Why TMDs Work

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TMDs are part of San Diego´s overarching program that provides funds to promote the region’s hotels as overnight destinations to prospective visitors. Such a marketing effort is not inexpensive, but it is crucial to the economic prosperity of San Diego’s lodging industry. Key to its long-term outlook is its self-sustainability.
The work of the SDTMD is paid wholly by the lodging industry. Lodging businesses assess themselves, based upon size, with the city collecting the fees and forwarding them to the SDTMD Corporation, a private nonprofit. The funds are managed by a Board of Directors entirely composed of hoteliers, ensuring the money is used on events and programs that drive room night sales.

As the TMD programs successfully cause hotel room night sales to increase, jobs are created and supported at those hotels – more than 194,000 in the City of San Diego. In fact, for each 1,000 visitors, 3.5 jobs are required, which results in 1.5 jobs created in local services.

TMDs work because we are investing in a destination with unlimited returns. In our case, America’s Finest City.


TMD assessment dollars are crucial to marketing the city. With tourism playing such a key role in San Diego's current and long-term economic prosperity, it is important in this highly competitive industry that the city constantly explore new and effective strategies to promote and market the region as a preferred vacation and meeting destination.

To put it succinctly, events and tourism attractions that attract overnight visitors San Diego lodging businesses are extremely important to generating TMD assessment dollars that benefit the city and region. Moreover, guests who stay multiple nights in San Diego create a ripple effect with their dollars spent, impacting not only lodging businesses, but multiple other commercial entities, including restaurants, entertainment, transportation and shopping retailers.

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