Bothell ELTAC leans toward marketing-first tourism strategy, asks staff for RFP and more analytics

Bothell — Members of the City of Bothell’s Lodging Tax Advisory Committee (ELTAC) met May 19 to review comparative data on neighboring lodging‑tax programs, Street Sense’s conversion findings and web/social analytics, and to advise the city council on a draft tourism strategy.

Staff presentation and findings

Denny, a city staff presenter, summarized a multi‑city comparison of lodging‑tax uses and results, drawing attention to three usual spending buckets — marketing (brand/website/social), events/grants, and facilities (visitor center/holiday lights). He told the committee that Redmond’s Tourism Promotion Area (TPA) yields a substantial revenue boost for that city, while Lacey relies on tournaments and geo‑fencing to validate event‑related room nights.

Denny also described results from Street Sense’s contracts and Texas A&M conversion studies: past reported return‑on‑marketing‑investment ratios ranged from roughly 18:1 in 2019 up to larger figures in later years, and the 2023–24 conversion analysis is pending full release. "The more that we invest in our marketing program, the more return on marketing investment we're seeing," Denny said, noting the studies use third‑party interviews and minimum sample sizes for statistical validity.

Committee concerns: data linkage and mission

Committee members pushed back on two linked points: (1) how small survey samples translate into large attributions of incremental visitor spending, and (2) whether reported increases in paid room nights have translated into commensurate lodging‑tax revenue for Bothell. Several members said ELTAC should prioritize the committee’s statutory aim — increasing paid room nights — rather than broader small‑business revenue or one‑day community events.

"If the paid rooms are doubled, our revenue should reflect that," one member said, summarizing the group’s concern that room‑night estimates and tax revenue totals were not yet reconciled.

Budget, contracts, and options

Staff reported ELTAC’s annual lodging‑tax revenue is about $425,000 with roughly $400,000 in reserves. Under current practice roughly 80% of funds go to marketing and staffing (including the Street Sense contract and the ELTAC manager’s time) and about 20% supports facilities (visitor center and seasonal lighting); ELTAC currently spends little to nothing on event grants.

Members discussed contract timing: the Street Sense contract concludes at year‑end, and the visitor‑center contract runs through Dec. 31, 2027. Several committee members recommended starting an RFP process now so Bothell would not face a marketing gap at contract expiry. The group asked staff to produce a clear contract breakdown (digital ad spend, SEO, website admin, social budget) showing which elements are producing measurable results and which could be reallocated.

Events and grants: cautious approach

While city council has signaled interest in more festivals and events, ELTAC members repeatedly cautioned against using lodging‑tax dollars for one‑off community events that do not demonstrably bring overnight visitors. Instead, members favored tightly scoped grants or partnerships for multi‑day or weekend events that can be verified to increase paid room nights (for example through hotel promo codes or tracked room blocks).

Visitor center and facilities

The visitor center contract, currently paid from ELTAC funds, runs through 2027. Members described limited return on investment to date — the center has been under‑activated — and discussed options including investing to activate the facility, renegotiating services with the chamber partner, or allowing the contract to expire.

Next steps and staff assignments

The working consensus from May 19 was: maintain staff capacity, reorient spending toward marketing activities that can be shown to drive paid room nights, minimize ELTAC funding for one‑day community events in the near term, and begin drafting an RFP for marketing services and an updated scope of work. Staff were tasked to compile the Street Sense contract breakdown, comparable vendor contracts (Renton example requested), CoStar/STR cost and data samples, and more granular analytics for 2023–25 to present at the next meeting.

The committee set its next meeting for June 16 to continue work on the white paper for council. No final policy or contract changes were approved at the May 19 meeting; motions at the session were limited to routine agenda and minutes approvals and adjournment.

Ending note

ELTAC members asked staff to prioritize transparency and granular evidence (ad spend breakdowns, conversion‑study detail, and hotel‑level occupancy data) so the committee can recommend a three‑year tourism strategy to the Bothell city council that focuses on measurable increases in paid room nights.