Loading...
7.2. EDSR 03-11-2002 • Item # L2. City of Elk - -� River MEMORANDUM TO: Economic Development Authority FROM: Catherine Mehelich, Director of Economic Development(, 1 DATE: May 13, 2002 SUBJECT: Consider Proposal for Update of Strategic Industrial Marketing Plan for Implementation Years 2003-2005 Attachment * Strategic Marketing& Sales Proposal, Duckor&Associates • Background Upon staff's request, the attached proposal has been submitted by Anita Duckor& Associates for the update of the Strategic Industrial Marketing Plan. The original plan, facilitated by Ms. Duckor,was designed to guide the industrial marketing activities for years 2000 through 2002. The Plan was completed in June of 2000. Many of the suggested action steps within the Plan have been completed since,including the following: * Update Industrial Land&Property Inventory * Develop Siting/Expansion Process &Plan * Develop Advertising Campaign for 2001 and 2002 * Develop relationships with identified key accounts * Revise TIF, Micro Loan, and TRF Policy and Applications * Develop Communication strategy (new logo and marketing materials) * Conduct Business Retention & Expansion visits & survey Since the City will be preparing the operating budget for year 2003 this late summer,it is appropriate that the EDA consider the update of the marketing plan for its completion by August. Duckor&Associates can begin update of the Plan with economic development staff immediately. The update will include: • *An evaluation assessment of the 2000-2002 Plan and marketing activities * Update and revise Strategic Industrial Marketing Plan for 2003-2005 Update of Strategic Industrial Marketing Plan May 13,2002 • Page 2 f 2 *Action Plan for implementation years 2003 through 2005 * Success Factor Measurements The proposal includes utilizing the EDA's Marketing Committee, comprised of community leaders/business persons, for the Plan assessment and brainstorming components. Recommendation The cost for updating the Strategic Industrial Marketing Plan has been included in the 2002 Economic Development Department budget. Duckor&Associates proposes a professional services fee of$8,000 for the completion of the Plan update. Staff recommends the EDA accept the Duckor&Associates proposal for the update of the City of Elk River Strategic Industrial Marketing Plan 2003-2005. • • • • Duckor&Associates,Inc. • 3141 Dean Court Phone 612.285-1033 Duckor&Associates • Suite 804 Fax 612. 285-1044 Minneapolis,MN 55416 E mail DuckAGSD @ aol.com • HAY a 4412 Catherine Mehelich Director of Economic Development City of Elk River 13065 Orono Parkway P.O. Box 490 Elk River, MN 55330 May 3, 2002 Dear Cathy: Subject: Proposal for the City of Elk River Strategic Industrial Marketing Plan Assessment and Update • Duckor & Associates, Inc. is pleased to submit this proposal to assess and evaluate the Strategic Industrial Marketing Plan 2000 - 2002 that builds on the foundation for growth for the City of Elk River. This proposal is organized in five parts: ■ Purpose, Approach, Scope of Work and Methodology ■ Phases I-IV: Information Gathering & Analysis, Assessment, Market Strategy Development and Strategic Marketing Planning with timetables ■ Deliverable ■ Benefits ■ Professional Service Fee and General Provisions The proposal is highly interactive with you, pending clients and select community and business leaders. The schedules are dependent on your availability, timely access to the City of Elk River clients and information. S Duckor &Associates, Inc. 1 A BluePrint for Your Success. . .Today and Tomorrow • • •• • •� • ! Duckor&Associates • • . • The City of Elk River will continue to grow and prosper by this client driven, strategically integrated, and updated industrial marketing plan because it will: • Objectively review and assess progress to date of the Plan • Clearly identify areas of improvements • Set priorities • Continue to develop strategies based on client requirements and City of Elk River's features and benefits, and • Align Marketing, Promotion & Advertising Strategies, Key Account Relationship and Lead Generation, and Strategic Partnership Strategies. Duckor & Associates, Inc., is uniquely qualified to assist you in this important project because of: ✓ Leading and