PORT OF SEATTLE 
MEMORANDUM 
COMMISSION AGENDA               Item No.      6e 
ACTION ITEM 
Date of Meeting    November 10, 2015 
DATE:    November 2, 2015 
TO:      Ted Fick, Chief Executive Officer 
FROM:   Jane Kilburn, Director, Tourism Development 
SUBJECT: Service agreement with Visit Seattle for tourism consulting services 
Amount of This Request:    $640,000     Source of Funds:  Tourism operating budget,
Economic Development
Division 
ACTION REQUESTED 
Request Commission authorization for the Chief Executive Officer to execute a contract with
Visit Seattle to promote tourism travel to Seattle and Washington state, for a cost not to exceed
$640,000 over four years, including one base year and three one-year options. 
SYNOPSIS 
Commission authorization is requested in order for the Port to contract with Visit Seattle, the
largest and best-funded Destination Marketing Organization (DMO) in the state, to work with
Port tourism staff to promote inbound tourism from select overseas markets. 
This action will replace a one-year contract for $157,000 that expires in December 2015. 
Tourism is a vital aspect of the Port's airport and cruise ship operations. This contract will
support and provide continuity for the Port's international tourism program, which began 30
years ago.
For many years prior to 2011, Visit Seattle and the Port were in a partnership to promote our
destination, and we were joined by the Washington State Office of Tourism. Since the state
office was closed in that year, Visit Seattle and the Port have together taken on the job of
promoting tourism to Seattle and the state to key foreign markets. Each year the Port has had a
contract with Visit Seattle. Airlines, destinations, lodging, restaurants and attractions around the
state contribute substantially to the program, with in-kind contributions in 2014 of $1 million.
This level of involvement from colleagues across the state shows considerable support for the
international tourism promotion program. 
Visit Seattle is dedicated to bringing leisure and business travelers to Seattle and the state
through its robust international tourism program and convention services.  It is the only
organization that has the matching funds and capabilities to provide international tourism
promotion services to the Port.  This firm will promote Seattle and Washington state alongside 
the Port in selected foreign markets through in-country representation. The representation firms,

Template revised May 30, 2013.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
November 2, 2015 
Page 2 of 6 
in turn, will promote our destination with tour operators, travel agents and consumer, travel, and
'new' media. The firms also will be involved in specific, targeted cruise-and-stay promotions on
our behalf. 
The result of this representation is the inclusion of our area in travel trade promotional material,
special promotions, and media coverage that keep this destination visible to international
consumers when they are planning their vacations. In 2014, the advertising-equivalency media
coverage value generated through our work with Visit Seattle was over $30 million. Our
destination is featured in hundreds of tour products, including many that feature niche itineraries
(e.g., wine touring, shopping, and fly/drive) and cruise.
BACKGROUND 
Tourism is Washington state's fourth largest industry and an important contributor to export
growth in the region and state, and was responsible for more than 163,400 jobs in the state last
year. 
The Port has worked together in a series of agreements with Visit Seattle for more than a decade
to promote international leisure visits to our area. The program has evolved over the years to
include new long-haul markets where we have acquired direct flights and to promote cruising in
certain target markets. 
At this time, no other DMO has the staffing, breadth of members, or scope that will allow us to
work in partnership to promote international tourists to this area. Other destination organizations
are relatively small and are focused on bringing tourists to their local area but do not have the
budget or staff to support overseas tourism efforts. 
Visit Seattle also provides unique skills and knowledge required by this contract such as
knowledge of international tourism markets, which complements and augments that which the
Port possesses. The Port executed a sole source waiver on October 14, 2015, to Visit Seattle for
this scope of services.
Our efforts focus on five overseas markets to which Seattle has direct air routes: the UK, France,
Germany, Japan and China. The Port has the sole contract with the UK, Visit Seattle has the
Germany contract, and the Port contract with Visit Seattle provides the vehicle for us to share
funding of the other three markets (Japan, China and France) as well as to support Visit Seattle's
day-to-day management of four country programs (not including the UK, which the Port
manages on behalf of the program). 
PROJECT JUSTIFICATION AND DETAILS 
The 2016 contract will be negotiated by the end of 2015. The objectives and scope of work will
remain generally the same as this year's contract. 
Project Objectives 
To increase tourism from select countries to Seattle/Washington state, through: 
Generated media coverage, increase a minimum of five percent per year

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
November 2, 2015 
Page 3 of 6 
Development and support of tour products offered in the markets (such as multi-day
tour packages to Seattle and the state), increase a minimum of ten percent per year 
Development and support of promotional opportunities in cooperation with travel
partners, such as tour agencies, media promotions, cruise lines, airlines, etc. 
Scope of Work 
Visit Seattle will participate as an equal participant in international tourism promotion with the
Port to: 
Cooperatively and jointly market Seattle and the state as a destination in mutually
identified international markets  United Kingdom, Germany, Japan, France and China. 
Develop an overall tourism development strategy that includes a strategic framework for
each of the joint markets, outlining: outcomes expected, key audiences, approach to the
market, tactics, outbound sales trips, special promotions and trade show participation and
targets for performance. 
Collaborate on decisions regarding hiring of in-country representation in jointly-funded
markets -  France, Japan and China. These representatives will provide market
intelligence, conduct tourism activities and missions and report on activities to the
partnership. 
Visit Seattle will fund the German tourism representation contract and manage all
planning, execution and follow-up of inbound trips for Germany, Japan, France and
China. Activities may include staff sales mission, inbound tour operator and travel trade
and consumer media familiarization trips, participation in select tourism trade events, and
promotional and financial support for tour development and advertising opportunities. 
Share intelligence, feedback and relevant follow-up information from the markets and
activities; equal access to information, reports and the in-country tourism representatives. 
Jointly decide on funding for new international tourism markets intended to be supported
by the partnership.
Participate in selected trade shows, which could include but are not limited to Japan
Association of Travel Agents, International Pow Wow and International Travel Trade
Berlin in order to further promote development of new and expanded tour products
targeted to international markets. 
Visit Seattle will host inbound familiarization tours of domestic tour operators brought
here under the auspices of the cruise lines. 
Schedule 
We anticipate executing a contract before December 30, 2015.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
November 2, 2015 
Page 4 of 6 
FINANCIAL IMPLICATIONS 
Budget Status and Source of Funds 
Funding is in annual tourism budget, part of Economic Development Division. The current
contract is for $157,000. For 2016 and the term of this action the contract will be for "up to"
$160,000 to allow for minor additions to the scope. 

