1. July 2011 TNS 212 224946 Houston Visitor Profile Calendar Year 2010

2. 2 © 2011 TNS Table of contents Introduction and Purposes of Research 4 Glossary 5 Research Methods 6 Topics 8 The Houston Visitor11 Brief Abstract12 Executive Summary/Implications13 Appendix 1: Results of TravelsAmerica Research19 Volume 20 Visitor Types21 Trip Purpose 22 Visitor Source 23 Visitor Demographics 25 Trip Planning/Booking 29 Trip Characteristics 34 Destination Competitors42 Satisfaction44

3. 3 © 2011 TNS Table of contents continued Appendix IIa: Results of Follow-up Research: Opinions 45 Demographics 46 Attribute Importance 48 City Destination Preference 50 City of Residence Evaluation 53 City Opinions/Ratings 55 Future Visitation 67 Appendix IIb: Results of Follow-up Research: Media Choices 69 Appendix IIc: Results of Follow-up Research: General Advertising 71 Appendix IId: Results of Follow-up Research: Specific GHCVB Ads 78 Appendix IIe: Results of Follow-up Research: Website Usage 91 Appendix IIf: Results of Follow-up Research: Houston Visitors103 Appendix IIg: Results of Follow-up Research: Attitudes/Behaviors109 Appendix IIh: Results of Follow-up Research: Final Comments112

4. 4 © 2011 TNS Introduction and purposes of research TNS is pleased to present the third TravelsAmerica report for the Greater Houston Convention & Visitors Bureau (CVB). This online (data collection) project is conducted continuously throughout the year by TNS as a nationwide syndication. The results enable the Greater Houston CVB to assess visitor volumes and build a profile of leisure visitors to the area, specifically: Volume and source of visitors Basic demographics: age, number of people in household, average household income Trip characteristics: day vs. overnight, business travel, travel expenditures, length of stay, activities selected Mode of transportation: air, own auto/truck, and other choices Visitor residence by state and selected DMAs. In addition, a separate follow-up survey of Houston visitors measures the “whys behind visitation,” advertising effectiveness/ROI, and web usability such as: Important aspects of choosing a destination and travel planning and booking Perceptions, motivators, and interest in Houston vs. competitors Media usage Awareness, recall, and influence of ads Impact of website on brand, affinity, and purchase intent The report continues with a description of the research methods, then an Executive Summary. The following Appendix details the results of the research.

5. 5 © 2011 TNS Glossary TermDefinition DMADesignated Market Area: Counties that share the same primary TV broadcast signals (210 DMAs in US) Calendar Year (CY)January 1, 2010 through December 31, 2010 In-StateTexas Person-TripTotal person-trips are all trips taken by all people; i.e. a couple taking three trips counts as six (two people, each taking three trips) Respondent/Household LevelRespondent information – one count per respondent Source of VisitorsResidence of visitors State/Region LevelInformation about all trips taken to a particular state/region (each trip to an area counts) State VolumeAll trips taken to/within the state Travel PartyTraveler plus all companions, including children TripTravel 50 miles or more (one-way) away from home or stayed overnight. Excludes commuters or commercial travel (flight attendants, commercial vehicle operator). This eliminates some leisure day trips, such as some visitors from Galveston, since the distance is about 50 miles Trip LevelInformation about all trips – each trip counts Trip VolumeAll trips summed together VisitorPerson who has visited Houston in the past month; all are US residents, thus, travel is domestic travel only (domestic consumer).

6. 6 © 2011 TNS Research methods The syndicated TravelsAmerica study collects data via a web based methodology. Sample is selected from the TNS 6th dimension USA Panel with e-mail invitations sent monthly to representative households. TNS constantly strives to keep Internet penetration high and panel fatigue low by carefully monitoring and limiting the number of contacts with each household. Each month, potential respondents receive an e-mail request to participate in the study; TNS targets a response rate of 45%. The field period runs for two weeks each month, usually starting in the middle of the first week. To enhance relevance, the data are weighted two ways: Demographic weights adjust respondents by demographic factors such as region, age, income, household size, and marital status to closely represent the characteristics of US households Trip and state projection calculations counts every trip taken by respondents for total trips taken. Detailed information collected for up to three trips in the past month is projected to the actual number of trips taken. In the case of city level calculations, each trip taken to that city counts. A few tables represent person-trips – these take into account the immediate travel party size for each trip as well. For projections, the counts are weighted to reflect the actual number of US households and total trips. TNS supervises all fieldwork, editing, coding, and tabulation of the results. This special report focuses on results for Greater Houston. For the calendar years 2008 through 2010, respondents (does not include others in travel party) for Houston and total are shown below. CY 2008 #of Travelers (Unweighted) CY 2008 # of Travelers (Weighted) CY 2009 #of Travelers (Unweighted) CY 2009 # of Travelers (Weighted) CY 2010 #of Travelers (Unweighted) CY 2010 # of Travelers (Weighted) Region 713715760784666721Houston Visitors 75,00173,38274,20373,91074,41375,741Total for TravelsAmerica

7. 7 © 2011 TNS Research methods continued For the follow up survey three groups who had completed the TravelsAmerica study in 2008-2010 were re-contacted. Those groups include: Texas residents Houston residents Houston overnight leisure visitors Potential respondents received email invitations to participate in the follow up survey. The field period ran May 16-26, 2011, somewhat earlier than in prior years (June 16-28 in 2010 and August 11-24, 2009). # of Respondents 2009 # of Respondents 2010 # of Respondents 2011 Sample Group 326471404Past Year Overnight Leisure Visitors (subset of total) 309373296Houston Residents 259664829Texas Residents Outside Of Houston 124143109Non-Texas Residents Who Have Visited Houston 6921,1801,234Total

8. 8 © 2011 TNS Topics Derived from the TNS TravelsAmerica syndication, this third annual report prepared for the Houston CVB for Calendar Year 2010 addresses these topics in this order: TNS TravelsAmerica syndication: Volume of visitors Visitor types (business/leisure; day/overnight) Purpose (business/leisure) and source (Texas resident or not) Source of visitors (top states and top DMAs) Percent of Texas residents visiting Houston Visitor demographics Trip planning (timing and source of information) Trip booking methods Trip characteristics: purpose, transportation, day/overnight, accommodations/ length of stay, travel party, activities, expenditures Destinations: Houston visitors – competitive states Destinations: Houston visitors – competitive cities Satisfaction with Houston.

9. 9 © 2011 TNS Topics The TNS 2011 follow-up survey to Houston visitors and/or Texas residents: Demographics and residence Attributes for choosing a destination – importance and Houston ranking Opinion of own city (the one in which respondent lives) as a leisure destination Image of Houston and competitive cities as “ideal” leisure destination Percent visiting Houston or competitors Visitors’ opinions of Houston vs. competitors on value for the money, experience, likelihood to return, and likelihood to recommend Future visitation Media usage Unaided advertising awareness, media recall, and effect of advertising Aided advertising awareness for specific Houston ads – print, TV commercials, online ads and reactions to them Advertising impact (all ads combined) Website usage and evaluations Houston trip behaviors: number of visits, timing, spending levels, satisfaction General feelings and attitudes – overall travelers and Houston visitors General comments.

10. The Houston Visitor and Brief Abstract

11. 11 © 2011 TNS The typical Houston visitor Houston Visitors Age 45 High Income ($72.800) Married (60%) College Grad (58%) Caucasian (81%) Choose urban activities – shopping, fine dining, urban sightseeing Avoid outdoor activities – rural sightseeing, beaches, national /state parks Have children at home (34%) Act as advisors to friends and family on travel Like to travel to exotic places Will pay more to travel someplace original Drive practical cars Typical US Traveler Age 47 High Income, but less than Houston Visitor ($70,800) Married (58%) College Grad (54%) Caucasian (86%) Choose urban activities at levels similar to Houston visitors Choose more outdoor activities more often than Houston visitors Children at home (33%) Prime (Lucrative) Houston Visitors (Past Year Overnight Visitors) Label readers Will pay more to visit original places Will pay more to save time or for higher quality Will not buy clothes for comfort only – need style too Shoppers, but not bargain hunters Like to travel to exotic places More likely drive an SUV than average

12. 12 © 2011 TNS Brief abstract The recession eases a bit for the travel, but Houston still battles other destinations to attract visitors. Houston can potentially use its advocates to strengthen its tourism image: With 59% of Houston visitors living in Texas, most drive; however, Houston needs to nurture all Texas metro markets as the proportion of Texans that visited Houston in the past three years plunges (22% from 32% in 2009) Overnight leisure visitors shorten their time in Houston, with an average stay that drops by almost half a night in 2010 (3.3 vs. 3.7 in 2009); now placing near the US average (3.4) The proportion intending to visit Houston in the future continues to decline, dropping nearly a third from two years ago (44% from 54% last year and 70% in 2009) among those in the follow- up study More positively, the proportion of leisure overnight visitors remains high (60% of visitors spent the night for leisure in 2010 vs. 61% in 2009 – much higher than the 51% in 2008) and very beneficial for Houston – easier to encourage to stay longer than business travelers and the longer they stay, the more they spend, and the more time they have to enjoy Houston’s features Houston enjoys an above average proportion of business visitors (18%), who generally spend more on each trip (vs. 13% business travelers for US destinations) Houston ranks among the preferred destinations when looking for exciting urban activities, particularly variety of dining options and cultural/performing arts; travelers also highly regard its handicapped accessibility Houston usually outperforms New Orleans and sometimes Dallas/Ft. Worth on the 24 destination attributes Advertising awareness continues to climb (29% from 23% in 2010 and 19% in 2009), suggesting good decisions by GHCVB. The new Jim Parsons commercial edges ahead of the ZZ Top ad for the highest praise Houston has strong advocates who love the city “To see, do, eat, drink, or even think about it, do it in Houston.” Discover ways to harness their support.

13. Executive Summary/Implications

14. 14 © 2011 TNS Executive summary/implications Importance of tourism to Houston Several measures underscore the importance of tourism to Houston: Volume of Visitors. Nationally, US tourism is recovering from the late 2008-2009 recession. Although Houston was more resilient in 2009 than the US as a whole, the reverse occurs in 2010, where Houston loses ground (-8%) while the US (+7%) and Texas (+5%) post gains. Travel Spending in Houston. Although continuing to drop, visitors still spend substantial amounts in Houston, averaging $432 per travel party (from $492 last year). As expected, business travelers ($713) spend more than leisure travelers ($368) and overnight visitors ($435 leisure; $843 business) spend much more than day-trip visitors ($110 leisure). Spending notably more on lodging and transportation, overnight non-Texas residents ($936) average higher spending levels than Houston residents ($476) and non-Houston Texas residents ($421). Source of Visitors. Texas supplies the majority (59%) of Houston visitors; Louisiana ranks a very distant 2nd place (9%). Trip Purpose. Most visitors to Houston are tourists (not business travelers); however, Houston attracts more business travelers than the national average (see business travel below). With proportionately more business travelers, leisure trips fall behind the norm (71% Houston; 79% all trips), but they still make up over two-thirds of all Houston travel. Of all Houston leisure trips, most are overnight (83%). Timing. The heaviest travel to Houston peaks in June – similar to last year. Business Travel. Business travel behaviors/choices differ from leisure travelers; for example, they more often stay in hotels/motels and travel alone. Houston attracts a larger proportion of business travelers than other destinations (18% Houston; 13% total) while also capturing a larger share of personal business/other (10% vs. 8%).

