Brand USA In-Kind Policy Summary by linxiaoqin


									In-Kind Activation with
      Brand USA
  Brand USA Funding
• Brand USA is a non-profit, public-private partnership supported by private
  sector investment and federal funding from the Electronic System for Travel
  Authorization (ESTA)

• The annual ESTA fund of $100 million is generated by fees paid by
  international visitors from Visa Waiver countries

• Private sector funding is required to receive the ESTA funds. This private
  sector funding can be in the form of cash investment or in-kind investment,
  with a cash target of 20% and an in-kind target of 80%.

• To access the federal funds, private sector funds have to match federal funds in
  a 1:1 ratio (2:1 ratio in FY 2012) i.e. $100 M in private sector investment is
  required to receive or “un-lock” the $100 M ESTA fund.
“Once in a Lifetime” Marketing Opportunity

                                              Up to $200M
    Each $1 from        $1 in matching          annually to
     the private        funds from the         invest in USA
   sector (cash or        ESTA fund.             brand and
       in-kind)         ($2 thru 9/30/12)*    Partner Co-Op

                                             The marketing
 •Sponsorships       Funded by               fund created by
 •Co-Op Marketing    visitors from Visa      the ESTA fee is
 •Licensing          Waiver countries        capped at $100M
 •Publications       entering the USA        annually
 •Web & Social
 •Trade Shows
                     * 2:1 match in FY2012
Travel Promotion Act (TPA)

Public Law 111-145 (as stated in the act)
Section 9(d)(3)(B) In-Kind…determining the amount received
from non-federal sources…other than money-
     i. The fair market value of goods and services
          (including advertising)

     ii. The fair market value of such goods and services may not account for
           more than 80% of the matching requirement
In-Kind Definition

Donation of non-cash contributions at fair market value
of goods and services that will aid Brand USA in carrying
out its statutory marketing mission, as well as its
matching fund requirements.
In-Kind Contribution Categories

                           Goods &
                         (Rooms, airline
                        tickets car rentals,
                         entertainment or
                        attraction tickets,
   Research,                                     Marketing,
   Content &                                    Advertising &
    Assets              In-Kind                Communications
                                                (Web, social media,
 (Databases, lists,
photos, film library,                          collateral, pr support,
       etc.)                                     tradeshows, etc.)

                        Supplies, Space
                         & Donations
                         services, software,
                          consultants, etc.)
Goods & Services

• Hotel rooms            •   Backstage passes
• Banquet facilities     •   Motor coaches
• Car rentals            •   Audio visual
• Airline tickets        •   Etc.
• Train tickets
• Bus passes
• Theater tickets        In-kind value is determined by:
                                Published rate
• Entertainment/Sports        – Brand USA gratis/discount rate
                              = In-Kind Value
• Attraction tickets
Research, Content & Assets

•   Travel Research     •   Webinars
•   Web content         •   Printing
•   B- roll/film        •   Translation services
•   Promotional video   •   Etc.
•   Editorial content
•   Data bases
•   Mailing lists
•   Email lists
Supplies, Office Space & Donations

• Office space & equipment   •   Cable
• Computer - hardware &      •   Meeting facilities
  software                   •   Tradeshow booths
• Personal service           •   Signage
   –   Consulting            •   Parking
   –   Accounting
                             •   Etc.
   –   Legal
   –   Management
   –   Directors time
• Training & Webinars
Marketing, Advertising & Communications

• Ad space & time   • Fam tours
    –   Radio       • PR support
    –   TV          • Etc.
    –   Outdoor
    –   Internet
    –   Print
•   Web
•   Social media
•   Banners
•   Collateral
•   Brochures
Partner In-Kind Opportunities

     Partner website


  Partner merchandising

Partner goods and services

Partner In-Kind Opportunities: Logo Placement

      Brand USA logo         Partner’s advertising
   placement and/or URL


                            Partner’s merchandise
       Partner assess
       in-kind value
                              Partner’s goods and

                               Partner’s website

   Brand USA receives
  Brand USA receives in-
    Brand USA receives
   “in-kind” value match
  “in-kind” value match
      kind value match
In-Kind Valuation

Goods & Services   • In-kind based on fair market value

                   • Partner creates advertising/collateral and includes
  Marketing &        Brand USA logo/URL. In-kind value is based on a
                     percentage of the cost, based on space or share of
  Advertising        voice provided to Brand USA

   Research,       • In-kind value based on the cost to the partner
                     to produce, develop or purchase
Content & Assets
   Parallel Partner Campaign w/ In-Kind Value

                             Brand USA
 Tourism Partners and
                           launches their
  Brand USA define a
campaign strategy in a
                            campaign in
     target market
                           target market

                           Partners follow
    100% of Partner            in same
     media buy and           market with
 creative is credited to    destination or
 in-kind for Brand USA     product specific

In-Kind Media Example

Partner buys and      Partner includes
places advertising   Brand USA logo in
 in international      their existing
     market(s)           campaign

   Brand USA          Determination is
 receives in-kind    completed re. % of
  earned value       ad that represents
                        in-kind value
                                          33% MEDIA VALUE
In-Kind OOH Spectacular

In-Kind OOH –30 Sheet

In-Kind OOH - Transit

In-Kind Newspaper & Magazine

In-Kind Magazine – Travel Trade

In-Kind Digital

Thank You!

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