The state of the economy has everyone spooked, including convention and visitor bureaus that are keen to shore up their group numbers for this year and beyond. To that end, a number of CVBs have developed new incentive programs -- or are extending existing ones -- for meeting planners. What follows is a survey of some of the most enticing deals out there.
Arizona
Metropolitan Tucson Convention & Visitors Bureau
(800) 638-8350; visittucson.org
This past December, the Metropolitan Tucson Convention & Visitors Bureau began offering an incentive program designed to reinforce meetings in 2009 and even into 2010. "There's heavy pressure on creating demand for '09," says Rick Vaughan, the bureau's senior vice president of sales and marketing. "Hopefully in 2010, things will be better. But for right now we have to be aggressive, because planners' budgets are stressed, and they are looking for additional value."
The CVB developed the program using feedback from both meeting planners and area hotels and resorts. Vaughan says the planners expressed a desire to see some financial relief on their master accounts. So the CVB provided it: If a planner books 25 to 50 peak rooms (minimum of two nights per room) for a meeting to be held this year, the group's master hotel account will be credited $1,000. If a planner books 51 to 100 peak rooms, the group receives $2,500; 101 to 200, $5,000; and more than 200 earns $10,000 back. For meetings booked this year for dates in 2010, these amounts will be halved. If a planner books consecutive 2009 and 2010 meetings, the incentives will be doubled, for a maximum credit of $20,000.
The program is half-funded by the CVB and half by participating hotels and resorts.
California
LA Inc. The Convention and Visitors Bureau
(800) 228-2452; discoverLosAngeles.com
To lock in group business for Los Angeles, the sales team for LA Inc. uses credits toward convention center rentals based on the amount of transit occupancy taxes generated by the group, according to Michael K. Krouse, CHME, CMP, senior vice president of sales. "Other cities give discounts," notes Krouse, "but they in turn charge rebates per room, which effectively go back to the CVB or the convention center in the end." Here's how the deal works: If the convention center rental costs $500,000, and the group is able to generate $500,000 in occupancy taxes, the rental fee will be waved. Groups with 1,500 peak rooms or 3,000 total room nights qualify.
Krouse notes that the program has proved successful, even in a down economy, with the help of new downtown developments such as mega hotel/entertainment complex L.A. Live and myriad restaurants and bars cropping up in the area. "For those who are skeptical in these tough times, the rental discount helps to speed up the closing process," he says.
San Diego Convention & Visitors Bureau
(619) 232-3101; sandiego.org
According to San Diego Convention & Visitors Bureau president and CEO David Peckinpaugh, a site-selection visit to the city really helps seal the deal. The bureau's newest initiative makes that step more feasible by covering planners' travel costs. "Everyone's cutting back on travel right now, and site selection falls in that category," Peckinpaugh explains.
For groups considering San Diego, the bureau will cover the cost of airline tickets for the planner and any key decision makers. Eligible groups must book a minimum of 400 rooms, though some flexibility of criteria is allowed.
Peckinpaugh says the program "has pushed along the sales process and increased closure rates. And, of course, it's very appreciated by planners."
San Jose Convention & Visitors Bureau
(800) 726-5673; sanjose.org
To entice planners to choose San Jose, Calif., the bureau has begun offering off-site destination management services free of charge for citywides. "Especially during these times, it's more important than ever to expand our services," says Dan Fenton, president and CEO of Team San Jose, the group managing the marketing, tourism, convention center and cultural facilities for the city.
For example, additional planning that typically might be taken care of by a destination management company -- including transportation and ushering services, ticketing for events and scheduling of off-site activities -- can be managed by members of the bureau's team.
As is the case with many bureaus, Team San Jose will offer marketing services in an effort to increase attendance. On one occasion, the team brought in a staff of telemarketers who zeroed in on the group's specific target audience. "By using our own community contacts, we were able to expose them to markets that they could not access on their own," says a Team San Jose spokesperson. Additional perks for groups that can be negotiated on a case-by-case basis include free Internet service during meetings, free local signage and welcome services.
Florida
Orlando/Orange County Convention & Visitors Bureau
(800) 972-3304; orlandoinfo.com
"We are anticipating that meetings and conventions may be decreasing for 2009," concedes Tammi Runzler, vice president of convention sales and services for the Orlando/Orange County Convention & Visitors Bureau. To try to reverse that trend, Runzler says, "we have some incentives in the works."
One of these is a program for planners employed by ConferenceDirect and HelmsBriscoe. Eight planners from each firm can win a trip package to the annual meeting of either the Professional Convention Management Association, the International Association of Exhibitions and Events, Meeting Professionals International or the American Society of Association Executives. Packages will include conference registration, airfare and three nights' stay at a hotel of the CVB's choice.
To qualify, third-party planners must, by April 30, book at least $750,000 worth of room revenue in Orange County for a 2009 meeting, or, by June 30, book at least $1.5 million in room revenue for a meeting to be held in 2010 or thereafter.