15. 15 © 2011 TNS Executive summary/implications continued Profile: trip and travel characteristics Demographics: Houston Visitors Resemble Visitors Elsewhere, With Some Variations: Visitors from New York City/Chicago/Washington DC ($113,700) report higher earnings than others ($72,800 total Houston visitors), a gap similar to two years ago Ethnicity comparisons with total US travelers show a larger proportion of African American visitors (10% vs. 7%) and Spanish origin (9% vs. 4%) – particularly those from Dallas-Ft. Worth, Austin, or San Antonio (12%, both ethnicities). Travel Planning Horizons Are Short. Many (43%) Houston visitors decide to take the trip within two weeks of departure – similar to the total US (40%). As expected, leisure overnighters (34%) less frequently plan to visit on short notice (within two weeks) than leisure day-trippers (63%) or than Houston residents (67%). Travelers Primarily Rely on “Offline” Information Sources. Houston visitors rely primarily on their own experience (27%) and friends/relatives (21%) to gather travel information, similar to other travelers. Houston Visitors Most Often Book “Online.” More Houston visitors rely on online booking sources (56% vs. 49% all travelers), booking at least one trip element (air/hotel/entertainment/etc.) that way. Most Visitors Drive. Two-thirds (67%) drive to Houston, somewhat less than overall travelers (72%). The greater proportion of overnight business travel to Houston contributes to the above average level of air travel (23% Houston visitors, 17% all travelers). Overnighters Spend More than Day-trippers. Because of the additional time to see/do more things and because they incur lodging expenses, leisure overnight visitors spend more than twice as much as day-trippers ($435 vs. $110). Business overnighters spend the most ($843) with a length of stay similar to overnight leisure (3.4 vs. 3.4 nights leisure). However, overall, Houston visitors spend less money and time (# of overnights) in Houston than last year.

16. 16 © 2011 TNS Executive summary/implications continued Houston Relies on Texas Tourism Houston Attracts Texans. Proximity plays a substantial role in Houston tourism. Over half (59%) of visitors live in Texas; Louisiana, in second place, contributes far fewer (9%). The top six city sources are in Texas (led by Houston, Dallas-Ft. Worth, Austin, and San Antonio). Geography influences competitive market set. Dallas-Ft. Worth, Austin, and San Antonio residents prefer southern or western states for additional vacation travel while New York, Chicago, and Washington DC residents take additional vacations clustered in the Northeast plus Florida and California. Despite this polarization, both groups most often select Florida and California as places they want to visit in the future. Houston Tends to Trail San Antonio in Image and Attribute Rankings Preference for Houston depends on visitation. Past year overnight leisure travelers prefer Houston on most destination attributes. However, travelers as a whole more often choose San Antonio when comparing Texas metropolitan areas. San Antonio excels (over Houston and other competitors) on attributes ranked most important in a travel destination including good value for the money, reasonable costs, friendly/welcoming, lots to see/do, and good service. Travelers view Houston as competitive to other areas for urban activities, notably variety of dining options and cultural/performing arts. Opinion ratings of Houston remain positive, but trail other Texas cities. The majority of visitors perceive Houston positively in most ratings, virtually unchanged from last year: overall opinion (49% from 51%), value for the money (60%; 61%), experience in Houston (69%; 68%), likely to return (69%; 70%), and a place to recommend (64%; 65%). However, visitors to other Texas cities rate those cities more strongly, especially San Antonio (80%, 75%, 87%, 86%, 88% respectively).

17. 17 © 2011 TNS Executive summary/implications continued Advertising Awareness Directly Relates to Distance from Houston and Visitation Houston’s unaided ad awareness trails San Antonio. San Antonio leads in overall unaided ad awareness (32%), above all other Texas cities in the study (Houston 16%, DFW at 15%, and Austin 13%). Past year visitors (21%) and Houston residents (21%) most often remember a Houston ad. Among the GHCVB ads, overall awareness increases from last year. Print ad awareness remains about the same (12% from 13%), but television recall (25% from 13%) nearly doubles – indicating memorable ads that target potential visitors. Even without measuring online ads this wave, nearly one in three remembers at least one ad (29% from 23% in 2010 and 19% in 2009). The Jim Parsons commercial generates a better impression of Houston than other ads. The Jim Parsons commercial improves perceptions of Houston more than any other ad (43% vs. 36% for ZZ Top, 31% for Lyle Lovett; and 13% for the print ads). People like both the Jim Parsons and ZZ Top commercials. Viewers rate its likeability very highly (65% Jim Parsons; 64% ZZ Top; 56% Lyle Lovett; 28% for the print ads). Finally, both Jim Parsons and ZZ Top commercials build higher interest in future visitation. More viewers think they will travel to Houston because of these ads than other ads (25% Jim Parsons; 24% ZZ Top; 20% Lyle Lovett; 15% for the print ads). Advertising effectiveness for Houston. Advertising generates about one out 10 visits to Houston – not counting the effective on any online advertising. Greater Houston CVB Website – Value Still Key Destination website users look for deals. More travelers choose savings/value as the top desired feature in a travel destination website while save money ranks 20 th out of 22 statements about the GHCVB website by its users. Thus, Houston has an opportunity to improve already high levels of satisfaction by making savings/value a stronger element. Houston Generates Good Levels of Satisfaction, but Declines From the Past Satisfaction Varies by Proximity. Continuing to decline (57% extremely/very satisfied from 62% last year and 71% in 2009), a majority of visitors still grant Houston high praise (necessary for strong word- of-mouth “advertising”). Houston residents, especially, seem most satisfied and perceive improvement from last year (82% from 71%).

18. 18 © 2011 TNS Executive summary/implications continued Assessment Houston Draws The Business Traveler. As companies continue to cut spending in harsh economic conditions and find alternatives to face-to-face meetings, company travel budgets will continue to decrease. Houston will need to counter this trend by remaining attractive to business travelers, but also by spurring greater interest as a leisure destination as well. Key images to underscore in promoting Houston include its value (a growing concern) and urban appeal. Houston Visitors Are Within “Easy Reach.” Since many live within easy access to Houston, visitors need less time to plan/decide trips. Thus, marketing can be flexible in media choices, can develop quick promotions, and probably see results faster than destinations which rely on more distant markets. Houston Leisure Travel Potentially More Lucrative. With nearly two-thirds (63%) of Houston overnighters currently opting to stay in a hotel, Houston already excels in encouraging guests to use paid accommodations. However, finding ways to encourage these travelers to stay more days in the city could increase tourism spending – especially if hotels can capture more of those visiting friends and family. Tough Economy Impacts Tourism. The general downturn noted for the US economy hit the discretionary-income-dependent tourism industry especially hard. Houston still struggles to build tourism as the US as a whole begins to recover. Emphasis on Houston as a culturally diverse cosmopolitan city near the gulf can attract more overnight leisure visitors and strong advertising (continuously improving) will help the city become more competitive. Messaging. Promoting hotels’ affordability, relaxation value, avoidance of being an intrusive houseguest, and easy access to Houston’s cosmopolitan dining/entertainment could entice travelers to choose paid accommodations. Media. Most people view television (83%) and Internet sites (92%) daily, with vast messaging potential … however, capturing the attention of the target population of potential visitors remains the challenge.

19. Appendix I: Detailed Results of the Research From TravelsAmerica Syndicated Survey

20. 20 © 2011 TNS Volume of visitors Market Overview (Person Trips): Compared to the prior year, 2010 person-trips gain in the US and Texas, but continue to erode in Houston as follows: All US Trips ( +7%; to 913 million); Texas (+5%; to 63 million); Houston (-8%; to 9 million). Although declining, Houston tourism gained in Quarter 3, as it collected a large share of travelers in the traditionally heavy summer travel season (July – September). As the economy began to stabilize in 2010, most tourism began to rebound, but Houston continues to lag its prior levels through most of the year. Q4a. Please indicate the US state(s) visited (Person Trips - proj.) (day or overnight trip) Q4d. Please indicate the US cities(s) visited (Person Trips - proj.) (day or overnight trip) US, Non-Texas 871,714,000 US, Non-Texas 506,332,000 US, Non-Texas 344,539,000 CY 2006CY 2007CY 2008CY 2009CY 2010 2009 - 2010 % Change Type of Person Trips (Visitors) Total US1,084,344,0001,233,242,000938,563,000852,967,000913,318,000+7% Total Texas80,625,00076,424,00066,849,00060,409,00063,318,000+5% Total Houston12,087,00012,661,0009,488,0009,812,0009,010,0000-8% Q12,838,0002,994,0002,302,0002,283,0002,062,000-10% Q22,793,0002,787,0002,649,0002,706,0002,075,000-23% Q33,109,0003,218,0002,310,0001,977,0002,488,000+26% Q43,348,0003,661,0002,227,0002,847,0002,385,000--16%

21. 21 © 2011 TNS Visitor types Day/Overnight Varies by Type of Trip: Trips of 50+ miles typically involve an overnight stay for both Business and Leisure trips Houston hosts far more leisure than business visitors – and nearly matches the level of last year. Houston VISITORS by TYPE Base: Houston Visitors PB*: Personal Business/Other Total: Day 19% Overnight 81% Leisure: Day 17% Overnight 83% Q1b. Please select the primary purpose for trips... (demo wtd; trip level) Leisure = 71% Leisure = 67% Leisure = 73%

22. 22 © 2011 TNS Trip purpose/visitor source Overall: Almost three-quarters (71%) of Houston visitors primarily travel for leisure – slightly fewer than for total US visitors (79%) and for the state of Texas (74%), but all three areas remain near the prior year. Somewhat more than half (58%) of Houston visitors live in Texas – very consistent with the past. Trip/Visitor Characteristics % of Visitors to State TYPE OF TRIP Base: Visitors to Houston; Texas; US LOCATION OF RESIDENCE Base: Visitors to Houston Q1b. Which of the following was the PRIMARY purpose of trip to... (Household Trip Level – demo wtd, not adjusted for travel party size) Panel: Residence of visitors (Household Level)

23. 23 © 2011 TNS Visitor source by state/DMA Proximity Counts: As noted earlier, more than half (59%) of visitors reside in Texas Nearby Louisiana and more populated states (CA, IL, FL) also contribute heavily to Houston’s tourism Texas DMAs, particularly Dallas-Ft. Worth, and larger US cities add the most visitors to the count. Source of Visitors: Top States (1%+) Base: Visited Houston % of Visitors Residing in... Panel: State/DMA residence of those who visited Houston (Household Level) Source of Visitors: Top DMAs (2%+) Base: Visited Houston % of Visitors Residing in...

