DMOs have more numbers than ever, but fewer answers.
Data dashboards flash geolocation trends, short-term rental data, tax receipts, booking windows, web traffic, credit card spend, social sentiment, CRM outputs, event impact estimates, STR reports, flight pacing, mobile trace data, survey results and on and on and on.
Each report promises insight, but too often, destinations are left trying to piece together a story from fragments that don’t quite align with their travel and tourism marketing strategy. One data set says the market’s up. Another says it’s flat. A third says it depends on the zip code.
Meanwhile, most DMO teams are busy and stretched thin. They don’t have a dedicated analyst. They don’t have time to dive deep. They just need help finding the signal in the noise.
That gap is exactly what Steve Halasz set out to fill.
With more than two decades of experience in tourism, hospitality and market research, Steve launched Blue Room Research to help destinations make better use of the data they already have and ask smarter questions about the data they need.
We sat with Steve to discuss the current state of data, how DMOs can get more value from the tools they already have and what it takes to build a truly data-driven culture.
What led you to start Blue Room Research? How did your time at Brand USA and Travel Portland shape that decision?
I worked as Director of Consumer Research at Brand USA and Director of Research at Travel Portland for many years. And what I came to realize is that large DMOs have access to a wide range of data that many smaller regional DMOs typically don’t. And I quickly found that my favorite part of the job was taking the data we did have and helping those smaller DMOs, who didn’t have the same resources or expertise, really understand their data better.
The landscape has evolved so fast. There are so many platforms and products now, and a lot of DMOs have trouble keeping up with all the trends and staying on top of things. That’s really why I started Blue Room: to be that outsourced expert for DMOs that don’t have a dedicated analyst or researcher on staff. We step in and help them make sense of the data they already have access to.
We typically work with small and medium-sized DMOs that don’t have that person on staff, but we also work with larger DMOs that just need a little extra firepower. We can step in with an existing, experienced research team and help with the lift. The other critical thing is we’re vendor agnostic, so we can work with any data set from any vendor, like geolocation, short-term rental, CRM, whatever a DMO is using. We are a one-stop shop for analyzing all of it.
How has the role of data evolved in destination decision-making since you started in this field?
The most significant shift is that if you look back about 15 years ago, the problem was a lack of data.
Now, the pendulum has swung to the opposite extreme, where there’s almost too much data. There are so many different data sets available to buy and analyze, making it a substantial undertaking for DMOs to truly comprehend all the data at their fingertips.
Fifteen years ago, DMOs might have had some hotel data or tax data, but with the digital evolution and geolocation technology, there’s an ever-increasing volume of information to analyze. It’s crucial for DMOs to understand all the different signals their destination is receiving through their data to grasp what’s happening and make key strategic decisions.
This abundance of data can become a huge time suck. Having a dedicated outsourced resource, like Blue Room, can significantly help DMOs by providing storytelling and heavy analysis. Almost every DMO has undergone this evolution to varying degrees, receiving more and more data, much of which is free, such as Google Analytics and social media data.
“Fifteen years ago, the problem was a lack of data. Today, it’s too much data and not enough clarity.”
DMOs pull data from a lot of places. How do you help them turn it into a clear story that supports smart decisions?
The short answer is: it’s challenging.
All data sets don’t necessarily provide the same directional findings. It’s key to identify your hardest and most important data sources. That varies by destination. City destinations may have a ton of traditional hotel product, while beach or mountain resorts might rely more on short-term rental data. So, it’s really about understanding what makes your destination tick and what the most reliable source is to tell its story. You start there, then work outward to fill in what the rest of the data is, or isn’t, telling you.
Storytelling around data is critical. It’s also difficult. Things are always in flux. Right now, we’re seeing changes like international inbound declines and shorter booking windows, so it’s important to stay on top of things almost daily.
When it comes to choosing data sources, it starts with budget and bandwidth. If you’re not going to commit the time and resources to understand your data, you may be wasting money. It’s about prioritizing what moves the needle in your destination and what matters to your stakeholders.
The DMO landscape is always shifting. In recent years, a lot of organizations have been moving from a pure marketing focus (ie, driving hotel room nights) to more of a management role. That includes how residents feel about tourism, impacts on traffic, local resources and the community overall. But now, with a potential slowing in the economy, a volatile stock market, a drop in consumer sentiment, and declines in international visitation, a lot of DMOs are moving back to focusing on the marketing side of the equation again. It seems like driving travel demand and putting heads in beds is once again becoming the top priority for a lot of destinations right now.