Hawai'i 5-0
The Hawai'i Convention Center (
hawaiiconvention.com) in Honolulu is taking an especially proactive stance to entice meeting planners.
At the annual meeting of the Professional Convention Management Association in New Orleans last month, representatives from the HCC announced the new Hawaii 50th Promotion, a slate of group discounts tied to the 50th anniversary of Hawaii's statehood.
The deal is as follows: If a planner books a meeting at the convention center with a minimum of 3,000 attendees or 1,500 room nights in 2011, 2012, 2016 or 2017, that group will receive 50 roundtrip airline tickets, $50,000 in destination support, $50,000 in marketing support, $50,000 in hotel credit and half off the convention center's rental fee. To qualify, bookings must be made by Dec. 31 of this year. -- H.R.S.
Illinois
Chicago Convention & Tourism Bureau
(312) 567-8500; choosechicago.com
Last
July, the Chicago Convention & Tourism Bureau launched Chicago
Select, a suite of discounts available from CCTB members for meetings
held during the first quarters of 2009, 2010 and 2011. Deals include up
to 75 percent off published fares for groups of 10 or more from
American Airlines, breaks on rental fees at various cultural facilities
and discounts from ground transit companies.
"As great a city
as Chicago is, it is well known how intense competition is for travel
and tourism," said Thomas Aichele, an American Airlines vice president,
in a statement. "That is why we believe our strategic partnership with
the city of Chicago will strengthen its popular position as a global
visitor destination, and by extension that will help improve business
for American Airlines."
At press time, Mark Theis, executive
vice president of CCTB, said Chicago Select will be offered year-round
through 2010, although specific discounts are subject to change and new
deals likely will be added.
Kentucky
Louisville Convention & Visitors Bureau
(800) 626-5646; gotolouisville.com
Any
meeting that uses at least 500 room nights in Louisville before Jan. 1,
2011, will be eligible for cash incentives. The size of the incentive
depends on the number of room nights actualized, ranging from $1,000
(for 500 to 1,499 room nights) to $10,000 (for 5,000 room nights or
more). In addition, the CVB will make a $100 donation in the meeting
group's name to Global Green USA, a Santa Monica, Calif.-based
nonprofit organization that advocates sustainable building and city
planning. The offer is not available to any business already booked.
Jennifer
Barnett, the CVB's vice president of convention development, says the
program is designed to fill short-term holes on the convention
calendar. Louisville offered a similar promotion in 2004 and 2005, but
only meetings with at least 1,500 room nights were eligible. The
minimum has been lowered this time around, Barnett says, to give a
break to even smaller groups. "Everyone's in a budget crunch," she
notes.
Louisiana
New Orleans Metropolitan Convention and Visitors Bureau
(800) 672-6124; neworleanscvb.com
In
January, booked group room nights for 2009 were up 7.2 percent over
total 2008 group bookings, and officials want to keep the momentum
going. That's why the New Orleans Metropolitan Convention and Visitors
Bureau developed its Extraordinary Experiences program, available for
planners booking 1,000 or more room nights during select months in
2009, 2010 and 2011. Meetings must be booked by March 31 of this year.
Groups
that qualify receive completely free access to the New Orleans Morial
Convention Center's approximately 1.1 million square feet of exhibit
space, as well as use of its general session areas and breakout rooms.
Other complimentary extras include a meeting "microsite," free Wi-Fi
and one refreshment break.
"What we're really trying to do,"
says Stephen Perry, president and CEO of the CVB, "is reach out to the
corporations and associations who've been so good to us and help them
make it both feasible and practical to continue to hold meetings during
difficult economic times."
Massachusetts
Greater Boston Convention & Visitors Bureau
(888) 733-2678; bostonusa.com
Last
November, sales representatives from the Greater Boston Convention
& Visitors Bureau phoned more than 1,600 meeting planners to spread
the word: Anyone who books and holds a meeting (with 100 to 1,000 rooms
on peak) before May 1 of this year will receive 3 percent off the
master account (up to 5 percent in some cases), 20 percent discounts
for attendees on Amtrak travel, airfare discounts from American
Airlines, subway cards (good for one roundtrip) for each attendee and a
slew of shopping discounts in the city. Some 90 sales representatives
from 16 Boston hotels joined the promotion effort. The phone marathon
yielded 42 leads, according to Beth Stehley, vice president of
convention services and sales.
"The message now is there are
real deals out there," says Pat Moscaritolo, president and CEO of the
Boston CVB, noting the bureau also supports groups by sponsoring
receptions or special events during the course of meetings. "Take
advantage of them," he advises. "Everyone is providing more value."
Three's a Charm
Everything is less expensive when purchased in bulk -- and that includes meetings. One three-city, three-bureau, cross-country alliance between Hartford, Conn.; Madison, Wis.; and Spokane, Wash. (hartfordmadisonspokane.com), is offering a big cash incentive to planners who bring meetings to each city.