24. 24 © 2011 TNS Destinations: Houston visitation A Different Viewpoint – How Many Texans and Non-Texans Visit Houston: Fewer Texans remember visiting Houston than in the past (1 to 3 years) or plan to visit Houston in the next 2 years than in the last two surveys – underscoring the competitive travel destination environment Typical of most destinations, Houston draws over half of its visitors from within the state (59%, shown earlier). Non-Texans have many destinations from which to choose, with only a few (2%) visiting Houston in the past three years. Non-Texans contribute not quite half (41%, also shown earlier) of Houston’s total tourism. NON-TEXAS RESIDENT TEXAS (Non-Houston) RESIDENT Visitation Patterns for Houston – Household Level, All Travelers Q8a: Please indicate US cities visited for leisure in past three years. Q8b. Please indicate cities visited within the past 12 months. Q8c: Which US cities plan to visit within the next two years for leisure? (Household Level)

25. 25 © 2011 TNS Visitor demographics Houston Visitors Resemble Visitors to Other Areas, With a Few Variations: Houston visitors closely mirror the incomes of both overall US and Texas travelers. Although a very small sample, those living in New York, Chicago, or Washington, DC continue to report higher earnings, Overall household composition for Houston visitors often (44%) includes three or more people in the household – similar to overall US travelers – thus, the family market is important for Houston Ethnicity comparisons show a larger proportion of Houston visitors, especially those from Dallas Ft. Worth, Austin, and San Antonio are African-American, as noted last year as well. Panel: Age, Income, Children, Ethnicity. (Household Level – demo wtd) CY 2010 Demographics All Travelers Texas Visitors Houston Visitors Houston Visitor & Houston Resident Houston Visitor & DFW/Austin/San Antonio Resident Houston Visitor & NY/Chicago/DC Resident* Average Age474645 4450 Average Hhld Income$70,800$70,600$72,800$69,100$73,600$113,700 % Male38%40%36% 39%70% % Married58%61%60%56%60%85% Household Composition % One Person22%21%23%19%26%7% % Two People353433372959 % Three or More434544 4534 Ethnicity % Caucasian86%85%81%85%76%87% % Spanish Origin489812- % African-American77108127 *Very small sample (12); treat as qualitative only

26. 26 © 2011 TNS Visitor demographics CY 2009 Demographics All Travelers Texas Visitors Houston Visitors Houston Visitor & Houston Resident Houston Visitor & DFW/Austin/San Antonio Resident Houston Visitor & NY/Chicago/DC Resident* Average Age46 44464348 Average Hhld Income$67,800$67,400$67,200$53,300$69,900$80,900 % Male39%41%39%44%39%25% % Married596360476946 Household Composition % One Person22%19%24%31%20%37% % Two People353634303334 % Three or More444543394730 Ethnicity % Caucasian85%86%79%80%73%82% % Spanish Origin487880 % African-American8712111614 *Very small sample; treat as qualitative only Prior year data provided for ease of comparison Panel: Age, Income, Children, Ethnicity. (Household Level – demo wtd)

27. 27 © 2011 TNS Visitor demographics 2008 data provided for ease of comparison CY 2008 Demographics All Travelers Texas Visitors Houston Visitors Houston Visitor & Houston Resident Houston Visitor & DFW/Austin/San Antonio Resident Houston Visitor & NY/Chicago/DC Resident* Average Age464544454346 Average Hhld Income$65,300$67,700$73,500$67,600$70,800$105,400 % Male43%46%47%44%43%68% % Married58626665 79 Household Composition % One Person22%20%19% 21% % Two People343530352919 % Three or More444551475260 Ethnicity % Caucasian86% 81%91%79%85% % Spanish Origin464130 % African-American891241510 *Very small sample; treat as qualitative only Panel: Age, Income, Children, Ethnicity. (Household Level – demo wtd)

28. 28 © 2011 TNS Visitor age distribution Greater Detail by Age: Shows that Houston consistently draws slightly fewer older visitors than other destinations Visitors from New York, Chicago, or Washington, DC more often place in the middle age group; relatively few young adults from these markets visit Houston. Age of Visitor QD. How old are you... (Respondent Level, demo weighted) CY 2009 CY 2008 CY 2010 US TravelersTexas VisitorsHouston VisitorsHouston Visitor & Houston Resident Houston Visitor & DFW/San Antonio/Austin Resident Houston Visitor & NY/Chicago/DC Resident* *Very small sample (12 in CY 2010); treat as qualitative only

29. 29 © 2011 TNS Trip planning: timing Logical Patterns Occur for Trip Planning: With fewer travel considerations (such as lodging or number of meals), day-trip visitors to Houston as well as Houston residents have the freedom to be much more spontaneous – considering and deciding within two weeks of the trip Overnight business travelers spend less time planning a trip than overnight leisure travelers Houston visitors from Houston continue to plan (consider and decide to take) trips with much shorter time horizons than travelers from farther away Slightly fewer Houston visitors take three months or more to consider and decide on a trip than all US travelers combined. Q4i. Please indicate how far in advance you considered traveling to... // Decided to visit... (State Level-demo wtd) CY 2010 Trip Planning (Time Before Visit) All Travelers Houston Visitors Total Houston Visitors Ls Overnight Houston Visitors Ls Day Trip Houston Visitors Bz Overnight* Houston Visitors & Houston Residents Houston Visitor & DFW/Austin/ San Antonio Resident Houston Visitor & NY/Chicago/DC Resident** Considered Within Two Weeks 32%34%23%55%38%60%30%9% 2 – 4 Weeks 14131551461622 1 – 3 Months 2022241925152615 3+ Months 3431392223202855 Decided Within Two Weeks 40%43%34%63%42%67%40%9% 2 – 4 Weeks 1516181115141722 1 – 3 Months 201820142532431 3+ Months 2623291318151939 *Business (Bz) Day Trips not shown (too few for reliable comparisons) ** Very small sample; treat as qualitative only

30. 30 © 2011 TNS Trip planning: timing Q4i. Please indicate how far in advance you considered traveling to... // Decided to visit... (State Level-demo wtd) CY 2009 Trip Planning (Time Before Visit) All Travelers Houston Visitors Total Houston Visitors Ls Overnight Houston Visitors Ls Day Trip Houston Visitors Bz Overnight * Houston Visitors & Houston Residents Houston Visitor & DFW/Austin/Sa n Antonio Resident Houston Visitor & NY/Chicago/DC Resident** Considered Within Two Weeks 32%34%24%68%35%54%35%27% 2 – 4 Weeks141514626122024 1 – 3 Months2024281219172313 3+ Months3427351520172337 Decided Within Two Weeks 41%42%33%74%42%62%44%27% 2 – 4 Weeks1517 925131924 1 – 3 Months192024717132021 3+ Months2521271116131728 *Business (Bz) Day Trips not shown (too few for reliable comparisons) ** Very small sample; treat as qualitative only Prior year data provided for ease of comparison

31. 31 © 2011 TNS Trip planning: timing Q4i. Please indicate how far in advance you considered traveling to... // Decided to visit... (State Level-demo wtd) CY 2008 Trip Planning (Time Before Visit) All Travelers Houston Visitors Total Houston Visitors Ls Overnight Houston Visitors Ls Day Trip Houston Visitors Bz Overnight * Houston Visitors & Houston Residents Houston Visitor & DFW/Austin/Sa n Antonio Resident Houston Visitor & NY/Chicago/DC Resident** Considered Within Two Weeks 34%37%25%58%41%64%33%16% 2 – 4 Weeks141514132116159 1 – 3 Months192126121892548 3+ Months3326351620112726 Decided Within Two Weeks 42%46%34%70%47%72%45%19% 2 – 4 Weeks1517 1323121618 1 – 3 Months19172241551938 3+ Months252128 1316111926 *Business (Bz) Day Trips not shown (too few for reliable comparisons) ** Very small sample; treat as qualitative only 2008 data provided for ease of comparison

32. 32 © 2011 TNS Trip Planning Sources: To be selected, destinations must provide potential travelers with information that encourages visits: Generally, Houston visitors use similar information sources as other travelers However, compared to last year, they rely slightly less on online sources but about the same as total travelers. Trip planning: sources of information Information Sources to Plan a Trip Ranked by All Sources (5%+) Q4j. What sources did you use in planning your trip to... (State Level – demo wtd)

33. 33 © 2011 TNS Trip booking Trip Booking Methods: Travelers, especially Houston visitors, place greater emphasis on online than offline channels: Houston visitors book online more often (56% vs. 49%) than all travelers and, consequently, book offline less often (29% vs. 38%) Compared to a year ago, booking via an online travel provider slips among Houston visitors, but still exceeds that for total travelers (19% vs. 15%). Method Used to Book Trip Components Ranked by All Sources (5%+) Q4k. Please indicate the method(s) you used to book your trip... (State Level – demo wtd)

34. 34 © 2011 TNS Trip characteristics: purpose & transportation Most Visitors Come to Houston to Play: Three-quarters (71%) of Houston visitors come primarily for leisure, often to visit friends/relatives (52%) Although most come to play, Houston draws more business travelers than the national average (18% vs. 13%), especially those traveling from New York, Chicago, and Washington, DC (41%). Q1b: Which was the primary purpose of trip? Q2b: Which was the primary mode of transportation? (Trip Level – demo wtd) CY 2010 All Travelers Houston Visitors Total Houston Visitors Ls Overnight Houston Visitors Ls Day Trip Houston Visitors Bz Overnight* Houston Visitors & Houston Residents Houston Visitor & DFW/Austin/ San Antonio Resident Houston Visitor & NY/Chi/DC Resident** PRIMARY TRIP PURPOSE NET Leisure/Personal79%71%100% --75%73%52% Visit Friends/ Relatives41527751--445641 Entertainment/Sightsee137917--13412 Outdoor Recreation7225--52 NET Business1318-- 10091941 Personal Bs/Other68-- 145-- PRIMARY MODE % Own Auto/Truck72%67%72%89%28%89%86%15% % Air Travel1723203574480 % Rental Car 4551837-- % Other 3317323-- *Business (Bz) Day Trips not shown (too few for reliable comparisons) ** Very small sample; treat as qualitative only

35. 35 © 2011 TNS Trip characteristics: purpose & transportation Q1b: Which was the primary purpose of trip? Q2b: Which was the primary mode of transportation? (Trip Level – demo wtd) CY 2009 All Travelers Houston Visitors Total Houston Visitors Ls Overnight Houston Visitors Ls Day Trip Houston Visitors Bz Overnight* Houston Visitors & Houston Residents Houston Visitor & DFW/Austin/San Antonio Resident Houston Visitor & NY/Chicago/D C Resident** PRIMARY TRIP PURPOSE NET Leisure/Personal79%73%100% --77%76%37% Visit Friends/Relatives42517360--495431 Entertainment/Sightsee138920--1154 Outdoor Recreation7231--14 NET Business1318-- 100%61656 Personal Bs/Other810-- 1777 PRIMARY MODE % Own Auto/Truck71%65% 97%27%90%87%11% % Air Travel1824231574672 % Rental Car 455--9239 % Other 86727449 *Business (Bz) Day Trips not shown (too few for reliable comparisons) ** Very small sample; treat as qualitative only Prior year data provided for ease of comparison

36. 36 © 2011 TNS Trip characteristics: purpose & transportation Q1b: Which was the primary purpose of trip? Q2b: Which was the primary mode of transportation? (Trip Level – demo wtd) CY 2008 All Travelers Houston Visitors Total Houston Visitors Ls Overnight Houston Visitors Ls Day Trip Houston Visitors Bz Overnight* Houston Visitors & Houston Residents Houston Visitor & DFW/Austin/San Antonio Resident Houston Visitor & NY/Chicago/D C Resident** PRIMARY TRIP PURPOSE NET Leisure/Personal77%67%100% --72% 51% Visit Friends/Relatives41487755--455334 Entertainment/Sightsee126715--765 Outdoor Recreation 7357--834 NET Business1521-- 100%161116 Personal Bs/Other 812-- 121833 PRIMARY MODE % Own Auto/Truck70%66%69%96%34%89%83%17% % Air Travel1824213525771 % Rental Car 455--10275 % Other 85514437 *Business (Bz) Day Trips not shown (too few for reliable comparisons) ** Very small sample; treat as qualitative only 2008 data provided for ease of comparison

37. 37 © 2011 TNS Most Trips Include an Overnight Stay: Most (71%) domestic (US) trips include an overnight stay, similar to Texas visitors, and rises for Houston visitors (77%) Houston continues to draw a larger share overnight visitors – especially among those traveling on business. Trip characteristics: day/overnight DAY/OVERNIGHT TRIPS % of Trips to Area Base: Trips to Houston; Texas; Total US Q4e. Please specify which visits included at least one overnight stay... (State/Area Level-demo wtd) CY 2010 CY 2008 CY 2009

