Template revised January 10, 2019.
COMMISSION
AGENDA MEMORANDUM
Item No.
10d
ACTION ITEM
Date of Meeting
December 10, 2024
DATE: November 1, 2024
TO: Stephen P. Metruck, Executive Director
FROM: Nick Leonti, Director of Tourism Development
SUBJECT: International Tourism Marketing Initiative
Amount of this request:
$1,500,000
Total estimated project cost:
$1,500,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to approve a contract with State of
Washington Tourism designated for collaborative international tourism marketing efforts. This is
a new version of a similar contract which expires at the end of 2024.
Request Commission authorization for the Executive Director to execute a joint marketing
agreement with State of Washington Tourism (SWT), a state government agency, to promote
international tourism to Seattle and Washington state in selected international markets for three
years at the rate of $500,000 per year for a total not to exceed $1,500,000 and that the
commission determine a competitive process is not appropriate or cost effective and exempt this
contract from a competitive process consistent with RCW 53.19.020.
EXECUTIVE SUMMARY
This agreement bolsters the Port’s efforts to drive increased visitor-spending in connection with
the Port’s aviation and cruise businesses as outlined in the Century Agenda. International tourism
is a top priority for the Port of Seattle and its partner, State of Washington Tourism (SWT). Dollars
spent in international markets return exponentially to the region to support jobs, businesses and
the livelihoods of our communities.
Compared to its main competition for visitor-related dollars, Washington’s post-pandemic
recovery has proven to be lagging behind. Regional tourism won’t fully recover until international
travel fully recovers. SWT has one of the lowest-funded tourism offices in the entire country and
the Port’s partnership allows our region to compete on a global scale. A strong partnership
between these organizations is vital to achieve shared common goals in international tourism
and boosts the region’s brand awareness in an increasingly competitive market.
COMMISSION AGENDA – Action Item 10d Page 2 of 6
Meeting Date: December 10, 2024
Template revised June 27, 2019 (Diversity in Contracting).
Not only do international visitors stay longer and spend more than their domestic counterparts,
but they tend to visit during off-peak seasons including midweek dates which helps provide a
more consistent stream of visitation. Plus, they explore both urban and rural destinations to help
deliver the positive impacts of tourism across the region. We also target visitors who share
Washington’s passion for its natural beauty and who will visit in a responsible fashion.
Reestablishing and expanding Washington’s share of the international tourism market in is a top
motivation for enhancing the Port/SWT partnership.
The Port and SWT share a vision and goals for driving international visitation through SEA to our
region. Over the past two years, the international tourism marketing agreement between the
two organizations has established a strong foundation upon which to continue to strengthen our
presence in key markets.
REQUEST FOR COMPETITION WAIVER
As Washington’s official destination marketing organization, State of Washington Tourism (SWT)
provides unique services and global positioning for the outlined international marketing
activities. The Port and SWT have worked collaboratively to promote the region on a global scale
with previous Port-funded initiatives (e.g., 2020’s Tourism Recovery Initiative and 2023’s
International Tourism Marketing Agreement) which have helped establish the region’s tourism
brand. There is no other statewide organization that can collaborate on this scale. Due to this
unique relationship, we are requesting a competition waiver for this initiative.
JUSTIFICATION
This initiative supports Goal 2 of the Port’s Century Agenda: Advance this region as a leading
tourism destination and business gateway. Through our international marketing efforts, we will
increase brand awareness of our region, drive visitation, and strengthen SEA Airport’s global
positioning.
The initiative will also support the Port’s EDI values by driving economic impact throughout the
state, embracing responsible/sustainable practices and supporting WMBE both locally and
abroad.
DETAILS
By working together on international marketing, the Port and SWT (in addition to Visit Seattle)
maximize tourism’s positive impact in Seattle and the state of Washington. Cooperation between
these organizations helps create more opportunities, reduce duplication of efforts and increase
the ROI of our global marketing efforts.
The strength of the partnership is reflected in more impactful sales events, increased quality of
fam tour attendees, further reach, more positive representation in the media and – ultimately –
more passengers through SEA and more visitor-related spending throughout the state.
COMMISSION AGENDA – Action Item 10d Page 3 of 6
Meeting Date: December 10, 2024
Template revised June 27, 2019 (Diversity in Contracting).
The partnership brings value to all of Washington’s destinations by impacting the global tourism
market in a much more significant way than the state’s industry partners could do on their own.
The organizations will work together to prioritize international markets. Key criteria to consider
while analyzing a market’s potential include:
• Non-stop flights to SEA
• Impact of B2B travel trade marketing in market
• Visitor profile: vacation time, disposable income, responsible travelers
• Strength of cruise market
• Affinity for US travel
• Visa waiver status
International Marketing Strategy and Plan
Port of Seattle tourism staff is in constant contact with State of Washington Tourism to develop
collective plans and strategies for generating international travel to Washington State. We
evaluated our current efforts and used the criteria above to prioritize countries for international
marketing efforts. Currently, the Port is represented by way of this agreement in Japan/South
Korea, the UK/Ireland, Germany, Australia and France/Benelux.