So, understanding the DMO’s priorities right from the start is really important. It’s better to begin with the questions you’re trying to answer and work backward to find the data you need, rather than buying everything and trying to figure out what it tells you later.
To become a more data-driven culture, the most important thing is to commit to data engagement. You have to carve out time regularly to talk about the data and make sure everyone understands it. That’s something Blue Room helps with. We help create that space, so teams are actively engaging and using everything they have.
As for platforms and dashboards, we’re vendor agnostic, so I don’t usually name names. Most of the products in the tourism industry generally do similar kinds of things. What matters more is what your team is familiar with and comfortable using. I’d always recommend choosing based on efficiency and staff expertise rather than chasing the idea of one platform being “the best.”
It is helpful to have a main tool and a calculated approach. It’s worth understanding what’s out there, but building long-term relationships with vendors is usually the best case. Over time, they get to know your destination better, and they help you get more out of the tool. That continuity is also important for building trend lines and historical context. Switching vendors too often can make that harder.
What strategies have you found most effective in helping DMO teams and stakeholders feel more confident using data to make decisions?
It comes back to dedicating time. Getting everyone in a room to talk through the data, seeing what makes sense and checking if it lines up with what they’re hearing on the ground in the destination is key. It’s about raising questions around where things might not match up and where they want to go deeper.
That’s the bandwidth Blue Room provides. When data sparks a question, we can step in and do those deep dives to help DMOs figure out if a trend is forming or if something needs closer attention. Having someone who speaks their data, knows their destination, and understands the language makes a big difference.
It also takes consistency. If you’re not carving out regular time—weekly, monthly, whatever makes sense—it’s easy for that data conversation to fall off the roadmap. Most DMOs are understaffed and stretched thin, so even if they’re good at acquiring data, it often goes underused. We help make sure the conversation around data doesn’t stop once the report is delivered. It becomes part of how the team operates.
“Data is a great level setter. It helps you see what’s actually happening, not just what it feels like.”
Stakeholders often have different expectations. How can DMOs balance traditional metrics like visitor numbers with qualitative measures such as community sentiment or resident satisfaction?
This is a real challenge for almost all DMOs. They’re constantly being asked to do more. The role has evolved from being purely about marketing to including more management responsibilities. Most DMOs are expected to do both: drive hotel room nights and understand how tourism impacts the community.
The most important thing is knowing what your community and stakeholders are asking you to be. That can change over time.
Coming out of COVID, a lot of destinations saw some overcrowding and overtourism, which pushed them toward more of a management focus. Now, with international inbound on the decline and some softening in the economy, many are shifting back toward marketing. So it’s about staying on top of those evolving needs.
DMOs have to wear a lot of hats and understand what their destination requires from them at any given time.
In the context of sustainable tourism, data is a great level setter. It helps you see what’s actually happening, not just what it feels like. For example, a community might feel overwhelmed by tourism, but the data might show that the pressure is only on certain days, at specific times, or at a few key attractions. Having that data allows you to acknowledge how people feel while also showing a clearer, more complete picture. That helps make sure everyone is working from the same understanding.
What’s the challenge of using AI in a DMO research role?
AI is a powerful new tool, but it really shines with big, clean data sets. That’s where it works best.
The challenge for DMOs is that they usually don’t have that kind of data. They’re not United Airlines or Marriott. They don’t have millions of transactions to learn from. Instead, they’re working with a lot of small, discrete and sometimes messy data sets. Getting AI to understand the nuance in that kind of data is tough.
We’re still in the early innings when it comes to using AI in DMO research. There hasn’t been a lot of significant progress yet, but I have no doubt it will be important and will eventually be used across all DMO silos.
Outside of research, though, AI is already being used pretty effectively. In marketing, it helps with content generation and copywriting. In sales, it’s automating emails and communication with clients. Departments like research and finance are a little slower to adopt, but I think that’s going to change quickly. It’s coming, and it’s going to be impactful for the industry.
What recent changes in traveler behavior have caught your attention? How should DMOs adapt?
Two big changes we’re seeing right now are rapid declines in international inbound travel and shorter booking windows. If a destination relies heavily on international markets, it’s important to understand the differences between those inbound markets and how they’re behaving.
With the economy showing some weakness and consumer sentiment down, a lot of American travelers are taking a wait-and-see approach. That’s showing up across the industry. Booking windows are shortening everywhere, which means DMOs need to adjust how they market and when they reach people. There’s less time to capture attention before a trip is booked.