38. 38 © 2011 TNS Trip characteristics: lodging and length of stay Q4f: Please specify the number of nights stayed at each listed accommodation. (State Level – demo wtd) LODGING All Travelers Houston Visitors Total Houston Visitors Ls Overnight Houston Visitors Ls Day Trip Houston Visitors Bz Overnight* Houston Visitors & Houston Residents Houston Visitor & DFW/Austin/San Antonio Resident Houston Visitor & NY/Chicago/DC Resident** CY 2010 AVG # NIGHTS (if any)3.4 3.3-3.42.22.75.1 Private Home1.51.72.0-0.40.91.52.2 Hotel/Motel1.21.30.9-2.81.11.02.9 All Other0.20.1 -0.2- 0.0 CY 2009 AVG # NIGHTS (if any)3.43.63.7--3.42.92.43.9 Private Home1.62.12.6--0.62.21.42.3 Hotel/Motel1.2 0.8--2.70.60.71.5 All Other0.60.3 --0.1 0.30.2 CY 2008 AVG # NIGHTS (if any)3.23.84.0--3.64.12.74.0 Private Home1.52.22.9--0.42.81.41.8 Hotel/Motel1.2 0.6--2.60.40.92.2 All Other0.50.40.5--0.40.80.50.1 *Business (Bz) Day Trips not shown (too few for reliable comparisons) ** Very small sample; treat as qualitative only Most Visitors Spend a Few Days in Houston: Business and leisure overnight visitors spend a similar number of nights in Houston (3.3 to 3.4 nights), but business travelers stay in hotels (82% of nights) at three times the rate of leisure travelers (27%) The shortest stays (2.2 nights) occur among Houston residents – who probably more often opt for a short getaway The length of stay shortens for overall Houston visitors for the second year in a row.

39. 39 © 2011 TNS Trip characteristics: travel party Travel companions vary by purpose of the trip: Over a third of Houston’s leisure visitors arrive in pairs, both day (38%) and overnight (37%) Business travelers sometimes have one companion (14%), but usually travel solo (68%, not shown) As expected, leisure travelers more likely travel with children (30% vs. 8% business travelers). Q3a: Please indicate number of travel party members (including yourself) under 18 and 18+. (Trip Level-demo wtd) Trip Characteristics (Trip Level) All US Travelers Houston Visitors Total Houston Ls Visitors Houston Ls Visitors – Overnight Houston Ls Visitors – Day Trip Houston Bz Visitors – Total CY 2010 AVERAGE # IN TRAVEL PARTY (Q3a)2.72.6 2.52.83.1 % Travel in Pairs38%34%37% 38%14% % Traveling with Children26243029378 Avg. # of Children on Trip (if any)2.1 2.0 2.7 Average # in Travel Party in Household2.0 2.1 2.41.3 CY 2009 AVERAGE # IN TRAVEL PARTY (Q3a)2.72.32.5 1.6 % Travel in Pairs38%35%38%37%41%15% % Traveling with Children273036 385 Avg. # of Children on Trip (if any)2.11.71.81.71.81.3 Average # in Travel Party in Household2.0 2.2 2.11.3 CY 2008 AVERAGE # IN TRAVEL PARTY (Q3a)2.82.32.7 2.51.6 % Travel in Pairs37%32%36%34%46%19% % Traveling with Children27 3538274 Avg. # of Children on Trip (if any)2.11.821.841.91.51.6 Average # in Travel Party in Household2.0 2.3 2.11.2

40. 40 © 2011 TNS Trip characteristics: vacation activities/attractions Activities Participated/Attractions Visited % Participated/Visited – Ranked by Houston Visitors (Activities with 2% or fewer for Houston not shown) Q4h. When you visited (state) during trip/month, please check all of the following activities did/attractions visited. (State Level-demo wtd) Top Vacation Activities/Attractions: Somewhat different from total US travelers, Houston visitors more often visit for social engagements -- visiting relatives and visiting friends capture two of the top three spots. Urban highlights such as shopping, fine dining, and urban sightseeing round out the most popular activities while more outdoorsy options (rural sightseeing, beaches, and State/National Park) lag the national average.

41. 41 © 2011 TNS Trip characteristics: expenditures by type of travel Note: Transportation includes parking/tolls. Food includes food/beverage/dining/groceries. Entertainment includes gaming. Other includes amenities/other. Average Spending in Houston by Trip Type Total Spending by Travel Party (Total Spending, including 0) Total Visitors Q4g. Please indicate the total dollar amount spent by your travel party (all) in Texas (Houston) for... (State Level-demo wtd) Leisure Total Business Total Leisure Overnight Leisure Day Business Overnight Spending CY 2008CY 2009 $508$492 $416$398 $911$821 $501$448 $153$196 $1,010$932 Value of Visitors by Type of Trip: Overnight LEISURE visitors spend three times as much as day-trip visitors ($432 vs. $110) With no lodging expense, Houston day visitors spend a greater proportion of their budget on shopping Usually staying in hotels, business travelers almost double leisure travelers’ spending ($713 vs. $368) Houston visitors feel the impact of the economy – all groups spend less than in the prior year.

42. 42 © 2011 TNS Destinations: competitive states Southern State Destinations Compete with Houston: Houston visitors who live in Texas usually choose other southern or western states for additional vacation travel; conversely, Houston visitors who live in New York, Chicago, or Washington DC tend to travel in the North. Florida and California rank highly for both groups – especially as a destination of interest for future travel. Other States Visited/Planned by Houston Visitors (Key Competitors) % Visiting State/DMA Past Three Years (Ranking), Past Year, Planned Next Two Years Top States: DFW/Austin/San Antonio Residents Base: Visited Houston Top States: NY/Chicago/DC Residents* Base: Visited Houston Q7a: Please indicate US states visited for leisure in past three years. Q7b. Please indicate states visited within the past 12 months. Q7c: Which US states plan to visit within the next two years for leisure? (Household Level) * Caution: Very small base

43. 43 © 2011 TNS Destinations: competitive cities Other Texas Cities Attract Houston Visitors: Houston visitors within Texas often visit other Texas destinations (Dallas/Ft. Worth and San Antonio) Residents of the larger cities tend to travel to other larger cities. Other Areas Visited/Planned by Houston Visitors (Key Competitors) % Visiting State/DMA Past Three Years (Ranking), Past Year, Planned Next Two Years Q8a: Please indicate US cities visited for leisure in past three years. Q8b. Please indicate cities visited within the past 12 months (too few to show on NY/Chicago/DC chart) Q8c: Which US cities plan to visit within the next two years for leisure? (Household Level) Top Cities: DFW/Austin/San Antonio Residents Base: Visited Houston Top Cities: NY/Chicago/DC Residents* Base: Visited Houston * Caution: Very small base

44. 44 © 2011 TNS Satisfaction: Houston by residence Overall Satisfaction with Houston: Houston satisfies more than four out of five (84%) visitors, similar to the prior two years In total, few visitors (2% - 4%) express displeasure with Houston, but NY/Chicago/DC residents seem more reluctant to assign the higher levels of praise (extremely/very satisfied), especially in CY 2010. Satisfaction with Houston Visit By Group (Base) Q4l: Using a scale of 1-5 (5=extremely satisfied), please indicate satisfaction with Houston. (State Level-demo wtd.) SomewhatNot PleasedVeryExtremely * Very small sample; treat as qualitative only Note: Not pleased includes Not At All and Not Very Pleased NET Top Two 84% 87% 69% 86% 88% 86% 84% 87% 79% Total Houston Visitors DFW/Austin/San Antonio Residents NY/Chicago/DC Residents* Total Houston Visitors DFW/Austin/San Antonio Residents NY/Chicago/DC Residents* Total Houston Visitors DFW/Austin/San Antonio Residents NY/Chicago/DC Residents* CY 2010 CY 2008 CY 2009

45. Appendix IIa: Results of the Research From Follow-up Survey: Opinions About Houston and Competitors

46. 46 © 2011 TNS Demographics Characteristics vary slightly by residence: Non-Texas residents continue to report the highest income and education levels; thus, Texas residents report lower income and education levels Houston residents continue to have a slightly higher share of African- Americans while slightly more Texas residents outside of Houston claim Spanish heritage, especially in 2009 and 2010. QA. What is your age? // QB. Are you... (male/female) // Panel: Income, Ethnicity. 2010 Survey Average Age 5352 535250 Average Hhld Income $68,300$73,000$72,600$63,100$81,700$72,800 % Male 34%38%34%33%38%35% % Married 646664 66 % College Grads+ (Males)353936324638 Ethnicity % Caucasian 8682 87 75 % Spanish Origin 6858311 % African-American 89107817 2009 Survey Average Age 504951 4952 Average Hhld Income $71,500$74,500$70,200$69,600$78,800$74,800 % Male 29% 28%27%32%26% % Married 64 66636166 % College Grads+ (Males)353834 4140 Ethnicity % Caucasian 86 82889081 % Spanish Origin 897103 % African-American 87116410 2011 Survey Demographics All Travelers Past Yr. O/N Leisure Visitors Houston Residents Other Texas Residents Non-Texas Residents Website Visitor Average Age 535253 5152 Average Hhld Income $67,800$71,200$72,800$64,900$77,000$66,800 % Male 34% 32%34%35%34% % Married 65 66656465 % College Grads+ (Males)323733314135 Ethnicity % Caucasian 86%81%82%87%84%74% % Spanish Origin 656754 % African-American 811 6917

47. 47 © 2011 TNS Residence City of residency: The majority of respondents (72%) live within Texas, similar to last year (71%) A declining share lives in Houston (24% in 2011) while more live in other parts of Texas, especially Dallas/Ft. Worth The proportion outside of Texas remains relatively stable. City of residence comes from TNS panel. 2009 Survey 2010 Survey Houston DFW Austin San Antonio New York/ Chicago/ DC Other 2011 Survey

48. 48 © 2011 TNS Attribute importance Important attributes when choosing a destination: Those who have traveled to Houston overnight for leisure within the past year rank destination attributes similarly to other travelers; however: They give a slight edge to cosmopolitan features (dining, culture/performing arts, and alternate lifestyles) Family/children also ranks higher for Houston overnight leisure visitors than others Few shifts appear in the importance of attributes over time. Attribute Importance (% Top 2 Box) Ranked by Total Q1a/b. Abridged: Using a scale of 1 (not at all important) to 5 (extremely important) please rate the importance of each of the following attributes when selecting a destination. *PY O/N Leisure HV = Past Year Overnight Leisure Houston Visitor

49. 49 © 2011 TNS Attribute importance Important attributes when choosing a destination: Regardless of geography, travelers tend to agree on the important aspects of a travel destination. Attribute Importance (% Top 2 Box) Ranked by Total Q1a/b. Abridged: Using a scale of 1 (not at all important) to 5 (extremely important) please rate the importance of each of the following attributes when selecting a destination.

