Cooperative Marketing Summary 2017 Cooperative Marketing Summary Fiscal Year Ending June 30, 2017 MIS R.I enjoy the show Working together to lead Missouri in becoming one of America’s most memorable tourist destinations. Published January 2018 for the FY2017 program year -- July 1, 2016 through June 30, 2017 1 Cooperative Marketing Summary 2017 SECTION I. PROGRAM OVERVIEW The Missouri Division of Tourism’s (MDT) Cooperative Marketing Programs include the Promote Missouri Fund (PMF) and the SEM Partnership. Since its inception in fiscal year 1995, the PMF has awarded over $60 million toward the support of local performance-based tourism marketing projects. The PMF is separated into three distinct programs: Marketing Matching Grant, Marketing Platform Development and Collective Marketing Initiative. Cooperative Marketing Goals:  Support and further the Missouri Division of Tourism's overall annual marketing strategy as outlined in the annual marketing plan and position Missouri to compete more effectively for travel and tourism market share.  Create programs based on the common marketing goals of MDT and its Destination Marketing Organizations (DMOs), thereby creating mutually beneficial marketing executions.  Create a program that is efficient to implement for both MDT and its partners. Administration: MDT administers the PMF on behalf of the Missouri Tourism Commission, which reserves the right to make all final decisions. MDT partners with both Madden Media and H&L Partners to administer the Cooperative Marketing Programs. Promote Missouri Fund Advisory Committee: The advisory committee, comprised of ten tourism industry professionals representing each of the five regions of the state, provides valuable customer input about program design and administration of the program. Promote Missouri Fund Opportunities:  Marketing Matching Grant – The Marketing Matching Grant (MMG) is a 50/50 matching program for pre-approved leisure travel advertising completed in pre-approved media markets. Project reporting and reimbursement requests are due quarterly with a final Project Summary Report due at the end of the fiscal year. Award amounts are based on the County Tourism Level (CTL) of the certified DMOs.  Marketing Platform Development – The Marketing Platform Development (MPD) is a 50/50 matching program for a one-time, pre-approved marketing investment that will be utilized beyond the fiscal year of the initial investment. The Project Summary Report and reimbursement request is due at the end of the project. This grant is specifically for DMOs with a CTL of 4 or less and can also be utilized by regional partnerships. Each individual grant has a cap of $5,000 in matching funds.  Collective Marketing Initiative – The Collective Marketing Initiative (CMI), while not a matching grant, leverages the resources of MDT through a broad menu of subsidized print and digital marketing opportunities. The major benefits to the DMOs include strength through a unified message, better ad positioning, media outlets with increased 2 Cooperative Marketing Summary 2017 reach, potential to run larger ad sizes and the obvious financial savings. The program opportunities are selected based on their ability to effectively and efficiently reach Missouri’s target customers. CMI participants pay the vendor directly and reporting is not required for the program; the program is open to DMOs as well as other tourism industry organizations. Search Engine Marketing Partnership: The Search Engine Marketing (SEM) Partnership is not located under the umbrella of the PMF; however, it is a dynamic and powerful cooperative marketing tool. The program allows DMOs to send a steady stream of qualified traffic to their website. The unified effort drives traffic to their site without competing with the state or other Missouri participants. The program is a 50/50 match with minimums/maximums and various budget levels. SEM participants pay Madden Media directly and reporting is not required for the program. SECTION II. FY2017 COOPERATIVE MARKETING ANALYSIS FY2017 Analysis: MDT approved 32 tourism marketing projects in the matching grant programs and the awards totaled approximately $3.4 million. In addition, MDT had a CMI investment of almost $255,000 and SEM investments of over $220,000. The MDT and partners’ combined investments led to an $8.5 million budget for local industry partners to market their destinations. Upon completion of each matching grant project, participants submit summary reports assessing the outcome of the funded