Bill Geist's Zeitgeist

The Tax You Don't Pay

We hear it all the time. Elected Officials often reject the idea of raising Hotel taxes because, regardless of the ROI, they fear that voters won't understand (maybe they're the same people that don't understand that vegi-burgers are made out of vegetables). They fear the electorate will only hear the word "tax" and vote against the measure or, more importantly, them.

The Wichita Falls CVB has just launched a new campaign to encourage voters there to approve a Hotel tax increase with a brilliant twist: It's the Tax You Don't Pay."

As much as we've all explained it that way...this is the first time I've seen it actually lead the conversation. We typically tout all the advantages of such an increase and follow-up with the "and the best part is residents don't pay" angle as the logic. But the DMO in Wichita Falls is attempting to take the issue off the table first.

Smart...and I can't wait to see how this plays out.

Nothing Better to Do?

When a State Legislature passes a law that forbids plant-based meat providers from using the word "burger," I guess that should signal to us that they've already tackled all the really pressing issues of the day.

Except Mississippi was recently ranked the third worst State in the nation on issues including healthcare, education, the economy, infrastructure, opportunity for residents, fiscal stability of state government, public safety and the natural environment. So...I'd venture that there's still some work to do there.

The bill was promoted as being necessary so that Mississippi residents wouldn't be confused when they went to the grocery store or out to eat. If the Legislature really thinks that those they represent don't understand that a "veggie-burger" is made of vegetables, maybe it should tackle the education system first.

Just a thought...

Authenticity in Messaging

I remember chuckling upon seeing Taco John's use a stock photo of a woman that we had used for the original iteration of DMOU. It's not like Taco John's (or DMOU) was selling something that needed to exude authenticism. The image of that person was simply eye-candy.

However, when one is running for public office, authenticity is a thing, n'est-ce pas?

Check out this story from CNN that shows that virtually everything from a new Trump commercial is stock imagery...featuring models and locales other than the America he claims to want to make great.

For those of us in Destination Marketing, stock imagery is never a good idea.

For those trying to inspire support...I'd say it's an even worse idea.

 

The Hubris of Going it Alone

The politicization of Destination Marketing continues to rise, with local governments increasingly thinking that they can achieve a higher ROI by taking their investment in their regional DMO and doing their own thing. And, while I can certainly understand the community pride that drives such conversations, the reality is that, unless a community is talking about the redirection of millions of dollars, this won't end well.

The City of Eureka has withdrawn from its regional DMO because community leaders there don't think that the organization's redwoods-centric marketing provides it with enough visibility. They've taken their $370,000 ball and gone home.

As the City searches for an ad agency to fulfill the role of DMO (which, in the immortal words of that esurance commercial, "that's not how any of this works"), the Times-Standard editorial board has weighed in with a brutal smack-down that underscores the folly at work.

Such a strategy, they opine, means that Eureka will have roughly $5,000 to spend per month per market...not counting agency commission, staff, website or design).

Exactly.

Somewhere, "That 70's Show's" patriarch is uttering his famous one-word line.

Compromise is in the Air

As we begin to close out the week before those in the Destination Marketing world begin to celebrate National Travel & Tourism Week, two of the most high-profile political stand-offs appear to have found a sense of common ground.

The now-annual battle between the Florida House of Representatives and Visit Florida appears to have been mitigated with a compromise agreement to keep the DMO's doors open...but with a 33% reduction in State investment in the program. Sadly, you can be sure this won't be the last time this battle erupts again in Tallahassee.

And, in New Orleans (where the Mayor channeled the donkey in Shrek when referring to her disagreements with DMO Chief Stephen Perry in a State hearing), it looks like a deal is also in the offing.

In both cases, Destination Marketing loses ground...but not the war.

I was honored to be a presenter at this week's summit of the Virginia Association of Destination Marketing Organizations, where I heard a DMO pro sigh that it is so hard to tell our story to government because what we do is not a "core service."

Destinations International's Jack Johnson quickly retorted, "but, Destination Marketing is a core service." And, minutes later, took to the stage to prove it.

Let's make this the year that the conversation of our importance and efficacy shifts from defense to offense. Our communities deserve no less.

Best Analysis Yet of the Challenges Ahead for Destination Markets

And, not just because I'm quoted.

Skift's Hannah Sampson does a masterful job of comparing and contrasting all sides of the argument...as there appears to be a ray of hope for the continuation of Visit Florida.

Read and weep? Nah, read and take action.

Crunch Time in Florida

We've watched this circus twice before. You know, the one where the Florida Speaker of the House sets his sights on eliminating that State's Destination Marketing agency. Says that money is being misappropriated and that marketing Florida really isn't necessary because of its beaches, attractions and high consumer awareness.

