Louisiana Economic Development Marketing & Attraction Course Presented by: Sharon Younger, PhD May 2014 1 Louisiana Economic Development Marketing & Attraction Course Overview of Economic Development Marketing 2 The Origins of Marketing • The Struggle to Meet Demand Era – Agriculture • The Mass Production Era – Ford • The Mass Market Era – Procter & Gamble • The Target Market Era – Cable TV • The Long Tail - Internet 3 Economic Development Environment • Highly Competitive • Extremely Time Sensitive • Confidentiality Is Imperative • Relationships Matter • Online Information Is Increasingly Important 4 Economic Development Environment It’s About Elimination 5 The Role of Site Selectors Typically the research and screening process is conducted by one of the following groups: • Real estate/site selector consultants or firms • In house real estate and corporate real estate professionals • Consulting firms specializing in incentives • Firms that provide a main product/service and offer site selection consulting to their clients as a secondary service (accounting firms, legal firms, payroll companies) • Headquarters or office staff 6 The Role of Economic Development Practitioners • Work with local constituents and educate them on the importance of economic development marketing and attraction • Market the community internally as a great place to live and do business • Establish a positive image and attitude amongst business, political, and community leaders and unite them to collectively contribute the required investments to make it attractive to clients • Build a positive relationship between the public and private sectors 7 Key Facts About Business Attraction • Business attraction may be the main focus of a specific organization, but should not be thought of as the only economic development approach in a community • Business attraction requires a lot of financial and time investment that does not always result in a “win.” Business attraction investment must be “patient money.” • Business attraction is not based solely on marketing, but on the competitive and comparative advantages of the community. • Business attraction from a nearby community or from within the region might result in a “zero-sum game,” or even a loss if significant time and money is invested in the relocation. 8 Community Business Climate • Attitudes towards growth • Public-private cooperation • Government responsiveness • Government efficiency • Labor relations • Economic development resources and project management expertise • Government regulations, fees, zoning patterns and permits and permitting time 9 Economic Development Marketing • Know the Product • Know the Market • Know the Process 10 Why You Need Research Knowledge = Power • • • • • Understand the Local/Regional Economy Prepare to Work with Prospects Identify Economic Targets & Opportunities Basis for All Successful Strategic Plans Basis for All Effective ED Marketing 11 Louisiana Economic Development Marketing & Attraction Course Preparing for the Case Study – Know Your Product 12 Demographics Tools • Neilson Claritas • ESRI Data/Mapping • Census/ACS/FactFinder (US Dept of Commerce) • Immigration/in-migration (IRS, Moody’s) • Woods & Poole Economics 13 Location & Transportation • Access to rail • Airport runway length • Customs services/Foreign Trade Zones • Commute times • Access to highways • Proximity to customers • Proximity to suppliers • Natural resource deposits 14 Infrastructure • • • • • • • • • • Utility Consumer Satisfaction Average Number of Power Outages/Duration Redundancy Water Capacity Sewer Capacity Natural Gas Fiber Optics Capabilities Communications Solid and Hazardous Waste Capacity Environmental Issues 15 Taxes/Cost of Doing Business • State Tax Climate Ranking • Personal Property Tax • Corporate Income Tax Rate • Individual Income Tax Rate • Gross Receipts Tax Rate • Unemployment Insurance Max. Rate & Taxable Wage Threshold • Worker’s Compensation per $100 Payroll • Utility Costs • Sales Tax 16 Cost of Business / Living Tools • Moody’s Economy.com • Tax Foundation • RS