FCVB 2011 Annual Report

2011ANNUALREPORT

WwW.EXPLOREFAIRBANKS.COM

Fairbanks Convention & Visitors Bureau • 2011 Annual Report

www.explorefairbanks.com

2011 FAIRBANKS CONVENTION & VISITORS BUREAU (FCVB) ANNUAL REPORT HIGHLIGHTS In 2011, Fairbanks’ travel industry continued to be an industry under duress. While slight gains were made—particularly in winter tourism—the industry has not made significant progress toward peak summer tourism levels of 2008. A few highlights of FCVB’s successes—in spite of challenging international economic realities—are as follows:

FCVB worked with local convention co-chair Chris Batin to secure the 85th Annual Convention of the Outdoor Writers Association of America to be held in Fairbanks, September 3-6, 2012, and is providing overall leadership, including on-going local and statewide planning for the conference.

December 2010 thru March 2011, Fairbanks saw a 36% increase of passengers with Japan Air-line (JAL) on the same number of charters as 2010. JAL announced that winter capacity will increase from 12 flights in winter 2010/2011 to 19 flights in winter 2011/12.

In summer 2011, Frontier Airlines increased flight frequency of their Airbus A139 accommodat-ing 124 passengers between Denver and Fairbanks from four days a week to five days a week during the peak of the summer beginning June 23.

FCVB hosted 21 press tours with 31 media participants. www.explorefairbanks.com website hosted 170,170 unique visitors, up 14 percent when com-

pared to 149,152 from 2010. Hosted sales luncheons at UAF to encourage meeting ambassadors, and conducted sales

blitzes targeting meeting planners in Anchorage and Juneau. FCVB and Fairbanks Arts Association consolidated review comments of the FCVB-

commissioned feasibility study for a convention center and/or performing arts center(s) and the consultant, Convention, Sports & Leisure, is now revising and updating. The final study is to be released by July 2012.

The 9th Annual Visitor Industry Walk for Charity had 600 participating walkers – up from 400 walkers in 2010. The 2011 Walk for Charity raised $25,863, an increase of $11,000 from 2010. 100% of the donations were distributed among 50 charities.

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POINTS OF INTEREST: BOARD OF DIRECTORS 2 LETTER FROM BOARD CHAIR 2 COMMITTEES 3 LETTERS FROM LOCAL MAYORS 4

BED TAX RECEIPTS 5 DEPARTMENTS 7 FINANCIALS 17 2011 SCRAPBOOK 20


warmth

energy

2011 FCVB BOARD OF DIRECTORS

light

MESSAGE FROM THE 2011 BOARD CHAIR Every year the Fairbanks Convention & Visitors Bu-reau (FCVB) ensures that our visitors get out and enjoy their time in Fairbanks while still keeping an eye on the future and ways to increase the number of visitors to Fairbanks. But that isn’t all they do; they also find ways to make our community a bet-ter place to live. In 2011, the FCVB staff and volun-teers did an amazing job taking on these tasks.

In looking at our present day visitors, we saw an increase of 36% in JAL passengers over the same time period in 2010 and winter 2012 will see an increase from 12 chartered flights to 19 chartered flights. Also, in summer 2011 Frontier Airlines increased its flight frequency from four days a week to five days a week during the peak summer season. FCVB is also focused on making Fairbanks a great place to live and one of the ways that it sup-ports the community is by putting on the Annual Visitor Industry Walk for Charity. 2011 marked the 9th year that FCVB has put on this event and the event had an increase of 200 walkers and raised $25,863. 100% of the money goes to charity! In 2011, FCVB looked towards the future and enhanced www.explorefairbanks.com which resulted in a 14% increase in unique visitors over the same time period in 2010. In 2011, the staff and commu-nity hosted 21 press tours with 31 media participants. Another exciting achievement is the completion of the feasibility study for a convention center and/or performing arts center which will be released in July 2012. Arguably the biggest achievement of the year was leading and planning the 85th Convention for the Outdoor Writers Association of America. The FCVB worked tirelessly with local convention co-chair Chris Batin to ensure that the convention that is going to be held in Fairbanks on September 3–6, 2012 is a huge success. We expect around 90 outdoor media to attend the convention and we will receive an unbelievable amount of press cover-age as a result of this convention. FCVB does an outstanding job supporting industry and the community. I am honored to have served as the chair over the last year and am looking forward to serving in the future. Sincerely, Suzy Fischer 2011 Chair, FCVB Board of Directors Riverboat Discovery and Gold Dredge 8

