HomeMy WebLinkAboutBozeman Tourism Business Improvement District Work Plan and Budget.pdf
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Jim Robbins, Senior Vice President of Business Development and
Marketing, Bozeman Tourism Business Improvement District
Daryl Schliem, Bozeman Chamber of Commerce
SUBJECT: Bozeman Tourism Business Improvement District Work Plan and Budget
MEETING DATE: August 23, 2010
AGENDA TYPE: Action
RECOMMENDATION: Approve the work plan and budget of the Bozeman Tourism Business
Improvement District.
BACKGROUND:
Attached are the Bozeman Tourism Business Improvement District (TBID) Budget and Work
Plan for FY 2010/2011.
These documents will be presented at the City Commission meeting on Monday, August 23,
2010.
If you have any questions regarding either of the budgets or work plans, please feel free to
contact myself or Daryl Schliem at any time.
Jim Robbins
Senior Vice President of Business Development and Marketing
Bozeman Tourism Business Improvement District
406-586-5421 fax 406-586-8286 bozemantbid2@gmail.com
2000 Commerce Way
Bozeman Montana 59715
ALTERNATIVES: 1) Approve the work plan and budget with revisions.
2) Provide feedback and request significant revisions with a return to the
Commission.
3) As suggested by the City Commission.
Attachments: BTBID Draft Work Plan
BTBID Profit and Loss Budget Overview
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1
BOZEMAN TOURISM BUSINESS
IMPROVEMENT DISTRICT
DRAFT WORK PLAN
Mission Statement
The Bozeman Business Tourism Improvement District’s
(BTBID) mission is to enhance the economic vitality of
Bozeman by generating room nights for the cities lodging
facilities, which then benefits restaurants, retail stores and
attractions, through effective sales and marketing strategies,
building collaborative partnerships and promoting Bozeman as
a year round visitor, convention and event destination.
Positioning Statement
The BTBID will work in conjunction with the Bozeman Area
Chamber of Commerce/Convention Visitors Bureau to position
the city of Bozeman as the destination of choice for visitors
looking for the full Montana experience. The small town
atmosphere of Bozeman, 55,000 sq feet of convention space,
proximity to world class outdoor recreation and Yellowstone
National Park, excellent lodging and restaurants, majestic
mountains and vast open spaces make Bozeman the premier
year round destination in Montana.
Purpose as defined by the State of Montana
The purpose of the Bozeman Tourism Improvement District as
defined by section 7-12-110 of the Montana Code Annotated:
(1) Serve a public use;
(2) Promote the health, safety, prosperity, security and
general well fare of the inhabitants of the district and of
the people of this state;
2
(3) Be of special benefit to the property within the
boundaries of any district created pursuant to the
provisions of this part; or
(4) Aid in the tourism promotion, and marketing within the
district
Markets and Objectives
While the markets the Bozeman TBID will pursue vary in many
ways, the following themes will be constant throughout all the
Bozeman TBID sales and marketing efforts.
1) Business that results from the Bozeman TBID sales and
marketing efforts should be fair and equitable
throughout all of the lodging facilities in the district.
2) The seasonality of Bozeman’s tourism heavily favors the
summer months. During the shoulder seasons and
winter months, the occupancy in Bozeman’s lodging
facilities can run as low one-third of summer levels.
The Bozeman TBID will prioritize the lower occupancy
months when considering opportunities and marketing
options.
3) Larger events have the greatest impact on the district
as a whole and will be pursued accordingly.
4) After defining and establishing the brand of Bozeman
tourism, apply the resulting message throughout all
sales and marketing efforts.
The five markets: 1) associations and conventions, 2) leisure,
3) sport tournaments, 4) large events and 5) group tours, have
the most potential for increased tourism expenditures in the
City of Bozeman.
1) Association & Convention Market -Social Clubs,
Educational, Environmental, Government, Recreation,
Religious, Native American, Military, Corporate
3
With 2,294 hotel rooms and 24,000 square feet of
meeting space within these hotels the city of Bozeman is
positioned to host a variety of local and national
conventions. Additionally Montana State University
offers 31,000 square feet of meeting space.
Key Objectives:
Book four citywide conventions/meetings in Bozeman
Provide 80 Market Segment leads to all district
Hoteliers.
Execute one Fam tour for national conventions
2) Leisure Market In-State and Regional
As a gateway city to Yellowstone Park, 45 minutes from
Big Sky resort and 20 minutes from Bridger Bowl, close
to the Yellowstone, Madison and Gallatin rivers and
situated directly off 3 exits of I-90, the City of Bozeman
is a major leisure destination for out of state, as well as
in state travelers.
Key Objectives
Entice visitors from the surrounding area and I-90
travelers to stay in Bozeman.
Showcase Bridger Bowl to surrounding areas and
feeder cities to create more winter visitation.
3) Sports/Tournament Market - High School/College,
Regional, National, Youth
With the Brick Breeden Field House, Bobcat Stadium, the
Gallatin County Fairgrounds ice rink, baseball stadium
and rodeo arena, various soccer fields and parks the city
has the capability to host many large sporting events.
Key Objectives
Increase the number of Montana High School
Association event in Bozeman.
Increase volume of non MHSA youth tournaments.
4) Group Tour Market - Motor Coach and Lifestyle
Until recent years, the motor coach industry
represented a significant portion of local tourism.
Bozeman’s proximity to Yellowstone as a gateway city,
4
small town atmosphere, the Museum of the Rockies and
wealth of lodging options make the City of Bozeman a
perfect overnight stop for tour bus companies. The
current price of airfare has pushed many tour operators
to Salt Lake City, making their stop in Bozeman less
likely.
