FY 2016 APPLICATION FORTOURISM MARKETING DISTRICT FUNDS

Presented December 12, 2014

San Diego Brewers Guild

Mission Statement

To promote awareness and increase the visibility of fresh, locally brewed beer through education and participation in community events.

• Founded in 1997 as a 501(c)(6) • One of America’s most acclaimed brewing associations• One of the world’s most active brewing communities

75 Brewing Company Members90 Allied Retail Members95 Affiliate Members

MissionTo promote San Diego’s thriving craft beer culture by sponsoring a ten-day countywide festival that attracts beer tourism, fosters knowledge of our regional brewing heritage, and serves as a showcase for San Diego’s breweries, restaurants, pubs, hotels and other businesses with ties to the craft beer community.

San Diego Beer Week 2015Friday, November 6th through Sunday, November 15th

San Diego Brewers Guild Success = Success for San Diego Tourism!

“San Diego County continued excellence in all things suds by grabbing 14 medals in this past weekend’s top national beer contest.”

– NBC 7 San Diego

“And where is craft kingliness reigning these days? Look no further than just about every top ten beer city list to emerge over the last few years: It’s San Diego.”

– NBC Los Angeles

“The craft craze for specialty beer has gone abroad, increasing with popularity and leaving many asking for more. And San Diego has a something to do with it”.

– Pacific Citizen

“Probably the most recognizable (yet still-emerging) beer city on the list, San Diego is often referred to as the ‘Craft Beer Capital of America’.”

– U.S. News & Travel

• 60+ participating breweries• 600+ events over the 10-day period:

Beer Dinners Festivals Rare Bottle Tastings Cheese Pairings Brewery Tours Classes Cask Nights Meet-the-Brewers

Friday, November 7th through Sunday, November 16th

• 3rd year “On the Waterfront” at Broadway Pier – near downtown SDTMD hotels• 4,000 + in attendance (SOLD OUT FRIDAY and SATURDAY!)• Partnership with FM 94.9 to promote the Guild Festival• Mayor Kevin Faulconer tapped the ceremonial opening cask• Promoted San Diego’s brewing scene, culture, and community spirit• More than 50 San Diego Breweries with all beers made in San Diego County• Attendees got to meet the brewers, try food pairings, and listen to music

SDBW Official Kick-Off EventSan Diego Brewers Guild Festival

SDBW Official Closing Event

• Sold-out crowd of 600 attendees• The PREMIERE beer and food pairing

event during San Diego Beer Week• 12 local chefs paired with 24 San

Diego breweries to create unique, beer and gourmet food tastings

• Room/Event packages sold• Opportunity for attendees to engage

with local brewers & chefs• Supporting culinary scholarship funds

through Chef Celebration

Completely REDESIGNED San Diego Beer Week Website

Visitors2013: 20,2222014: 95,030

Updated Lodging Page on SDBW Website

Visitors able to access TMD property listings

Created lodging packages forSDBW attendees with TMD hotels

TMD Property Listings

6 Page Comprehensive List with all

Category A TMD Properties

Added 1,300+ Facebook Fans (10,022 to 11,325)

Fan Breakdown:Over 6,000 Fans from outsideSan Diego

Follower Breakdown :6,090 in 20118,043 in 201210.9K in 201312.9K in 2014

Added 2,000+ Twitter Followers (10,697 to 12,939)

2014 SDBW Media ImpressionsTMD funds have enabled us to generate millions of media impressions over a six month campaign

The Guild ran an aggressive print, online, radio and social media campaign targeting craft beer enthusiasts and beer tourists in Southern and Northern California, Arizona, Oregon, New York, Colorado, and Midwestern States.

Top Press Hits SDBW Media Attendance - Saveur Magazine - Huffington Post- Alaska Airlines Magazine - Craft Beer & Brewing Magazine- Craft Beer & Brewing Magazine - Beer Alien - Beer Advocate - The Full Pint- The Full Pint - Celebrator Beer News- Huffington Post - Drink Me Magazine- Thrillist National - Zagat- LA Weekly - AXS.com- NBC Los Angeles - KPBS- KCRW - U-T San Diego- Zagat - Eater SD

We hired a professional PR firm (Katalyst PR) to focus on aggressive media relations campaign to generate additional press

2014 SDBW Media Pick-Up

• 25+ TV SegmentsKUSI, NBC, Fox, CW, CBS and ABC

• Radio Interviews FM 94.9, KOGO

• 45+ Print Hits Saveur Magazine, Draft Magazine, Celebrator Beer Magazine, Pacific San Diego Magazine, Union Tribune

• 200+ Online Features/Mentions Zagat.com, Sandiego.com, thrillist.com, draftmag.com, beeradvocate.com

• 45+ Blog Features/MentionsBy prominent beer bloggers

Proposed 2015 Campaign Target Market

Craft Beer Drinkers & Beer Tourists:

Craft beer enthusiasts represent a highly desirable demographic of relatively young, educated, affluent, mobile beer drinkers willing to travel for unique beer events.

