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HomeMy WebLinkAbout22 - Visit Newport Beach, Inc. FY 2025 Destination Business Plan and Budget, and FY 2024 Performance Standards ReportQ SEW Pp�T CITY OF z NEWPORT BEACH c�<,FORN'P City Council Staff Report July 23, 2024 Agenda Item No. 22 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Tara Finnigan, Assistant City Manager - 949-644-3001, tinnigan@newportbeachca.gov PREPARED BY: Melanie Franceschini, Senior Management Analyst - 949-644-3028 mfranceschini@newportbeachca.gov TITLE: Visit Newport Beach, Inc. FY 2025 Destination Business Plan and Budget, and FY 2024 Performance Standards Report ABSTRACT: Visit Newport Beach, Inc. (VNB), a business unit of Newport Beach & Company, provides destination marketing services to the City of Newport Beach under an agreement for Tourism Promotion, Branding and Marketing Services. Under the terms of the agreement, VNB is required to submit certain records to the City Council for its review and/or approval. Newport Beach & Company has submitted the Fiscal Year (FY) 2025 Destination Business Plan and VNB's FY 2024 Performance Standards Report for the City Council's review, and VNB's FY 2025 Budget for the Council's review and approval. RECOMMENDATIONS: a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; b) Review, receive and file the FY 2025 Newport Beach & Company Destination Business Plan; c) Review, receive and file the Visit Newport Beach, Inc. Leisure Marketing (TOT) FY 2024 Performance Standards Report; and d) Review and approve the Visit Newport Beach, Inc. Leisure Marketing (TOT) FY 2025 Budget. DISCUSSION: VNB, a nonprofit organization (under IRS code §501(c)(6)), is the destination marketing organization for Newport Beach. Under an agreement with the City, VNB provides marketing services to the City and community using transient occupancy tax revenues. The agreement was entered into on September 27, 2011. It was amended in January 2014 to extend the term to December 31, 2024, switch from an annual to biennial budget, update contract information and add public benefit funding. The City Council approved a second amendment to the agreement in August 2014 to change the reporting timeline for the Performance Standards, Marketing Goals and Marketing Plan from annual to biennial to correspond with the biennial reporting timeline. 22-1 Visit Newport Beach, Inc. FY 2025 Destination Business Plan and Budget, and FY 2024 Performance Standards Report July 23, 2024 Page 2 The VNB Board of Directors met on May 23, 2024, to approve the Destination Business Plan and Budget (Attachments A and B) for FY 2025. The FY 2025 Destination Business Plan, Budget and FY 2024 Performance Standards Report (Attachment C) were received by the City earlier in July, along with Newport Beach & Company's FY 2025 and FY 2026 budgets. The Newport Beach & Company budgets were provided for informational purposes, showing how the $2,648,090 expenditure from VNB to Newport Beach & Company is utilized. Given the agreement is only through December 31, 2024, and the City has yet to negotiate a new agreement, staff is requesting Council to only review, receive and file the FY 2025 components of the Newport Beach & Company Destination Business Plan and only review and approve the FY 2025 portion of the Visit Newport Beach, Inc. Leisure Marketing (TOT) Budget. FISCAL IMPACT: Under its Agreement with the City, VNB receives 18% of all Transient Occupancy Tax collected by the City to fund destination marketing services and activities. VNB projects it will receive approximately $6,841,939 in TOT funding in FY 2025 (Attachment B). The FY 2024-25 estimate is approximately 4.67% lower than the City's estimate of $7,161,777 as included in the FY 2024-25 General Fund budget. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENTS: Attachment A — FY 2025 Newport Beach & Co. Destination Business Plan Attachment B — Visit Newport Beach, Inc. Leisure Marketing (TOT) FY 2025 Budget Attachment C — Visit Newport Beach, Inc. FY 2024 Performance Standards Report Attachment D — Newport Beach & Company Budget 22-2 ATTACHMENT A NEWPORT BEACH COMPANY 0 DESTINATION BUSINESS PLAN FISCAL YEARS 2025 & 2026 22-3 rv, IMPACT of TOURISM � \ IN NEWPORT BEACH )OK THE TOURISM INDUSTRY AWAY FROM NEWPORT BEACH TO KEEP NEWPORT BEACH GOVERNMENT SERVICES FLOWING AT THE SAME LEVELS: IT WOULD COST EVERY NEWPORT BEACH HOUSEHOLD AN ADDITIONAL $1.139 IN TAXES PER YEAR. TO KEEP THE NEWPORT BEACH ECONOMY CHURNING AT THE SAM IT WOULD COST EVERY NEWPORT BEACH HOUSEHOLD AN ADDI' $43.922 IN ADDITIONAL LOCAL SPENDING PER YEAR. �=mwmmft,- i I INTRODUCTION 04 LETTER FROM CHAIR AND CEO 05 NEWPORT BEACH & COMPANY OVERVIEW BUSINESS INTELLIGENCE 14 NEWPORT BEACH COMPETITIVE SET 19 U.S. TRAVEL FORECAST STRATEGIC FRAMEWORK 30 LEISURE TRAVELER BUSINESS PLAN 50 MEETING PLANNER BUSINESS PLAN 62 LOCAL COMMUNITY BUSINESS PLAN 70 CORPORATE BUSINESS PLAN 81 FY 2024 BUDGETS 83 FY 2024 GOALS BUSINESS - UNIT PLAN 87 VISIT NEWPORT BEACH INC. - LEISURE MARKETING 89 VISIT NEWPORT BEACH INC. - GROUP SALES 91 DINE NEWPORT BEACH 93 ENTERPRISE NEWPORT BEACH 95 CELEBRATE NEWPORT BEACH 97 VIDEO NEWPORT BEACH 99 YEAR IN REVIEW FY 2023 - 2024 GOVERNANCE 127 EXECUTIVE COMMITTEE & BOARD OF DIRECTORS 129 NEWPORT BEACH & COMPANY TEAM 133 AWARDS & ACCOLADES 135 FAQ'S rny x - Ak sz•� U .—� �—ti_�_ is rf] �i I N T R O D U C T I O N 04 LETTER FROM CHAIR AND CEO 05 NEWPORT BEACH & COMPANY OVERVIEW I .�� ;S �r��"rJ•.� �-."may �. a'� - �_.- .fit - '+�9w a� � t-_h� •�-����.��� _ _�-3 A r� As Newport Beach & Company stands on the brink of a fresh biennial business cycle, it's a moment to reflect on the achievements of the past momentous year and anticipate the promising trajectory ahead. The preceding years have been nothing short of exceptional for Newport Beach, marked by a surge in tourism and business growth that has propelled us beyond pre -pandemic levels. Throughout FY 2023, our unwavering dedication to driving tourism, fostering group business, and crafting innovative marketing strategies resulted in record -breaking tourism -occupancy tax (TOT) collections. We've not only surpassed pre -pandemic average daily rates (ADR) from 2019 but have also outpaced our competitors, reinforcing Newport Beach's position as a premier global luxury leisure and meeting destination. Newport Beach has seen a steady increase in consumer demand for its aspirational lifestyle, leading to the highest annual revenue per available room (RevPAR) growth rate among its competitive counterparts in 2023. Notably, Newport Beach's ADR and RevPAR have outpaced most of its competitive set since 2019. Although the city's hotel occupancy has not yet recovered to 2019 levels, it grew by nearly 10% in 2023, showcasing resilience and adaptability in the face of challenges. As we look forward, we extend our gratitude for your ongoing support of Newport Beach & Company and your integral role in creating memorable experiences for our visitors. We hope the insights gained from our journey will inspire your own plans and endeavors. Excitingly, Newport Beach is experiencing a luxury renaissance, spearheaded by local visionaries and investors. The recent debut of Pendry Newport Beach heralds a new era of casual glamour and sophistication, while the upcoming opening of RH Newport Beach, The Gallery at Fashion Island promises a breathtaking rooftop dining experience with ocean views. Further developments in late 2024 and beyond are poised to elevate our destination's appeal even further. This renewed vibrancy and confidence in Newport Beach are reflected in our hospitality partners' commitment to setting new standards in coastal luxury. Newport Beach & Company is reimagining business strategies to ensure continued excellence and our marketing team has really pushed the envelope to position Newport Beach as a global luxury lifestyle brand. Through the creation of five luxury leisure campaigns, all produced and executed in-house, those efforts have generated more than 250,000 room nights and more than $65 million in economic impact to the destination over the past fiscal year. Looking ahead to fiscal years 2024 and 2025, Newport Beach & Company is excited to showcase our luxury renaissance, fueled by the dedication of our staff, partners, and community. Together, we will elevate our destination brand to unprecedented heights, promising an exhilarating journey ahead. Here's to a spectacular summer finale and the exciting adventures awaiting us! J�Q;;L_ Gary C. Sherwin, APR, CDME President & CEO Newport Beach & Company Debbie Snavely Chairperson Newport Beach & Company 22-8 VI NEW BEL I� GROUP SALES (MAP) OUR VESSEL ANCHORS IN NEWPORT Beach's COMPETITIVE LANDSCAPE, RIPE WITH UNEXPLORED OPPORTUNITIES. 05 22-9 jA ! Oft 22-10 BUS IN ESS I NTE L L I G E N C E 10 NEWPORT BEACH HOTEL OUTLOOK 14 NEWPORT BEACH COMPETITIVE SET 16 CALIFORNIA TRAVEL OUTLOOK 19 U.S. TRAVEL FORECAST 20 DOMESTIC TRAVEL FORECAST 22 INTERNATIONAL TRAVEL SUMMARY 24 INTERNATIONAL TRAVEL SPENDING FORECAST 07 22-11 RESEARCH LEISURE Traveler Newport Beach & Company fosters a strong tourism environment to attract visitors with strategic marketing efforts, and to engage them in market to create a positive experience for return visitation. NB&Co subscribes to an array of business intelligence platforms to continuously analyze, track and evaluate the effectiveness and ROI for all marketing initiatives, tracking incremental visitor trips, overnight stays, spend generated by marketing campaigns, and overall economic impact. NB&Co will continue to build upon and refine existing marketing strategies while seeking new and imaginative ways to increase and extend visitation and overnight stays in Newport Beach. The research and forecasts found on the following pages include in -state, domestic and international. Leveraging qualitative and quantitative data as well best practices, and resources, NB&Co will plan and execute integrated campaigns to accomplish the objectives set forth to keep Newport Beach at the forefront of travel trends and drive incremental visitation to Newport Beach. 22-12 IMPACT OF TOURISM IN NEWPORT BEACH IF YOU TOOK THE TOURISM INDUSTRY AWAY FROM NEWPORT BEACH... TO KEEP NEWPORT BEACH GOVERNMENT SERVICES FLOWING AT THE SAME LEVELS: IT WOULD COST EVERY NEWPORT BEACH HOUSEHOLD AN ADDITIONAL $19139 IN TAXES PER YEAR. TO KEEP THE NEWPORT BEACH ECONOMY CHURNING AT THE SAME LEVELS: IT WOULD COST EVERY NEWPORT BEACH HOUSEHOLD AN ADDITIONAL $439922 IN ADDITIONAL LOCAL SPENDING PER YEAR. THE NEWPORT BEACH VISITOR ECONOMY - 2022 Irelowel mm 4.1 M TOTAL VISITATION SgS $1.2B VISITOR SPENDING $1.5 B 11 K $139 M TOTAL ECONOMIC TOTAL JOBS STATE & LOCAL IMPACT OF TOURISM GENERATED TAXES GENERATED SOURCE: TOURISM ECONOMICS:'THE NEWPORT BEACH VISITOR ECONOMY2022' 22-13 NEWPORT BEACH HOTEL Outlook HISTORICAL HOTEL METRICS (2018 - 2023) 2018 SUPPLY 1,218,919 m 869,470 OCCUPANCY 71% $228,686,071 ADR $263 $188 2019 1,242,460 939,85 76% $242,183,208 $258 $195 2020 956,612 413,782 43% $113,412,467 $274 $119 2021 11125,036 939.895 51% $185,076,354 $320 $165 2022 1,122,696 693,334 62% $243,515,263 $351 $217 2023 1,124,300 760,551 68% $258,450,648 $340 $230 SOURCE: SMITH TRAVEL RESEARCH HISTORICAL HOTEL METRICS (2020 - 2023) PERCENT RELATIVE TO 2019 (2019 -100 PERCENT) 202 SUPPLY 44% OCCUPANCY 57% 47% ADR 106% 61% 2021 91% 62% 68% 76% 124% 84% 2022 977% 90% 74% 82% 101% 136% 111% 2023 90% 81% 89% 107% 132% 118% SOURCE: SMITH TRAVEL RESEARCH ANNUAL TOTAL HOTEL REVENUE ($) $300K $250K $200K $150K $100K $50K $0 SOURCE: SMITH TRAVEL RESEARCH 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% SOURCE: SMITH TRAVEL RESEARCH $400 $350 $300 $250 $200 $150 $100 $50 $0 2018 2018 2018 2019 2020 2021 2022 - REVENUE -ANNUAL GROWTH RATE ANNUAL HOTEL OCCUPANCY (%) 2019 2020 2021 2022 - OCCUPANCY - ANNUAL GROWTH RATE ANNUAL HOTEL AVERAGE DAILY RATE ($) 2019 2020 2021 2022 - AVERAGE DAILY RATE 80% 60% 40% 20% 0% -20% -40% -60% 2023 30% 20% \` 10% 0% -10% -20% -30% -40% -50% 2023 2023 SOURCE: SMITH TRAVEL RESEARCH 22-15 LEISURE TRAVELER FeederMarkets SACRAMENTO SAN FRANCISCO LOS ANGELES SAN DIEGO LAS VEGAS PHOENIX/SCOTTSDALE SALT LAKE CITY 22-16 CANADA MIDDLE EAST UNITED KINGDOM DENVER DALLAS/FORT WORTH 22-17 NEWPORT BEACH HOTEL Comp etitve Set COMPETITIVE ROOMS AVAILABLE DANA POINT OCCUPANC) 63% $408 ROOMS 1,697 BEVERLY HILLS 61% $724 2,362 HUNTINGTON BEACH 69% $269 2,368 LA JOLLA NEWPORT 71% $300 2,718 SANTA BARBARA 68% $271 3,618 I RVI N E 70% $188 4,996 PALM SPRINGS 63% $210 5,971 ANAH EI M 75% $239 22,017 SAN DIEGO 75% $209 38,687 SOURCE: SMITH TRAVEL RESEARCH $700 $600 $500 $400 $300 $200 $100 $0 2023 COMPETITIVE HOTEL AVERAGE DAILY RATE ($) PALM HUNTINGTON SANTA SPRINGS BEACH BARBARA SOURCE: SMITH TRAVEL RESEARCH 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 0 It M fR LA JOLLA NEWPORT SANTA BEVERLY BEACH MONICA HILLS 2023 COMPETITIVE HOTEL OCCUPANCY (%) 0 00 (D BEVERLY PALM NEWPORT SANTA HUNTINGTON LAJOLLA SANTA HILLS SPRINGS BEACH BARBARA BEACH MONICA SOURCE: SMITH TRAVEL RESEARCH 22-19 C A L I F 0 R N I A TRAVEL Outlook Total tourism spending in California advanced 6% in 2023, totaling $149 billion. Growth is expected to average 7% in 2024, adding an additional $11 billion in direct tourism spending to California's economy. According to the Visit California February 2024 forecast, domestic visitor spending in California is expected to reach $130 billion in 2024, with $100 billion in leisure spending and $30 billion in business spending. Leisure spending is forecast to grow by 3%, and business spending by 10% relative to 2023. By the end of the forecast horizon in 2028, direct tourism spending is expected to reach $191 billion, which would surpass 2019 levels by 32%. Visits to California increased 4% in 2023 nearing 270 million visitors. We expect California to grow 4% and welcome an additional 10 million visitors in 2024. In 2024, domestic visitation is expected to reach 98% of pre -pandemic levels, while international visitation should recover fully. Visitor volume is expected to recover to 100% of 2019 visitation levels in 2025 and 10% above 2019 visitation levels by the end of 2028. SOURCE: VISIT CALIFORNIA, TOURISM ECONOMICS CALIFORNIA TOURISM SUMMARY (ANNUAL PERCENT CHANGE) 2018 TOTAL VISITS 3.0% • 2020 1.0% -51.0% • 52.0% 2022 21.0% • 2024E 4.0% 4.0% • 2026F 3.0% 3.0% • 2028E 3.0% 3.0% DOMESTIC TOTAL VISITS 3.4% 2.0% -49.0% 52.0% 19.