2006 Marketing Plan

1

• 2006 Marketing Plan

2
Agenda

• Situation (pgs. 4-24)
• Environment economy, trends, opportunities/challe
  nges
• Targets demographics, visitor data, markets
• Seasonality summer, winter
• Competitive landscape
• Objectives (26-28)
• Strategy (29-32)
• Tactics (33-53)
• Key Messages/Relationships/Evaluation
• Budget (54-62)
• Recommendation (63-65)
• Appendix (66-103)
• Department deep dives
• RRC visitor snapshot

Note Appendix focuses on department level
detail, and any notes to the plan
3
Procedure

• The BRCs marketing plan procedure included
  several meetings inviting key and interested
  members of the marketing community to
  participate, and offer input or feedback.
• Marketing Vision Plan group invited, with a few
  attendees participating
• Working plan shared at Retail and Sales/Marketing
  forums
• BRC Board of Directors involved on a continued
  basis, and approved the plan

4
Situation

• What main factors impact the marketing plan?
• Environment
• Targets
• Seasonality
• Competitive landscape

5
Situation Environment

• Economy
• Indicators of upswing (since 2001)
• Relatively strong exchange rate, trending upward
  
• USD to EUR (Euro) 1.23 (8/10/05)
• USD to GBP (British Pound) 1.79 (8/10/05)
• Lower Inflation, job growth, rising consumer
  confidence
• Travel spending habits healthy currently
• Regard with caution due to potential inflationary
  pressures
• High oil/gasoline prices impacts air car
  travel
• Domestic/International leisure travel on rise
• Terrorism remains a threat (Iraq, London
  Bombings)
• Since July low (Source x-rates.com)

6
Situation Environment

• Trends Travel Tourism
• Colorados third largest industry is tourism
• Colorado ranks 38th of 50 states in tourism
  funding
• 2006 election year (gubernatorial)
• Internet remains strong 79 search online 39
  book online
• 50 search/ book by phone
• Time poverty shorter booking window, more
  frequent trips, shorter visits
• Consumers are still searching for the deal
  (comparison shopping)
• Packaging remains popular
• Heritage and cultural travel is gaining
  popularity
• Fierce competition within tourism sectors (i.e.
  beaches, cruises, casinos, national parks, etc)
• Source RRC Survey Data, 2004-05
• 2005 Mt Travel Symposium (and Overture)
• Yahoo Search Marketing

7
Situation Environment

• Trends - Travel Tourism
• Guests want experiences (i.e. renting a luxury
  car)
• Consumers looking for value and more
  personalization
• Guests want to reconnect with families
  friends
• More to a ski vacation than skiing guests
  seeking variety of activities
• Events and festivals big draw for travelers

Source Travelocity Post 9/11 Survey (published
on About.com, 8/23/05)
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Situation Environment

• Trends - Travel Tourism
• Group travel has increased continues to rise
• Group meeting budgets for training increasing
• Destination weddings 15 of total market (up 3x
  in 5yrs.)
• Fly Market vs. Drive Market
• Mixed feelings about flying remain
• Summer drive market was steady given record high
  gas prices (although 69 of consumers perceived
  prices a hardship in fall poll)
• Trend car rentals to offset gas-guzzling SUV
  travel
• Closer-to-home travel expected over next six
  months
• Keep watch on hurricane scenario(s)/impacts

Sources Travelocity Post 9/11 Survey (published
on About.com, 8/23/05) Market
Watch, Gas Prices Cause Financial Worry, 8/12/05
USA TODAY/Gallup/CNN poll, 9/2/05
Denver Post, The New I Do, 8/21/05
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Situation Environment

• Trends - Travel Tourism
• 2004/2005 Ski Industry
• 56.4MM total skier visits (compared to 57.1MM in
  2003/2004)
• Colorados third best season on record
• 11.8MM Colorado skier visits, or a 4 lift
  (compared to 11.3MM Colorado skier visits in
  2003/2004)
• 3.6MM visited Colorado Destination Resorts
• 6.9MM visited Front Range Destination Resorts
• 1.25MM visited Gems/Front Range Resorts
• 1.47MM skier visits to Breckenridge
• 11,329 season passes sold in Rockies flat to
  prior year
• International visitation during the 2004/2005 ski
  season up to 6.1 from 5.5

Source RRC Survey Data, 2004-05
10
Situation Environment

• Trends - Media
• Media (esp. internet ), circulation and printing
  costs on rise
• 2006 media rate inflation 8 (projection)
• Tourism marketers are shifting budgets from
  traditional media, buying more new media
• Experiential (events), video-on-demand, satellite
  radio on rise
• The BRC actively markets via experiential
  (events), internet, and direct marketing
  channels.

