RENO-TAHOE AIRPORT AUTHORITY COMMUNITY OUTREACH COMMITTEE BRIEF OF MINUTES July 21, 2016 Boardroom / Conference Room A/B COMMITTEE MEMBERS PRESENT: Jessica Sferrazza, Chair Jenifer Rose, Vice Chair Sandy Evans Hall Daniel Farahi Patrick Flynn Michael Knox Don Kornstein Rick LaMay Jim Nadeau Thomas Petersen Owen Roberts Sharon Spangler Art Sperber Jaime Tibaduiza Charlene Bybee Jennifer Cunningham Hillary Schieve ALSO PRESENT: Adam Mayberry, Trustee Rick Murdock, Trustee Andy Wirth, Trustee Marily Mora, CEO Brian Kulpin Rebecca Venis Trish Tucker Heidi Jared April Conway Stephanie Kruse Mike McDowell Eric Henry Pete Parker Patrick Wink Chad Morris Burnham Moffat COMMITTEE MEMBERS ABSENT/EXCUSED: Bebe Adams Glenn Carano Carol Chaplin Karl Hutter Marc Johnson Matt Harris Aaron West Bob Lucey The Community Outreach Committee (COC) met on Thursday, July 21, 2016. I. Call to Order, Roll Call: Chair Jessica Sferrazza called the meeting to order at 5:32 PM. Community Outreach Committee members were welcomed by Chair Sferrazza and Vice Chair Jenifer Rose. Roll call was taken and guests introduced. II. Public Comment: RTAA Board Chairman Rick Murdock introduced a special guest from Safari Club International (SCI), Chief Executive Officer, Phil DeLone. Mr. DeLone proudly
announced that starting January 2019, and continuing through January 2020 and 2021, Safari Club International will return to Reno-Tahoe. SCI expects to bring 20,000 attendees, from 103 different countries, and more than 1,000 unique exhibitors to the area during their annual conference and exhibition. Mr. DeLone thanked the region for coming together collectively to make SCI s return possible. SCI was most recently here in 2013, and since then the air service at Reno-Tahoe International Airport took a dip. However, Mr. DeLone said he is confident that the air service is on the rise and for that reason, SCI is coming back home to Reno. The COC members applauded his remarks. III.Approval of Meeting Minutes from April 21, 2016 There was a motion to approve the minutes from the Community Outreach Committee meeting held April 21, 2016, by COC member Art Sperber, and a second by Sharon Spangler. The COC members voted unanimously to approve the April meeting minutes. IV. New Business: Update on Key Issues Facing the Airport Authority: A. Airport Website: A Focus on Air Service and Customer Service Reno-Tahoe International Airport s Website Redesign Includes Features to Facilitate Travel, Gain Feedback From Customers, and Provide Helpful Information, Presented by Mike McDowell, KPS3 Marketing. Brian Kulpin, Vice President of Marketing and Public Affairs, introduced the topic and Stephanie Kruse, President of KPS3, a local marketing and advertising firm. Mr. Kulpin explained that the Reno-Tahoe International Airport s main website was a little dated, and needed to include a focus, not only on customer service, but also on promoting air service. KPS3 was hired to do the website redesign. Ms. Kruse opened the presentation and introduced Mike McDowell, Senior Account Director with KPS3. As a reminder to the group, Mr. McDowell showed COC members what the previous design looked like. Mr. McDowell explained that KPS3 had a specific strategy in mind when redesigning the website not just a website with pretty pictures and links, but a strategy to ensure that the site addressed the primary users and their needs. Following research, surveys, planning meetings, and review of analytics, KPS3 emerged with the following objectives: new design, a new look and feel to match the RTAA, and a reflection of the new design in the terminal building. Usability was also factored in by making the new website responsive to the size of the user s screen (desktop, tablet, or smart phone), i.e., the website automatically fits to the appropriate screen. Statistics show that the majority of the traffic, about 64% of the Airport s website traffic, is from mobile users, so website responsiveness was important. Page 2 of 9