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% LEISURE VISITS 2.0% 2.0% -45.0% 52.0% 14.0% 2.0% 2.0% 2.0% 2.0% 3.0% 3.0% INTERNATIONAL TOTAL VISITS 4.0% -4.0% -79.0% 37.0% 129.0% 29.0% 15.0% 8.0% 6.0% 3.0% 2.0% TOTAL EXPENDITURES ($B) 140.6 144.9 68.5 102.0 140.2 149.0 159.8 168.8 177.0 183.8 190.7 %CHANGE 5.6% 3.1% -52.7% 48.9% 37.4% 6.3% 7.2% 5.6% 4.9% 3.9% 3.7% DOMESTIC ($13) 112.0 116.8 63.2 96.8 122.6 124.7 130.5 135.9 141.0 145.9 151.4 %CHANGE 5.5% 4.3% -45.9% 53.2% 26.6% 1.7% 4.6% 4.2% 3.8% 3.5% 3.7% INTERNATIONAL ($B) 28.6 28.1 5.3 5.2 17.6 24.3 29.4 32.9 35.9 1 37.9 39.3 %CHANGE 6.0% -1.5% -81.2% -2.4% 240.09/6 38.1% 20.9% 11.9% 9.3% 1 5.4% 3.7% SOURCE: VISIT CALIFORNIA, TOURISM ECONOMICS, DEAN RUNYAN ASSOCIATES, U.S. BUREAU OF ECONOMIC ANALYSIS (BEA) 22-20 $200 $180 $160 $140 $120 $100 $80 $60 $40 $20 $0 TOTAL VISITOR SPENDING IN CALIFORNIA ($ BILLIONS) 2019 2020 2021 2022 2023F 2024F 2025F 2026F 2027F 2028F SOURCE: VISIT CALIFORNIA, TOURISM ECONOMICS, DEAN RUNYAN ASSOCIATES 0% -5% -10% -15% -20% -25% INTERNATIONAL ARRIVALS TO CALIFORNIA - RELATIVE TO 2019 (JANUARY 2023 - SEPTEMBER 2023) -15% -14% OVERSEAS EUROPE MIDDLE EAST U.K. SOURCE: CIC RESEARCH, INC., NTTO SURVEY OF INTERNATIONAL AIR TRAVELERS (SIAT), DHS/CBP 1-94 COR RECORD 22-21 U.S. TRAVEL Trends The U.S. Travel Association provides key highlights and monthly insights via The U.S Travel Insights Dashboard, which includes analysis conducted by Tourism Economics of current travel trends and economic outlook for the year. As reported in January 2024, the outlook for the U.S. economy remains optimistic due to the strength of the labor market, looser financial conditions, and healthy household and non -financial corporate balance sheets. This has filtered through to slightly higher consumer sentiment. Travel appetite started the year on a softer note, but overall growth continued. Air passenger growth remained positive, up 6% versus the prior year but lower than the double-digit growth seen through 2023. Foreign visits remained strong, up 24%YoY. Sentiment is growing for upcoming leisure travel in 2024. The share of travelers reporting having travel plans within the next six months increased to 93% in January from 92% in December, according to Longwoods International's monthly survey. Hotel room demand continued a trend of slight contraction falling 1% versus the prior year, while short-term rental demand grew 1%, a lower rate than 2023. A particular bright spot was that group room demand within the top 25 markets displayed solid growth of 9% relative to the prior year. Travel price inflation (TPI) fell slightly in January as a result of falling transportation prices. Sticky services inflation should see relief from decelerating wage growth. However, upside risks stem from rising healthcare costs, supply chain disruptions and slowing labor supply SOURCE: U.S. TRAVEL ASSOCIATION, TOURISM ECONOMICS 22-22 U.S. TRAVEL Forecast The U.S. Travel Association, in collaboration with Tourism Economics, provides a seasonal U.S. Travel Forecast. Tourism Economics has upgraded their baseline forecast for the US. The most significant changes to the January 2024 forecast include an upward revision to their projection for real GDP growth this year, a lower peak in the unemployment rate, and an earlier rate cut by the Fed. Tourism Economics now forecasts real GDP to grow by 2% in 2024. Job openings remain high across almost every industry compared to 2019, indicating sustained demand for workers. However, hiring has slowed in sectors like healthcare, leisure/hospitality, and government. This could be because these industries were already quite efficient, leading to higher wages and making hiring easier. Business travel is still expected to grow in 2024, albeit at a slower rate. Volume in the sector is expected to end the year at 95% of 2019 levels —up from 89% recovered in 2023. Slowing economic growth will hinder domestic business travel's recovery, with a full comeback in volume not expected until 2026. Domestic business travel spending is not expected to recover to pre -pandemic levels within the range of the forecast. Domestic leisure growth decelerated through three quarters of 2023, as consumer spending slowed amid higher borrowing costs, tighter credit conditions, and the restart of student loan repayments. The sector achieved a full recovery to pre -pandemic levels in 2022. International travel to the U.S. is growing quickly but is still far from a full pre -pandemic recovery. An expected global macroeconomic slowdown, a strong dollar, and lengthy visa wait times could inhibit future growth, with volume reaching 98% of 2019 levels in 2024 (up from 84% recovered in 2023) and achieving a full recovery in 2025. Spending levels, when adjusted for inflation, are not expected to recover until 2026. Other countries with whom the U.S. directly competes have recovered their pre -pandemic visitation rates more quickly, and some countries —such as France and Spain —have even increased their share of the global travel market. Meanwhile, U.S. global market share is declining. SOURCE: U.S. TRAVEL ASSOCIATION, TOURISM ECONOMICS 22-23 2027F 2026F 2025F 2024F 2023F 2022 2021 2020 DOMESTIC TRAVEL FoYecast DOMESTIC LEISURE VS. BUSINESS TRAVEL VOLUME (2020 - 2027F) ■ LEISURE ■ BUSINESS SOURCE: U.S. DEFT OF COMMERCE -TRAVEL & TOURISM, TOURISM ECONOMICS, U.S. TRAVEL ASSOCIATION U.S. DOMESTIC PERSON TRIPS BY PURPOSE (2019 - 2027F) 2019 TOTAL 2,320 2021 1,580 2,020 2023E 2,250 2,310 2025F 2,440 2,500 2,500 2027F 2,560 % change 1.8% -31.8% 27.8% 11.4% 2.7% 2.6% 3.0% 2.5% 2.4% By purpose Business 464 181 250 371 413 442 460 474 485 %change 1.1% -61.0% 38.1% 48.4% 11.4% 6.9% 4.0% 3.0% 2.3% Leisure 1,850 1,400 1,770 1,880 1,900 1,930 1,980 2,020 2,070 %change 1.9% -24.3% 26.4% 6.2% 1.1% 1.6% 2.6% 2.0% 2.5% SOURCE: U.S. DEFT OF COMMERCE -TRAVEL & TOURISM, TOURISM ECONOMICS, U.S. TRAVEL ASSOCIATION DOMESTIC AUTO vs. AIR TRAVEL VOLUME (2020 - 2027F) 1 ° ° 110 o /o o0 100% 104/ 107% 108% 100% 98% 89/0 0 105% 1080%. 110% 100% 102% 80% 71% ° ° 60% 70% 40% 42% 20% 0% 2020 2021 2022 2023F 2024F 2025F 2026F 2027F AUTO {AIR SOURCE: U.S. DEPT OF COMMERCE -TRAVEL & TOURISM, TOURISM ECONOMICS, U.S. TRAVEL ASSOCIATION DOMESTIC BUSINESS TRAVEL SPENDING FORECAST (2020 - 2027F) $300 92% 93% 94% 100% 88% 83% 90% $250 74% 80 % $200 70 % 60% $150 43 50 % 34% 40% $100 30 $50 20% 10% $0 0% 2020 2021 2022 2023F 2024F 2025F 2026F 2027F SPENDING ($B) }% RELATIVE TO 2019 SOURCE: U.S. DEPT OF COMMERCE -TRAVEL & TOURISM, TOURISM ECONOMICS, U.S. TRAVEL ASSOCIATION DOMESTIC LEISURE TRAVEL SPENDING FORECAST (2020 - 2027F) $900 $800 104% 104% 105% 99% 100% 102% $700 81% $600 $500 $400 $300 $200 $100 $0 2020 2021 2022 2023F 2024F 2025F SPENDING ($B) t% RELATIVE TO 2019 SOURCE: U.S. DEPT OF COMMERCE -TRAVEL & TOURISM, TOURISM ECONOMICS, U.S. TRAVEL ASSOCIATION 120% 106% 100% 80 % 60 40% 20% 0% `zyzl�zy��� 22-25 INTERNATIONAL TRAVEL Summary Newport Beach & Company understands the importance of international travel to the destination. With higher spending and longer lengths of stays, international travelers are a significant visitor segment for Newport Beach. In 2023, international visitors accounted for $31B of California's $149B in tourism spending. Newport Beach has three primary international markets: Canada United Kingdom Middle East Of these markets, Newport Beach & Company directly invests in marketing, media relations and travel trade with representation in the United Kingdom and Canada. For the Middle East, Newport Beach & Company is actively exploring opportunities to re-enter this market post-COVID. Newport Beach & Company has not carried out a Visitor Profile Study since 2019 due to the pandemic. However, there are plans to conduct a new study in the upcoming fiscal year to gather updated information, focusing specifically on the international market. This study will aim to provide detailed data on the volume and spend of international visitors to Newport Beach. As the destination prepares to welcome an increased number of international visitors, Newport Beach & Company will also continue to keep a pulse on Visa waivers and TSA experiences, global competitors, other opportunity markets and rapidly changing consumer sentiment around travel. INTERNATIONAL ARRIVALS TO THE U.S. BY WORLD REGION AND COUNTRY (2021 - 2022) MIDDLE EAST EUROPE - AMERICAS CANADA (AIR) UNITED KINGDOM SOURCE: NATIONAL TRAVEL & TOURISM OFFICE (NTTO) 20% 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% JUN-23 J U L-23 71% 70% 80% 73% ■ 2021 2022 INTERNATIONAL ARRIVALS TO THE U.S (JUN 2023 - NOV 2023) OVERSEAS CANADA (AIR) 75% AUG-23 SE P-23 OCT-23 NOV-23 EUROPE MIDDLE EAST f UNITED KINGDOM SOURCE: NATIONAL TRAVEL & TOURISM OFFICE (NTTO) 22-27 INTERNATIONAL TRAVEL Spending Forecast 6;�Ill CANT ADA CANADA VISITATION NDING FORECAST (INDEXED TO 2019 LEVELS) 150 155 143 133 130 132 123 120 126 112 113 104 81 75 23 22 2020 2021 2022 2023 2024F 2025F 2026F 2027F 2028F SOURCE: TOURISM ECONOMICS, VISIT CALIFORNIA ■VISITATION SPENDING UNITED KINGDOMUNITED VISITATION&SPENDING FORECAST (INDEXED TO019 LEVELS) KINGDOM 135 142 127 119 114 118 107 104 109 95 95 86 86 78 16 ■ r 2020 2021 2022 2023 2024F 2025F 2026F 2027F 2028F SOURCE: TOURISM ECONOMICS, VISIT CALIFORNIA ■VISITATION SPENDING (INDEXED TO 019LEVELS) 1T& SPENDING FORECAST MIDDLE EAST 114 123 104 98 104 96 90 82 80 84 74 73 71 65 46 47 10 10 2020 2021 2022 2023 2024F 2025F 2026F 2027F 2028F SOURCE: TOURISM ECONOMICS, VISIT CALIFORNIA ■VISITATION SPENDING 22-29 VJ 4 f l 40 22-30 STRATEGIC FRAMEWORK 30 LEISURE TRAVELER BUSINESS PLAN 50 MEETING PLANNER BUSINESS PLAN 62 LOCAL COMMUNITY BUSINESS PLAN 70 CORPORATE BUSINESS PLAN 81 FY 2024 BUDGETS 83 FY 2024 GOALS 28 STRAT EGIC Framework BUSINESS PLAN 22-33 22-34 LEIS URE Traveler BUSINESS PLAN 22-35 STRENGTHS • Natural resources o Newport Harbor/Beaches o Crystal Cove State Marine Conservation Area o Back Bay - local estuary • Year-round outdoor weather o Biking/Hiking o Boating/Kayaking o Parasailing/Surfing • New & revitalized product offerings o VEA Newport Beach, A Marriott Resort & Spa o Pendry Newport Beach o Ritz -Carlton Residences 0 80,000 sq. ft. Restoration Hardware o High -end retail openings at Fashion Island o Crystal Cove cottage completion o Visitor offerings o Award -winning hotels and resorts 0 400+ Restaurants o High -end, unique retail and boutiques, including Fashion Island and Lido Marina Village/Corona del Mar o Home to one of the largest recreational harbors on the West Coast o World-renowned signature events o Engaging activities for all ages o Close proximity to world -class attractions • Award -winning marketing campaigns • Government & community development o Safe destination outside of the major cities o Well -maintained infrastructure o Diverse neighborhoods o Clean, efficient airport (SNA) o Revitalization of SNA private aviation terminal o Close proximity to LAX, LGB and ONT • Engaged and supportive local hospitality community WEAKNESSES • Traveler patterns o Short length of stay o Lower winter occupancy o Higher average daily rates (ADR) that competitive set • No beachfront hotels • Air access from major markets • Limited parking during peak season • Limited public transportation options • Perception of being located in Los Angeles, not Orange County • Limited meeting space 22-36 OPPORTUNITIES THREATS • Internal team privy to technology • Weather and environmental hazards and Al advancements • Increased coastal competition • Re-entry in international markets • Economic uncertainty & inflation • Legislation to cut Visa wait times • Elections/political climate & uncertainty • Niche audiences • Visa approvals & immigration issues • Business/Frequent Individual Traveler (FIT) • Increased tourism marketing spending by other destinations • Consumer sentiment towards travel • Influx in Americans planning trips • Luxury leisure partnerships • State and national tourism marketing efforts • Visiting friends and relatives (VFR) travel • Visitor transportation (trolley) • Modernizing air travel infrastructure • Investment in data and research to drive marketing strategies • Expanding international market share • Reimagined Balboa Fun Zone 33 22-37 Tourism remains a cornerstone of the Newport Beach economy, fueling employment growth, income LEIS generation, and infrastructure enhancement. The influx in quality visitors translates into substantial spending across various sectors, including hotels, restaurants, UR attractions, retail, and local businesses, making tourism a vital driver of economic development. Traveler As Newport Beach &Company tackles new BUSINESS OBJECTIVES opportunities in leisure marketing, we are focused on boosting visitor spending by highlighting the luxury renaissance in our hotel, resort, and retail product, while promoting and marketing our visitor -serving partner businesses, local investors, and residents who contribute to revitalizing our destination appeal and enhancing our performance as destination marketers in the coming years. Our approach involves leveraging the full spectrum of marketing initiatives to achieve these objectives. Through integrated efforts across marketing, communications, advertising, digital platforms and media relations, we aim to nurture relationships that keep Newport Beach aligned with emerging travel trends. Our goal is to drive incremental visitation and spending to Newport Beach, ensuring our city remains a top choice for travelers. The cross -functional team at Newport Beach & Company has developed an integrated business plan specifically tailored for the leisure traveler customer segment. This plan sets quantifiable objectives, implements strategies designed to achieve those objectives through innovative marketing, and outlines tactics that support overarching strategies. By harnessing the collective resources and expertise of our marketing team, we are poised to deliver impactful results and solidify Newport Beach's position as a premier travel destination. Objective ONE Develop and execute targeted marketing campaigns to drive incremental leisure travel and spending in Newport Beach, within a competitive marketplace. Implement seasonal, full -funnel, and multi -channel strategies aimed at qualified leisure travelers. Collaborate with local businesses, hotels, short-term rentals, retail establishments, and restaurants to maximize economic impact. Objective TWO Create a compelling and authentic brand experience for visitors to Newport Beach, focusing on personalization, value and engagement. Develop meaningful connections with visitors to foster loyalty and turn them into ambassadors. Implement targeted campaigns and initiatives to deepen the relationship with visitors, with the goal of increasing repeat visits and enhancing travel year -over -year. Objective THREE Expand VNB's international presence in the UK and Canada to attract high -net -worth international travelers to Newport Beach and measure success through key performance indicators such as visitor numbers, length of stay, and economic impact. Middle East, a premier luxury market, is planned for expansion in the years ahead. Ob0 jective FOUR Leverage emerging technology and invest in data and intelligence. 22-39 Objective ONE Develop and execute targeted marketing campaigns to drive incremental leisure travel and spending in Newport Beach, within a competitive marketplace. Implement seasonal, full -funnel, and multi -channel strategies aimed at qualified leisure travelers. Collaborate with local businesses, hotels, short-term rentals, retail establishments, and restaurants to maximize economic impact. Achieve a minimum of $50 million in economic impact to Newport Beach by increasing visitor spending and supporting local businesses. STRATEGY 1: to • The Visit Newport Beach marketing team will push the envelope and continue to position itself as a global Develop bold, U luxury lifestyle brand, separating itself from traditional creative, memorable — DMO marketing. and break -through ~ • Through bold and creative approaches, the marketing team marketing campaigns U will continue to think outside the box and take risks to create that generate visitation Q memorable campaigns that standout from the competition. to Newport Beach. In other words, when others zig, we zag! • With a laser focus on VNB's target audience, marketing campaigns will speak to the desires and emotions of the consumer to spark awareness and generate conversion. • Through intelligence platforms, data and analytics, the team will tailor messaging and targeting to resonate with target audiences. • The marketing team will explore partnerships with luxury brands, national events, influencers and partners to integrate, align and build additional buzz and cache around Newport Beach. • Leverage storytelling to create a narrative that inspires our audience and creates connections between them and Newport Beach. STRATEGY 2: to • Create strategies that reach potential travelers at every stage of the U journey with compelling creative and tailored messaging. Implement a full -funnel marketing _ Here is our full -funnel approach: plan with every ~ Top of the Funnel (Brand Awareness): Focus on generating campaign to create U awareness with broad -sweeping advertising via broadcast, a comprehensive Q radio, out -of -home, programmatic, paid newsletters as approach that will well as PR and paid social. cover the entire ~ Middle of the Funnel (Build Relationships): Focus on customer journey nurturing potential travelers through best -in -class organic from awareness to social media, marketing and retargeting advertising. conversion and return travel to drive o Bottom of the Funnel (Travel Conversion): All efforts will drive business goals. clicks to fully customized landing pages for consumers to book vacations. After addressing each stage, VNB's business intelligence segment will track and measure results to ensure optimization and success, while also collecting campaign learnings to continue to refine accordingly. 22-40 STRATEGY 3: • With every marketing campaign, VNB will continue to develop landing pages that feature hotel stays, things to do and itinerary inspiration to entice travelers. With Los Angeles as U • Continue to invest and target Orange County and Los Angeles markets Newport Beach's — year-round with targeted messaging about proximity and unique experiences. #1 market, VNB will work to convert U • Place accommodations front -and -center in all content and day-trippers to campaigns to maximize visibility and generate conversions. overnight guests Q with an emphasis on F • Continue to invest in the quality and quantity of signature marquee events midweek and to bring tourism to Newport Beach throughout the year and in need periods. off-season visitation. • Continue to leverage intelligence platforms to monitor and track overnight stays while making adjustments to strategies and tactics as needed. STRATEGY 4: U • Hire a VP of Luxury Marketing who will focus on building relationships with luxury buyers and tour operators, travel agents, and high -end meeting planners. U With the luxury _ • Contract with Black Diamond to act as VNB's Travel Trade Representative in renaissance F_ the UK in order to position Newport Beach as the premier luxury destination in happening in Southern California. The agency will conduct sales calls and agent trainings; Newport Beach, U attend trade and consumer shows; facilitate trade Familiarization Tours; and to focus on capturing Q secure Newport Beach hotel and attraction product in agent's programs. high -net -worth ~ clientele. • Adjust creative to include slightly older, higher demographic personalities to attract uber luxury clientele. • Work with new luxury hotels, restaurants and retail partners to align messaging and co-op on advertising buys to tell the Newport Beach story. 