Spot and broadcast tv migration largely
attributable to DVR (TiVo) usage. (Sources
Adage.com, Broadcast Networks Rattled by DVR
Inroads, 4/12 also Media Week, Radio Under
Siege, 4/11)
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Situation Environment

• Opportunities and Challenges
• Hold and Expand Market Share
• Remain competitive with other destinations given
  effective/efficient budget allocation
• Maintain strong brand positioning in qualified,
  productive markets
• Continue to market Breckenridges unique
  attributes to qualified niche markets
• Communication and Education
• Continue to communicate and educate community on
  marketing efforts of the BRC
• Done through marketing open houses, Town
  Council, Retail Lodging Forums, Newsletters,
  Annual Report, SDN columns, Mixers, etc
• Community Partnerships
• Cooperation between the town, ski area,
  non-profits, sponsors, mountain bike groups, etc.
• BRC keeps abreast of and supports community-wide
  efforts

12
Situation Targets and Seasonality

• BRC targeting foremost considers
• Demographics, geography, and seasonality
• Behavior
• Spending and travel i.e., the Core Leisure
  Traveler remains the overarching target
• Activity desires/interests
• Niche markets
• Emphasis on aligning Breckenridge attributes
  (like mountain biking, cross country skiing) with
  niche markets for effective reach
• i.e. Mountain Biking Magazine story (to hit in
  2006)

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Situation Targets and SeasonalityDemographics

• Winter
• Age - 37
• M/F - 55/45
• HH Income - 119,400
• OOS - 70
• Intl. - 9 (62 UK)
• 
  Family Status
• Single w/o Kids - 28
• Couple w/o Kids - 22
• Couple/Single w/ Kids - 39
• Empty Nesters - 11

• Summer
• 40
• 45/55
• 98,200
• 76
• 5 (40 UK)
• 27
• 26
• 33
• 14

Source RRC Survey Data, 2004-05 (Summer and
Winter surveys)
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Breckenridge Visitor DemographicsFamily Status
Seasonal Comparison
Key Insights People with kids visit Breckenridge
year round 5-gt10 more than other groups,
favoring winter, while singles (without kids)
tend to favor Breckenridge in the winter.
Source RRC Survey Data, 2004-05 (Summer and
Winter surveys)
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Situation Targets and Seasonality

• Core Visitor Stats (avg. Summer/Winter)
• Repeat visitation 71
• Rent unit 66
• Persons - 4
• Nights 5
• Seasonal marketing split
• 50/50 Summer/Winter, given that
• BSR markets most aggressively in winter
• BRC Summer efforts ensure overall marketing
  support of a year-round sustainable economy
• BRC markets Winter as strongly to capitalize on
  ski season

Source RRC Survey Data, 2004-05 (Summer and
Winter surveys see appendix for combined
seasonal survey stats) Note Based upon
Summer/Winter averages
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Situation Targets and Seasonality

• Visitation by geographic area
• 72 Out of State
• 11 Colorado Overnight
• 5 Day
• 4 Local Resident/2nd Homeowner

Note Average Summer/Winter Source RRC Survey
Data, 2004-05 (Appendix Visitor Snapshot)
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Market Selection

• Primary markets
• Colorado
• Texas
• Florida
• Illinois
• Georgia
• Missouri/Kansas
• Secondary markets
• California
• New York/New Jersey
• Louisiana
• Oklahoma

Note Market selection/Database profiling is
pulled from the Breckenridge Central Reservation
database from 2001-2005.
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Performance Based Media Selection(within target
markets)

• The majority of spending is allocated to media
  which is
• Adjustable during schedule
• Performance based, tracked by call volume
• Monitored continually
• Supportive of not only call volume, but
  conversion

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Market Selection

• Rationale for market selection
• Strong visitation from OOS markets (72)
• Markets are highly qualified
• Defined as top ranking BCR revenue visitor
  sources over past five years
• Brand is well established within markets
• Building out success stories is efficient and
  effective
• Selecting established markets supports and
  perpetuates repeat visitation (71).

