Recently there has been a series of meetings aimed at improving and enhancing the advertising of Perdido Key in District 1. For the last several years, all county marketing has been centralized under the "Visit Pensacola" brand. I'm told by folks familiar with this matter that "Perdido Key gets plenty of coverage and advertising--just look at their year over year tourist tax development (TDT) collections growth--that's the proof." Nobody is knocking what Visit Pensacola does, it is just that Perdido Key is not Pensacola Beach--they are two separate and distinct areas of the county.
Currently, the Perdido Key Chamber of Commerce leases the Perdido Key visitor's center from Escambia County. Within the visitor's center, "Visit Pensacola" maintains a presence, complete with rack cards, displays, and murals. There are also multiple employees of Visit Pensacola who staff this visitor's center through the week. One issue that has been brought to my attention by the Perdido Businesses and citizens with whom I have spoken is that the Visit Pensacola employees who work in Perdido Key often recommend out of the area restaurants and other attractions to visitors who are coming to Perdido Key. In one instance, a guest asked where a good restaurant was for a bite to eat. Instead of pointing this particular guest to the Florabama, Crab Trap, Oyster Bar, or the Sunset Grill---the employee said "I'd recommend you go to Pensacola Beach, to the Grand Marlin" There have been other similar occurrances of which I have been made aware.
In addition to this, there has been a lot of disdain about Perdido's Chamber of commerce--because as a state line chamber of commerce--they naturally have some members in Alabama. About 60 of the 400 members of the Perdido Chamber of Commerce are Alabama businesses. Of that 60 Alabama entities, however, only 5 (Five) collect 5 cent bed taxes. And of that five---4 of the 5 are owned by well-respected Escambia County businessman, Julian McQueen's. company Inisfree Hotels.
Nobody is trying to knock Julian McQueen's hotels in Alabama. It is a separate market from Pensacola Beach---very different and unique. And Perdido Key actually lines up more with them and is closer in proximity to that market than it is to Pensacola Beach. Perdido Key is 25 miles away from Pensacola Beach.
Meanwhile, back at the visitor's center in Perdido Key--rack cards are meticulously controlled by Visit Pensacola, with one such prominent rack card advertising an Out of State (Alabama) Gambiling Casino and another announcing "Welcome to Pensacola Beach!" Of more than 100 posts to Visit Pensacola's Instagram over the last year--not one post had a #Hastag Perdido Key. Every single one of the posts had hastags for Pensacola Beach or downtown. Additionally, a recent perusal of the "Beach Events" page on Visit Pensacola was all but EXCLUSIVELY spotlighting Pensacola Beach, with the reader having to go eight clicks deep through the pages to find even one Perdido Key beach establishment listed. The Perdido Key Chamber's website is not linked to Visit Pensacola's site for reasons unknown, yet Pensacola Beach's Chamber website is linked. Why is that?
Perdido Key feels neglected and the businesses out there are not happy about it. Remember, they are the #2 highest collector of Bed tax dollars behind only Pensacola Beach, in all of Escambia County.
Yet, I'm told if we bolster the Perdido area with better, more directed marketing--we will essentially be "Sending money to Alabama businesses." or "Competing against ourselves [Escambia]." I simply disagree. It is a cop out and I can tell you as a person who frequently spends time at a Pensacola Beach Condo I own---visitors to either location will vote with their feet as it pertains to food and beverages; e.g. just because they are staying in Pensacola Beach or Perdido Key does not mean every dollar such visitor spends will be in Escambia County's jurisdiction. People travel, people eat and drink out of jurisdiction. Do I want all people in both locations to only spend money in Escambia County's jurisdiction so we collect the sales tax? Of course. Is that a realistic expectation? no. In Pensacola Beach, a vast majority of long duration visitors buy groceries over the bridge at Publix or Wal Mart. All name-brand pizza delivery companies that deliver on Pensacola Beach to visitors staying there (Dominos, Pizza Hut, Papa Johns) similarly are located out of our taxing jurisdiction, over the bridge in Santa Rosa County where the grocery stores are. And when these visitors gas up their vehicles, by and large they skip the one high-price gas station in Pensacola Beach for one of the significantly less-expensive stations in.........drumroll.......you guessed it--Gulf Breeze Santa Rosa County, out of our jurisdiction.
Similarly--in Perdido Key visitors staying in condos there may go over to Cobalt of the Hangout in addition to spending money in Escambia County at Perdido area restaurants.
So--food an beverage choices happen, we can't hold visitors hostage at either beach once they arrive there for a visit.
But the money we are discussing, TDT, are not collected anywhere other than lodging accomodations, not at retail establishements or restaurants--so those discussions are red herrings anyhow, when we are talking about year over year TDT collections increases.
The 2021-2022 year over year Bed Tax collections gains at Perdido Key were NOT driven by slick marketing for Perdido Key that Visit Pensacola placed. These increases were organic, primarily due to the growth in new units coming on the market in Perdido Key via VRBO, AirBnB, Expedia, and other online owner-operated lodging solutions--in addition to work the Perdido Key Chamber did, in addition to the work Visit Pensacola did, in addition to the work Alabama state-line chambers did.
And I have the information to prove this, information from the clerk.
I reached out to staff from the clerk's office for data on the number of unique, individual collectors in the 32507 (Perdido Key) Zip code to see what was driving this huge jump in gross-dollar TDT collections.
The metric has only been tracked since late 2021--but the pattern is obvious; there are a huge number of new rental units (TDT collectors) coming online in Perdido Key, and that is driving the increase year over year--it is obvious to the most casual observer. Now, If the number of available units had held static and the gain was 52% that would point to something dramatic happening in terms of marketing and this conversation would not be happening. But that is not what the story tells.
Look at just 5 months side by side to see the reason why the gains are occurring (month on top, total number of unique collectors on the bottom):
In just those 5 months compared, above, the available units jumped by 90% year over year--yet collections did not match growth and were "only" up 52%. What does that mean?
There are ongoing conversations to improve this situation, I have discussed the issue with no real resolution at yesterday's TDC board meeting, where I informed that board I'd be bringing this issue to the BCC for discussion at an upcoming BCC meeting to work toward a better situation between Visit and Perdido Key to fix some of these untenable issues. Naturally, any sort of a change to the current status quo has, is, and will be running into a buzz saw of opposition from hoteliers, advertisers, and others who are quite comfortable with the current state of things. I happen to believe some minor tweaks and some autonomy for Perdido Key can fix things. Unfortunately, a meeting on this topic I facilitated and attended last week produced no meaningful solutions going forward.
So I'll keep working on it from my end and through the BCC at the next meeting.