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9.A.
City Council Meeting
Meeting Date:
09/03/2013
Co-Submitter:
Heidi Hansen, CVB Director
From:
Heather Ainardi, Marketing Manager

Information

TITLE:

Consideration and Approval of Emergency/Sole Source Purchase: Purchase of advertisements from Republic Media (Arizona Republic, AZCentral.com, Sedona Publishing, etc.)

RECOMMENDED ACTION:

Approve the purchase from Republic Media in an amount not to exceed $85,000.

Policy Decision or Reason for Action:

This action will allow the Convention and Visitors Bureau (CVB) to place published and online advertisements in target markets in accordance with the media plan proposed during the annual FY 2014 budget process throughout the upcoming fiscal year. 

Subsidiary Decisions Points: None
 

Financial Impact:

The $85,000 for advertising with Republic Media is allocated in the CVB’s FY 2014 media plan and corresponding marketing budget (053-8402-650-2802).

Connection to Council Goal:

Retain, expand, and diversify economic base

Has There Been Previous Council Decision on This:

Yes. Each year the City Council reviews this sole source advertising purchase. Each year that it has been presented to City Council, it has been approved with no amendments.

Options and Alternatives:

Option A: Approve the purchase of advertisements from Republic Media Advertising       
Option B: Amend the FY 2014 Media Plan and corresponding Republic Media allocations.                        
Option C: Reject.purchase of advertisements from Republic Media Advertising.

Background/History:

The Flagstaff CVB develops and executes a comprehensive media plan each year in order to generate interest in our Flagstaff destination and promote overnight travel. In addition to developing the media plan, the CVB also generates all of the creative elements of the advertising campaign.

Key Considerations:

Per the proposed FY 2014 Media Plan, the CVB places advertising with Republic Media outlets throughout the year.  In order to place these ads, the CVB must contract with these outlets early in the fiscal year.  By signing an annual contract with Republic Media, the CVB will secure much more favorable rates and reach potential travelers in the targeted markets. 

Expanded Financial Considerations:

The CVB is responsible for executing an aggressive and targeted marketing campaign which will attract overnight visitation and increase BBB revenues. These BBB revenues are a critical component in creating a sustainable community, as they fund arts and science initiatives, beautification projects, economic development, parks and recreation programs, and future tourism promotion.

It is anticipated that the total media plan for FY 2014, as outlined in the attachment, will be approximately $525,000 as budgeted.  The cost of the Republic Media contract will not exceed $85,000.  The Arizona Republic is the state’s largest newspaper with a Sunday circulation of 463,000 and AZCentral.com is the newspaper’s corresponding website. In addition to these outlets, the CVB also places advertisements in La Voz, a Spanish language publication that is distributed in the Tucson and northern Mexico region, as well as Sedona Publishing outlets.

The CVB places advertising in more than 75 publications throughout the world, in addition to working with an online ad display network which places online ads throughout their network of websites, including Google, Yahoo, Bing, Facebook and more. These efforts are supplemented with a search pay-per-click (PPC) campaign and additional marketing, sales and public relations efforts.

Community Benefits and Considerations:

By advertising with Republic Media and others, Flagstaff is promoted as a year-round visitor destination.  The goal of the CVB’s advertising is to increase overnight visitation to Flagstaff, thereby generating BBB tax revenues to be reinvested in the community.

Community Involvement:

Consult - The CVB budget, which included the proposed FY 2014 media plan, was presented to the Tourism Commission on May 28, 2013, and was recommended by the Commission..
Collaborate - The proposed media plan includes opportunities for cooperative marketing in order to gain coverage of Flagstaff as a destination and with our partners.

Attachments