Source Market selection/Database profiling is
pulled from the Breckenridge Central Reservation
database from 2001-2005 and RRC
survey results. RRC Survey
Results, Summer/Winter 2004-05
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Market Approach

• Primary Markets
• Focus media placement and promotions in primary
  markets (in addition to integrated efforts such
  as trade shows, PR, etc.)
• Colorado
• Texas
• Florida
• Illinois
• Georgia
• Missouri/Kansas
• Secondary Markets
• 1) Bulk of exposure is non-advertising (such as
  trade shows, PR exposure, etc.)
• 2) Also consider media and promo investments
• California
• New York/New Jersey
• Louisiana
• Oklahoma

Note Market selection/Database profiling is
pulled from the Breckenridge Central Reservation
database from 2001-2005.
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Incremental Marketing Exposure

• National and international exposure rounds out
  selected markets, obtained through
• Sales shows
• National and international media
• Internet marketing
• Co-ops with Colorado Tourism Office
• National efforts strive to reach travel
  influencers (media, travel agents, meeting
  planners)

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Market Selection Alternatives considered

• Alternative option Market only to highest per
  capita income markets
• Rationale for option High disposable income,
  therefore higher travel budget
• Why pass on the option?
• Focusing and efforts on brand developed,
  qualified areas is more targeted and cost
  efficient, while less exploratory/risky, given
  budgets

23
Competitive Landscape

• Competitive Sets
• I-70 Corridor/ Western Slope/ Northern Colorado
• Winter Park, Keystone, Copper Mountain, Vail,
  Aspen / Snowmass,
• Steamboat Springs
• Southern Colorado
• Durango, Telluride, Gunnison / Crested Butte
• Out of State Mountain Destinations
• Jackson Hole, Whistler, Ski Salt Lake, Lake
  Tahoe, Mammoth,
• Taos
• Additional Competitors
• Cruise lines, Disney, Beach Resorts, State Parks

24
Competitive Landscape

• Competitive Set Shared Attributes
• Destination
• Events
• Activities
• Shopping
• Dining
• Après Ski
• Services

Unique Breckenridge Attributes What sets us
apart? A Real Town with a world class
resort Historical uniqueness Dynamic visitor
base/unique demos Town and resort
proximity Accessibility Convenience (public
transportation) Value Friendly environment Year-ro
und events/activities BCR Relationship One Stop
Shopping/Booking Nightlife World Class events
Unique attributes may exist at other resorts,
but are maximized in Breckenridge and aligned
with brand essence.
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Objectives, Strategies and Tactics
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Objectives

• Promote Breckenridge
• Maintain visitation during peaks/build during
  valleys
• Thereby, drive business/support local economy
• As Breckenridge Resort Chamber Marketers, support
  local economy by
• Preserving historic character and staying in
  tune with our attributes
• Maintaining community character so that we and
  our visitors might
• Live, work and play in a cohesive, diverse, safe,
  friendly and peaceful community
• Supporting economic vitality

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Objectives, continued

• Help sustain and grow Breckenridge Central
  Reservations
• Guest focus
• Provide best service to guest through
  credibility, objectivity, guest service, one-stop
  shopping, personalized service
• Local business representation via BCR
• Direct bookings (4.9MM, 2004-05)
• Offer lodging partners opportunities to obtain
  fair market share in Breckenridge

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Again, whats the right amount of marketing
exposure?

