Strengths, Opportunities & Strategies LGBT Travel Strengths, Opportunities & Strategies Market Intelligence Report © 2011 Community Marketing Inc.

LGBT Travel Recommendations Market Intelligence Report LGBT Travel Recommendations Strengths, Opportunities & Strategies 2011/2012 In addition to this final recommendations report, a 65-page online survey report and a 42-page focus groups report is available which provides details referenced by the recommendations.

About Community Marketing, Inc. (CMI) has been conducting LGBT consumer research since 1994. Our practice includes online surveys, telephone surveys, focus groups, field surveys, and advisory boards in North America and Europe. Industry leaders around the world use CMI’s research and analysis as a basis for feasibility evaluations, positioning, economic impact, creative testing, and informed forecasting and marketing planning. Key findings have been published in the New York Times, Washington Post, Chicago Tribune, Los Angeles Times, Wall Street Journal, Forbes, USA Today, Chicago Tribune, Miami Herald, CBS News, NPR, Associated Press and many other international, national and regional media. CMI has conducted the LGBT tourism research for over thirty destinations worldwide. In addition, CMI clients in other industries include Wells Fargo Bank, Absolut Vodka, MetLife and the US Government, to name a few.

Methodology Online Survey 4 Focus Groups This Recommendations Report is based on an online survey and four focus groups conducted by Community Marketing, Inc. for Travel Portland Online Survey 4 Focus Groups June 2011 October 2011 5,907 respondents, primarily in the U.S and Canada Respondents were recruited from CMI’s proprietary research panel and 200 LGBT media outlets and partner organizations Panelists were asked to take a survey on “West Coast LGBT Travel” A chance of winning one of five $100 cash prizes was used as an incentive CMI conducted four LGBT focus groups, two in San Francisco and two in Seattle The San Francisco groups were divided between visitors and non-visitors to Portland In Seattle, the two groups were divided by gender, between lesbians and gay men

41% 70% Understanding Portland’s LGBT Visitors 58% Stayed 3+ nights Portland Visitor Profile – Last Visit 70% stayed in paid accommodations 41% Stayed at a large chain hotel 20% boutique hotel 16% friend’s house 39% Traveled alone 60% Traveled with someone, most often a spouse (40%) 58% Stayed 3+ nights In which months would you consider traveling to Portland? June to September most popular. Jan Feb March April May June July Aug Sep Oct Nov Dec Portland Visitors n=626

46% $1000 Understanding Portland’s LGBT Visitors Portland Visitor Profile – Last Visit Visited Portland & another destination 46% 54% Visited Only Portland Where else did you visit? 47% Oregon Coastal Region 40% Mt. Hood/Columbia River 31% Willamette Valley Region $1000 1/3 of visitors spent Gay men, CA residents and visitors age 36+ likely to spend somewhat more OR MORE In which months would you consider traveling to Portland? June to September most popular. Jan Feb March April May June July Aug Sep Oct Nov Dec Portland Visitors n=626

Visitor Demographics vs. Total Survey Sample Portland visitors tend to skew higher income. Lesbians and married couples are just slightly over-represented. Visitor Demographics vs. Total Survey Sample Total Sample Portland Visitors Index Lesbian or gay woman 21% 24% 114 Gay man 79% 76% 96 Relationship Status Single 44% 41% 93 Married or living together 47% 52% 111 Household Income less than 50K 19% 80 50 - 100 33% 32% 95 100K+ 42% 126 Demographics: Among Portland Visitors in Past 3 Years, n=639 vs. Total Survey Sample n=5907

List three words or feelings that come to mind about Portland… Top-of-mind, Portland visitors talk about a ‘green’ and friendly city It’s progressive reputation, beauty and great food are also key List three words or feelings that come to mind about Portland… Portland Visitors (word size reflects number of total mentions) List three words or feelings that come to mind about Portland… Total visitors n=626;

(word size reflects number of total mentions) When asked how they would advise Travel Portland in promoting the city, prior visitors emphasized friendly people, restaurants, the downtown scene and community events (word size reflects number of total mentions) If you were advising Portland's tourism bureau, how would you recommend they motivate you to visit Portland again or for the first time? Total visitors n=626

1 With limited budgets, outreach to your known LGBT base # RECOMMENDATION With limited budgets, outreach to your known LGBT base