The nature of beer tourists is such that they will travel at any time of year to the events that are important to them – (e.g. GABF, Oktoberfest, SDBW, etc.) Hosting Beer Week in early November, an “Off Peak” season for San Diego tourism, has proven to bring the Beer Enthusiast to San Diego in increasing numbers.

SDBW 2015 CampaignWebsite

• Maintain & update mobile friendly SDBW website leading Beer Enthusiasts to the site and TMD hotel options

• Improved search engine for Event listings included ability to sort events by type, neighborhood, and date

• Expand LODGING page to include partner TMD Hotel packages for the anchor Beer Week events• Link Hotel Tab to Convis/TMD run site with more hotel listings

Hotel Partnerships• Increase the number of hotel partnerships, creating packages to induce more visitors to book hotel

rooms through SDBW website • Optimized ticketing website to better handle and track online travel bookings• Collaborate with Hotel Event and group marketing teams

Additional Marketing Focus• Expand social media interactions and opportunities driving users to the SDBW website and TMD

Hotel options• Create video advertising for SD.org and social media campaigns• Increase “on line” banners and internet presence by 10% in 2015 with links to SDBW website• Build on success of previous years PR campaigns • Introduce a Group Sales component targeting The Beer Hobbyist audience• Have a marketing presence at major out-of-market beer events • Marketing to include website links and offers of Room & Event packages to drive interest to the

websiteROI Measurement

• Continued partnership with Vision Quest/SDSU School of Hospitality to assess effectiveness of marketing and enhance ROI tracking

With $74,900 in FY 2016 SDTMD funding, SDBW 2015 will launch a targeted marketing campaign including a focused “call to action” in all media types, and a concentrated outreach to industry-related, out-of-market groups.

BUDGET - SDTMD funds will be allocated among the following budget items:

• $20,000: Print Advertising• Includes beer and industry specific magazines, regional publications, travel publications,

cards and out of market SDBW promotion materials • $15,000: Online Advertising

• Includes banners and ads on influential beer, social media and travel websites• $15,000 Public Relations & Professional Management in Marketing Campaign

• Fund PR firm to generate regional and national media buzz, coordinate media opportunities; partially fund Administrator to liaison with PR firm, Media Professional and Brewers Guild members throughout 600+ events and oversee the SDBW plan and vision

• $15,900: Technology Support • Update and maintain website and social networking applications; create video campaigns;

build a faster search engine and a broader “Lodging” tab connection • $9,000: Operations/Admin

• Oversee the SDBW plan, execute reimbursements, place media buys, act as PR & web designer liaison and communicate dates to SDBG members; fund a dedicated Beer Media professional to oversee plan and vision in executing media buys, placement, timing and administration; oversee Festival coordinators, PR efforts and web design initiatives, and to act as liaison to the Board of Directors

Budget Overview

Projected TMD ROI of 13.8:1*

Assumptions:Friday (11/06) – 900 room nights

Saturday (11/07) – 945 room nightsSunday (11/08) – 650 room nightsMonday (11/09) – 500 room nightsTuesday (11/10) – 500 room nights

Wednesday (11/11) – 598 room nightsThursday (11/12) – 650 room nights

Friday (11/13) – 900 room nightsSaturday (11/14) – 900 room nightsSunday (11/15) – 400 room nights

• ROI projection supported by prior years’ successful results• Assumes a total of 6,943 room nights x a $148.97 average nightly room rate =

$1,034,298.71 in revenue• $1,034,298.71 in revenue / $74,900 fund grant = 13.8:1 ROI• The San Diego Beer Week total ROI of 13.8:1 surpasses the minimum threshold of

3:1 for “Off Peak Periods”

2014 San Diego Beer Week Room Night Analysis

Results were generated using intercept interviews conducted at events of varying sizes during Beer Week. The results indicate that an estimated 6,900 room nights were generated as a result of Beer Week events.