EXECUTIVE OFFICERS

Suzy Fischer, Chair Riverboat Discovery & Gold Dredge 8

Buzzy Chiu, Chair Elect Bridgewater Hotel

Matt Atkinson, Treasurer Northern Alaska Tour Company

Andy Anger, Secretary UAF Community & Technical College

Mary Richards, Past Chair All Seasons Bed & Breakfast Inn

Deb Hickok, President & CEO Fairbanks Convention & Visitors Bureau

BOARD MEMBERS

Terese Kaptur Fairbanks Summer Arts Festival

Irene Fuchs Meyer GoNorth Alaska Travel Center

Angelika Krinner Arctic Travelers Gift Shop

Christina Kraft First National Bank of Alaska

Michelle Bartlett UAF Summer Sessions

Mok Kumagai Aurora Borealis Lodge

Matt Divens HAP Alaska-Yukon

Dustin Adams Regency Fairbanks Hotel

Paul Brown Santa Claus House

Susan Kramer Executive Events

Maya Salganek UAF Theatre Department

Joseph Blanchard (Ex Officio) FNSB Borough Assembly Representative

Emily Bratcher (Ex Officio) Fairbanks City Council Representative

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2011 FCVB COMMITTEES ADVERTISING & PUBLIC RELATIONS COMMITTEE Terese Kaptur, Chair, Fairbanks Summer Arts Festival Deanna Brandon, Fountainhead Hotels Jill Marshall, Marshall Arts Design Kristin Baysinger, Carlson Center Carter Crawford, Crawford Communications Shelbie Umphenour, Interior Alaska Fish Processors Patricia Silva, Westmark Hotel & Conference Center TOURISM COMMITTEE Irene Fuchs Meyer, Chair, GoNorth Alaska Travel Center Kory Eberhardt, A Taste of Alaska Lodge Andy Anger, UAF Community & Technical College Ralph Wease, Knotty Shop Buzzy Chiu, Bridgewater Hotel Jane Atkinson, Running Reindeer Ranch Nita Fowler, Sirius Sleddogs Ralf Dobrovolny, 1st Alaska Outdoor School Carol Diebel, UA Museum of the North Mike Davis, Denali ATV Adventures Kristin Wells, Denali Princess Lodge Casey Thompson, Hampton Inn & Suites Lisa-Marie Echevarria, HAP Alaska-Yukon VISITOR SERVICES & MEMBERSHIP COMMITTEE Angelika Krinner, Chair, Arctic Travelers Gift Shop Jason Avery, Pioneer Park Rebecca Morse, If Only…a fine store Irene Meyer, GoNorth Alaska Travel Center Shawna Pritchette, Carlson Center Kory Eberhardt, A Taste of Alaska Lodge Ralf Dobrovolny, 1st Alaska Outdoor School FINANCE & PLANNING COMMITTEE Buzzy Chiu, Chair, Bridgewater Hotel Terese Kaptur, Fairbanks Summer Arts Festival Paul Brown, Santa Claus House Dustin Adams, Regency Fairbanks Hotel Irene Meyer, GoNorth Alaska Travel Center Suzy Fischer, Riverboat Discovery & Gold Dredge 8 Kory Eberhardt, A Taste of Alaska Lodge

MEETINGS & CONVENTIONS COMMITTEE Dustin Adams, Chair, Regency Fairbanks Hotel Berta Amico, Springhill Suites/NMS Lodging Kristin Baysinger, Carlson Center Jackie Carlson, Jackie of All Trades Andrew Chapman, Alaska Auto Rental JoLynn Eder, Holiday Inn Express/The Hotel Group Denise Ferree, Chena Hot Springs Resort Steve Frank, River’s Edge Resort Kalinka Guffens, River’s Edge Resort Deborah Hansen, Pike’s Waterfront Lodge Yvette Hebard, Fairbanks Princess Riverside Lodge Becky Kunkle, Fountainhead Hotels Shelley McCool, Alpine Lodge Cherie Minakais, Wedgewood Resort Karren Pearson, SpringHill Suites by Marriott June Rogers, Fairbanks Arts Association Diane Shoemaker, Fountainhead Hotels Jymi Sickels, Alpine Lodge Patricia Silva, Westmark Hotel

& Conference Center Yvonne Temple, Alpine Lodge Casey Thompson, Hampton Inn & Suites Janet Thompson, UA Museum of the North Rita Valentine, Avis Rent A Car Patty Weaver, Pike’s Waterfront Lodge David Welborn, Carlson Center AUDIT COMMITTEE Christina Jensen Kraft, Chair, First National Bank of Alaska Jennifer Imus, Wells Fargo Jake Slingsby, Key Bank Sandra Wilson, Wilson & Wilson CPA

PUBLIC POLICY ADVISORY COMMITTEE Andy Anger, Chair, University of Alaska Fairbanks

Community & Technical College Matt Atkinson, Northern Alaska Tour Company Terese Kaptur, Fairbanks Summer Arts Festival Irene Meyer, GoNorth Alaska Travel Center Dustin Adams, Regency Fairbanks Hotel Kory Eberhardt, A Taste of Alaska Lodge Paul Brown, Santa Claus House

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LOCAL MAYORS

The Fairbanks Convention & Visitors Bureau serves a vital role for Interior Alaska. They not only provide visitor information, but actively market Fairbanks and work at attracting con-ventions—increasing visitor numbers are a testimony to their success. Extremely encouraging for Fairbanks are the number of flights both Frontier and Japan Airlines are scheduling each year, a product of the work FCVB has accomplished. This has been a positive development during a difficult economic period. FCVB excels at hosting events, with friendly greeters and staff always going the extra mile to make sure any event is successful. Congratulations on another great year! Jerry Cleworth , Mayor City of Fairbanks

CITY OF FAIRBANKS

I appreciate the Fairbanks Convention & Visitors Bureau for your ongoing successful mar-keting efforts that bring international, national and Alaska visitors to the Interior. Working with the FCVB helps the City of North Pole generate more tourist traffic which is great for local businesses and our overall economy. Tourism creates employment opportunities, encourages entrepreneurism and also enhances our quality of life by allowing our local residents to enjoy those activities, events and businesses that were created primarily for those visiting our great state.

Although the economy was still tough in 2011 there were signs of revival and that makes me hopeful for the coming year. Thank you FCVB!

Douglas W. Isaacson, Mayor City of North Pole

CITY OF NORTH POLE

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FAIRBANKS NORTH STAR BOROUGH The Fairbanks North Star Borough congratulates the Fairbanks Convention & Visitors Bu-reau in its efforts to attract visitors to the Golden Heart City. FCVB was successful in mar-keting Fairbanks to our international visitors with more people from Japan choosing our town as their destination of choice. The Borough commends FCVB for your efforts to attract the largest statewide conven-tion, the Alaska Federation of Natives, to Fairbanks. Yes, congratulations for a successful 2011; your efforts will pay off in the years to come.

