ANNUAL REPORT FY18 Washigton, DC Maryland Virginia
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1 ANNUAL REPORT Washigton, DC Maryland Virginia FY18
2 About CAPITAL REGION USA CAPITAL REGION USA (CRUSA) Is the official region destination marketing organization promoting Washington, DC, Virginia, and Maryland internationally, in partnership with Destination DC, the Virginia Tourism Corporation, the Maryland Office of Tourism Development, and the Metropolitan Washington Airports Authority. MISSION More overseas travelers staying longer and spending more money. Top Markets: China United Kingdom Germany France 2
3 Goal 1: FUNDING AND FINANCE Ensure long-range funding stability for CRUSA marketing efforts on behalf of its partners. Achieve an annual budget of $4 million, to include cash and in-kind investments from industry partners. CRUSA achieved a budget of $3,281,810 including $1,681,810 in cash and in-kind investments from corporate sponsors, grants, tour operator partners and suppliers across the region. CASH & IN-KIND CONTRIBUTIONS CRUSA BUDGET SUMMARY FY Funding FY14 FY15* FY16* FY17 FY18 Miles $101 Promotions $492 Primary Partner Income (Destination DC, Maryland Office of Tourism, Virginia Tourism Corporation, Metropolitan Washington Airports Authority) Cash & In-kind Contributions $1,486,000 $1,850,000 $2,000,000 $2,150,000 $1,600,000 $1,716,098 $1,977,954 $2,006,703 $ 1,732,692 $1,681,810 Total $3,202,098 $3,827,954 $4,006,703 $3,882,692 $3,281,810 *Primary Partner Income includes an additional $400,000 from VTC for Air China marketing. Fam Tour Support $288,667 Advertising $301,744 Tour Operators $336,512 CRUSA Sales and Marketing Programs $77,550 Brand USA $754,764 3
4 Goal 2: MARKETING Create and implement integrated marketing strategies that are innovative and leading edge, that advance the CRUSA brand and that attract funding. CONSUMER MARKETING PRINT TRAVEL GUIDES CRUSA completed year eight of its integrated CRUSA s overseas representatives in China, the United Kingdom, marketing partnership with Miles, providing Germany, France, and Brazil distributed approximately 89,572 print opportunities for industry participation holiday guides to travel trade, media, and consumers. In addition, in CRUSA s print holiday guides, website there were 1,661 downloads of the e-guide across all languages. advertising, , search engine marketing and Brand USA opportunities. The program generated $301,744 in support from industry partners. 4
5 Goal 2: MARKETING Maintain a robust, interactive website that supports the brand, reaches at least 571,930 unique visitors by 2018, and is CRUSA s primary marketing tool. WEB MARKETING: CRUSA s responsive website in seven languages engages visitors with immersive photography, videos, and prominent calls to action. In FY18, CRUSA implemented a content optimization strategy to boost ongoing digital marketing efforts. CRUSA focused on a customized content marketing approach (a smart balance of paid and organic traffic) to compliment the traditional search engine marketing (paid traffic) campaigns. The goal was to incrementally improve organic performance and user engagement on the site which is demonstrated in many of the following metrics: 14% decrease in bounce rate to the website 6% increase in time on site 10% increase in organic sessions 5
6 Goal 2: MARKETING MARKETING SOCIAL MEDIA: CRUSA delivered 309,223 e-newsletters in English, generating Grew Facebook fan base by 4% to 63,026 followers. 41,582 opens and 4,993 click-thrus to partner websites. Grew Weibo fan base by 55% to 31,170 fans. Grew WeChat fan base by 80% to 4,666 followers. Grew YouTube views by 9% to 40,596 views. 6
7 Goal 2: MARKETING Partner with tour operators to develop cooperative marketing campaigns to reach the consumer and generate flights and room night bookings. TOUR OPERATOR COOPERATIVE MARKETING CRUSA partnered with 14 overseas tour operators for joint consumer marketing initiatives in the United Kingdom, Germany, and France. CRUSA s investment of $187,450 (including 20% matching Brand USA funds) was also matched by $354,512 from the operators, resulting in campaigns valued at $541,962. Three supplier partners participated in the UK and France campaigns and contributed an additional $10,500 in support. The campaigns helped generate 36,441 room nights in CRUSA for the period of September 1, August 31, 2017; 5,807 tickets sold to IAD; and generated an estimated economic impact of $12,477,398. 7
8 Goal 2: MARKETING Develop consumer promotions that integrate the brand, product, technology, paid search and public relations to maximize media value, website visits and opt-ins. PROMOTIONS CRUSA participated in two promotions in the United Kingdom and Germany. SCOTTISH SUNDAY MAIL - UK PROMOTION The Scottish Sunday Mail and United Airlines provided a prize trip including airfare and a 3-night stay in the Capital Region. The prize package generated 434 sweepstake entries and had an earned media value of 4,815. CRD INTERNATIONAL - GERMAN PROMOTION Capital Region USA was featured for an entire month on the website of CRD International. The campaign Taste of the Capital Region USA included different articles, images, travel tips, bookable product and a video of the region. The campaign was accompanied by several social media activities. 8
