Brand USA 50 States, 5 Territories, 1 United Effort

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1 Brand USA 50 States, 5 Territories, 1 United Effort December 6, 2012

2 Global Marketing Partner to the Travel Industry Promote the United States as a premier travel destination Established by the Travel Promotion Act Partner investments matched with ESTA funds (not taxpayer dollars)

3 Roles in the Travel Industry PROMOTE Lead the nation s global marketing effort Communicate US entry and security processes Create a welcoming experience for International tourists TRAVEL & TOURISM INDUSTRY ADVISE ADVOCATE Advocate for policies to remove travel barriers Communicate benefits of travel to policymakers Provide industry networking opportunities Brand USA 3 Advise the Secretary of Commerce on Issues Affecting the Travel Industry

4 Cooperative Destination Marketing Organization Create and Add Value Co-op Marketing Emphasis Industry Engagement Partnerships, Partnerships, Partnerships

5 Funding Model Private sector funding is required to receive ESTA funds Cash or in-kind investment Minimum cash requirement is 20%, and in-kind can total 80%, but not required $1 from cash or in-kind contribution $1 matching funds received from ESTA funds $200M in marketing impressions to promote the USA as a premier travel destination Advertising Sponsorships Co-op Marketing Licensing Publications Joint Media Buys Trade Shows Funded by $14 fee paid to ESTA by travelers from 37 visa waiver countries The marketing fund created by the ESTA fee is capped at $100M annually ($100M ESTA funds + $100M private support) Brand USA 5

6 The Opportunity Global travel is booming expected to double to $2.1 trillion by 2020 Arrivals to the United States expected to increase 36% from 59.7 million travelers in 2010 to 81 million travelers in 2016 Equates to an additional $88 billion in revenues and 629,000 jobs 33 TRAVELERS Brand USA 6 Source: U.S. Travel Association

7 Successes Achieved FY2012 Funding Target Maximized the 2:1 Match = $100 Million in Federal Funds Launched Successful Campaign in Canada, the UK and Japan Driving Intent to Visit Established International Representation in 8 markets Began Tourism Exchange Year with Japan Completed First Sales Mission to India Significantly Increased Global Tradeshow Presence Developed Successful Partnership Programs and Strong and Growing Partnerships with more than 260 Leading Brands in the Travel Industry Brand USA 7

8 Brand USA Gratefully Acknowledges the Generosity of its Partners

9 Brand USA Marketing Campaign Fresh Unexpected Welcoming Awesome Possibilities

10 Perceptual Barriers Brand USA 10

11 Experience Pillars The USA of Awesome Possibilities Brand USA 11

12 Marketing Mix TV Print Out-of-Home Digital International Representation Tradeshows PR

13

14 :60 SPOT VIDEO ROLLS

15 Print Emphasizes Experience and Provides Co-Op Advertising Opportunities Brand USA 15

16 Out of Home is Bold Brand USA 16

17 PR is Targeted and Effective Brand USA 17

18 Global Representation is Growing Operating United Kingdom & Ireland Germany, Austria, Switzerland Japan Korea Brazil* Canada* RFPs Issued Greater China (China, HK, Taiwan) Jan 2013 start Oceania (Australia, New Zealand) Jan 2013 start India (RFP Nov st qtr. 2013) France (RFP Nov st qtr. 2013) Mexico, Italy, Dubai, Benelux, Nordic (TBD) * Trade Only

19 Events & Tradeshows Expanding the USA s Trade Presence Globally + 230% + 28% + 30% Brand USA serves as a unifying element for representing U.S. travel and tourism interests globally. USA Pavilions aggregate featured destinations and amplify our experience pillars. + 26% + 30% 2012 v v 2010 Brand USA 19

20 And It s Working

21 Intent to Visit is Up in each of the Launch Markets Japan Tokyo + 14% Canada Toronto Montreal Vancouver + 12% + 14% UK London Brand USA 21 Source: Hall & Partners Pre- and Post-Wave Campaign Tracker Japan: Pre-Campaign Intent to Visit 59%; Post-Campaign Intent to Visit 67% UK: Pre-Campaign Intent to Visit 51%; Post Campaign Intent 58%

22 What s Next? Continue Campaign Roll Out Expand Partnerships and Programs Expand Global Representation

23 Campaign 2.0 Phase II Campaign Roll-Out Freshening Campaign Roll Out: First Quarter 2013 More Specific Calls to Action Co-Op Opportunities Relaunch Canada Japan United Kingdom Australia Brazil South Korea Brand USA 23 Future Markets France Switzerland Mexico Argentina China India Germany Spain Netherlands Italy

24 Market Selection Variables Brand USA 24

25 Engaging the Airports The International Airport plays a pivotal role for our international visitors first experience as they arrive in the US and a ideal partner for Brand USA: Our international airports can make the visitor feel welcome and show we are happy they have arrived Be a conduit for information, so the traveler is better informed and feels they are entering a warm environment Become a marketing tool for access within the US Become a partner in bringing new visitors to the US Brand USA 25

26 Partnership Opportunities Co-op Advertising Brand USA Led Partner Led Joint Media Planning and Buying Publisher Co-ops Turn-Key Media Co-op Official Inspirational Guide Digital DiscoverAmerica.com Trip Tuner Native Content Creation Social Media Other Opportunities Fam Tours International Representation Network Trade Shows and Sales Missions Research

27 Thank You Travel Industry on Twitter TheBrandUSA.com Consumer on Twitter Facebook.com/DiscoverAmerica DiscoverAmerica.com

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