22-41 66 We are more than a destination marketing organization; we are positioning Newport Beach as a global luxury lifestyle brand with bold and breakthrough campaigns that generate millions of dollars in economic impact." ASHLEY JOHNSON, CDME SENIOR VICE PRESIDENT 8 �1. r 0 r I I "wpm; V Objective TWO Create a compelling and authentic brand experience for visitors to Newport Beach, focusing on personalization, value and engagement. Develop meaningful connections with visitors to foster loyalty and turn them into ambassadors. Implement targeted campaigns and initiatives to deepen the relationship with visitors, with the goal of increasing repeat visits and enhancing travel year -over -year. STRATEGY 1: to • Create innovative marketing campaigns to keep the Newport Beach brand fresh and forward -thinking while increasing reach, frequency Promote Newport U and engagement._ Beach through authentic and creative • Showcase Newport Beach and its new luxury hotel, resort and retail partners in out -of -the -box ways and integrate and leverage new luxury marketing tactics and U destination assets in communications and collateral. maximize across all Q channels. • Utilize revised demographic profile and elevated personas in all ~ advertising plans to reach ultra -high net worth travelers. • Pitch and secure stories with top -tier media through smart PR pitching and building relationships. • Understand awareness pain points and address within creative with visuals and language. • Create clear differentiation from competing destinations to garner interest that will motivate action and generate conversion. STRATEGY 2: U) • Develop a cutting -edge website creating an intuitive experience for inspiring travel, and as a resource for those in -market. Engage with VNB's audience on owned U _ • Deploy aspirational and compelling content, with the goal of and paid platforms to every follower finding something to like, share, and save. create a community of Newport Beach U . Drive strategy and invest in paid advertising to maximize reach. ambassadors Q while building and �• • Continue to invest in video as the primary vehicle to showcase maintaining brand Newport Beach content pillars (Wellness, Hotels/Resorts, trust and loyalty Dining, Experiences, Destination, Retail). through social media engagement while also • Plan and execute highly targeted influencer partnerships to coincide a a acting as a resource with paid media campaigns to generate increased earned media visitors and locals exposure and boost brand awareness. on destination offerings. • Collaborate with key partners in the destination on giveaways to grow awareness and build follower growth. Create a two-way conversation on social media platforms to strengthen engagement and connection with Newport Beach. • Communicate brand values to create a personalized connection via regularly scheduled content and messaging. • Provide value to the VNB audience with entertaining content and education to keep followers engaged. 22-44 • Utilize emerging technologies to create personalization for targeted visitors. • Create a persona to build out VNB's TikTok account to create a community. • Continue to build out Newport Beach Vacation Club membership, creating unique offerings, exciting partnerships and fun and engaging content. STRATEGY 3: • Drive activations and integrations with high -end lifestyle, sports, culinary, film and fashion events and opportunities to dovetail on cache to enhance U brand currency. Cultivate brand — partnerships, event H • Continue to build on Newport Beach's storied Hollywood history with activations and U partnerships with the Oscars, BAFTA's, Emmy's and TV and film opportunities opportunities to that align with the Newport Beach brand. propel Newport Beach Q into the cultural H • Enhance signature events in Newport Beach through brand building, unique zeitgeist. partnerships and sponsorships, and advertising and marketing opportunities. • Forge advertising relationships to create bespoke opportunities for Newport Beach and its partners. Objective THREE Expand VNB's international presence in the UK and Canada to attract high -net -worth international travelers to Newport Beach and measure success through key performance indicators such as visitor numbers, length of stay, and economic impact. Middle East, a premier luxury market, is planned for expansion in the years ahead. STRATEGY 1: Position Newport Beach as the ultimate luxury destination in Southern California by emphasizing its unique luxury offerings and experiences. Develop tailored marketing campaigns that highlight Newport Beach's exclusivity and appeal to upscale travelers. Capitalize on pass -through traffic by showcasing Newport Beach as a must -visit destination for luxury and road trip travelers exploring the California coast. U • Hire a VP of Luxury Marketing. U • Contract with Black Diamond to act as VNB's Travel Trade Representative in the UK. ~ • Identify strategic partnerships with tour operators who can generate U bookings in substantial numbers (key target operators: BA Holidays, Q Virgin Atlantic Holidays, Trailfinders and Flight Centre). • Create a targeted luxury strategy with key tour operators (Abercrombie & Kent, Elegant Resorts, Travel Counsellors and Scott Dunn). • Implement targeted advertising partnerships and strategic collaborations. • Engage agents through in -person training and webinars to educate them on Newport Beach's unique offerings and prime position within Southern California. • Extend the average length of stay in destination from 1 night to 2 or 3 nights, encouraging Newport Beach as their homebase. • Work closely with UK airline partners with direct airlift into LAX (British Airways, Virgin Atlantic, Delta, United and Aer Lingus). • Work closely with complementary Destination Marketing Organizations to create layered programs and co-ops. • Host a FAM trip in market to bring the destination to life and help the trade sell effectively. • Bring Newport Beach to the UK through a high -end experiential activation welcoming highly targeted agents and buyers. • Plan expansion into the Middle East market. 22-45 STRATEGY 2: (n • Challenge international agencies to "raise the bar" U on London Week to create even more memorable media In 2023, "London Week" _ events and experiences. debuted - a week-long in - market activation packed • Continue to secure A -List honorees at UK Honours event. with media events, top- U tier media appointments, Q •Explore introducing a consumer activation or component and the UK Honours into London Week. awards show, which earned record -breaking • In partnership with the Newport Beach Film Festival, media coverage that explore sponsorship opportunities with luxury brands. reached millions of Brits. In 2025, VNB will reenter the market through its existing connections and partnerships, while also expanding programs to reclaim the destination's foothold that was lost last year (due to actors & writers strike). STRATEGY 3: • Continue to work with Fox Communications as VNB's public U relations agency across the US, UK and Canada, and challenge Continue to forge _ them to continue to secure top -tier media coverage. new relationships with top -tier media, U • Execute international PR plan to engage top -tier travel and influencers and lifestyle media. relevant organizations Q to spark long -haul visitation from the • Craft relevant and timely pitches to capture travel interest UK and Canada to during booking windows. Newport Beach. • Develop and disseminate a monthly media e-newsletter complete with story starters, current campaign angles, images and video, and upcoming events in order to keep Newport Beach top -of -mind, while encouraging fresh story ideas. • Host international media Familiarization Tours, bringing top -tier editors to experience Newport Beach first-hand. • In cooperation with Visit California, attend Canadian Media Events and take advantage of other international pitch opportunities ensuring Newport Beach is part of the California story. 22-46 Objective FOUR Leverage emerging technology and invest in data and intelligence. STRATEGY 1: U • Deploy Al technologies to improve operations, increase efficiencies U and drive growth. Artificial Intelligence (AI) is rapidly changing industries _ • Utilize Al to improve marketing efforts, enhance the visitor experience and is becoming part of our ~ through personalization, data insights and optimization to better daily lives. Becoming an early U serve visitors. adopter and harnessing the Q power of Al will be crucial • Receive continued training on how to use Al in the workplace to in navigating this watershed achieve business goals. moment in history. STRATEGY 2: U • Develop a cutting -edge design showcasing VNB as a standalone U lifestyle, luxury brand with easy -navigation to create an intuitive Visit Newport Beach will — experience for inspiring travel and as a resource for those in -market. launch and debut a brand new, best -in -class website H • With the increase in mobile usage, the website will be developed with a to inspire, inform and engage U mobile -forward approach to ensure accessibility and functionality across potential visitors and locals Q all devices. alike. Leveraging the latest in technology, the site will I-- • Focus on website speed to create a seamless site experience. be user -focused, fast, optimized, and beautiful • Feature high -quality storytelling within copy, content, visuals and videos. with high -quality and compelling content. • Integrate personalized recommendations using Al based on customers and their specific activities and search history. • Ensure website accessibility to allow usability for a wide range of users. STRATEGY 3: • Partner with Blue Room Research on a data and reporting audit; while continuing to have them access and assess all of VNB's data and research (� subscriptions, generating weekly and monthly insight reports to draw conclusions. Invest in and utilize data, — research insights and • Conduct an updated Visitor Profile Study through in -person intercept survey; an analytics to continue to online panel survey of Newport Beach visitors; and survey of owned audiences. drive successful marketing U campaigns. Q • Complete a Tourism Economic Impact Analysis to identify the economic impact of tourism to Newport Beach (i.e. visitor volume, visitor days, direct spending, taxes generated, jobs supported). • To further understand leisure traveler perspectives of the Newport Beach brand, VNB will conduct a Brand Engagement Survey of Target Markets to determine travel affinities and psychographics, travel motivators and Newport Beach brand alignment, and awareness and perceptions of the destination. • VNB will lead in -person focus groups in key target markets (Los Angeles, Phoenix and Dallas), gathering and analyzing the opinions and ideas of leisure travelers to yield deep insights that support quantitative survey findings. 22-47 DEMO GRAPHIC Newport Beach At Visit Newport Beach, we understand that each traveler is as unique as the waves that lap our coastline, and catering to their diverse interests and preferences is paramount to our success. Our approach to targeting lucrative travelers is multifaceted, focusing on personas by both traveler type and traveler interest. By discerning the distinctive characteristics of each segment, we position our campaigns, content and creative to attract travelers through visuals that resonate. From sun -seeking families in search of seaside escapes to discerning luxury travelers seeking unparalleled indulgence, we meticulously craft our marketing strategies and markets to captivate the hearts and minds of our target audiences. GENERATIONAL Getaways / SEAFARERS GLOW GETTERS SUN TRAVELER By Experience ROMANTIC CREWSADERS Retreaters TASTEMAI�ERS FREQUENT Fliers CORPORATE Jetsetters VIP Voyagers TRENDSETTERS 22-49 TARGETING By Travel Type GENERATIONAL Getaways By embracing families, Visit Newport Beach taps into a wealth of potential. Renowned for its pristine beaches, iconic Balboa Fun Zone, and boundless outdoor adventures, Newport Beach emerges as the ultimate haven for multi -generational vacations. More than mere getaways, these trips embody a legacy tourism experience. Against the backdrop of our stunning coastal panorama, traditions, tales, and values intertwine, birthing memories destined to span generations. ROMANTIC Retreaters Enveloped in breathtaking sunsets, intimate waterfront dining, and coastal allure, Newport Beach emerges as a romantic haven. Couples seeking respite from the day-to-day and gravitate to our tranquil shores, rendering it a haven for anniversaries, honeymoons, and romantic escapades. Through curated romantic encounters, luxury accommodations, and bespoke couples' packages, we cater to those yearning for unforgettable moments, enriching the destination's romantic mystique. CREWSADERS Newport Beach is the ultimate destination for friend getaways, offering an array of activities and nightlife options to suit every taste. Whether it's unwinding at a spa, hitting the beach, or exploring the vibrant nightlife, there's something for every crew to enjoy. By targeting this segment, we tap into the trend of group travel, positioning Newport Beach as the go -to destination for unforgettable friend getaways, and sparking positive sentiment among friend groups. FREQUENT Fliers Targeting return travelers is key to sustaining tourism growth in Newport Beach. By capitalizing on their past positive experiences, we leverage nostalgia and familiarity to encourage repeat visits. Return travelers often --Vol • 0 spend more and stay longer, making them valuable assets to the local economy. Building relationships with return travelers fosters positive word-of-mouth, attracting new visitors, and cementing Newport Beach's reputation as a premier travel destination. CORPORATE Jetsetters • Newport Beach isn't just for business; it's for blending business with pleasure. With a variety of hotel and unique meeting facilities, easy access, and a stunning coastal backdrop, Newport Beach offers the perfect destination for "bleisure" travelers. By positioning the destination for meetings, conferences, and corporate retreats, we drive tourism revenue and establish Newport Beach as the top choice for business travelers seeking a touch of paradise. 22-50 TARGETING By Interest VIP Voyagers • 0 0 Newport Beach embodies luxury, boasting its stunning landscapes, upscale accommodations, exquisite dining, and exclusive experiences. By positioning the destination as synonymous with luxury, Visit Newport Beach leverages the high spending potential to bring in the right traveler that enhances Newport Beach's allure and prestige while benefiting the region. TRENDSETTERS Buzzy travelers looking to shop will find their haven in Newport Beach's eclectic retail landscape, which offers a plethora of options to peruse. From high -end boutiques to luxury stores, Newport Beach's shopping scene caters to diverse tastes and preferences, making it a prime destination for those seeking unique finds and exclusive brands. TASTEMAKERS Newport Beach's culinary scene is a vibrant tapestry of flavors, boasting a diverse array of dining options that tantalize the taste buds and showcase the region's rich culinary heritage. By focusing on culinary travelers, Visit Newport Beach invites food enthusiasts to savor the destination's eclectic dining offerings, participate in culinary events, and discover the talents of local chefs. SUN SEEKERS Beach goers and outdoor enthusiasts flock to Newport Beach for its stunning coastline and abundance of scenic places and experiences. We captivate this segment by seamlessly blending Newport Beach's breathtaking natural landscapes, from its pristine beaches to its captivating coastal scenery, into curated experiences that are only found in Newport Beach. GLOW GETTERS Newport Beach's tranquil setting and wellness amenities make it a sanctuary for travelers seeking relaxation and rejuvenation. By targeting wellness travelers, Visit Newport Beach taps into a growing market segment prioritizing self -care and mindfulness. Offering a place to retreat, spa packages, and healthy dining options, we provide transformative experiences that nurture the mind, body, and soul. SEAFARERS Newport Beach's rich maritime heritage establishes it as a top destination for boating enthusiasts. Catering to this audience, Newport Beach offers a variety of experiences including yacht charters, sailing lessons, electric boats and open sea excursions, all highlighting the destination's coastal charm and diverse water sports opportunities. Whether navigating the waves or exploring the coastline, Newport Beach beckons adventurers to embark on unforgettable nautical journeys. 