• Maintenance levels in proven markets, focusing
  efforts to build up valley visitation periods
• Peak and Valley visitation awareness
• Key objective driving strategy and tactics

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Strategic Approach

• Marketing the Experience
• 60 of integrated BRC efforts are focused on
  bringing guests to Breckenridge.
• Supported by each department

Note Examples of banner ad creative
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Strategic Approach

• Managing the Experience
• Efforts to enhance the guest experience (once
  visitors are brought to Breckenridge) are 30 of
  the BRC combined focus.
• Supported by each department

31
Strategic Approach

• Community Partnerships
• 10 of BRC efforts and resources are focused on
  harmonizing local efforts in the business
  community, and working with partner
  organizations.
• Supported by each department

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Integrated Strategic Approach
Build Community Partnerships
Market the Experience
Manage the Experience
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Tactical Approach

• Blended Branding and Call to Action marketing
• Branding conveys and builds Essence of
  Breckenridge A historic, friendly real town
  boasting world class events and activities
• Call to Action supports Breckenridge Central
  Reservation goals
• Majority of allocation is toward measurable
  media, adjustable for performance

34
Tactics Blended Branding/Call to Action

• Message and placement tactics maximize
• Messages focus on Branding priorities (Historic
  Town Real Town, Friends Welcome Events
  Activities)
• Branding incorporated where possible
• In all marketing materials, brand is reflected
  via
• Logo A Real Town, Friends Welcome
• Color (blue represents sky, used year-round)
• Copy writing
• Font
• Images
• Placement focuses on utilizing media Call to
  Action environments
• Packages
• 800 ads in targeted media (travel) stimulate BCR
  bookings
• GoBreck.com promoted in every marketing effort

Note In marketing departments where media
placement doesnt apply, other communications
focus on Call to Action.
35
Integrated Strategic ApproachTactical Support


tactic
tactic
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Competitive Tactics

• How does the BRC market competitively?
• Targeted newspaper travel section advertising
• Creative conveys unique brand message
• Event marketing
• Electronic advertising
• Direct mail / email blasts
• Tradeshow participation
• Hosting groups and conferences
• Familiarization tours travel agents, media,
  meeting
• planners
• Coop advertising
• Press releases
• Leveraging PR relationships
• Promotions
• Vacation Planner
• Website
• Consumer database growth

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Integrated efforts support strategy How?

• Marketing the Experience
• Investing in key market
• advertising
• Add links to GoBreck.com on prominent tourism
  sites
• Search engine marketing
• Trade show marketing promotes Breckenridge to
  qualified audiences
• Increasing exposure of the Breckenridge brand
  assets (mountain biking, events, history)
• Events publicized in ad and PR messages

• Department
• Ad/Promo
• Internet
• Sales
• Public Relations
• Events

38
Integrated efforts support strategy How?

• Department
• Ad/Promo
• Events and PR
• Sales
• Internet

• Managing the Experience
• Local promotions stimulate business
• Events enhance the visitor experience
• Weekly Scoop (calendar of events) markets
  events effectively
• Provide vacation planners, meeting planner
  guides, personal group welcomes, photos, maps,
  activity info and restaurant guides to planners
  for their groups
• Provide information on activities and events

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Integrated efforts support strategy How?

• Department
• Events
• Internet
• Ad/Promo
• Sales

• Community Partnerships
• Enhance the visitor experience, build local
  camaraderie/community pride
• Maintain the BRC communications pieces online
  (Weekly Benefit Update, Newsletter)
• Way to Go Breck cards and co-op advertising
• Group report, Way to Go card for Group Sales,
  Sales and Marketing meetings, FAM tours

Note All departments support all strategy points
(see Appendix Deep Dives for detail)
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Integrated message support

• Call to Action
• Place call to action 800 ads in key markets
• Metrics Allow for ad tracking/call volume/BCR
  results
• GoBreck.com on collateral
• Metrics Web provides measurable media and
  traffic opportunities
• Provides critical online booking mechanism

• Department Capability
• Ad/Promo leads the charge by running trackable
  ads in targeted markets, driving BCR bookings
• Internet is a critical call to action partner,
  driving online bookings.

