BOARD OF LOS ANGELES DEPARTMENT OF CONVENTION AND TOURISM DEVELOPMENT COMMISSIONERS
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1 BOARD OF LOS ANGELES DEPARTMENT OF CONVENTION AND TOURISM DEVELOPMENT COMMISSIONERS Commissioners: Jon F. Vein, President; Ray Bidenost, Vice President; Jeremy Bernard; Stella T. Maloyan; Otto Padron Members of the public who wish to speak during the meeting must submit a Request to Speak form to the Board Secretary prior to the commencement of the public comments for each agenda item of interest. Comments by the public on matters not identified on the agenda, but within the subject matter jurisdiction of the Commission, will be heard only during the item designated as Public Comment. Public speaking will be limited to two minutes per speaker, unless the presiding officer grants some other amount of time before the commencement of the public comment. Regular Meeting Wednesday, April 5, :00 a.m. Los Angeles Convention Center 1201 S. Figueroa Street, L.A., CA Executive Board Room 1. CALL TO ORDER / ROLL CALL 2. PUBLIC COMMENT 3. ACTION ITEMS: a. Approval of the regular meeting minutes from March 1, PRESENTATIONS: a. Neighborhood Council representatives on any Neighborhood Council Resolution or Community Impact Statement filed with the City Clerk which relate to any agenda item listed or being considered on this agenda for Board of Los Angeles Department of Convention and Tourism Development b. AEG Monthly Update February Brad Gessner, AEG c. LATCB Monthly Update February Kathy McAdams, LATCB i. Virtual Tour Darren Green, LATCB ii. Advertising Campaign Electric Spot LATCB iii. Interactive Visitor Kiosk Network LATCB ADJOURNMENT AGENDA FORECAST / SPECIAL TOPICS: April 19, Expansion & Futurization Update CTD - CIP Update CTD Materials related to an item on this agenda submitted to the Board of Los Angeles Convention and Tourism development after distribution of the agenda packet are available for public inspection in the Executive Office of the Los Angeles Convention Center, 1201 S. Figueroa Street, Los Angeles, CA 90015, during normal business hours. As a covered entity under Title II of the Americans with Disabilities Act, the City of Los Angeles does not discriminate on the basis of disability and, upon request, will provide reasonable accommodation to ensure equal access to its programs, services and activities.
2 BOARD OF LOS ANGELES CONVENTION AND TOURISM DEVELOPMENT COMMISSION Regular Meeting Minutes March 1, 2017 The Board of Los Angeles Convention and Tourism Development Commission (Board) convened a regular meeting on Wednesday, March 1, 2017 at 9:00 a.m. at the Los Angeles Convention Center (LACC), located at 1201 S. Figueroa Street, Los Angeles, CA 90015, in the Executive Board Room. PRESENT: President Jon F. Vein Vice President Ray Bidenost Commissioner Jeremy Bernard ABSENT: Commissioner Stella T. Maloyan Commissioner Otto Padron PRESENTERS: John Boudouvas, LATCB Brad Gessner, AEG Keith Hilsgen, AEG Patti MacJennett, LATCB Diana Mangioglu, CTD Item 1. Call to Order / Roll Call President Vein called the meeting to order at 9:00 a.m. Item 2. Public Comment None Item 3a. Approval of the regular meeting minutes from February 1, 2017 Jon Vien moved Jeremy Bernard seconded Ray Bidenost abstained APPROVED Item 3b. Approval of the latcb Proposed Budget Board Report # UNANIMOUSLY APPROVED
3 Board of Los Angeles Convention and Tourism Development March 1, 2017 Page 2 of 2 Item 4a. Neighborhood Council None Item 4b. AEG Monthly Update December Mr. Keith Hilsgen introduced Chris Fortuno, employee of the month for January. Mr. Brad Gessner reported that December has 13 events, with a total of 251,700 in attendance, 2 of which were citywide events. Mr Gessner also reported that there were 3 fimings in December. Mr. Hilsgen presented the financial data for December. Mr. Hilsgen reported that the discounts were higher than budgeted and that parking revenue was up due to the increased parking base price. Mr. Hilsgen also reported that occupancy for January was 76% and 70% YTD. Item 4c. LATCB Monthly Update December Ms. Patti MacJennett reported that YTD, leads were at 129, the goal is 220, booked room nights were at 258,829 YTD, with a goal of 390,000. The lack of a Director of Sales in the Western Region had a direct effect on these numbers. Ms. MacJennett also reported that in 2017, 29 conventions were booked equaling 345,000 in room nights. **President Vein asked that the virtual tour be shown at the next meeting. Item 4ci. LATCB Monthly Update New Advertising Campaign Mr. John Boudouvas reviewed key findings from focus groups used to develop Discover LA, LATCB s new brand campaign. Mr. Boudouvas also presented two commercials produced by LATCB. **President Vein asked that the television ad that aired during the election be shown at the next meeting. ADJOURNMENT The meeting was adjourned at 10:06 a.m.
