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Spnsr - Desert Concorso Italian Auto Show 03-30-2014
CITY OF PALM DESERT STAFF REPORT REQUEST: Approval of Sponsorship in the Amount of$15,000 for the March 30, 2014 Desert Concorso Itailian Auto Show at Shadow Mountain Resort SUBMITTED BY: Martin Alvarez, Director of Economic Development APPLICANT: Desert Concorso, Inc. 8318 197th SW Edmonds, WA 98026 DATE: January 23, 2014 CONTENTS: Desert Concorso Website Marketing Plan / Budget Site Map Recommendation By Minute Motion: 1. Approve sponsorship in the amount of $15,000 to the Desert Concorso, Inc. for the March 30, 2014, Desert Concorso Italian Auto Show; and 2. Appropriate $15,000 from the Unobligated General Fund. Discussion Desert Concorso, Inc. approached the City of Palm Desert seeking sponsorship for the first Desert Concorso Italian Auto Show taking place Sunday, March 30, 2014. The inaugural event is taking place on the Shadow Mountain Resort golf course. Desert Concorso has secured a contract with Shadow Mountain Resort to utilize the aolf course driving range and fairways to stage vintage and high end Italian vehicles, vendors, general admission and VIP attendees. All attendees will be parked on the golf course fairways and access to the event will be through existing public streets leading to the golf course (see attached site map). The parent company known as Concorso Italiano, Inc. has experience in planning, organizing and executing Italian auto shows. The last five years, Concorso Italiano, Inc. has organized the Concorso Italiano in Monterey, CA at Laguna Seca Golf Ranch. The Concorso Italiano has grown to 1,000 display vehicles and over 8,000 attendees. The organizer hopes to brand and grow a similar event in Palm Desert that would lead to it becoming a signature event in the middle of our season. Staff Report 2014 Desert Concorso Auto Show January 23, 2014 Page 2 The event has a budget of $235,000 (see attached). The event organizer anticipates starting out with 300 vehicle exhibitors and between 1,200-2,000 attendees. Desert Concorso hopes to grow this event to a finro day event in future years. The organizer has set up a Desert Concorso website (desertconcorso.com) where tickets can purchased for $70.00 for general admission and $300 for VIP admission. The organizer has initiated significant marketing of the event including print, radio, and electronic advertising (see attached marketing arenas and commitments). The website currently features two area hotels for visitors and the organizer is utilizing Palm Desert restaurants for event catering. Staff is recommending $15,000 in sponsorship/seed money for the 2014 event and will later determine if it is a viable signature event for the City of Palm Desert. Sponsorship in the event will include the City of Palm Desert listed on the website, on all marketing materials, promotion of City of Palm Desert restaurants and hotels on the website, event passes, and day of event canopy for Palm Desert promotion. Event Details: • Location, Date and Time: o Shadow Mountain Resort, March 30, 2014 from 9:00 a.m. —4:00 p.m. • Subsidy of $15,000: Sponsorship will assist in covering costs such as promotion and advertising, venue rental, event production costs (e.g., stages, restrooms, tables, chairs, security, audio system, event staff, traffic control, etc.). • Proposed Ticket Price: $70 per person for general admission and - $300 per person for VIP admission. VIP Tickets will include VIP parking pass, VIP viewing area, seating areas with food and beverage service. • Site Parking: o All vehicle display, vendors and general parking will be located within the Shadow Mountain Resort golf course. Staff recommends pa�ticipation in the event as it will draw visitors from all over the west coast and has the possibility of growing into a national/internationally recognized signature event, bringing significant exposure to Palm Desert. The event will fill hotel rooms during the weekend that does not have a major City or Coachella Valley event scheduled. The event is scheduled at the end of March, after the BNP Paribas Tennis