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All Facets of the Texas Group Market Are in Expansion Mode

The numbers are in, and from bookings and delegate spend to capital investment and economic development, virtually every Lone Star State destination is reporting robust, often record, group growth and returns. In true Texas frontier spirit, the drive is on for even more.

Metroplex Moxie

With record sales and booming hotel growth, Dallas exemplifies the market’s strength.

“Our sales team booked 2.4 million future room nights and 42 citywide events in fiscal 2016-2017,” said VisitDallas President and CEO Phillip Jones. “Records for both categories, this work produced $1.96 billion in future economic impact.”

 

Presently offering some 13,000 downtown rooms and 80,000-plus area rooms, Dallas is second behind New York City in U.S. hotel rooms under construction, with 18 recently opened properties and another 37 projects adding some 5,800 new rooms to the pipeline.
Growth strategies include attracting more medical meetings.

“Dallas has some of the world’s most advanced medical facilities, a thriving research scene and some of the greatest minds in the health sciences,” Jones said.

“These characteristics, paired with Dallas hospitality, more than ideally position our city for industry meetings.”

Fort Worth, the nation’s fifth-fastest growing metropolitan area and now America’s 15th most populous city, is also investing in hotel growth.

“Limited inventory and high demand are driving the addition of nearly 1,000 rooms through several new developments currently underway in the downtown core,” said John Cychol, Visit Fort Worth’s vice president of meeting sales. “New experiential marketing initiatives, such as Fort Worth Stories, featuring first-hand stories from and interactions with local ambassadors, are resonating well with meeting planners and producing increased bookings.”  

With much to promote in blockbuster new investments, including the Texas Live! entertainment district and its anchoring Live! By Loews hotel, conversion of the Arlington Convention Center into the nation’s largest esports stadium and new Globe Life Park baseball stadium, Arlington’s top priority is raising national awareness of the destination.

“Our full brand repositioning, complete with new media tactics, strategy and creative overhaul, has yielded fantastic results,” said Jon Hixon, vice president of sales for the Arlington CVB. “Geared for successful events and famous for fun, Arlington has hosted 35 percent more events in 2018 over last year, with 13 percent growth in booked room nights, and is on pace for a banner year.”   

Influenced by a strong corporate market, Fortune 500 stronghold Irving remains a short-term market.

“Corporate is driving high performance and a high rate of return business at our hotels and the Irving Convention Center,” reported Irving CVB Executive Director Maura Allen Gast.

Opened in fall 2017, the Toyota Music Factory, featuring two dozen-plus dining and nightlife options, is extending Irving’s appeal.  

“Easily accessed by conventioneers and guests at our 75-plus hotels, this compact, efficient and distinctly cosmopolitan entertainment component has allowed Irving to evolve its positioning for groups,” Gast said. “Other developments, including a new Heritage District art gallery and new museum featuring a  Smithsonian Spark!Lab, will continue to provide new and distinctive experiences for returning guests.”

Plano is also building on its corporate bedrock.

“Our mandate is meeting the needs of the business traveler,” said Visit Plano Executive Director Mark Thompson. “Over the past several years, we have expanded airlift, increased hotel options and optimized business amenities, space and services. Expressed by our new ‘Visit Plano, It’s All Here’ tagline, there’s no need to venture beyond the city limits for anything.”

Groups are getting the message.

“Event bookings are up 24 percent and room night bookings up 18 percent over 2017,” Thompson said. “Our meetings business is better than ever, and with interest in Plano and our industry partners only rising, we don’t see this slowing down.”

Frisco continues to make national headlines as the nation’s fastest growing big city and for its “$5 Billion Mile” mega-development (now the “The Frisco North Platinum Corridor”), which includes The Star—the Dallas Cowboys World Headquarters.

Yet, according to Frisco CVB Executive Director Marla Roe, meeting professionals are still discovering the destination.

“We feel that Frisco remains a pleasant surprise to some planners from outside the broader DFW market, so we talk about Frisco being ‘Totally Unexpected,’” she said.

Frisco is clearly on the map, however.

“Actualized business is up over 2017 by about 25 percent in booked groups, with corresponding room nights up 40 percent,” Roe said. “Future bookings are up 8 percent so far this fiscal year. To strengthen and expand our market, we are aggressively pursuing financial, medical and national association business.”

Frisco is also diversifying its off-site and overnight appeal. Future projects include the National Soccer Hall of Fame (October 2018); new 325-room AC Marriott/Residence Inn close to The Star; new 303-room Hyatt Regency Stonebriar with a conference center attached to the Stonebriar Centre mall; and in 2020, the indoor/outdoor Music City Frisco.