Means Square Foot Costs • COLI – CODBI • Banknote.com • C2ER 17 Quality of Life Evidence suggests that quality of life factors have a significant impact at the margins in corporate decision-making. It is clear that in some cases, the opinions of spouses and families of corporate executives have moved companies towards areas with a more favorable quality of life. 18 Quality of Life • Cost of living • Cultural and recreational amenities • Public services • Education and school systems • Housing cost and availability • Median Housing Cost • Home appreciation/ depreciation • Child care • Community facilities (cultural and recreational) • Health care • Crime levels • Natural features • Climate • Attractions and events 19 Sites & Facilities • Number of facilities/sites available for lease or purchase • Size (square feet) and condition • Purchase and rental rates • Infrastructure and utility setup • Telecommunications capabilities • Parking availability • Building & site specs 20 Benefits of Selecting Target Markets Why have target economic sectors? • Maximizes the effectiveness of local economic development resources (money, time, professionals) by focusing on smaller, compatible economic segments • Results in the identification of productive targets and the recruitment of economic sectors that have maximum positive impact on the local economy 21 Louisiana Economic Development Marketing & Attraction Course Case Study – Knowledge is Power • Guide d • Solo 22 Considerations for Selecting Target Markets State/Regional Targets: • Statewide Targets – are there existing, research-quantified targets identified by and for the state • Regional Targets – research-quantified target segments for a inter- or intra-state region Resources: If targets exist at these levels it and possibly by identifying and pursuing sub-segments within the targeted segments. is easier to maximize local resources by participating in the target market strategies 23 Considerations for Selecting Target Markets Existing Economic Base: • • Types of Existing Businesses & Industries Support Services • Suppliers • Sub-Contractors • Economic Clusters • Existing • Potential Resources: - County Business Patterns, U.S. Department of Commerce - Utility Providers 24 Tools for Business Data • Business Wise • Hoovers • Info USA • D&B • Directory of Corporate Affiliations • CoStar Real Estate data 25 What Is a Business Cluster? Do You Have One? Workforce Suppliers Customers Infrastructure 26 What Is a Business Cluster? Do You Have One? • A group of vertically integrated economic activities that have reach a degree of specialization that provides a global competitive advantage. 27 How Can We Measure a Business Cluster? • Employment Size • Degree of Industry Specialization • Degree of Occupation Specialization • Supply Chains • Major Infrastructure or Resources 28 Considerations for Selecting Target Markets Available Local Resources: • Environment • Solid Waste • Air Quality • Water • Distributor Networks • Transportation Alternatives 29 Considerations for Selecting Target Markets Available Local Resources: • Knowledge & Innovation Resources • Research centers • Colleges & Universities • Technical Centers 30 Invention Disclosures at the University of Virginia by School 200 College and Graduate School of Arts and Science 150 School of Engineering and Applied Science 100 School of Medicine Other 50 0 2006 2007 2008 2009 2010 31 Patents by County & Assignees 1400 1200 1000 800 Licensed in TJP area Licensed out of Area 600 Individual Inventors 400 Total 200 0 32 Considerations for Selecting Target Markets Potential Economic Impact of Targeted Segments: • Job Creation • • Number of jobs Types of jobs Resources: U.S. Bureau of Economic Analysis, Regional Input-Output Multipliers (RIMS II) 33 Considerations for Selecting Target Markets Potential Economic Impact of Targeted Segments: • Compatibility with Existing Industries • Does not create direct competition for existing businesses • Utilizes products or services of existing businesses Resources: U.S. Bureau of Economic Analysis, Regional