Item Coversheet

NEW BUSINESS  9.

COMMITTEE MEMORANDUM

TO: Finance and Economic Resiliency Committee Members


FROM:
Alina T. Hudak, City Manager


DATE: March 30, 2022


SUBJECT:DISCUSS THE GREATER MIAMI CONVENTION AND VISITORS BUREAU PARTNERSHIP PLANNING WITH THE CITY OF MIAMI BEACH.

HISTORY:

On January 20, 2022, the Mayor and City Commission requested a referral to the Finance and Economic Resiliency Committee (FERC) to discuss the Greater Miami Convention and Visitors Bureau (GMCVB) partnership with the City of Miami Beach, to include a presentation by the GMCVB to provide an update on the Miami Beach Convention Center (MBCC) sales, bookings and Miami Beach destination marketing goals. 

 

The City has been contracting with the GMCVB since 1984 for the purpose of promoting the Miami Beach Convention Center (MBCC) and Miami Beach as a destination. The GMCVB is primarily responsible for marketing, pursuing, and securing MBCC sales and Miami Beach destination marketing. Together with the City, MBCC management, Oak View Group (OVG360), formerly Global Spectrum L.P. (Spectra), and Sodexo Live!, formerly Centerplate, the GMCVB is responsible for pursuing large and long lead business bookings, with OVG360 and Sodexo Live! typically focusing on shorter term business.

 

The GMCVB, in collaboration with the City and the Miami Beach Visitors and Convention Authority (VCA) engages in local, regional, national and international marketing and communications of Miami Beach as the overall destination and MBCC, as a venue destination in an effort to promote Miami Beach tourism, with the goal of MBCC and Miami Beach as a destination by or through marketing to secure hotel room nights in the City, and to further enhance the City's tourism economy. 

 

On June 23, 2021, the Mayor and City Commission accepted the FERC recommendation and approved a Destination Marketing Agreement with the GMCVB, which Agreement included (1) a term of five (5) years, provided the City may terminate the Agreement for convenience upon 120 days prior written notice; (2) a Base Fee to the GMCVB comprised of ten percent (10%) of the two percent (2%) City Resort Tax (less a collection fee of four percent (4%)); and (3) an Incentive Fee up to $2,000,000 based on the GMCVB's ability to achieve performance metrics, as more particularly described in the adopted Resolution 2021-31755.

ANALYSIS:

The new Agreement between the City and GMCVB, enhances on the terms of the previous agreement and provides for more creativity, technology and collaborative synergy amongst the City, GMCVB and other tourism stakeholders (e.g., VCA). The Agreement is divided into three (3) areas of performance: (1) Promotion and Sales of the Miami Beach Convention Center and Campus, (2) Promotion and Destination Marketing of the City; and (3) leadership membership in the GMCVB administration and operations of the promotion and marketing of the Greater Miami community as a destination and economic driver.

 

In addition, the GMCVB, directed their pubic relations agency, VMLY&R (a top-ranked agency), to begin a full market analysis and rebrand of the City of Miami Beach. 

 

Since June 2021, The Tourism and Culture and Communications Departments have been working closely with the GMCVB and VMLY&R in the marketing and promotion of Miami Beach Live! and the Miami Beach reimaging campaigns. 

CONCLUSION:

The following is presented to the members of the Finance and Economic Resiliency Committee for discussion. The GMCVB will provide an update on their efforts towards the Miami Beach Convention Center (MBCC) sales, bookings and Miami Beach destination marketing goals. 

Applicable Area

Citywide
Is this a "Residents Right to Know" item, pursuant to City Code Section 2-14? Does this item utilize G.O. Bond Funds?
No No 

Strategic Connection

Prosperity - Market and promote Miami Beach as a world class arts, culture, and quality entertainment destination.
ATTACHMENTS:
DescriptionType
Exhibit A - Resolution 2021- 31755Resolution