57,001$ 89,257$ 80,000$ -10%40%80,000$ -10% Jun 138,364$ 52,861$ 90,000$ 70%-35%90,000$ 70% Jul 266,247$ 180,156$ 200,000$ 11%-25%240,000$ 33% Aug 216,996$ 187,878$ 200,000$ 6%-8%200,000$ 6% Sep 174,190$ 227,397$ 230,000$ 1%32%230,000$ 1% Oct 78,702$ 89,973$ 90,000$ 0%14%90,000$ 0% TOTAL 931,499$ 827,522$ 890,000$ 8%-4%930,000$ 12% *Goals subject to change based upon travel restrictions and public health guidanceMarch 16, 2021 - Page 45 of 48 2021 Sales Tax Goals 2019 Actual 2020 Actual 2021 Goal % from 2020 % from 2019 2021 Plan B % from 2020 May 763,756$ 502,266$ 600,000$ 19%-21%650,000$ 29% Jun 1,606,748$ 1,032,848$ 1,132,848$ 10%-29%1,132,848$ 10% Jul 2,480,292$ 2,078,303$ 2,100,000$ 1%-15%2,300,000$ 11% Aug 2,237,050$ 2,134,944$ 2,198,000$ 3%-2%2,199,000$ 3% Sep 1,600,100$ 1,757,603$ 1,757,603$ 0%10%1,757,603$ 0% Oct 1,165,176$ 1,273,735$ 1,273,735$ 0%9%1,273,735$ 0% TOTAL 9,853,122$ 8,779,699$ 9,062,186$ 3%-8%9,313,186$ 6% *Goals subject to change based upon travel restrictions and public health guidanceMarch 16, 2021 - Page 46 of 48 2021 Occupancy Goals 2019 Actual 2020 Actual 2021 Goal % from 2020 % from 2019 2021 Plan B % from 2020 May 20%4%12%200%-40%12%200% June 50%24%38%58%-24%45%88% July 65%46%58%26%-11%58%26% August 56%50%53%6%-5%53%6% September 46%41%44%7%-4%44%7% October 31%30%31%3%0%31%3% 45%33%39%21%-12%41%25% *Goals subject to change based upon travel restrictions and public health guidanceMarch 16, 2021 - Page 47 of 48 VA I L TO W N C O UNC I L A G E ND A ME MO I T E M /T O P I C: A djournment 2:45 pm (estimate) March 16, 2021 - Page 48 of 48