Input-Output Multipliers (RIMS II) 34 Why Workforce is Important History of Top Location Decision Factors Survey, Corporate Decision Makers Top Location Decisions 2013 2012 2011 2010 2009 2008 2007 2006 Availability of Skilled Labor 1 3 2T 7 6 6 4 8 Highway Accessibility 2 2 1 1 2 1 1 2 Labor Costs 3 1 2 2 1 2 2 1 Occupancy/Construction Costs Availability of Advanced ICT Services 4 5 5 4 7 3 5 7 5 4 | | | | | | Available Buildings 6 8 | | | | | | Corporate Tax Rate 7 7 4 6 5 8 7 3 State and Local Incentives 8 | 5T 5 8 7 8 4 Low Union Profile 9 10 10 | | 9 10T | Energy Availability & Costs 10 6 7 9 4 5 3 9 * Not in top ten factors for year shown Source: Area Development Magazine, Corporate Surveys, 2006 to 2013 35 Considerations for Selecting Target Markets Potential Economic Impact of Targeted Segments: • Wages & Benefits • Comparison to local averages Resources: U.S. Bureau of Economic Analysis, Regional Input-Output Multipliers (RIMS II) 36 Quarterly Census of Employment Wages- Annual Average Industry Avg. # of Reporting Units Avg. Annual Employment Avg. Annual Wage Total All Industries 2,324 54,040 $ 33,764 Total All Industries, Federal Government 25 522 $55,286 Total All Industries, State Government 8 953 $34,289 Total All Industries, Local Government 17 8,761 $34,675 Total All Industries, Private Ownership 2,274 43,804 $33,313 Goods Producing 376 13,249 $41,585 Natural Resources and Mining 17 92 $31,290 4 29 $25,574 Crop Production 37 Quarterly Census of Employment Wages- Annual Average Industry Avg. # of Reporting Units Avg. Annual Employment Avg. Annual Wage Forestry and Logging 6 22 $22,393 Agriculture 3 16 $27,318 235 3,099 $37,025 Construction of Buildings 81 887 $38,450 Heavy and Civil Engineering Construction 17 519 $46,55 Specialty Trade Contractors 137 1,693 $33,359 Manufacturing 125 10,058 $43,083 8 1,623 $47,163 10 593 $33,180 7 677 $40,366 Construction Food Manufacturing Wood Product Manufacturing Paper Manufacturing 38 Considerations for Selecting Target Markets Workforce/Labor Market Capacity Labor Market Area – labor shed complete geographic area from which workers can be drawn for a specific industry segment • Commute Zone • Commuting Patterns Number of Workers Available • Traditional Sources • Non-Traditional Sources – important in periods of low employment, can be hard to quantify Skill sets within the Labor Market Tip: Labor market analysis can also be a very helpful tool in existing industry development (retention & expansion) Resources: Labor market analysis can be performed to quantify labor market statistics and to identify target markets based upon workforce resources. 39 Commute Patterns Source http://onthemap.ces.census.gov/ 40 Commute Patterns Source http://www.census.gov/population/www/socdemo/journey.html 41 Tools for Workforce Analytics • EMSI – BLS • State Dept of Labor and Workforce Development • On The Map (labor & commute sheds) • Career Builder 42 Workforce Analysis The following data should be collected for the entire potential workforce, ages 1870: Workforce Characteristics • Previous employment by industry and occupation • Education, training, specialized work skills • Commute data • Earnings and benefits data • Demographic data • Employment barriers • Unused job skills and training (underemployment) These segments within the potential workforce will be identified and quantified: New Entrants to the Workforce • Workers relocating to the area since 2000 • Separating from the Military • Other new entrants (students, early retirees, etc.) • Commute data (previous/current) • Comparative demographic and employment data 43 Workforce Analysis Labor Reserves • Retirees • Students • Second Income Earners • Military Spouses • Underemployed • Out commuters Out Commuters (i.e. 45 to 60 minutes) • Commute preferences • Comparative demographics and employment data Unemployed • Desire for employment • Previous employment data • Length of unemployment • Employment preferences • Comparative demographic and employment data 44 Potential Hidden Labor Supply Employment Status TJP Region Not