HomeMy WebLinkAboutCOM 0353.004 2000-2002 tr '•;9
Nancy Pisicchio ~
~ Tel: (808) 326-5684
Council Member * Fax: (808) 326-5697
,
COUNTY COUNCIL
County of Hawai 'i
Kona Council Office
77-6399 Nalani Street, Suite 104
Kailua-Kona, Hawaii 96740-8980
September 24, 2001
MEMOI~NDUM
TO: James Y. Arakaki and Council _Members
FROM: Nancy Pisicchio, Chair~j'
Human Services and Economic Development Committee
SUBJECT: Meeting of September 21, 2001 to Address Big Island Visitor Industry Impacts and
Action Plan Following the September l ltn Terrorist Attacks
On September 21" I attended a meeting called by County R&D Director Jane Testa to address
deteriorating visitor industry conditions and social impacts following the recent terrorist attacks
on the World Trade Center and the Pentagon. Peter Young from the Mayor's Office and Rory
Flynn, HSEDC committee clerk, also attended.
The meeting was held at the old Honokaa Hospital to accommodate attendees from around the
island. For your reference, a list of business and visitor industry attendees and their contact
information is appended to this report.
Mayor Kim attended the meeting for one hour and provided an overview of his concerns and
proposed initiatives by Governor Cayetano. Additionally, the mayor will address Council
members on the state of our island economy at the HSEDC meeting on September 26th at 3:00
p.m.
For additional information, please see the following:
1. Minutes titled "Visitor Industry Short-Term Meeting of September 21, 2001" prepared by
Jane Testa. (5 pp.)
2. Big Island Visitors Bureau Level I 45-Day Action Plan (2 pp.)
3. News release from the Ironman Thiathlon World Championship
4. "What We Can Do," a statement prepared by the undersigned
5. Contact list of September 21" Meeting attendees.
I hope this information is helpful.
Comm. No.
File No.'
Ref. Toes
;~of. Iii*...e:. ~ .ll~l1~
Visitor Industry Short `g'erm Plan
l~deetin~ of September 21, 2001
9:30 a.m. - 3:00 p.m. - ~Ionokaa
I. The meeting was called to order at 9:30 a.m. Participants were thanked for attending. Self-
introductions were made. The purpose of the meeting was shared:
1 } to bring together those most affected in the visitor industry by the tragic events of September
11, 2001,
2) to share information for all to have, and
3) to discuss issues that will help move us forward in a united fashion.
II. Expected outcomes for the meeting were expressed as follows:
A. To communicate business level expectations.
B. Concerns for employees.
C. What is the plan for recovery?
D. Mayor's vision of what needs to be done and how it can be supported.
E. How to integrate input into larger plans (marketing, airlines, small businesses, pockets of
funding).
F. A short term and a long term plan.
G. A briefing from the mayor on his meeting with the governor.
H. A communication mechanism to keep everyone informed.
I. Build upon past successes/structure.
J. How the process continues?
K. Impacts on different market segments.
L. A timeline.
M. "What if' scenarios/strategy.
N. What county resources are available to supplement existing dollars. What is our portion of
the $10 million?
O. Tourism touches every aspect of the island. County to do assessment of impact.
P. Federal assistance?
Q. Expedite other large activities (i.e. saddle road, etc.).
R. Ensure/instill public confidence.
III. General input shared (During this time, Mayor also discussed his vision and outcomes of his
meeting with the Governor):
A. Discounts are working (Chart House, Mauna Lani,
B. Travel agents are diverting travelers from foreign countries to local destinations
C. Governor's actions:
1. Waived landing fees
2. iJII tuition waiver
3. Legislative special session to be held
4. Tourism committee formation
5. Banks reviewing loan policies
6. Will take trips to Japan, West Coast
7. Consider a reduction in the capital gains tax
8. Requests council on revenues adjustment
D. Need to continue to appeal to local kamaaina to support businesses.
E. Media attention re: Ironman; capitalize on it as much as possible. Not many cancellations.
F. Opportunity to tell the world "we're here for you," - "aloha" - "safe" - "healing"
G. Sensitively offer packages.
H. Travel agents won't send clients outside the U.S. but they will send them to Hawaii.
I. We need to make people feel safe and confident.
J. Theme: healing, safe, nice.
K. Once the step to travel is taken, they're not spending.
L. It would be interesting to do the demographics to do the demographics on who is coming,
regardless of 9/ 11. Look at who the marketing target is.
M. Approach churches sensitively.
N. Mark Twain quote: "Travel is fatal to prejudice, bigotry and narrow-mindedness. "
Choose messages to convey along Ironman route.