6,900 room nights / $991,254 generated => ROI 13.23 : 1

** It is important to note that only those attendees staying in a TMD area hotel, who came specifically for Beer Week events

were included in the analysis.

Partnering to Promote San Diego as a Craft Beer Destination

VISION QUEST: SDBW has yielded INCREASING ROI’s

2010… 1,435 room nights / $179,734 generated => ROI 3.59 : 1 2011… 3,612 room nights / $469,307 generated => ROI 6.26 : 1 2012… 5,943 room nights / $789,794 generated => ROI 11.56 : 12014… 6,900 room nights / $991,254 generated => ROI 13.23 : 1

Vision & Timing! Six Years Ago…

SDTMD and ConVis were responsible for convincing the San Diego Brewers Guild to move SD Beer Week from its planned timeframe in August 2009 (already a peak tourist time) to early November (an Off-Peak tourism period) when it could benefit the entire local tourism and hospitality industry.

Nov. 2009 – Nov. 2014

2009 – TMD invested $22,320 in first-time event: 300+ events were held during our first San Diego Beer Week.  Due to the spread-out nature of the event, lack of standardized reporting procedures, and the short lead time (2 months) between TMD investment funding and SDBW 2009, no ROI report was possible. 

2010 – TMD invested $50,000 in second year event: 477 posted events in 10 days.Using the TMD standard ADR of $125.25, this yielded a total of $179,734.00 in additional hotel revenue during the Beer Week period. The ROI was approximately 3.59:1 

2011 – TMD invested $74,900 in third year event: 524 posted events in 10 days.Using the TMD standard ADR of $129.93, this yielded a total of $469,307 in additional hotel revenue during the Beer Week period. The ROI was approximately 6.26:1

2012-TMD invested $74,900 in fourth year event: 535 posted events in 10 days.Using the TMD standard ADR of $132.89, this yielded a total $789,794 in additional hotel revenue during the Beer Week period. The ROI was approximately 11.56:1

2014-TMD invested $74,900 in sixth year event: 600+ events were held in 10 days. Using the TMD standard ADR of $148.97, this yielded a total of $991,254 in additional hotel revenue during the Beer Week period. The ROI is approximately 13.23:1

How can San Diego grow tourism customers and TMD Hotel Occupancy, other than just promoting its beaches, bays, and attractions???

• Give tourists another COMPELLING, UNIQUE reason to come to San Diego in a FOCUSED event that provides multiple “insider” experience opportunities

• Maximize the use of Social Media as the preferred communication and information platform of our target audience

• Strive to create a “Call To Action” with every marketing dollar

• Promote SD Beer Week at other major Beer Events

• Hosting our 10 day Festival when the city can fully engage in and maximally benefit from a signature, citywide event

• Do it in an AUTHENTIC WAY that leverages an existing sustainable differentiated competitive advantage and creates ancillary benefits year-round

“San Diego isn’t just surfing and LaDainian Tomlinson anymore it’s the new beer capital of the U.S….The sheer number of breweries blows us away. Visit almost any of them and you’ll find the brewmaster on hand, happy to chat over a pint.”

Men’s Journal, October 2009

Thinking Tactically

“People from all over the country, and really all over the world, come to San

Diego to experience what we have to offer.”Brian Scott

“Forget the zoo, SeaWorld and beaches galore. San Diego’s

allure, at least for tourists, is all about the beer, so says

The New York Times.” Lori Weisberg

“International beer enthusiasts love this week

because it’s a chance to be a part of the San Diego beer revolution.”

Adam Martinez

“Probably the most recognizable (yet still-emerging)

beer city on the list,

San Diego.”U.S. News Travel

“San Diego, which we’re gonna go

ahead and deem the most

dominating beer city in world

history!”Ben Robinson,

Thrillist

“Iconic destinations are often associated with culinary adventure.

San Diego has the opportunity with craft beer to elevate the experience

of tourists or convention attendees.”Russ Mitchell

= America’s Finest Beer Weekand Beer Tourism year-round!

BEERBREWERIESBAYBEACH

+ + +

We look forward to working with the

San Diego Tourism Marketing District to

bring visitors to town for the SEVENTH annualSAN DIEGO BEER

WEEK in 2015

Thank you for your consideration!