employed, but interested in working 46,379 Underemployed 27,538 Residents employed part-time, who would prefer full-time employment 13,703 Recent post-secondary graduates Total 7,578 95,198 45 Educational Attainment TJP Region Virginia 40 35 30 25 20 15 10 5 0 Less than High High School School Diploma Only 12-15 Years 16+ Years 46 Existing Business Clusters & Major Industry Groups By Average Annual Earnings Agribusiness, Food Processing & Technology $19,358 Arts, Entertainment, Recreation & Visitor Industries $23,146 Forest & Wood Products $37,391 Apparel & Textiles $38,298 Education & Knowledge Creation $42,243 Transportation & Logistics $42,325 Fabricated Metal Product Mfg. $47,555 Health Services/Biomedical/Biotechnical $48,238 Business & Financial Services $49,711 Printing & Publishing $52,656 Energy $71,024 Information Technology & Telecommunications $74,135 Chemicals & Plastics $74,318 Defense & Security $74,437 Advanced Materials $83,087 Computer & Electronic Product Mfg. $99,189 Region Average $44,670 State Average $56,533 $0 $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 47 Existing Business Clusters & Major Industry Groups By Location Quotients Fabricated Metal Product Mfg. 0.19 Chemicals & Plastics 0.53 Transportation & Logistics 0.56 Health Services/Biomedical/Biotechnical 0.64 Advanced Materials 0.81 Apparel & Textiles 0.88 Education & Knowledge Creation 0.9 Defense & Security 0.9 Business & Financial Services 0.92 Information Technology & Telecommunications 0.95 Energy 1.09 Agribusiness, Food Processing & Technology 1.12 Arts, Entertainment, Recreation & Visitor Industries 1.15 Computer & Electronic Product Mfg. 1.18 Printing & Publishing 1.18 Forest & Wood Products 1.21 0 Nationwide Industry Employment Ratio 0.2 0.4 0.6 0.8 1 1.2 1.4 48 Louisiana Economic Development Marketing & Attraction Course Turning Target Markets Around 49 Optimal Target Markets • • • • • • High relative wages High relative jobs multiplier Support or strengthen existing industry groups/clusters Make use of the location’s unique attributes Utilize incumbent occupational skill-sets Match area’s educational infrastructure and postsecondary completions • Potential to employ underemployed and unemployed • Match the area’s capacity and desire for growth and development 50 Understanding the Dynamics of the Target Market Critical Information Requirements: • What is the size of the market? • Is it growing? • What is the industry outlook? • What are the economic trends? • Who are the key players in the market segment? 51 Five-Year Competitiveness Major Business/Industry Groups 2,500 Local Decline National Growth Local Growth National Growth Industry-Wide Effect (5-Year Job Change) 2,000 1,500 Business & Financial Services Health Services Biomedical/Biotechnical Education & Knowledge Defense & Security Creation 1,000 Arts, Entertainment, Recreation & Visitor Industries Energy Machinery Mfg. 500 Agribusiness, Food Processing & Technology Fabricated Metal Product Mfg. 0 Electrical Equipment, Appliance & Component Mfg. (500) Information Technology & Telecommunications Transportation Equipment Mfg. Chemicals & Plastics Computer & Electronic Product Mfg. (1,000) Forest & Wood Products Advanced Materials Apparel & Textiles Local Decline (1,500) National Decline (1,500) Printing & Publishing Transportation & Logistics (1,000) (500) 0 500 1,000 Local Growth National Decline 1,500 2,000 Local Competitive Effect (5-Year Job Change) 52 Major Business/Industry Groups 1.40 At-Risk Printing & Publishing Arts, Entertainment, Recreation & Visitor Industries Computer & Electronic Product Mfg. 1.20 Agribusiness, Food Processing & Technology Energy Competitive Business & Financial Services Forest & Wood Products 1.00 Specialization (LQ) Apparel & Textiles Information Technology & Telecommunications Advanced Materials Defense & Security 0.80 Electrical Equipment, Appliance & Component Mfg. Education & Knowledge Creation 0.60 Health Services/Biomedical/Biotech nical Chemicals & Plastics Transportation & Logistics 0.40 Transportation Equipment Mfg. Machinery Mfg. 0.20 Fabricated Metal Product Mfg. Declining 0.00 (2,000) Rising (1,000) 0 1,000 2,000 3,000 4,000 Employment Change (2006-2011) 53 Understanding the Dynamics of the Target Market Critical Information Requirements: • What are the workforce/training and skills requirements? • What are the major cost components in the industry? • What are the key factors in location decisions? Overall: What makes your area a match or not a match for this target market? 