Luke Hopkins, Mayor Fairbanks North Star Borough


2011 BED TAX RECEIPTS Bed tax is a reflection of several variables, including occupancy as well as room rates. For the purposes of this report, “Fairbanks bed tax” is defined by cumulative totals that include the three collecting governments: the Fairbanks North Star Borough and the cities of Fairbanks and, more recently, North Pole. After the tragic events of September 11, 2001, Fairbanks bed tax decreased by seven percent in 2002 from the previ-ous year. At the time, this decline was viewed as dramatic. However, 2009 set the bar alarmingly lower with Fair-banks bed tax decreasing by an unprecedented 13 percent from 2008. In retrospect, 2008 remains to date, the peak for summer visitation to Fairbanks. In 2010, bed tax slightly recovered with an increase in the cumulative total of nine percent over 2009, which reflects a five percent decrease from peak 2008 levels. In 2011, the cumulative total showed a one percent decline from 2010, thus six percent lower than 2008.

Looking the summer (May through September) months in 2011, bed tax was down six percent from the same period in 2010.

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2011 BED TAX RECEIPTS (CONTINUED) Winter bed tax stats encompass the seven-month period from October through April but represent only about 30 percent of the bed tax collection. Winter continued its steady growth with a nearly seven percent increase over 2010.

Anecdotally, pent-up demand may have led to an increase in independent and international travel in 2010 but inde-pendent travel did not seem to increase nor did cruise or cruise land tours in 2011. However, international travel in 2010 as well as 1st quarter 2011 winter travel saw increases in international.

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ADMINISTRATION DEPARTMENT

T he Administration Department manages the Bureau’s strategic

planning and marketing functions, budgets and finances, contract man-agement, purchasing, building and facilities, human resources, personnel policies and procedures, staff develop-ment and training, special projects, and represents the Bureau to the com-munity. The Administration Depart-ment facilitates an efficient, effective working environment and provides administrative and technical support to the entire organization. Administra-tion directs and manages the day-to-day financial, accounting and purchas-ing functions of the Bureau, receiv-ables, payables, revenues and ex-penses.

DEPARTMENT STAFF Deb Hickok

President and CEO Dawn Murphy

Director of Finance & Administration Corinne Jankowski

Data Entry and Accounting Coordinator

Janet Thorpe, now Michelle Middleton

Finance and Administrative Coordinator

Ashley Ritenour Executive and Tourism Coordinator

W O R K I N G T O S E C U R E A B E T T E R F A I R B A N K S For the past six years, FCVB in conjunction with the Fairbanks Interna-tional Airport has been working on securing a low-cost domestic air car-rier to service Fairbanks. As a result of this effort, Frontier Airlines flew an Airbus A139 aircraft accommodating 124 passengers between Denver and Fairbanks beginning May 14 through September 11, 2010 offering 5 ½ -hour service on Monday, Wednesday, Friday and Saturday. Frontier and Midwest have a codeshare partnership that allows passen-gers of both airlines access to more than 70 destinations in the US, Mex-ico and Costa Rica. Frontier routes south and east offer the most efficient travel to and from Fairbanks. Although Frontier has not yet officially an-nounced its summer 2012 schedule, the airline has relayed both surprise and pleasure at how successful their first and second seasons were in Fairbanks and that they intend to service FAI again and with perhaps additional flights. The Director of Finance and Administration has begun research into the upgrade or conversion to a database that would enable FCVB to inte-grate all departments into one database, achieving a high degree of tracking and efficiency and, therefore, accountability in sales and mar-keting activities. On March 2, 2011, FCVB Board of Directors received a “good clean opin-ion” on our 2010 audit from auditor Kohler, Schmitt and Hutchison.

The draft of the FCVB-commissioned feasibility study for a convention center and/or performing arts center(s) has been received from the consultant Con-vention, Sports & Leisure. The FCVB and Fairbanks Arts Association consolidated their review comments and the consult-ant is now revising and updating. The final study is to be released by July 2012.

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Preliminary work has begun on the Destination Marketing Accreditation Program (DMAP). The accreditation pro-gram has 58 mandatory standards and 27 voluntary standards including governance, finance, technology, market-ing, sales, development, research and other criteria.


ADMINISTRATION DEPARTMENT (CONTINUED) MONITORING FISCAL SOLVENCY The Audit Committee, Director and Coordinator of Finance and Administration continued to work together to pro-vide accurate and useful financial reporting. The Director and Coordinator look forward to mastering a new bureau-wide database to be implemented in 2012 and continue to streamline reporting and budget monitoring methods. In conjunction with the FCVB Management Team, the Director and Visitor Services and Membership Manager com-pleted a comprehensive update of the Employee Manual. PROVIDING LEADERSHIP AND COMMUNITY SUPPORT The President and CEO served as Chair of the Board of Directors for the Alaska Travel Industry Association from Octo-ber 4, 2010 through October 3, 2011. She currently serves as Past Chair. She also was selected for a second three-year term on the Board of Directors for the Destinations Council, a council of the Washington DC-based United States Travel Association. She is also currently a Board member of Adventure Green Alaska, a statewide certification recognizing efforts toward environmental and cultural sustainable is tourism businesses. She also serves on several local committee and advisory groups, including the Carlson Center Advisory Committee and the FMATS Non-Motorized Advisory Group. She presented at various community groups in the course of the year.

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ADVERTISING AND PUBLIC RELATIONS DEPARTMENT AGGRESSIVE MEDIA RELATIONS PRODUCE RESULTS The FCVB facilitated 31 press tours repre-senting international and domestic maga-zine, newspaper, web, radio and television sources in 2011. According to Cision Media Monitoring Services, FCVB press releases and media relations/press tours resulted in 151 articles featuring Fairbanks in domestic magazines and newspapers with a total cir-culation of 25,300,621.

