Off the Charts. Alabama Gulf Coast Convention & Visitors Bureau 2007 Annual Report
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1 Off the Charts Alabama Gulf Coast Convention & Visitors Bureau 2007 Annual Report
2 2007 Dear Industry Partner, 2007 will be remembered as the year that the Alabama Gulf Coast achieved unsurpassed success and growth as a premier vacation destination. Nearly 4.7 million individuals choose to dip their toes in our powdery soft sand and leave behind $2.3 billion in travel-related expenditures. Any skeptics of our success were silenced as this area proved 2006 s recordbreaking numbers were not an accident by breaking those records in Even with the continued expansion of our lodging inventory, which grew by 940 units in 2007, the Alabama Gulf Coast saw a 19.7% increase in lodging revenue over This growth was not concentrated in just one period as three of the four seasons in 2007 saw a double-digit percentage increase over the previous year. Meanwhile, the 5.1% decrease in retail sales reflects the status of our national economy and does not accurately reflect our robust hospitality and tourism industry. Claiming the number one ranking became a common occurrence in 2007 as we accounted for the largest percentage of the state s $1 billion in lodging revenue in addition to our continual hold on the market share over the five competing Florida panhandle counties. If 2006 proved the Alabama Gulf Coast was back, 2007 announced that we are here to stay. As we move into a new year of challenges, we look forward to a prosperous Herbert J. Malone, Jr. President/CEO 2007 Board of Directors Grant Brown, Chairman Craft Farms Bill Brett, Vice Chairman Brett/Robinson Gulf Corp Leonard Kaiser, Secretary-Treasurer Kaiser Realty Robert Craft Craft Development Corporation Gulf Shores City Council Sheila Hodges Meyer Real Estate Pedro Mandoki Mandoki Hospitality Group Susan Mason Orange Beach Fishing Association Frank Reed Reed Real Estate Tommy Robinson Brett/Robinson Gulf Corp Jeff Silvers Swift Supply Orange Beach City Council Mark Stillings Kiva Dunes David Worthington Magnolia Springs Bed & Breakfast
3 Advertising Print advertising continued with its message porytraying a vibrant destination where families and loved ones can create lasting memories. Particular focus was placed on increasing the overall cost-effectiveness of our print advertising. Several publications performed particularly well and our overall cost per inquiry was lower. Country Home Inquiries received % increase Return on investment $ % increase Reader s Digest Inquiries received % increase Return on investment $ % increase Southern Living Inquiries received 11,461-25% increase Return on investment $ % increase Average cost per inquiry $3.37-3% lower Internet Marketing Internet marketing contined to be the most successful form of paid advertising. With increased attention placed on boosting the effectiveness of our online efforts, our internet program showed substantial gains in Visitors to GulfShores.com 3,033,164-16% increase Visitors to GolfGulfShores.com 382,915-13% increase Industry Partner impressions 40,768,893-40% increase Industry Partner clicks 2.704,079-27% increase Industry Partner booking clicks 164,216-12% increase Amount spent on Internet advertising $343, up 1% Converted Inquiries (CVIs) 174,283-44% increase Average cost per CVI $ % lower New in 2007 RSS feeds (What s Biting and news releases) 81,914 downloads
4 Public Relations A re-energized focus on public relations efforts resulted in a steady stream of publicity for the area. Throughout the year the CVB obtained extensive local, regional and national coverage in print, broadcast and electronic media economic impact summary 3 print stories Memorial Day and early summer releases 10 print Alabama Gulf Coast Zoo 14 print Thunder on the Gulf 10 print Governor s Conference 4 print Coastal Living Idea Cottage 3 print Wal-Mart FLW fishing tournaments 21 print ( including web articles) Oberto Redfish Nation fishing tournament 18 print ( including web articles) Fall bird banding at Fort Morgan - 6 print and 2 TV stories National Shrimp Festival - 15 print and 31 TV mentions Kaiser Realty Turkey Day Classic 4 print and 1 TV story Summer economic impact summary - 5 print and 1 TV story Additionally, the CVB hosted two major press trips and several individual trips, bringing 47 journalists to write about our area. Group Sales The sales department had a very busy year, resulting in an outstanding increase in number of definite room nights booked. Definite room nights booked 13,960-61% increase Information requests fulfilled % increase
5 Hospitality and Information Our Hospitality and Information department assisted a record number of guests at our Welcome Centers. Total inquiries 77,419-1% increase Visitors to Welcome Centers 141,090-53% increase Orange Beach Welcome Center 76,950 Gulf Shores Welcome Center 64,140 Special Projects The CVb is proud to provide resourses that are the driving force behind many local, regional and statewide tourism efforts. Highlights from 2007 projects and partnerships include: Launched the Battle of Mobile Civil War Trail and co-hosted opening event Hosted Disney s Keys to Excellence program for local hospitality industry Launched a new Nature Tourism Iniative in partnership with Mississippi Sea Grant Hosted the state s tourism industry at the Alabama Tourism Partnership s Governor s Conference on Tourism. Visitors to Baldwin County in 2007 Established Five Star Hospitality, 4.7 million a customer service certification 5% growth program in partnership with Travel-related employment Faulkner State Community College. in Baldwin County in ,969 jobs 8% growth Travel-related wages and salaries in Baldwin County in 2007 $908,763,692 12% growth Travel-related expenditures in Baldwin County in 2007 $2.27 billion 16% growth Source: Economic Impact of Alabama Travel Industry 2007 Center for Business and Economic Development, Auburn University Montgomery
6 Alabama Gulf Coast Convention & Visitors Bureau Income and Expense Statement for FY 2007 Account Name FY 2007 Actual % of Actual Revenue Tax Revenue $4,708, % Grants $36, % Tourism Summit Sponsorships $16, % Other Revenue $9, % Interest Income $24, % Total Revenue $4,795, % Personnel Expenses Salaries, Taxes, Benefi ts $1,242, % Total Personnel Expenses $1,242, % Direct Promotional Expense Advertising $1,232, % Convention Services $24, % Fam/Site Tours $53, % Fulfi llment $18, % Phone $69, % Postage $114, % Promotions/Promotional Materials $207, % Travel & Trade Shows $14, % Travel & Entertainment $63, % Research $178, % Total Direct Promotional Expenses $1,975, % Operational Expense Building Repair & Maintenance $64, % Computer Equipment/Maintenance $114, % Dues & Subscriptions $41, % Equipment Lease & Rental $36, % Equipment Repair & Maintenance $61, % Insurance $114, % Licenses & Taxes $ % Local Meetings & Travel $41, % Professional Development $24, % Professional Services $13, % Rent - Gulf Shores Offi ce $48, % Supplies $30, % Utilities $61, % Miscellaneous $6, % Debt Service $119, % Debt Service - Interest $148, % Total Operational Expense $928, % Transfers to Special Events Fund $162, % Transfer to Emergency Reserve Fund $100, % Total All Expense $4,408, % Net Revenue Over Expense $386, %
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