STRATEGIES AND OBJECTIVES 
Tourism is the state's fourth largest industry, generating direct visitor spending of $19 billion in
2014. The Port is a founding member and significant sponsor of Washington Tourism Alliance,
the organization dedicated to establishing a sustainable, long-term funding mechanism to
promote the state as a tourist destination. It is expected that within two years the Alliance will
have adequate funding so that it can contribute to Port and Visit Seattle tourism efforts overseas. 
International tourism development supports the Port's Century Agenda primary goal of adding
100,000 jobs to this region. For every 35 international visitors, one job is created. The Century
Agenda also calls out a key accomplishment: Advance this region as a leading tourism
destination and business gateway.  Our work with Visit Seattle directly supports  this
accomplishment. 
While we cannot quantify the number of leisure visitors on inbound flights, the tourism industry
standard measurement relies on two metrics: 
Earned media coverage, based on advertising rate equivalency of the coverage 
Quantity of tour products featuring the destination 
In addition to these metrics, the POS and Visit Seattle have developed an in-kind report. This
report quantifies the dollar-value of support given to our program from tourism partners across
the state, i.e. lodging, meals, attractions, transportation, etc. This value represents avoided costs
that we did not incur for promotional hosting of in-bound journalists and travel trade. In 2014,
the total amount of in-kind support for the international tourism partnership totaled $1 million.
This is an indication of the breadth of support our tourism promotion program has across the
state. 
The international tourism program focuses on cities and countries where we have direct
international flights, supporting the Century Agenda preliminary goal of doubling the number of
international flights and destinations.  Additionally, the UK and Germany are the strongest
European cruising countries, and our efforts through the Century Agenda to double the
economic value of cruise traffic to Washington state focuses on this international market, as well
as Japan as an emerging cruise market.

ALTERNATIVES AND IMPLICATIONS CONSIDERED 
Alternative 1) Do not propose a contract with Visit Seattle in 2016 and beyond.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
November 2, 2015 
Page 5 of 6 
Pros: 
Reduces specific budget request by up to $160,000 a year, which could be used for other
types of tourism promotion. 
Cons: 
The vitality of the international tourism promotion effort depends upon both partners
(Port of Seattle and Visit Seattle) contributing funding and staff time; to drop this
program would be contrary to our Century Agenda goals of advancing this region as a
leading tourism destination and business gateway, and to double the economic value of
cruise traffic to Washington state. 
Leaving the markets at this point would do harm to the destination's momentum and
standing in the marketplace, having just celebrated 30 years of tourism promotion.
It would eliminate the possibility of leveraging the good will and successful promotions
over the past few years, and would erode support for the hundreds of tour products that
currently sell the destination. 
It would erode the Port's leading role as a tourism advocate and economic asset for our
region. 
Alternative 2) Develop a contract with a reduced scope of work, limiting resources for
cooperative in-market promotion and production of in-bound familiarization trips for media and
travel trade. 
Pros: 
Reduces budget request, depending on level of reduction, by $50,000 to $100,000. 
Staff would focus on only one or two programs, significantly reducing staff time needed
to execute programs. 
Cons: 
Our current markets are diverse; they have considerable momentum as a result of the
Port/Visit Seattle partnership over the years. Our destination appeals to a broad range of
consumers from families on fly/drive vacations, to niche markets, to young professionals
on a 'city break' to cruise passengers who might want to extend their stay before or after
the cruise. To focus on only one of these areas would be a detriment to tourism growth
from these important and growing markets. 
It would erode our market share against competitor destinations, which have ample
budgets and aggressive tourism programs in this market. 
Alternative 3) Request authorization for a new Visit Seattle contract for up to four years total 
and an estimated cost not to exceed $640,000. 
Pros: 
This would maintain and grow the momentum in these markets and would increase
funding targeted promotions, media familiarization projects, and pro-active planning and
outreach. 
We would take advantage our the status in the markets created by our strong and steady
presence over the years, as well as the increase of major motion pictures featuring our
destination and the global business reputation of our city.

COMMISSION AGENDA 
Ted Fick, Chief Executive Officer 
November 2, 2015 
Page 6 of 6 
Cons: 
Budget request of dedicated $160,000 per year for up to four years. 
Alternative 3 is the recommended alternative. 
ATTACHMENTS TO THIS REQUEST 
None. 

PREVIOUS COMMISSION ACTIONS OR BRIEFINGS 
None