22-51 w SLIMMER LEISURE CAMPAIGN FALL LEISLIRE CAMPAIGN HOLIDAY LEISURE NEWPORT BEACH H FILM FESTIVAL/ CHRISTMAS Z RELISH 10 ACTORS Iu CAR SHOW BOAT > FOOD FESTIVAL - W VOLLEYBALL PARADE INVITATIONAL H EXECUTIVE EXECUTIVE COMMITTEE & EXECUTIVE BOARD OF HOLIDAY a COMMITTEE BOARD OF COMMITTEE DIRECTORS PARTNER m MEETING DIRECTORS MEETING MEETING &STAFF V MEETING EVENT JANUARY I FEBRUARY I MARCH I APRIL I MAY I JUNE LONDON WEEK HOAG CLASSIC INTERNATIONAL JAZZ FESTIVAL BOAT SHOW EXECUTIVE EXECUTIVE EXECUTIVE EXECUTIVE COMMITTEE COMMITTEE & EXECUTIVE COMMITTEE & EXECUTIVE COMMITTEE & MEETING BOARD OF COMMITTEE BOARD OF COMMITTEE BOARD OF - DIRECTORS MEETING DIRECTORS MEETING DIRECTORS ANNUAL MEETING MEETING MEETING MARKETING OUTLOOK [I 22-54 MEET ING Planner BUSINESS PLAN 22-55 STRENGTHS • Strong hotel partners support of MAP & VNB sales team • Experienced internal sales staff with continuity/tenure in our markets • Revitalized hotel product, including new premium offerings • Strong, robust third -party partnerships • Destination appeal: o Outdoor experiences o Newport harbor and beaches o Coastal chic properties o Luxury shopping • Boutique destination appeal • Accessible/affordable luxury • Brand recognition for distinct high -end experiences and unique coastal appeal W WEAKNESSES • No central, walkable nightlife directly accessible from properties • Limited Orange County air access to some major markets • Limited variety of hotel properties: o 3 hotel brands in the destination (Hyatt, Marriott and Pendry) o No MAP five-star resort properties or beachfront hotels • Limited number of unique, off -site venues for large groups • Lack of accessible, destination -defining experiences • No onsite golf • Limited cultural offerings 22-56 OPPORTUNITIES THREATS • Expansion of corporate end -users • Continued industry staffing and in SoCal region recruitment challenges impacting deliverables • Onboarding and continued engagement with new and existing • Climate change impacting MAP partners destination experience/assets • Increased customer awareness of • Neighboring/local five-star destination location for meetings properties • Expanded airlift/direct flights • Competitors offering additional (SNA & LGB) financial support • Broadening exposure for creating • Destination assets leveraged interest for our high -end hotels (now by competitors including VEA and Pendry). • Formidable competition from local • Integrated marketing campaign properties & neighboring destinations targeting luxury audience (competitive hotels are adding brand upgrades) • Leverage all industry partnerships • Enhanced incentives for 3rd parties • Curated cultural experiences tailored to Newport Beach • Elevated destination/hotel site visits • Creation of new client advisory board • New Luxury Leisure Sales position • Addition of 5-star resort to portfolio 53 22-57 Visit Newport Beach Inc., in collaboration with MEET Newport Beach & Company, is excited to unveil a comprehensive two-year marketing plan designed to adapt and thrive in the evolving landscape ING of professional meetings and events. While the pandemic's impact undoubtedly changed the meetings Plannerindustry, we continue to see an upward trajectory for in -person meetings. Our marketing strategy is poised to BUSINESS OBJECTIVES leverage this momentum, ensuring that Newport Beach is consistently seen as a premier choice for top -tier meeting programs in Southern California. This strategic blueprint debuts alongside a new chapter in our long-standing partnership with our hoteliers via the Tourism Business Improvement District (TBID). Having thrived through 15 years of partnership with the TBID, Visit Newport Beach is now set to exceed the high water mark for meetings that are profitable and highly desirable for our hotel partners. The introduction of the Meetings Assessment Partnership (MAP) agreement with our hotel allies underlines our commitment to a synergistic approach, aiming to attract superior meetings and conventions to our beautiful shoreline. Our two-year marketing plan is thoughtfully crafted to respond to current demands and anticipate future industry trends. With a focus on cutting -edge marketing tactics, comprehensive planning support, and fortified partnerships, we are dedicated to upholding Newport Beach's reputation as a premier destination. This plan meets the evolving expectations of today's meeting planners and attendees, and we look forward to working alongside our stakeholders and partners as we launch this ambitious path toward continued success and innovation. 22-58 Objective ONE Establish Newport Beach as the Southern California small market meetings leader. Objective TWO Establish and reinforce Visit Newport Beach as an essential business partner. 22-59 Objective ONE Establish Newport Beach as the Southern California small market meetings leader. Relentlessly pursue positioning as the premier choice across all small meeting group business verticals via seamless integration of branding, messaging, planning support, and online/oflline touchpoints strategically deployed at all phases of the planner's journey. STRATEGY 1: to • Increase awareness of benefits of location and reach within the Southern California coast to planners across the U.S. Expand engaging U • Enhance storytelling and destination positioning with unique itineraries marketing (activities, dining, etc.) via new and engaging website content, blogs and content, sales ~ email communications. support materials U and targeted • Create and promote third -party planner promotions, engendering promotions. Q loyalty and providing extended value to the planner. ~ • Active SEO strategies with informative, impactful content to meet planners at each stage of their planning journey and inspire conversion. • Email communications to deliver curated content that aligns with tradeshow participation, seasonal offers and unique destination offerings. • Targeted, curated content positioning Newport Beach as an ideal location for luxury incentive events and high -end corporate business. • Leverage dedicated planner -focused social media channels to promote inspirational and informational content, including tradeshow & event coverage, group activities, destination features, planner promotions and more. STRATEGY 2: to • Elevate signature tradeshows and industry event presence while U investing in new luxury -focused shows with enlarged booth and engaging activations. Reinforce in -person _ tradeshow and • Leverage technology of newly rebuilt iSales app for dynamic, timely industry partner property and destination updates. engagement to U expand awareness Q • Invest in strategic event sponsorships and speaking opportunities and build to establish a strong continuity of industry support and expand relationships. I— brand presence. • Maximize tradeshow marketing and advertising across multiple channels to engage attendees pre -event, onsite and post -event. • Leverage paid and owned PR and media opportunities to deliver dynamic and timely destination and team developments to boost planner awareness. • Promote well -executed client events and tradeshow booth activations and experiences via dedicated group sales social channels. STRATEGY 3: to • Expand Visit Newport Beach Sales Team to include strategic role of Senior Manager, Client Engagement, dedicated to all inbound client Committing our U experiences. resources to provide — • Aggressively pursue hosted industry events that align with MAP partner top-notch experiences in -destination which client customer profiles and commit necessary dollars to ensure flawless will educate, inspire U execution leaving the clients with an outstanding impression and and build confidence Q confidence to book meetings here. in meeting planners to H • Execute elevated familiarization tours (FAMs) with curated, branded book Newport Beach. experiences and high -touch service from VNB Sales Team and destination partners. 22-60 • Capture highlights of immersive client experiences with engaging digital photo album sent post -event. • Focus on client gift programs that deliver a high -impact, zero -waste gift experience with personalized messaging defining the luxury destination brand. Objective TWO Establish and reinforce Visit Newport Beach as an essential business partner. Reinforce the value of engaging the Visit Newport Beach Sales Team through compelling initiatives that provide proof points of partnership. STRATEGY 1: tq • Continue to provide innovative and curated site visits; removing all obstacles U to getting the client(s) in the destination including airfare to Newport Beach. Position Visit _ • Promote Visit Newport Beach value and professionalism via accredited and Newport Beach experienced team members, elevated service, etc. as an invaluable resource to clients U • Leverage destination services to provide high -quality assets and resources throughout all Q to our clients. stages of the planning journey. • Create innovative solutions to address planner and program pain points through destination partnerships and extended value propositions. • Promote seasonal and signature offers and sponsorships that impact an event's bottom line. • Ensure prompt and customized replies to all client RFPs demonstrating a "one -size -fits -one" sales mentality. • Launch targeted email communications to key market segments that follow a lead's unique planning journey. • Translate destination and team values using visual storytelling, templated messaging and blog content. • Demonstrate client partnership case studies via social channels and email communications. STRATEGY 2: to • Sustain ongoing engagement and meeting conversion support with MAP hotel partners through funnel reviews and lead assists. Fortify partnership U _ • Aggressively pursue hosted industry events that align with MAP partner client and engagement customer profiles and commit necessary dollars to ensure flawless execution. among destination MAP partners. p ~ U 'Plan Familiarization Trips in collaboration with hotel partners to bring qualified clients to the destination showcasing hotels, venues and activities. Q • Provide engaged Visit Newport Beach destination services to support not only H clients but internal conference services/meeting event teams on property. • Extend client promotions directly to MAP partners to enhance their sales proposition and impact conversion. • Feature MAP hotels in iSales app, website and social channels with engaging video and imagery. Provide access to fresh collateral and content for selling tools. • Invest in MAP hotel Cvent profiles to elevate exposure and secure better RFP results. • Visit Newport Beach provides ongoing MAP Partner orientations to ensure maximum engagement. 22-61 66 In the group meetings arena, the Visit Newport Beach sales team is both the offense and defense for MAP hotel partners." MICHELLE DONAHUE, CDME SENIOR VICE PRESIDENT OF SALES 22-62 n 1 t 22-63 FY 2024 - 2 02 5 CALENDAR Meeting Planner TRADESHOWS PROFESSIONAL CONVENTION MANAGEMENT ASSOCIATION (PCMA) EVENT SERVICE PROFESSIONALS ASSOCIATION (ESPA) CBI PHARMA FORUM �; I MIC • PRESTIGE NATIONALSALES MEETING • MPI [WEICON - MEETING PROFESSIONALS INTERNATIONAL SMALL : BOUTIQUE MEETINGS SPRING NORTHSTAR INCENTIVE LIVE MARTIZ GLOBAL- ELEVATE 2024 HELMSBRISCOE BUSINESS CONFERENCE LAMONTCO ANNUAL XCHANGE SUMMIT (AXS) DESTINATION WEST MEETINGS AND INCENTIVES WORLDWIDE SUPPLIER SHOWCASE MARTIZ GLOBAL- ACTIVATE NATIONAL CONFERENCE DIRECT CDX CONNECT MARKETPLACE • 1•' HOSPITALITY PERFORMACE NETWORK(HPN) ANNUAL PARTNER MEETING 711! PRESTIGE EVENT/SALES TRIP NORTHSTAR TEAMS 24 MEETINGS MADE EASY FICP ANNUAL CONFERENCE NORTHSTAR LEADERSHIP FORUM CALSAE SEASONAL SPECTACULAR SITE SOCAL HOLIDAY EVENT INDEPENDENT PLANNER EDUCATION CONFERENCE (IPEC) 22-64 22-65 22-66 LOCAL Community BUSINESS PLAN 22-67 STRENGTHS • Strong, credible City and DMO reputation o City staff, civic leaders, civic organization o Visit Newport Beach Inc., Newport Beach & Company • Collaboration on branding and development of signature events Positive financial impact through development of brand -defining marquee events • Abundant natural offerings making a compelling tourism product Hospitality -forward first responders o Police o Fire o Marine Safety o Engaged local media • Strong partnerships with local businesses O • Robust hospitality and restaurant community • New & Revitalized Product Offerings o VEA Newport Beach, ' N A Marriott Resort & Spa o Pendry Newport Beach o Ritz -Carlton Residences o 80,000 sq. ft. Restoration Hardware o High -end retail openings at Fashion Island Oo Crystal Cove cottage completion • Dynamic economic development base • High-tech digital video equipment and green screen available to community • Quality, experienced and award -winning ODMO staff WEAKNESSES • Limited convention, meetings and event facilities venues to benefit the city • Lack of sports and recreation facilities • Limited mobility and access via transportation within the city • Workforce: competitive salaries and limited staff • Lack of tourism marketing expertise by some business and community leaders 22-68 OPPORTUNITIES • Growing prominence of signature marquee events • Revitalization of SNA dining options & private aviation terminal • Expanded airlift (SNA) through airport capacity cap increase • Modernizing air travel infrastructure • Nimble and innovative internal team T THREATS • Weather and environmental hazards Economic uncertainty & inflation • National politicization of business and social issues • Competition for top tier staff talent International geo-political unrest 22-69 Newport Beach & Company plays a pivotal role as the leader of Newport Beach's hospitality and tourism UPIE industry, offering value to businesses, serving as an Community information hub, creating resources, and advocating for the global significance of tourism, hospitality, and BUSINESS OBJECTIVES meetings. NB&Co remains dedicated to supporting the community and our organization prioritizes partnerships and stakeholder engagement, from small businesses to luxury resorts and everything in between. Through advocacy, partner communications, and corporate outreach, NB&Co highlights the economic impact, job creation, and importance of the industry. In the coming fiscal year, NB&Co will continue to operate as a community marketing agency for Newport Beach and will continue to serve as the cohesive force that unites the community from marketing, economic, and hospitality perspectives. We connect various stakeholders, including local residents, partners, the City of Newport Beach, City Council, civic organizations, hotels, businesses, merchant associations, regional destination marketing entities, and other community organizations. Leveraging this model, we plan to engage the local community in innovative ways to showcase the value of tourism, NB&Co, and the Newport Beach brand. This integrated business plan for the local -community segment adopts a management -by -objectives approach, where quantifiable goals guide our strategies and tactics. The plan encompasses five key initiatives aimed at raising awareness and delivering ongoing value to the City of Newport Beach and its key stakeholders. 22-70 Objective ONE Be the lead resource for destination data and intelligence. Objective TWO Continue with an entrepreneurial mindset and business model. Objective THREE Serve as the creative agency and go -to marketing partner for hospitality -related businesses, events and civic organizations. 