O. Floral businesses hurting.
P. Any uplink to Ironman website talking about Hawaii; supplemental events that are planned.
Q. Ironman (DBEDT study) direct spending about $15M and indirect spending about $26-30M.
R. Mayor will be available during different parts of Ironman
S. KCRA: September - "wiped out" Some cancellations through October, but most want to re-
book.
• Concern is for the FITs.
• 10-30% drop in occupancy through December
• Concern -employment (ideas needed, i.e. four day workweeks, unemployment benefits,
coverages available, etc.)
• Good marketing ideas needed -working with airlines, vendors. Discounts work. Partner
with airlines to promote Island.
T. Let's link and work together
U. The Japanese visitor is very important; international mix = 30%.
V. Important to show confidence.
W. Message is most important. BIVB's new plan:
1. October 8 Marketing blitz across the W. Coast.
2. Major advertising within 45 days.
3. Public Relations in major marketing areas.
4. Kamaaina Program: October 1 s,
5. Electronic advertising.
6. In concert with statewide effort (Current Events):
a) Kamaaina website is going up: bigislandkamaaina.com
b) California is the biggest market with 275,000 visitors/year (LA ~c SF areas).
c) Media trip to Japan.
7. See handout (BIVB 45-Day Action Plan) and BIVB 2001-2002 Marketing plan.
IV. As a result of the above discussion, the following lists the major issues needing to be addressed
immediately:
A. "MESSAGE" issues
1. How to send the message "we can visit the Big Island!"?
2. How to develop an integrated marketing message and plan of action?
3. How to instill public confidence?
4. Can local media be influenced to reflect positive efforts?
5. How to make message positive and full of confidence?
6. Cana "buy local" campaign be done?
7. What is the "united message" that goes out?
8. How to create a positive website?
9. How can we collaborate to develop the "healing island" theme?
10. How do we continue to network (communicate) around the island?
11. Can we have a common banner across the websites?
12. Can a unified statement be prepared and presented to the Council by the Mayor?
13. Who can do a press release about this meeting? (HIEDB).
B. "WOIZKFOIZCE" Issues:
1. How can we assist employees (workforce) who will lose their jobs?
a. Possible to re-negotiate with the unions?
b. Governor and Mayor to help such discussions take place.
2. How do we keep people employed?
3. Is there a way to encourage more "home" businesses?
4. How to get the "right professional attitude," quality of service out?
C. "MARKETING" Issues:
1. How to support the airlines and direct flights?
2. How to identify the target market and how to get them here quickly!
3. Can value-added packages be explored (golf, etc...).
4. Can mayor make contact with groups that cancelled?
5. Can the greeting program be expanded?
6. How can we implement Kamaaina incentives; encourage inter-island travel?
7. How can we retrieve the "common fare?"
8. Can all events from now to the end of the year be reviewed and taken advantage of?
9. What resources will the county commit to marketing?
10. How do you prevent "washing out" of group numbers?
11. How can we market to the military population as well?
12. How can we ensure awell-planned Japanese trip by the Mayor and the Governor?
D. "OTHER ECONOMIC DEVELOPMENT" Issues:
1. How do we move Big Island CIP projects along?
2. Can "call centers" be expanded?
V. Action Plan derived from above issues:
A. MESSAGE:
1. MARKETING MESSAGE:
a) BIVB will come up with a message and communicate it to everyone. It will reflect
the above issues, as well as:
1) overcome the fear of flying
2) "get away"
3) subtle message
4) we need to travel ourselves and show no fear
5) strong visual image ON AN AIRPLANE
6) visual: destination is world class/great climate/high level of service!
b) BNB's message must be in concert with HVCB's when it gets developed.
c) Current Events will continue to provide networking to continue the dialogue and
understanding.
2. MAYOR'S MESSAGE: Mayor will do his own message meant to instill
confidence.
a) Ask Mayor if he would do public announcements.
b) Ask Mayor if he would speak to workers acknowledging their efforts and
encouraging their quality of service.
c) Ask Mayor if federal $ can be used to improve piers & airports?
d) Can an "info out" coordinated/collaborated effort be done with the spiritual
community?
e) Would Mayor consider going to Japan with the Governor? Must emphasize West
Coast as well.
3. BUY LOCAL MESSAGE:
a) PSAs could be done by Mayor and others.
b) Agricultural organizations can also push this message more.
4. OTHER ECONOMIC DEVELOPMENT MESSAGE:
Mayor already pushing all possible avenues and promises to continue to do the
same.