Home of DFW International Airport, the region’s $38 billion economic engine that offers 1,800 daily flights providing service to 200-plus domestic and international destinations, Grapevine is leveraging its centralized U.S. location—and strong local leadership—to maintain strong meetings momentum.

“Consistency at multiple levels of leadership has led to a robust tourism master plan founded in intentional development,” said Brady Closson, managing director of sales and marketing for the Grapevine CVB.

“City-approved projects include three new hotel brands that will add 1,440 guest rooms to our current inventory of 5,714 and existing 1 million-plus square feet of flexible meeting space,” Closson added.

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Building on a 7.5 percent year-to-date lift in sourced room nights and estimated associated 13 percent gain in economic impact as of July 2018, the bureau will continue to promote awareness of the destination in 2019.  

Healthy Houston

Hurricane Harvey hit Houston hard last August. Yet 2017 was anything but a washout for convention sales, as for the third consecutive year the city achieved record room nights tied to future business. Including many first-time clients, the 429 conventions and meetings booked in 2017 represent 802,852 rooms, up from 765,401 in 2016.

Contributing factors include Super Bowl LI and Avenida Houston, the convention area’s new pedestrian-friendly entertainment district.

“Our marketing and sales strategy continues to focus on our enhanced convention campus,” said Visit Houston President Mike Waterman. “This includes two connected headquarter hotels, the 1,000-room Marriott Marquis and 1,200-room Hilton Americas, with 3,000 rooms campus-wide, 15 restaurants and 12-acre Discovery Park, all steps from the George R. Brown Convention Center.”

Houston, the world’s largest life sciences destination, is leveraging its STEM (science, technology, engineering and mathematics) industry leadership to drive yet more convention wins.

“In line with our goals, STEM business rose nearly 30 percent in 2018,” Waterman said, crediting the growth to “connecting our clients with local resources via our engagement strategy with the Texas Medical Center and local industry partners.”

Set to break ground in 2019 for completion by 2022, TMC3 (identifying Houston as the “third coast” for life sciences) is a new 30-acre research collaborative at the Texas Medical Center that will include Helix Park, an elevated DNA-shaped greenspace.

North of Houston, The Woodlands is benefitting from an expanding medical community and rebounding oil and gas market.

“Through national tradeshows and event participation, we are building awareness of our area as a thriving group destination,” said Visit The Woodlands President Nick Wolda. “Attracting significant new business, the strategy includes fam tours and conventions aimed at bringing in meeting planners. Confidence is strong heading into 2019.”

San Antonio Shines

Amid tricentennial celebrations in 2018, San Antonio continues to thrive on creating memorable experiences for conferees.

“It’s our specialty, as we keep benefitting from groups wanting to get outside of the conference room and immerse themselves in a destination,” said Visit San Antonio President and CEO Casandra Matej. “Anchored by centuries of history and Old-World charm, San Antonio has evolved into a cutting-edge, modern meeting city offering a unique sense of place for exploration and discovery.”

Fundamental messaging includes San Antonio’s hospitality, vibrant culture, affordability and walkability.

“We also showcase the significant innovation and change taking place across the city,” Matej said. “Following the $325 million transformation and expansion of the Henry B. Gonzalez Convention Center in 2016, we’ve seen an infusion of new hotels, meeting venues, restaurants, retail centers and cultural experiences.”  

With convention business presently ahead of the five-year booking pace by 8 percent and 10 percent ahead on leads over 2017, the bureau is also leveraging San Antonio’s progressive business climate and strength as one of the nation’s fastest-growing economies.

“As a hub for industries, including IT, cybersecurity, biosciences, healthcare, new energy, aerospace, aviation and advanced manufacturing, we are positioning as a strategic meetings destination for these sectors,” Matej said.

From two-steppin’ at legendary Luckenbach Texas to stargazing at Enchanted Rock State Natural Area, an International Dark Sky Park, Fredericksburg is synonymous with authentic and enriching experiences.

“Access to international airports in Austin and San Antonio and our centralized Texas Hill Country location are key parts of our marketing message,” said Fredericksburg CVB President and CEO Ernie Loeffler, celebrating his 20th anniversary at the bureau this year. “Other selling points include our historic walkable downtown, unique event venues and convenient access to some 45 Texas Wine Country wineries.”