54 Understanding the Dynamics of the Target Market Sources of Industry-Specific Information: • Trade Associations • Research • Web Site • Publications • Industry Publications • Magazine • Newspapers • Published Research (Secondary) • Government • University • Private • Custom Research (Primary) • Industry Surveys • Interviews 55 Strategies for Target Marketing Key Messages: • What benefits do you offer to the market segment? • Workforce • Cost savings, advantages • Infrastructure • Technology/knowledge resources • Access to markets and suppliers • How does a company locate in you area? • Contacts • Considerations • Service • Examples of other companies within the target segment who have benefited/thrived in the locale 56 Louisiana Economic Development Marketing & Attraction Course Branding & Marketing 57 Economic Development Marketing Branding Does your organization have a standard identity program? Logo Consistency Overall Image 58 59 60 61 62 63 64 65 66 67 68 69 70 71 Northwest MS Economic Development Alliance Southern Memphis Metro NWMEDA 72 73 Brand Taglines Location Slogan Brownsville, TX On the Border by the Sea Beatrice, NE Roots to Call Home Tulsa, OK A New Kind of Energy Rochester, NY Sydney, Australia Made for Living There's no place in the world like Sydney Austin, TX Live Music Capital of the World Qatar As Independent as You Are Additional Comments Brownsville is located on the Texas-Mexico border on the coast Beatrice is home to the National Homestead Monument The city is renowned for oil production and is now trying to shift its dependence on it One of the top ranked cities in US for quality of life The largest city in Australia with iconic harbor and exceptional business and educational facilities Home to a number of live music events and a center for the industry Montpelier, VT Qatar is a small emirate bordering Saudia Arabia. IT has one of the highest per capita incomes in the world Is a city in lower NE corner of panhandle region with a Blues Skies, Golden Opportunities strong economy Montpelier is the capital of Vermont and has a population of A Little Capital Goes a Long Way less than 10,000 North Carolin a Thrive in North Carolina Anchorage, AKI Big Wild Life Wichita Fall, TX North Carolina has a strong business and innovation climate The largest city in Alaska, and a gateway to what the state has to offer 74 Define Communication Strategy • What are my communication objectives? • Who is my target audience? • What are my distribution channels? • How does this particular project relate to other campaign materials and applications? Is it consistent? • What is my timeline? • What is my budget? 75 In-House vs. Vendor Services Vendor Services: You will need to evaluate & select the best partners for the job. Consider how you can best work with: • Agencies • Freelancers • Printers • Photographers & stock houses 76 Hiring a Photographer • Match experience to need • Rate considerations • Plan ahead for the shoot • Time of Year • Copyright & reproduction rights 77 Hiring a Photographer Photography shot list for Graves Growth Alliance Below you will find general directional info relating to which direction each facility/building faces. Please note, that these will not be perfect and are general approximations: Hospital / Jackson Purchase Medical Center Air Evac Lifeteam Base (Adjacent) W W/SW Progress rail (heavy industry – caterpillar) (the entrance I enter) S Entrance to Hickory Industrial Park Remington (large industry – recent major expansion) TLC Building (221 Remington Way) Centrifugal Tech W E S 78 Hiring a Photographer 79 Hiring an Agency • Does the agency specialize in a particular type of work or client? • Look at samples of the agency’s work. • What are the in-house capabilities of the agency? • How comfortable/confident do you feel with the agency staff? • Do you feel that the person assigned to your project understands your objectives & budget? 