Customer Advisory Council

Customer Advisory Council

February 1-2, 2007

San Francisco Customer Advisory Council – Meeting Minutes – February 2007– Confidential

Council Members (in attendance)

Trina ArmstrongAmerican Society for Cell Biology

Linda BaysariCaliforniaBuildingIndustry Association

Christine CastleCisco Systems

Nancy ElderAmerican Society for Microbiology

Ayuko Kimura FayAmerican Society of Hematology

Roger FurnessAudio Engineering Society

Gia GarunchioSemiconductor Equipment and Materials International

Kathy KellettApple

Sandra Toms LaPedisRSA Security

Jodi MorrisonOracle Corporation

Chris NemchekNational Association for Specialty Food Trade

Ron OlejkoAmericanCollege of Rheumatology

Cathy ScheckHeart Rhythm Society

Nancy ToddAmerican Chemical Society

Council Members (unable to attend)

Katie FergusonAmericanAcademy of Allergy, Asthma & Immunology

Jack FritzAmericanCollege of Emergency Physicians

Amy PhillipsAmericanAcademy of Physician Assistants

Deidre Irwin Ross American Library Association

Bobbie TurnerAmericanCollege of Physicians

Local Partners (in attendance)

Joe D’Alessandro San Francisco CVB

Leonard HoopsSan Francisco CVB

Scott BaublitzHilton San Francisco

Julie Burford MosconeCenter

Murat Eskicioglu MosconeCenter

Leon GoldbergSan Francisco Marriott

Kathryn Horton San Francisco CVB

Dan KelleherSan Francisco Marriott

Toni KnorrW San Francisco

Melody LendaroMosconeCenter

Lysa LewinSan Francisco CVB

Deidre LewisSan Francisco CVB

John MazzoniHilton San Francisco

Herb MyersWells Fargo Bank

Susie McCormick7X& Magazine

Don McPhailUSA Hosts

David NadelmanGrand Hyatt San Francisco

Leonie PatrickSan Francisco CVB

Kimberley PorterStarwood Hotels of San Francisco

Bob SauterMosconeCenter

Dick ShaffMosconeCenter

Kuldip SinghKimpton Hotels

Roxy StoneGrand Hyatt San Francisco

Facilitator

David KlimanThe Kliman Group

San Francisco Customer Advisory Council – Meeting Minutes – February 2007– Confidential

SAN FRANCISCO CUSTOMER ADVISORY COUNCIL

MEETING MINUTES

February 1- 2, 2007

Confidential

Thursday, February 2, 2007

Council members and San Francisco hosts made introductions.

President’s Comments – Joe D’Alessandro

Joe welcomed the Council and asked them to speak honestly and openly on behalf of the meetings and convention industry as well as their respective organizations. San Francisco wants unfiltered feedback. This meeting is all about revealing measurable and realistic ways in which San Francisco can sustain best practices to sell, market and service meetings. We want to learn from your experiences both in San Francisco and in other destinations.

Union Labor Issues – John Mazzoni

John reviewed the hotel union labor situation. The most significant news regarding Union issues is that “all is quiet.” New York hotels have signed a 6-year deal; Toronto and Hawaii have signed 4-year contracts; and Chicago inked a 3-year deal along with San Francisco’s ( 3+) 2-year extension. Card check neutrality was the major issue and we believe that question was answered in the agreements negotiated in 2006. Future negotiations are expected to be non-contentious and will focus on wages and pensions. Council members are invited to contact John Mazzoni at 415.771.1400 or via email: to discuss any Union-related issues.

Business Update – Leonard Hoops

Hotel occupancy & average daily rate summary provided by PKF Consulting

20002002200420052006

81%64%73%76%78%

$175 $130$145$157$167

Occupancy is expected to remain flat through 2010; ADR is expected to increase to $212 by 2010. Note that InterContinental Hotel will add rooms to the City’s inventory in 2008.
San Francisco Update - New Developments Since July 2006 Meeting

New Hotel Projects

InterContinental San Francisco – Fifth & Howard

32 stories; 550 rooms; 46,000 sq. ft. of meeting space; opening Feb 2008

Orchard Garden Hotel – Bush & Grant

10 stories; 86 rooms; first completely “green” hotel in San Francisco

Hotel Changes

Holiday Inn Financial District now Hilton San Francisco Financial District
Pan Pacific now J.W. Marriott
Park Hyatt now Le Meridien
Renaissance Parc 55 now Parc Fifty-Five (no longer Renaissance)
RamadaPlaza Downtown now Hotel Whitcomb
La Quinta now The Opal
Argent to become Westin San Francisco

