It’s the world’s eighth-largest economy, the premier incubator of cutting-edge ideas and the chief purveyor of everything from strawberries to artichokes and cabernet sauvignon. For nearly two centuries it’s been a magnet for fortune-seekers and people just looking for a new start. What is this place? California, of course.
While the Golden State was not unscathed by the Great Recession, it is firmly back on track and looking better than ever. Downtown districts in small and large cities alike are humming with hot new restaurants, spiffed-up hotels and compelling attractions. Whether it’s a citywide convention for 10,000 or a board meeting for 12, California provides an array of options for making any meeting shine.
“California is the perfect location for any business event and budget,” declares Caroline Beteta, president and CEO of Visit California, the state’s tourism marketing arm. “Business travelers can make executive decisions as they enjoy our beaches, mountains, vineyards and exciting cities. The beauty of our state and diversity of our accommodations may even boost creativity.”
Business Is Back
California’s tourism and meetings business is thriving, as evidenced by research showing that the state’s metro areas are among the most robust in the nation when it comes to hotel occupancies. While the nation’s overall occupancy rates averaged 69.9 percent in June 2013, according to Smith Travel Research, they averaged 90.3 percent in San Francisco/San Mateo; 81.8 percent in San Jose/Santa Cruz; 82.9 percent in Los Angeles/Long Beach; 83.3 percent in Anaheim/Santa Ana and 79.9 percent in San Diego.
Room rates in the state also reflected high demand. While the average hotel rate in the nation was $112.27 in June 2013, the average rate for all of California was $132.62, led by Napa Valley at $275.20, San Francisco/San Mateo at $189.27, Santa Barbara/Santa Maria at $170 and Monterey/Salinas at $167.55.
Despite the relatively high cost of meeting in California, CVB executives report that groups are far from discouraged.
“Group business has caught momentum, with the pendulum in an upswing over the past two years,” says Michelle Donahue, senior vice president of sales for Visit Newport Beach. “We expect steadfast growth in the foreseeable future.”
While San Jose actually expected meetings business to drop this year because of construction in progress to expand the convention center, the opposite has been true, according to Meghan Horrigan, director of communications for Team San Jose.
“It’s been our best year ever,” she says. “Not only are we seeing an increase in new events, but attendance is up at our existing events. Silicon Valley companies are on the rebound, but we’re seeing more association business as well as corporate.”
While Sacramento, as the state capital, has long drawn a steady stream of state association meetings, it’s now attracting more national business, thanks to a new $1.27 billion airport terminal and growing recognition of its wine, food and entertainment scene, says Steve Hammond, president and CEO of the Sacramento CVB.
“We’re blessed with a very diverse portfolio of business,” he says, a statement that could be applied to California as a whole.