22-71 Objective ONE Be the lead resource for destination data and intelligence. STRATEGY 1: Leverage NB&Co's business intelligence platform and other data reports to provide partners with insightful analytics, aiding them in driving marketing strategies. U • Direct Blue Room Research to access and assess all of NB&Co's data and research subscriptions, generating weekly and monthly U insight reports to draw conclusions. • Conduct an updated Visitor Profile Study and a Tourism Economic Impact Analysis to measure true visitor volume, economic impact of U tourism, visitor spending and visitor demographic profile information Q to local civic leaders and partners. ~ • Continue to deploy a comprehensive weekly insights dashboard brimming with economic information and data points to illustrate the economic health of the destination. • Empower partners to use analytics and data effectively for business growth. • Create custom intelligence reports for partners on request. • Continue to define visitor profile and key audiences for local W partners to roll -out within their marketing plans. w • Refine partner database to ensure all pertinent community members v and stakeholders are receiving necessary correspondence. w m O W W zObjective TWO D Continue with an entrepreneurial mindset and business model. m NSTRATEGY 1: • Evaluate and evolve the NB&Co business model with innovative and N entrepreneurial business units that are self-sustaining, staffing and Reevaluate, evolve and U explore additional revenue streams. expand Newport Beach & Company's community- • Continue to rebuild internal staff and extended team to ensure the success of the business units, both with in-house team members and marketing organization and U with top freelancers and contractors. its six distinct business O units: Visit Newport Beach, Q • Assemble neighborhood advisory taskforces, address needs and \ Inc. (TOT and MAP) Dine I— implement cutting -edge marketing and branding campaigns to drive v Newport Beach, Celebrate awareness and visitation to all corners of the destination. Newport Beach, Enterprise Newport Beach and Video • Continue to consult with marketing and communications services for Newport Beach. signature, brand -defining community events. 22-72 Objective THREE Serve as the creative agency and go -to marketing partner for hospitality -related businesses, events and civic organizations. STRATEGY 1: U • Position organization as the community "go -to" for various needs to include marketing plans, communication strategy, branding, ad buys, Position Newport Beach U crisis communications, brainstorming, social media management & Company as a leading — and more. creative community H • Continue to invest in the quality and quantity of signature marquee consultant by offering U events in Newport Beach to bring tourism to Newport Beach expert assistance in throughout the year and need periods; support by way of branding marketing, branding, and Q and marketing. sales to local businesses, F- • Develop tailored consulting packages and workshops that cater to the hotels, restaurants, and specific needs of each client, showcasing NB&Co's expertise and civic organizations. commitment to supporting the local community. • Build on NB&Co's role as community consultant for various ad hoc marketing and sales needs for local businesses, civic organizations, neighborhood associations, restaurant association and City of Newport Beach. • Maximize opportunities for partner wins for Newport Beach & Company and its partners. • Provide graphic design, art direction and video -production services to local businesses and partners. • Provide economic resources and marketing toolkits for partners and community. 22-73 22-74 m BUSINESS PLAN 22-75 STRENGTHS Committed staff, executive committee and board of directors • Strong and supportive city council and staff • Accredited destination marketing organization • Certified Destination Management Executive (CDME) executive team and staff Award -winning marketing campaigns Leader in the DMO space Small but mighty marketing and sales teams Innovative community marketing organizational model • Strong company core values, benefits & culture Cross department collaborations Appealing office infrastructure Nimble and innovative internal with ability to pivot as needed my WEAKNESSES • Workforce: competitive salaries and limited staff; increased minimum wage • Recruitment expectations (i.e. salary, remote work) • Limited convention, meetings and event facilities venues to benefit the city • Lack of sports and recreation facilities • Strong economy makes cost of services more expensive • Internal team lives outside of city limits due to cost of living 22-76 OPPORTUNITIES THREATS • City and board of directors • Increased coastal competition engagement • Economic uncertainty & inflation • Facilitate vendor and partner relationships to negotiate best price • Elections/political climate & uncertainty and maximize efficiencies • Weather and environmental hazards • Internal team privy to technology and Al advancements • High cost of employee benefits • Positive corporate culture attractive • ADA compliant website and threats of for recruitment lawsuits • New & revitalized product offerings • Marketing consultancy and expertise to benefit partners • Investment in data and research to drive marketing strategies for partner businesses • Increased corporate communications 22-77 C p Newport Beach & Company continues to be committed to meeting this watershed moment by rolling out a variety of new ways we do OR business, from hybrid scheduling to embracing evolving tech. NB&Co and Visit Newport Beach, Inc. jointly present this integrated administration, 0 RAT EE information -technology, finance, marketing, and group sales and services plan to meet the moment in workplace and business changes in a post - BUSINESS OBJECTIVES COVID-19 world, deepen engagement levels with the staff and boards of directors of both companies and invest in people and culture to increase productivity; generate efficiencies; reduce costs and attract, satisfy and retain quality employees and board members for the two entities. Newport Beach & Company plans to engage its employees, committees, and boards of directors in new, innovative ways to ensure the long-term viability, success and results of NB&Co and its six entrepreneurial business units: • Visit Newport Beach, Inc. TOT (Tourism -Occupancy Tax drives incremental tourism) • Visit Newport Beach, Inc. MAP (Meetings Assessment Partnership generates incremental meetings business) • Dine Newport Beach (former partnership with the Newport Beach Restaurant Association—reimagined into culinary/restaurant tourism marketing) • Enterprise Newport Beach (Neighborhood Advisory Taskforce/ Economic Development) • Celebrate Newport Beach (brand -defining events): Newport Beach Film Festival (NBFF): NBFF Fall Honors/Variety 10 Actors to Watch & NBFF U.K. Honours/Variety 10 Actors to Watch (London), Hoag Classic, International Boat Show, Christmas Boat Parade, and more). • Video Newport Beach (formerly NBTV): Video production The cross -functional planning team developed this integrated business plan for the organization and board -of -directors customer segment with a management -by -objectives approach where objectives are quantifiable goals, strategies form the strategic approaches to reaching the benchmark objectives, and tactics are projects that support overarching strategies 22-78 Objective ONE Further enhanced corporate communications. Objective TWO Serve as the creative agency and go -to marketing partner for hospitality -related businesses. Objective THREE Explore emerging technologies and how they can be applied to partner organizations and local businesses. Objective FOUR Continue to build a strong workplace culture. Objective ONE Further enhanced corporate communications. STRATEGY 1: The NB & Co marketing team will develop a comprehensive corporate communications plan to effectively engage with its partners, the community, civic leaders, internal staff, and board members in order to increase awareness, educate stakeholders, continue to build brand reputation and to enhance engagement. U • Enhance and ensure corporate communications via partner e-newsletters, Linkedln posts, and staff emails with steady U cadence, fresh designs and punchy and engaging content that adds value to the recipient. I— • Explore new B21B storytelling tactics and vehicles including U trendy short -form video, infographics, animations and more to Q offer entertaining, useful and easily digestible information. ~ • Refine and continue to distribute business intelligence and weekly insights with economic dashboard to provide up-to-date vital research and data. Create a schedule for one-on-one strategy and networking sessions with partners and key community leaders. Continue to update and scrub partner email database to ensure all NB&Co news is reaching the right audience. • Partner with local community newspaper, Stu News, to author a regular CEO column to communicate VNB's programs and successes. Objective TWO Serve as the creative agency and go -to marketing partner for hospitality -related businesses. STRATEGY 1: u) • Hire a Partnership Coordinator to create a more tailored and enhanced partnership model as needed; explore new Position NB & Co U opportunities for partner engagement. as a leading creative _ ~ • Position organization as the community "go -to" for various community consultant needs to include marketing plans, communication strategy, by offering expert U branding, ad buys, crisis communications, brainstorming, assistance in marketing, Q social media management and more. branding, and sales to local businesses, hotels, ~ • Develop tailored consulting packages and workshops that restaurants, and civic cater to the specific needs of each client, showcasing NB&Co's organizations. expertise and commitment to supporting the local community. • Develop marketing toolkits for partners and the community. 22-80 Objective THREE Explore emerging technologies and how they can be applied to partner organizations and local businesses. STRATEGY 1: Recognize the transformative potential of Al technology and its impact on the workplace. STRATEGY 1: U • Facilitate an Al education session for staff. U • Identify other thought -leaders in the tech space who can continue to keep NB&Co privy to trends coming down the pipeline and how they can be implemented into the organization's efforts. I— U • Explore ways team members can automate tasks such as identify potential leads and personalize outreach in sales; analyze customer data; Q content creation in marketing; automate financial reports in accounting and more. I— • Recognize ways Al can be used as an assistant with tasks such as communications, scheduling, messaging, automating workflows and more. • As Al takes on mundane tasks, roles at the organization may evolve to prompt engineer and collaborate with Al. • Invest in paid versions of Al and develop and implement a comprehensive plan for staff training and adoption. • Assess potential ethical harms, dangers or social implications Al can bring. • Maintain a competitive edge, improve efficiencies, and drive innovation across all aspects of our organization. Objective FOUR Continue to build a strong workplace culture. NB & Co is dedicated to being a top employer by investing in employee development and engagement; and regularly evaluating and enhancing its workplace culture and benefits to ensure employee satisfaction and retention of top talent. to • Develop a strong onboarding program for new employees. U • Dedicate leadership to reviewing and reinvesting in company culture and _ employee development. F • Define and communicate NB&CO's core values to guide decision -making. U • Foster collaboration and teamwork among employees. Q • Provide opportunities for growth and development through training and advancement. ~ • Recognize and reward employee achievements. • Promote a healthy work -life balance and wellness initiatives. • Cultivate a culture of diversity, inclusion and respect. • Lead by example to set organizational values and behaviors. • Continue to offer creative health, wellness, and benefit programs. • Hold annual retreats for brainstorming and improvement. • Ensure competitive compensation and benefits. • Conduct annual performance reviews. • Facilitate team -building events across departments. • Integrate core values into all aspects of the company. • Support external educational opportunities for employees. 22-81 66 Our success isn't just about showcasing a beautiful destination; it's about nurturing a corporate culture where passion meets purpose, and where every team member is empowered to innovate, collaborate, and embody our shared values. When they zig, we zag, and that's how we've found our success." GARY SHERWIN, CDME, APR PRESIDENT AND CEO 22-82 mom. El FY2025 & FY2026 Budgets NEWPORT BEACH & COMPANY FY2025 & FY2026 • • RT B EAC H & COMBUDGET FY2025 BUDGET FY2026 Revenue $2,802,840 $2,838,000 Operating Expenses $2,802,840 $2,838,000 VISIT NEWPORT BEACH, INC. (TOT) LEISURE FY2025 & FY2026 VISIT NEWPORT • LEISURE BUDGET ALLOCATION Revenue BUDGET FY2025 $6,871,939 BUDGET FY2026 $7,005,000 Advertising $1,724,400 $1,497,750 Marketing $2,176,949 $2,179,750 International Marketing $722,500 $642,500 Newport Beach & Company Administrative Fees $2,648,090 $2,685,000 ■ Advertising Marketing ■ International Marketing ■ Newport Beach & Company Administrative Fees 22-85 VISIT NEWPORT BEACH, INC. TOURISM- OCCUPANCY(TOT) Goals FY2023 - FY2024 YTD ACHIEVED AS OF 4/15/24 FY2025 - FY2026 FORECASTGOAL TOPLINE GOALS & KEY PERFORMANCE INDICATORS FOR LEISURE TRAVEL TO NEWPORT BEACH TOURISM -OCCUPANCY TAX (TOT) REVENUE TO THE CITY OF NEWPORT BEACH $35,245,122 $23,654,682` $35,315,612 $36,021,924 MARKETING CAMPAIGN ROOM NIGHTS' 150,000 250,800 220,000 224,400 MARKETING CAMPAIGN ECONOMIC IMPACT`" $46,000,000 $63,500,000 $509000,000 $51,000,000 DIGITAL MARKETING, CONTENT MARKETING & SOCIAL MEDIA (OWNED & PAID MEDIA CHANNELS) VISITNEWPORTBEACH.COM WEB VISITS 1,628,000 1,319,475 1,700,000 1,734,000 REFERRALS TO PARTNER VISITS 10,925 21,606 22,038 22,478 SOCIAL MEDIA FOLLOWERS 270,000 280,954 350,000 357,000 CONSUMER DATABASE/NEWSLETTERSSENT 35,000/24 29,730/35 38,000/30 40,000/35 PARTNER DATABASE/NEWSLETTERS SENT 600/60 651/54 700/60 720/60 ADVERTISING (PAID MEDIA CHANNELS) TOTAL AD IMPRESSIONS- 175,000,000 186,113,998 180,000,00 182,000,00 ONLINE AD CLICKS TO SITE 430,000 333,579 350,000 357,000 MEDIA RELATIONS MEDIA PLACEMENTS (DOMESTIC + INTERNATIONAL) 1,200 1,334 1,400 1,428 KEY CONSUMER MEDIA PLACEMENTS 325 322 350 357 KEY TRADE MEDIA PLACEMENTS (B213) 100 136 145 148 'FORECASTED GOAL DOESN'T INCLUDE SUPER BOWL CAMPAIGN. "SOURCE: SOJERN "'METRICS DON'T INCLUDE FY 23-24 SPRING CAMPAIGN METRICS/FORECASTED GOAL DOESN'T INCLUDE SUPER BOWL CAMPAIGN. 22-86 NEWPORT BEACH & COMPANY BUSINESS -UNIT Goals FY2023 - FY2024 YTD ACHIEVED AS OF 4/15/24 FY2025 - FY2026 FORECASTGOAL CELEBRATE NEWPORT BEACH: BRAND -DEFINING EVENT MARKETING UK HONOURS/VARIETY"10ACTORS TOWATCH" IMPRESSIONS 5,500,000 N/A 5,500,000 5,5610,000 NBFF/VARIETY"10 ACTORS TO WATCH" IMPRESSIONS 6,000,000 N/A 6,000,000 6,120,000 CHRISTMAS BOAT PARADE AD IMPRESSIONS 5,400,000 21,453,422 6,500,000 6,630,000 HOAG CLASSIC AD IMPRESSIONS 6,000,000 15,161,468 8,000,000 8,160,000 22-87 7 22-88 B USIN E S S -UNIT PLAN 87 VISIT NEWPORT BEACH INC. - LEISURE MARKETING 89 VISIT NEWPORT BEACH INC. - GROUP SALES 91 DINE NEWPORT BEACH 93 ENTERPRISE NEWPORT BEACH 95 CELEBRATE NEWPORT BEACH 97 VIDEO NEWPORT BEACH 98 YEAR IN REVIEW FY 2023 - 2024 • 22-89 r VISIT NEWPORT Beach, Inc. LEISURE MARKETING TOURISM - OCCUPANCY TAX (TOT) FUNDING Visit Newport Beach, Inc. is an essential part of promoting the aspirational lifestyle of Newport Beach worldwide, guiding visitors from initial interest to conversion, creating unforgettable memories. The organization, powered by leisure marketing, weaves the captivating Newport Beach narrative into every stage of a traveler's journey - from sparking the desire to visit to providing resources for planning and eventually creating lasting memories. Funding for leisure marketing comes from a portion of the Transient Occupancy Tax (TOT), the third largest source of revenue for the city of Newport Beach, which is paid by visitors staying overnight in hotels, resorts and short-term vacation rentals. The leisure marketing team is focused on two functional areas of specialty: • Destination Brand Development & Storytelling • Destination Marketing Strategy & Business Intelligence DESTINATION BRAND DEVELOPMENT & STORYTELLING: Visit Newport Beach places a significant emphasis on its media -relations endeavors, anchored in robust and continual partnerships with select media, bloggers, and social influencers. Our focus lies in nurturing existing relationships, expanding our proprietary media database, enhancing media visits to Newport Beach, and crafting compelling ad campaigns that resonate with our target audience. Central to these efforts is the sharing of Newport Beach's brand narrative through esteemed media platforms, bold and breakthrough ad campaigns and social media channels, not only lending credibility to the destination but also enabling audiences to connect with the destination on an emotional level and engage with us in meaningful ways. DESTINATION MARKETING STRATEGY & BUSINESS INTELLIGENCE: The destination marketing strategy & business intelligence team conducts comprehensive analyses of customer behavior, campaign performance, visitor profiles, and detailed ongoing reporting on all performance metrics, standards, and benchmarks. Following this, the team strategically matches each customer with the most suitable media and channels based on their preferences, ensuring highly targeted campaigns that reach the right audience at the right time. Collaborating with the brand development team, they ensure that messaging in each creative piece aligns perfectly with the intended audience and is delivered via the most effective media channel to maximize return on investment for Newport Beach. As Visit Newport Beach resumes its international sales and marketing efforts, the marketing team takes the lead in engaging with the travel trade, tour operators, wholesalers, and travel agents. They oversee project workflow, budgeting, and day -to - AL day project management for all initiatives, ensuring seamless execution of strategies. The team is also responsible for deploying messages to potential consumers, managing visitor resources, and tracking visitor patterns and behaviors. Their core responsibilities within the destination marketing strategy & business intelligence team encompass various functional areas of marketing, including advertising, research, business intelligence, international marketing (both consumer and trade), industry relations, strategic partnerships, visitor services, hospitality training, and all facets of digital marketing. 