Next, KPS3 focused on ways to integrate air service into the new website. While retaining a focus on customer service, the goal was to also build in a planning tool, enabling customers to go to www.renoairport.com to plan their next trip by air, promote flight deals, make the search process easier, and facilitate booking travel. Mr. McDowell said KPS3 integrated social media to match the efforts of Airport staffs outreach on social media platforms by pulling content feed from Facebook and Twitter to the website, which facilitates more two-way foot traffic between social media and the website. Finally, Mr. McDowell stated that updates to the site were done in the same content management system that was previously used, enabling Airport staff to quickly make necessary edits and updates. The redesign also included a crisis communication strategy with the ability to have a site-wide alert, a way to direct users to a specific location for crisis updates and contact information, and a Twitter feed for press information and up to the minute news. Mr. McDowell demonstrated where the alert would appear in the event of an actual emergency. He then gave a demonstration and guided tour of the new live website. Mr. McDowell stated that the vast majority of website users are looking for flight arrival information, which is very prominent on the homepage of the website. There is also now a customer survey tab on the site, visible from every page, which invites users to give customer feedback about their experience at the Airport. Flight deals are posted via Airfare Watch Dog, a flight price finder. COC Liaison Jennifer Cunningham asked roughly how many visitors the Reno- Tahoe International Airport gets each month. She praised the team for the clean, user-friendly look. COC member Jaime Tibaduiza asked about booking tools available on the site. Mr. McDowell advised that Airfare Watchdog is the application on the site for posting the latest flight deals, but no actual booking tool is on the site. Rebecca Venis, Manager of Air Service Development and Marketing, advised that there is no booking tool for a good reason, and that is that Southwest Airlines does not participate in any online booking tool, and Southwest makes up 50% of RNO s flights. Therefore, if the Airport were to incorporate a booking tool such as Expedia, Travelocity, etc., it would not include the vast majority of RNO s flight options. Therefore, the Airport encourages passengers to visit the respective airline websites for booking airfare. COC member Tom Peterson praised the Airport for the new site, calling it very responsive and user-friendly. He recommended making Flight Aware an active link on the website, so that passengers can better check the status of the airline flights and get more information. Airport staff acknowledged that it could be a good tool to add. Page 3 of 9
Charlene Bybee, COC Community Liaison and City of Sparks Councilwoman, asked if the new website and increased number of RNO passengers will result in an increased usage of bandwidth within the terminal building. She said she is afraid of possible website slowdowns that might be experienced by users at the gate while waiting for their flights. Mr. Kulpin responded that the WiFi at RNO is very highly rated in all customer service surveys as being very accessible, free, and convenient. Owen Roberts COC member and Microsoft s Reno General Manager, concurred that the WiFi at RNO is superb with a strong bandwidth to accommodate its customers. He advised that RTAA IT staff could track the percentage of bandwidth actually used and monitor peak times of usage, but that by and large, it is more than adequate. He offered Microsoft s support. B. Pathways to Aviation: A Presentation on the Aviation Educational Program, Presented by Eric Henry, Board Chairman and Pete Parker, Executive Director, Reno Air Racing Foundation. Mr. Henry thanked the group for the opportunity to present and introduced the topic. He said that Pathways to Aviation was founded by the Reno Air Racing Foundation. Mr. Parker began the presentation and explained that Pathways to Aviation s mission is to create a strong and qualified aviation workforce. They wish to inform, inspire and engage young people to pursue aviation, from hot air balloons to drones and everything in between. During the National Championship Air Races, Pathways to Aviation invites children from the Washoe County School District to come out to the Air Races for learning and fun. This year, Pathways has 81,000 sq. ft. of space where they will set up classrooms and displays including an aircraft classroom to teach young people about rocketry and aircraft. The Discovery Museum, Challenger Learning Center, and Fleishmann s Planetarium, will teach students about space. There will be a drone classroom and a Career and Industry hub. Learning institutuions such as Embry Riddle, UNR, TMCC and more will promote their schools. In addition, there will be a Career Expo where students can meet employers to learn how to get a job in aviation. Mr. Parker said they expect 5,000 students to participate. There will be representatives from Chautauqua, Amelia Earhart, and the Wright Brothers speaking in the industry hub. Marily Mora, RTAA President/CEO, will speak at the Checkered Flag Club. Workshops will be held all week long, beginning Wednesday and continuing through Sunday of the Air Races, September 14 18. Pathways to Aviation wants aviation-related companies to hire students locally right out of high school and then offer scholarships for college age students to further pursue their aviation goals. Mr. Parker stated that Pathways to Aviation wants to be a hub of information for any aviation company looking to hire within northern Nevada. Page 4 of 9