50. 50 © 2011 TNS Preference for Houston Ranked by Total Importance (top 2 box) Q2a/b. For each of the attributes mentioned below, please select the destinations you prefer... % selecting each city. Houston tends to place equal to or slightly above last year, but generally below 2009 in preference; however, it maintains the general pattern of strengths: Houston receives the highest marks on variety of dining options, lots to see/do, easy accessibility, and something for everyone Travelers also recognize Houston for its culture/ performing arts and cultural diversity The weakest scores occur for: the preferred place for overnight leisure vacations, friendliness to alternative lifestyles, and hip/fashionable. Good Value for Money (89%) Reasonable Hotel/Meal Costs (83%) Friendly/Welcoming (83%) Lots to See/Do (83%) Good Service (82%) Whether/Climate (82%) Easily Accessible (79%) Variety of Dining Options (74%) Explore/Sight-see by Car (68%) Something for Everyone (65%) Experience History/Culture (61%) Accurate Website (57%) Prefer for O/N Leisure (56%) Easy to Use Website (44%) Good for Family/Children (46%) Culture/Performing Arts (38%) Culturally Diverse (38%) Good Reviews on Travel Websites (34%) Good Nightlife/Entertainment (31%) Friends/Relatives Recommend (33%) Family/Roots There (28%) Friendly to Alternate Lifestyles (23%) Accessible for Disabled (22%) Hip/Fashionable (15%)

51. 51 © 2011 TNS Preference for each Texas city Ranked by Total Importance (top 2 box) Q2a/b. For each of the attributes mentioned below, please select the destinations you prefer... % selecting each city. Travelers view Houston as comparable with other major Texas cities on many destination attributes while San Antonio excels on most attributes, including those with the highest overall importance: Travelers view Houston as competitive among these five cities on variety of dining options, cultural/performing arts, family/roots there, and accessibility for disabled Houston trails San Antonio and Austin and sometimes others on the six overall most important attributes: good value for the money, reasonable costs, friendly/welcoming, lots to see/do, good service, and weather/climate In contrast, Houston usually outperforms New Orleans and sometimes Dallas-Ft. Worth, especially on cultural diversity. Good Value for Money (89%) Reasonable Hotel/Meal Costs (83%) Friendly/Welcoming (83%) Lots to See/Do (83%) Good Service (82%) Whether/Climate (82%) Easily Accessible (79%) Variety of Dining Options (74%) Explore/Sight-see by Car (68%) Something for Everyone (65%) Experience History/Culture (61%) Accurate Website (57%) Prefer for O/N Leisure (56%) Easy to Use Website (44%) Good for Family/Children (46%) Culture/Performing Arts (38%) Culturally Diverse (38%) Good Reviews on Travel Websites (34%) Good Nightlife/Entertainment (31%) Friends/Relatives Recommend (33%) Family/Roots There (28%) Friendly to Alternate Lifestyles (23%) Accessible for Disabled (22%) Hip/Fashionable (15%)

52. 52 © 2011 TNS Preference for Houston Ranked by Total Importance (top 2 box) Q2a/b. For each of the attributes mentioned below, please select the destinations you prefer... % selecting each city. As expected, since a visit indicates strong interest almost by definition, those who visited Houston overnight for leisure in the past year tend to rank Houston very high on most attributes; Houston residents join them in the accolades: Past year overnight Houston leisure visitors prefer Houston as a destination more often than the average for all travelers on every attribute Consistent with results from last year, Non-Houston Texas residents least prefer Houston as a destination on every attribute Houston residents make good advocates – consistently preferring Houston, especially for dining, accessibility, a place with something for everyone, culture and performing arts, cultural diversity, friendly/ welcoming, and as a place good for family/children. Good Value for Money (89%) Reasonable Hotel/Meal Costs (83%) Friendly/Welcoming (83%) Lots to See/Do (83%) Good Service (82%) Whether/Climate (82%) Easily Accessible (79%) Variety of Dining Options (74%) Explore/Sight-see by Car (68%) Something for Everyone (65%) Experience History/Culture (61%) Accurate Website (57%) Prefer for O/N Leisure (56%) Easy to Use Website (44%) Good for Family/Children (46%) Culture/Performing Arts (38%) Culturally Diverse (38%) Good Reviews on Travel Websites (34%) Good Nightlife/Entertainment (31%) Friends/Relatives Recommend (33%) Family/Roots There (28%) Friendly to Alternate Lifestyles (23%) Accessible for Disabled (22%) Hip/Fashionable (15%)

53. 53 © 2011 TNS Cities “good to visit” for non-resident visitors Evaluating city of residence: A destination’s own residents can be the best ambassadors for the city. Houston’s populace knows the city best, often scoring Houston above the average of other cities by their residents: Houston residents see their city as an active urban playground with strikingly above average scores for dining variety (77% Houston; 65% Other TX; 59% Non-TX), culturally diverse (69%; 55%; 44%), shopping (68%; 56%; 44%), and culture/ performing arts (61%; 46%; 39%). In contrast, Houston residents would not be as quick to recommend the city for a relaxing vacation or weather/climate. Attribute Description of City by Residents (% Top 2 Box) Ranked by Houston Residents Q3. Now, please think about the city where you live. Please rate how well each statement describes your city as a leisure destination for those who do not live there.

54. 54 © 2011 TNS Houston “good to visit” trends Compared to prior years, a few trends appear: Houston residents see their city as increasingly culturally diverse (69% from 58% in 2009), tolerant of the weather (52% from 40%), and accepting of alternate lifestyles (51% from 41%). No attribute trends steadily downward. Attribute Description of Houston (% Top 2 Box) Ranked by Houston Residents Q3. Now, please think about the city where you live. Please rate how well each statement describes your city as a leisure destination for those who do not live there.

55. 55 © 2011 TNS Quality of cities as destinations Q4. Now, we would like you to rate each of the listed cities, whether or not you live there or have visited them, on a 10-point scale (10=perfect; 1=terrible). Taking into account everything you look for in a leisure destination, how would you rate each city? Similar to attribute rankings, travelers generally rate San Antonio higher than other cities when thinking of “everything you look for in a leisure destination”: Houston places last among the five cities tested Residents of Texas cities outside Houston rate Houston lower than other groups (42%) Past year overnight leisure Houston visitors (65%), Houston residents (64%), and non-Texas residents (64%) rate the city higher than Houston or other Texas residents. Perfect Good Average Poor Opinion of Each City Opinion of Houston NET Perfect + Good: 49%58%69%80%59%49%65%64%42%64%

56. 56 © 2011 TNS Quality of cities as destinations - trends Q4. Now, we would like you to rate each of the listed cities, whether or not you live there or have visited them, on a 10-point scale (10=perfect; 1=terrible). Taking into account everything you look for in a leisure destination, how would you rate each city? Compared to last year, when thinking of “everything that is wanted in a leisure destination,” travelers: Continue to praise San Antonio above other cities Rate Houston slightly behind New Orleans and Dallas, as well as San Antonio and Austin Living in Texas, but outside of Houston, find the greatest fault with Houston (only 42% perfect/good), very similar to last year. Opinion of Each City (Top Scores: Perfect/Good) Opinion of Houston (Top Scores)

57. 57 © 2011 TNS Competitive cities visited Competitors: In a pattern similar to last year, Houston visitors show interest in these other cities: San Antonio attracts many, reigning as the most popular (after Houston) among Houston residents Dallas-Fort Worth claims the lead for non-Houston Texas residents and non-Texans Texas residents, regardless of where they live, often stay in Texas while traveling. Cities Visited Ranked by Total Q5. Which of the following cities have you visited in the past 5 years? 2009 2010 2011

58. 58 © 2011 TNS Value for the money - cities as destinations Q6. Abridged: On a 10-point scale (10=excellent value; 1=terrible value) overall, how would you rate the value for the money of each city? Overall, visitors view Texas cities as destinations with good value for the money: All Texas cities meet or exceed New Orleans San Antonio (75%) takes the lead in the value for the money image Houston (60%), Dallas (58%), Austin (63%), and New Orleans all vie for second, but Houston and Austin have a larger share of very high (9/10) ratings Non-Houston Texans assign lower ratings to Houston than other segments. Each City Houston 9 – 10 Ratings 7 - 8 4 - 6 1 - 3 NET Excellent + Good: 60%58%63%75%60% 68%70%51%67%

59. 59 © 2011 TNS Value for the money - cities as destinations Q6. Abridged: On a 10-point scale (10=excellent value; 1=terrible value) overall, how would you rate the value for the money of each city? Compared to last year: Most cities’ value for the money image remains fairly stable Except for Houston residents, the opinions about Houston’s value for the money fluctuate at least slightly over time, most notably among Non-Houston Texas residents. Each City (Top Scores: Excellent/Good) Houston (Top Scores)

60. 60 © 2011 TNS Experience in each destination city Q7. Abridged: On a 10-point scale (10=excellent value; 1=terrible value) overall, how would you rate the experience you had in each city? San Antonio claims the lead as the city with the best overall experience for visitors: Houston ranks last (69%), but not far behind Dallas (73%) Among those who have visited Houston, non-Houston Texas residents rate their overall experience the lowest (62%); others (Houston residents, past-year overnight visitors, and non-Texans) praised Houston more highly. Each City Houston 9 – 10 Ratings 7 - 8 4 - 6 1 - 3 NET Excellent + Good: 69%73%78%87%80%69%77%78%62%77%

61. 61 © 2011 TNS Experience in each destination city Q7. Abridged: On a 10-point scale (10=excellent value; 1=terrible value) overall, how would you rate the experience you had in each city? Compared to last year, most of the cities match on best overall experience for visitors: New Orleans recovers from its dip last year No other city varies by more than two percentage points from last year, although Houston and Austin still place below the two-year-ago level Non-Houston Texas residents are increasingly the most critical of Houston. Each City (Top Scores: Excellent/Good) Houston (Top Scores)

62. 62 © 2011 TNS Likely to return to destination city Q8. Abridged: On a 10-point scale (10=very likely; 1=not at all likely), please indicate how likely you are to return to each city for an overnight, leisure trip? Visitors’ expected repeat visitation varies substantially by city: San Antonio and Austin visitors have the highest expectations to return Houston most closely competes with Dallas Non-Houston Texans show the lowest interest in returning to Houston. Each City Houston 9 – 10 Ratings 7 - 8 4 - 6 1 - 3 NET Very + Probably 69%72%79%86%75%69%81%76%64%72%

63. 63 © 2011 TNS Likely to return to destination city Q8. Abridged: On a 10-point scale (10=very likely; 1=not at all likely), please indicate how likely you are to return to each city for an overnight, leisure trip? Compared to last year, most cities lure about the same level of expected repeaters: However, New Orleans rebounds from last year’s dip and San Antonio climbs a bit Houston and Austin nearly match last year, but place below 2009 Non-Houston Texans have the least interest in returning to Houston. Each City (Top Scores: Very/Probably) Houston (Top Scores)

64. 64 © 2011 TNS Likely to recommend city as destination By city: Visitors to San Antonio most often (would) recommend the city to friends and family Houston ranks behind all competitors, including Dallas Recent leisure visitors and Houston residents most often recommend the city to others Texas residents outside of Houston are the least likely to recommend Houston. Each City Houston Q9. Abridged: On a 10-point scale (10=very likely; 1=not at all likely), please indicate how likely you are to recommend traveling to each city to friends/family. 9 – 10 Ratings 7 - 8 4 - 6 1 - 3 NET Very + Probably 64%70%78%88%78%64%74%75%58%66%

65. 65 © 2011 TNS Likely to recommend city as destination Compared to last year, recommendations for cities remain in place or improve: San Antonio, New Orleans, and Dallas recover from 2009 slippage while Austin and Houston match/nearly match last year Texas residents outside of Houston remain the least likely to recommend Houston. Each City (Top Scores: Very/Probably) Houston (Top Scores) Q9. Abridged: On a 10-point scale (10=very likely; 1=not at all likely), please indicate how likely you are to recommend traveling to each city to friends/family.

