District seeks to compete as convention destination

D.C. tourism groups are taking new steps to bring more convention business to town as the number of large, tax-producing conventions falls to its lowest level since the new convention center opened in 2003.

The Washington Convention Center Authority hired its first director of sales last month, and the Washington, DC Convention and Tourism Corp. (WCTC) is researching new incentives it can offer to groups that wouldn’t ordinarily come to a city as expensive as Washington.

The WCTC, the nonprofit organization charged with attracting large conventions to the city, also is planning to ask Mayor Adrian M. Fenty for more money to market the city, a spokeswoman said. The organization’s budget is $12 million, but it has to compete for conventions with cities such as New York, which has a tourism marketing budget of $45 million, and Orlando, Fla., which spends $74 million.

Conventions “are an economic generator for the city,” said Victoria Isley, senior vice president of marketing and communications at the WCTC. “Can it be more of an economic generator? Yes.”

Each convention attendee brings about $1,049 into the city, from what the sponsor spends to hold the event to the attendee’s hotel, restaurant and taxi bills, according to the WCTC. About 90 percent of the taxes those expenses generate go into the District’s general fund, meaning that the city’s coffers feel it when tourism is up or down.

The number of citywide conventions is at its lowest point since 2003, the year the new $834 million Washington Convention Center opened. Citywide conventions, booked from 18 months to as many as 10 years in advance, are those that bring in at least 2,500 hotel room nights on their busiest day — and have the largest economic impact.

About 14 citywide conventions are scheduled to be held at the Washington Convention Center this year, one less than last year and eight less than 2005.

The 22 conventions of 2005 was a bit of an anomaly — three came to town at the last minute after Hurricane Katrina canceled their plans in New Orleans — and has come to be a tough comparison, according to the WCTC.

But even in 2004, 18 citywide conventions came to town. In 2003, when the convention center opened in March, 11 were held.

The hotel industry feels it the most when convention business is down.

“It’s the foundation of our business,” said Bob Jacobs, director of sales and marketing at the Grand Hyatt Washington, one of the city’s largest hotels.

About 70 percent of the hotel’s business is related to meetings and conventions. The rest is from leisure travelers.

Mr. Jacobs said 2007 looks like it will be a “good” year but only because hotel rates are rising. He expects occupancy rates to remain about the same.

“With hotel [general managers], sales is a tough issue,” said Emily Durso, president of the Hotel Association of Washington DC. “It’s very good, but they always say we could do better. … They think 14 great shows is wonderful, 18 would be better.”

But marketing the District as a convention spot has a few hurdles.

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