What is a Tourism Promotion Area (TPA)?
A Tourism Promotion Area (TPA), also known as a Tourism Improvement District (TID), provides a stable source of funding to a DMMO for marketing and promotion efforts, with the ultimate goals of increasing occupancy and room rates for lodging businesses and increasing Transient Occupancy Tax collections. STPA is a city-approved and hotelier-proposed 2% fee assessed on guest room nights at lodging facilities within Salem city limits
Unlike the transient occupancy tax (TOT), the funds gathered through the STPA are managed by a dedicated group of hoteliers.
Salem Tourism Promotion Area (STPA)
The travel industry is an essential economic driver nationally and regionally for the Salem area. In 2022, visitor spend accounted for $782 million directly into the region, which generated 7,850 jobs and $31.2 million in state and local tax revenue.
On November 25, 2019, Salem City Council approved Oregon’s second Tourism Promotion Area (TPA)— a bold and visionary concept by Salem Area Lodging Association (SALA) and Travel Salem to remain competitive and not lose market share when promoting the region as a premier travel destination. The funds generated by the STPA are used to:
- Support tourism marketing and sales efforts that enhance the region’s competitive position as a top visitor destination
- Increase occupancy and average daily rates (ADR) for Salem lodging proprietors
Collections for STPA funds began in January 2020 and are directed to Travel Salem, the region’s official destination marketing and management organization (DMMO). A nine-member advisory committee, made up of Salem hoteliers, works closely with Travel Salem to develop strategies to drive overnight visitation to Salem – particularly during the off-peak season (October - March) when hotel occupancy is softer than in the spring and summer months.
Salem is the second city in Oregon to establish a Tourism Promotion Area, after Portland became the state’s first city to launch a similar program. The Portland initiative has been highly successful, with off-peak season hotel occupancy and average daily rates having grown significantly since the program’s inception.
What does the Tourism Promotion Area do?
The STPA funds allow Travel Salem to strategically market the region through a variety of channels. Currently, STPA funds make up roughly 37% of Travel Salem's budget and are designated for advertising campaigns, content creation and destination development that drive overnight visitation. In 21-22, the STPA generated an unprecedented $1 million that was used for a Seattle outdoor campaign, booking campaigns on Expedia & Sojern, multiple social media campaigns and so much more!
2022-2023 EXECUTIVE SUMMARY
During the last year, the STPA generated roughly $1 million for advertising and public relations campaigns.
Thanks to the STPA funds, media impressions have grown as more campaigns and initiatives showcase the Salem region as a unique tourist destination.
STPA funds also were important in supporting our convention and sports marketing efforts, including a variety of tradeshows and conferences, as well as direct marketing campaigns.
Apply for an STPA Grant
STPA Committee Members
Matt Smith, Chair
Holman Hotel
Arun Butta
Howard Johnson
Soraida Cross
The Hotel Salem
Navi Kaur
La Quinta
Toby Olsen
Home2 Suites
Dave Pappas
Hampton Inn & Suites
Manu Patel
Days Inn Black Bear
Ronak Patel
Motel 6 (on Hawthorne)
Jeneice Riggins
Best Western Plus Mill Creek Inn
Scott Snyder
The Grand Hotel
Dawn Vinogradoff
Shilo Inn