Tournament and after Fashion Week. With the event venue in close proximity to EI Paseo, we anticipate that visitors will dine, shop and stay near EI Paseo, thus increasing sales and hotel tax in Palm Desert during this weekend. Staff Report 2014 Desert Concorso Auto Show January 23, 2014 Page 3 Marketing Committee: The sponsorship request will be presented to the Marketing Committee on January 21, 2014. A verbal update will be provided to the City Council as to their recommendation. Fiscal Analvsis The fiscal impact to the City's General Fund is the $15,000 sponsorship. However, it is anticipated that the event will generate additional sales tax and TOT to the City from attendees. CITY COUNCI�1�CTION Submitted By: APPROVED DENiED RECEIVED OTHER `� _ � MEET D T� - AYE3s rtin Alvarez, Director of Economic Dev� ABSEN'h ABSTAINs VERIFIED BYs Orfgina!oa FUe w�ith City C 's Qffice Paul S. Gibson, Director of Finance Approval: �� J n M. Wohlmuth, City Manager Print Advertisements Publication Distribution Fre uenc Readershi Pass-alon Vinta e Roadcar Ma azine National Monthl 24,000 58,000 S orts Car Market International Monthl 130,000 285,000 Classic Motors orts Ma azine National Bi-monthl 40,000 115,000 S orts Car Di est Web Monthl Pilota Ma azine National Monthl 30,000 45,000 Sempre Ferrari Regional- Bi-monthly 8,000 13,000 SoCal AZ Ferrari Pacific Newsletter Regional- Monthly 5,000 7,000 NorCal NV Overheard Cams Regional- Monthly 750 800 NorCal Amici di Maranello Regional- Monthly 500 600 Pacific NW Cavallino Ma azine International Bi-monthl 20,000 BNP Paribas 0 en International Annual 10,000 Viale Ciro Menotti International Quarterl 1,100 1800 Desert Sun Re ional Dail Los An eles Times Re ional Dail Media Entities Committed to Attendin Desert Concorso So Far ESPN Radio Auto Week Ma azine Car& Driver Octane Ma azine ACE Magazine Ferrari Market Letter Road &Track Eventvibe.com Agen ress Auto &Desi n Ma azine Redline Review Garage St le Ma azine AllCarcentral.com Hemmin s Motor News Conce t Carz Los An eles Times Atlanti ue Events Motor Trend Radio Su ercars.net VeloceToda .com Cars.tv Auto Re orter Vanit Fair Robb Re ort Car Desi n News Entertainment Radio MSN Autos 1, Mailing list—The Desert Concorso has a mailing list of 17,000 high net worth contacts who will be receiving weekly messages (e-blasts) about the upcoming event. These messages will be news about recent event developments including promotional information about the Palm Desert lifestyle. The messages will be sure to inform the enthusiasts about lodging,dining, and shopping in Palm Desert, including. A sample of the first email announcement is below. � I Desert Concorso, Inc. 2014 Budget Event Costs Audio System 10,000 Catering 19,000 Event Magazine 15,000 Event Poster 2,500 Fencing 2,500 Furniture 8,000 Golf Course Damage Costs 1,000 Golf Course License Fee 15,000 Lavatories 13,000 Linens 1,000 Police 4,000 Refuse 3,000 Rental Truck 2,000 Rolling Stock 9,000 Signage 1,800 Temporary Voice&Data 2,000 Tents and Stage 35,000 Tickets and Badges 3,000 Traffic Manager 9,000 Labor Field Setup Team 10,000 Stage Team 4,000 Ticketing Team 6,000 Volunteer Coordinator 750 Volunteers 5,000 Total Labor 25,750 Total Event Costs 181,550 Administrative Costs Admin Staff 27,500 Marketing&Advertising 14,000 Public Relations 5,000 Sales Materials 3,000 Web Site Development 4,500 Total Administrative Costs 54,000 Total Costs 235,550 ebnconso Event Information Event Details Airport, Hotel & Car Rental Registered Participants FAQ Tickets & Registration Buy Tickets Vehicle Registration Vendor Registration Desert Concorso Store News Desert Concorso Blog Broadcast and Press Press Credentials Newsletter Sign Up Palm Desert, California March 30th2014 Buy Tickets Register Exotic Sports Cars and Italian Lifestyle Vehicles Associate Sponsors Advertising Opportunities © 2014 Desert Concorso TICKETE REGISTER VEHICLE Desert Concorso is a brand new lifestyle event brought to you by Concorso Italiano. Come celebrate European Automobiles, Fashion, Food, Music and Style. CAR Guar TOUR ITALIA Contact Us About Us 79U''SO ANOrSTccLa• Sports Cat TLn ALL SPONSORS