Sunshine Matters

This month, the Office of Economic and Demographic Research (EDR) released a report on the state’s return on its investment in VISIT FLORIDA.  I am proud to share that the study found the state generated a positive ROI of 3.2, meaning that $3.20 in tax revenues were received from each dollar that the state invested in VISIT FLORIDA.

EDR also reported that, while not easily quantifiable in financial terms, VISIT FLORIDA fulfills an important role in shaping and coordinating tourism advertising messages and brand awareness throughout the state.

The report further determined that VISIT FLORIDA was primarily responsible for bringing 17.3 million visitors to the state of Florida during the review period (Fiscal Years 2010-11, 2011-12 and 2012-13).  These visitors generated:

• $11.2 billion in total spending;
• $11.3 billion increase in GDP; and
• $373.4 million increase in state revenues.

Additionally, jobs resulting from the tourism expenditure generated nearly $4.3 billion a year in disposable personal income and a GDP of nearly $4.9 billion.

EDR developed their ROI figures by summing state revenues generated by VISIT FLORIDA less state expenditures invested in the program, and dividing that calculation by the state’s investment.  As a result, the ROI does not include the impact of the significant statutorily-required private-sector match in VISIT FLORIDA’s cooperative marketing programs and promotions.

Overall, the EDR report concluded that the state’s investment in VISIT FLORIDA is relatively low compared to the amount of economic activity generated by the visitors that are directly attributable to our marketing efforts.

The Office of Program Policy Analysis and Government Accountability (OPPAGA) also released its report on Florida Economic Development Program Evaluations for VISIT FLORIDA.  The report found that “Florida’s tourism industry employment outpaced national and industry trends” and that “Florida tourism industry jobs are attributable to the state’s relative competitive advantage, rather than industry growth nationwide or general economic recovery.”

Given the complexities of our integrated global marketing program, OPPAGA had difficulty providing an overall assessment of VISIT FLORIDA’s performance. However, they did recommend that VISIT FLORIDA review some research methodology and more closely tie the organization’s performance metrics to tactics. OPPAGA also suggested that VISIT FLORIDA should expand our role to coordinate with other state agencies that engage in tourism-related marketing.

These reports, along with the fact that all VISIT FLORIDA performance metrics from ROI to visitor influence, industry investment in co-op marketing programs, industry satisfaction and market share are all at or near record levels, indicate that VISIT FLORIDA is fulfilling our mission of driving visitation to the State of Florida and delivering a positive return on the state’s investment.

I have no doubt that with the continued leadership of the Governor and the Florida Legislature, along with the passionate leadership of our private sector partners, VISIT FLORIDA is well positioned to establish Florida as the No. 1 travel destination in the world.