ONE-ON-ONE SALES APPOINTMENTS PROVIDE VALUABLE CONTACTS Follow-up and/or action occurred as a result of participation in direct face-to-face networking opportunities with Experience Alaska, Outdoor Writers Association of America (OWAA), Northwest Outdoor Writers As-sociation (NOWA) and Alaska Media Road Show.

T he Advertising and Public Relations Department executes a

proactive, year-round public relations program to ensure ongoing, positive coverage of Fairbanks as a visitor destination.

We sell Fairbanks aggressively to all t a r g e t m a r k e t s — d o m e s t i c , international and in-state. In everything we do, we want to generate increased inquiries from independent travelers. We continually refine our programs to maximize editorial in all mediums and to evaluate based on research.

DEPARTMENT STAFF Amy Geiger

Director of Communications Vacant

Public Relations Coordinator Kasey Gillam

Advertising and Marketing Associate

Annie Duffy, now Elisabeth Dabney

Internet Marketing Associate Angie Cerny

Branding and Production Coordinator (half-time)

Michelle Newman was one of 31 journalists hosted by the FCVB in 2011.

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The Fairbanks aurora illuminated a big screen on a street in

Manhattan during the Experience Alaska event for journalists

based in the NYC area.

ONLINE PRESENCE ESSENTIAL TO MARKETING The www.explorefairbanks.com website hosted 170,170 unique visitors and had 871,317 total page views in 2011. FCVB Twitter followers increased to 2,422 and Facebook “likes” reached 1,757. In addition, FCVB developed and maintained a website for a social media promotion 7 Days of Solstice and continued to update and manage www.afnfairbanks.com so it can work as an overall project site for future AFN conferences in Fairbanks, as well as keep historical information from previous AFN conferences online. The department also added a webcam overlooking the Chena River which can be viewed via a link on our home-page and finalized additions of German, Japanese, Chinese and Korean sections to www.explorefairbanks.com. DOMESTIC ADVERTISING PLACEMENTS REACH CONSUMERS Successful placement and execution of key domestic advertising and direct mail programs resulted in a one percent increase in inquiries over 2010 and 75,000 Fairbanks Visitors Guides sent via direct mail to ATIA-generated inquiries. FCVB continued seasonal in-state television and radio advertising and worked collaboratively with Alaska Channel to shoot footage for a new spot to air in local hotel rooms featuring the Morris Thompson Cultural & Visitors Center. In addition, FCVB participated in co-op television advertising with ATIA on R&R TV with a newly created, year-round commercial.


ADVERTISING AND PUBLIC RELATIONS DEPARTMENT (CONTINUED) Aggressive radio programs were continued to promote outbound Condor and Frontier flights to Fairbanks residents, including a “Destination of the Week” promotion with Clear Channel Radio to give away an $800 Flybucks card for Frontier Airlines with a live radio remote held at the Morris Thompson Cultural & Visitors Center. Cooperative marketing programs added to the department’s success. An ad in the February issue of Alaska Magazine included participation by 11 businesses. Summer (June-September) co-op ads in Alaska Airlines Magazine featured between 6 and 9 partners each month. FCVB also increased listings in winter categories on travelalaska.com in con-junction with their efforts to increase winter marketing and advertised in Alaska Magazine February Interior Alaska email push going to 19,000 opt-in subscribers.

The Advertising and Public Relations Department successfully completed FCVB’s first integrated marketing campaign, 7 Days of Solstice. An ad campaign promoting the project and website ran in June and July on Clear Channel Radio (Fairbanks & Anchorage), local and statewide television. Twenty member businesses pro-vided complimentary or discounted items for the itinerary. Value for in-kind donations exceeded $4,600.

Total advertising spent on the following: Print–$374,580; Internet–$23,731; In-State Television/Radio–$78,210; Con-dor & Frontier (to promote outbound)–$13,121. KEY COLLATERAL ENHANCED TO MARKET FAIRBANKS FCVB continued to integrate “Light, Energy and Warmth” messages into collateral, advertising and promotional materials throughout the organization, including 250,000 copies of the 2012 Fairbanks Visitors Guide and 35,000 copies of the 2011-2012 Fairbanks Winter Guide which are distributed domestically and internationally. PROVIDING LEADERSHIP AND COMMUNITY SUPPORT Internet Marketing Associate Annie Duffy taught several lectures about website and social media topics to FCVB members, UAF business students and Fairbanks Summer Arts Festival attendees. Director of Communications Amy Geiger, gave speeches on customer service and outdoor experiences in Alaska. Weekly 3-minute Morning Updates for KFBX radio (an in-kind donation on their part) and 1 ½-minute call-ins to KIAK radio on related tourism topics were used as a promotional tool sharing information of benefit for the community. ACTIVE PARTICIPATION IN MORRIS THOMPSON CULTURAL AND VISITORS CENTER The department integrated MTCVC visits to travel writers’ itineraries and promoted MTCVC while attending media shows abroad. They also continued to work actively with MTCVC staff to develop interpretive content and artwork for the Gateway area of the building, helped to administer the Antler Arch webcam and devise a plan for the new electronic sign. FCVB ran weekly ads in the Fairbanks Daily News-Miner promoting various events occurring at MTCVC, including First Fridays, holiday and seasonal celebrations, free films and more.

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UAF student Travis Lawson and his family take home a memory in traditional Athabascan-crafted clothing at Tanana Chiefs Conference Cultural Programs in the Morris Thompson Cultural and Visitors Center during their “7 Days of Solstice” experience.


MEETINGS AND CONVENTIONS DEPARTMENT

DEPARTMENT STAFF Helen Renfrew

Director of Meetings and Conventions Allison Thompson

Convention Services Coordinator

BRINGING HOME THE MEETINGS, CONVENTIONS AND CONFERENCES Listed below are just some of the events that took place in 2011. The Meetings and Conventions Department played a key role in either bring-ing the meeting to Fairbanks or provided hands-on assistance with the success of the event.