Where Are Portland Visitors Coming From? Seattle/Vancouver are key origin markets for Portland visitors; San Francisco, Los Angeles and in-state visitors are also important 1 # Where Are Portland Visitors Coming From? Past 3 Year Visitors 4% Canada (nearly all from Vancouver) 11% 7% East N Central 52% New England 2% 10% West N Central 7% 4% 8% Mid Atlantic PACIFIC 30% Mountain 9% Los Angeles 8% San Francisco 3% San Diego Oakland / East Bay West S Central 9% South Atlantic 4% 1% 3% East S Central Region of Residence – Among Portland Visitors in Past 3 Years, n=639

2 # RECOMMENDATION Emphasize Portland as an urban core destination

Visitor Traveler Types vs. Total Sample Portland visitors are likely to define themselves as urban travelers into arts, culture, food and wine 2 # Visitor Traveler Types vs. Total Sample Difference +5 +6 +10 +8 +9 +3 +4 Do you consider yourself to be...(Mark all that apply); Portland Visitors in Past 3 Years, n=639 vs. Total Survey Sample n=5907

Visitor Traveler Types vs. Total Sample Outdoor adventure and eco-friendly travel are secondary (but also very important) motivators for Portland visitors 2 # Visitor Traveler Types vs. Total Sample Difference +5 +6 +10 +8 +9 +3 +4 Do you consider yourself to be...(Mark all that apply); Portland Visitors in Past 3 Years, n=639 vs. Total Survey Sample n=5907

Therefore, Travel Portland communications and imagery should put the urban core message front and center 2 # Primary Focus Big city feel; walkable small city environment Art and cultural institutions with emphasis on quirky & unique vibe Interesting downtown architecture and bridges Independent and edgy population (urban street life) Sense of community and neighborhood “I’ve been reading a lot lately about trends that are starting there, and the restaurant scene.” - Non-visitor, San Francisco

Secondary supporting messages should play up Portland’s natural beauty and outdoor activities that are also big draws 2 # Secondary Focus Outdoor lifestyle Fresh air and beautiful scenery Great walking city with lots of sights to explore Bike friendly; great parks; miles of jogging trails

3 # RECOMMENDATION Be more specific about urban attractions

“Portland takes quirky to a new Boost awareness and excitement around Portland’s urban reputation by calling out specific attractions and benefits 3 # “Portland takes quirky to a new Level” - Non-visitor, San Fran TOP 10 Distinct neighborhoods Edgy street food and food trucks Walkable urban core with great public transit Local handcrafted vodka drinks, wine and microbreweries Sense of architectural past including historic buildings and bridges No sales tax shopping Powell’s Books Unique independent hotels Arts and cultural attractions (with an emphasis on different) Distinct local fine/casual dining that has a national buzz

4 # RECOMMENDATION Position Portland’s LGBT community as unique

LGBT travelers are looking for unique experiences; play up Portland’s LGBT community as different vs. other West Coast cities 4 # Portland is a place where lesbians, gay men, bisexual, transgender, queer and straights hang out together. Everyone is accepted and valued. Portland’s LGBT nightlife scene is small, friendly, and fun, (not jaded and unfriendly) Scruffy is sexy: Portland’s residents have a natural “look,” which is different than residents in other west coast cities: more outdoorsy, earthy, scruffy and edgy Portland’s gay-owned small businesses and non-profit organizations show a real sense of community Portland’s LGBT events are unique and fun Focus on… “Portland’s got a lot of personality…not your average gay scene” - Visitor, Seattle

5 Highlight Portland’s LGBT events as key reasons to consider a visit # RECOMMENDATION Highlight Portland’s LGBT events as key reasons to consider a visit

Events are important travel motivators in the LGBT community; they often encourage LGBTs to try a new destination 5 # Continue to promote pride and other unique LGBT events… “You can go to Portland with a whole group of people, and everybody’s welcoming.” - Visitor, Seattle

6 # RECOMMENDATION Gay male and lesbian messages and imagery should be presented equally and integrated

of previous visitors are interested in returning! Gay men and lesbians are equally important to Portland tourism – Portland should focus on the “whole” community. 6 # How interested are you in visiting Portland for vacation in the next year? 90% of previous visitors are interested in returning! 70% 64% Gay Men Lesbians LGBT Under Age 36 LGBT Age 36+ Portland Visitors Please rate your interest in visiting the following destinations for vacation in the next year. Gay Men n=4,189; Lesbians n=1,147; Under 36 n=1,247; 36+ n=4,060

