North Central Region Community Development Core Competencies Course

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Wisconsin Basic Economic Development Course
Economic Development Marketing for Results
Steve Vierck, CEcD AngelouEconomics President of
Economic Development
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(No Transcript)
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Angelou Economics

• One of the largest full-service economic
  development and site selection consulting firms
  in the U.S.
• Extensive experience in creating innovative
  workforce development and entrepreneurship
  strategies
• Specialize in creating strategies for high impact
  economic development through in-depth
  collaboration with the community
• More than 150 public and private sector clients

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A Grim Picture

• Worst global financial crisis since the Great
  Depression
• Worst G7 recession since 1930s
• Longest US recession in post-war period and
  deepest

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Hitting the Bottom
A recent Wall Street Journal survey found most
economists believe the recession has ended or
will end this quarter.
Recession Trough Survey When will/did the
recession end?
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Fewer Projects

• SoBring your A game
• Gain an in depth understanding of your clients
  needs
• Have a blueprint for incentives ready to go
  quickly
• Ensure that your project development teams are up
  to speed on energy, infrastructure, health care,
  and education

US Projects/Expansions By Use 2003-2008
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Green Technology Jobs

• Grid updates, plant upgrades, tax incentives, and
  energy efficiency investments comprise nearly 65
  billion of the stimulus plan
• Infrastructure updates are key to enabling
  additional renewable energy and energy efficiency
  improvements

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Select Opportunities

• Sectors expected to grow nationally
• Renewable Energy
• Almost 3x growth in wind, biofuels, solar and
  fuel cells(2008-2018)
• Data Management
• The number of servers has grown from 2.6 million
  to 11.6 million in the past decade
• Creative Media
• Video game revenues now exceed those of music and
  film industries
• Software Development
• Growing opportunities in mobile devices,
  netbooks, wearable technology
• Healthcare and Medical Devices
• Health services, medical supplies, and device
  manufacturing
• Biotechnology and Life Sciences
• Gene and stem cell research

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Retention / Expansion is Much More Important

• Current Trends
• More consolidations, especially financial
  operations centers and manufacturing facilities
• Cost containment
• Competition is fierce
• Double or nothing retention and expansion
  projects
• Economic development project prices are going up

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Why do companies consider new location?
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Typical Site Selection Process
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Incentives
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Who Are These People?

• Dennis Donovan Wadley-Donovan-Gutshaw
• New Jersey
• Joseph Pilewski Duff Phelps, LLC
• Chicago
• Kate McEnroe McEnroe Consulting
• Atlanta
• Eric Stavreiotos Jones Lang LaSalle
• Chicago

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Suggestions for Working with Prospects

• Identify the main site selection criteria for the
  project (what are the main decision factors)
• Provide assistance and information relevant to
  their primary criteria
• Work as a community team and engage area experts
  in areas of primary interest, i.e. workforce
• Use area industries to help convey your positives
• If you dont know the answer to a specific
  question, dont guess. Tell the client youll
  find out and get back to them.
• Follow up quickly

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Measure Results

• Track the sources of your leads, prospects, and
  completed projects
• Periodically evaluate and compare
• Which approaches are most cost-effective?
• i.e. Average cost to generate a prospect from a
  sales trip versus advertising
• Track and measure reasons why prospects go
  elsewhere
• i.e. Lack of buildings, scarce labor, etc.

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Convert More Prospects (and Measure Your
Processes)
Conversion Rate Example
Lead to locate conversion rate
2
10
20
Prospect to locate conversion rate
2
40
5
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Marketing
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ED Marketing is Relationship Marketing

• Relationships become more important
• Awareness
• Comparison
• Transaction
• Reinforcement
• Advocacy

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Marketing Mix

• Sales trips
• Trade shows
• Advertising
• Direct mail
• Special events
• Retention/Expansion
• Website
• Research
• Publicity

Increased Awareness Lead Generation
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Economic Development Techniques
Most Effective Marketing Techniques ( Rating 4
or 5 on a 5-point scale) (2008)
Source Development Counselors International, 2008
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Building an Effective Website

• Clean and organized not busy
• Easy to understand navigational system
• Current, reliable information
• Visibility (appears in Google, MSN, etc. search
  engines)
• Proof read your ENTIRE site
• Keep design consistent
• Optimize graphics (small file size)
• Include maps
• Provide downloadable content in multiple formats
• Target-industry specific material

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Social Media Tools

• LinkedIn Business recruitment and retention
• Staff network to include site selectors, local
  brokers and prospects
• Facebook Workforce recruitment
• Use profile to post about networking
  opportunities, YP events and job opportunities
• Twitter Business retention and investor
  relations
• Add a Twitter feed and consider industry-specific
  Twitter feeds, as well as organizational updates,
  that can augment monthly or quarterly email

Site Selectors Use of Social Networking Tools
Source Atlas Advertising, 2009 Survey
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Trade Shows Conferences

• Example Thrive Schedule
• Focused Trade Mission to Korea and Japan for
  Specialty Foods
• Wisconsin Manufacturing Economic Summit
• Wisconsin Bioenergy Summit
• Bringing Bioneers to Wisconsin Conference
• Agriculture, Food and Health Conference
• Focus on Goats Conference

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Marketing Calendar Example
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More Intense Competition Necessitates
Differentiation

• Economic Development Marketing consists of all
  activities designed to create desirability and
  differentiation of your region to your audience.

Be Different!
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Dont Try to Be Everything to Everybody
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Be Specific
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Differentiate Life Science Vs. Animal Science
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(No Transcript)
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Economic Development Branding

• Brand Essence or personality of your community,
  region, or organization. Unique identity that
  differentiates you from your competition.

Brand Elements

• Name
• Logo
• Tagline
• Marketing Materials
• Website
• Office
• Community Characteristics

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Branding
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Targeting

• Identify priority economic clusters based upon
• What you can best compete for given your
  competitive advantages
• What types of employers will best meet your
  specific economic objectives
• Example Wisconsin Target Clusters
• Wind Energy
• Biotechnology
• Dairy
• Food Products Processing
• Information Technology
• Medical Devices

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Targeting
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More Specific Targeting Required
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Targeting
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Position Relative to Competitors
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Examples
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Examples
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Need for Positive ED Leadership
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Contact Info

• Name
• Company
• Address
• Phone
• E-Mail
• Web URL

Steve Vierck, CEcD President of Economic
Development AngelouEconomics 8121 Bee Caves Rd,
Ste. 200Austin, TX 78746 512-225-9334 svierck_at_an
geloueconomics.com www.angeloueconomics.com