2011 US Curling Association Junior Nationals American Geophysical Union Chapman Conference National Renewable Energy Laboratory Tribal Renewable

Energy Development Alaska Medical Assistants Society State Conference SOA Industry Preparedness Program Alaska Native Health Board Meeting UAF Geophysical Institute International Conference on

Arctic Margins VI SUACONA – Tipon Silliman Reunion Mycological Society of America Annual Convention Alaska Space Grant Program Western Regional Conference US Geological Survey Fourth Interagency Conference on

Research in the Watersheds UAF/DGGS Rare Earth Elements SOA Juvenile Justice Manager’s Meeting

CONVENTION SALES DEPARTMENT DETAIL SUMMARY # of Groups Attendees Rooms Estimated Impact Sales Leads 57 6,146 8,407 $3,516,900 Bureau Generated Bookings 37 5,556 4,954 $1,914,720 Lost Opportunities 17 4,999 7,919 $5,201,040* Completed Events 37 3,460 7,032 $2,616,020 Events Serviced 74 7,281 19,923 $6,230,440 Pending Business 15 5,323 8,396 $5,809,120* *Sales Leads, Lost Opportunities and Pending Business all include future AFN Conventions.

T he goal of the Meetings and Conventions Department is to sell

Fairbanks as a meeting destination, thereby filling hotel rooms and benefit ing our community’s economy. The main meetings and convention season in Fairbanks runs from October through April, and provides year-round facilities a solid business base when the summer visitor season is over. The department focuses on direct sales efforts, supported by our business partners, and on offering exemplary customer service to all meeting planners. This department also leads the Fairbanks Meeting Ambassador Program, actively seeking out and recruiting community members who, through their affiliation with an organization, invite their group to meet in Fairbanks and work with FCVB through the conclusion of the event.

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FCVB hosts OWAA meeting organizers at Chena Hot Springs Resort during a site inspection in August 2011.

MARKETING FAIRBANKS FOR MEETINGS BUSINESS The Meetings and Conventions Department markets Fairbanks in a number of hands-on ways. Site inspections and familiarization trips were conducted for Cray User Group, Incorporated Research Institu-tions for Seismology, Outdoor Writers Association of America, National Railroad Historical Society, SOA Retirement Management Board and Golf Events Only Awesome Alaska Event. Sales blitzes were held to bring Fairbanks meeting information to the planners at UAF, in Anchor-age and in Juneau.

Direct attendee promotion was made to the 2011 Outdoor Writers of America Association which will meet in Fair-banks September 2012, and the 2011 AFN Convention. Marketing Fairbanks directly to meeting attendees encour-ages an increase in attendance when the groups come to Fairbanks. Alaska Federation of Natives (AFN) Outreach continued in 2011 for future AFN Conventions. Wrap-up reports and materials were distributed in the be-ginning of the year showcasing the work done by FCVB and the community of Fairbanks to welcome our neighbors from around the state. Fairbanks was represented at the 2011 AFN Convention in Anchorage with a vendor booth serving afternoon coffee and tea, as well as at the banquet. The AFN Board decided at their December board meet-ing that the 2012 Convention will be held in Anchorage. Fairbanks was invited to bid on the 2013 Convention.


MEETINGS AND CONVENTIONS DEPARTMENT (CONTINUED) FAIRBANKS MEETING AMBASSADOR PROGRAM In January, the FCVB hosted a reception honoring the 27 Fair-banks Meeting Ambassadors whose hard work was realized when their events were held in 2010. Ambassadors who were not able to attend the event were pre-sented their certificates at a Fairbanks City Council Meeting, a Fairbanks North Star Borough Assembly Meeting, or a Fair-banks Chamber of Commerce General Membership Luncheon. These meetings brought over 2,000 people town and injected over $1.24 million new dollars into our economy. In 2011, the 17 meetings that were invited to Fairbanks by Meeting Ambassadors have accounted for $1.16 million worth of estimated direct attendees spending. Meeting Planner Guide The Meetings and Conventions Department has been reviewing and updating the Fairbanks Meeting Planner Guide, incorporating information gathered during advertiser and end-user focus groups. The piece will be mailed out to meeting planners currently in our database and to targeted planners in the DC area upon completion. Convention Center and /or Performing Arts Center Feasibility Study The Meetings & Conventions department has been providing assistance to the Administration Department in updat-ing and proofing the results of a convention center and/or performing arts center feasibility study which is planned for release to various community stakeholder by July 2012. PROVIDING LEADERSHIP AND COMMUNITY SUPPORT The Director of Meetings and Conventions is involved with the Greater Fairbanks Chamber of Commerce and the Fairbanks Rotary Club.

Outdoor Writers Association of America (OWAA) Fairbanks is looking forward to hosting Alaska’s first-ever OWAA Conference in September of 2012. OWAA is comprised of a wide variety of outdoor media including the “hook and bullet” crowd, eco-tourists, nature photographers, Native culture enthusiasts, outdoor adventurers and more. Never before have so many me-dia professionals been in one place at one time in the state of Alaska. The conference will be held for three days during the first week of September at Chena Hot Springs Resort, and the attendees are planning on spending an average of seven to 14 days in the state. This is a great opportunity to provide them with story ideas and material for their articles for years to come. OWAA estimates that the value of this annual confer-ence will reach over $10 million in publicity. Representatives from Meetings and Conventions and Advertising and PR Departments attended the 2011 OWAA Conference in July to answer questions and generate excitement about attending the 2012 confer-ence. Additionally, FCVB hosted the staff, conference chair and local chair on a familiarization trip in August to cover final planning details and have been working with members of the community and the staff of OWAA and Chena Hot Springs Resort. The Advertising and PR Department, with the assistance of the Meet-ings and Conventions Department, worked to produce the OWAA 2012 Pre and Post Conference Excursions and Opportunities Guide that will showcase over one hundred optional activities. The guide will contain offers from Fairbanks businesses as well as offers from the Arctic, Denali, Valdez and other Alaskan destina-tions. Work on this conference by the FCVB staff will continue in 2012, and the Advertising and PR depart-ment will be especially busy with trip planning for the many media that arrive in the Interior and through-out Alaska in August and September.

