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To:

Secretary Richard Benda

From: Melissa Bump Date: 06/06/08 RE: May 2008 - 2010 Summary

Accomplishing the 2010 Initiative will take the Office of Tourism, the visitor industry, and the State of South Dakota to a whole new level. Feedback and suggestions regarding this summary report are encouraged. GOAL ONE: Double Visitor Spending from $600 Million to $1.2 Billion by 2010 Tourism Office Funding Update: April 2007 April 2008 % Change Deadwood Gaming Tax $234,546 $260,945 11.3% Tourism Promotion Tax $213,611 $228,602 7.0% Total Monthly Deposits $448,157 $489,547 9.2% FYTD 2008 vs. 2007 $7,608,736 $8,345,367 9.7% 1A. Change the way we market South Dakota. · Media Contacts: Developed an itinerary for Rookie, a radio host on KSTP in Minneapolis, in partnership with the Governor's Office of Economic Development. · Tour Operators: Hosted 19 travel agents from AAA offices in Kentucky, Michigan, Nebraska, New Jersey, North Carolina, Ohio, Pennsylvania, South Carolina, and Wisconsin, plus CAA offices in Manitoba, Niagara, and Ontario on the Western Hospitality Fam Tour. 1C. . . . greater use of partnerships and cooperative efforts · Canadian co-op campaign: Developed marketing campaign with Black Hills, Badlands & Lakes and the Rapid City CVB based on email surveys to Canadians and Focus Groups in Canada. 1E. Capitalize on the existing outdoors opportunities in our state · Media Activity Highlights: Compilation of earned media: May estimated ad value is $4,068 (circ. 401,957); and Fiscal Year 2008 ­ estimated ad value of $510,278 (circ. 11,708,844). · Hostings: Gary Sefton and 10 other writers/industry partners to a writers' turkey hunt. Helped host Society of American Travel Writers at their Conference in Rapid City and the surrounding area.

Media and Public Relations Value Ads Apr 08 FYTD Circulation 567,802 11,227,002 Earned $11,776 $504,828 Film Office Activities Apr 08 FYTD RFIs -178 Estimated EI -$1.74 million Online Activities Visitors Travelsd SdVisit Emails Sent Apr 08 126,578 2,273 232,264 FYTD 886,475 23,762 1,790,572

Office of Tourism Indicators Apr 08 Apr 07 % Change % FYTD Tourism Tax $23,084,052 $25,228,569 -8.5% +7.8% +4.6% +7.2% Gaming Handle $87,802,145 $83,943,957 State Parks 271,860 303,347 -10.4% Natl. Parks 103,097 134,626 -23.4% Traffic Count 126,859 134,913 -6.0% Gas Prices $3.42 $2.79 +22.7% Overnights 305,422 282,350 +8.2% Occupancy 48.1% 45.1% +6.7% Avg Rates $62.24 $59.46 +4.7% Total 21,314 23,559 -10% +13% Online 16,235 19,820 -18.1% +15% Mail 3,395 995 +241% +15% Phone 1,684 2,744 -38.6% -9.1%

