Researchers R Us
1234 Murcer Street
Las Cruces, NM 88001
June 24, 2009
Mr. Pat Gavin
Vice President of Marketing
Mesilla ValleyConvention and Visitors Bureau (MVCVB)
1980 Main Street
Mesilla Valley, NM 88005
Dear Pat:
Based upon our meeting with Robin Peterson, please find the following research proposal and budgets for the:
(1)Subscriber Mesilla Valley Visitor Profile Research Study
(2)Conjoint Research Analysis of Meeting Planners (September 25 to 27)
(3)Conjoint Research Analysis of Delegates to AJA (October 11 to 15)
SUBSCRIBER RESEARCH STUDY
Objectives
o Provide reliable and timely Mesilla Valley visitor point-of-origin data during the first, second, third and fourth quarters.
o Build a database and develop a definitive demographic profile of Mesilla Valley’s visitors. The profile would include a cross section of visitors (business, leisure, conventioneers, visitors traveling by air and visitors traveling by auto). This profile would be updated quarterly to determine any shifts in market profiles.
o Provide a valuable database to all subscribing members of the bureau to assist in targeting their individual marketing programs.
o Provide a detailed database to the MVCVB for effective targeting of its marketing programs.
o Gather data that would allow effective and significant measurement of the economic impact of the MVCVB’s marketing/sales programs.
o Provide valuable and informative data about Mesilla Valley's visitors for use by the Bureau and the Mayor's office.
o Enhance the professionalism of the MVCVB in its approach to marketing the destination of Mesilla Valley.
o Further establish the value of a membership within the MVCVB by offering the findings of the research at a reduced price.
o Enhance the MVCVB relationships with airlines, rental car companies and hotels.
Methodology
o The study will utilize in-person, computer-assisted intercept interviews with current visitors to Mesilla Valley during one week during each quarter. The interviews would be conducted from Sunday through Wednesday.
o The interviews would be conducted by Surveys R Us personnel, utilizing notebook computers. The interviewers would identify themselves as working for Surveys R Us.
o Interview Locations
Airport Interviews: Airport interviews would be conducted at selected airline gate departure area. The Bureau would participate in the selection of the departure gate areas with the airlines. All respondents would be screened to assure that they were departing Mesilla Valley. I recommend that two different airline gate departure areas be surveyed during each interview period.
Hotel Interviews: A selected hotel (Bureau Member) within the following areas would be an interview site. A different hotel within the area would be an interview site during each quarter.
Areas: Downtown, Historic District, University District, West Mesa
o The interviews would be conducted between 8 a.m. and 6 p.m. (The time frames could vary based on local factors.)
o Screener Questions:
The only screener questions for the airport interview locations would assure that the person being interviewed was the traveler rather than a family member or friend who accompanied someone to the airport.
For the hotel locations, the respondents would be screened as currently staying overnight in Mesilla Valleyat a hotel.
o Interview Bias Protection
All interviewers would be identified as being employed by Surveys R Usand not identified with the Bureau or any other city agency or hotel.
Respondents would receive a $5.00 gratuity. Such compensation is standard industry practice and contributes greatly to the efficacy of the interviewing process.
o Interview Instruments
All interviews would be conducted on notebook computers with direct input from the respondents in most cases. Surveys R Usinterviewers would be available to answer questions about the procedure and to safeguard the equipment and data. We utilize this technique to help eliminate interviewer bias.
Researched Topics
Visitor point-of-origin, by city, zip code and country
Reason for current trip
Frequency of travel toMesilla Valley
Other destinations visited during the previous 12 months for business and leisure
Length of stay in Mesilla Valleyon current trip
Attractions, museums, other sites of interest visited or planning to visit on current trip
Mode of travel
Travel agent usage and influence on current trip
Airline influence and preference on current trip
Size of party and relationship of people in the party
Ethnic background
Household income
Persons within household providing income
Primary occupation
Education
Household size
Advertising exposure and influence, by media
Average expenditures on current trip for:
Airline tickets
Rental cars
Hotel/Motel rooms
Food
Beverage
Entertainment
Other
If traveling on atravel package, determine thepackage
Ratings of Mesilla Valleyattractions
We will use standard survey questions to query most of the above topics. In addition, we will utilize a small number of conjoint attribute questions to determine preference for select current and possible future Mesilla Valley attractions.
Sample Universe:
o Usenth person intercept of people currently visiting the selected research sites. Interviews would be conducted during a five-day period Saturday through Wednesday.
o We will complete an average of 100 interviews per location, delivering an total sample of 700 interviews per quarter.
Timing:
o Recommend the interview periods to be as follows:
First Interview Period - Week of August 23
Second Interview Period - Week of November 9
Third Interview Period - Week of March 22
Fourth Interview Period - Week of May 23
Findings and conclusions will be available within 20 working days of interview completion.
CostItemization:
First Quarter Interview
Note: As per your request, we have itemized a first-quarter study cost and have compiled the second, third and fourth quarters together for an overall budget.
