1. Core Research 2007-08 Final 1 2007-08 FREDERICKSBURG CVB RESEARCH FINAL REPORT Four-phase Tracking Study comparing 1999-00 and 03-04 Results March, 2008

2. Core Research 2007-08 Final 2 METHODOLOGY Print questionnaire (2-sided card) distributed at retail & tourist locations throughout the city. Questionnaire and four-phase process mirrors 1999-00 & 2003-04 study for tracking purposes. Results of all four phases compared to prior tracking studies Year: Responses 1999-20003,813 2003-20043,793 2007-20083,769

3. Core Research 2007-08 Final 3 2007-08 SAMPLE CHARACTERISTICS People in party % 1 - 265 3 +35 Gender Women63 Male37 Age Under 35 15 35 - 4925 50 +60 Times visited % First time26 1 - 3 times29 4 - 20 times31 more than 2014 Income Under $40,00010 $40K - $60K18 $60K - $80K18 $80K - $100K18 over $100K35

4. Core Research 2007-08 Final 4 TRACKING SAMPLE CHARACTERISTICS 00 04 07 People in party % % % 1 - 260 60 65 3 +40 40 35 Gender Women67 62 63 Male33 38 37 Age Under 35 20 15 15 35 - 4934 27 25 50 +46 59 60 00 04 07 Times visited % % % First time24 25 26 1 - 3 times29 30 29 4 - 20 times33 31 31 more than 2015 14 13 Income Under $40,00018 17 10 $40K - $60K28 23 18 $60K - $80K19 18 18 $80K - $100K15 16 18 over $100K20 26 35

5. Core Research 2007-08 Final 5 IS FREDERICKSBURG THE MAIN DESTINATION? The pattern is consistent, with over three-quarters of the visitors choosing Fredericksburg as their main destination

6. Core Research 2007-08 Final 6 STAYING OVERNIGHT More visitors are choosing to stay overnight, a significant difference since the past two surveys

7. Core Research 2007-08 Final 7 OVERNIGHT LODGING Lodging patterns have changed slightly since the previous studies, with more people choosing an RV Park

8. Core Research 2007-08 Final 8 LENGTH OF STAY

9. Core Research 2007-08 Final 9 COMPARING LENGTH OF STAY Over half of the visitors stay for at least two days, up substantially from 2004

10. Core Research 2007-08 Final 10 PROFILE OF A FREQUENT VISITOR For those who have been to Fredericksburg 4+ times, They represent 45% of all visitors: More women of a certain age than the overall visitor profile, Higher household income than average visitor Shoppers! (62% come to shop, compared to 51% overall) – also more likely to be looking for a great dining experience. They evaluate the Fredericksburg experience more positively than others for all attributes – except variety of attractions. Plan to spend an average of $634, which is up from $431 in the past survey

11. Core Research 2007-08 Final 11 TOP REASONS TO VISIT Shopping continues to be the top motivation to visit. The restaurants and historic sites are also primary draws.

12. Core Research 2007-08 Final 12 TOP REASONS TO VISIT Shopping is not as dominant a motivator as in prior years. Touring Wineries is the only activity that has increased substantially since prior surveys.

13. TRACKING THE APPEAL OF SEASONAL ATTRACTIONS Quarter200020042007 Romantic getaway 132%27%28% Wildflowers 244%52%36% Peaches 325%31%22% Shopping 370%64%61% Tour Wineries 410%27%23%** Core Research 2007-08 Final 13 ** Wineries attract visitors year-round: Q1 20%, Q2 26%, Q4 27%

14. Core Research 2007-08 Final 14 PURCHASE PLANS Averages for Q2 + Q3: 2007 $635 2004 $432 2000 $317

15. Core Research 2007-08 Final 15 EXPECTATIONS: Images Test is Consistent Fredericksburg continues to make the strongest impact as a place with Texas Hospitality and unique accommodations. Exceeded expectations only, excludes no opinion

16. Core Research 2007-08 Final 16 VISITORS HOME CITY It appears that our top metro share has decreased substantially, in favor of a wider range of hometowns throughout the country (22%) and abroad (8%).

17. VISITORS HOME CITY Our top metro shares have decreased, in favor of a wider range of hometowns throughout Texas and the country. Core Research 2007-08 Final 17

18. Core Research 2007-08 Final 18 SOURCES OF INFORMATION Word of mouth is still the best medium, and Internet sites and publications remain constant

19. CONCLUSIONS The visitor profile remains consistent, but are now more likely to come from: higher income homes non-metro areas. Visitors are planning to stay longer and spend more than in prior years. Visitors continue to enjoy their experience – especially the Texas hospitality Motivations for visiting are consistent – with shopping topping the list, but Winery tours are becoming a bigger draw. Core Research 2007-08 Final 19