Inquiries

Travel Activity

Tax

Tourism's Monthly Status Report for May 2008 Page 1

2010 Initiative Please refer to the website at 2010initiative.com for updates. Cultural Heritage Tourism Attended the Arts Council meeting to update the group on the status of the new publication. Agri-Tourism Contacted Greenwood Ranches, Heartland Corn Maize, and Garrity's Prairie Market to seek their participation in a panel discussion at the July Agri-tourism Conference in Mitchell. Met with Bob Weyrich, Department of Agriculture, to discuss the conference, vendors, agenda, panel speakers, and the possibility of a visit to an agri-tourism partner in the Mitchell area. Finalized conference registration mailer and will mail in early June for the July conference. Media & Public Relations Compilation of earned media: May estimated ad value is $4,068 (circ. 401,957); and Fiscal Year 2008 ­ estimated ad value of $510,278 (circ. 11,708,844). Reserved the satellite truck and satellite time for the Mount Rushmore National Memorial fireworks. Fulfilled requests from the Argus Leader; American Road magazine; Jacksonville, Florida, newspaper; and inquiries from MediaSD. Gave interviews to South Dakota Public Broadcasting (tourism outlook); CBS in Sioux City (AAA survey on affordable destinations); Argus Leader (summer travel); Rapid City Journal (Memorial Day outlook); and KJAM News in Madison (tourism in Lake County). Coordinated and participated in media interviews for See South Dakota Week in Sioux Falls, Watertown, Mitchell, Aberdeen, Yankton, Pierre, and Rapid City. Coverage included 20 radio stations: Results Radio, five stations in Sioux Falls; KYNT and Culhane Communications (KVHT) in Yankton; KORN in Mitchell; KSDR and KWAT in Watertown; KJAM in Madison; Rushmore Radio: three stations and Haugo Broadcasting: two stations in Rapid City; Dakota Broadcasting and Pheasant Country Radio in Aberdeen; and KCCR and Dakota Radio Group in Pierre. Five newspapers (circ. 69,806): Mitchell Daily Republic (12,130), Aberdeen American News (16,046), Rapid City Journal (29,696), Yankton Press and Dakotan (8,934), and Yankton County Observer (3,000). Three TV stations in Sioux Falls: KELO, KSFY, and KDLT; and KNBN in Rapid City. In cooperation with the Rapid City CVB, helped with tours, transportation, and the opening reception at the Journey Museum in Rapid City for the Society of American Travel Writers Chapter Meeting. Edited South Dakota information in Woodall's Campground Directory. Developed an itinerary for Rookie, a radio host on KSTP in Minneapolis, in partnership with the Governor's Office of Economic Development's advertising on the station. Rookie and his family will take video of their trip and post on YouTube, promote the trip on KSTP, and do live call-ins. Sent information on family friendly destinations and contact information to freelance writers Kevin and Sue McCarthy. Fulfilled request for information from freelance travel writer Roy Barnes. Posted press releases: To in-state media (posted to www.MediaSD.com and the State News Web): "Interstate Information Centers Set to Open May 17," "South Dakota Outdoor News," "Tourism Industry Holds Training Workshops," "See South Dakota Week: Discover Great South Dakota Traditions," "Share Your South Dakota Memories on TravelSD.com," "Summer Marketing Showcases South Dakota," "2009 Tourism Conference: Save the Date," "Czech it Out" (multi-media press release); and In Your Own Backyard releases: "J&L Harley Davidson Hosts Bike Nights," "South Dakota Outdoor Expo: Your

Tourism's Monthly Status Report for May 2008 Page 2

Introduction to the Outdoors," "A Walk Back in Time," and "Fort Sisseton Historical Festival." Posted four industry releases to MediaSD.com. Currently registered and have stories on Wordpress.com. Industry Relations Requested that the "Value of hosting fams" topic be added to the agenda for the CVB Association's next meeting. Attended Custer Chamber of Commerce's annual banquet. Recognized Great Service Star businesses and hospitality certificate recipients. Took part in the front-line bus trip fam of Watertown attractions. Spoke to attendees about the importance of good customer service. Attended Rapid City's spring training/luncheon and spoke about the Online Hospitality Training program. Met with the Mayor of Colton regarding a marketing plan for their Million Dollar Challenge project, Colton Jubilee Days. Held a conference call with organizer of Summer on 7th in Rapid City. Met with organizers of the Quilts and Vines project to develop a marketing plan. Worked with organizers of the Gift of the Plains project; however, the organizers decided to decline funding for FY2008. Sent e-invitation to our visitor industry database to sign up for the e-fyi industry newsletter and placed sign-up form on SDvisit.com. Sent monthly e-fyi newsletter to 1,386 visitor industry members who've already signed up. This is Tourism's only newsletter aimed at staying in touch with the visitor industry. Trade Sales Group Tour/International Contacted group tour magazines to obtain their ad rates. Contacted partners to offer advertising options for the group tour co-op ad that is placed in fall publications. Created and placed a full-color, half-page ad in the 2008/2009 Guide for Meetings Media. Sent Travel Professionals E-Newsletter to 146 list members ­ tour operators, travel agents, and meeting and event planners. Sent requested information to Great Western Tours, California; Travel & Transport, Nebraska; and Adventure Caravans for a group of people traveling to South Dakota in RVs. Hosted 19 travel agents from AAA and CAA on the Western Hospitality Fam Tour. Agents were from Kentucky, Michigan, Nebraska, New Jersey, North Carolina, Ohio, Pennsylvania, South Carolina, and Wisconsin, plus CAA offices in Manitoba, Niagara, and Ontario. Itinerary included Sioux Falls, De Smet, Watertown, Murdo, Badlands National Park, Wall, Black Hills National Forrest, Deadwood, Keystone, Belle Fourche, Hill City, Mount Rushmore National Memorial, Crazy Horse Memorial, Custer State Park, and Chamberlain. Assisted travel agents and regional directors from MLT World Vacations; AAA offices in California, Florida, Iowa, Kentucky, Michigan, Minnesota, Minneapolis, New York, Ohio, Oklahoma, Pennsylvania, Texas, and Washington; CAA offices in Manitoba, Niagara, Ontario, and Saskatchewan; plus Abbott Travel and Carlson Wagonlit. Fulfilled requests for Vacation Guides from AAA Offices in Colorado, Kentucky, Maryland, Minnesota, New Mexico, North Dakota, Oregon, Rhode Island, Texas, and Wisconsin.

