John Marks, president of the San Francisco
Convention and Visitors Bureau the last 19 years, retires on June
30. Marks, who was chairman of the Travel Industry Association in
2003, is one of the best-known destination marketers and CVB
leaders in the country. He recently spoke with contributing editor
Laura Del Rosso.
Q:
During your career, youve faced many challenges: the 1989
earthquake, the dot-com bust, union boycotts and 9/11. What was the
greatest challenge?
A:
The earthquake really tested us because the farther from San
Francisco, the more disastrous that event became. There was no way
to counter the media [hype] surrounding that event. CVBs didnt have
disaster plans then. Now, we do. We did a lot on instinct and,
mercifully, we were able to rebuild our business pretty quickly. We
were able to lean on industry trade organizations and media to help
get our message out.
Q:
San Francisco has made quite a rebound since 2003, hasnt
it?
A:
The series of events that started in 2000 involved five things: the
downturn in the national economy, the dot-com implosion, the events
of 9/11, followed by the war [in Iraq] and then SARS. We were hit
harder than any other city, from a business perspective.
Eighty-four percent of San Franciscos overnight hotel guests arrive
by air. We went from 81% occupancy in 2000 to 64.5% in 2002. Our
average room rate dropped from $168 to about $138.
We worked hard,
marketed closer to home and created programs like Dine About Town
and CrabFest. We finished last year at 76% occupancy and a $153
average rate and should finish 2006 with 78% occupancy and close to
a $170 rate.
Q:
Business travel has been the weak spot. Why is that?
A:
Some is due to the migration of corporations, such as Bank of
America, Transamerica and Chevron, which are no longer
headquartered here. Also, technology has allowed people to cut back
on business trips.
During the downturn
and cost containment, people got used to not traveling as much. Im
not certain that business travel will come back to the same levels
anytime soon. Meetings and conventions, however, is a stalwart for
us.
Q:
San Francisco is always ranked as a favorite leisure destination.
Is there a danger of the city losing that luster or getting
complacent?
A:
We work very hard in how we sell and market this destination, and
Ive tried to instill in our staff to not take ourselves for
granted. My philosophy is that its wonderful to advertise, and I
wish we had more money, but you cant beat a third-party endorsement
in a magazine or newspaper. Were not the least bit short of
journalists wanting to talk about San Francisco.
Q:
Why does the city attract so much interest?
A:
Were almost like an independent nation. I know people joke about it
when it comes to our politics. What works is that were unique and
we act independently. We have our share of warts. We have to deal
with the homeless, which has been a challenge.
But when you get
down to it, its the climate, the restaurants, shopping, the
topography, the diversity -- and all of it is in a compact,
manageable product.
Q:
Youve been heavily involved in the TIA. What issues are the most
challenging for that organization?
A:
We have to be more inviting to people who come to the U.S. [And
were] not investing in promoting the U.S. abroad. Were at the level
of a Third World nation in that.
The best investment
in improving Americas image abroad would be promoting America as a
destination.
To contact
reporter Laura Del Rosso, send e-mail to [email protected].