Convention and visitor bureau budgets increased 4.5 percent in 2005, according to the recently released Chicago Convention and Tourism Bureau’s 15th Annual Competitive Analysis Report.
The Salt Lake City CVB had the biggest budget boost in 2005, jumping 43 percent to $11.2 million. Buffalo’s budget dropped the sharpest--49.8 percent to $1.7 million.
Las Vegas again had the largest budget, $227 million, up 19.7 percent from 2004. Orlando was second with $40.7 million, reflecting a budget drop of 1.2 percent. Reno ($36 million), Hawaii ($27 million), Los Angeles ($20.8 million), Miami ($20.2 million), Atlanta ($18.9 million), New York City ($16 million), Chicago ($14.5 million), and Phoenix ($13.6 million) round out the top 10.
Overall, 30 CVBs reported increases, 13 had decreases, and four stayed the same. Reasons for budget gains included increases in advertising expenditures and bed tax revenues. Decreases were attributed to city budget woes and shifting funding mechanisms.
Finally, 53 percent of CVBs responding to the survey state that hotel room supply would increase in their destinations. The increase in new rooms is almost equally divided among metro areas and central business districts. Also, 15 percent of CVB respondents are planning some type of convention center expansion.