9 Goal 2: MARKETING Use media relations to generate at least $17.5 million in earned media. MEDIA RELATIONS CRUSA achieved editorial coverage in print and electronic media outlets with an earned media value of $17.4 million. CRUSA and its partners hosted 46 journalists supported by $113,502 in in-kind support from travel industry partners across the region and beyond who provided free or reduced-rate flights, accommodations, meals, attraction admissions, and transportation for our clients. 9
10 Goal 2: MARKETING Trade marketing efforts must provide an opportunity to deliver CRUSA brand messages to the consumer to drive room nights and increase length of stay. TRADE MARKETING CRUSA reps conducted 399 sales calls and 61 training seminars for 773 travel agents and tour operator sales and reservations staff members across all four CRUSA markets. CRUSA organized and led three sales/media missions to Germany, France, and China generating 34 leads and appointments with 14 media. CRUSA participated in six international trade shows, attended by more than 471,550 tour operators, travel agents, media representatives and consumers. CRUSA and its partners hosted 11 trade fam tours for 87 clients. These fam tours were supported by $175,164 in in-kind support from travel industry partners and international airlines who provided free or reduced rate flights, accommodations, meals, attraction admissions, flights, and ground transportation for our clients. 399 sales calls 61 3 sales/media missions training seminars for 773 travel professionals 6 trade shows for 471,550 clients 87 clients hosted on 11 trade fam tours 10
11 Non-stop flights to Washington Dulles International Airport from major destinations worldwide make access to Capital Region easier than ever. Start planning your trip at Expedia.co.uk/ CapitalRegionUSA. Goal 2: MARKETING Work with Brand USA to ensure that CRUSA maximizes exposure across all relevant platforms. BRAND USA Brand USA provided $48,584 in funding to expand CRUSA s digital marketing campaigns and tour operator co-op campaigns. Virginia Beach invested $44,300 in Brand USA campaigns in China, in Brand USA s inspiration guide and on VisitTheUSA.com. In addition, CRUSA benefitted from approximately $653,845 in value added investment by Brand USA in creating the programs in which CRUSA participated. MULTI-CHANNEL CAMPAIGNS: United Kingdom and China Capital Region USA participated in two Brand USA-led multi-channel campaigns targeting the United Kingdom and China. WASHINGTON.ORG Historic Sites, Scenic Drives and Waterfront Charm in CAPITAL REGION USA See some of the USA s most historic sites, take a scenic country drive, climb a mountain and dine on the shores of the Atlantic Ocean. Find all of this and more in Capital Region USA Washington, DC, Maryland and Virginia easily reached from London, Dublin and Edinburgh via non-stop flights to Washington Dulles International Airport. In the country s capital of Washington, DC, tour monuments commemorating former presidents, wars and the military personnel who served in them. In the park setting of the National Mall, marvel at the Reflecting Pool under the gaze of a 19-foot statue of President Abraham Lincoln with the Potomac River as a backdrop. Enjoy free admission at 17 Smithsonian Institution sites, including the National Zoo and museums dedicated to natural history, African-American history, American art, and air and space exploration. Don t leave DC without exploring an eclectic collection of urban neighbourhoods to shop, take in a theatre performance and indulge in global cuisine. Consult the new Michelin Guide Washington DC 2018 publication for recommendations about 107 top restaurants. In adjacent Maryland, explore the state known for port cities Annapolis and Baltimore rich with maritime and Colonial history and taste blue crab freshly caught in Chesapeake Bay. Take a scenic driving tour with mountain NON-STOP FLIGHTS views and explore wildlife refuges and quaint fishing villages. Get a different perspective from the water during a sightseeing sail aboard a schooner. Venture to the Atlantic Ocean coastline to find wild horses roaming the Assateague Island National Seashore and a boardwalk playground in Ocean City. Virginia, which shares a Chesapeake Bay and Potomac River border with Maryland, has its share of waterfront treasures, including the cities of Virginia Beach, Norfolk and Newport News. Learn 18th-century history from the costumed guides and artisans throughout the living history museum of Colonial Williamsburg, and find Southern hospitality inland in Richmond and Lynchburg. Explore George Washington s home, Mount Vernon, wineries and former battlefields in the counties of Northern Virginia, and don t leave the state without experiencing Shenandoah National Park in the Blue Ridge Mountains. The park s northern entrance is only about a one-hour drive from Washington, DC. 18 VisitTheUSA.co.uk VIRGINIA TOURISM CORPORATION WASHINGTON.ORG Plan your great American holiday to BOB PETERSON 19 UNITED KINGDOM: JANUARY-MARCH 2018 Two-page print and digital insert. Google Display Network delivered 31,822 clicks (0.87% CTR). Facebook carousel ad delivered 12,274 clicks (1.77% CTR) Customized CRUSA Expedia landing page generated $1.4 million (8,132 room nights) in gross hotel bookings during the campaign period and $1.2 million (6,526 room nights) in post-view/click bookings and $932,598 (1,180 flights) in gross flight bookings during the campaign period and $714,880 (862 flights) in post-view/click bookings. Total campaign impressions: 6.53 million 11