marketing activities. The following pages contain an analysis of participant-provided statistical data for program-wide measurement. The MMG dollars purchased media advertising which includes television, magazines, radio, inserts, billboards and digital marketing. In-state marketing accounted for 18 percent of the budget, with the remaining 82 percent focused on the out-of-state market. Figure 1 details the dollars that were made available and the actual dollars expended for FY2017 advertising and marketing activities in each the programs. This figure includes both MDT and DMO contributions. Figure 1 FY17 Summary of Cooperative Marketing Investments Participating Awarded MDT DMO Marketing Category Organizations Amount Contribution Contribution Marketing Matching Grant 27 $3,422,691 $3,361,546 $3,473,888 Marketing Platform Development 5 $17,750 $16,700 $16,700 3 Cooperative Marketing Summary 2017 Collective Marketing Initiative 16 N/A $254,580 $1,000,294 Search Engine Marketing 22 N/A $223,367 $223,367 Totals 39 $3,440,441 $3,856,193 $4,714,249 STATISTICAL DATA: Outcomes for Marketing Matching Grant: More than 85 percent of the cooperative marketing dollars were used for projects in the MMG – this amount continues to be fairly consistent year to year within the programs. The summary report outlines each project’s objectives as well as the DMO’s measure of success for the funded project. The participants provide the main objectives of the project, gauge the extent to which the objectives were met and comment on the degree of success attributed to the project. These comments can be found in the “Individual Projects” section of this report. Participants provide measurement research to support the reported outcomes. The level of research required for each project is commensurate with the CTL and the amount of state funding provided. This research provides not only important data, but also valuable insight into Missouri tourism marketing trends at the local level. Figure 2 summarizes dollars awarded and reimbursed for the MMG program by DMO and county designation. This figure shows contributions by MDT only. Figure 2 DMO Name County Designations Awarded Reimbursed Branson/Lakes Area Chamber /CVB Taney $475,000 $475,000 St. Louis CVC St. Louis/St. Louis City $475,000 $475,000 Visit KC Jackson $475,000 $468,381 Springfield CVB Christian/Greene/Polk $430,000 $430,000 City of St. Charles Tourism Department St. Charles $275,000 $274,649 Table Rock Lake/Kimberling City Chamber Stone $275,000 $274,624 Lake of the Ozarks Tri-County Lodging Camden/Miller/Morgan $275,000 $273,678 Clay County Tourism Clay $174,439 $167,418 City of Columbia CVB Boone $113,679 $100,415 City of Hannibal CVB Marion/Ralls $70,000 $70,000 Buchanan County Tourism Board Buchanan $69,221 $69,221 Platte County Visitors Bureau Platte $64,067 $50,032 Pulaski County Visitors Bureau Pulaski $39,987 $39,821 Jefferson City CVB Cole $34,783 $34,070 City of Lebanon Laclede $33,022 $32,795 Cape Girardeau Chamber/CVB Cape Girardeau $32,110 $27,072 Carthage CVB Jasper $20,430 $19,383 City of Sikeston d/b/a Sikeston CVB Scott $20,000 $19,836 4 Cooperative Marketing Summary 2017 Washington Area Chamber of Commerce Franklin $18,963 $18,107 Moberly Area Chamber of Commerce Randolph $14,834 $9,137 City of West Plains Tourism Development Howell $6,580 $6,370 City of Hermann Tourism Gasconade $6,000 $6,000 City of Ste Genevieve Tourism Department Ste. Genevieve $6,000 $6,000 Sedalia Convention & Visitors Bureau Pettis $5,661 $4,818 Louisiana CVB Pike $3,500 $3,500 Lexington Tourism Commission Lafayette $4,749 $3,474 Kirksville Area Chamber of Commerce Adair $4,666 $2,745 Totals $3,422,691 $3,361,546 Figure 3 summarizes the number of ads/campaigns placed within the MMG program by media type. This figure shows contributions by both MDT and DMOs. Figure 3 Media Type Number of Amount Percent of Ads/Campaigns Invested MMG Digital 949 $2,213391 32.4% Television 13,121 $1,945,366 28.5% Print 1,143 $1,395,038 20.4% Radio 10,482 $715,075 10.4% SEM 51 $368,852 5.4% Billboards 32 $197,713 2.9% Totals 25,778 $6,835,434 100% Outcomes for Marketing Platform Development: In FY2017, the MPD program represented less than 1 percent of the total PMF appropriations with five participants. These funds are available to certified and non-certified DMOs with a CTL of four or lower. Each grant is not to exceed $5,000 and can only be used for a one-time platform investment. Figure 4 summarizes dollars awarded and reimbursed for the MPD program by DMO and county designation. This