Tourism's Monthly Status Report for May 2008 Page 3

Finalized 2Nations Tours Fam, June 2-8, in eastern South Dakota for 17 participants. Completed preparations for TIA International Pow Wow in Las Vegas, contacted the five South Dakota partners, and researched 40 appointments with tour operators and journalists and sent list to Rocky Mountain International (RMI) offices overseas. Completed and emailed requested itinerary to Danish journalist Poul Hedemann, who is interested in visiting South Dakota on a press trip in September. Confirmed arrangements for the Japanese Group Tour Fam for 10 Japanese tour operators in June. Itinerary includes attractions in the Black Hills, Badlands National Park, Chamberlain, De Smet, Mitchell, Pierre, and Rapid City. Worked on fam for Annalisa Mereghetti, Italy. Finalized information for Nathalie Delamie, Voyageurs du Monde, France, for her August educational tour of South Dakota. Contacted Chambers and CVBs regarding a trip through the Black Hills in June for Joelle Dessard's, RMI's new Belgium representative. Finalized arrangements for the Mottotourismo, Italy, fam for two journalists. Coordinated with Black Hills Harley, Rapid City, Sturgis Rally director, and representative from Red Cloud School for riders to join the hosting. Tours will be published in Mottotourismo Magazine, promoted on Sky TV in Italy, and offered in an Italian tour catalog. Finalized preparations for Walter Kreuzer, Germany, for his press trip. He will be published in Fuldaer Zeitung, which has a circulation of 50,000 and a readership of 200,000. Drafted itinerary for journalist Luigi Di Fronzo for July for Amadeus (monthly, circulation of 120,000), Vogue Italia (monthly, circulation: 320,000), and Natural Style (monthly, circulation: 380,000) magazines. Drafted itinerary for journalist David Arnold for September for story in Motoring and Leisure (monthly publication, circulation: 294,107) magazine. Drafted itinerary for journalist Peter Nefkins from The Netherlands for September for stories in local and regional newspapers (circulation: 400,000). Outdoors Prepared fishing hotline for the annual summer updates of fishing hot spots. Sent story on fly-fishing the streams of the Black Hills to the 1,400 outdoors editors and writers on our database. Responded to Managing Editor from North American Hunter regarding questions on regulations for bow hunting turkeys. Spoke with Ken Byers regarding a mule deer hunt for this fall for two writers. Put together information for Family, Fish and Game magazine for their state of the month feature. Sent logos to Dakota Country magazine to use in promotional materials for the SD Walleye Classic. Sent walleye photos to the Pioneer Press. Sent email to Dallas News regarding pheasant hunting in South Dakota to correct information in the article stating that lead shot is prohibited in South Dakota ­ it is not. Sent South Dakota decals to Gary Howey for his new vehicle. Updated Frank Smith, Governor's Tourism Advisory Board, on the developments of the possibility of a canoeing/kayak race in South Dakota. Hosted Gary Sefton and 10 other writers/industry partners during a writers' turkey hunt near Rapid City. Attended the first South Dakota Outdoor Expo in Huron and helped 20 to 30 people at the gun range.

