The High Street of Tomorrow: Adapting to Meet the Changing Needs of Consumers Martin Blackwell Chief Executive Association of Town & City Management Consumer Trends to 2020 Portas Pilots, Town Teams & Programmes Where are Town Teams Heading? Business Improvement Districts Consumer Trends to 2020 Consumer Trends to 2020 •Driven •Expect choice •“Want to be able to shop and live on own terms . Businesses must meet our needs – anywhere and anytime” •Use technology •“Technology is a part of by value •“New outlook, less credit, high costs, depressed income” life, use it for information, shopping, socialising, deal hunting” •Want •Getting •“Focus older on good service and leisure in nice, safe, local places” experiences •“Leisure is important. Want places that offer unique retail, cultural, social experiences” The High Street of Tomorrow VECTA (value; experience; choice; technology; age) - 'Clicks and Bricks' (Footfall, Sales, Promotion) - Changing retail patterns ('alive after five', pop-ups) - “Beyond Retail” (social, leisure, digital, local, cultural) Less about High Street, more about Centre Portas Pilots, Town Teams & Markets What are they? Product of the Portas Review (2011) - Engand only 27 Portas Pilots - £100k Government funding - Testing recommendations of review - Sharing knowledge & best practice 330+ Town Teams - £10k Government funding - Generally informal partnerships What are they working on? - Markets - Pop-up spaces - Entrepreneur incubation - Skills, training & mentoring - Public realm development & enhancement - Place Branding (marketing & promotion) - Business grants & loan funds - Asset management (community right to buy) - Volunteering - Increasing perceptions of safety - Art installations & culture-led events - Environmental sustainability - Digital High Street - Place Managers (coordinators; ambassadors) - Strategic planning - Youth engagement & employment How town centres used to be … … and town centres today? Where are Town Teams Heading? BIDs & PP/TTs Both have: Created enthusiam & formed partnerships • Focused on important local issues, along a broad spectrum Begun to take 'ownership' of their own destiny Reinvested community knowledge into decision-making “Reinventing High Streets by reinvesting social capital” Models for the Future? Business Needs BIDs Community & Social Interests Local Authority Town Centre Managers Portas Pilots Town Teams Raising the Quality of Town Centres in the Future Destinations Mixed use • Safe, attractive & fun • A balance of activities & attractions Leisure & NTE • An integral part of the offer Consumer responsive • Capture the missing market Management 24/7 • Self-regulating neighbourhoods Source: Coca-Stefaniak J A (2013), “A strategic approach – a must or a maybe?”, The Geographer, Spring 2013, p. 7 Diversity of TCM approaches Formal schemes Darwen (UK) St Helens (UK) Public funding Salzburg (AUT) Lille (FRA) Terrassa (ESP) Vasterås (SWE) Łodz (POL) Ludlow (UK) Business Improvement Districts (UK) Cesena (IT) Private funding Granollers (ESP) Informal schemes Source: Coca-Stefaniak et al (2009), “Evolution of town centre and place management models: a European perspective”, Cities, Vol. 26, Issue 2, pp. 74-80. So what? Source: Coca-Stefaniak J A (2013), Successful town centres – developing effective strategies, Gloucester: ATCM-GFirst Source: Coca-Stefaniak (2013) Source: Coca-Stefaniak (2013) Source: Coca-Stefaniak (2013) Source: Coca-Stefaniak (2013) B D A C Taking things forward – Researching your town (perception v. reality?) 5 All 4 Average 3 2 1 0 -5 -4 -3 -2 -1 0 -1 -2 -3 -4 -5 1 2 3 4 5 Moving forward Soul searching Developing a shared vision Research your town centre Discuss results with key decision makers Gap analysis (present to future) Quick wins Dream … but remain realistic about short term What is a BID? BID = Business Improvement District Non-profit management company limited by guarantee Business-led Business funded Business focused Specific to a defined area Evolution of BIDs First BID 1969 in Toronto Now over 2000 BID in North America (New York = 64 BIDs) 160+ BIDs in UK Examples also in Germany, Ireland, Sweden, Serbia, South Africa & New Zealand What do BIDs do? Represent the needs of business & consumers Provides a strong collective voice Ensures a sense of ownership in local desicion making Create sustainable funding for 'additionality'... North America Evovled to address the 'downtown crisis' through 1980's and 1990s. The 'Doughnut Effect' Population movement Big-box retail Ring doughnut vs jam-filled How is it Funded? 1) Through the BID Levy Based on a % of local business rates Money is collected by Local Authority & given to BID company The BID Ballot Process • Select a defined area • Conduct a Feasibility Study & prepare the database • Consultation – understanding business needs • Prepare a Business Plan & promote this • Commence your ballot • – 50%+ of those voting must say ‘yes’ – 50+% of the aggregate RV of voters must be a ‘yes’ Maximum five year term BID Development, Renewal and Training School BID Training School • Phase One (1 – 3 months) is ideal for anyone thinking of establishing a BID. • You will receive tailored support through two group workshops and a location visit from our BID specialist. • We’ll take you through: • Where to start on your BID journey • The consultation process & talking to stakeholders • Developing your boundary and setting goals • Projecting your BID levy income BID Training School Phase Two (Months 4-12) • Five workshops and four location visits to ensure you get the face-to-face guidance throughout the process. • Topics covered include: • Develop your action plan & Proposal document • How to agree baselines with local authorities & set KPIs, deal with accounting and other company law requirements • Make the most of Board members’ time • Engaging with voters at local and national level VECTA •Driven •Expect choice •“Want to be able to shop and live on own terms . Businesses must meet our needs – anywhere and anytime” •Use technology •“Technology is a part of by value •“New outlook, less credit, high costs, depressed income” life, use it for information, shopping, socialising, deal hunting” •Want •Getting •“Focus older on good service and leisure in nice, safe, local places” experiences •“Leisure is important. Want places that offer unique retail, cultural, social experiences” Small business skills gap Some stark facts… 1.6 million SMEs do not have basic digital skills As many as 37% of SME’s do not have a website Only 1% of SMEs use social media to generate revenue Digital Skills Workshops Module 1: Understand Your Customer and Digital Marketing – this module covers the basics of marketing right through to online channels. Module 2: Develop Your Business Online – introduction to e-commerce and virtual shops – why it isn’t optional anymore to have a web presence. Module 3: Grow Your Business Through Social Media – provide an introduction to social media content, how to make it easier to generate business and keep engaged with your customer. Thank you Martin Blackwell Assocaition of Town & City Managment @ATCMUK T: 0300 3300 980 E: martin.blackwell@atcm.org