SFO and Air Travel Updates

Jet Blue to fly out of SFO (begins May 3 to Boston & JFK)
Virgin America reapplying to fly out of SFO; will be based at SFO if approved by D.O.T.; goal is to fly to 30 cities within 5 years
Amount of air travelers now higher than pre-9/11 numbers

New Retail Projects

Westfield San Francisco Centre (includes Bloomingdale’s and new 9-screen movie theater; incorporates existing Nordstrom); added note that Metreon & Westfield Theaters were 2 of top 10 grossing theaters in Dec 06 according to Westfield
Barneys is opening in old FAO Schwartz location – Stockton & O’Farrell in late 2007

New Cultural Attractions

De Young Museum in Golden GatePark (reopened October 2005)
Museum of the African Diaspora (opened December 2005) – Yerba Buena
California Academy of Sciences returns to Golden GatePark – late 2008 – now at Fifth and Howard (Yerba Buena)
Contemporary Jewish Museum – Spring 2008 – Yerba Buena – now at Mission and Steuart
MexicanMuseum – Spring 2008 – Yerba Buena – now at FortMason

Events

Bureau’s Sales Mission with Mayor Newsom to Chicago & Washington, D.C. - March 12-13, 2007
All-Star Week - Major League Baseball’s All-Star Game and Fanfest – July 6-10, 2007

Action Items - Report of Progress since July 2006 – David Kliman

Customer Advisory Council Recommendations and Action Items from July 2006 Meeting Activity regarding recommendations is noted in blue

SendMosconeCenter's interactive Post Event Survey to the Council for their review and feedback. Moscone has developed a new form that is attached to this report. The Council’s feedback during the February 2007 meeting is requested prior to making it interactive.

Council members invited to participate in Peer-to-Peer Review of Hotel/Venue contracts and Crisis/Disaster Preparedness Plans. Members are asked to share any pertinent data and documents with David Kliman who will create a process for peer-to-peer review. In progress

Council members are asked to send their top 5 issues regarding capital improvements (MosconeCenter renovations, etc.) to John Noguchi and David Kliman. These suggestions will be shared with key City leaders to ensure funding decisions are considered with the customers' opinions in mind. All members agreed the SouthBuilding is "tired" and needs renovations and upgrades to remain competitive. Council members submitted their feedback in Summer 2006

Council members were asked to ensure that "moscone.com" is added to their spam filters to ensure that Show Bulletins and other blast emails can be received

John Noguchi to provide details regarding shuttle bus curb use permit fees – “Diamond Signs" are priced based on a number of factors which include: length of curb, number of meters on the curb, number of signs required to post the curb, and manpower required to post signs, check signs and remove the signs. Unfortunately, pricing is often inconsistent from block to block due to curb type (metered or not-metered) and the need to repost due to damage or removal.

Create "premium" set-up packages for all Moscone space. Mosconewould like to have more discussion from the committee as to the specific requests for premium packages. We do offer upgrades in service levels including china and linen service upon request. Upgraded furnishings are available through the General Service Contractors. We would like to explore the concepts in more detail with the Advisory Committee at the February 2007 meeting.

Provide complimentary water stations in all Moscone meeting rooms; the Council considers this an essential service and strongly recommends this change. To supplement the existing water service that is provided to the head tables we will add complimentary water service at selected locations on each floor of the Center. We are not in a position at this time to offer water stations in every meeting room but we will provide additional stations on each floor.

Clearly communicate F&B minimum spending and sliding scale rebates to offset Center rental. A sliding scale for F&B is applied to major functions. It is based on several factors and negotiated between Moscone F&B and client.

Multi-year booking agreement incentives should be offered – The SFCVB and Moscone regularly assess incentives offered by other major convention centers for multi-year bookings and develop incentive offers competitive with first-tier destinations. The SFCVB and Moscone do not publish specific information about these incentives as they are competition-sensitive and subject to change depending on market conditions.

Lysa Lewin to pilot program to document total group revenue, including hotel outlets etc. –In progress

Create Union glossary outlining key Union areas of impact – no action taken

Bill Lee to provide on update on RFP for San Francisco's wireless citywide network. Mayor Gavin Newsom announced on January 5, 2007, that San Francisco is poised to become the first major city in the country to offer free universal wireless internet access. The agreement reached today between the City and EarthLink will provide wireless internet access at no cost throughout San Francisco. By partnering with the private sector, the City can deploy and maintain this infrastructure at no cost to the taxpayers while allowing those with the technological expertise to maintain service. With the finalization of the deal, the agreement will go to the Board of Supervisors for review and approval.

