Washington Tourism Alliance — COVID-19 Impacts on Tourism (House Committee, January 12, 2021)
Summary
Slide presentation by the Washington Tourism Alliance to the House Committee on Community and Economic Development, dated January 12, 2021. The slides recount that the state tourism office was closed by the legislature on June 30, 2011 and that a new tourism program was established in 2018, with release of funds contingent upon a 2:1 industry match and deposits limited to $3 million per biennium. On COVID-19 impacts, they state a 75% reduction in visitor expenditures (more than $8 billion) in Washington State since March 1 and a 50-70% loss of budget at destination marketing organizations since March. The slides close with an industry request for $12 million in WTA programs and name Becky Bogard and David Blandford.
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“Washington Tourism Alliance — COVID-19 Impacts on Tourism (House Committee, January 12, 2021).”
Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2021-01-12-a28156-d224188-washington-tourism-alliance-covid-19-impacts-b16f2e58ef/
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Washington Tourism
Alliance
House Committee on
Community and
Economic Development
January 12, 2021
Washington Tourism Alliance History
• Washington State languished at or near the bottom of
all state budgets for several years
• On June 30, 2011, the state tourism office was closed
by the legislature
• The tourism industry came together and founded the
Washington Tourism Alliance
• Seven years of tourism advocacy followed
• Finally, in 2018, a new tourism program was
established
Tourism Marketing Bill Calls For:
• A contract with a non-profit statewide tourism
marketing organization in existence on the date of
enactments whose sole purpose is to increase tourism
visitation and expenditures
• Focus on (but not limited to)
‐ Rural tourism-dependent counties
- Natural wonders
- Outdoor recreation
- Attraction of international tourists
‐ Assistance for tourism areas adversely impacted by
natural disasters
‐ Cooperation with local tourism organizations
Funding – No New Taxes
• Total of $3 million - $3 million from state to dedicated
account and a $6 million private match over a biennium
• 0.2 percent of existing general sales taxes collected on
retails sales of lodging, restaurants and rental cars will be
deposited into the Statewide Tourism Marketing Account
• Deposits are limited to $3 million per biennium
• Release of funds contingent upon 2:1 industry match
• Example: $20,000 investment to WTA for an international
trade show would release $10,000 from state.
• Industry match may include some forms of in-kind
contributions
Washington Tourism Marketing
Authority
• Comprised of a diverse selection of tourism professionals
from around the state, appointed by the Governor
• Contracts with an entity to market Washington as a tourist
destination
• Defines what can be used for match funding
• Measure the return on investment of the marketing program
Contract Signed
• December 2018: WTA signs contract
with the WTMA and the Department of
Commerce to market Washington State
as a tourism destination
• July 2019: State funding begins
The WTA is the Tourism Industry
• Destination marketing organizations
• Economic development organizations
• Attractions
• Arts/culture
• Lodging
• Resorts
• Wine/beer/spirits
• Retail
• Restaurants
• Transportation
• Tribes
• Adventure/recreation
• Education
WTA Regional Representation
• Northwest: San Juan, Island, Whatcom and Skagit Counties
• Olympic Peninsula: Clallam, Jefferson, Grays Harbor and
Mason Counties
• Southwest: Pacific, Lewis, Wahkiakum, Cowlitz, Clark and
Skamania Counties
• Northbrings
Puget us closer
Sound:to nature,
Snohomish and King Counties
• South Puget Sound: Pierce, Kitsap and Thurston Counties
• Northeast: Okanogan, Ferry, Stevens, Pend Oreille, Lincoln
and Spokane Counties
• Southeast: Adams, Whitman, Garfield, Asotin, Columbia and
Walla Walla Counties
• North Central: Douglas, Chelan, Kittitas Counties
• South Central: Yakima, Klickitat, Grant, Franklin and Benton
Counties
Industry Impact &
WTA Recovery Programs
Travel and tourism Industry
disproportionately hurt by COVID-19
U.S.:
• 9 times more damaging to the tourism industry than 9/11
• Full industry recovery projected to take 3-5 years
Washington State:
• 75% reduction in visitor expenditures (more than $8 billion)
since March 1
• 42% of all unemployment related to the pandemic
Tourism Industry Impact
on State Economy
“Because such a large share of job losses are related to travel,
an economic recovery can only come through a restoration of
travel to and within Washington State.”
- Adam Sacks, President of Tourism Economics
State DMOs Critically Impaired
State’s network of 20 non-profit destination marketing
organizations severely limited by pandemic
funding shortfalls:
• 50-70% loss of budget since March
• More than half of employees laid off or furloughed
• Projected DMO funding from lodging tax revenue expected to be seriously
reduced in 2021
Tourism industry:
Asd segmented but synergistic
Destination Marketing Organizations (DMOs) – stimulate demand, support jobs
Tours and transportation – Bring visitors
Hotels and restaurants (hospitality) – accommodate and serve visitors
Meetings and events – generate economic impact and lodging taxes
Outdoor recreation – disperses visitors around the state
Cultural institutions – offers heritage and history
Tribal attractions – educate visitors, sustain tribal operations
Attractions – exhibits/events lure visits
Retail shops – increase expenditures and tax receipts
Washington Tourism Alliance Priorities
Industry Recovery and Development
Serving:
• Rural and underserved communities
• BIPOC, small and micro businesses (80% of industry)
Relief Programs:
• Grants
• Technical assistance
• Industry training and education
• Wrap-around services
Long-term Economic Recovery and Resiliency
• Stimulate visitor expenditures
• Generate tax receipts
• Re-generate tourism jobs
ShowWAlove.com
WTA is Re-Investment in Tourism Industry
• Co-op programs at low and no-cost to the industry:
o Sales leads to state businesses
o Travel trade marketplaces
o Consumer data/analytics
o Marketing tools and collateral
• Recovery campaigns for communities and small businesses
• Industry recovery/resource site
• Destination research +39 county reports, consumer analytics
WTA Public-Private Partnership in Recovery
• 2018 enabling legislation with 2:1 private/public matching
program - $3 million per biennium:
• Industry matching funds from every state region
• Washington State general funds
• WTA membership/partnership funds to date - $2.6 million
• New partnership with Port of Seattle - $1.5 million in 2021
• Pursuing EDA grant for industry recovery
• Pursuing corporate support for industry development/marketing
Critical Factors in Industry Recovery
• Industry request for $12 million in WTA programs that help
restore the state’s hardest-hit industry:
• Generate tourism demand for Washington communities and businesses
• Sustain recovery market share with competing Western states
• Attract future private sector/corporate investment by demonstration of a
successful tourism marketing program
Thank you!
Becky Bogard
206-979-0326
becky@bogardjohnson.com
David Blandford
206-713-8314
david@watourismalliance.com
www.ExperienceWa.com
www.WaTourismAlliance.com
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