I’ve seen these kinds of cycles before. The tourism industry has gone through some big tectonic shifts — after 9/11, during the 2008–2009 financial crisis, and again during the COVID and the first Trump administration, when international travel dropped. Now, with a volatile stock market and prolonged low consumer sentiment, people are holding back on spending again.
What we’re seeing is more drive-to vacations instead of flying, more domestic travel instead of international and booking windows that just keep getting shorter. That unpredictability is something DMOs have to build into their planning.
Considering the unpredictability of events like pandemics or economic shifts, how can DMOs build resilience into their planning?
DMOs should expect uncertainty. A decline in international tourism, for example, shouldn’t come as a surprise. It’s happened before. The tourism industry is always changing, shifting and evolving, so it’s important to be prepared for that unpredictability.
You have to expect the unexpected.
One of the most important things is to look beyond the headlines and isolate more specific trends. Even when international inbound is down overall, not all markets are down equally. There are always bright spots. DMOs need to identify those and be flexible enough to shift their marketing to go after them.
Having historical data is a big part of that. When you can look back at what happened in past cycles and how it impacted your destination, you can start to build a real-time playbook. You know what worked and what didn’t. That long memory helps DMOs find wins, even in more challenging environments.
“Most DMOs do a great job getting data. What’s often missing is the dedicated time to make sense of it.”
What steps can a DMO take to build a culture that values and effectively uses data?
One crucial step is carving out dedicated time to talk about the data and really understand it. That’s often the first thing that falls off the roadmap. Most DMOs are under-resourced and understaffed, and they’re being asked to do a million different things. A lot of them do a great job at purchasing data and getting data, but what often gets missed is that extra time and dedicated meeting around it. You need to make sure everyone in the organization understands what’s happening and what to do with the data.
Being proactive in capturing and analyzing your data now is important. Building a good database or repository will pay off in the future when you need it. Blue Room helps with that by building historical trend lines as far back as your data goes. That helps paint the long-term picture. The goal is to have your data organized and pre-cut so it’s ready to go when needed, instead of digging through old reports later. Even if you don’t need it right now, doing that work upfront will pay dividends down the line.
Almost every DMO struggles with data collection, analysis and getting it into a usable system. A lot of that comes down to staffing. Most DMOs don’t have a dedicated analyst. The data lives in different silos — sales has their data, marketing has theirs — and it’s hard to bring it all into one place.
Getting to that one universal, best version of the truth for your destination takes time, organization and proactivity. It’s a big lift. But getting your data sources to speak together and creating that shared understanding is one of the most important things you can do.
What’s the role of DMOs when it comes to sharing data with stakeholders?
A DMO’s primary role is level setting for the community and actively communicating what’s going on in the destination with the data. On the other side of that, it’s about understanding what the community is asking for — where things are going well, where they’re struggling and what concerns people have about tourism in the destination.
DMOs need to analyze data that helps answer the questions stakeholders are asking. Understanding the top priorities for your destination is critical. There’s no shortage of curiosity from stakeholders, so it’s important to focus on what matters most.
When it comes to telling the story with data, active communication is key. Dashboards are great when you’re sitting in a room exploring the numbers and answering specific questions. But what’s often missing in the DMO space is a clear, cohesive report that can be sent out. Getting something directly into stakeholders’ inboxes works better than expecting them to log into a website or open a dashboard. It increases the chances they actually see and engage with the information.
Blue Room helps with that report creation. It’s a great olive branch you can offer your community. It shows that you’re working for them, that you’re on top of the data and that you’re being transparent about what’s going on. That kind of communication goes a long way.
Meet Steve Halasz
Steve created Blue Room Research to help destinations analyze and interpret their existing data sources and to explore additional opportunities to maximize data-driven decisions. He has more than 20 years of experience working in tourism, hospitality and market research.
Steve began his career in tourism working for Abercrombie & Kent and Bluegreen Resorts. As a market research consultant, he worked with leading global brands such as John Deere, UnitedHealth Group, Ernst & Young and Genentech.
Most recently, he served as Director of Consumer Research at Brand USA and as Director of Strategic Research & Analysis at Travel Portland. Steve served on the Board of Directors for the Greater Western Chapter of the Travel and Tourism Research Association (GWTTRA) and is currently the Associate Director of the Oregon Destination Association (ODA).
Steve holds an M.B.A. from the Mason School of Business at The College of William & Mary and a B.A. in Mass Communications from Wake Forest University.