co- developing the City of Elk River Strategic Industrial Marketing Plan 2000 - 2002 • i( Proven strategic and marketing planning in economic development at multi- levels: city, region, state and private sector ✓ Hands-on, practical working knowledge of economic development & business ✓ Proven visionary capabilities with practical tactics, and ✓ Collaboratively working with clients with high energy, enthusiasm and focus. I look forward to working with you and the City of Elk River once again, on such an important assignment. Bes regards, Anita S. Duckor President Enclosures (3) • Duckor &Associates, Inc. 2 A BluePrint for Your Success. . .Today and Tomorrow • • Duckor&Associates,Inc. •. I 3141 Dean Court Phone 612. 285-1033 • Suite 804 Duckor&Associates • Fax 612. 285-10 44 Minneapolis,MN 55416 E mail DuckAGSD @ aol.com • S City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 Purpose S • To review, update and revise the City of Elk River Strategic Industrial Marketing Plan 2000 - 2002, which includes • Vision • Statement of Purpose • Value Proposition • Product Offering • Market Strategy, Objectives & Positioning • Product Delivery Process Strategy • Client Support and Service Strategy • • Clients' Needs and Wants • Competitive Assessment Ilk • Key Account Relationship and Lead Generation Strategy • Pricing Positioning • Communication Strategy • Promotion and Advertising Strategy • • Public Relations Strategy 1111 • Strategic Partnership Strategy • Challenges and Risks 1 • Success Measurements /► • Budget I 1 I 0 Duckor&Associates,Inc. A BluePrint for Your Success . . .Today and Tomorrow 1 Duckor&Associates • OOP S • S City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 e Approach and Scope of Work 0 Meeting your objectives requires a collaborative, integrated, and dedicated team working toward a common purpose. An important feature of Duckor & Associates, Inc.'s approach is the involvement of selected staff and management, and select customers/partners throughout the process. This method ensures a clearer understanding of your objectives, timely access to needed information and also positions you to implement the strategies developed. In other words, the strategic marketing and sales plan is totally owned by you, the City of Elk River. S 00 City of Elk River will 1. Provide pertinent City of Elk River information 2. Help prepare with the consultant's direction the Market Assessment and Competitive Assessment 3. Select Marketing Committee 4. Select interviewees (customers/partners) and schedule interviews 5. Review and approve interview questionnaire format(s) 6. Arrange for meetings, provide meeting space and take meeting notes, if required 7. Provide working space for consultant and administrative support, if needed Duckor &Associates, Inc. will ® 1. Provide project leadership 2. Design interview questionnaire format 3. Conduct interviews 4. Analyze interview research 5. Prepare for, lead and facilitate all Marketing Committee meetings 6. Direct Economic Development Staff work • 7. Update the Plan and develop Action Plan M 8. Present the Plan to the Economic Development Authority S Duckor&Associates,Inc. 2 A BluePrint for Your Success ...Today and Tomorrow a • • •• • • • • Duckor&Associates 44.01, •. • I City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 Methodology ❑ Collection, analysis and assessment of current and pertinent City of Elk River Economic Development information, and current and potential customers ❑ Interview select pending clients, clients whom elected another location, business and community leaders ❑ Conduct planning/working sessions with Economic Development Staff and Marketing Committee ❑ Conduct on-going discussions with Director ❑ Present findings and updated Plan B 0 10 B B 110 B B Duckor&Associates,Inc. 3 A BluePrint for Your Success ...Today and Tomorrow B • • •••• • • • Duckor&Associates • • • City of Elk River Economic Development I� Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro ' May 3, 2002 S S • Information Gathering & Analysis - Phase I O Timeframe: TBD depending on Economic Development Staffs availability S o Review Industrial Marketing Plan 2000 2003 ❑ Review Business Retention & Expansion Survey Results (2002) 1111 o Review current location site