Tourism's Monthly Status Report for May 2008 Page 4

Film Office Designed a 44-page Film Office Production Guide in full-color. Sent files to printer and expect delivery of 3,000 guides in early June. Fulfilled seven requests for information from production companies. Assisted a production company from New York City on a Long Haul Truckers documentary. Added five new crew/service listings to FilmSD.com. Hired Emily Currey as the new Film & Media Relations Representative; she begins June 24. Information Centers Coordinated Information Center training tour, May 1-8. Sent confirmation letters to the contacts in the cities, reservations, organizations, and attractions that participated in the fam: Pierre, Platte, Hot Springs, Keystone, Custer, Rapid City, Wall, Rosebud and Pine Ridge Reservations, Custer State Park, and Badlands National Park. Attended literature swaps in Mitchell and Rapid City. Centers opened May 17. Sent list of over 400 brochures, which have been approved for display at the Information Centers, to the travel counselors. Finalized copy and creative for the new travel CDs that are available for rental. Delivered previouslyused travel tapes to the Department of Education. Sending travel counselors' T-shirt sizes to businesses who want to participate in the T-shirt program. Sent letters to the poster co-op partners reminding them of the centers at which they can display. Delivered preliminary Intercept Study Survey to the Lewis and Clark Information Center at Chamberlain. Hospitality Sent video and workbook of The Good, the Bad, and the Ugly to Keystone for possible use in their spring training workshop. Attended spring training workshops at Fort Sisseton, Watertown, Rapid City, Pierre, and Keystone. Proofed and edited the workbook developed by Black Hills State University staff as a follow-up to the online training. Attended and took part in the Train-The-Trainer Program workshops in Brookings, Mitchell, and Pierre. Sent follow-up letter to everyone who took part in the Train-the-Trainer workshops to explain their roll as consultants for businesses that may need help getting registered to use the online training module/curriculum. On SDVisit.com, developed Hospitality and Customer Service webpages, which included a link from the Industry Calendar page to the new Online Customer Service Training. Revised the section to include a new homepage and a separate page for the Governor's Hospitality Certificate Program. Native American Tourism Set up the Tribal Tourism Roundtable for June 17 at Red Cloud in Pine Ridge. Worked with Tribal Government Relations on the upcoming State-Tribal Relations Committee on June 9. Photo/Video Fulfilled requests for photos/slides to Lawrence and Schiller, South Dakota Synod, AAA, Sioux Falls CVB, Arts Alive Magazine, Sioux Falls; Black Hills, Badlands & Lakes, Rapid City; Department of Game,

Tourism's Monthly Status Report for May 2008 Page 5

Fish and Parks, Cultural Heritage Center, Pierre; Seaton Publishing, Spearfish; South Dakota Magazine, Yankton; 1880 Train, Hill City; City of Wagner; National Geographic Adventure, Washington, DC; AAA, Nebraska Life Magazine, Game, Fish and Parks, Nebraska; freelance writer Don Bluhm, Wisconsin; Dakota Country Magazine, North Dakota; and Speak Up Magazine, United Kingdom. Fulfilled video requests: Sent copies of the Great Faces jingle to the Rapid City CVB and to Emily Miller at Game, Fish and Parks. Sent video to Workhouse Productions in New York City at the request of Emily Miller; they are producing segments on state parks for the Today Show. Compiled and sent wildlife footage to Chris Hull at Game, Fish and Parks to send to an Outdoor internet show. Sent video of Brule' to the Sioux Falls CVB. Sent fly fishing footage and Black Hills footage to Thomsen/Vanduch Productions in Brookings for a show on fishing and state parks they are producing. Sent aerial footage of the Black Hills to Liquid Ice Productions in Newell to complement a film they are producing. Sent footage of Storybook Land and the Aberdeen area to Kaleidoscope Productions in Aberdeen for a TV spot they are producing. Sent South Dakota and Pierre area footage to Media Productions in Fargo for a recruitment video they are producing for Eagle Creek Software in Pierre. Sent Homestake Mine footage and Governor's Office of Economic Development (GOED) video to the Economic Report show. Travel Market Advertising Began working on schedule for June TV shoots and scouting locations. Scheduled remaining co-op partner video shoots for placement on TravelSD.com. Finalized and placed the following peak season ads: General newspaper ads in Omaha, Des Moines, Minneapolis, St Paul, Worthington, Omaha, and Sioux City. Deadwood Co-op newspaper ads in Denver, Minneapolis, Casper, Cheyenne, and Sioux Falls. Deadwood Advertorial #3 for Denver Post. Rapid City Co-op newspaper ads in Minneapolis, St. Paul, St Cloud, Denver, Ft. Collins, and Sioux Falls. Custer State Park Co-op newspaper ads in Ft Collins, Greeley, SW Minnesota, and Sioux Falls. Glacial Lakes radio spot. O Magazine email blast for June 12. Travelsmart ­ May issue. Finalized and placed a shoulder Giant Step (3-page) Chief Dave magazine ad for Parents Magazine on sale July 15. Sent emails to Giant Step partners to give them the opportunity to change their image and copy for the shoulder campaign print ads and Web pages. Notified winner of the Minnesota Great Neighbor Getaway. Notified winner from Nebraska of the 4th of July giveaway package. Sent Travelsmart E-Newsletter to 231,522 list members, which featured the Travel Community on TravelSD.com, Economic Stimulus, Caves, and Hiking Trails. Publications Finalized the Great Lakes Birding Guide and sent to the printer. Expect delivery of 14,000 guides in late June. Finalized motorcycle guide/map and sent files to the printer. Continued working on updates/changes for the Native South Dakota publication; expect to send to the printer by the end of July. Continued working on the content the South Dakota Treasures, Cultural & Heritage publication and expect to receive delivery of the publication by the end of July.