Mr. Henry added that only one or two students out of 100 might actually become an aircraft pilot, yet there are aviation-related jobs for students available in all related aviation fields like aircraft mechanics, aerospace engineers, marketing, sales, and more. Pathways goal is to connect industry to the kids. COC Vice Chair Rose asked what Pathways to Aviation does year round. Mr. Parker advised they work with the school district on aviation related activities and try to connect students to local area aviation businesses by creating job shadow opportunities, etc. Chair Sferrazza asked how students find Pathways to Aviation. Mr. Parker said that many youth find Pathways after participating in the Young Eagles First Flights through the Experimental Aircraft Association. The target age is 8 to 17 years old and Pathways is working with the Washoe County School District to build an aviation curriculum. Mr. Roberts asked if they work with the Boys and Girls Club. Mr. Parker responded yes, but it s a weekend only opportunity. Chair Sferrazza thanked Trustee Adam Mayberry for encouraging the presentation from Pathways to Aviation and said it was very informative. Chair Sferrazza asked guests to make self-introductions. Patrick Wink, the new General Manager of Atlantic Aviation, Chad Morris, Operations Manager at Atlantic, and Burnham Moffat, community member and aviation enthusiast, all introduced themselves. C. Regional Air Service Corporation: A Business and Tourism Partnership that Builds Community Awareness in Air Service and Attracts New Air Service, Presented by Andy Wirth, RTAA Trustee and Rebecca Venis, Manager of Air Service Development and Marketing. RTAA Board Vice Chair Andy Wirth led the presentation on the Regional Air Service Corporation. Trustee Wirth stated that about 15 years ago, the Regional Marketing Committee (RMC) was formed. Initial membership included a wide variety of tourism entities such as the Reno-Sparks Convention and Visitors Authority (RSCVA), Ski Lake Tahoe, local gaming properties, and others. Over $10 million in contributions were made to support new and existing flights. Today, the group is incorporated and called the Regional Air Service Corporation (RASC), which gives them the ability to negotiate and sign contracts directly with airlines. The new membership includes not only the tourism industry but also business, including the Economic Development Authority of Western Nevada (EDAWN), Dermody Properties, NV Energy, Switch, and more. Trustee Wirth said RASC is chaired by himself and the Co-Chair is Kimberlee Tolkien from the Atlantis. The other officer positions are Treasurer Andy Chapman from the Incline Village Convention and Visitors Bureaus, Marketing Co-Chair Carol Page 5 of 9
Chaplin from Lake Tahoe Visitors Authority, and Marketing Co-Chair Rebecca Venis, RTAA Manager of Air Service Development and Marketing. RASC has a great website that can be found at www.flyrenotahoe.com and that RASC is really focused on bringing people inbound to the Reno-Tahoe region. Trustee Wirth continued by saying that in 2016, seat capacity has increased 13% compared to 2014, with 4.68 million passengers each year. It is a hypercompetitive environment for air service. Every single community has good reasons why an airline should bring their aircraft to their market. He stated that the RASC coalition and the Reno-Tahoe region is successful at bringing in new air service and bucking the trend. Trustee Wirth pointed out the 2014 Route Map at RNO compared to today s 2016 Route Map. He cited the example of Tesla and how the news of this new business coming to Reno was important for the airlines to note, in addition to the analytics and data that showed RNO as a strong route. RASC is focused on the entire catchment area, to include north and South Lake Tahoe and more. Trustee Wirth highlighted the new routes, including Long Beach, CA on JetBlue, Atlanta on Delta Air Lines, and Dallas Love Field on Southwest Airlines. Dallas Love Field is a mini-hub and will add