Marke=ng & A?rac=on Trends, Tools and Tac=cs
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1 Marke=ng & A?rac=on Trends, Tools and Tac=cs December 8, 2015 Stephen McKnight Vice President Community and Market Assessments
2 4 Key Discussion Points: 1. What is Economic Development 2. Product vs. Economic Development Marke=ng 3. GeQng to Know the New Customer (Pace of Change and ShiTs Occurring) 4. New Roles & Tac=cs
3 Strategic Planning Impact Studies Asset Mapping Corporate Site Selec=on The Fourth Economy Economic Developers Higher Ed Developers Non- Profits
4 This business of economic development is not geqng any easier Ø Global Uncertain=es, Threats and Unknown Responses Ø Poli=cal Divides Ø Federal Innova=on Investment vs. Spending (NIH/NASA/DOD R&D?) Ø Transporta=on Funding Ø Financial Incen=ve Scru=ny (38 Studios / GASB Statement 77)
5 How Do You Define Economic Development? Retention Creation Attraction
6 Why Here?
7 City/County & Economic Development Websites Phrase Million Phrase Pages Million Pages Business friendly 2.1 Good place to raise a family 1.81 Creative 2.1 Great business climate 1.79 Innovation / innovative 2.02 Beautiful parks 1.75 Natural resources 2 Biotechnology 1.69 Quality of life 1.98 Friendly business climate 1.26 World class technology 1.95 Hip 1.09 Leading research 1.95 Nanotech Good or great work ethic 1.84 Most livable Great place to raise a family 1.83 World class amenities 0.333
8 Investment Decision Process: Compe==on is Fierce, Fluid and Global Sites Buildings What Sets You Apart? Communi=es Lifestyle & Incen.ve Drivers Regions Within/Across States Cost & Lifestyle Drivers State/Mul= State Level Logis.c Drivers Global or Na=onal Level Market Drivers
9 Product vs. Economic Development Marketing Board Educa.on Is Required
10 I never knew I needed so much crap Happy Holidays!!
11 Product Marketing Impulse Option I need That!! Broad Consumer Base Product Duplicity is OK It is Expected to Wear Out (Short-term/Small Investment) Advertising Works Immediacy Relatively Quick and Easy Product Changes Central Control of Product and Process (Design/Manufacturing/Distribution) Cost Often Tops Value
12 Economic Development Marketing Very Narrow Consumer Base Big Investments for the Long Term Cultural and Community Implications Human Element / Tomato Vs. Tomawto Sophisticated Modeling Behind The Scenes You Don t Control of the Process Your Product Improvements Are A Long-term Proposition Value Factors Increasingly Top Cost Factors
13 Things Are Happening Faster and Investment Priori=es are ShiTing So What Do You Need to Know to Compete?
14 My goal is to make sure my 11- year- old son doesn't need to get a driver's license. Chris Urmson s (2015) Google s Driverless Technical Development Lead
15 The 4 th Economy ShiT Job Based Model Job Crea=on New Strategies Tools Tac=cs Required Value Based Model Sustainable Wealth and Value Product Driven Cost Sensi=ve Market Driven Making the Sneakers Knowledge Driven Value Sensi=ve Place Driven Designing the Sneakers
16 Jobs Model Jobs Products Ø Heavy Manufacturing Ø Large, Centrally Located Employment Base Ø People followed Jobs Ø Cost and Wage Sensi=ve Ø Use of Natural Resources Ø Large Tracts of Land Sites Water / Sewer / Roads
17 Value Model Wealth Knowledge Ø Innova=on is a Cornerstone Ø Sector Convergence Ø Talent Driven / A?ract and Retain Ø Grow by Buying or Joining Other Companies Ø Business Follows the Talent Ø Corporate Image Important Ø Both Rural and Small Urban SeQngs Ø Serial Reinvestment Technology Human Capital Financial Capital Place Corporate / Retail / Housing Quality and Op=ons Transporta=on Infrastructure Community Civic Spaces The Built Environment
18 Average Space Required Per Person Down from 250 sq/ft to less than 150 sq/ft ULI
19 Businesses with fewer than 20 employees now account for 90 percent of all U.S. firms and are responsible for more than 97 percent of all new job SBA
20 Independent workers now account for more than 53 million workers in the U.S. Membership now tops 276,000 and is growing rapidly. Freelancers Union
21 Google has been trying to transform itself from an Internet search engine into a broader enterprise that applies its computing muscle and know-how to big industries such as transportation and health care. The self-driving car project, which started in 2009, was the first public example of the effort and its slow progress is emblematic of Google s challenges. WSJ, Sept. 13, 2015
22 Yes, Con=nue to Market your Sites and Buildings, put a map on our home page, but also take on New Roles as Economic Development Intermediaries Land Use Planning Design Guidelines Technology Transfer Risk Capital Knowledge Network Management (Social Media) Transit Linkages / Op=ons Green Space Development Housing Op=ons Recrea=on Educa=on & Training
23 Effec=ve Economic Development Marke=ng Strategies and Services will ü Help Clients Connect & Collaborate ü Enhance The Corporate Brand ü A?ract and Retain Talent ü A?ract Capital ü Provide Live- Work- Play SeQngs ü Offer Quality Housing Diversity ü Access Knowledge Centers Stapleton, CO Oakland City, CA Southside Works Pittsburgh, PA
24 Get it Right Ø Recognize Your Customer Ø Identify What Sets you Apart Ø Align Your Assets Ø Make Sure You Can Deliver Tactical Level Take-A-Ways Ø Maps on Home Page Ø Clear Contact Information Ø Sites and Buildings Ø Communicate Challenges
25 Thank you! Stephen McKnight Vice President Community & Market Assessments Fourth Economy Consul=ng
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