80 Hiring an Agency • How does the agency charge for work performed? • Don’t expect agencies to compete by preparing samples. • Be prepared by understanding the basics of design & production. • Have a clear understanding/agreement of the project timeline. • Stay in touch with the agency throughout the project. 81 Hiring a Web or Electronic Presentation Developer • What are the capabilities? • Try out work samples. • What software & development tools will be used? • What computer operating environments will support the site or presentation? • Include a clear expected project time frame in your contract. • For websites – How will it be hosted? • Plan ahead for compatibility! 82 Basic Design Issues • Use restraint • Use consistent margins • Allow free white space • Design for readership • Organize your information logically 83 Basic Copywriting Issues • Write for the audience, not for yourself. • Write for the scanner, the skimmer & the reader. • Know the power of a photo & photo caption. • Make your headline work miracles. • Make the action you want from the reader clear. • Test your work. 84 Develop Your Marketing Arsenal • Maps • Website • Request for Information Response Materials • Advertising • Social Media 85 86 87 88 89 90 91 Develop Your Marketing Arsenal northwestky.com 92 Develop Your Marketing Arsenal Jacksontn.com 93 Develop Your Marketing Arsenal 94 Develop Your Marketing Arsenal m3alliancems.com 95 Develop Your Marketing Arsenal 96 Facebook • Originally set up for friends • Privacy levels & group creation enables control of information • Communities can use to share: – News stories – Event photos – Organization updates 97 LinkedIn • Dedicated to professional networking • Widely-used by economic developers • Platform to create discussion groups 98 Twitter • Appeals to a generation of staff and potential clients who appreciate • Tweets are a way of sharing positive stories about your community 99 Other Social Media Wikipedia • Widely consulted source of information • Ensure that information about the community is accurate Mobile Phone Apps • Allow users to locate entertainment and other services 100 Getting Started • E-mail address required • Create your profile and upload a photo or avatar (a representation of yourself or your alter ego). You can complete the basics and add more details later. • Decide how public or private you want your profile to be. • Start finding friends and inviting them to connect with you. • Upload photographs or videos and share links to Web sites or blogs. • Post notes or comments to others’ profiles. • Join groups or causes to expand your personal network and connect with others who share your interests. 101 Reaching Your Audience Through Social Media • • • • • • • • • Improve your design, look professional Paid ad campaigns Contests and giveaways Respond to your commenters Ask questions Offer an incentive, deals or discount codes Post photos Promote events Use strategic messaging, make sure social media is part of your marketing plan 102 Louisiana Economic Development Marketing & Attraction Course Regional & State Marketing Strategies and Plans 103 Louisiana Economic Development Marketing & Attraction Course Marketing Strategies & Tactics 104 Marketing Strategies & Tactics • Emphasize key messages • Provide access to research data • Create materials compatible with channels of communication • Show understanding of the industry segment Knowledge Based Marketing 105 106 Strategies for Target Marketing Determining Channels for Communications: • Trade Shows • Direct Mail • Printed Advertisements • Internet • Industry Visits 107 Certified Sites 108 Certified Sites 109 Certified Sites 110 Marketing Your Community to High-Tech Companies Presented by Sharon Younger 111 To Reach the Knowledge-Based Economy, You Must Use KnowledgeBased Marketing Knowledge is Power! 