The Council is asked to provide feedback regarding potential partnership tools (attached to July 2006 minutes) - Council members submitted feedback in Summer 2006

Create an optional electronic post meeting survey in partnership with meeting professionals; keep it short, and include a prize as an incentive for completion. In progress

Convene exhibitor and attendee focus groups during major shows to obtain feedback on the San Francisco meetings experience. Moscone strongly encourages show management to convene exhibitor and attendee focus groups and looks forward to participating in and benefiting from the results of the group meetings.

Investigate possibility of providing kiosks in registration area of MosconeCenter - Opentable.com doesn’t have a solution optimized for kiosks; they have elected to invest instead in creating a page for pre-conference bookings ( that could be distributed by meeting planners to attendees.

Pursue development of a "Welcome to San Francisco" custom signage program for storefronts and store windows – In place; local vendors can now download signage from CVB website. Oracle meeting drew 79 vendors using this new service. Signage is being promoted to all CVB members in Cablegram Express newsletter.

Provide information regarding how to purchase restaurant discount decks of card. Cozmo Cards ( are restaurant discount cards provided to the Advisory Council at the July 2006 meeting. The 2007 deck is now available; individual decks are $30 each or you can customize your 52-card deck and take your pick of just your favorites (i.e. you can pick multiples of just one place such as ten Mamacita cards for $65). High-quality and fun restaurants such as Globe, El Raigon, Deep Sushi, and Destino are available. Just spend $40 and when you present that restaurant's Cozmo Card get $15 off your bill. As a guideline, volume purchases for blocks of 100 card decks (not individual cards) cost $15 each.

Smith Bucklin's Generations and the Future of Association Participation study can be found on the following website:

Survey Council members regarding frequency and preferred date pattern(s) for future meetings – Survey sent July 2006; Council members advised current pattern is most desirable.

MOSCONECENTER

POST-EVENT EVALUATION

Excellent Good Fair Poor N/A COMMENTS/RECOMMENDATIONS

SALES

Sales Experience w/SFCVB□□□□□

Sales Experience w/Moscone Sales□□□□□

EVENT MANAGEMENT

Advance Services Provided by Event Mgr.□□□□□

On-Site Services Provided by Event Mgr.□□□□□

FACILITY OPERATIONS

Room Sets□□□□□

Responsiveness□□□□□

FACILITY APPEARANCE

Exhibit Halls□□□□□

Lobbies and Public Areas□□□□□

Meeting Rooms□□□□□

Restrooms□□□□□

FOOD & BEVERAGE

Advance Services Provided by Sales Mgr.□□□□□

On-Site Services Provided by Sales Mgr.□□□□□

Assistance Provided in Planning Process□□□□□

Quality of Food & Beverage□□□□□

FACILITY SERVICES

Assistance Provided in Planning Process□□□□□

Timeliness of Response□□□□□

Quality of Services Provided:

Telephones□□□□□

Internet □□□□□

BusinessCenter□□□□□

SERVICES PROVIDED BY OTHERS

Security□□□□□

Audio/Visual□□□□□

Production Company□□□□□

General Services Contractor□□□□□

BAGS□□□□□

VALUE ADDED SERVICES

What services would you like to see provided that are not currently available?

Did your event set an attendance record at the MosconeCenter? □ Yes□ No If Yes, by how much? ____%

As our way of thanking you for your feedback, please indicate your polo shirt size:

□Sm□Med□Lg□XLg□XXLg

“WhatWentWright/WhatWentWrong”

Nancy Todd – American Chemical Society – Fall Meeting - September 10-14, 2006

15,716 attendees used 24 hotels within the block – Strong technical programming – 850 half-day sessions - more than 100 concurrent sessions using numerous area hotels - Exhibition is not the sole focus of this meeting

Positives:

MosconeCenter did a great job
Strong cohesive hotel community which worked well to mitigate attrition risks in advance of meeting
Excellent attendee feedback regarding hotels and the City
Abundant taxi service
Attendees like the fact that there is so much to do and experience in San Francisco
Looking forward to returning to San Francisco in 2010

Challenges:

Attendees complained about verbal harassment from homeless population
General complaints regarding the high costs of staying and eating in San Francisco
Parking restrictions could be improved to enhance transportation services

Nancy Elder - American Society for Microbiology – September 2006

Very similar to the positive experiences described by Nancy Todd; San Francisco was a strong draw for attendees. They experienced no Union-related issues. Despite staff changes at both ASM and the SFCVB the convention ran seamlessly.