package and proposal work to date S ❑ Review pending client list se ❑ Review progress to date and results • S ❑ Brainstorm on "What Is Working" and "What Needs to be Improved" ❑ Develop Next Steps for further evaluation and investigation for planning Conduct two (two to three-hour) meetings with Economic Development Staff to complete Phase I I Et I I IDuckor&Associates,Inc. 4 A BluePrint for Your Success . ..Today and Tomorrow • „ • Duckor&Associates • le• • O City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 9 Market Assessment — Phase II Timeframe: 'IBD depending on Economic Development Staffs availability S ❑ Revalidate customer requirements and drivers and explore potential product r features by interviewing select pending clients S ❑ Design interview questionnaire format(s) o Conduct 12 interviews (five pending clients, three potential clients whom selected another location, two community leaders, and two strategic partners) I . ❑ Analyze client information and validate or refine Customer Requirements and Drivers q ❑ Refine Market Analysis e.g. understand markets • Refine targets ' • Identify who makes the decision • Identify who influences the decision a Assess Product Features and Pricing Strategy ❑ Assess Competitive Landscape in relationship to Customer Requirements a Assess Promotion, Advertising and Public Relations efforts and proposals to date ❑ Assess Key Account Relationship, Lead Generation Strategy and Strategic 1 Partnership Strategies ❑ Assess Success Measurements Duckor&Associates,Inc. A BluePrint for Your Success. . .Today and Tomorrow r ! • • .. • ••• • Duckor&Associates • 1 • • City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 Conduct three (two to three-hour) meetings with Economic Development Staff to complete Phase II 1 Conduct one (two-hour) meeting with Marketing Committee to present Phase II Findings 1 �I t f • Duckor&Associates,Inc. 6 A BluePrint for Your Success.. .Today and Tomorrow w • !11 •••i 1 Duckor&Associates ;olio • • • City of Elk River Economic Development O Strategic Marketing and Sales Proposal • The Light Industrial Hub of the Northwest Metro May 3, 2002 r S Market Strategy Development - Phase III Timeframe: TBD depending on Economic Development Staffs availability Review and refine the following, as appropriate: S # Marketing Strategy, Objectives & Positioning ❑ Pricing Strategy • ❑ Sales Strategy 1110 ❑ Follow-Up Strategy a 0 ❑ Promotion, Advertising and Public Relations Strategies ❑ Key Account Relationshipand Lead Generation Strategy gy ❑ Strategic Partnership Strategy 0 ❑ Success Factor Measurements S S Conduct two (two-three hour) meetings with Economic Development Staff to complete Phase III. S h- • S S Duckor&Associates,Inc. 7 A BluePrint for Your Success . ..Today and Tomorrow • • •. • Duckor&Associates •! • eAm • City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 S ® Marketing and Sales Planning Development - Phase IV Timeframe: TBD depending on Economic Development Staffs availability �r ❑ Review revised plan and 2002 - 2004 Action Plan o Ensure plan supports City of Elk River Comprehensive Plan ❑ Finalize Plan i Conduct one (two-hour) meeting with Economic Development to complete • Phase IV Conduct one (two-hour) meeting with Marketing Committee to present Revised Plan and 2002 - 2004 Action Plan f r Present Plan to City of Elk River Economic Development Authority 110 p i r p i t 1 • r Duckor&Associates,Inc. 8 A BluePrint for Your Success. . .Today and Tomorrow • • • •• • • • •, Duckor&Associates • • • • 110 City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 Deliverable Updated City of Elk River Strategic Industrial Marketing Plan 2002 - 2004 ❑ Evaluation and Assessment of the City of Elk River Strategic Industrial Marketing Plan 2000 - 2002 • • ❑ Updated and Revised Strategic Industrial Marketing Plan 2002 - 2004 S S • ❑ 2002 - 2004 Action Plan 11)S ❑ Success Factor Measurements S S S S S S I I ® Duckor&Associates,Inc. 9 A BluePrint for Your Success . ..Today and Tomorrow S • • •�•• • • Duckor&Associates • 9 • City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 Benefits P * Effectively positions City of Elk River in the marketplace *. Enhances retention, expansion and new growth opportunities 9 9 * Focuses and