Tourism's Monthly Status Report for May 2008 Page 6

Sent copy about the Cultural Heritage publication to Steven Thurman for the Arts Alive newsletter. World Wide Web/E-Commerce On TravelSD.com: Visitor Services Directory has 5,195 entries; and 100 vacation packages are listed for 20 cities/locations. Seven hot deals are currently running. From April 30 to May 29, 98 e-postcards were sent by consumers. Added the 2008 Independence Day Celebration schedule at Mount Rushmore National Memorial to TravelSD.com. Began planning new optimization efforts, which include SEO, Multivariate testing, and added content and third party content. Research Attended six Focus Group sessions in Winnipeg. This is part of the research conducted to better plan co-op promotions to Canada with partners Black Hills, Badlands & Lakes and Rapid City CVB. Logo Usage Sent logo to Barbara Christen, Custer State Park. Governor's Tourism Advisory Board The Board met in Aberdeen, May 14 and 15, at the Ward Plaza. The Board approved Million Dollar Challenge (MDC) marketing applications for the Ravine Lake Concessions near Huron, Wheels and Wings in Aberdeen, and the Aberdeen Aquatic Center. The Board set a deadline of at least 10 days prior to each Board meeting for the industry to submit applications for the Million Dollar Challenge. The group was briefed on the Visitor Industry Alliance's TV campaign to showcase the visitor industry's impact on the state. The Board and other tourism officials toured area attractions and historic downtown Aberdeen and were hosted to a reception by the Northern Route to the Black Hills Association at the Depot, home of the Native American Cultural Center & Museum. Governor's Buffalo Roundup Researched list of international journalist for the Buffalo Roundup. Great Events Czech Days, Tabor ­ June 19-21: Created a newspaper ad and placed in the Fremont Tribune, New Prague Times, Lincoln Journal Star, and the Columbus Telegram. Developed a multi-media press release for the event. Placed radio ads and placed magazine ads in May/June issues of South Dakota and Nebraska Life. Oahe Days, Pierre ­ June 20-22: Placed magazine ads in May/June issues of South Dakota and Nebraska Life; and placed newspaper and radio ads. Festival of Presidents, Rapid City ­ June 27-28: Placed magazine ad in May/June issue of South Dakota, placed radio ads, and placed newspaper ads in the Ft. Collins Coloradan and Greeley Tribune. Mickelson Trail Trek, Black Hills (Outdoor Event) ­ September 19-21: Mailed 11,500 postcards to previous attendees and a subscription list from a biking magazine. Hill City Western Heritage Festival, Hill City ­ September 20-21: Will final newspaper ads for August placement. Placed magazine ads in May/June issues of South Dakota and True West.

Tourism's Monthly Status Report for May 2008 Page 7

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