B. EMPLOYMENT:
1. Jane to refer Blayne Hanagami of DLIR and Ed Taira of County Housing to the Human
Resource Group to inform them of employee assistance, counseling, emergency help,
unemployment insurance, food stamps, housing assistance, bank loan deferrals, review
401 K plans, SBA opportunities, etc.
2. Peter to ask Mayor to call upon the unions and Dwight Takamine to negotiate possible
amendments to current contracts.
3. Rory and Nancy Pisicchio to review the county's discretionary fund to see how county
might be able to lend support to the effort.
4. HCEOC, R&D, HIEDB will coordinate grant-writing activities.
5. All employers need to communicate with employees to keep them assured as much as
possible.
6. Peter will widen distribution of his newsletter.
7. Things county is already doing:
a. Looking at amending the General Plan in support of home businesses (changing
requirements);
b. Expanded enterprise zones are done and before the council;
c. Already reviewing a more effective mass transit system.
8. Paula will look into the loss of insurance for those laid off.
9. Peter will discuss with Mayor: BILA to consider inter-union waivers (portable benefit
plans).
10. Can part of Mayor's message be the unemployment is a burden shared by all;
everyone is affected; those who still have work can count their blessings.
11. Sharon will contact Jackie Watanabe of the Human Resources Group to help identify
more gaps.
C. OTHER:
1. HIEDB will take the "common fare" idea to the meeting with the Governor tomorrow.
2. R&D, Millie Kim, and BIVB will look into how we can take advantage of HTA's
product development fund and their business destination fund.
3. Confirm if HTA has $350,000 in technology marketing and $250,000 in business
development marketing.
VI. The meeting was adjourned at 3:00 p.m.
Bid Island Visitors Bureau
Level I
45-Day Action Plan
Suplalemental Fourth Quarter 2001 Marketing
In a tactical response to rapidly deteriorating marketplace conditions, the Big Island Visitors Bureau has
developed this action plan to bolster visitor arrivals.
It is important to note that the overall BIVB 2001 marketing plan, in concert with the HVCB plan,
remains wholly intact with the only notable exceptions being events postponed from September. This
action plan provides for additional BIVB marketing activities in the remaining months of 2001. Please
note that activities may adapt to integrate with statewide HVCB efforts as more details become known.
Brand positioning for Hawaii's Big Island remains unchanged, however greater emphasis is directed at
inclusive partnership marketing, value-added programs with specific calls-to-action. Core California and
kamaaina markets will be the primary marketing targets of this Level I 45-day action plan. Level II
includes Japan and this will be laced in as details develop. Action plan will be reviewed weekly to
adapt to continuing marketplace changes.
LEVEL I
MMA: US WEST
SALES
Two teams (BIVB staff and participating members) will assemble and travel for direct sales calls on
wholesalers and travel agents in Los Angeles and San Francisco.
Messages: encouraging travel in a value season, cementing relationships, bridging the Pacific,
rejuvenation, repeat visitors, exciting worry-free destination.
Launch date: estimated week of October 8
ADVERTISING
Eight-page color destination insert in major California newspapers. Total circulation of 850,000 in San
Diego, Orange County, San Jose, San Francisco. BIVB to underwrite with industry co-op participation.
Tactical advertising for partners with calls-to-action. Editorial to convey message of an exciting,
rejuvenating worry-free destination with immediate value-added travel incentives. Tentative insert dates:
October 14<21.
Additional partnership marketing funds released to grow wholesaler destination advertising campaigns in
California markets.
PUBLIC RELATIONS
BIVB PR colleagues to hit the road for a coordinated one-week Aloha California media blitz. Central
focus is Los Angeles and Bay Area. Primary calls on newspaper and broadcast writers/editors to foster
immediate travel coverage.
Secondary calls on print publications.
Messages: encouraging travel in a value season, bridging the Pacific, new developments/activities,
rejuvenation etc.
Launch date: week of October 8
MMA: US WEST/KAMAAINA
SALES
Fax blast kamaaina packages newsletter to Hawaii travel agents
Sales blitz Hawaii travel agents
Message: value season
Launch date: October 1
ADVERTISING
BIVB will place ads in Honolulu media that showcase members' kamaaina packages with calls-to-action.
Message: value season, website
Launch date: October 7 to run throughout October
PUBLIC RELATIONS
Media releases featuring BIVB members' kamaaina packages distributed to Hawaii media.