Certain motivators are clearly more important to lesbian visitors – outdoor activities, live music scene, integrated LGBT community 6 # Especially motivating for this group vs. total Total Visitors Gay men Lesbians Under Age 36 Age 36+ Portland is an eco-friendly and urban destination, with lots of outdoor activities 79% 62% 75% 67% 64% Sampling local food, wine, coffee and microbrews 70% 56% 63% Portland's LGBT community is very integrated with the overall community 51% 59% 52% Visiting local gardens and outdoor spaces 57% 44% 42% 47% Visiting the vibrant neighborhoods 58% 46% 43% Visiting museums or art galleries 38% 41% 40% 39% Hiking, cycling and other outdoor activities 33% Touring nearby wine country 35% 37% Tax-free shopping 36% 31% Attending live music or performances 29% 45% 30% % Saying Each Statement Is ‘Very Motivating’ When you think about Portland, which activities are most motivating to you? Total visitors n=626; Gay Men n=4,217; Lesbians n=1,161; Under 36 n=1,247; 36+ n=4,060

CONSIDER CUSTOMIZED CAMPAIGNS Travel Portland imagery and messaging should be gender-balanced and customized to reflect these gender differences 6 # CONSIDER CUSTOMIZED CAMPAIGNS Targeted outreach to the lesbian audience emphasizing Portland’s community vibe and fantastic outdoor activities Specific messages to the gay male audience focused more on combination of convenient access/location, urban adventure, unique nightlife and interesting LGBT vibe

7 # RECOMMENDATION Emphasize nature by day, city by night

Natural Beauty message… The ‘Green’ Portland message has already broken through; more weight needs to get behind ‘nature by day, city by night’ 7 # Integration of nature/green into the urban environment List of top urban parks as an attraction List of top three-day trips out of Portland: Drive along Columbia Gorge, drive to Oregon Coast, drive to Wine Country. Mention ease of renting a car downtown for day trips. Natural Beauty message…

8 # RECOMMENDATION Talk about Portland’s amazing summer weather

List three words or feelings that come to mind about Portland… LGBT’s who haven’t visited Portland largely perceive the weather as cold and rainy 8 # List three words or feelings that come to mind about Portland… NON-Visitors (word size reflects number of total mentions) List three words or feelings that come to mind about Portland… Total non-visitors n= 5268

Messaging about Portland’s great summer weather (vs Messaging about Portland’s great summer weather (vs. San Francisco and other west coast cities) should be emphasized 8 # Survey results indicate that LGBT ‘s generally prefer warm weather travel However, the research indicates that LGBTs perceive Portland as cold and rainy Participants have not yet received the message that Portland summers are better than California summers (especially San Franciscans who experience cold foggy summers) PLAY UP SUMMER WEATHER

9 Encourage business travel, and friends and family travel # RECOMMENDATION Encourage business travel, and friends and family travel

What motivated you to visit Portland? Friends and family are very important in spreading information and interest in Portland visitation, especially for younger visitors 9 # What motivated you to visit Portland? Among Visitors in Past 3 Years Slightly higher for under age 36 visitors What motivated you to visit Portland? n=626

10 # RECOMMENDATION West Coast travel is value oriented

“It’s a very affordable vacation and I can do it in 3 days…” A big draw for Portland is spontaneous planning and great value; education is needed for key markets in California 10 # Focus group participants from Seattle emphasized that West Coast travel is value-oriented and impulsive Seattle residents view Portland as an inexpensive and impulsive destination. However, California residents view Portland as the opposite: surprisingly expensive and hard to get to. Education and value products directed towards the California market may be needed to build visitors and buzz. “It’s a very affordable vacation and I can do it in 3 days…” “I love how close it is, you still feel like you’re taking a vacation…you don’t have to get on a plane, you could take a train…drive…a budget conscious trip”

11 # RECOMMENDATION Optimize your media and LGBT outreach activities

Where have you heard about Portland, Oregon over the last year? Friends and family is the key channel for learning about Portland. Mainstream media outperforms LGBT media. Gay men Lesbians Under Age 36 Age 36+ Friends or family 43% 49% 51% Television 27% 24% 30% 26% Mainstream newspapers or magazines 25% 22% 20% Mainstream travel websites 18% 19% 16% Social media websites (such as Facebook and Twitter) 14% 12% Mainstream non-travel websites 13% National LGBT publications 11% 10% 9% LGBT travel websites Local LGBT publications 7% LGBT organizations and charities 5% 8% LGBT non-travel websites 6% Where have you heard about Portland, Oregon over the last year? When you think about Portland, which activities are most motivating to you? Total visitors n=626; Gay Men n=4,217; Lesbians n=1,161; Under 36 n=1,247; 36+ n=4,060