numerous connections for travelers flying on Southwest to Dallas. He also indicated that the Airport has its sights set on international service. Trustee Wirth explained that the RTAA is a stand-alone quasi-governmental agency, and that RASC is completely different. RASC is one of the first organizations of its kind and a unique concept. Airlines are taking note of this strong organization that can support new air service for their community. Trustee Wirth said RASC serves the entire catchment area, and their success is based on each member putting aside their individual sights and looking beyond to pull together and do what s best in the interest of air service. He said that is our competitive advantage. Ms. Venis then cited the example of the JetBlue and New York City service. The Reno-Tahoe International Airport needed a separate entity to negotiate a contract with JetBlue and sign an agreement for risk mitigation as FAA regulations prevent the Airport from doing this. Ms. Venis said that most people don t realize that getting JetBlue at RNO was a 15-year discussion that began in 2001. JetBlue sought risk mitigation for the flight as early as 2013, and once RASC incorporated, that made it possible to write a contract for securing the New York City flight. Ms. Venis shared that the New York City flight has performed so well since May 2015 that JetBlue has identified RNO as a market where they want to grow and announced Long Beach service to begin August 15, 2016. Ms. Venis said it takes a village to provide risk mitigation for a flight. In the example of New York City, the following entities put together the package that Page 6 of 9
secured JetBlue: Reno-Tahoe International Airport, Regional Air Service Corporation, Ski Lake Tahoe, regional Convention and Visitors Authorities, Nevada Commission on Tourism, Hotel partners, and the Economic Development Authority of Western Nevada. There has been ongoing support for the flight, starting with the launch of service in May of 2015, and continuing through phase one and two of marketing. At the launch of service, there was an NYC media event and local inaugurals at RNO and JFK, and both events generated 38.1 million media impressions. Ms. Venis described that Phase one of marketing included print and digital media, a media familiarization tour with 18 travel writers, RNO in-terminal advertising with outdoor boards and edgelits, and community marketing through e-blasts and social media. She explained that Phase two of marketing has included $425k spent in NYC on print and digital media, in-terminal support, and community marketing. Ms. Venis said that the results are what matter and out of all other proxy markets compared by JetBlue, Reno-Tahoe International Airport has out-performed the other cities in load factor. The challenge now is to keep that momentum going. The success of New York City has now brought RNO Long Beach and JetBlue is watching closely to see how Long Beach will perform. Trustee Wirth closed by asking the COC members if everyone understood the mission of the Regional Air Service Corporation. Chair Sferrazza advised the COC that air service is a 24/7/365 effort and Airport Board Trustees and staff work night and day to build the air service at RNO. She reiterated that without bringing in business and tourism, and including the entire catchment area, we cannot bring in more air service and therefore more conventions. Trustee Wirth added that sustainable demand must include layers: winter, summer, business, tourism, capacity that sustains demands both in tourism and business. Ms. Bybee, who is also an American Airlines employee, agreed that the airline industry does not have extra aircraft. When an airline chooses where to go, it is based on where the most profitable market is for that airline. The number of aircraft is limited, which creates a very competitive industry. CEO Mora stated that the announcement from Safari Club today is really proof that the partnership is working. Reno Mayor Hillary Schieve agreed that it is a positive partnership that is working in a variety of areas across the region right now, with organizations coming together for the good of the region. Page 7 of 9