Positives:

Moscone service excellent; numerous room turns “done beautifully.” All departments well represented at all times
Excellent final invoice from Moscone
Meetings with hoteliers one year prior to convention was very helpful
Business Improvement District’s Ambassador Program - surf to for more information
Excellent Customer Service leads the way for San Francisco

Challenges:

Moscone contract “not as smooth as desired”; requires more open communication
Some instructions not followed by BAGS and Telecommunications advised they wouldn’t provide phone numbers in advance for phone lines when in fact they could.
Dirty streets and homeless population detracted from attendee satisfaction

Roger Furness - Audio Engineering Society

Echoed all previous comments made by Nancy Todd and Nancy Elder

Positives:

Food Court changes have been very effective; creates a town square feeling.

Challenges:

Expressed very strong need that significant capital improvements must be made in Moscone North and South. East and West Mezzanine rooms are “tired,” air walls are sub-standard and not competitive. These issues combine to make hosting an Audio show very challenging in San Francisco.
Union issues were very challenging; San Francisco is becoming known as a “Union town” that is hard to work with. It “feels like New York in the old days.” This is a significant competitive disadvantage which must be addressed. Destinations such as Anaheim, LA, Las Vegas and San Diego have none of these Union issues. Need to communicate to Union officials and workers that conventions equal jobs and their jobs are at risk because of non-competitive regulations and poor service. Union issue has deteriorated since 2001.

Gia Garunchio - Semiconductor Equipment and Materials International -

36th SEMICON West

Positives

Found significant improvement in service – a real “can do” attitude
Worked hard to create awareness of activities in Moscone West
Bureau and Moscone staff were a pleasure to work with
Excellent cooperation with security teams
Attendance was up 4% to 19,598 verified attendees
Housing was up by 5,000 rooms at 33,192 total nights; used over 45 hotels; 94% of room pick-up; 8,370 peak nights
Appreciated the hotel community participating in pre-con
West Hall traffic a BIG improvement over 2005
Pilot Program for the sidewalk decals was a big hit
Bands outside were very well received
Moved the President reception open night to West Hall, Level 3 and had record attendance of 600 attendees
Worked very closely with Murat and SMG Catering to produce a Beer Hall in the Lobby of W3 – very well received. Quality food and good pricing
Better overall signage
Building security and contracted (Maloney) security worked well, kept Show Management very informed. Very proactive and responsive
Appreciate Lysa Lewin going to bat on pilot program and move-in issues
Love the new café stations in Lower South lobby
Appreciated catering working with us on Show Manage food menus and quantities
Murat Eskicioglu continues to bring great improvement to Moscone F & B
Worked with us on expanded time for photo shoots – exhibit lighting

Challenges

Exhibitors compare San Francisco to the other global destinations used by Semicon; they find it very difficult to understand Union regulations, cost structure, etc. They find San Francisco a difficult place to do business
Overall NSF was down 7% to 298,885
Exhibiting companies down about 65 at 1,300 mainly due to costs
Strong ROI and manufacturing moving to Asia
Moscone new paging system was challenging
BAGS set up in South Lobby on Opening Day after a 6-day move-in; coat check and bag check staff not crossed-trained
Issue regarding who pays for internet
Set-up was not smooth nor in the desired location of Show Management
Lack of small rooms in West Hall for meetings forces customers to build rooms within rooms which then don’t have access to sound and light controls
Meeting Rooms should come with linen as they did in 2006
New Fire Marshall and understanding regarding “new” requirements
Great flexibility from Dan and his team on the phones and internet; need to streamline passwords for WiFi areas
To be competitive Moscone should be wireless
Enforcement of F&B rules demands that Show Management become “police” force; this became very time consuming
Restaurant locations must be set in advance and not overlap with customer’s floor plans
Pipe in South Hall leaked on exhibitor booth; Moscone knew about this but did not communicate it effectively; we could have moved the exhibitors
Air walls in Esplanade are very tired; had VIPs/Customer Meeting room in this area. Poor experience
Public transport vouchers – suggest looking at European model
Hotel costs rising are problematic
F&B rates – bottle water 16% increase, 20% for sodas

Chris Nemchek - National Association for Specialty Food Trade