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FCVB works closely with “Meeting Ambassadors” —community members who work hard to bring groups that they are affiliated with to Fairbanks for their conferences or events.


TOURISM DEPARTMENT AAA, TRAVEL AGENT AND TOUR OPERATOR CONTACTS The Tourism Department had a total of 308 new and repeat contacts including: 22 con-tacts with AAAs, 68 contacts with international and do-mestic travel agents and 218 domestic and international tour operators.

TRADE/CONSUMER SHOWS FCVB represents Fairbanks at travel and consumer trade shows to pro-mote Fairbanks as a visitor destination. In 2011, the department:

exhibited at the New York Times Travel Show in New York City and the LA Times Travel Show in Los Angeles as part of an ATIA booth share;

attended the annual American Bus Association Marketplace in Philadelphia where itinerary ideas were discussed and updated with tour operators;

attended the Go West Travel Summit in Boise and met with inter-national and domestic tour operators to develop new tour pack-ages to Fairbanks;

exhibited at the Colorado RV, Sports, Boat & Travel Show in Denver to promote the direct non-stop service to Fairbanks on Frontier Airlines, conducted sales calls and met with travel agents in the area;

attended the United States Travel Association (USTA) International Pow Wow held in San Francisco and met with over 45 operators from Japan, Taiwan, China, Germany, Switzerland, France, Australia and New Zealand;

exhibited at the American Society of Travel Agents (ASTA) in Las Vegas in September and met with over 50 domestic travel agents;

attended and exhibited at the Dallas Adventure & Travel Expo in Dallas, Texas;

attended the National Tour Association’s annual convention in Las Vegas to meet with domestic tour operators.

INTERNATIONAL SALES MISSIONS In the Asian markets, the department participated in the ATIA Japan Sales Mission and met with tour operators and media in Tokyo, Nagoya, Osaka and Hiroshima. Representatives attended and participated in JATA World Fair in Tokyo. In German Speaking Europe, the department attended the ITB in Berlin, Germany considered to be the largest travel trade show in the world, and visited with several major tour operators as well as Condor Airlines. FCVB contractor, Elke Brosin, participated in an ATIA Sales Mission visiting Swit-zerland, Germany and Austria.

T he Tourism Department’s objective is to promote Fairbanks

and Interior Alaska as a visitor destination, both domestically and internationally. The goal is to increase the number of independent visitors and package tour visitors to the Fairbanks area and increase the length of their stay. To accomplish this, Tourism reaches independent travelers through domestic and international advertising placements and with direct mail campaigns targeted at tour operators, travel agents and potential independent travelers to Alaska. The Department also manages a contract for representation in German Speaking Europe. Tourism brings the Fairbanks message to tour operators and travel agents through direct sales and trade shows and serves as the link between members and these markets.

DEPARTMENT STAFF Greg Allison

Tourism Senior Sales Manager Ed Malen

Tourism Sales Manager Ashley Ritenour

Executive and Tourism Coordinator

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FCVB attends numerous travel trade shows throughout the year.


TOURISM DEPARTMENT (CONTINUED)

the ATIA JAL Winter FAM with six participants that included travel agency representatives, a Delta Airlines representative, and a journalist;

the ATIA Post-Pow Wow FAM with four participants from Ger-many and Switzerland;

the ATIA FlexTravel Alaska FAM with 15 participants from Swit-zerland;

the All Alaska Tours – Kuoni/Globetrotter FAM from with 12 participants from Switzerland and Canada;

the ATIA – NTA FAM with seven participants from the U.S. and Canada;

the ATIA Skytours FAM with 11 participants from Germany and Switzerland;

the All Alaska Tours – Canusa FAM with two participants from Germany;

the ATIA Kuoni FAM with 12 participants from Switzerland; a Swiss Tour Operator FAM with seven participants which in-

cluded FCVB’s GSE contractor, Elke Brosin, six Swiss tour op-erators, and one travel writer;

the ATIA Bridge & Wickers FAM with one participant from the UK.

INTERNATIONAL AIR TRAFFIC Japan Airlines saw a moderate drop in their summer charter flight numbers due to the effects of the March 11, 2011, tsunami. From December 2010 thru March 2011, Fairbanks saw a 36 percent increase of passengers with a total of 12 winter charters, the same number of charters as 2010. The Japan Airline (JAL) charters to Fairbanks in both winter and summer have continued to be successful even though JAL restructured in 2010. JAL announced that winter capacity will increase from 12 flights in winter 2010-2011 to 19 flights in winter 2011-2012. Condor continued to fly to Fairbanks in summer 2011 with their once-weekly Thursday flight schedule configuration of Frankfurt-Anchorage-Fairbanks-Frankfurt flight from June through September, operating 12 flights which is six less than in 2010. For the most recent two years, GSE travelers could also access Fairbanks through multiple flight options due to a code share established by Condor with Alaska Airlines beginning in 2010. Condor announced the same Frankfurt-Anchorage-Fairbanks-Frankfurt route for summer 2012. FCVB has entered a new marketing agreement with Condor to promote summer 2012 to Fairbanks primarily targeted to Condor’s trade and consumer databases. The intent by both Condor and FCVB is to better position Fairbanks in future summer flight configurations.