figure shows contributions by MDT only. Figure 4 DMO Name County Awards Reimbursements Downtown Excelsior Springs Partnership Clay $ 1,000 $ 1,000 City of Ste. Genevieve Tourism Dept Ste. Genevieve $ 4,000 $ 2,950 Historic Downtown Liberty Clay $ 4,750 $ 4,750 Warrensburg CVB Johnson $ 3,500 $ 3,500 Perry County Heritage Tourism Perry $ 4,500 $ 4,500 Totals $ 17,750 $ 16,700 5 Cooperative Marketing Summary 2017 Outcomes for the Collective Marketing Initiative: The CMI menu of subsidized print and digital marketing choices offer MDT partners the opportunity to purchase advertising as a unified entity. Public and private entities were eligible to participate with preference first given to certified DMOs, then non-certified DMOs and industry partners. A total of 16 partners participated and MDT supported the effort with a $255,830 investment. The major benefits to the DMOs included strength through a unified message, better ad positioning, media outlets with increased reach, potential to run larger ad sizes and financial savings. Figure 5 summarizes the total dollars invested by MDT in CMI and the DMO/organization (and the county designation) that participated. This figure shows the total amount contributed by MDT only. Figure 5 DMO/Organization Name County Branson Lakes Area COC/CVB Taney Cape Girardeau CVB Cape Girardeau Clay County Clay Independence Tourism Dept Jackson Jefferson City CVB Cole Lake of the Ozarks Tri-County Lodging Camden/Miller/Morgan MO State Parks Multiple Nicholas Beazley Airport Museum Saline Old Trails Lafayette Sikeston CVB Scott Silver Dollar City Stone Springfield CVB Christian/Greene/Polk St. Charles CVB St. Charles St. Joseph CVB Buchanan City of Ste. Genevieve Tourism Dept Ste. Genevieve Washington Area Chamber Franklin Totals $254,580 Outcomes for the Search Engine Marketing Partnership: The SEM Partnership is available to both certified and non-certified DMOs in the state. The program is provided through MDT’s partner, Madden Media. In FY2017, 22 DMOs participated. Figure 6 summarizes the total dollars invested by MDT in SEM and the DMO/organization (and the county designation) that participated. This figure shows the total amount contributed by MDT only. 6 Cooperative Marketing Summary 2017 Figure 6 DMO/Organization Name County Branson Lakes Area COC/CVB Taney Cape Girardeau CVB Cape Girardeau Carthage CVB Jasper City of Lebanon Laclede Clay County Clay Greater Chillicothe Livingston Hannibal CVB Marion/Ralls Hermann City Hall - Tourism Gasconade Independence Tourism Dept Jackson Jefferson City CVB Cole Joplin CVB Jasper Lake of the Ozarks Golf Trail Camden/Miller/Morgan Lake of the Ozarks Tri-County Lodging Camden/Miller/Morgan Maryland Heights St. Louis Pulaski County Tourism Bureau Pulaski Sedalia Area Chamber/CVB Pettis Springfield CVB Greene/Polk/Christian St. Charles CVB St. Charles St. Joseph CVB Buchanan City of Ste. Genevieve Tourism Dept Ste. Genevieve Warrensburg CVB Johnson Washington Area Chamber Franklin Totals $223,367 SECTION III. FY2017 ASSESSMENTS - INDIVIDUAL PROJECTS The following pages reflect the outcome information provided by the participants for each individual FY2017 contract for the MMG. 7 Fiscal Year 2017 Program Summary Individual Contract Data for Marketing Matching Grant DMO Information DMO: Buchanan Co. Tourism Board d/b/a St. Joseph CVB CTL: 4 Project: Marketing for Buchanan County Contract #: 17-01-009-20 Budget and Expenditures State Dollars Awarded: $69,221.00 State Dollars Reimbursed: $69,221.00 Revised Award: $0.00 Local Matching Dollars: $69,221.00 Total Project Cost: $138,442.00 Marketing Activity Information Magazine Ads Placed: 29 Billboards Leased: 0 Gross Impressions: 22,274,000 Newspaper Ads Placed: 0 Electronic Marketing: 4 Travel Insert Ads Placed: 2 Other Marketing Activity: 0 Instate Marketing: 24 % TV Ads Placed: 0 Radio Ads Placed: 100 Out-of-State Marketing: 76 % SEM Activity Information # of Campaigns: # of Impressions: # of Clicks Delivered: Average Click-through Rate: Project Outcomes The Cooperative Marketing Program allowed us additional funding to advertise in outlets not regularly affordable to our DMO and those advertising purchases resulted in more inquiries than could have been generated alone. Quantifiable Measurements (As provided by the participant) CTLs 1 to 5 - Tax Revenue Comparison Tax Comparison FY16 to FY17: -0.80% CTLs 6 and 7 - Advertising Effectiveness Study Advertising Recall: 0.00% Incremental Trips: 0 Economic Impact: $0 #Aware Households: 0 Incremental Room Nights 0 Advertising $$ Spent: $0 Increment Travel: 0.00% Dollars Spent per Trip: $0.00 Return on Investment (ROI) Fiscal Year 2017 Program Summary Individual Contract Data for Marketing Matching Grant DMO Information DMO: Clay County Tourism CTL: 5 Project: Clay County Tourism MMG Marketing Program Contract #: 17-01-014-20 Budget and Expenditures State Dollars Awarded: $174,439.00 State Dollars Reimbursed: $167,418.39 Revised Award: $0.00 Local Matching Dollars: $167,418.00 Total Project Cost: $334,836.39 Marketing Activity Information Magazine Ads Placed: 24 Billboards Leased: 5 Gross Impressions: 91,404,544 Newspaper Ads Placed: 0 Electronic Marketing: 15 Travel Insert Ads Placed: 2 Other Marketing Activity: 0 Instate Marketing: 25 % TV Ads Placed: 0 Radio Ads Placed: 226 Out-of-State Marketing: 75 % SEM Activity Information # of Campaigns: # of Impressions: # of Clicks Delivered: Average Click-through Rate: Project Outcomes As a first year destination participated in the program, the MMG project allowed Clay County to reach more potential visitors and increase the awareness of Clay County as a destination. While comparison to FY15 is difficult due to no previous data, the project provided a significant increase in visitor leads and website visits. On the website traffic increased substantially with more than 70% of site traffic driven by the digital campaign through the MMG project. Clay County also collected nearly 8,000 reader’s service leads, compared to none the previous year. The project allowed Clay County to reach significantly more travelers than it ever could on its own. Quantifiable Measurements (As provided by the participant) CTLs 1 to 5 - Tax Revenue Comparison Tax Comparison FY16 to FY17: 1.15% CTLs 6 and 7 - Advertising Effectiveness Study Advertising Recall: 0.00% Incremental Trips: 0 Economic Impact: $0 #Aware Households: 0 Incremental Room Nights 0 Advertising $$ Spent: $0 Increment Travel: 0.00% Dollars Spent per Trip: $0.00 Return on Investment (ROI) Fiscal Year 2017 Program Summary Individual Contract Data for Marketing Matching Grant DMO Information DMO: Platte County Visitors Bureau CTL: 5 Project: Platte County Getaway Campaign Contract #: 17-01-025-20 Budget and Expenditures State Dollars Awarded: $64,067.00 State Dollars Reimbursed: $50,032.04 Revised Award: $53,917.00 Local Matching Dollars: $50,032.05 Total Project Cost: $100,064.09 Marketing Activity Information Magazine Ads Placed: 8 Billboards Leased: 2 Gross Impressions: 20,356,091 Newspaper Ads Placed: 0 Electronic Marketing: 15 Travel Insert Ads Placed: 2 Other Marketing Activity: 0 Instate Marketing: 26 % TV Ads Placed: 0 Radio Ads Placed: 0 Out-of-State Marketing: 74 % SEM Activity Information # of Campaigns: # of Impressions: # of Clicks Delivered: Average Click-through Rate: Project Outcomes Platte County’s FY17 MMG project allowed us to participate in travel inserts that would normally be cost prohibitive. Our ads in the travel inserts greatly increased our leads and we were able to reach potential visitors that might not have heard of Platte County. Website visits also increased with the online ad campaign for Platte County. Our FY17 MMG project allowed us to specifically target our preferred demographic (within a 4 hour drive distance and targeting female shoppers 45-55). Weston’s billboards along I-70 generated a good response with multiple stores reporting shoppers had seen the billboard. In addition, Weston’s print ads in Missouri Life were well received and generated visits to the town (stores routinely poll shoppers on where they are from and how they heard of Weston – many mentioned the Missouri Life ads). Missouri Life also featured Weston in Bike Across Missouri and named it the host city and start of the 2017 ride. Weston’s ads were a key element in introducing Bike Across Missouri to the town and having that staff visit. This was great exposure to Weston and was an added bonus of the FY17 MMG project. The online, print and billboard ads also underlined the shift in visitors’ habits with the 1- 800 call to action not generating a good response. This will assist in future ad content and call to action decisions. Quantifiable Measurements (As provided by the participant) CTLs 1 to 5 - Tax Revenue Comparison Tax Comparison FY16 to FY17: -0.50% CTLs 6 and 7 - Advertising Effectiveness Study Advertising Recall: 0.00% Incremental Trips: 0 Economic Impact: $0 #Aware Households: 0 Incremental Room Nights 0 Advertising $$ Spent: $0 Increment Travel: 0.00% Dollars Spent per Trip: $0.00 Return on Investment (ROI)