increases Sales effort 9 * Enhances Clients' Satisfaction 15 * Minimizes Economic Development staff time 15 * Maximizes Economic Development staff efforts * Supports City of Elk River's vision and mission P P P P 0 Duckor&Associates,Inc. 10 A BluePrint for Your Success.. .Today and Tomorrow .5 • • Duckor&Associates • • • J City of Elk River Economic Development Strategic Marketing and Sales Proposal The Light Industrial Hub of the Northwest Metro May 3, 2002 Duckor&Associates,Inc. Tax Identification#41-1932625 Total Professional Service Fee $8,000 Market-Driven Business Consulting Services General Provisions Payment Schedule 1/2 payment due upon initiation of project 1/4 payment due upon 30 days of initiation 1/4 payment due upon receipt of final plan Invoices are payable upon receipt Expenses for travel, lodging and related items will be billed in addition and shown separately on Duckor & Associates, Inc. invoice. Duckor &Associates, Inc. work will be a best effort and it is expected that the results will meet the objectives sought. The recommendations and the written material we provide will be our best judgment based on the information available to us. In any event, Duckor & Associates, Inc. assumes no liability for this project. This offer shall remain open for a period of 30 days from the date of letter, unless extended in writing. Acceptance I appreciate the opportunity to work with you on this important assignment. gnment. Please sign and return the enclosed copy of this proposal to authorize the agreed to work. Presented by Accepted by Duckor & Associates, Inc. City of Elk River By: Anita S. Duckor By: President Title Date: Duckor&Associates,Inc. 1 1 A BluePrint for Your Success.. .Today and Tomorrow • 1 • Survey shows Minnesota. _manufacturers cautiously optimistic about recover i Y n 2002 MINNESOTA MANUFACTURING BUSINESS SURVEY Compared to the second-half of 2001, during the next six months what do you expect from your business? Despite a sharp business downturn dur- 70 ing 2001, Minnesota manufacturing 41 oimpak companies expect business to stabilize 60 f or improve slightly in the first six g months of 2002, according to a joint 2 50 survey of state manufacturers in Up January and February by the'Minnesota 2- 40 ,fir Department of Trade and Economic8 Development (DTED) and the Federal E 30 popx 4co Ev Some Reserve Bank of Minneapolis. The survey shows a strong majority of e 20goi �„ Down manufacturers believe their operations i o g have stabilized following significant sec- 1111 11111: 11111111!"1!" Ilifilifil -- ' and-half decreases in orders, profits, production, employment and business Number of orders Product/service Employment Investment in Profits investments in plants and equipment. production level level plant/equipment While 43 percent of manufacturers believe their orders will increase during the first six months of 2002,only 23 per- tor's financial health seems to be there are strong indications that things cent believe their orders will decrease. improving as well. Although the results are beginning to improve.And it's good Similarly, 41 percent said they expect were mixed, more than 30 percent news that our state's manufacturing production to increase in the first half expected profits to increase compared businesses are stabilizing. This survey of 2002, while 21 percent anticipate with just 13 percent that reported suggests that we can anticipate further decreases in their production levels. increased profits during the second half improvement in the manufacturing sec- Meanwhile, the steep second-half of 2001. tor this year." .decline in manufacturing employment "Last year's national economic slow- "Manufacturing is an important corn- appears to have leveled off. Most manu- down hit the manufacturing sector par- ponent of the state and national facturers (80 percent) expect no fur- ticularly hard, especially in the second economies and while the sector took a ther workforce reductions, and 22 per- half of the year," said DTED Commis- hard punch in 2001, it wasn't a knock- cent say employment will likely increase sioner Rebecca Yanisch. "While the out blow," said Analysis and Evaluation during the first half of 2002. The sec- economy as a whole remains shaky, Director Bob Isaacson.