CONDOR FLIGHTS TO FAIRBANKS 2001-2011 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Arrivals Total 717 953 1038 1066 1124 1022 1351 1375 1353 1349 857 Average 38 50 55 59 62 60 64 69 71 75 71 Departures Total 1008 1154 1166 1330 1346 1112 1656 1537 1411 1575 1124 Average 53 61 61 74 75 65 79 77 74 88 94 The chart totals the numbers from 2001 through 2011 summer flight schedule. The average number of passengers arriving to Fairbanks this summer was slightly down five percent. The decrease can be attributed in part to the man-datory deplaning for required customs in Anchorage before continuing on to Fairbanks. However, departures were up seven percent.

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FAMILIARIZATION TOURS (FAMS) The department hosted several familiarization tours (FAMS) to showcase Fairbanks as a destination and also assisted inter-departmentally with many press tours throughout the year. Some of the FAMS hosted or co-hosted include:


VISITOR SERVICES AND MEMBERSHIP DEPARTMENT In 2011, the Visitor Services staff greeted and provided customer service to 97,094 visitors at the Morris Thompson Cultural and Visitors Center. The department continued to staff the information cabin at Pioneer Park throughout the summer and stocked and maintained brochure centers at Fairbanks International Airport and Alaska Railroad Depot. Staff also distributed Visitors Guides, Winter Guides and maps to Fairbanks hotels and downtown businesses several times throughout the year. WORKING COLLABORATIVELY Along with our partners—Alaska Public Lands Information Center, Alaska Geographic and Tanana Chiefs Conference Cultural Programs—the department assisted in hosting First Fridays at the Morris Thompson Cultural & Visitors Center, coordinating monthly newspaper advertising and tallying attendees. Mid-May through mid-September, lunch numbers were gathered weekly from the tour companies, compiled and distributed to downtown busi-nesses. FCVB contributed to UAF’s Fall Orientation with three different seminars and a tour of Fairbanks. Staff continued assisting with Condor and JAL flight arrivals and departures and assisted with Japanese groups that came to the MTCVC. The department presented Fairbanks information at the Eielson First Term Airmen Center and Fort Wainwright’s Newcomers briefings twice a month and participated in the Military Spouses Appreciation Day at Fort Wainwright with a Fairbanks information booth. Staff also participated in the Winter Seminar at Eielson Air Force Base giving a brief overview of activities, tours and attractions available. BENEFITING OUR MEMBERS The staff provided customer service training throughout the community, including the “Ask Me About Winter” module and worked with members throughout the year to offer special promotions for conventions and events coming to Fairbanks. The department also coordinated joint training with Holland America Princess Alaska-Yukon Tours to down-town businesses.

V isitor Services is the consumer information source for the

Fairbanks region. The FCVB also provides visitor and travel information for Interior Alaska. It is the priority of the Visitor Services Department to provide the highest level of service possible to visitors while they are planning their vacation to Interior Alaska and while they are in Fairbanks. The staff follows up on all requests from potential visitors; provides courteous in-person and telephone support with prompt, accurate i n f o r m a t i o n ; a n d w e l c o m e s individuals and groups, large and small, to the Cultural and Visitors Center. This staff is known for hospitality and knowledge of the area, which ensures the success of each visitor’s experience.

DEPARTMENT STAFF Karen Lane

Vice President of Visitor Services and Membership

Charity Gadapee Visitor Services and

Membership Manager Corinne Jankowski

Data Entry & Accounting Coordinator

VISITOR INFORMATION SPECIALIST AND VOLUNTEERS Michael Farrell

Visitor Information Coordinator Steven Bigler, Yuki Kawano Visitor Information Specialists

Shelly Smith, Susan McMahon, Matt Hayes, Cheryl Joens,

Karen Norris Visitor Information Specialists

(Part-Time/Year-Round) Hollis Hall, Linda Unsicker,

Dale Yoder Visitor Information Volunteers

47 Golden Heart Greeter Volunteers

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Visitor Information Specialist Steven Bigler assists visitors at the Morris Thompson Cultural and Visitors Center.


VISITOR SERVICES AND MEMBERSHIP DEPARTMENT (CONTINUED) Representatives of FCVB attended the 2011 Highway Neighbors Con-vention in Mat-Su; the Alaska Travel Industry Association Convention in Juneau and participated in Anchorage’s Great Alaskan Sportsman Show. The Department assisted with the Fairbanks visit by the International Arctic Winter Games Committee for site selection for the 2014 Arctic Winter Games in January. Fairbanks was awarded the bid in February 2011. They also organized and coordinated the 4th Annual Interior Tourism Conference in Fairbanks in February with 45 businesses in attendance with multiple representatives from most of these businesses. The con-ference focused on social media, customer service and marketing. HONORING MEMBERS In April, the department hosted the FCVB annual member banquet at the Silver Gulch Brewery. The Golden Heart Award was presented to Ed Peebles, Warbelow’s Air Ventures. The Aurora Award was presented to The Great Alaskan Bowl Company. The Jim and Mary Binkley Award was presented to EcoSeg Alaska for its creativity, innovation, courage and entrepreneurialism in the introduction of new and improved products and services for the benefit and enjoyment of visitors to Fairbanks. The Raven Award was presented to Open North American Champion-ship Sled Dog Race for promoting a special, unique international inter-est and awareness among prospective visitors. The Gold Pan Award was presented to outgoing Board Chair, Mary Richards, All Seasons Bed & Breakfast Inn, for her exceptional commitment to the organiza-tion.

M embership acts as the Bureau’s member liaison. Membership

works to increase member support and involvement and fosters relation-ships with member businesses while generating revenue from membership services. Membership remains focused on maintaining close working relation-ships with all Bureau members from small businesses to large corporations. Staff continually updates their knowl-edge of member products and ser-vices to better serve and maximize each member’s business investment. By working together, the Bureau and its members can strengthen the Inte-rior’s visitor industry and economy.