11 A balanced and integrated media and outreach program… # Public Relations Editorial and articles (in both LGBT print and internet media) were remembered far more than traditional advertising approaches. Most LGBTs are receiving these messages from the mainstream media, not necessarily the LGBT media. LGBT-specific press trips should be encouraged. Social Media Virtually all LGBT participants are on Facebook. Facebook strategies, both social media and advertising, are encouraged. Social media advertising can be used to direct LGBT travelers to Travel Portland’s website and special Portland travel values. Internet Marketing Participants indicated that they are spending more time online than reading print publications, but they also indicated that banner advertising was not especially effective. Instead, they indicated that internet contests and promotions, editorial and deals (on booking sites like Orbitz or Travelocity) were most attractive. The key to internet marketing success is to be creative, not just place a series of banner ads. Create an inventory of specific and entertaining LGBT Portland microsites (LGBT or not), and work to promote these websites in your communications. Print Focus group participants indicated there is still power in print display ads and editorials. They tend to remember these impressions more than internet impressions. LGBT print should still be part of any campaign. Display advertising in regional LGBT magazines and newspapers is recommended. While national LGBT glossy magazines may not be cost-effective, some magazines like Passport should be considered.

11 A balanced and integrated media and outreach program… # Public Space Advertising Bus/subway posters/billboards and other outdoor ads were mentioned most often by focus group respondents. Large destination images in the public space seem to be the motivating force. Seattle and San Francisco in particular offer multiple opportunities for public space promotions targeting LGBTs. Nonprofit Sponsorship Focus group participants emphasized the importance of being involved in the LGBT community. Sponsorship of select nonprofits and events is a great way to make an impression. Developing Travel Portland sections at community event silent auctions can be powerful. The entire Portland travel community can become involved, mostly using product/service donations. LGBT Sports Participants suggested that one way Portland could promote itself is by becoming more involved in LGBT sports teams and leagues. Seattle participants emphasized that organized sports teams in Seattle are huge, as well as the lesbian presence at Seattle Storm games. Integration Imagery Many participants emphasized that integration with the mainstream was a theme for Portland. Developing creative that features both straight and gay imagery, and placing those advertisements in both the LGBT and mainstream media is very appealing to the LGBT community. “LGBT-inclusive mainstream ads” are a hot topic among LGBT consumers, but it is still rarely seen. LGBT is one minority that has yet to enjoy full integration in mainstream creative. Portland taking this step would be innovative, emerge from the crowded field, and get noticed.

12 # RECOMMENDATION Refine Portland’s LGBT promotional pamphlet

A few refinements can make ‘Out In Portland’s’ promotional pamphlet stand out even more 12 # Overall, the reaction to Portland’s promotional piece was mixed. Seattle lesbians with a history of visiting Portland were most positive, while San Francisco non-visitors were least positive. In general, focus group participants liked the piece, but gave practical ways it could be improved. The promotional pamphlet played it “too safe.” The piece did not make Portland feel cutting edge, independent, artsy or unique. Future creative should portray Portland as edgier. The pamphlet should have a more urban feel. Portland’s unique and distinct neighborhoods were mentioned as an important feature, and should be more developed as an attraction. Many appreciated that aspect of the promotional pamphlet.

Make the pamphlet more about ‘reasons to visit’ and support with resident stories in other media 12 # Participants wanted specific lists of urban and natural attractions. Be specific on the pamphlet. Pictures are more important than words. Some criticized the pamphlet for being too wordy and featured big pictures of static people. Many participants were critical of the pamphlet’s emphasis on local resident stories. While some thought it was a nice personal touch, most felt that the city should emphasize the reasons why people should visit the city. For the resident stories, many felt that Portland would be better served in a promotional piece if the text was cut down to just a couple sentences per person and allowed people to explore their story more on a website. Some said that they would have been far more interested in stories about why out of town visitors love Portland, not why residents love Portland.

Thank you… David Paisley Community Marketing, Inc. Senior Research Director Community Marketing, Inc. Tel. 415-437-3800 david@CommunityMarketingInc.com Community Marketing, Inc.  584 Castro St. #834 • San Francisco, CA 94114 Tel +1 415/437-3800 • Fax +1 415/552-5104 info@CommunityMarketingInc.com Community Marketing, Inc. is an NGLCC Certified LGBT Owned Business Enterprise.