"If you book all three cities, we'll give you $30,000 -- basically $10,000 in each city to use however you want," says Harry Sladich, president and CEO of the Spokane Regional Convention & Visitors Bureau. The meetings must involve the convention center in two out of the three cities and must book at least 300 peak room nights across multiple hotels in each city.
Other similar alliances exist, between the CVBs of Milwaukee, Pittsburgh and Portland, Ore. (travelportland.com/meeting_planners/three_cities.html); and Baltimore; Fort Worth, Texas; and Sacramento, Calif. (baltimore.org).
Michael Smith, the Portland CVB's vice president of convention sales, says his alliance's incentives "revolve around a per-realized room-night payout," the amount of which depends on factors like group size and single hotel vs. citywide usage. Incentives are a combination of cash, extra marketing, transportation and group upgrades. As Smith notes, "We work individually with each organization to determine what will be most beneficial to them."
Incentives also are available to planners booking the Baltimore/Fort Worth/Sacramento alliance, negotiated on a case-by-case basis. -- H.R.S.
Michigan
Detroit Metro Convention & Visitors Bureau
(313) 202-1800; visitdetroit.com
In
addition to ground transportation and/or convention center rental
discounts, which many CVBs offer, the Detroit Metro Convention &
Visitors Bureau goes the extra mile and frequently provides national
groups with money for local marketing -- in the form of billboards,
local print ads, direct mail campaigns and the like -- and then
executes the marketing initiatives.
For especially important
clients, the CVB also leans on its board of directors to introduce
planners to local business executives who might be able to sponsor
portions of the meetings.
"We open doors that are difficult to
get open," says Carla Conner-Penzabene, sales director for the bureau.
"It's still up to planners to go in and sell the sponsorship."
At
other times, the CVB offers cash discounts for groups to book in
Detroit. "We don't have a cookie-cutter approach," notes
Conner-Penzabene. "We don't throw things at a group that they don't
care about. We understand what their mission is."
One example: A
group wanted help attracting young attendees, so the CVB created travel
sponsorships for young people. "It's having those partner discussions
that makes it different here," says Conner-Penzabene.
North Carolina
Greater Raleigh Convention and Visitors Bureau
(800) 849-8499; visitraleigh.com
With
respect to tough times, "We know we're in this together with the
meeting planner," says Denny Edwards, president and CEO of the Greater
Raleigh Convention and Visitors Bureau. "That's why we are always
looking for ways to make our product more appealing and cost-effective
for the client."
As such, just before the 500,000-square-foot
Raleigh Convention Center opened last September, the bureau rolled out
its Red Carpet Welcome Program, available to groups that will occupy at
least 500 on-peak hotel rooms.For groups that meet this requirement,
the CVB will provide a number of perks, including customizable banners
and signage, a welcome desk in the visitors center and a series of
e-mails geared to building attendance. Delegates will be given
SmartCards, which offer 15 to 25 percent discounts at more than 100
area bars, restaurants, spas and golf courses.
The CVB also can
help source local experts and speakers from the surrounding colleges
and universities, including North Carolina State University, as well as from Research Triangle
Park.
Ohio
Cincinnati USA Convention & Visitors Bureau
(800) 543-2613; cincyusa.com
Last
year, the Cincinnati USA Convention & Visitors Bureau coordinated a
meetings incentive with the Duke Energy Convention Center and several
hotels that included discounts of up to $15,000 on food and beverage
costs at the convention center, 50 percent off or free convention
center space and up to $25,000 back from hotels. Barrie Perks, vice
president of sales and services for the CVB, says approximately 40,000
projected room nights for 2009 were generated as a result of the
incentive, which he expects will bring in around $12 million.
On
the genesis of the package, Perks explains that 2009 bookings were
weaker than desired, in part because the Duke Center was renovated in
2006, and groups had been reluctant to sign contracts while the
building was still under construction. The deal was created in late
2007 and made available in early 2008.
The incentive was so
successful, Perks says the bureau plans to offer similar incentives for
2010 and 2011, although the details vary depending on when business is
booked and meetings are held.
Rhode Island
Providence/Warwick Convention & Visitors Bureau
(800) 233-1636; goprovidence.com
On
a case-by-case basis, the Providence/Warwick Convention & Visitors
Bureau will offer financial support to groups in the form of ground
transportation sponsorship, for example, or convention center rental
discounts. "We realize that, with the state of the economy, planners
are looking to maximize the value they receive in any destination,"
says Kristen Adamo, vice president of marketing for the bureau.
Sometimes
the CVB offers even larger carrots. Recently, one group considering
Providence needed more offices than the Rhode Island Convention Center
had available. "Should they choose our destination," says Adamo, "we
have offered to finance the building of offices in an available exhibit
hall at the center."
Incentives are stronger off-season, Adamo
notes. "Our peak seasons are really spring and fall. A planner who
would like to visit Providence in August or January would be much more
likely to be offered an incentive than someone who is looking to book
in May or September."