It's the tired "high consumer awareness" crack that makes me shake my head every time. Apple has high consumer awareness. Nike has high consumer awareness. They spend billions on advertising because not everyone has yet tried their product. But, there is one product that every single person on the planet has tried.

Milk. Every one of us is a past or present user. We know what it tastes like and whether we'd like some more. And yet, the Dairy Farmers of Wisconsin (formerly known as the Milk Marketing Board) spends over $20 million a year to convince consumers to use more of a product they already know.

There is one difference this time around, however. There is a new Speaker of the House...and he is the CEO of a highly successful corporation that produces an award-winning product. When he's not trying to jam a spike through Florida's Travel and Hospitality industry, Jose Oliva runs Oliva Cigars. I could be way off, here...but, I'd be willing to bet that his company advertises in cigar magazines, works with media outlets to promote all the awards they've won and offers co-operative promotions with retailers around the world.

So, when he says, “In a trillion-dollar economy, a few million dollars put towards advertising a few different places cannot possibly have a direct correlation with tourism,” one can't but involuntary snort one's drink through one's nose.

With little more than a week left in this legislative session, prospects for saving Visit Florida have never been more tenuous. Several Florida DMOs are blanketing their stakeholders with urgent e-requests to contact their representatives to attempt to put an end to this dangerous legislative recklessness.

Since he apparently doesn't believe in the efficacy of advertising, someone should ask Mr. Oliva how much his company spent on promoting his family's line of cigars last year. 

The Proving Just Got Tougher

Those who have seen me present in Boardrooms and on stages know I'm pretty dismissive of counting Room Nights as a primary measure of the efficacy of Destination Marketing. Don't jump to conclusions here. Achieving Room Nights is important. Using them as your proof has been a slippery slope for over a decade.

And, it just got slipperier.

A new study from Hilton, NYC & Company and the PCMA Foundation has found that the practice of convention attendees booking outside the contracted hotel block has gotten much worse over the past 5 years. Like, twice as bad as the last study I saw.

Over the past three years, roughly half of all delegates attending large-scale, urban conventions are booking accommodation outside the block. 25% of attendees actually booked the HQ hotel...but didn't identify themselves as attendees qualifying for the block. Thus, they haven't been counted. Thus, our "proof" just got shakier. 

As the report states, all participants in this dance will need to re-evaluate the practice of establishing Room Blocks from the consumers' point of view.

And, DMOs need to find other ways to communicate our value.

The Shortsightedness of an Anti-DMO Bias

As we noted last Thursday, members of the Florida House of Representatives (and now, some Senators) are looking to throttle or eliminate Visit Florida, that State's Destination Marketing Organization. I guess it's a case of "if first you don't succeed," but one would think they would have gotten the message after two failed attempts to derail destination marketing in the Sunshine State. It's almost like a bad April Fool's Day joke.

Those that continue down this path have clearly not understood (for, I am sure they have at least seen it) the "Halo Effect" research from Longwood's International. There is a direct correlation between destination marketing and future residency and corporate investment. And, no one knows this better than Kenneth Strickland, director of research and air service development for Tampa International Airport.

In a great article on why people are moving to Florida, Strickland connects the dots between international investment and a visit. In a Tampa Bay Times survey, 83% of resident respondents report they were not born in Florida. They visited. They liked. They moved. They now pay taxes...to the very State in which a number of Legislators are now attempting to disrupt that pipeline. 

Maybe that's the way those that want to see Visit Florida survive should pitch it. Cut off Destination Marketing and you cut off the supply of people who visit, which cuts off the number of potential residents (future voters) who would be clueless enough to vote for you next time around.

Nah...they're not listening to anybody anymore.

Florida's Silly Season Returns

They hafta be joking, I thought when the news began to trickle out of the Sunshine State that its House of Representative was once again targeting Visit Florida for elimination. I mean, Lord Voldemort and many of his White Walkers (I know I’m mixing my blockbusters...but hang with me, here) are no longer members of the Florida House. So, WTF? Their young Republican spawn are taking up the mantle? 

The strange aspect is that members of this year's movement aren't pointing to secret endorsement contracts or DMOs that refuse to turn over staff salary information. They're just done with the agency, apparently. No reason is given for wanting to eliminate their State Tourism Office on October 1. They just want to. Because they think they can.

And, members of the Senate (which have served as the only adults in the room over the past few years) are starting to wiggle. Their counter proposal is to retain Visit Florida, but with a budget cut of about a third. Oh...and then there is the requirement that Visit Florida be barred from promoting any destination that has banned some types of sunscreen. Like the Keys.

No...I'm not kidding. One of the Senators behind the measure actually said, "I don’t want that brand to be changed from the Sunshine State to the melanoma capital of the world. If we’re going to give skin cancer to people they’re not going to come down."

It really is time for people that benefit from visitor spending (and, that would be...ummm, everybody) to start paying attention to who they vote for.

Really.