Sample Size:
Between 100 to 120 interviews per location; total number of interviews 700 to 840
Interview Period:
Late August
Interviewer Cost
Average at 8 hours per day, 7 locations, 5 days
Total hours: 280 hours @ $25 hr
Total interviewer cost per period$7,000
Gratuity for interviews at $5 for 800 interviews$4,000
Materials cost and contingency$1,500
Data gathering cost for first quarter$12,500
Fee for first quarter:
Instrument design, software programming statistical
runs, simulation runs, sub-group cross-tabbing,
analysis, final report presentation, and graphing$9,500
Total Cost for first-quarter study$22,000
Average cost per completed interview: $27.50
Second, Third and Fourth Quarter Costs:
Data gathering cost for the second, third, and fourth quarters is the same as the first quarter ($12,500), for a total of $37,500.
The fee for the second, third, and fourth quarters is reduced to $4,900 per quarter due to economy of scale.
TotalCostforFirst,Second,Third,andFourthQuarters
Data collection cost$50,000
Fee$24,200
Total cost for four quarters$74,200
Estimate a total of 2800 interviews; cost per interview of $26.50.
This quote includes 10 copies of the report per quarter. Extra reports cost $10.00 per report for up to 25 extra reports.
This quote is based upon a three-year performance contract. The fee quote would be held constant for 36 months with no increase. Interviewer expenses, while expected to remain unchanged, might need to be adjusted due to inflationary pressures. By performance contract, I mean that the contract is not cancellable except on the basis of nonperformance to specifications.
CONJOINTSTUDYOFMEETINGPLANNERS
Objectives
o Develop a profile of meeting planners visiting Mesilla Valley on September 25 to 27. The profile would include a cross section of meeting planners.
o Provide data for target marketing Mesilla Valley and the new convention center.
o Provide data that theMVCVB can use to target its meeting planner marketing programs.
Methodology
o The study will rely oncomputer-assisted intercept interviews with meeting planners attending the meeting at the Olive Ann Hotel. The interviews would be conducted from September 25 to 27.
o The interviews would be conducted by Surveys R Uspersonnel using notebook computers. The interviewers would identify themselves as representing Surveys R Us.
Sample Universe:
Usenth person intercept of people currently visiting the selected research site. The interview instrument would contain appropriate qualification question to profile the respondent universe into subgroups (e.g., type of group, size of group, number of times per year that they meet, previous meeting sites over the last 12 months, feeding and meeting requirements of the groups).
Timing:
Findings and conclusions will be available within 20 working days of interview completion. (See cost itemization for more detail.)
CostItemization
Sample Size: Between 25 and 30 interviews per day for three days (75 to 90 completed interviews)
Interview Periods: September 25-27, 2009
Data Gathering Cost:Estimated at 16 hours per day, @ $25
per hour, 48 hours @ $25 per hour,$1,200
2 interviewers
Gratuity of $5 paid to each respondent,
90 interviews $450
Misc. Costs $250
Fee Instrument design, software programming
statistical runs, simulation runs,
sub-group cross-tabbing, analysis, final
report presentation and graphing$4,800
Total Cost$6,700
Normal fee is $7,500, but reduced based on the total contract, including the subscriber study.
CONJOINTSTUDYOFAJAMEMBERS
Objectives
o Develop a profile of travel agents visiting Mesilla Valley (October 11 to 15). The profile would include a cross section of travel agents.
o Provide data for target marketing Mesilla Valley destinations and the new convention center.
o Provide a data that theMVCVB can use to target itstravel agent marketing programs.
Methodology
o The study will rely oncomputer-assisted intercept interviews with travel agents attending the AJA meeting.
o The interviews would be conducted by Surveys R Uspersonnel using notebook computers. The interviewers would identify themselves as representing Surveys R Us.
Sample Universe:
Usenth person intercept of people currently visiting the selected research sites (As per our discussion, it would be ideal if the Bureau could provide a booth at the site.) The booth would not be identified with any organization except Surveys R Us. Interviews would be conducted during the show. The interview instrument would contain appropriate qualification question to profile the respondent universe into subgroups (e.g.,type of agency, size of agency, type of packages they market, activity in the retail or the wholesale areas, etc.).
Timing:
Findings and conclusions will be available within 20 working days of interview completion. (See cost itemization for more detail.)
CostItemization
Sample Size:Between 25 and 30 interviews per day forfive days (125 to 150 completed interviews)
Interview Periods: October 11 to 15
Data Gathering Cost:Estimated at 16 hours per day, @ $25
per hour, 80 hours @ $25 per hour,$2,000
2 interviewers
Gratuity of $5 paid to each respondent,
150 interviews $750
Misc. Costs $350
Fee: Instrument design, software programming
statistical runs, simulation runs,
sub-group cross-tabbing, analysis, final
report presentation and graphing$4,800
Total Cost$7,900
Normal fee of $7,500 (excluding data gathering costs) is reduced based on the total contract, including the subscriber study.
Pat, I believe that this covers all of the research that you, Robin, and I discussed. If we can obtain approval within the next two to three weeks, then we can meet all of the deadlines detailed in this proposal. I am firmly convinced that the Bureau should not have a major problem selling subscriptions for $850 to $1,000 per year to its members for the visitor profile study. I also suggest that the Bureau charge non-members $3,500 to $4,000 per year for a study subscription.Of course, the other marketing and political benefits to the Bureau are obvious.
I look forward to working with you and Robinon this very exciting research.
Sincerely,
Aaron Jean
President, Surveys R Us
cc: Mr. Robin Peterson
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