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HomeMy WebLinkAboutFunding Desert Springs J.W. Marriott/ProposalREQUEST: DATE: CONTENT: CITY OF PALM DESERT COMMUNITY SERVICES STAFF REPORT Consiceration of a request for funding of a cooperative promotional opportunity with Desert Springs JW Marriott Resort & Spa. August 24, 2006 Marriott Proposal Recommendation: By Minute Motion: 1) Contribute to the Desert Springs JW Marriott Resort & Spa renovation campaign in the amount of $50,000. 2) Appropriate $50,000 from the Unobligated General Fund. Executive Summary: City Council's approval of this cooperative partnership will benefit both Desert Springs Marriott and the City of Palm Desert, by exposing the two to a vast list of past guests, meeting planners, and potential new visitors. With increased competition in the Valley, Palm Desert must look for new, innovative marketing opportunities to generate business and awareness. Staff believes this is one of these occasions. Background: Desert Springs Marriott presented the City with the opportunity to join forces and take full advantage of its new campaign, Cool of the Desert. With the $25 million renovation currently underway, Desert Springs is gearing up for a major outreach to past visitors, mee:ing planners, and new guests via website exposure. The resort's renovation provides the perfect chance to modernize the hotel in the media and re-educate visitors as to why Palm Desert is the premiere place to visit. As noted in the attached proposal, Desert Springs is proposing Palm Desert be involved in the following promotional opportunities: • Leisure direct mail piece to 50,000 past guests • A dedicated Palm Desert page and links added to the Desert Springs website which receives 6,000 visitors per month • Group direct mail to 30,000 meeting planners • Inclusion in monthly e-newsletter with 30,000 distribution The City's website and logo will be included in all of the promotions mentioned above. In addition, Desert Springs is creating an offer, such as a discount card, for leisure travelers, that incorporates other Palm Desert shopping and dining venues. The Resort's public relations team also is working on press trips and national media exposure that will feature the hotel as well as highlight Palm Desert. Last summer the City contributed $40,000 to co-op with the Marriott in its advertising campaign, resulting in 1,056 room nights booked. The Marriott and City staff deemed this a very successful endeavor and were directed to look for additional ways to partner. It was during the City's recent review of the Palm Springs Desert Resorts Convention and Visitors Authority Staff reported that a trickle down affect does exist, as it related to when the Desert Springs Marriott is full, so are other Palm Desert properties. Also noted in the CVA staff recommendations was a suggestion to: 1) Undertake an aggressive image -awareness campaign; 2) to consider additional partnerships and co-op advertising with the Marriott. By spending the requested dollars with the Marriott, staff would be fulfilling both those objectives. Staff believes the results of such a partnership are measurable, and the City and its businesses will benefit from both an increase in TOT and sales tax. This opportunity was brought before staff the week of August 14, 2006. With the Marketing Committee being dark in August, it will not meet again until September 19, and timing of the promotion is of great importance. Therefore it is being brought to City Council for its consideration without having been presented to the Marketing Committee. Requested funds would need to be appropriated from the Unobligated General Fund and placed in account number 110-4417-414-3222. Submitted By: Kristy Kneididhg Marketing Manager Appro -�! Carlos L. O`fte City Manage Sheila R. Gilligan Assistant City Mana Paul Gibson Director of Finance ;;ITY COUNCILJCTION: APPROVED DENIED, RECEIVED OTHER MEETI DATE. -61y'OtP AYES: P NOES: 1 �1 ABSENT: . . .. ABSTAIN: ,4 VERIFIED BY:0An/fr ` Original on File 'th City Clerk's Orfire N � � p can a- C 0 0 ci CL a C�j o v a� a} o a Q d O O 4 . O �5 © p O °" � o 0- Ira v E o N �- o n Cl) 75 D -� � o � CU � - cv a� ti Desert Sp6ngs inter 100 p, Whole 2oo7 Ret)Okl oef�E)nCE) New -vase(] eqj 10 loon aqJ j! 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U cz � Cv � �{ E oa O to t� .LZ v c � CL 'C Or- 0 j Cv od cz T N ascc CZ CZ o �.�' o o n co r� =mom CD Q� CZ CZ v U ;n O 75 Cn 0) C CZ (iJ U ID z O C W cz LU 76. a) cn �. U C cz AA ra cry cu f= -0 :D C3 c 0 N Group Plan High impact group direct mail, 30,000 pr*emium meeting planners, Includes $ 100 Resort Credit. Include Palm Desert in monthly group newsletter.