Key Objectives and Strategies:
Develop 75 Motor Coach leads for the TBID members
Present Bozeman professionally to the Tour
Companies
5) Event Market Concert, National Events and Local
Events
With the Montana State University Brick Breeden 8,200
seat facility, Gallatin County Fairgrounds Rodeo venue
and various smaller venues throughout the city Bozeman
has the ability to host National events such as concerts,
professional sporting events and national speakers.
Key Objectives
Bring the CNFR back to Bozeman.
Bring a large rodeo event to Bozeman.
Build the calendar of large events in Bozeman.
6) Other Markets International and Film
The Gallatin Valley has much to offer to a diverse group
of visitord from film production to International visitors.
Key Objectives
Entice filming companies to the Bozeman area.
Explore options internationally.
Strategies
1) Association & Convention Market
Attend 4-6 national conferences directed at group
organizers to generate qualified leads.
Become members of the Montana Society of
Association Executives and attend annual convention.
5
Create collaborative view of the meeting and
convention landscape with the general managers and
sales staffs of the Bozeman lodging industry.
Host a Fam tour.
Pursue contacts within organizations that would be
likely candidates for large conventions and meetings
here in Bozeman.
Consider a meeting planner incentive program.
2) Leisure Market
Develop advertising campaign utilizing print and the
internet to pull visitors from the surrounding area and
I-90.
Develop advertising campaign with Bridger Bowl
utilizing print and the internet to pull winter visitors
from the surrounding area.
3) Sports/Tournament Market
Attend BCOC tournament committee meetings and
increase Bozeman area MHSA offerings.
Develop relationships with local and state youth
sports organizations to foster state wide youth
tournaments in Bozeman.
Research and develop sponsorship options for large
non-MHSA events.
4) Group Tour Market -
Attend one conference of tour group coordinators.
Develop promotional package for tour group
coordinators.
Contact tour companies and develop leads.
5) Event Market.
Contact the CNFR about long term options.
Collaborate with the Fairgrounds and the PCRA to
bring a rodeo to Bozeman.
Collaborate with MSU to increase the number of
national level concerts.
Contact local and regional event promoters and
coordinators.
6) Other Markets.
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Develop an incentive program to entice filming into
the Gallatin valley.
Attend events related to film production and site
selection.
Marketing Message
“Bozeman, Montana’s Destination”, will be the catch phrase
for the Bozeman TBID in marketing materials. Marketing
messages will focus on:
Fantastic selection of lodging properties.
Proximity to Yellowstone National Park
4 seasons of limitless outdoor recreational
opportunities.
Small town feel with unique and charming downtown.
Year round access from major cities.
Wonderful dinning, shopping and nightlife
opportunities.
And the many other distinguishing aspects of
Bozeman such as Bridger Bowl, Bohart Ranch,
Montana State University and the Museum of The
Rockies,
Competition and Barriers
The Bozeman TBID faces the following marketing challenges
moving forward:
Economic Recession: groups, families and individuals
are reducing spending and postponing potential visits.
Similar destinations: Missoula, Billings, Boise,
Jackson Hole, Cody, Whitefish/Kalispell/Columbia
Falls, Couer d’Alene, Idaho Falls, Pocatello
Time: busy schedules are limiting vacation time
Lack of a convention center.
The higher cost of airfare to and from Bozeman.
7
“Bozeman, Montana’s Destination”, will be the catch phrase
for the Bozeman TBID in marketing materials. Marketing
messages will focus on:
Ø Fantastic selection of lodging properties.
Ø Proximity to Yellowstone National Park
Ø 4 seasons of limitless outdoor recreational
opportunities.
Ø Small town feel with unique and charming downtown.
Ø Year round access from major cities.
Ø Wonderful dinning, shopping and nightlife
opportunities.
Ø And the many other distinguishing aspects of
Bozeman such as Bridger Bowl, Bohart Ranch,
Montana State University and the Museum of The
Rockies,
Competition and Barriers
The Bozeman TBID faces the following marketing challenges
moving forward:
Ø Economic Recession: groups, families and individuals
are reducing spending and postponing potential visits.
Ø Similar destinations: Missoula, Billings, Boise,
Jackson Hole, Cody, Whitefish/Kalispell/Columbia
Falls, Couer d’Alene, Idaho Falls, Pocatello
Ø Time: busy schedules are limiting vacation time
Ø Lack of a convention center.
Ø The higher cost of airfare to and from Bozeman.
121
Jul '10 - Jun 11
Ordinary Income/Expense
Income
Program Income
Projected Collections 450,000.00
Total Program Income 450,000.00
Total Income 450,000.00
Expense
Administration Expenses
Administration / Payroll 99,999.96
Insurance 5,000.00
Legal / Accounting 5,000.00
Mileage 5,500.00
TBID Meetings 1,650.00
Total Administration Expenses 117,149.96
Marketing / Advertsing
Association & Convention Market 84,000.00
Leisure Market 57,000.00
Sports / Tournament Committee 54,000.00
Group Tour Markets 36,000.00
Event Market 30,000.00
Meetings and Conventions 12,250.12
Joint Ventures 21,600.00
Strategy 37,999.92
Total Marketing / Advertsing 332,850.04
Total Expense 450,000.00
Net Ordinary Income 0.00
Net Income 0.00
3:19 PM Bozeman Tourism Business Improvement District
08/12/10 Profit & Loss Budget Overview
Accrual Basis July 2010 through June 2011
Page 1122