Traditionally a magnet for small Texas associations and now attracting corporate groups, Fredericksburg is planning at least three new hotels. These notably include the Seven Hills Resort and Conference Center. The $78 million investment, slated to break ground this fall, will be among the largest ever for the city.

“This project will significantly strengthen our group market appeal based on room count, meeting space, service and amenities,” Loeffler said.   

Austin Ahead

Rapid growth continues to transform Texas’ capital city, where from 2013 to 2020 hotel supply will have increased by nearly 90 percent in downtown and 35 percent citywide.

Growth engines include the award-winning, LEED Gold-certified Austin Convention Center.

The gigabit-rated facility, among the most technologically advanced in the U.S., notably served once more as a Technology Partner for the 2018 edition of the international blockbuster South by Southwest (SXSW) Music + Film + Interactive + EDU show. Along with the Palmer Events Center, the Convention Center hosted some 175,000 SXSW attendees.

“Building upon our brand as a technology and entrepreneur start-up destination, we are seeing larger conventions and dramatic growth in technology, medical, financial and insurance meetings,” said Visit Austin Executive Vice President Steve Genovesi. “With newly available luxury hotel rooms, we are also confirming many first-time groups into Austin.”

Gulf Coast Greetings

The lifestyle is laid-back, but Galveston Island is serious about looking after groups.

“Finding that planners truly see a difference in a destination based on services, we have increased our destination team to provide planners and attendees with services and offerings that exceed expectations and overall meeting ROI,” said Galveston Island CVB Director Meg Winchester.  

Behind the taglines “It’s Island Time” and “Sea Your Meetings Differently,” the bureau promotes Galveston, one of Texas’ most visited beach destinations, as an accessible and affordable tropical destination for combining meetings with leisure.

“Planners can grow attendance by encouraging a ‘bleisure’ family vacation,” Winchester said, citing a track record of “high or record-breaking attendance” for Galveston bookings.

Beaumont embraces the same client-centric approach.

“Our focus is one-on-one relationships with planners to closely understand their needs,” said Freddie Willard, director of sales for the Beaumont CVB. “That includes offering incentives and creative ways to increase their attendance and keep costs down. Overall, we are in a good place, with business development efforts including reaching out locally to members of organizations or associations to bring their meetings to Beaumont.”

Western Wins

Destination El Paso General Manager Bryan Crowe spoke of a new era of opportunity ahead for the state’s fast-developing westernmost city.

“We are seeing significant planner and association movement away from tier 1 cities in search of something different, something unique,” Crowe said. “Appearing to have some destination burnout, they are seeking new locations, like El Paso, that can deliver authentic, memorable, social media-ready attendee experiences.”

Amid “unprecedented investment,” including a $97 million street car project (2019) and future $180 million performing arts and entertainment venue, the city is aggressively prospecting and incentivizing associations to consider El Paso.

“Supporting moves include expanding our convention development and sports and tournament sales teams, and opening an Austin office for greater exposure in the capital,” Crowe said. “Our efforts are definitely building planner excitement for the future.”   

Amarillo is still buzzing from the fall 2017 opening of the 200-suite Embassy Suites by Hilton Amarillo Downtown.

“Adding this headquarter hotel in particular has significantly enhanced our group marketing,” said Dan Quandt, vice president for the Amarillo Convention & Visitor Council. “Now offering 6,000-plus hotel rooms, we position Amarillo, which sits between Dallas and Denver, and Albuquerque and Oklahoma City, as an exciting regional meeting location in a five-state area.”

Planners are taking notice.

“Through June 2018, we had booked 56 meetings this fiscal year with a total economic impact of over $29 million,” said Quandt, adding that “the sales team is closing over 77 percent of the leads they share with our partners.”   

Enjoying a strong meetings year, Lubbock markets its “Hub City” essentials.

“Considering that most cities offer a plethora of hotels and range of restaurants, we focus on Lubbock’s Western heritage, winemaking industry and rock ’n’ roll roots to intrigue groups,” said Amy Zientek, director of sales for Visit Lubbock. “Many planners often ask for multiple unique venues, seeking to incorporate Lubbock’s defining characteristics in their meetings.”

Southern Strength

As Teresa Rodriguez Bartlett, chief public affairs and business development officer for the Corpus Christi CVB, recently informed, this coastal city is making a resilient recovery from the aftermath of last year’s Hurricane Harvey. In nearby Port Aransas, Chamber of Commerce and Tourism Bureau CEO Jeff Hentz reported that “following a swift rebound from Harvey, we are open for business.”