112 Know the Industry: What is High-Tech? 113 American Electronic Association and NASDAQ* define the High-Technology industry as: 45 NAICS Codes 3 Categories • High-Tech Manufacturing • Communications Services • Software and Computer Related Services *Publishers of CyberEducation and Cybercities 114 The High-Tech Definition by Standard Industrial Classification Codes High-Tech Manufacturing • Computers and Office Equipment • • • • • • 3571 Electronics and Computers 3572 Computer Storage Devices 3575 Computer Terminals 3577 Computer Peripherals 3578 Calculating and Accounting Machines 3579 Office Machines • Consumer Electronics • 3651 Household Audio and Video Equipment • 3652 Phonographic Records and Prerecorded Tapes & Discs 115 The High-Tech Definition by Standard Industrial Classification Codes • Communications Equipment – 3661 Telephone and Telegraph Apparatus – 3663 Radio and TV Broadcast and Communications Equipment – 3669 Other Communications Equipment • Electronic Components and Accessories – – – – – – – 3671 Electron Tubes 3672 Printed Circuit Boards 3675 Electronic Capacitors 3676 Electronic Resistors 3677 Electronic Coils, Transformers, and Inductors 3678 Electronic Connectors 3679 Other Electronic Components 116 The High-Tech Definition by Standard Industrial Classification Codes • Semiconductors – 3674 Semiconductors and Related Devices • Industrial Electronics – – – – – – – 3821 Laboratory Apparatus 3822 Environmental Controls 3823 Process Control Instruments 3824 Fluid Meters and Counting Devices 3825 Instruments to Measure Electricity 3826 Laboratory Analytical Instruments 3829 Other Measuring and Controlling Devices 117 The High-Tech Definition by Standard Industrial Classification Codes • Photonics – 3827 Optical Instruments and Lenses • Defense Electronics – 812 Search and Navigation Systems, Instruments and Equipment • Electromedical Equipment – 3844 X-Ray Apparatus and Tubes and Related Irradiation Apparatus – 3845 Electromedical and Electrotherapeutic Apparatus 118 The High-Tech Definition by Standard Industrial Classification Codes • Communications Services – – – – – 4812 Radiotelephone Communications 4813 Telephone Communications 4822 Telegraph and Other Message Communications 4841 Cable and Other Pay Television Services 4899 Other Communications Services • Software and Computer-Related Services – Software Services • 7371 Computer Programming Services 7372 Prepackaged Software • 7373 Computer Integrated Systems Design 119 The High-Tech Definition by Standard Industrial Classification Codes • Data Processing and Information Services – 7374 Computer Processing and Data Preparation – 7375 Information Retrieval Services – 7376 Computer Facilities Management Services • Rental Maintenance and Other Computer-Related Services – 7377 Computer Rental and Leasing – 7378 Computer Maintenance and Repair – 7379 Other Computer Relates Services 120 Know the Process: What is Important to High-Tech? 121 Key Factors to High-Tech Growth • Venture Capital • University R & D Programs/Spending • Highly Skilled Workers • Other High Tech Companies • Reliable Power • Quality of Life 122 Know The Market: Where is High-Tech? 123 Top 60 Cybercities Albuquerque Atlanta Austin Baltimore Bergen, NJ Boise City Boston Boulder Charlotte Chicago Cincinnati Cleveland Colorado Springs Columbus, OH Dallas Dayton Denver Detroit Dutchess County, NY Fort Lauderdale Fort Worth Hartford, CT Houston Huntsville Indianapolis Kansas City Los Angeles Melbourne, FL Miami Middlesex, NJ 124 Top 60 Cybercities Milwaukee Minneapolis-St. Paul Monmouth, NJ Nassau, NY New Haven, CT New York Newark Norfolk Oakland Oklahoma City Orange County, CA Orlando Philadelphia Phoenix Pittsburgh Portland, OR Raleigh Rochester, NY Sacramento St. Louis Salt Lake City San Antonio San Diego San Francisco San Jose Seattle Tampa Ventura, CA Washington, DC West Palm Beach 125 Effective Marketing • Transfer Knowledge • Be Professional • Embrace Technology 126 Innovate! • Go Beyond the