12 Goal 2: MARKETING CHINA: IN PROGRESS Half-page print and digital insert Social media promotion Video vignette to deliver 1 million impressions across 4 plataforms Inclusion in Brand USA s Ctrip flagship store Results available Winter 2019 Video Services: Virginia Road Trip Five Virginia DMOs partnered with Capital Region USA to participate in Brand USA s Road Trips campaign. Six videos were produced (five destination vignettes and one overview video featuring a road trip to all five destinations). Once production is complete, the videos will be featured on the dedicated trips page on all Brand USA language sites and YouTube channels. The videos will also receive one month on the Featured Playlists promotions and 125,000 Rocket Fuel video views in the United Kingdom. Results expected Winter
13 Goal 2: MARKETING CHINA MEDIA OPPORTUNITIES Fliggy (May 2018) - CRUSA s dedicated campaign page received more than 1.12 million page views and generated $1.25 million in total sales (a 50% YoY increase) to 1,939 total passengers (89% YoY increase). Banner ads for the campaign delivered 56,233,191 impressions. Mafengwo (April-September ) - A destination itinerary was created for the region on Mafengwo and promoted on Mafengwo s app and homepage through banner ads and product recommendations. The campaign generated 16,991,005 impressions and 190,179 clicks to the itinerary. Ctrip (March-May 2018) - CRUSA received a landing page on Ctrip, China s largest OTA, and banner ads, social media, precise marketing, and product development to promote traffic to the page and bookings to the region. The campaign resulted in more than 11 million total impressions and 21.37% PAX increase over bookings for the previous year. Social Media - CRUSA received 6 WeChat and 24 Weibo posts on Brand USA s social media accounts. On Weibo, the posts received 672,000 post views and generated an engagement rate of 0.12% (6 times higher than the industry average of 0.02%). On WeChat, CRUSA s posts received 14,270 post views and generated an engagement rate of 2.05%. WeChat verification - CRUSA worked with Brand USA to verify CRUSA s consumer WeChat account and promote follower growth to the new account. Results available Winter
14 Goal 3: RESEARCH Strengthen research tools to (1) better understand our customer, (2) assess economic impact of overseas arrivals to region and (3) measure and evaluate marketing programs. Overseas visitors stay longer and spend more money in the Capital Region than visitors from the USA. In 2017, 2.62 million overseas travelers visited the Capital Region, stayed an average of 9.6 nights and spent nearly $5.4 billion on hotels, meals, shopping, attractions, and other goods and services across Washington, DC, Maryland, and Virginia. These overseas visitors helped generate nearly (37,500 or 42,187) jobs throughout the Capital Region OVERSEAS ARRIVALS & RECEIPTS TO CRUSA 2017 ARRIVALS BY WORLD REGION Country of Residence Arrivals Receipts China 385,000 $1,265,000,000 United Kingdom 278,000 $440,000,000 Germany 183,000 $189,000,000 France 117,000 $190,000,000 South Korea 165,000 $304,000, % Middle East 2.2% Central America 4.1% Africa 4.7% Oceania 9.5% South America 2.5% Caribbean 42% Europe India 130,000 $435,000,000 Total Overseas 2,621,000 (4%) $5.4 billion (-0.1%) Research reports on 2017 Overseas Arrivals to CRUSA may be obtained by contacting Scott Balyo at or 30.5% Asia 14
15 CAPITAL REGION USA BOARD OF DIRECTORS Virginia Tourism Corporation: Rita McClenny, President & CEO Diane Bechamps, Vice President, Marketing Heidi Johannesen, Global Marketing Director Maryland Office of Tourism Development: Liz Fitzsimmons, Managing Director, Division of Tourism, Film, & the Arts Marci Ross, Assistant Director Rich Gilbert, Travel Trade Sales Manager Destination DC: Elliott Ferguson, President & CEO Theresa Belpulsi, Vice President, Tourism Robin McClain, Vice President, Marketing & Communications Officers: Chairman, Theresa Belpulsi Vice Chairman, Heidi Johannesen Secretary/Treasurer, Liz Fitzsimmons Capital Region USA, Inc. PO Box Richmond, VA USA Scott Balyo, Executive Director Kimberly Petersen, Marketing Manager Stacey Sheetz, Digital Marketing Manager Audited financial statements for Capital Region USA may be obtained by contacting Scott Balyo at or
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