Message: value season, website
Launch date: September 19 to run throughout October
ELECTRONIC
New website just for kamaaina packages www.bi~islandkamaaina.com
BIVB members can post online their current kamaaina packages and revise information continuously as
they update pricing
Calls-to-action are the members themselves
Message: value season
Launch date: October 1
ADDITIONAL ACTIVITIES AFFECTING ALL MMAs
Welcome/mahalo banners at Kona and Hilo International Airports
Additional public relations efforts directed at sharing spirit of aloha with visitors
BIVB to seek a strategic commission to review ways to improve on-island visitor experience in terms of
crime and other safety issues
WIIO TO CONTACT:
Sales Blitz Eric Dutro edutro(_ahvcb.org; 808-886-1655
Media Blitz Ross Wilson Jr. greatprL;current-events.com; 808-326-7820
Advertising Blitz Debbie Baker dbaker~c~current-events.com; 808-326-7820
FOR IMMEDIATE RELEASE
Contact: Sharron Ackles
Ironman Triathlon World Championship
(808)329-0063
KAMAAINA URGED TO SUPPORT IRONMAN TRIATHLON WORLD CIIAMPIONSIIIP
Kailua-Kona, Big Island of Hawaii The first major international sporting event since the September 11
tragedy will be held in Hawaii in two weeks.
The 23rd annual Ironman Triathlon World Championship is scheduled for Saturday, October 6 with a
7:00 a.m. race start at the pier in Kailua-Kona.
"We're expecting close to 1,500 participants from 48 countries and 50 states. We've had just a few
cancellations from athletes that wanted to be here, but couldn't. A New York City fireman who qualified
for the race called to cancel his participation. He's needed right now in New York and we'll welcome him
to Kona at next year's race. To date, two of the 29 athletes that were to compete in the United States
Military Division have advised us of their deployment, and we may hear from more within the next
several days.
"The Ironman will send out a very powerful message to Americans and the people in all nations of the
world. We invite residents of Hawaii to turn out to share their aloha, and to support the athletes as well as
the local economy," said Sharron Ackles, Race Director of the Ironman Triathlon World Championship.
Hawaii's Department of Business Economic Development and Tourism (DBEDT) estimated that Ironman
generates $14.9 million in direct sales to the out-of--state visitors specifically traveling to the Big Island
for the annual event. Including the multiplier effect, Ironman Triathlon generates $26.2 million in total
sales. These sales add $9.7 million in household income and $2.5 million in tax revenues. Even if
attendance dips this year, the event will serve up amuck-needed shot in the arm to Hawaii's economy.
Past research reveals that approximately 28% of Ironman athletes visit another island as part of their
Ironman experience. On average, Ironman athletes spend $1,187.30 on lodging, $482.32 on food, $373.27
on car rental, $1,021.63 on airline tickets, $579.07 shopping and another $257.61 for entertainment.
The first Ironman Triathlon took place in 1978 on Oahu with 15 participants. On October 6, nearly 1,500
athletes, ages 18 to 79, will test themselves at the world's most famous endurance event. Athletes must
complete the 2.4-mile swim, 112-mile bike and 26.2-mile marathon within the allotted 17-hour
timeframe.
Over 300 credentialed media from around the world fly to Kona to report firsthand on the event. NBC
will air its 90-minute Ironman coverage on November 18. More than 50 million households around the
globe view Ironman coverage.
We can decide the Future is beyond our control.
We can grieve at the expense of our economy.
Or...we can write our own ticket!
The single greatest threat to the health and welfare of Hawaii County is not terrorism,
nor even the prospect of war. It is a spiraling downturn in our visitor economy and
commercial aviation, the prospect of layoffs and our lack of immediate and satisfactory
employment options. Protecting every job in our visitor, agricultural, service industry
must be our immediate focus.
There is much we all can do. We need to start now.
? We can consult and partner with our interisland air carriers and national airlines to
devise strategies to encourage visitors to come to our island.
? We can seek publicity for our efforts; we should aim for the New York Times,
Washington Post, LA Times, USA Today, major networks and CNN.
? We can promote our "Healing Island" identity.
? Through a letter writing and postcard campaign, we can urge our own people
throughout the Big Island to invite their friends, relatives and associates to visit us
? We can devise coordinated hospitality campaigns without parallel-discounted hotel
and excursion rates and special events.
? We can demonstrate our own fearlessness to travel by publicizing a "Pledge To
Travel" backed by evidence of bookings to mainland destinations like Las Vegas.
? We can craft new promotional brochures and video segments for on-board passengers
of airlines' people already are a captive audience.
? We can celebrate our unique history of cultural and religious tolerance as a model for
a moral standard the entire nation must uphold in the future.
? We can capitalize on the enormous popularity and charisma of our mayor to greet
visitors and spread the message throughout the nation that we are open for business.
? Advertising is expensive; inspired publicity, cooperation and volunteerism are not.
Nancy Pisicchio
Council Member
District 7
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