4 Los Angeles Convention Center AEG Monthly Status Report February 2017 Brad Gessner 1
5 EMPLOYEE OF THE MONTH FEBRUARY 2017 Keyco Lee Set-up/Conversion Crew Supervisor 2
6 LACC FEBRUARY 2017 EVENTS DATE EVENT ATTENDANCE Feb. 3 8 SOLIDWORKS World ,000 Feb. 4 5 Hombre Nuevo 7,000 Feb. 10 MusiCares Person of the Year 3,000 Feb El Sembrador 7,000 Feb GRAMMY Awards Celebration 4,000 Feb Black College Expo 16,500 Feb DIANA Annual Awards Banquet 1,000 Feb. 15 Naturalization Ceremony 15,000 Feb LAMKT Gift Show 5,000 Feb L.A. CookieCon 18,000 Feb L.A Travel & Adventure Show 18,000 Feb BUFFALO WILD WINGS Annual Meeting 5,400 Feb. 24 Mar. 6 LA County Dept. of Human Resources 1,500 *Citywide TOTAL: 119,400 3
7 LACC FEBRUARY 2017 FILMING AND PHOTO EVENTS Name Location Amount Leatal Weapon West Hall Lobby/GL Drive $30,650 Germany s Next Top Model Kentia $5,120 Silicon Valley Hall G/South Lobby/Pico $88,892 VEEP West Hall Arcade/Bond $24,640 VEEP Venice Garage $2,700 TOTAL FILMING: $152,042 (February $104,230) 4
8 LACC FEBRUARY 2016 FINANCIALS OPERATING PROFIT: $1.05 million (before approved A & I and Capital Projects) $615K better than budget and $51K above prior year Budget prepared in October 2015 REVENUES: $3.05 Million $545K above budget and $182K above prior year and 5
9 LACC FEBRUARY 2016 FINANCIALS EXPENSES: $2.0 million (before approved A & I and Capital Projects) $70K below budget and $131K above prior year ALTERATION AND IMPROVEMENTS & CAPITAL PURCHASES: $62K in A& I and $15K in Capital consisting of: Concessions Point of Sale equipment Exterior Painting Energy Efficient Lighting 6
10 FEBRUARY OCCUPANCY 7
11 PricewaterhouseCoopers report on Convention Center occupancy states: It has been recognized industry-wide that the practical maximum exhibit hall occupancy rate is approximately 70 percent and the efficient range is considered to be approximately 50 to 60 percent. Occupancy levels less than 50 percent generally suggest the existence of marketable opportunities or open dates, while an occupancy rate above 60 percent increases the potential for lost business or turnaways. 8
12 Economic Impact - FEBRUARY $21.5 million in Economic Impact 9
13 City Tax Revenue- FEBRUARY $622K in tax revenue generated $452K in TOT and $169K in other city taxes 10
14 CTD Board of Commissioners Meeting April 5, 2017
15 AGENDA Sales Update Kathy McAdams Vice President, Citywide Convention Sales Recent Customer & Industry Events Virtual Discovery L.A. Darren K. Green Senior Vice President, Sales Interactive Digital Kiosk Update Adam Burke Chief Administrative Officer Advertising Campaign Update Patti MacJennett Senior Vice President, Business Affairs
16 Citywide Convention Sales YTD FY 16/17 Production Lead Production Leads Actual FY 16/17 Goal 220 FY 16/17 YTD 166 FY 15/16 STLY 158 Booked Room Nights Produced RNs Actual FY 16/17 Goal 390,000 FY 16/17 YTD 291,774 FY 15/16 STLY 290,953 Dated March 28, 2017
17 Citywide Convention Sales Booked Room Nights 2014 to 2024 Calendar Year Arrival Date 17 Events with 188,952 room nights booked during YTD FY 16/17 (July 1, 2016 March 28, 2017) Dated March 28, 2017
18 Recent Bookings October ,635 TRNs October ,790 TRNs
19 Targeted Prospects Mobile World Congress October ,271 TRNs Outdoor Retailer Summer Show ,375 TRNs IMPACT October ,644 TRNs Summit January ,900 TRNs BIO International Convention June ,375 TRNs
20 Prospecting Strategy Target Conventions at 3,000+ Peak Room Nights Identified 36 Citywide Convention Profiles Actively Prospecting 34 Leads Hotel Sales Committee Recommendation Leveraging Hotel Partners and TAP Report to prioritize Need Dates
21 The TAP Report Purpose: identify opportunity windows when hotels need to build group business and compression periods to drive rate ed Monthly to Lead Hotels with Three Reports- Citywide Sales, Hotel Sales and Combined Analyzes sales data based on 15 year room night pace targets compared to definite room nights on the books for each month and year
22 The TAP Report Definition of Terms Booked: number of Definite room nights by LATCB Sales Team Prospects: number of Tentative room nights pending by LATCB Sales Team Pace Target: number of booked room nights that should be confirmed at the time the report is published. Consumption Benchmark: the average number of definite room nights produced by LATCB for each month and year for the last three twelve month periods.