66. 66 © 2011 TNS NET Top Four Ratings: 201149%60%69% 64% 2010 2009 51% 61% 68% 76% 70% 78% 65% 72% NET Top Two Ratings: 201117%22%35%47%40% 2010 2009 22% 25% 22% 27% 33% 41% 49% 58% 40% 49% Summary of opinions/ratings about Houston Half or more (49%- 69%) of all visitors to Houston perceive the city positively on each measure: The patterns mirror last year, with the same two measures, positive experience in Houston (69%) and likelihood to return (69%), leading all others Overall opinion of Houston as a leisure destination shows the most room for improvement, all 3 years. Q4. Now, we would like you to rate each of the listed cities, whether or not you live there or have visited them, on a 10-point scale (10=perfect; 1=terrible). Taking into account everything you look for in a leisure destination, how would you rate each city? Q6. Abridged: On a 10-point scale (10=excellent; 1=terrible) overall, how would you rate the value for the money of each city? Q7. Abridged: On a 10-point scale (10=excellent; 1=terrible) overall, how would you rate the experience you had in each city? Q8. Abridged: On a 10-point scale (10=very; 1=not at all), how likely you are to return to each city for an overnight, leisure trip? Q9. Abridged: On a 10-point scale (10=very; 1=not at all), how likely you are to recommend traveling to each city to friends/family. Houston (Visited in Past 5 Years) 9 – 10 Ratings 7 - 8 4 - 6 1 - 3

67. 67 © 2011 TNS Next future visit to city More travelers expect to visit Dallas within the next year than any other city: However, Houston ranks second (44%), just slightly ahead of the other two Texas cities measured – Austin and San Antonio (43% each). Geographically, the most likely group to visit Houston within the next six months lives in Houston. Each City Houston Q10. Please indicate the next time you plan to visit each of the following cities? < 6 Months 6 Mos. – 1 Year 1 – 2 Years Over 2 Years No Plans to Visit NET Within a Year: 201144%49%43% 14%44%75%78%31%50% 201054%46%40%42%15%54%76%82%37%63% 200970%45%41% 20%70%87%81%58%65%

68. 68 © 2011 TNS Next future visit to city Compared to the past, expected visits to: Houston drop substantially from last year (44% this wave from 54% last year and 70% from two years ago) New Orleans declines as well, but the other Texas destinations place near or above prior years Houston by non-Houston Texas residents lag all other groups. Each City (Plan to Visit Within a Year) Houston (Plan to Visit Within a Year) Q10. Please indicate the next time you plan to visit each of the following cities?

69. Appendix IIb: Results of the Research From Follow-up Survey: Media Choices

70. 70 © 2011 TNS Media used Q40. How often would you say you do each of these activities? Choosing the right media affects the success of any ad campaign: TV: Nearly universal – almost everyone (99%) watches television – and four out of five watch it daily Radio: Two-thirds (66%) listen to the radio at least 4 times per week, likely many listen while driving Newspapers: Only a third (31%) read a daily newspaper, but it rises (37%) for past year overnight Houston visitors; in contrast, nearly one in four (24% total; 21% Houston overnighter) never reads them Magazines: Not designed for daily use, fewer than half read magazines weekly, the proportion rises among past year overnight Houston leisure visitor (54%) Internet: Everyone connects to the Internet, usually daily (note: this is influenced by the online data collection methodology). Media Consumption (n=664) Never: 1% 0%9%6%24%21%17%11%0%0%

71. Appendix IIc: Results of the Research From Follow-up Survey: Advertising Awareness: General Advertising

72. 72 © 2011 TNS City advertising awareness (unaided) Q11. In the past 3 months, for which of the following cities have you seen advertising? Advertising plays an important role in building interest in destination selection: All travelers: About half (47%) of all travelers recall advertising for at least one of the featured cities (Houston, Dallas/Ft. Worth, Austin, San Antonio, or New Orleans), with San Antonio (32%) and New Orleans (29%) generating, by far, the greatest recall Houston ranks third (16%), recovering somewhat from last year’s dip. Any Ad Awareness (n=1234) Note: in 2009 and 2010, Atlanta and Denver were included, so seven cities could have been noticed rather than just these five

73. 73 © 2011 TNS Houston advertising awareness (unaided) Q11. In the past 3 months, for which of the following cities have you seen advertising? Advertising can directly influence who visits a destination and when: Past year overnight leisure visitors to Houston are more likely to recall advertising for Houston, demonstrating the relationship between advertising exposure and visitation The closer a traveler lives to Houston the more likely they are to be aware of advertising – Houston residents recall advertising at twice the rate of non-Texans The patterns are the same as prior years (higher for past year visitors and Houston residents, lower for others), with the level of awareness partially recovering from last year’s dip in every group. Any Ad Awareness of Houston (n=1234)

74. 74 © 2011 TNS City advertising awareness by media - unaided Advertising recall varies by medium: Electronic Media: Television leads as a source of ad awareness, especially for New Orleans (78%) Houston partially recovers from last year in TV, Internet, and E-mail recall, but drops for radio Print Media: Houston lags magazine awareness (among these competitive destinations) from magazine ads, but places near average for newspapers and direct mail Houston awareness via magazines and newspapers drops from the past. Each City (2011 unless labeled otherwise) ELECTRONIC PRINT Q12. Abridged: For each of the cities, please indicate what type of media you recall seeing/hearing advertising.

75. 75 © 2011 TNS Houston advertising awareness by media (unaided) Advertising recall within groups stays fairly consistent with a few exceptions: Electronic Media: Houston residents have the greatest recall of radio and TV advertising, which suggests strong promotion within the city from local broadcast stations; the Internet works well for non- Texas residents Print Media: Magazines generate the highest recall among non-Texas residents (31%) and newspapers works best among Houston residents. Houston ELECTRONIC PRINT Q12. Abridged: For each of the cities, please indicate what type of media you recall seeing/hearing advertising. * Very small sample; treat as qualitative only

76. 76 © 2011 TNS General Advertising – By City Travelers may positively react to destination advertising in one of three listed ways: motivate them to seek more information, convince them to book a trip, or encourage them to stay longer/visit additional attractions: In overall positive impact, San Antonio (24%) leads while Houston (20%), Austin (21%), and New Orleans (19%) vie for second place San Antonio’s advertising convinces the most travelers to visit (8%); however, low scores across the board give all destinations room for improvement. More than any other behavior, advertising causes travelers to seek more information Ads do not affect everyone positively; potential visitors may decide not to visit (3% for Houston, not shown) or simply believe that ads do not influence them at all (77%, similar to other TNS studies). Each City (2011 unless labeled otherwise) Perceived impact of (unaided) advertising – each city Q13. Abridged: How has the advertising you have seen affected your leisure travel plans?

77. 77 © 2011 TNS General Advertising – By Group Advertising must not only reach its audience but also have a positive impact: Houston reaps the largest benefits from advertising among past year overnight leisure visitors (29% claim a positive impact) and Houston residents (20%). (Note: too few to cite non-Texas residents) Perceived impact of (unaided) Houston advertising Houston Q13. Abridged: How has the advertising you have seen affected your leisure travel plans? * Very small sample; treat as qualitative only

78. Appendix IId: Results of the Research From Follow-up Survey: Advertising Awareness: Specific Houston CVB Ads

79. 79 © 2011 TNS Houston print ads GHCVB Full Page GHCVB Spread

80. 80 © 2011 TNS Houston print advertising awareness Q27. Below you will see two different print ads that advertise Houston as a leisure destination. Please indicate which, if any, of these ads you have seen before. Travelers recall specific Houston CVB print ads at nearly the same level as last year: Aided awareness places near last year (12% from 13%), with similar recall for both ads Past year overnight Houston visitors (17%) more likely recall a Houston CVB print ad than other groups. Awareness of Specific Houston CVB Print Ads (2011 unless labeled otherwise)

81. 81 © 2011 TNS Opinions/reaction to Houston CVB print ads Overall, respondents remain relatively neutral in the opinions of the Houston CVB print ads: A large majority (86%) of travelers appear unaffected by the ads Over two-thirds (70%) of the travelers neither like nor dislike the ads; a quarter (28%) liked them Half (54%, slightly above last year’s 49%) do not believe the ads will affect future visitation to Houston The proportion selecting the top two ratings place somewhat lower than last year. NET Top Two Ratings 2011:13%28%15% 2010:15%35%21% 2009: 17% 40% 22% Top Rating Second Neutral Bottom 2 Ratings Summary of Opinion/Reaction to Houston CVB Print Ads Base: All (1,234) Q28a. Based on these print ads, how has your impression of Houston changed? Much more positive (5) to much more negative (1) Q28b. Overall, how much did you like these ads? Like them very much (5) to dislike very much (1) Q28c. Based on these print ads, how likely are you to take an overnight vacation or pleasure trip to Houston in the future? (extremely (5) to not at all likely (1).

82. 82 © 2011 TNS Impression of Houston based on print ads Those most familiar with the city tend to be most influenced by the advertising: The print ads most improve the impression of Houston for Houston residents (12% somewhat more positive, 7% much more positive) and for past year overnight leisure visitors (12%, 6%) Non-Houston residents (Texans or not) are the least affected by the ads (88% neutral). Much More Positive Somewhat More Neutral More Negative Reaction to Houston CVB Print Ads - Impression NET Positive: 2011:nana13%18%19%11%11% 2010:na15%na20%16%15%12% 2009:17% nana21% 20%13% 15% Q28a. Based on these print ads, how has your impression of Houston changed? Much more positive (5) to much more negative (1).

83. 83 © 2011 TNS Likeability of Houston print ads Travelers who have visited or live in Houston find the ads the most likable: Houston residents and past year overnight leisure visitors have the highest overall positive reaction to ads’ likeability (35% - 36%) Houston residents most frequently like the ads very much (14%) Similar to 2010 (3% in 2011; 2% in 2010), far fewer dislike the ads than in 2009 (9%). Like Very Much Somewhat Neutral Dislike Ads Reaction to Houston CVB Print Ads - Likeability NET Positive: 2011:nana28%35%36%25%28% 2010:na35%na43%37%34%36% 2009:40% nana44% 45%36% 38% Q28b. Overall, how much did you like these ads? Like them very much (5) to dislike very much (1).

84. 84 © 2011 TNS Print ad impact of taking vacations to Houston Overall, the print ads do not strongly influence future visitation for the majority of travelers: Only about one in seven (15%) believes that the ads will encourage them to visit Houston, fewer than last year (21%) As seen with the other ad measures, past year overnight leisure visitors (29%) to Houston and Houston residents (24%) continue to be most influenced by print advertising – over twice as many expect to visit Houston as a result of the ad as non-Houston Texas residents (12%). Extremely Likely Very Somewhat Not Likely Reaction to Houston CVB Print Ads – Influence on Future Vacation NET Positive: 2011:nana15%29%24%12%16% 2010:na21%na37%24%16%32% 2009:22%na na33% 27%17% 19% Q28c. Based on these print ads, how likely are you to take an overnight vacation or pleasure trip to Houston in the future? (extremely (5) to not at all likely (1).