22-91 VISIT NEWPORT Beach, Inc. GROUP SALES & MARKETING MEETINGS ASSESSMENT PARTNERSHIP (MAP) FUNDING Visit Newport Beach, Inc. Group Sales actively brings valuable group meetings and conference business to the privately -funded Newport Beach Meetings Assessment Partnership (MAP) hotel properties and local businesses. The purpose of the MAP agreement is to directly increase group business (meetings and conferences) for partner hotels. To deliver on the MAP promise, Visit Newport Beach Group Sales fosters current client relationships and attracts new meetings and conferences to Newport Beach. Through aggressive direct selling, innovative marketing initiatives and strong hotel partnerships, the efforts of the Sales Team result in increased group hotel room nights and additional revenue to MAP hotel partners. The Newport Beach MAP consists of seven hotel properties: • Balboa Bay Resort Hyatt Regency Newport Beach • Lido House • Newport Dunes Waterfront Resort & Marina Pendry Newport Beach • Renaissance Hotel Newport Beach • VEA Newport Beach, A Marriott Resort & Spa 22-93 I �- - - --77 1U, Since 2013, Newport Beach & Company and the Newport Beach Restaurant Association (NBRA) have joined forces to create Dine Newport Beach, a culinary consumer -facing entity aimed at branding, promoting, and boosting the economic vitality of the culinary community. These efforts have successfully increased foot traffic and patronage at Newport Beach dining establishments. In the upcoming fiscal, the Newport Beach Chamber of Commerce will assume responsibility for the operations of the Newport Beach Restaurant Association and will revive Newport Beach Restaurant Week. The Chamber will collaborate with Newport Beach & Company on all branding, marketing, and promotional initiatives associated with this event, ensuring its continued success and impact on the local culinary scene. ENTER PRISE Newport Beach Newport Beach & Company continues to work with local merchants and neighborhoods on brand development, omni-channel marketing, promotions and strategic events to activate visitation that generated positive economic impact. This fiscal year, Newport Beach & Company will implement a greater overarching strategy and investment for Newport Beach neighborhoods that will drive tourism to all corners of the destination to positively impact local businesses. Newport Beach & Company will provide travelers with a comprehensive navigational overview of the destination through content development and storytelling that are both informative and inspirational. NEIGHBORHOOD ADVISORY TASK FORCE: The re -imagination of this business unit begins with forming a destination -wide neighborhood advisory task force, bringing together one representative from each of the ten neighborhoods. This approach lends itself to a greater ability and mobility to craft an overarching strategy for the neighborhoods vs a tactic -driven model. The task force's mission will immerse the Newport Beach brand across all neighborhoods, leverage the distinct individuality of each neighborhood, craft compelling marketing by leveraging unique stories and propel activations to bring customers through the doors of small businesses. �r�y:■►[�IZiZ�I'a�7:7\�I�►�►��1� ��Zil►\\�►\� This fiscal year, Visit Newport Beach's website is slated for a full redesign and a key component is bringing Newport Beach neighborhoods to life via web content. The team will take a visual -first approach to educating visitors on Newport Beach unique landscape, utilizing cutting -edge interactive maps and technology to showcase topographical information in a visual way. The team will create bespoke content pages for each of the ten neighborhoods, with multi -media storytelling across all the tourism small business sectors to generate demand. The use of Al will also be incorporated into the new website for ease in itinerary building and showcasing all of the not -to -miss elements found in each neighborhood. COMMUNITY CONSULTING: Newport Beach & Company has emerged as a community -marketing leader serving as a branding, marketing and placemaking consultant for individual businesses and groups. This service will continue into this fiscal year, creating opportunities for professional marketing services for the small business community. COMMUNITY EVENTS: i he Visit Newport Beach team regularly promotes neighborhood events and promotions through its website, social media and media relations channels assisting in pre -promotion of events as well as day -of coverage. 22-97 CELE BRATE Newport Beach The Celebrate Newport Beach business unit enables Newport Beach & Company to integrate the Newport Beach brand into in -person events to create cohesive touchpoints across the entire visitor and community experience. Annual marquee signature events are not only an economic driver for the community, but destination differentiators that standout against our regional competitive set that provide world -class experiences. Large-scale in -person events returned in late 2022 and we are working as a community to build out new event experiences. From city-wide conventions in Anaheim to Coachella in the desert, there is a public desire to attend events at scale. The Celebrate Newport Beach business unit will continue to expand and enhance these experiences in the upcoming fiscal year and leading branding efforts, and through marketing, sponsorship and event support. The team will have a focused attention on elevating brand -centric events and leveraging those events for the benefit of the entire Newport Beach community. Celebrate Newport Beach also focuses on establishing strategic partnerships for Newport Beach that will provide sponsorship revenue to some signature events and key marketing initiatives. Current Celebrate Newport Beach -supported events include: • Newport Beach Film Festival (NBFF) • Newport Beach Christmas Boat Parade NBFF U.K. Honours/Variety's 10 Brits to Watch Hoag Classic • Surf & Turf Polo Classic • Volleyball Invitational • International Boat Show • Additional brand -defining events Newport Beach & Company support ranges from guidance on marketing tactics to making strategic media placements, destination market delivery and business intelligence; destination brand development, public relations pitches and storytelling; to year-round signature event support through NB&Co marketing channels. The level of support is at the discretion of the Newport Beach & Company Marketing Team and takes into account the opportunities to garner tremendous news coverage, which supports attendance numbers and overnight hotel stays. All Newport Beach events have the opportunity to promote on appropriate Newport Beach & Company -owned channels. 22-99 VIDEO Newport Beach In recent years, there has been a significant shift in consumer behavior towards spending more time on mobile devices, engaging in video entertainment both individually and with brands. New social platforms like TikTok have exploded in popularity, providing users with easy -to - use video creation tools. This trend has led legacy social platforms to quickly evolve and incorporate video content capabilities to keep up with the demand, democratizing video creation and sharing for everyone. � M sew C'rt y e The volume of video content uploaded in just 30 days now surpasses what major U.S. television networks have broadcast over 30 years. With 625 million videos viewed on TikTok every minute (that's up from 167 million just two years ago) and high engagement rates after viewing video ads on platforms like Instagram, it's evident that video is a powerful marketing tool. Viewers also retain significantly more information from video content compared to text -based content. Recognizing the value of video marketing, Newport Beach & Company has been proactive in investing in video production and filmmaking. In the upcoming fiscal year, Newport Beach & Company will enhance its video production efforts even further with a four -pronged strategy: 1. Platform -Specific Video Production: Newport Beach & Company will continue to allocate resources towards cutting -edge video production tailored for different platforms. This includes video content for TV and social media, each crafted with platform -specific best practices to maximize engagement and relevance. 2. Social Media Video Optimization: NB&Co will increase its focus on crafting short, evergreen videos and reels for social media. These videos will educate and inspire potential visitors while showcasing local businesses. By staying attuned to social media trends and leveraging audio, editing tools, and community engagement, NB&Co aims to maintain freshness and strengthen its community engagement. 3. Producing Bold Commercials on a Quarterly Basis: NB & Co will strategically invest in broadcast, producing bold ad campaigns that will put highly engaging, fresh commercial content in front of targeted demographics on a quarterly basis. Building on past successes, the company will align commercial launches around major awards shows and events to maximize brand visibility and impact. 4. Collaboration with Creators & Influencers: The team will collaborate with creatives, creators, ambassadors, and influencers to produce diverse and engaging video content. This collaboration aims to amplify brand awareness, drive engagement and foster a deeper connection with the audience. By implementing these strategies, Newport Beach & Company aims to solidify its position as a leader in the community and tourism industry, driving increased visitation to Newport Beach while staying ahead of the evolving digital landscape. 22-101 C�7 TODAY, FUELED BY OUR PAST Successes, WE CHART A COURSE TOWARD EVE,p, GREATER HEIGHTS.' NEWPORT Newport �✓ cacb Niewo .0_ Vol.01, No.01 NewportBeachVacationClu6.com News for Today Newport Beach, CA NEWPORT BEACH VACATION CLUB A 'd Studies Show Americans Don't Take Enough Vacations This summer. most adults are more likely than they were In the summer of 2022 to stay m a hotel and take vacation trips, ao cording to a new nalimal Hotel Booking Index survey commissioned q' the Amen. n Ho'et 8 Lodging Association IAHIA) and conducted by Morning Consult, "inking about the summer ahead. most aduhs report being more likely than they 'here In 202210 may in a hotel (56%). take mac 7regyent {55%) antl longer (52%) Icr sure a vartion cops, the survey said According to the findings, hotels are the ibp lodging choice among those planning to travel for business (77%) and leisure (54%) in the next three months. m addition, 75% of business travelers whose )ohs in• volve traveling are likely to�ddotsoo In the nekt three months. camp- 0ecernber 2027JJanuary 2023. Ftnyone percent of aduhs arc likely to navel over night for leisure in the next Inree months. compared to 36% in December 20221Jan- uary 2023, Survey responses from business travelers Indicate that nearly 70% of their employers have either relurned to the pre-pandemi: normal or increased amovots ef business travel This is good news or le 1CrS, ns .. __ ..r hntNs main -Americans are planning more hotel s and vacations This summer than they in the summer of n02Z and that n g news for the lodvl g Industry arid its plmyeZ said Chip Rogers, preside CEO, AH(A 'It's also enmuragirrg to t most business Iravelers repen that i employers have either retumed to pre-pandem. normat br mtm amo.-Is of business travel Ora asdu Is getting stronger, but to keep 9mte1'111 need to hire more than 100.000 Vu around the country FortralateM. With a' age hotel wages al near-.ecpd tannic, "a. b-fils than enter Woleand eR prectzlented opportunity to maw tin the ranks the era na1Mr ti- a heir. lima ra ,tan a hole - LAM M J 22-102 Vol .01, N0.01 Newport Beach, CA L NewpoRBeachVacationClub.com News for Today ARE YOU READY TO JOIN?--- Newport Beach Voted as Best Place to Visit I nis summer, most aduha ere more 1>kely hen they wefe rn the summuy of 2022 to [1+y k a ho1N and take raCaaph Iripa, ac dMq to a new natbnal Hotel Bookvty ��'�a �h �otMrNsalonM by Ihr Amart and conducts,b, 0,1�0 I IAf1[A) lhrrtksq about the lartenar ahead most adultt report hasp more In rkely tha were m 2027 to Nay M a hole, mac Irttgrent {55<) aM tptpar T52<) 4i awe a racanon trrpa. the surrey sod Axadrrp to the Intdrnga, Mote. ara VW [ bq�ptrg Utorca arnmv dh " p1wWAM tc d" to 1M tmdrnga, hotNa art tM top todyatq Chore! among those pnnnrn [o travel !a poorness �) aMI 1e�ame (rr.lY1 in tM nest three months to addrtwn, 75Y o} buirnea• travelers whose tops In rolve tr arekn0 ere k4h to too au M t Mat tMee months, compared So S7i 1n Oacernper 20221Jartuary Ftltyary r C mt«of aduha era Y4Ny to trrvrl vrw 4laure rn the neat Uuee monena, eornparW iq 7b< M Oaean= 2022/Jan uarY 7073 `"�r"M rnponem horn bmb4iia travelers vtdtcats Chit nearh 7t1< Nava 01 this employs arlhe errNrwrrM to IIK we pandernr narmN a Irteeeesed amalMlta of b�a�neaa nayN yfrn is gPod news Ipr hgtllyre, as Eusitys travel . W. of t1MMa' main sources of rereMre Anterioary an pyearkW man hOtd aeaya and vacnlorq Mra aurnrner 1ltan Tay rNd in hhi aurrrtrer of 2022. artd chat n peas Itewa fa INe'0 irrduauy and in em CIE.. .' aaM v RO pewfenL CEO. AHtA 'sfs 4also anZcour40M la hear roast daanna VrtvMws report this ttlaa �Playara nave Nttyr r*kM"d to Ilse rMglrnh of twsyytq tfM�Q� ti0ua1� WTIM Nrwger, nut [ok rY arotrrtd 1M a mars than 10�0 age halal w'Oe f My Kad I, tMter Mnefna than ever 1>♦fa evNa, prytednrted opparlunay him 10 mangy OW as IbtN crebr • a Letsa Cutts 10 0 rr/ N O N W� Stay at Sea Level JAN 3 - MAR 31 "Stay at Sea Level" invites travelers to embrace Newport Beach as a refreshing alternative to traditional winter destinations. The campaign emphasizes the allure of experiencing winter at sea level with cheeky taglines "Choose Boats Over Coats This Winter" and "Choose Seas Over Skis This Winter," highlighting coastal activities over snowy adventures. -0 . w r + w LL UKHonours FEBRUARY Oscars Campaign FEBRUARY SUPER BOWL 2023 Big Game Getaway JAN 5 - FEB 12 ti. r'. N O N A Float with Us MAR 20-JUN 14 With more water than land and a vibrant nautical heritage, Newport Beach introduces "Float With Us" which guides travelers on an immersive journey through Newport Beach's water story via Newport Harbor, the Ocean, Back Bay, and Resort Pools. Through stylish, creative storytelling, the campaign introduces key Visit Newport Beach personas experiencing the full spectrum of our aquatic offerings. 22-104 N O N 000 W C/-) Experience More JUN 20 - SEPT 5 "Experience More" aimed to attract tourism by focusing on Newport Beach's unique charm and vibrant summer atmosphere. The creative focused on capturing natural, authentic moments that encapsulate the magic, joy, and freedom of summertime. NewportBeach Vacation Club SEPT 6 - NOV 15 The Newport Beach Vacation Club campaign created a brand loyalty program, first -ever merchandise and a multi -touch integrated campaign with robust visuals that highlighted the rich legacy of Newport Beach's prestigious clubs with contemporary sophistication. N O N a a w , N �i 22-105 N O N 50Days of Festive Fun a NOV 17 - JAN 6 One of the nation's longest -running destination wide holiday celebrations, "50 Days of Festive Fun" showcased the transformation of Newport Beach into a magical winter wonderland full of holiday happenings, dazzling light displays, festive dining and more all season long. Viva Vacation NOV 16-18 Formula I Pitstop in Newport Beach InfluencerActivation NOV 16-18 ¢ate Q. IMEMM dn 22-106 44 AgesSkiSea JAN 5 - MAR 18 The new campaign redefines the traditional winter adventure, seamlessly offering an elevated and luxe coastal chateau \ \V, experience with the warmth of a luxurious escape, all while O steering clear of the cold. SUPER BOWL 2024 Touch Down in Newport Beach FIRST -EVER SUPER BOWL DRONE SHOW FEB 1-11 Land in Lux MAR 19-JUN 19 The "Land in Lux" campaign showcases Newport Beach's unparalleled luxury by highlighting lavish resorts, exquisite landscapes and unique leisure activities. The campaign aims to inspire and allure discerning travelers with stunning visuals that bring to life our blend of coastal beauty and luxury offerings. 