COC member Sandy Evans Hall asked where next and which other markets are being considered by RASC. Trustee Wirth responded that Kevin Kassekert of Tesla asked for more capacity out of the bay area a couple years back, and now, Oakland is served by Southwest Airlines with three flights per day. In addition, a mid-atlantic hub, like Washington DC, would be beneficial. Southern California is served well but there are always new opportunities. CEO Mora added that increased service to Dallas Love Field and Atlanta going from weekly to daily is a goal, as is taking Houston and Minneapolis from seasonal and daily flights. She stated that it s not just about new markets, but also about up gauging frequency and capacity. Vancouver and other Canadian markets are also on the wish list. RTAA Board Chairman Rick Murdock reminded folks that Reno-Tahoe used to be a 70/30% market, with only 30% business, and that today we are closer to 60/40. Trustee Wirth said that one of our ongoing challenges is with Customs and Border Protection (CBP) staffing and service in the processing center for international flights. COC members gave kudos for the air service efforts, but asked about the Virgin- Alaska Airlines merger. Trustee Murdock responded that Airport leadership and Mayor Schieve met with Alaska Airlines representatives to discuss Orange County service. Having the Mayor there to talk up the region went a long way with the Alaska representatives in bringing the Orange County service here. He said the hope is for Seattle mainline service, as opposed to the Q-400 Horizon prop planes. Delta Air Lines and Northwest took more than two years to integrate. US Airlines and American still operate as two independent systems. However, the RTAA has a good relationship with Alaska Airlines and hopes to be in a good position during the acquisition. Chair Sferrazza stated that a big part of putting together the COC was about getting new membership in RASC. The more we can grow RASC, the more successful we will be at getting new air service. Chair Sferrazza encouraged COC members to join RASC and go back and tell their organizations about it. CEO Mora said that local JetBlue employees were recognized as one of five cities for their investment in the community and their community partnerships. The local JetBlue employees received a $10,000 grant that they are sharing with local organizations. Trustee Wirth ended by expressing to the COC members that If you don t see your companies listed on the RASC membership, you can do something about it. V. General Committee Comments, Questions & Items for Future Committee Meetings: Chair Sferrazza invited all COC members to attend a special air service event on Page 8 of 9
August 18th at 5:30 p.m. at UNR s Legacy Hall. CEO Mora explained that the Boyd Group International Aviation Forecast Summit is coming to Reno in September, and prior to that, Mike Boyd will be speaking to community members about the state of air service in Reno-Tahoe and national industry trends. Board Chair Murdock added that over 30 airline executives are going to be in Reno- Tahoe, along with meeting planners, schedulers, etc., and they are all coming to hear Mike Boyd speak and talk about the future forecasts in aviation. Having them here in Reno-Tahoe is a huge plus for RTIA and could open many doors for air service. Mr. Kulpin provided an overview of the August 18th agenda, including the University s donation of Legacy Hall and the athletic department coaches being on hand to mingle afterwards. VI. Update from Public Officials Councilwoman Bybee shared that downtown Sparks will open new housing, the Fountainhouse Apartments, that are now leasing north of Victoria Square. Square One are new lofts in the area and that new gaming opportunities help to bring a vibrant downtown where people live, work and play. Mayor Schieve updated the committee by advising of old buildings being demolished downtown to reduce blight in the area. Reno is bringing the players in housing together to make affordable housing happen and reduce homelessness downtown. The RSCVA will add an Ambassador Program downtown for tourism. Workforce housing, or affordable housing, is a high priority right now. She cited Park Lane, King s Inn, and a new bridge as examples equaling lots of changes for the City of Reno. Mayor Schieve also stated that Midtown full of microbreweries, unique dining options, and locally owned clothing shops. So much change is helping attract new businesses, but there is a lot more work to do. Other positive remarks about the region s improvements continued. The idea of rotating the location of COC meetings to various areas in Reno, Sparks, and Tahoe was presented, so that the committee members could get out and see the things going on in the region. VII. Public Comment: There was no public comment. VIII. Adjournment: A motion to adjourn was made by Councilwoman Bybee and seconded by Vice Chair Rose. The meeting was adjourned at 7:10 p.m. JS/hj/cj Page 9 of 9