Tourism Update

Positioning Madison County for a Strong Future in Tourism

Tourism in Nebraska

• Tourism is Nebraska’s third largest earner of revenue after agriculture and manufacturing.

• In 2009, travelers spent over $3.7 billion on trips away from home with overnight stays in paid accommodations and on day trips to places 100 miles or more away.

• 42,400 jobs in Nebraska were attributable to travel spending.

Tourism in Madison County

• In 2008 total direct travel spending in Madison County was $30.7M.

• State and local tax revenues from tourism expenditures in Madison County was $2.4M.

• Tourism generated 570 jobs in 2008.

Visitors Bureau Facts

• County passed a resolution in 1981 to collect a 2% tax on all overnight stays in Madison County.

• In 2003, the County passed another resolution to collect an additional 2% to be used for improvements to tourism facilities.

• The Visitors Bureau is funded by 4% tax on all overnight stays in the County (less than 30 days)

• 100% of budget currently comes from lodging tax (we average between 12k-20k/mo)

Historical Market Data

• Currently 650 Hotel Rooms • 10 Year Average Occupancy is 50.4% (Higher

May – Oct)• Average daily rate was $46.80 in 2000; $65.94

in 2010. (+$19.14)• Revenue generated from lodging is up nearly

$3M/yr compared to 2000. • Revenue is up because average daily

rate is up.

Lodging Data 2011

• Occupancy in our hotels is down 6% in 2011

• Average Daily Rate is up 5.8% in 2011

• Total lodging revenue is down .6% YTD

• The only way the Visitors Bureau can positively impact lodging tax receipts is by increasing occupancy.

Source: Smith Travel Research, Inc. Republication or other re-use of this data without the express written permission of STR is strictly prohibited.

Market Strategy 2011

• Tourism and Destination Development

• Improving Occupancy

• Expanding Audience

• Driving Revenue

• Operational Excellence

Tourism/Destination Development

• Promote a Destination Visitors can easily find and identify

• Assess Existing Tourism Inventory

• Develop a long-term plan to make Madison County/Norfolk a destination

Improve Occupancy

• Create 2 new sports tournaments next year

• Create Home Town Hero program

• Offer financial incentives to meeting planners and groups

• Use grants/sponsorships to meet organizational goals

• Attract 1 tourism business to MC

Expand Audience

• Market Visitors Bureau to internal stakeholders

• Continue to leverage State leads program and other co-op opportunities

• Use social media and trust casting

• Improve ROI on grants/sponsorships

• Assign metrics to media spending

Drive Revenue

• Generate non-traditional revenue from print and online sales

• Partner with Pierce and Stanton Counties

• Sell sponsorships for meetings/events

• Improve Occupancy

Operational Excellence

• Create appropriate corporate structure

• House in a location that works organizationally/functionally

• Foster an environment of financial transparency

• Be stewards of lodging tax monies

• Use data to make strong decisions

• Create a “want to work for” culture

Popular vs. Right

Internal vs. External

Why Norfolk Area Visitors Bureau?

- Travelers don’t travel by county lines despite funding structures

- Where is Cheyenne County? (Sidney) Gage County? (Beatrice)

- It’s how people refer to and know the area.

- Name recognition (30 MCs in the US)

- Higher number of web hits/inquiries

8 of our Top 10 Key Word Searches included “Norfolk”.

Only 1 of the top 10 included

Madison County.

Surrounding Communities

• The Board is committed to supporting and promoting our other communities.

• We will place greater emphasis on spoke and hub tours.

• Improved online focus

• Earmark grant monies

• Outreach & Training

Questions?