85. 85 © 2011 TNS Houston TV commercial awareness Q30/Q30b. Have you seen this commercial before on TV? A quarter (25%) remember the 2011 TV commercials: Past year overnight leisure visitors (27%) and non-Houston Texas residents (26%) most often notice the commercial, but even the lowest group (non-Texans) places not far behind (20%) Continuing the upward trend, the commercials build more than twice as much recognition as last year, which in turn, doubled the year before (25% from 13% from 5%) Awareness of the ZZ Top commercial places higher than either of the other commercials for every group. Awareness of Specific Houston CVB TV Commercial (2011 unless labeled otherwise)

86. 86 © 2011 TNS Opinions/reaction to Houston CVB TV commercials Overall opinions of the TV commercials markedly outpace the print ads: Houston’s TV ads improve perceptions much more often than the print ads, especially Jim Parsons (43%) Most travelers like the ads (56% to 65%), double or more the rate of the print ads (28%) Relatively few travelers believe they would be more likely to visit Houston based on the ads, but television develops more interest than print (25% Jim Parsons; 24% ZZ Top; 20% Lyle Lovett; 15% print ads). NET Top Two Ratings: 2011: 43%65%25%36%64% 24% 31% 56% 20% 2010: na na na42%73%27%33% 63% 23% Top Rating Second Neutral Bottom 2 Ratings Summary of Opinion/Reaction to Houston CVB TV Commercials Base: 1,220 for Lyle Lovett; 1,222 for ZZ Top Q31a/b. Based on this commercial, how has your impression of Houston changed? Much more positive (5) to much more negative (1) Q31b/bb. Overall, how much did you like this commercial? Like them very much (5) to dislike very much (1) Q31cb. Based on this commercial, how likely are you to take an overnight vacation or pleasure trip to Houston in the future? (extremely (5) to not at all likely (1). Top 2 Ratings in 2009: 42% Impression 71% Likeability 30% Future Visitation Jim Parsons ZZ Top Lyle Lovett

87. 87 © 2011 TNS Impression of Houston based on TV commercial The commercials’ impact on impressions of Houston vary by ad: The newer Jim Parsons ad (43%) builds a somewhat more positive impression of Houston than the ZZ Top (36%) or Lyle Lovett (31%) ad Regardless of commercial, past year overnight Houston visitors react more positively than other groups while non-Houston Texas residents’ scores lag others. Much More Positive Somewhat More Neutral More Negative Reaction to Houston CVB TV Commercial - Impression NET Positive: 2011: 43% 51% 44% 41%49% 36%42%40% 35%38%31%36% 34%29% 34% 2010:nanananana 42%47%42% 43%38%33%39% 32%34% 30% 2009: nananana na 42%46%41% 42%42%42%46%41% 42%42% Q31a/b. Based on this commercial, how has your impression of Houston changed? Much more positive (5) to much more negative (1). Jim Parsons ZZ Top Lyle Lovett

88. 88 © 2011 TNS Likeability of Houston CVB TV commercial Likeability measures also vary by ad: Half (56%) to two-thirds (65%) of viewers find the commercial very to somewhat likeable The groups tend to praise the commercials similarly, with past year overnight visitors to Houston reacting most favorably Jim Parsons and ZZ Top scores nearly match and both rank above Lyle Lovett. Like Very Much Somewhat Neutral Dislike Ads Reaction to Houston CVB TV Commercial - Likeability Q31b/bb. Overall, how much did you like this commercial? Like them very much (5) to dislike very much (1). NET Positive: 2011: 65% 72% 73% 61%68% 64%71%70% 63%59%56%64% 63%54% 56% 2010: nanananana 73%76%74% 73%67%63%69% 65%61% 65% 2009: nanananana 71%75%73% 71%70%71%75%73% 71%70% Jim Parsons ZZ Top Lyle Lovett

89. 89 © 2011 TNS TV commercial impact of taking vacation to Houston One in four to five expect to visit Houston, based on the commercial: The three commercials lure visitors to Houston to about the same degree (25% Jim Parsons; 24% Lyle Lovett; 20% ZZ Top), but results trail the impact of last year (27% for ZZ Top and 23% for Lyle Lovett) Past year overnight leisure Houston visitors view the ads most positively. Extremely Likely Very Somewhat Not Likely Reaction to Houston CVB TV Commercial – Influence on Future Vacation Q31c/cb. Based on this commercial, how likely are you to take an overnight vacation or pleasure trip to Houston in the future? NET Positive: 2011: 25% 44% 38% 20%33% 24%40%35% 19%31%20%34% 30%16% 22% 2010: nanananana 27%41%32% 24%28%23%38% 28%18% 28% 2009: nanananana 30%45%33% 26%29%30%45%33% 26%29% Jim Parsons ZZ Top Lyle Lovett

90. 90 © 2011 TNS Since the primary goal of advertising is to convert potential travelers to visitors, looking beyond simple awareness becomes important: Advertising appears very effective – encouraging roughly one out of 10 to visit, regardless of group or year Compared to last year, Houston advertising awareness rises among all groups, especially Texans outside of Houston Two caveats – this measure combines the features of current advertising with past travel – so it really measures Houston’s ongoing awareness and effectiveness, rather than these specific ads and two of the measures, by definition, includes Houston visitors, so the effectiveness looks much stronger than would be expected (Past Year Houston Visitors and Non-Texas Residents). Total advertising impact on Houston visitation NET Aware: 2011:nana29%34%28%30%25% 2010:na23%na29%27%21%20% 2009:19%nana24%26% 16% 11% Q14. Please indicate the total number of overnight leisure trips you have made to the Houston area in the past 12 months. Q27. Below you will see 2 different print ads that advertise Houston as a leisure destination. Which have you have seen before. Q30/Q30b/Q30c. Have you seen this commercial before on TV (Jim Parsons/ZZ Top/Lyle Lovett)? Q28c/Q31c/Q31cb/Q31cc. Based on these ads, how likely are you to take an overnight vacation or pleasure trip to Houston in the future?

91. Appendix IIe: Results of the Research From Follow-up Survey: Website Usage

92. 92 © 2011 TNS General Website Features Many travelers find it important to research their travel destination, especially those with which they are unfamiliar. Travel destination websites provide a wealth of information whenever a traveler needs it, with the primary topics varying little over time: Ranked as 1-3: Very similar to last year, travelers consistently rank where to stay, what to do, and savings/value as the most important destination website features Top Rank Only: The top ranking mimics the importance of features ranked 1-3 with saving/value clearly leading other reasons, probably impacted by the economy as travelers want to know how to best spend their travel dollar. Most important features on website % Rank in Importance (2011 unless labeled otherwise) Ranked as 1-3 Top Rank (#1) Only Q13a. Abridged: Now, we would like you to consider travel destination websites. Please choose the 7 most important features on a travel destination website and rank them in order of importance (1=most important; 7 least important)?

93. 93 © 2011 TNS General Website Features by Group Regardless of group, most travelers look for the same things in a destination website: Ranked as 1-3: Groups rate the same three topics rank at the top: where to stay, what to do, and savings/value Top Rank Only: The top ranking mimics the importance of features ranked 1-3 with saving/value usually leading. However, those who live further away (Non-Texas residents) emphasize where to stay and what to do somewhat above savings/value, likely because they have less experience/familiarity with Houston and have a greater need to know the basics about Houston. Most important features on website continued % Rank in Importance (2011 unless labeled otherwise) Q13a. Abridged: Now, we would like you to consider travel destination websites. Please choose the 7 most important features on a travel destination website and rank them in order of importance (1=most important; 7 least important)? Ranked as 1-3 Top Rank (#1) Only

94. 94 © 2011 TNS Other important features on Websites General Website Features Only a few travelers have website features to add to those already listed. These vary widely, but generally include a desire for more information and a much greater emphasis on pricing in 2011: Other Features Cited as Important: 2010 A good local map; maps; interactive map (4) Easy to get there; Ease of travel to destination (3) Something for children to do/ suggestions for kids/ family (3) Price, cost (2) Safety (2) Travel information – directions, local airports, public transit (2) Accessibility for disabled people Ability to relax Bundle travel deals Activities; hiking possibilities and walking trails Sports Locations: RV campground, resorts, Walmart Supercenter Ease of use, simplicity, speed of website Times that events are open Weather patterns Unbiased reviews of hotels, restaurants, places to visit – need a good way to make choices besides just providing information Local history Cruises Number of mentions = 1 unless in parens (#) Q13b. What other feature is important on travel destination websites? Other Features Cited as Important: 2011 Pricing/costs/correct pricing/packages/discounts/ coupons/free “stuff” (9) Transportation - air/ground/parking (5) Weather at different times of year – when pleasant (4) Hotels – selection/prices/bedbugs/book on web (4) Sightseeing/sights/new sights/fun event schedule (4) Maps/directions/distance to attractions (4) Historical sites/gardens (4) Shopping (3) Safety (2) User/visitor reviews (2) Pictures/scenic descriptions (2) Nightlife (2) Entertainment RCI/II Timeshare location Birding info Fitness/Health options Where the locals go Good restaurants Fishing Believability Most popular destinations Access for physically disabiles Pet friendliness Number of mentions = 1 unless in parens (#)

95. 95 © 2011 TNS Houston websites visited Most website users are unsure which link they used to access the Greater Houston CVB website: Travelers rarely recall visiting VisitaHoustonTexas, HoustonReunions, or AskVeronica Not surprisingly, past year overnight leisure Houston visitors are the most likely to have used the website, probably as they plan their trip. Houston (.com) Websites Q19. Which of the following websites for the Greater Houston Convention and Visitors Bureau, if any, have you visited in the past 12 months?

96. 96 © 2011 TNS Houston website discovery Most travelers find the Greater Houston CVB website via the Internet: Regardless of residency, both Texas and non-Texas website users most often find the website through a search engine or while browsing the Internet Texas residents find the site nearly equally as often from a search engine (40%) as through browsing (43%) the Internet. Website Visitors’ Source of Information (2011 unless labeled otherwise) Q20. Please indicate how you found out about the Greater Houston Convention and Visitors Bureau’s website? * Very small sample; treat as qualitative only

97. 97 © 2011 TNS Characteristics/features of Houston’s website Website users agree with most statements about the GHCVB website’s characteristics or features: Houston’s website performs exceedingly well on communicating and strengthening Houston’s image, promoting local attractions, and ease of use Areas with the most room for improvement continue to center around functionality: getting feedback from website representatives and ability to book/purchase. NET Agee: 2011:75%73%72%72%71%71%71%70%69%68%67% 2010:68%74%73%68%74%63%63%65%67%62%61% 2009:71%71%69%70%70%66%65%61%60%60%64% NET Agree: 2011:66%65%65%64%62%60%57%56%53%53%52% 2010:68%58%55%51%62%59%47%49%55%47%41% 2009:68%65%59%55%63%61%53%50%55%54%48% Website Characteristics/Features Q21. How much do you agree or disagree with the following statements regarding GHCVB website’s characteristics or features?

98. 98 © 2011 TNS What the website says about Houston From the website, most users “take away” the variety of activities available in Houston: Travelers perceive lots to see/do with something for everyone, family activities and museums, cultural diversity, exciting urban experiences, and good value for the money as the leading website messages Most of the images that slipped last year rebounded; only one, lots to see/do, placed below both 2009 and 2010. Website’s Message Base: 108 GHCVB Visitors Q22. What does the Greater Houston Convention and Visitors Bureau website tell you about Houston?

99. 99 © 2011 TNS Satisfaction with Houston website Satisfaction levels of the website nearly matches last year (82% from 84%): More than four out of five (82%) website users are very satisfied to somewhat satisfied with the website Notable growth occurs in the highest rating (53% from 47% very satisfied) None claims dissatisfaction. NET Satisfied: 2011:nana82%81%86% 2010:na84%na86%78% 2009:78% nana76% 82% * Very small sample; treat as qualitative only Very Satisfied Somewhat Neutral Somewhat Not Very Dissatisfied Satisfaction with Houston Website Q23. What is your overall satisfaction with the Greater Houston CVB website?

