Loading...
HomeMy WebLinkAboutReallocation of Funds Previously Funded PD Style MagazineCITY OF PALM DESERT STAFF REPORT REQUEST: APPROVE THE REALLOCATION OF FUNDS WITHIN THE MARKETING BUDGET FROM THE PREVIOUSLY FUNDED PD STYLE MAGAZINE TO NEW MARKETING AND ADVERTISING OPPORTUNITIES SUBMITTED BY: Donna Gomez, Visitor Center Manager DATE: October 27, 2011 Recommendation By Minute Motion: 1) Approve the reallocation of $60,000 included within the marketing budget, account no. 110-4417-414-3027, for new marketing and advertising opportunities. 2) Ratify the expenditure of $4,000 from this fund for the production of an advertorial for the Coachella Valley Vision magazine. Background For fiscal year 2011/2012 staff included a $60,000 budget for the sponsorship of PD Style magazine. Subsequently, City Council voted to support the Marketing Committee's recommendation to discontinue sponsorship of PD Style and to redirect those funds toward marketing activities that specifically target potential visitors from outside the region. Staff has evaluated various opportunities for redirecting these funds and would recommend City Council approve the reallocation of the $60,000 originally budgeted for this purpose in the following manner: CO-OP ADVERTISING Recommendation: $50,000 Co-op advertising has been a recent topic of discussion and is a priority included within the Council approved Marketing Plan. Investing in co-op advertising will allow us to expand our marketing dollars, invest in increasing our visibility in growing markets, and partner with viable Palm Desert businesses. Initial discussions have occurred with JW Marriott, El Paseo Business Association, and The Living Desert for potential cooperative advertising. Staff Report Reallocation of Marketing Funds October 27, 2011 Page 2 of 3 JW Marriott: Staff has held meetings with marketing representatives of the JW Marriott and discussed opportunities for co-op advertising. They are very supportive of this concept and indicated a strong desire to advertise in the Canadian market. Marriott representatives are currently reviewing a plan proposed to target the Canadian market with print and radio advertising during the period of January — April 2012. They have proposed to match funds at an amount of $20,000. El Paseo: Staff has met with the El Paseo Board to propose partnering in a co-op advertising program targeted to the Southern California drive market. The Board indicated support of a co-op program including identifying the use of up to $6,000 from its budget. Staff is recommending matching those funds up to $6,000 to cover development and placement of a co-op City/El Paseo ad. Palm Springs Desert Resorts Convention & Visitors Authority (CVA): Palm Desert currently participates in co-op advertising with the CVA including Alaska Airlines, California Tourism/Sunset Magazine, and an air service campaign. The end of last fiscal year also brought an opportunity to participate in an extended summer promotion that has experienced much success. Staff recommends the commitment of up to $20,000 to support another summer promotion scheduled to run May and through September 2012, a possible WestJet Canadian targeted co-op, or additional support and participation in an upcoming familiarization program. The Living Desert: Initial discussions have occurred with The Living Desert and preliminary indications are that they would very much like to participate in a co-op effort. Staff recommends setting aside $4,000 for possible cooperative opportunities with The Living Desert. OUTREACH/PARTNERSHIPS Recommendation: $10,000 Desert Willow Golf Resort: Desert Willow has committed to participating in a meeting planner event being held in Palm Springs in October. This event includes one-on-one discussions with meeting planners from across the nation and includes a closing day luncheon hosted by Desert Willow. Desert Willow is producing a promotional video featuring their golf courses and highlighting all Palm Desert has to offer. They will also host a booth and have access to all activities during this 2-1/2 day event. The City's marketing staff will participate in the event, representing Palm Desert during the one-on- one discussions with meeting planners. As a partner expecting to receive exposure and have future use of the video being produced, I would recommend the City invest $3,000. Desert Willow's proposed expenses total approximately $10,000 - $12,000 for this event. GArda\Hgenda Items\2011\10-27-11\Reallocation of Mktg Funds (PD Style) 10-27-2011.doc Staff Report Reallocation of Marketing Funds October 27, 2011 Page 3 of 3 Coachella Valley Economic Partnership: Production and placement of a 4-page ad in California's Coachella Valley VISION magazine — a publication produced by Coachella Valley Economic Partnership, the CVA, and Riverside County Economic Development Agency to be used an economic tool for the valley. Staff expended $4,000 for the production of this advertisement and is requesting ratification of this expenditure from the $60,000 budget. The additional $3,000 would be identified for potential partnering with the CVA to host travel writers and/or travel planners visiting the Coachella Valley. Fiscal Analysis Funds currently exist within the marketing budget and no additional funding is being requested in order to fulfill these requests. Palm Desert can expect to receive additional exposure within critical geographical markets while enhancing its partnerships with local tourism related business. Submitted By: a Donna Gomez, Vis' or Center Ma ger aul S. Gibson, Director of Finance roval: hn M. Wohlmuth, City Manager Department Head: Jju�tiN McCarthy, ACM for R4development CITY COUNCIL ACT ON APPROVED �r,/' DENIED RECEIVED OTHER MEETING DATE AYES: NOES: flfnn L ABSENT: ABSTAIN: VERIFIED BY: Original on File with City Cler s Office G:\rda\Agenda Item s\2011\10-27-11\Reallocation of Mktg Funds (PD Style) 10-27-2011.doc