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VISITOR INDUSTRY WALK FOR CHARITY With the help of the ATIA-Fairbanks Chapter, the department coordinated the 9th Visitor Industry’s Walk for Charity. With 600 partici-pating walkers (up from 400 in 2010), the 2011 Walk for Charity raised $25,863—an increase of $11,000 from 2010—with 100 percent of the donations distributed to 50 charities. Since its inception, the Charity Walk has raised $218,925 for local 501(c)(3) nonprofits.

The Fairbanks Soil and Water Conservation District serves up an Alaska Grown “Taste of Alaska” sampling at the walkers’ last stop at the Morris Thompson Cultural and Visitors Center. Eighteen tourism-oriented businesses also pro-vided complimentary food and snacks for the walkers.


STATEMENTS OF FINANCIAL POSITION December 31, 2011 and 2010

FINANCIAL STATEMENTS

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ASSETS 2011 2010

CURRENT ASSETS Cash $ 653,420 625,882 Receivables

Accounts receivable, less allowance for doubtful accounts of $-0- and $-0- 82,575 139,577

Inventory 115,038 105,030 Prepaid expenses 156,502 174,142 Total current assets 1,007,535 1,044,631 PROPERTY AND EQUIPMENT 564,874 563,077 Less accumulated depreciation 397,432 369,147 167,442 193,930 Total assets $ 1,174,977 1,238,561

LIABILITIES AND NET ASSETS

CURRENT LIABILITIES Accounts payable 21,326 25,366 Payroll liabilities 60,031 60,722 Deferred income 24,757 - Unearned revenues 89,209 80,570 Total current liabilities 195,323 166,658 NET ASSETS Unrestricted Investment in property and equipment 167,442 193,930 Board designated for subsequent years 410,000 262,000 Board designated working capital reserve 264,000 240,000 Undesignated 138,212 375,973 979,654 1,071,903 $ 1,174,977 1,238,561

Total net assets



STATEMENTS OF ACTIVITIES Years ended December 31, 2011 and 2010

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CHANGES IN UNRESTRICTED NET ASSETS 2011 2010 Revenues, gains, and other support:

Hotel/motel contribution from City of Fairbanks $ 1,519,149 1,483,747 Grants from Fairbanks North Star Borough 958,976 1,115,801 Hotel/motel contribution from City of North Pole 4,237 4,572 Fairbanks International Airport contract 30,000 - Program income: Advertising and Public Relations 129,421 55,956 Visitor Services 10,728 10,659 Tourism 63,416 13,165 Meetings and Conventions 37,084 31,455 Membership 110,213 191,463 Interest 108 3 Other 20,966 - Total revenues, gains and other support 2,884,296 2,906,820 Expenses: Programs: Advertising and Public Relations 1,084,949 997,881 Visitor Services 538,633 510,932 Tourism 421,065 383,278 Meetings and Conventions 317,352 324,523 Membership 142,561 135,482 General Administration 471,986 447,609 Total expenses 2,976,545 2,799,705 Increase (decrease) in unrestricted net assets (92,249) 107,115 NONOPERATING ACTIVITIES Loss on disposal of fixed assets - (4,975) Change in net assets (92,249) 102,140 NET ASSETS, January 1 1,071,903 969,763 NET ASSETS, December 31 $ 979,654 1,071,903

before non-operating activities



STATEMENTS OF CASH FLOWS Years ended December 31, 2011 and 2010

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CASH FLOWS FROM OPERATING ACTIVITIES 2011 2010 Cash received from contributions, grants, and contracts $ 2,558,083 2,539,086 Cash received from program revenue 416,504 296,614 Interest received 108 3 Cash paid to employees and suppliers (2,945,360) (2,967,817) Net cash provided (used) by operating activities 29,335 (132,114) CASH FLOWS FROM INVESTING ACTIVITIES Additions to property and equipment (1,797) (10,245) Net increase (decrease) in cash 27,538 (142,359) CASH, January 1 625,882 768,241 CASH, December 31 $ 653,420 625,882 RECONCILIATION OF CHANGE IN NET ASSETS TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES Change in net assets (92,249) 102,140 Adjustments to reconcile change in net assets to net cash provided (used) by operating activities: Depreciation 28,285 27,092 Loss on disposal of property and equipment - 4,975 Changes in: Accounts receivable 57,003 (3,764) Inventory (10,008) (12,305) Prepaid expenses 17,640 (75,198) Accounts payable (4,040) (106,229) Conference fee payable - (19,147) Payroll liabilities (692) 17,675 Deferred income 24,757 (65,034) Unearned revenues 8,639 (2,319) Net cash provided (used) by operating activities $ 29,335 (132,114)


2011 SCRAPBOOK

20

Ed Malen chats with a

visitor at an Alaska

workshop in Tokyo,

Japan

A press tour dons historical apparel for a photo op at the Fountainhead Antique Auto Museum

A FAM group enjoys a

walk with the reindeer

at Running Reindeer

Ranch

FCVB and other Fair-

banks representa-

tives attend the

USTA Int’l Pow Wow

in San Francisco

A press tour member enjoys an up-close view of the pipeline


2011 SCRAPBOOK

21

The Fairbanks Team

at the Anchorage

Meeting Planner

Luncheon

NYC journalists chat

while the northern

lights illuminate the

building next door FCVB President &

CEO Deb Hickok joins

a representative from

Condor Airlines –

Chicago Office

FCVB helps prepare

the meal for the TCC

E-Board Luncheon at

the MTCVC

A FAM group stops to enjoy the view during a tour with Denali ATV Adventures

Documents

FCVB 2011 Annual Report