100. 100 © 2011 TNS Houston’s website competitive comparison Half (49%) of Houston’s website visitors deem it as much better or somewhat better than similar websites for city destinations; none in 2011 rates others better. NET Better: 2011:nana49%48% 57% 2010:na51%na51%52% 2009:54%nana56%47% * Very small sample; treat as qualitative only Much Better Somewhat Comparable Somewhat Worse Much Worse Houston Website’s Competition Q24. How well does the Greater Houston CVB’s website compare to similar websites for city destinations?

101. 101 © 2011 TNS Website features to improve In general, most website users express overall satisfaction with the site, even when reflecting on possible improvements. While suggestions vary, posting events, website improvements, and providing coupons and discount emerge as the strongest themes. Website Features to Improve: 2011 Great/comprehensive website/complete/good as is (11) Easier/more user friendly/navigation/hyperlinks (hard to get back to home page)/chat support/Twitter link (8) Current/up-to-date/Seasonal activities and events/ things to do/graphics showing activities (7) Coupon/discount offers/more savings/discounts (4) Cost-related: Cost estimates/hotel prices/prices of admissions/ affordable suggestions for family (4) Transportation: options, ease of getting around without car/pictures of freeways (3) Night activities/nightlife (3) Museums, landmarks, and history (2) Maps: show what else is in area/downloadable maps (2) Sightseeing/things to do (2) Make family entertainment places easy to find Pictures More info on restaurants and shopping More realism – such as the heavy smog Fewer graphics Clubs Options for disabled people Number of mentions = 1 unless in parens (#) Q25. What features or sections should the website improve? Website Features to Improve: 2010 Coupons, discounts, reviews of places to go (2) More special offers; savings (2) More up-to-date; Houston changes every day (2) Current events; Monthly section – events for the month (2) Faster speed (2) Front Page does not contain enough guiding information Things to do Ability to narrow interests; e.g., free events, family events More insider information Accurate prices Better information on downtown tunnels Links to activities More links to lodging/restaurants by area Cleaner site – too much color/clutter Cost effectiveness of safe places to stay Kid friendly Handicapped accessible places More videos/pictures More information on restaurants, food, entertainment Less sports info and more grandparent/grandchildren info Number of mentions = 1 unless in parens (#)

102. 102 © 2011 TNS Perceived impact of Houston’s website Website users may positively react to Houston’s website in one of three listed ways: content may motivate them to seek more information, convince them to book a trip, or encourage them to stay longer/visit additional attractions: The website causes users to seek more information twice as often as convincing them to go or lengthening stay/adding attractions The website dose not affect everyone positively; potential visitors may decide not to visit (8% for total website visitors, not shown) or simply believe that the website did not influence them at all (36%) The website motivates about two in five to seek more information, regardless of year (39% in 2011). Impact of Houston’s Website (2011 unless labeled otherwise) * Very small sample; treat as qualitative only Q26. How did your visit to the Greater Houston CVB website affect your leisure plans?

103. Appendix IIf: Results of the Research From Follow-up Survey: Houston Visitors (Choices and Characteristics)

104. 104 © 2011 TNS Trips to Houston Logical Patterns Occur for Types of Trips to Houston: Living within close proximity to city events and attractions, Houston residents take 12 times the average number of day trips to Houston as residents outside of Texas and 10 times as many as other Texans. Visitation declines slightly from last year – both day trips (34% from 40%) and overnight trips Only about one in five Texas residents (21% from Houston; 19% other Texans) stay in a hotel on their visit; however, of those who spend the night, nearly two-thirds (59% from Houston; 65% other Texans) opt for a hotel Hotel guests from Houston – who visit more often – spend 4,0 nights a year in a hotel – and average 1.7 nights per trip; other visitors come less often, but stay longer per trip. Total 2009 (n=692) Total 2010 (n=1,180) Total 2011 (n=1,234) Past Yr. O/N Leisure Visitors (n=404) Houston Residents (n=296) Other Texas Residents (n=829) Non-Texas Residents (n=109) Day Trips NET Any 45%40%34%55%70%22%21% Mean (Inc. 0) 2.92.71.93.46.00.60.5 Mean (Excl. 0) 6.46.75.56.28.52.6 Overnight (O/N) Trips NET Any 47%40%33%100%36%29%55% Mean (Inc. 0) 1.81.41.33.92.70.71.6 Mean (Excl. 0) 3.83.53.9 7.52.52.9 Hotel Nights in Houston % With a Hotel Stay in Houston na 21% 63%21%19%35% % of Houston O/Ns w/ Hotel Stay na 63% 59%65%63% Average Total Nights (if any) na 3.6 4.02.85.7 Average Hotel Nights/Trip (if any) na 2.2 1.72.03.7 Q14. Please indicate the total number of leisure trips you have made to the Houston area in the past 12 months. Q14a. Of all your overnight trips to Houston in the past 12 months, how many total nights did you stay in a hotel? Q14b. On your last overnight trip to Houston, how many total nights did you stay in a hotel?

105. 105 © 2011 TNS Recency of last overnight leisure trip to Houston By design, non-Texas residents must have visited Houston in the past five years, either for business or leisure with no overnight stay required. That said: About a third (37%) of non-Houston Texas residents have stayed overnight in Houston within the past two years – a proportion that steadily declines each year However, half (53% in 2011) of Houston residents spent the night in the last two years, changing little over time. NET: Within Past 2 Years: 2011:nana44%100%53%37%66% 2010:na51%na100%49%46%84% 2009: 62% nana 100 % 51% 65% 84% Within Past 12 Months 1 – 2 Years Ago 3 – 5 Years Ago 6+ Years Ago Never Elapsed Time Since Last Houston Overnight Visit (2011 unless labeled otherwise) Q15. When was your last overnight leisure trip to the Houston area?

106. 106 © 2011 TNS Timing by Month A gradual increase in Houston visitation occurs throughout the spring and peaks in the summer months (notably June), followed by a sharp drop: Peak visitation noted in both 2010 and 2011 occurs earlier than in 2009, probably impacted by the timing of the survey (surveyed in May/June in 2011 and 2010; mid-August in 2009) Houston resident visits peak slightly earlier than other Texas residents (May rather than June). Past year visitors vary their timing less than other groups, with more stability from April through June. Timing of last visit to Houston Month of Last Houston Overnight Visit - History Month of Last Houston Overnight Visit Q16. What was the month of your last overnight leisure trip to the Houston area?

107. 107 © 2011 TNS Overnight spending amounts to visit Houston Important points from the overnight spending categories for the group include: Spending more on lodging and transportation, non-Texas residents double the spending level of their Texas resident counterparts. Even when excluding transportation to and from Houston, non-Texas residents still spend notably more than the average Houston traveler Overnight visitors living in Texas but outside of Houston spend the least overall Total spending places between the levels in the two most recent prior years ($485 from $496 in 2010 and $479 in 2009). Total Travel Party Overnight Spending on Last Trip to Houston (Column Height Impacted by Expenditure) 2011: nana$485$515$476$421$936Average Total Spending nana$371$401$392$329$608Average exc. Travel To/Fro Houston 2010: na$496na$580$453$420$888Average Total Spending na$376na$435$383$338$520Average exc. Travel To/Fro Houston 2009: $479nana $524$438$380$741Average Total Spending $365nana $404$359$304$492Average exc. Travel To/Fro Houston Q17. Please estimate the dollars your travel party spent for each of the categories below on your last overnight leisure trip to Houston?

108. 108 © 2011 TNS Satisfaction with Houston visit Houston satisfies a majority of its overnight leisure visitors, but the proportion declines steadily: Past year leisure visitors remain happy with Houston, but even that group slips from prior years (71% extremely satisfied/very satisfied from 75% last year and 82% in 2009) As seen consistently in image and satisfaction levels, Texas residents outside of Houston tend to rate Houston lower than the other groups; the same pattern occurs for satisfaction Except for Houston residents, whose ratings climb, all groups rate their satisfaction below last year. NET Top Four Ratings (7-10): 2011: nana57%71%82%48%69% 2010: na62%na75%71%55%74% 2009: 71% nana82%70%67%78% Extremely Very Somewhat Not Pleased Houston Q18. Overall, how pleased were you with your last overnight leisure trip to the Houston area?

109. Appendix IIg: Results of the Research From Follow-up Survey: Attitudes and Behaviors

110. 110 © 2011 TNS General description/feelings of traveler Past year overnight Houston visitors describe themselves as similar to other travelers except that: More of them search for travel information, pay more to visit original places, like to travel to exotic places, and drive an SUV Fewer of them buy clothes for comfort rather than style and fewer seek the lowest possible prices. Traveler Descriptions/Feelings % Strongly Agree Q37. For each statement below, can you please tell me how much you agree or disagree that the statement describes you or your feelings.

111. 111 © 2011 TNS General description/feelings of traveler Q37. For each statement below, can you please tell me how much you agree or disagree that the statement describes you or your feelings. Characteristics of Travelers More Likely to Have Visited Houston Family and friends ask advice on travel matters Prepared to pay more to visit places that offer something really original Higher income Like to travel to exotic places Younger Characteristics of Travelers More Likely to Visit Houston in Next 2 Years Prepared to pay more to visit places that offer something really original Like to travel to exotic places Frequently search magazines and websites about travel destinations that interest me Family and friends ask advice on travel matters Higher incomes Drive a car that is practical Note: Neither of the models with Q37 and the demos (age, income, marital status presence of children, gender) explained much of the variance of visiting Houston or not, but the ones noted above had the strongest impact, with the ones in bold stronger than the non-bolded ones – in rank order

112. Appendix IIh: Results of the Research Final Comments

113. 113 © 2011 TNS Comments regarding Houston General Comments Travelers often commend Houston as a travel destination, but adamantly complain about the weather. Comments center around its diversity, food, and a place to visit family or travel there together: “Best time to come is March-May or October-November. There really IS good shopping, really good restaurants, nice hotels, and things for every taste.” “Houston has lots of variety – museum district, Zoo, parks, and historical sites and much more.” “I have lived in Houston all my life and love it.” “Greatest on earth. Amusement parks, NASA, the Kemah boardwalk, and the Galleria.” “Great and affordable. Variety of art, music, entertainment, and dining. Lots for all ages.” Common comments regarding Houston: 2011 Positive “Never cease to be amazed at new things I discover here” “Has all different kinds of food – a reason we retired here” “Houston hosts the biggest Rodeo and livestock show” “Very culturally diverse; the food is great” “One of the major metropolitan areas in the US” “As a native Houstonian, I love the ads! Makes me proud to be from Houston” “To see, do, eat, drink, or even think about it, do it in Houston” “The closeness of the gulf is a natural highlight” “I love, love, love Houston” “Houston is a best-kept secret – needs a signature ‘thing’ to define it as a destination” “I visit family here” Negative “High crime and bad traffic” “Bad traffic & more road rage than anywhere I know” “Advertising for ‘Summer’ vacations not a good idea considering it is blazing hot then.” “Can be great, but you absolutely must have a car” “Horrible weather and summer is unbearable” “Hurricanes, Humidity, and Heat” “Too many rough parts of town” “It’s dirty, smoggy, and dangerous” “Too humid and too crowded “Great except for weather – hot, humid, & bugs “Dirty, overcrowded dump” “Racist, violent, sexist, corporate Houston?” Q32. Please share below any additional comments you may have regarding Houston, TX as a travel destination?

114. 114 © 2011 TNS THANK YOU 14 © 2011 TNS