03 22-107 a rollm or m7 �4 i r r � OL �•J i q .mom` -/4 WINTER 2023 Stay atSea Level JAN 3 - MAR 31 20m5M AD IMPRESSIONS PUBLIC RELATIONS IMPRESSIONS SOCIAL MEDIA IMPRESSIONS 34K WEBSITE LANDING PAGE VIEWS 2M SOCIAL MEDIA REACH 22-109 SUPER BOWL 2023 Big Game Getaway JAN 5 - FEB 12 lo7M AD IMPRESSIONS 200M PUBLIC RELATIONS IMPRESSIONS 871K SOCIAL MEDIA IMPRESSIONS 18K WEBSITE LANDING PAGE VIEWS 236K SOCIAL MEDIA REACH VISIT CALIFORNIA POPPY AWARD 111- 22-110 4 hi •. 3 - �.�—.= _• on - 0 SPRING 2023 Float With Us MAR 20-JUN14 $12.6M ECONOMIC I M PACT 43m8M 41K AD IMPRESSIONS 5M WEBSITE LANDING PAGE VIEWS 1m7M SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 8m5M PUBLIC RELATIONS IMPRESSIONS 22-113 SUMMER 2023 -.. Experience More JUN 20 - SEPT 5 $12.6M ECONOMIC I M PACT 36M 90K AD IMPRESSIONS 6AM WEBSITE LANDING PAGE VIEWS lm3M SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 8m5M PUBLIC RELATIONS IMPRESSIONS moor--qmq FALL 2023 NewportBeach Vacation Club SEPT 6-NOV 15 $9.9M rGONOMIC IMPACT 46m9M 139K AD IMPRESSIONS WEBSITE LANDING PAGE VIEWS 310K 208K 60CIAL MEDIA SOCIAL IbiwiA IMPRESSIONS REACH llm7M PUBLIC RELATIONS IMPRESSIONS 22-117 r ADDY AWARD FORMULA 1 �` .00 2023 Viva Vacation NOV 16 -18 700K 8m5M AD IMPRESSIONS 771K SOCIAL MEDIA IMPRESSIONS ECONOMIC I M PACT 31K WEBSITE LANDING PAGE VIEWS 165K SOCIAL MEDIA REACH t i i tA +-. r ■ ll 0 41 HOLIDAY 2023 50 Days of Festive Fun NOV 17-JAN6 ECONOMIC I M PACT 40M 79K 4 AD IMPRESSIONS WEBSITE LANDING ,. PAGE VIEWS 2m5M SOCIAL MEDIA IMPRESSIONS 2M SOCIAL MEDIA REACH 166M PUBLIC RELATIONS IMPRESSIONS 22-121 WINTER 2024 Apres Sea JAN5-MAR 18 $5.2M ECONOMIC I M PACT 31M 64K AD IMPRESSIONS WEBSITE LANDING PAGE VIEWS 3M lm6M SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 400K PUBLIC KtLHI IUNJ IMPRESSIONS -Xi amp -,- P^ 1 4 j 4w i p J 17111111111& li ll�Wk 1. WS 119 22-123 - =� nm7 SUPER BOWL 2024 Touch Down in Newport Beach FIRST -EVER SUPER BOWL DRONE SHOW FEB 1-11 $220K ECONOMIC I M PACT 4M 11K AD IMPRESSIONS WEBSITE LANDING PAGE VIEWS 186K 119K SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 236M PUBLIC RELATIONS IMPRESSIONS 22-125 SPRING 2024 Land in Lux L, FA FI-11 a Rel 0- Lem 9 V $7.1 M IMPACT 26M* 66K* AD IMPRESSIONS WEBSITE LANDING PAGE VIEWS r 4K* 260K SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 61K PUBLIC RELATIONS IMPRESSIONS *Metrics included are as of 4-30-24 as the campaign runs through 6-19-24. M M6m,& 22-128 GOVERNANCE 127 EXECUTIVE COMMITTEE & BOARD OF DIRECTORS 129 NEWPORT BEACH & COMPANY TEAM 133 AWARDS & ACCOLADES 135 FAQ'S of -"am CHAIRPERSON DEBBIE SNAVELY VEA Newport Beach, A Marriott Resort & Spa EXECUTIVE Committee VICE CHAIRPERSON GERARD WIDDER The Resort at Pelican Hill TREASURER CANDACE BISCONTE Eventis Destination Services SECRETARY LINDA M. BEIMFOHR Former VP of City Cruises MEMBER AT LARGE MEMBER AT LARGE MEMBER AT LARGE JON LEWIS HOMER BLUDAU SHARON WOOD Former Chief of Former City Manager City of Newport Beach Police Appointee AMY DEIFT City Cruises ANDRE BROSE Lido House Hotel ANNIE PAINTING Hyatt Regency Newport Beach ANTHONY HARTWELL Newport Beach Marriott Bayview ANTONELLA CASTRO Newport Beach Foundation CANDACE BISCONTE Eventis Destination Services CHARLENE REYNOLDS John Wayne Airport (SNA) BOARD OfDirectors CINDY RACCO HOMER BLUDAU RUSH HILL Balboa Bay Resort & Club Former City Manager NRM Real Estate Advisers DAVID BEEK JASON AL -IMAM Island Marine Fuel City of Newport Beach SHARON WOOD City of Newport Beach DAVID HOFFMAN JON LEWIS Pendry Newport Beach Former Chief of Police STEVE ROSANSKY Newport Beach Chamber DEBBIE SNAVELY LINDA M. BEIMFOHR of Commerce VEA Newport Beach, Former VP of City Cruises A Marriott Resort & Spa TANYA THOMAS MARIO MAROVIC GERARD WIDDER Lounge Group Fashion Island The Resort at Pelican Hill TONY PETROS MARKUS KOHN LSA GREGG SCHWENK Renaissance Newport Beach Newport Beach WASIM KAZI Film Festival Hyatt Regency PHIL RAVENNA John Wayne Airport HENRY PYLE Newport Dunes Waterfront Newport Beach Balboa Fun Zone Resort &Marina "FISCAL YEAR 2023-24 22-130 MARKETING CHAIRPERSON BEN STINNETT VEA Newport Beach, A Marriott Resort & Spa ANGELA CORTRIGHT Spa Gregorie's ANNASOPHIA SERVIN John Wayne Airport (SNA) COLLEEN DALUISIO Balboa Fun Zone Company, LLC DON CHOCK Hyatt Regency Newport Beach ELISA WONG Pendry Newport Beach HEIDI PILECKI VEA Newport Beach, A Marriott Resort & Spa JAMES KEAVENY The Resort at Pelican Hill Committee JAN HOLLIS Hyatt Regency John Wayne Airport Newport Beach JAN YERZIK Newport Dunes Waterfront Resort & Marina JOHN POPE City of Newport Beach KARYN CARREON City Cruises KATY CHALLENGER Lido House Hotel KELLY CARLSON Balboa Village Merchant Association MAUREEN SLOAN HelmsBriscoe MELISSA OLSON Balboa Bay Resort MICHAEL SWYNEY Renaissance Newport Beach MICHELLE ST. AMOUR Lido Marina Village NANCY GARDNER Newport Beach Conservancy NAVA REZVAN Roger's Gardens SCOTT LaFLEUR Sherman Library & Gardens STEPHANIE HINKLEY Irvine Company Resort Properties VALERIE ROBLES Fashion Island MEETINGS ASSESSMENT PARTNERSHIP (MAP) CHAIRPERSON DEBBIE SNAVELY VEA Newport Beach, A Marriott Resort & Spa ANDRE BROSE Lido House Hotel Board OfDirectors ANNIE PAINTING PHIL RAVENNA Hyatt Regency Newport Beach Newport Dunes Waterfront Resort & Marina CINDY RACCO Balboa Bay Resort MARKUS KOHN Renaissance Newport Beach Hotel DAVID HOFFMAN Pendry Newport Beach 127 22-131 GARY C. SHERWIN, APR, CDME PRESIDENT & CEO EXECUTIVE Team MICHELLE DONAHUE, CDME SENIOR VICE PRESIDENT OF SALES ASHLEY JOHNSON, CDME SENIOR VICE PRESIDENT & CHIEF MARKETING OFFICER ADMINISTRATION LILY PEARSON VICE PRESIDENT OF FINANCE KAYCEE ROBISON ELIZABETH GARCIA LAURO GARCIA EXECUTIVE ASSISTANT ADMINISTRATIVE ASSISTANT SENIOR ACCOUNTANT TO THE CEO 22-132 EXEC UTIVE Team 129 22-133 NEWPORT BEACH & COMPANY MARKETING ERIN ROSE SENIOR BRAND DIRECTOR BRIANNA GRIMALDI DIRECTOR OF DIGITAL MARKETING MEGAN JOHNS COMMUNICATIONS MANAGER JACKIE INFANTE CREATIVE DIRECTOR MARIAH PONCE MARKETING COORDINATOR ED OLEN VIDEO PRODUCTION SUPERVISOR 22-134 VISIT NEWPORT BEACH, INC GROUP Sales ENRIQUE PAOLO, CDME NATIONAL ACCOUNT DIRECTOR AMANDA KLIEM, CDME, HMCC, CITP DIRECTOR OF SALES JENNIFER BRANNON, CDME IN/A1 IUINHL HCCOLI IN I uiKLCTOR 'a' RACHEL BIRD SENIOR MANAGER, CLIENT ENGAGEMENT JANE LOENHORST GROUP MARKETING & COMMUNICATIONS DIRECTOR h, r ROBERTA EMMONS SALES COORDINATOR 22-135 AWARDS & Accolades 2022 - 2023 HERMES CREATIVE AWARDS PLATINUM - London Week Food x Film Immersive Media Dinner: Electronic Media - Video PLATINUM - Sleigh this Season in Newport Beach: Social Media PLATINUM - A New Year's Soiree: Social Media PLATINUM - Pop the Bubbly: Social Media PLATINUM - Photography Around Newport Beach: Animated Print PLATINUM - Float with Us: Animated Display Ads PLATINUM - Float with Us: Social Media GOLD - ABC15 Arizona Holiday Segments: Media Relations - TV Placement GOLD - Let's Dream by the Sea: Strategic Campaign GOLD - Let it Glow: Strategic Campaign GOLD - Visit California Advertisement: Print Media Category GOLD - Float with Us: TV Commercial/Ad HONORABLE MENTION - ABC7 Helicopter Live Stream of Newport Beach Christmas Boat Parade: Media Relations - TV Placement TELLY AWARDS SILVER - London Week Food x Film Immersive Media Dinner: Non -Broadcast SILVER - Crystal Cove Neighborhood Guide: Social Video BRONZE - Super Bowl Commercial: Local TV BRONZE - 94th Oscars Commercial: Regional TV BRONZE - Let's Dream by the Sea Romantic Getaway: Regional TV BRONZE - Let's Dream by the Sea Family Day: Regional TV BRONZE - Let's Dream by the Sea in Newport Beach: Regional TV BRONZE - Let's Dream by the Sea Girlfriend's Getaway: Regional TV BRONZE - Let it Glow Holiday Campaign: Regional TV BRONZE - Choose Tan Lines Over Lift Lines: Social Video BRONZE - Celebrate the 114th Newport Beach Christmas Boat Parade: Social Video MARCOM AWARD GOLD - Let's Dream by the Sea LUXLIFE AWARD Best Destination Marketing Organization in Orange County 2023 2023-2024 MODERN LUXURY - Best of the City Award - Best Tourism Board - 2023 VISIT CALIFORNIA POPPY AWARD Best Public Relations Campaign - Destination Big Game Getaway OCPRSA PROTOS AWARDS OF EXCELLENCE Special Events & Observations -114th Annual Newport Beach Christmas Boat Parade - 2023 AMERICAN ADVERTISING AWARDS - 2024 Silver Addy - Local: The Avant -Garde Award - Formula 1 VIDDY AWARDS GOLD - A New Year's Soiree in Newport Beach - Social Media GOLD - Celebrate the 114th Newport Beach Christmas Boat Parade - Social Media GOLD - Choose Tan Lines Over Lift Lines and Stay at Sea Level this Winter in Newport Beach - Social Media GOLD - Float with Us: Romance on the Water - Marketing/Advertising GOLD - Life's a Beach, and Lucky for you, we have plenty of them! - Social Media GOLD - Neighborhood Guide Series: Crystal Cove - Social Media GOLD - Newport Beach Super Bowl Commercial - Commercials - Tourism & Leisure GOLD - Pop the Bubbly New Year's Eve is Here! - Social Media GOLD - "On the Red Carpet After the Awards": Visit Newport Beach Commercial - Commercials - Tourism & Leisure PLATINUM - Float with Us in Newport Beach - Social Media PLATINUM - Float with Us: Girlfriend's Getaway - Integrated Marketing Campaign PLATINUM - Float with Us: Poolside - Integrated Marketing Campaign PLATINUM- Food x Film: A Four -Course Immersive Newport Beach Dining Experience - Interactive Brand Experience PLATINUM - Let It Glow Holiday Campaign - Advertising Campaign PLATINUM - Let's Dream by the Sea in Newport Beach - Advertising Campaign PLATINUM - Sleigh This Season in Newport Beach - Social Media PLATINUM -Visit Newport Beach: Big Game Getaway - Advertising Campaign PLATINUM -Float with Us this Spring - Marketing/Advertising Campaign PLATINUM - `Tis the Season for a Holiday Sea -Side Escape! - Social Media HERMES CREATIVE AWARDS - 2024 GOLD - Newport Beach Vacation Club - Digital Marketing Campaign GOLD - Food x Film Immersive Media Dinner - Documentary PLATINUM - Pit Stop in Newport Beach - Public Relations - Special Event PLATINUM - Apres Sea - Social Media HONORABLE MENTION - Formula 1 - Viva Vacation Club - Integrated Marketing Campaign HONORABLE MENTION - Newport Beach's Big Game Getaway - Integrated Marketing Campaign 133 22-137 F A What is a DMO? A DMO, or Destination Marketing Organization, is a body that promotes a specific destination to attract visitors, typically for tourism or business purposes. Visit Newport Beach is a DMO. What does Visit Newport Beach do? Visit Newport Beach is the official destination marketing organization for the city of Newport Beach, California. Its primary goal is to promote Newport Beach as a premier travel destination for visitors, meetings, and events. Visit Newport Beach works to showcase the city's attractions, accommodations, dining, shopping, and recreational opportunities through marketing campaigns, advertising, public relations, and promotional activities. Visit Newport Beach also collaborates with local businesses, hotels, and attractions to enhance the overall visitor experience and drive tourism to the area. How is Visit Newport Beach funded? DMOs are often funded through a combination of public and private sources. Public funding may come from local government agencies or tourism taxes, while private funding may come from membership fees, grants, or other sources. Visit Newport Beach receives 18% of the Transient Occupancy Tax (TOT) from the City of Newport Beach, a tax that is charged overnight visitors staying in hotels and properties rented through home sharing services (i.e. Airbnb). TOT funds are used solely for leisure marketing efforts. Visit Newport Beach's group and meetings department is funded through Meetings Assessment Partnership (MAP), private funding that is self -assessed at 5% by the hotels and resorts looking to garner group business. 22-138 What is the difference between a DMO and a CVB? A DMO, or Destination Marketing Organization, is a broader term that can include both Convention and Visitors Bureaus (CVBs) and Tourism Boards. CVBs typically focus more on attracting conventions and meetings, while Tourism Boards may have a broader focus on attracting leisure travelers. How does a DMO measure success? DMOs may measure success based on metrics such as visitor numbers, hotel occupancy rates, economic impact, or the success of specific marketing campaigns. They may also gather feedback from visitors to assess their experiences and satisfaction levels. How can a DMO benefit a destination? A DMO can benefit a destination by increasing visitor numbers, boosting the local economy, creating jobs, destination development, community engagement, cultural preservation, and increased visibility in raising the destination's profile. 22-139 i - NEW NW, �� � •i��r .lam_ ti�� � ^' , �} -- _ - }W - i IL A7. ZrTlaw VIP --7& n i - -' -1 MOP""" K t - 22-140 �• - `� � -� -,°�", - _ �_: -�_ x _ter _ _ - � � - ' r��~ ^� '�� �_ _ �_ - __. -- -� Y.� - - '``'�. _ �- �� _` .'-air '�--� - - _ _ - '• _ -�; - - ��"�C y� _ � _`-� � - - -Z� � ._ y +r..�~►- _ �t - _'-'i -�- � __. � `�` C --ter 33.6189° N, 117.9298° W © W oRr 1 VISIT NEWPORT :...''/: NEWPORT BEM II - BEACH NEWPORT BEACH & COMPANY 2024 1600 NEWPORT CENTER DRIVE . STE. 120 NEWPORT BEACH, CA 92660 VISITNEWPORTBEACH.COM . 949.719.6100 . 800.94.COAST ATTACHMENT B a VISIT N EWPC RT BEACH CALIFORNIA Visit Newport Beach, Inc. Leisure Marketing (TOT) FY2025 and FY2026 Budgets Operating Revenue Revenue 41000 - TOT/TBID Income Total Revenue Other Income 46001 - Interest Income Total Other Income Total Operating Revenue Expenses Advertising Expenses 66101 -Advertising 66121 - Promotional Gift Cards 66202 - Creative Production 67101 - Research Total Advertising Expenses Marketing Expenses Community Relations 66212 - Community Sponsorships 67104 - Annual Marketing Outlook Event 67105 -Awards 67107 - Promo Items & Merch 67108 - Company -Sponsored Events 67111 - Community Partnerships Total Community Relations Event Marketing 67103 - Community Partner Events 67102 - Christmas Boat Parade Total Event Marketing FY 2025 6/30/2025 Proposed Budget 6,841,939.00 6,841,939.00 30,000.00 30,000.00 6,871,939.00 1,170,000.00 5,500.00 346,000.00 202,900.00 1,724,400.00 150,000.00 200,000.00 10,000.00 76,000.00 5,000.00 74,000.00 515,000.00 425,000.00 186,000.00 611,000.00 FY 2026 6/30/2026 Proposed Budget 6,980,000.00 6,980,000.00 25,000.00 25,000.00 7,005,000.00 1,002,000.00 5,500.00 295,250.00 195,000.00 1,497,750.00 150,000.00 190,000.00 10,000.00 70,000.00 5,000.00 74,000.00 499,000.00 430,000.00 189,000.00 619,000.00 22-143 0 VISIT N EWPC RT BEACH CALIFORNIA Visit Newport Beach, Inc. Leisure Marketing (TOT) FY2025 and FY2026 Budgets FY 2025 FY 2026 6/30/2025 6/30/2026 Proposed Budget Proposed Budget Marketing Collateral 67309 - Business Plan 15,000.00 18,000.00 67311 - Collateral Production Expenses 25,000.00 25,000.00 Total Marketing Collateral 40,000.00 43,000.00 Digital Marketing 67501 - Social Media 100,500.00 102,000.00 67502 - Website Maintenance 14,247.00 14,250.00 67503 - SEO/SEM 165,750.00 167,000.00 67508 - Website Redesign Expenses 53,500.00 54,000.00 66211 - CRM Maintenance & Platform Subscriptions 21,452.00 22,000.00 Total Digital Marketing 355,449.00 359,250.00 Communications/Public Relations 67601 - PR Agency/Tracking/Copywriting 187,400.00 190,000.00 67602 - Media FAM Tours 95,000.00 96,000.00 67605 - Brand Activations & Media Opportunities 333,300.00 333,500.00 67607 - Media Relations & Missions 39,800.00 40,000.00 Total Communications/Public Relations 655,500.00 659,500.00 Total Marketing Expenses 2,176,949.00 2,179,750.00 International Marketing Initiatives 67401 - International Brand Activations 150,000.00 120,000.00 67402 - International FAM Tours 20,000.00 20,000.00 67404 - International Travel & Trade Shows 27,500.00 27,500.00 67405 - International Airfare 84,000.00 84,000.00 67406 - International Accommodations 25,000.00 25,000.00 67407 - International Meals 3,500.00 3,500.00 67408 - International Transportation Costs 2,500.00 2,500.00 67409 - International Other Travel Costs 3,000.00 3,000.00 67410 - International Business Meals/Entertainment 4,000.00 4,000.00 67411 - International Promotional Items 3,000.00 3,000.00 22-144 0 VISIT N EWPC RT BEACH CALIFORNIA Visit Newport Beach, Inc. Leisure Marketing (TOT) FY2025 and FY2026 Budgets FY 2025 FY 2026 6/30/2025 6/30/2026 Proposed Budget Proposed Budget 67412 - International Brand Events 400,000.00 350,000.00 Total International Marketing Initiatives 722,500.00 642,500.00 NB&Company Fees 68001 - NB&Co Fees 2,648,090.00 2,685,000.00 Total NB&Company Fees 2,648,090.00 2,685,000.00 Total Expenses 7,271,939.00 7,005,000.00 Utilization of Carryover Cash (not reserve funds) 400,000.00 - Net Income - - The Visit Newport Beach TOT contract expires on December 31, 2024. After consulting with General Counsel, who was formerly affiliated with the City, we were advised to prepare a 12-month budget in anticipation of the contract renewal. 