High-Tech Definition – Medical – Agriculture • Update the “Old Economy” • Support Entrepreneurs 127 Sports Performance Core Industries 128 Core Industries and Support Industry Groups 129 Sports Performance and Sports Tourism 130 Manatee Sports Performance Cluster 131 What You Need to Know for Retail and Consumer Driven Development • Average Daily Traffic Counts-TN • Tennessee Dept. of Transportation http://www.tdot.state.tn.us/projectplanning/adt.asp • Building Permits • U.S. Census Bureau (city or county must report) http://censtats.census.gov/bldg/bldgprmt.shtml • Retail Sales, Sales Tax Collections by County • Tennessee Department of Revenue http://www.tn.gov/revenue/statistics/index.shtml 132 Retail Sales Potential Report Retail Stores Total Retail Sales Demand Supply Opportunity (Consumer Expenditures) (Retail Sales) Gap/Surplus 207,362,710 267,338,684 (59,975,974) 43,586,764 37,821,101 3,178,144 58,174,162 48,261,332 8,408,157 (14,587,398) (10,440,231) (5,230,013) 4,253,052 2,454,059 1,798,994 12,649,840 11,267,556 1,382,284 (8,396,788) (8,813,497) 416,710 Food and Beverage Stores Grocery Stores Supermarkets, Grocery Stores Convenience Stores 27,310,670 25,176,187 23,989,581 1,186,606 13,911,063 8,045,949 6,914,163 1,131,786 13,399,607 17,130,238 17,075,418 54,820 Building Material, Garden Equip Stores Building Material and Supply Dealers Home Centers 19,062,704 17,544,897 6,872,039 42,893,727 37,104,869 13,869,003 (23,831,023) (19,559,972) (6,996,964) General Merchandise Stores Dept. Stores (Excl Leased Depts) Other General Merchandise Stores 25,992,414 12,213,021 13,779,393 28,460,934 632,341 27,828,592 (2,468,520) 11,580,680 (14,049,199) Motor Vehicle and Parts Dealers Automotive Dealers Automotive Parts/Accsrs, Tire Stores Furniture and Home Furnishings Stores Furniture Stores Home Furnishing Stores 133 Marketing Effectiveness Marketing Strategy Rating Effective Internet/website 79% Out-of-town meetings with businesses 72% Site selection consultants and familiarization tours 64% Public Relations 64% Special Events 56% E-mail 48% Targeted lead development databases 43% Slogans, logo and identity 38% Trade shows and conferences 36% Direct mail 26% Brochures 20% Print advertising 16% Videos 14% Online advertising 10% TV/radio advertising 10% Telemarketing 6% 134 Marketing Effectiveness vs Spending Marketing Strategy Average Budget Allocation Rating Effective Internet/website 17% 79% Print advertising 11% 16% Brochures 11% 20% Trade shows and conferences 11% 36% Out-of-town meetings with businesses 10% 72% Public Relations 8% 64% Special Events 7% 56% Site selection consultants and familiarization tours 6% 64% Direct mail 5% 26% E-mail 4% 48% Slogans, logo and identity 3% 38% Videos 2% 14% Targeted lead development databases 2% 43% Telemarketing 1% 6% Online advertising 1% 10% TV/radio advertising 1% 10% 135 Incentives Direct Financial Incentives • Loans and loan guarantees • Revolving loan funds • Industrial development bonds • Grants • Venture Capital 136 Incentives Tax Incentives • Tax exemptions or abatements • Deductions • Low income housing tax credits • Historical rehabilitation tax credits • Accelerated depreciation • Job creation tax credits Other • Job training • Infrastructure improvements • Technical assistance 137 Incentive Criteria • Number of jobs created • Quality of jobs • Minimum investment requirements 138 Incentive Policy • Understand and respect the community’s attitude toward incentives • Develop a cost benefit analysis policy for the use of the incentive • Use clawbacks to protect the community and ensure that the company delivers upon its promises • Determine exactly to whom the incentives are targeted • Undertake an economic impact analysis in order to understand the true benefit of the project • Consider offering available incentives not just to new businesses, but to expanding existing local businesses as well 139 Jackson 97 Directors Row Jackson, TN 38305 O: 731.668.7367 F: 731.668.0042 Memphis 2157 Madison Ave Memphis, TN 38104 O: 901-272-5005 F: 901-272-5002 www.younger-associates.com 140