41
Integrated message support

• Call to action
• One-to-one face time marketing connections are
  made at industry trade shows (as BCVB)
• One-to-one marketing connections occur on the
  event site to drive repeat visitation/word of
  mouth
• Sponsor partners are activated to connect
  directly with the community and its guests

• Department Capability
• Sales specializes in qualified lead generation
• Events connect Breckenridge and its visitors in
  the experiential marketing channel

42
Integrated message support

• Branding
• Promotions convey the brand (ex. trade booths)
• New York Times readers made aware of Breckenridge
  assets (i.e., mountain biking culture)

• Department Capability
• Ad/Promo leverages for merchandising and brand
  building opportunities
• PR raises communicating Breckenridges brand
  assets to an evangelistic level
• Also, tailors diverse Breckenridge assets to
  different audiences/media outlets

43
Integrated message support

• Department Capability
• Sales custom -positions brand to key audiences
• Events deliver brand assets in a multitude of
  engaging, experiential and emotional channels

• Branding
• Conveys brand meaning and generates buzz within
  industry
• Communicates brand assets and essence in a
  festive, fun, relaxed setting

44
Department Goals

• Maintain market share with core leisure travelers
• Continue to develop niche markets and marketing
  channels
• Weddings, groups, event aficionados, reunions,
  unique story ideas, promotion presence in front
  of general audiences (opportunity to sell
  ourselves), heritage tourism, mountain biking,
  cross-country skiing
• Continue to secure added value

45
Effort Effect Exposure volume matters

• Based upon 2005 results, gt 317MM marketing
  exposures (via impressions, web sessions,
  database) helped generate 4.9MM BCR revenue.
• A strong correlation exists between marketing
  exposure and revenue.
• Casting a wider net catches
• more fish!

46
Qualitative Evaluation Criteria Experiences!
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Qualitative Evaluation Criteria Feedback!

• Feedback from the Meeting Planner FAM
  (familiarization trip) for Sales
• Would You Use the BCVB for Your Future Meeting
  Planning Needs?         Yes (10)               No
  (0)
• Why
• Very Professional,
• This was a wonderful experience and overall
  information,
• Great attitude and sincerity from people here-
  you cant buy that!

48
Qualitative Evaluation Criteria Testimonials!

• All in one servicesAnd the services they didn't
  offer, they pointed me to the best places to find
  the service requested.
• Customer survey from Central Reservations
• Breckenridge is a town drenched in color. 
  Purple ski shops, yellow pubs, pink restaurants
  and blue houses line Main Street, lending a
  cheerful air to a community thats already giddy
  with vacationing visitors.
• Ski Magazine

49
Qualitative Evaluation Criteria Testimonials!

• Several years ago we started a family
  tradition....winter vacation in Breckenridge
  Colorado...great skiing, fun shopping and
  fantastic dining! It's a great place to gather
  with friends and family. It's a fun town with
  real people - we love it!
• Will Adriana Gray - Kansas City
• We have received many compliments from cyclists
  about the warm welcome and hospitality they
  received in Breckenridge.
• Ride the Rockies Organizers

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Our Uniqueness Real People Marketing an
Authentic MessageOur love of Breckenridge!

• Both the product and the experience are enhanced
  by the BRCs integrated efforts
• Meaningful connections between the visitor or
  influencer are made by the BRC with both the
  product and experience.
• Personal relevance of the product is communicated
  to the visitor.
• We LIVE the EXPERIENCE we market
• BRC Marketing makes it real (Real people, real
  experiences, real recommendations, real
  connections Live it, love it, share it!)

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Recommendation

• Integrated marketing efforts should support the
  objective of peak maintenance and valley
  build, given visitation.
• Strategic support of marketing and managing the
  experience, and how community partnerships are
  built and utilized, should consider key
  environment, target, seasonality and competitive
  insights.
• Tactically, the three strategy tenets should
  focus on blended branding and call to action
  methods to effective utilize budgets.

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Recommendation

• BRC marketing serves the community in penetrating
  markets to create the exposure (including out of
  state and international) required for healthy
  tourism.
• BRC marketing makes it real for potential
  visitors by reaching into markets, creating
  economically supportive exposure and visitation
  that is typically cost-prohibitive to the area
  businesses.
• A real town. Friends welcome. works, and is
  the basis of BRC marketing successes driving
  results like 4.9MM reservations revenues, and
  overwhelmingly positive guest experiences.

Note RRC survey data reports high friendliness
ratings in Breckenridge.