22-145 ATTACHMENT C FY2025-2026 VISIT N EWPORT BEACH, INC. LEISURE MARKETING (TOT) PERFORMANCE STANDARDS REPORT J U LY 11 2023 - DUNE 30, 2024 Ff To urism remains a cornerstone of the economy, Newport Beach fueling p Y� g employment growth, income generation, and infrastructure enhancement. The influx in quality visitors translates into substantial spending across various sectors, including hotels, restaurants, attractions, retail, and local businesses, making tourism a vital driver of economic development. As Visit Newport Beach tackles new opportunities in leisure marketing, we are focused on boosting visitor spending by highlighting the luxury renaissance in our hotel, resort, and retail product, while promoting and marketing our visitor -serving partner businesses, local investors, and residents who contribute to revitalizing our destination appeal and enhancing our performance as destination marketers in the coming years. Our approach involves leveraging the full spectrum of marketing initiatives to achieve these objectives. Through integrated efforts across marketing, communications, advertising, digital platforms and media relations, we aim to nurture relationships that keep Newport Beach aligned with emerging travel trends. Our goal is to drive incremental visitation and spending to Newport Beach, ensuring our city remains a top choice for travelers. The cross -functional team at Visit Newport Beach has developed an integrated multi -year business plan specifically tailored for the leisure traveler customer segment. The plan sets quantifiable objectives, implements strategies designed to achieve those objectives through innovative marketing, and outlines tactics that support overarching strategies. By harnessing the collective resources and expertise of our marketing team, we are poised to deliver impactful results and solidify Newport Beach's position as a premier travel destination. VISIT NEWPORT BEACH, INC. (TOT) TOTAL AnnualPerformance 275.7 M 1.4 K TOTAL PR/MEDIA TOTAL PR/MEDIA IMPRESSIONS PLACEMENTS 230AM 1.7M TOTAL AD TOTAL WEBSITE IMPRESSIONS SESSIONS 545 K 284 K TOTAL AD TOTAL SOCIAL MEDIA CLICKS FOLLOWERS 22-147 '^' ) Stay at Sea Level W13-MAR 81 Stay at Sea Level" invites travelers to embrace Newport teach as a refreshing alternative to traditional winter destinations. The campaign emphasizes the allure of experiencing winter at sea level with cheeky taglines "Choose Boats Over Coats This _ Winter" and "Choose Seas Over W Skis This Winter;' highlighting coastal activities over snowy adventures. _ W F- -r Ulf Honoias aARUAW Oscan campakv FEBRUAW SUPER BOWL 2023 Big Game Gerais U M5-FER12 f6 N O N How with Us MAR 2 -JUN 14 With more water than land and a vibrant nautical heritage, Newport Beach introduces "Float With Us" which guides travelers on an immersive journey through Newport Beach's water story via Newport Harbor, the Ocean, Back Bay, and Resort Pools. Through stylish, creative storytelling, the campaign introduces key Visit Newport Beach personas experiencing the full spectrum of our aquatic offerings. Experkme More IN luH sn-5£i'TS Q Experience More" aimed to attract tourism by focusing on Newport Beach's unique charm and vibrant summer atmosphere. The creative focused on capturing natural, authentic moments that encapsulate the magic, joy, and freedom of Wsummertime. con dam'.'.- _�.-'�I■ NewportBeach Vacation Mb ��� SEFTa. Nova The Newport Reach Vacation Club campaign created a brand loyalty program, first -ever merchandise and a multi -touch integrated campaign with robust visuals that highlighted the rich legacy of Newport Beach's prestigious clubs with contemporary sophistication. N O N a a w 22-148 50Dw of Festive Fun NWV.MNB One of the nation's longest -running destination wide holiday celebrations, "50 pays of Festive Furl" showcased the transformation of Newport Beach into a magical winter wonderland full of holiday happenings, dazzling light displays, festive dining and more all seasonlong. riva VavaadOn H W-W Formula I Pastop in Neuport Beach InfluencerAetivation NLN 16-18 Apres Sea W 5-MRR18 The new campaign redefines the traditional winter adventure, seamlessly offering an elevated and luxe coastal chateau experience with the warmth of a luxurlous escape, all while steering clear of the cold. SUPER BOWL 2024 Touch Ovum in Newport Beadt HWF-EYERWPER�LDR ESHM FM I -r1 Land in Lar MAR iB . nIH H � l The "Land in Lux" campaign showcases Newport Beach's unparalleled luxury by highlighting lavish resorts, exquisite landscapes and unique leisure activities. The campaign aims to inspire and allure discerning travelers with stunning visuals that bring to life our blend of coastal beauty and luxury offerings - con 22-149 all 4 •7•r•.. 'VonI I i i- Af Aa F � � J WINTER 2023 Stay at Sea Level JAN 3 — MAR 31 20.5M AD IMPRESSIONS 2.1M PUBLIC RELATIONS IMPRESSIONS 4.6 M SOCIAL MEDIA IMPRESSIONS 34K WEBSITE LANDING PAGE VIEWS 2M SOCIAL MEDIA REACH 22-150 SUPER BOWL 2023 Big Game Getaway JAN 5 - FEB 12 1.7M AD IMPRESSIONS 200M 18K PUBLIC RELATIONS WEBSITE LANDING IMPRESSIONS PAGE VIEWS 871 K 236K SOCIAL MEDIA IMPRESSIONS 1 r p ¢ JL' i ..Z . .'- . Vr .�-l.mtv'2i � SPRING 2023 Float With Us MAR 20 - JU N 14 $12.5 M ECONOMIC I M PACT 43.8M AD IMPRESSIONS 5M SOCIAL MEDIA IMPRESSIONS 41K WEBSITE LANDING PAGE VIEWS 1.7M SOCIAL MEDIA REACH 8.5 M PUBLIC RELATIONS IMPRESSIONS 22-152 SUMMER 2023 Experience More JUN 20 - SEPT 5 $12,6 M ECONOMIC I M PACT 36M AD IMPRESSIONS 90K WEBSITE LANDING PAGE VIEWS 6AM 1.3M SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH S.5M PUBLIC RELATIONS IMPRESSIONS eh FALL 2023 Newport Beach Vacation Club SEPT B — NOV 15 $9.9 M ECONOMIC IMPACT 46.9 M AD IMPRESSIONS 139K WEBSITE LANDING PAGE VIEWS 310 K 208 K SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 11.7M PUBLIC RELATIONS IMPRESSIONS 22-154 FORMULA 1 2023 rva Vacation NOV 16 -18 700K ECONOMIC I M PACT 8.5M 31 K AD IMPRESSIONS WEBSITE LANDING PAGE VIEWS 771 K 165 K SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH r 1� 1 - a ...= WINTER 2024 Aprk &W Sea JAN 5 - MAR 18 $5.2M ECONOMIC I M PACT 31M AD IMPRESSIONS 64K WEBSITE LANDING PAGE VIEWS 12 3M 1.5M SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 400 K PUBLIC RELATIONS IMPRESSIONS ft�s 119 22-157 SUPER BOWL 2024 Touch Down in Newport Beach FIRST -EVER SUPER BOWL DRONE SHOW FEB 1 -11 $220 K EGUNQMIC IMPACT 4M 11K AD IMPRESSIONS WEBSITE LANDING PAGE VIEWS 186K 119K SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 236M PUBLIC RELATIONS 22-158 IMPRESSIONS SPRING 2024 Land in Lux MAR 19 - JUN 19 $7.1 M ECONOMIC I M PACT 26M 66K AD IMPRESSIONS WEBSITE LANDING PAGE VIEWS 4K' 260K SOCIAL MEDIA SOCIAL MEDIA IMPRESSIONS REACH 61K PUBLIC RELATIONS IMPRESSIONS AWARDS & Accolades ev �Aw ��� � --I 2022 - 2023 HERMES CREATIVE AWARDS PLATINUM - London Week Food x Film Immersive Med!a Dinner: Electronic Media - Video PLATINUM - Sleigh this Season in Newport Beach: Social Media PLATINUM -A New Year's Soiree: Social Media PLATINUM - Pop the Bubbly: Social Media PLATINUM - Photography Around Newport Beach: Animated Print PLATINUM - Float with Us: Animated Display Ads PLATINUM - Float with Us: Social Media GOLD - ABC15 Arizona Holiday Segments: Media Relations - TV Placement GOLD - Let's Dream by the Sea: Strategic Campaign GOLD - Let it Glow: Strategic Campaign GOLD- Visit California Advertisement: Print Media Category GOLD - Float with Us. TV Commercial/Ad HONORABLE MENTION - ABC7 Helicopter Live Stream of Newport Beach Christmas Boat Parade: Media Relations - TV Placement TELLY AWARDS SILVER - London Week Food x Film Immersive Media Dinner: Non -Broadcast SILVER - Crystal Cove Neighborhood Guide: Social Video BRONZE - Super Bowl Commercial: Local TV BRONZE - 94th Oscars Commercial: Regional TV BRONZE - Let's Dream by the Sea Romantic Getaway- Regional TV BRONZE - Let's Dream by the Sea Family Day: Regional TV BRONZE - Let's Dream by the Sea in Newport Beach: Regional TV BRONZE - Let's Dream by the Sea Girlfriend's Getaway: Regional TV BRONZE - Let it Glow Holiday Campaign: Regional TV BRONZE - Choose Tan Lines Over Lift Lines- Social Video BRONZE - Celebrate the 114th Newport Beach Christmas Boat Parade: Social Video MARCOM AWARD GOLD - Let's Dream by the Sea LUXLIFE AWARD Best Destination Marketing Organization in Orange County 2023 2023-2024 MODERN LUXURY - Best of the City Award - Best Tourism Board - 2023 VISIT CALI FORN IA POPPY AWARD Best Public Relations Campaign - Destination Big Game Getaway OCPRSA PROTOS AWARDS OF EXCELLENCE Special Events & Observations -114th Annual Newport Beach Christmas Boat Parade - 2023 AMERICAN ADVERTISING AWARDS - 2024 Silver Addy - Local: The Avant -Garde Award - Formula 1 VIDDY AWARDS GOLD - A New Year's Soiree in Newport Beach - Social Media GOLD - Celebrate the 114th Newport Beach Christmas Boat Parade - Social Media GOLD - Choose Tan Lines Over Lift Lines and Stay at Sea Level this Winter in Newport Beach - Social Media GOLD - Float with Us: Romance on the Water - Marketing/Advertising GOLD - Life's a Beach, and Lucky for you, we have plenty of them! - Social Media GOLD - Neighborhood Guide Series: Crystal Cove - Social Media GOLD - Newport Beach Super Bowl Commercial - Commercials - Tourism & Leisure GOLD - Pop the Bubbly New Year's Eve is Here! - Social Media GOLD - 'On the Red Carpet After the Awards": Visit Newport Beach Commercial - Commercials - Tourism & Leisure PLATINUM - Float with Us in Newport Beach - Social Media PLATINUM - Float with Us: Girlfriend's Getaway - integrated Marketing Campaign PLATINUM - Float with Us: Poolside - Integrated Marketing Campaign PLATINUM- Food x Film: A Four -Course Immersive Newport Beach Dining Experience - Interactive Brand Experience PLATINUM - Let It Glow Holiday Campaign - Advertising Campaign PLATINUM - Let's Dream by the Sea in Newport Beach - Advertising Campaign PLATINUM - Sleigh This Season in Newport Beach - Social Media PLATINUM -Visit. Newport Beach: Big Game Getaway - Advertising Campaign PLATINUM - Float with Us this Spring - Marketing/Advertising Campaign PLATINUM - 'Tis the Season for a Holiday Sea -Side Escape! - Social Media HERMES CREATIVE AWARDS -2024 GOLD - Newport Beach Vacation Club - Digital Marketing Campaign GOLD - Food x Film Immersive Media Dinner - Documentary PLATINUM - Pit Stop in Newport Beach - Public Relations - Special Event PLATINUM - Apres Sea - Social Media HONORABLE MENTION - Formula 1 - Viva Vacation Club - Integrated Marketi ng Cam pa ign HONORABLE MENTION - Newport Beach's Big Game Getaway - Integrated Marketing Campaign 22-160 VISIT NEWPORT BEACH, INC. TOURISM- OCCUPANCY(TOT) Goals FY2023 - FY2024 YTD ACHIEVED AS OF 4/15124 FY2025 - FY2026 FORECASTGOAL TOPLINE GOALS & KEY PERFORMANCE INDICATORS FOR LEISURE TRAVEL TO NEWPORT BEACH TOURISM -OCCUPANCY TAX (TOT) REVENUE TO THE CITY OF NEWPORT BEACH $35,245,122 $23,654,682" $35,315,612 $36,021,924 MARKETING CAMPAIGN ROOM NIGHTS' 150,000 250,800 220,000 224,400 MARKETING CAMPAIGN ECONOMIC IMPACT- $46,000,000 $63,500,000 $50,000,000 $51,000,000 DIGITAL MARKETING, CONTENT MARKETING & SOCIAL MEDIA (OWNED & PAID MEDIA CHANNELS) VISITNEWPORTBEACH.COM WEB VISITS 1,628,000 1,319,475 1,700,000 1,734,000 REFERRALS TO PARTNERVISITS 10,925 21,606 22,038 22,478 SOCIAL MEDIA FOLLOWERS 270,000 280,964 360,000 357,000 CONSUMER DATABASE) NEWSL£TTERSSEKIT 36,000/24 29,730135 38,000/30 40,000/36 PARTNER DATABASE/NEWSLETTERS SENT 600/60 651 /54 700/60 720/60 ADVERTISING (PAID MEDIA CHANNELS) TOTAL AD IMPRESSIONS- 175,000,000 186,113,998 180,000,00 182,000,00 ONLINE AD CLICKS TO SITE 430,000 333,579 350,000 357,000 MEDIA RELATIONS MEDIA PLACEMENTS (DOMESTIC + INTERNATIONAL) 1,200 1,334 1,400 1,428 KEY CONSUMER MEDIA PLACEMENTS 325 322 350 357 KEY TRADE MEDIA PLACEMENTS (13213) 100 136 145 148 'FORECASTED GDAL DOESN'T INCLUDE SUPER BOWL CAMPAIGN. "SOURCE; SOJERN "'METRICS DDN'T INCLUDE FY23-245PRINC CAMPAIGN METRICSlFORECASTED GOAL DOESN'T INCLUDE SUPER BOWL CAMPAIGN_ 22-161 NEWPORT BEACH & COMPANY BUSINESS -UNIT Goals FY2023 - FY2024 FY2025 - FY2026 YTD ACHIEVEDFORECASTGOAL FORECAST GOAL AS OF 4/16124 CELEBRATE NEWPORT BEACH: BRAND -DEFINING EVENT MARKETING UK HONOURSIVARIM "10 ACTORS TO WATCH" IMPRESSIONS 5,500,000 N/A 5,500,000 5,6610,000 NBFFIVARIETY"10ACTORS TOWATCH" IMPRESSIONS 6,000,000 N/A 6,000,000 6,120,000 CHRISTMAS BOAT PARADE AD IMPRESSIONS 5,400,000 21,453,422 6,500,000 6,630,000 HOAG CLASSIC AD IMPRESSIONS 6,000,000 15,161,468 8,000,00❑ 8,160,000 22-162 ATTACHMENT D l LWPO1 T BEACH & COMPANY Newport Beach & Company FY2025 and FY2026 Budgets Operating Revenue Revenue 41010 - VNB Inc. Income* 41020 - Boat Parade Venture Income Total Revenue Other Income 46004 - Miscellaneous Income Total Other Income Total Operating Revenue Expenses Salary and Wages 61010 - Salaries and Wages 61015 - Bonuses and Commissions 61020 - Auto Allowance 61030 - Payroll Tax Expenses 61040 - Accrued PTO Expense Total Salary and Wages Benefits 61110 - Medical Insurance 61115 - Benefit Administrative Fees 61120 - Dental Insurance 61125 - Vision Insurance 61130 - Life and Disability 61140 - Retirement Plan (401k) 61145 - Deferred Annuity 61150 - Flexible Spending Plan 61160 - Employee Engagement Benefit Total Benefits FY 2025 FY 2026 6/30/2025 6/30/2026 Proposed Budget Proposed Budget 2,756,090.00 2,793,000.00 25,000.00 25,000.00 2,781,090.00 2,818,000.00 21,750.00 20,000.00 21,750.00 20,000.00 2,802,840.00 2,838,000.00 1,368,000.00 1,409,000.00 147,000.00 152,000.00 19,320.00 19,320.00 121,000.00 127,000.00 20,000.00 22,000.00 1,675,320.00 1,729,320.00 122,500.00 132,300.00 400.00 400.00 7,050.00 7,050.00 1,500.00 1,500.00 13,500.00 13,500.00 124,500.00 126,500.00 25,000.00 25,000.00 1,500.00 1,500.00 21,500.00 21,500.00 317,450.00 329,250.00 *VNB Inc. Income is comprised of the $2,648,090 VNB (TOT) - NB & Co. Fees expenditure and the $108,000 MAP - NB & Co. Fee expenditure. 22-163 l LWPO1 T BEACH & COMPANY Newport Beach & Company FY2025 and FY2026 Budgets General and Administrative Expenses Operating Expenses 64100 - Office Supplies 64101 - Kitchen Supplies 64110 - Office Equipment Leases 64115 - Office Equipment (non-deprec) 64120 - Equipment Repairs & Maintenance 64125 - Computer Software (non-deprec) 64130 - Voice and Data - Office 64135 - Telephone - Mobile 64140 - Postage 64145 - Shipping Charges 64150 - Bank Fees 64160 - Membership Dues 64165 - Subscriptions 64170 - Team Meetings 64175 - Governance Meeting Expenses 64180 - Education 64190 - Business Licensing and Fees 64300 - Depreciation Expense 64600 - Business Meals/Entertainment Total Operating Expenses Office Lease and Expenses 62100 - Office Lease 62110 - Office Repairs and Maintenance 62120 - Offsite Storage Total Office Lease and Expenses Insurance 63100 - General Liability Insurance 63200 - Workers Compensation Insurance FY 2025 FY 2026 6/30/2025 6/30/2026 Proposed Budget Proposed Budget 14,000.00 12,000.00 6,200.00 5,800.00 2,760.00 2,760.00 13,000.00 14,000.00 34,200.00 36,000.00 38,000.00 40,500.00 11,000.00 11,250.00 24,060.00 25,000.00 600.00 800.00 2,000.00 3,000.00 2,520.00 3,500.00 110,475.00 116,000.00 3,500.00 3,500.00 29,500.00 28,000.00 36,000.00 36,000.00 32,345.00 33,600.00 1,000.00 1,310.00 43,500.00 45,000.00 7,000.00 6,750.00 411,660.00 424,770.00 225,660.00 225,660.00 7,400.00 7,000.00 7,500.00 8,000.00 240,560.00 240,660.00 2,500.00 2,750.00 7,500.00 8,000.00 22-164 l LWPO1 T BEACH & COMPANY Newport Beach & Company FY2025 and FY2026 Budgets FY 2025 FY 2026 6/30/2025 6/30/2026 Proposed Budget Proposed Budget 63300 - Board of Directors Insurance 3,800.00 4,050.00 Total Insurance 13,800.00 14,800.00 Professional Fees 64203 - Recruiting Fees 3,000.00 - 64205 - Payroll Processing Service 6,000.00 6,000.00 64201 - Audit Fees 33,500.00 35,000.00 64202 - Tax Preparation Fees 9,800.00 10,200.00 64204 - Legal Fees 50,000.00 10,000.00 Total Professional Fees 102,300.00 61,200.00 Travel Expenses 65100 - Airfare 13,900.00 12,750.00 65200 - Accommodations 18,600.00 17,000.00 65300 - Meals 6,500.00 5,500.00 65400 - Transportation Costs 1,500.00 1,500.00 65405 - Mileage ($0.655/mile 2023) 750.00 750.00 65500 - Other Travel Costs 500.00 500.00 Total Travel Expenses 41,750.00 38,000.00 Total General and Administrative 810,070.00 779,430.00 Total Expenses 2,802,840.00 2,838,000.00 Net Income - - The Visit Newport Beach TOT contract expires on December 31, 2024. After consulting with General Counsel, who was formerly affiliated with the City, we were advised to prepare a 12- month budget in anticipation of the contract renewal. 22-165