The partnership with SWT provides a path to conduct sales missions, host familiarization tours,
place advertising, attend trade shows, conduct trainings, promote responsible tourism and more
in an effective and impactful manner.
As the three organizations with international reach, The Port, SWT and Visit Seattle have regular
meetings to discuss strategies and opportunities. The organizations strongly hold the belief that
no matter which organization takes the lead on a specific project, that the results benefit the
entire partnership and – in turn – all of Washington. The previous version of this contract
established a strong global foundation, this new version allows us to follow through on that
potential and build upon that foundation.
Markets
The Port is currently represented via the SWT agreement with in-market agencies in:
• Japan
• South Korea
• United Kingdom/Ireland
• Germany
• France/Benelux
• Australia
The Port has its own marketing efforts in the Nordic region which SWT also collaborates on.
COMMISSION AGENDA – Action Item 10d Page 4 of 6
Meeting Date: December 10, 2024
Template revised June 27, 2019 (Diversity in Contracting).
Other potential markets for growth include:
• China
• India
• Mexico
Budget
The previous version of this agreement provided $800k over two years. This new version expands
the scope and increases the contract to $1.5 million over three years – a $100k per year increase.
Through the first couple years of this contract, we learned how we can best work together and
the $100k increase is – essentially – the result of reassigning Port-only advertising funds into the
contract so that we can work on those items together.
These marketing efforts include B2B marketing through tour operator co-ops, paid content, in-
market activations, trainings, trade shows, fam hosting, media trips, and more.
The above totals will be further enhanced by Visit Seattle’s projected spend in international
markets in 2025.
Industrywide ROI on tourism marketing has shown that the more you put in, the more you get
out. For example, Brand USA reported an ROI of over $23 per dollar invested in international
tourism marketing pre-pandemic.
Scope of Work
The Port of Seattle (Port) and State of Washington Tourism (SWT) agree to work cooperatively
and jointly to market Washington state as a destination for international travelers with a focus
on driving the economic impact of SEA and cruise. The Port and SWT agree to work and
coordinate efforts in order to achieve maximum possible benefits from the respective resources
invested in tourism promotion. Based upon actual costs of proposed programs, market
conditions or other marketing opportunities that arise in the year, actual projects may be
adjusted. Agreed upon adjustments will be authorized by the Port.
The partnership will aim to:
• Educate the travel trade on Washington destination experiences, itineraries and new
content.
• Prioritize increasing the economic impact of the Port’s aviation and cruise businesses.
• Build relationships that create loyalty among travel trade, media and other tourism
producers.
• Inspire consumers to choose Washington as their vacation destination and SEA as their
gateway.
• Promote the principles of responsible tourism especially as it relates to outdoor
recreation.
COMMISSION AGENDA – Action Item 10d Page 5 of 6
Meeting Date: December 10, 2024
Template revised June 27, 2019 (Diversity in Contracting).
• Reflect the diversity and inclusivity of Washington throughout the program of work.
• Establish the partnership as the expert source for quality, reliable content.
• Support the full diversity Washington destinations and experiences to make the tourism
economy work for all Washingtonians.
• Maintain a global presence to keep Washington at top-of-mind for the travel trade and
consumers.
• Attract international visitors who will contribute to sustaining Washington’s
infrastructure and resources.
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1) Do not approve an agreement with SWT.
Pros:
• Reduces specific budget request by up to $1,500,000.
Cons:
• Eliminates the possibility of leveraging the collaborative efforts with SWT to drive visitor-
related economic impact to Washington state.
• Erodes the Port’s leading role as a tourism advocate and economic asset for our region
• Negatively impacts visitor-related economic impact to the region
This is not the recommended alternative.
Alternative 2) - Work with SWT to implement a tourism promotion plan will increase
international visitor travel and positively impact statewide tourism while promoting SEA
International airport as a major US gateway. Total dollar amount, $1,500,000.
Pros:
• No other organization has the ability, breadth or capability to deliver a national tourism
marketing project for all of Washington state.
• By aligning with SWT, the POS will be leveraging both organizations’ funding which will
allow for a stronger marketing plan and increased ROI.
Cons:
• Not applicable as no other organization has the ability, breadth or capability to deliver a
national tourism marketing project for all of Washington state.
This is the recommended alternative.
FINANCIAL IMPLICATIONS
$1,500,000
COMMISSION AGENDA – Action Item 10d Page 6 of 6
Meeting Date: December 10, 2024
Template revised June 27, 2019 (Diversity in Contracting).
Capital
Expense
Total
COST ESTIMATE
Original estimate
$0
$1,500,000
$1,500,000
AUTHORIZATION
Previous authorizations
0
0
0
Current request for authorization
0
0
0
Total authorizations, including this request
0
0
0
Remaining amount to be authorized
$0
$1,500,000
$1,500,000
ATTACHMENTS TO THIS REQUEST
(1) Presentation slides
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
March 14, 2023 – The Commission authorized $800k International Tourism Marketing Agreement
with State of Washington Tourism and provided the competition exception.
July 28, 2020 – The Commission authorized $1.5 million joint marketing agreement with
Washington Tourism Alliance to promote tourism recovery.