Managing misleading media coverage associated with federal immigration policy persists as an issue for Texas border cities. As the Laredo CVB shared last year, the bureau’s focus is on “telling the ‘real story’ and not the one in the news.”

Perception and reality also differ in McAllen, where as Mayor Jim Darling noted in his State of the City 2018 address, “for the McAllen Police Department, hometown security is homeland security.”  

Producing the lowest crime rate among Texas cities, their efforts have made McAllen one of the safest cities in the nation.

“Reports that we are unsafe are frustrating,” said Visit McAllen Visit President and Director Nancy Millar. “Accordingly, our messaging is about setting the record straight, which for our strong meetings business, includes new hotels, Broadway shows at our new performing arts center, expanding nature and wildlife experiences, a rising culinary scene, and our wonderful weather, a major draw for groups.” 

Energy Boosts

By 2020, three West Texas destinations—Abilene, Midland and Odessa—will offer brand-new convention and headquarters hotel facilities. Here is a look ahead to the region’s newly energized future.

“Our meetings market remains strong on present fiscal year bookings of nearly 59,000 room nights generating direct impact of $26.4 million,” said Abilene CVB Executive Director Nanci Liles. “With our Expo Center undergoing a $56 million redevelopment and the probability of a convention hotel, we will prioritize bookings and resources to focus on higher ROI-generating conventions and meetings. Marketing efforts will include more digital targeting of group business, along with media campaigns and presentations.”

Anticipation is building in fast-growing Midland for the new 75,000-square-foot Midland Convention Center, on target for September 2019.

“Investing in a modern, state-of-the art convention venue gives Midland both a new asset to attract larger meetings and conventions, and a catalyst for continuing economic development, including new hotels in our downtown area,” said Brad Barnett, VisitMidland’s executive vice president of tourism and facilities.  

Oil and gas continue to fuel the Midland economy, groups included.

“We are fortunate to have such valuable resources in our backyard,” said VisitMidland Director Stephanie Martin. “With the closest commercial airport to Big Bend National Park, new hotels on the horizon and expanding retail and dining options, we market to meeting planners, including sporting event and tournament organizers, and leisure travelers.”

Oil and gas associations, along with sporting events (principally on weekends, when occupancy and rates are lower), also power meetings in nearby Odessa, which is readying for the expected summer 2019 opening of the $77 million, 217-room Odessa Marriott Hotel and Conference Center, offering 78,000-plus square feet of conference space.

“The new venue represents a huge move to strengthen and expand our group market appeal,” said Odessa CVB Director Monica Tschauner.  


Convention Calendar

Home to more than 40 CVBs, the Texas meetings market has the venues, services, amenities and attractions for every conceivable group size and program. Here is a snapshot of the state’s expansive and diverse hosting prowess.

  • Frisco’s larger 2018 wins included the eWomenNetwork Entrepreneur Conference & Expo (2019 meeting in Dallas), and conferences by the Commission on Accreditation of Law Enforcement Agencies and International Association of Arson Investigators.
  • Future Fort Worth events include the National Tour Association’s annual Travel Exchange convention in 2019, the 2019 NCAA Women’s Gymnastics Championship and the 2020 annual meeting of the American Society of Pediatric Hematology/Oncology.
  • San Antonio is hosting the American Wind Energy Association for 2022, National Rural Electric Cooperative Association in 2024, and Ellucian (software and services for higher education) in 2024 and 2028. Plus, it will host its fifth NCAA Men’s Final Four in 2025.
  • In July 2018, Austin hosted the Episcopal Church’s 79th General Convention in July 2018. Last in Texas in 1970, the successful 10-day event attracted 8,000-plus attendees.  
  • Galveston won back The Texas Public Safety Conference for the next three years (2019-2021) after an all-Texas bid, representing 4,050 total room nights.  
  • In 2020, El Paso will showcase its expanding convention campus and other investments at Connect Texas, a tradeshow and networking event for the Texas meetings industry.
  • Bookings for Odessa’s new convention center, expected to open in June 2019, include the Annual Texas Crime Stoppers Youth Conference in February 2020, also projecting 600 room nights.
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About the author
Jeff Heilman | Senior Contributor

Brooklyn, N.Y.-based independent journalist Jeff Heilman has been a Meetings Today contributor since 2004, including writing our annual Texas and Las Vegas supplements since inception. Jeff is also an accomplished ghostwriter specializing in legal, business and Diversity & Inclusion content.