23 TAP Report 2019 LATCB Citywide Convention Production for 2019 Booked Pro Prospects Pace Target Consumption Benchmark
24 Recent Customer & Industry Events EnVision March Cleveland CEO Summit March Nashville College Football Playoff National Championship Bid 2023 or 2025 March 21 Dallas Board of Directors Meeting March Washington D.C. SportAccord Convention April 2-7 Denmark
25 National Sales Meeting & meetl.a. EXCHANGE April 17-20, 2017 Tuesday, April 18, 2017 Reverse Trade Show: 9:00 a.m. 1:00 p.m.
26 Virtual Discovery L.A. 50 locations 190+ hubs Shareable content Multi-layer information points Integrated onto meetla.com Desktop, Mobile and VR Glasses Compatible Most comprehensive virtual tour of any destination!
27 Virtual Discovery L.A. Entertainment L.A. Live STAPLES Center Santa Monica Pier Warner Bros. Studio Hollywood Belasco Theater The Original Farmers Market Paramount Studios Skyspace LA Hollywood & Highland Dining Spago Perch Mrs. Fish High Rooftop Lounge Triple 8 Skybar at Mondrian Grand Central Market Bottega Louie Angel City Brewery Cultural MOCA The Broad LACMA Petersen Automotive Museum Walt Disney Concert Hall The Getty USS Iowa Destinations Venice Beach Grand Park Marina del Rey Beverly Hills DTLA Arts District Manhattan Beach Hermosa Beach Olvera Street
28 I n t e r a c t i v e D i g i t a l K i o s k U p d a t e A p r i l 5,
29 Follow the color scheme order to divide sections: 1) Purple 2) Orange 3) Magenta 4) Blue 5) Repeat Key contract objective is to Facilitate and track engagement with those visiting Los Angeles for both conventions and leisure travel to enhance the visitor experience with the intent of encouraging repeat visitation and longer stays. Key deliverable in support of that objective is to Enhance the visitor experience through an integrated network of visitor centers, digital kiosks, visitor guides and visitor maps providing convenient and relevant destination information and resources.
30 D I S C O V E R L O S A N G E L E S V I S I T O R I N F O R M A T I O N N E T W O R K Mobile & Apps Mobile Web, DiscoverL.A. app, MeetL.A. app Interactive Digital Kiosks Social Media Facebook, Fanstang, Instagram, Pinterest, Twitter, Snapchat, WeChat, Weibo Visitor Information Centers Hollywood & Highland Union Station Macy s Downtown Visitors Print Materials Official Visitor Guide, China Visitor Guide, Visitor Map, Meeting Planner Guide Client Services Site Visits, FAMs, Event Hosting/Servicing Virtual Reality Tour Websites English, Spanish, Chinese, Japanese, Korean, French, German, Portuguese
31 KIOSK PILOT PROGRAM RESULTS Initial test phase included seven units: LACC (2), Hollywood VIC, J.W. Marriott Downtown, Loews Hollywood, Hilton Universal City, Madame Tussauds Hollywood Pilot program proved that visitors will actively engage with interactive digital kiosks (over 120,000 impressions per month) Moving forward, we need to move toward an outdoor solution to maximize visitor intercepts In order to effectively scale this program, the business model needs to substantially reduce or eliminate capital investment required, while creating revenue streams to support ongoing operations In addition to serving the needs of visitors to L.A., the long-term solution must also serve as a platform to provide a wide range of relevant information to residents including community events, regional transportation information, real-time public service announcements and information on local merchants Goal was to identify a strategic partner who can deliver proven, state-of-the-art hardware that is purpose-built for outdoor use
32 I k e S m a r t C i t y. c o m
33
34 IKE: THE SMART CITY HUB Proven outdoor system initially developed and deployed with the Denver Downtown Business Improvement District Wi-fi enabled, easily updated delivery system for smart city services, including wayfinding and providing visitors and residents alike with information on community events, local area businesses, attractions, restaurants, hotels and more Uses multi-modal mapping to provide directions to destinations throughout the City, including integration of regional transportation systems Provides a dynamic, two-way communications platform between the City and the public, including number of impressions, polling data and the ability to display critical, real-time messages from governmental authorities Supports multiple languages and is capable of emitting audio announcements as well
35 KIOSK OUTDOOR DEPLOYMENT Discover Los Angeles has entered into a strategic partnership Orange Barrel Media who own and developed IKE for a customized interactive digital kiosk solution for Los Angeles specific needs By entering into long-term lease agreements (10+ years), Orange Barrel is able to offer this solution with zero capital investment required by either Discover Los Angeles or its partners This funding model is enabled by advertising revenues delivered from the kiosk network, with a revenue share component to host locations It is critical to note that IKE is NOT primarily an advertising delivery platform rather, it is a content delivery system that is financed by ad revenues; ads appear on the full screen only until a user interacts with the unit, at which point ads take up minimal banner space and the majority of the screen is dedicated to content
36 CONTENT IS KING
37 HIGHLY CUSTOMIZABLE DESIGN
38 HIGHLY CUSTOMIZABLE DESIGN
39 N E W A D C A M PA I G N
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43 THANK YOU
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