The one thing both of our presidential candidates agree on is that rebuilding America’s strong economy is Job One. Did you know you can have a direct hand in our economic growth simply by making a destination’s convention and visitors bureau (CVB) the first stop in your meeting planning process?
Many meeting planners see great value in working with CVBs because of the knowledge, services, and leverage they provide. But, if you don’t fully understand the purpose and structure of the CVB, the fact that they are free of charge to you, and at the same time benefit their communities, may seem too good to be true. Here’s the explanation for how and why this win-win system works for everyone.
CVB = Community Revenue
All CVBs are not-for-profit organizations primarily funded by their local governments, usually through a portion of hotel occupancy taxes. Their mission is to promote the long-term development and marketing of a destination, focusing on convention sales, tourism marketing, and service. As the tourism marketing arm of the destination, the CVB is responsible for creating public awareness about their destination and, ultimately, booking the meeting and event business that feeds the economic engine of the region.
Travel and tourism enhances the quality of life for a local community by
- providing jobs
- bringing in tax dollars for improvement of services and infrastructure
- attracting facilities like restaurants, shops, festivals, and cultural and sporting venues that cater to both visitors and locals
Now that’s a great government stimulus investment.
Member vs. Non-Member
Approximately 50% of all CVBs have dues-paying members – hotels, restaurants, attractions, and other businesses that benefit from tourism – and the other 50% are completely government funded. Regardless, the first-and-foremost goal of either a membership-based or non-membership CVB is to market the entire destination by providing expert assistance, education and guidance to you, the client.
Regardless of organizational structure, every CVB’s goal is the same: to successfully market the destination by satisfying the needs and desires of the customer. Regardless of the CVB model – membership or non-member — you can be confident that your RFPs will get to the right properties.
Here’s a little insight on how each structure works.
Membership-based bureaus are funded by a combination of lodging taxes and annual membership dues from the hotels, convention facilities, and local businesses within their destinations; there may be additional sources of revenue, such as public or private funding as well. Typically, hotel bed taxes comprise approximately 79 percent of their total revenues, while membership dues fund a much smaller portion.
Non-member bureaus are totally funded by their local governments, much like the fire department, police department, and education. But unlike those non-revenue producing departments, the local government’s investment in the CVB is offset by the revenue the CVB generates and which helps to underwrite the cost of the community’s firemen, police, and teachers.
You’re a Hero!
So, when it’s time to find a location for your next meeting or event, first go to empowerMINT.com to be connected to CVB destination experts. While serving the best interest of your organization and meeting attendees, you are also creating jobs, providing much-needed community programs, and stimulating the economy. Way to go!